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An Implementation Framework for Resiliency Assessment in a Supply Chain

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Abstract

To enhance their capabilities, modern businesses employ an agility and flexibility approach within their supply chains, but this also causes supply chain instability. As a result, supply chain resiliency (SCR) is quickly piquing the interest of academics and business people. By identifying methodologies for SCR evaluation, classifying assessment techniques, and suggesting a broad framework for SCR assessment, this research aims to offer a review of SCR literature. The systematic literature review method investigates a total of 330 articles published from 2008 to 2022. After applying the selection criteria, 79 peer-reviewed studies were identified as the most relevant. The textile industry case study has been carried out to assess the resiliency with the use of Bayesian network modelling. The paper examines strategies for building resiliency to understand SCR assessment, then develops a framework for it, and classifies its assessment methods. The generalized framework consists of five steps for SCR assessment: disruption modelling, factor identification, assessment methods, resiliency quantification, and resiliency metric. This study also presents a case study to explain the SCR assessment in practice. The previous studies lack the definition of the steps for resiliency assessment in the supply chain. This is one of the first studies examining existing literature on resiliency assessment steps. It also proposes a global framework for supply chain resiliency assessment. Further, this framework is being tested using a case from the textile industry. The typology of SCR literature can assist the decision-makers in understanding SCR and techniques for assessing the resiliency of their supply chain.

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Correspondence to Murari Lal Mittal.

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Appendix 1: Questions for Discussion

Appendix 1: Questions for Discussion

Disruption triggers

Risk events

Questions

Turbulence

Unexpected demand shifts in products

How frequently does your company face demand shifts?

Which product had demand shifts recently?

What kind of strategies are used to deal with it?

Price fluctuations

To what extent does it affect you financially?

What kind of problems do you face due to price fluctuation?

Geopolitical turmoil in supplies

Have you ever faced problems due to strikes/politics/?

To what extent does it affect you financially?

Unforeseen technology defeats (shutdown)

Frequency of machine failure or other technology defeats?

Deliberate threats

Facility desolation (fire, leakage, etc.)

Have you ever faced any facility desolation like fire?

Spying on products or technology

Have you ever faced any industrial espionage?

Robbery

Do any robbery cases happen? If yes, how much does it affect?

Liability claims for products

Is any liability claimed in any product?

External pressure

Competitive innovation

How frequently do you face losses due to competitive innovations?

Severe price competition (with rivals)

How often do you increase your product price to compete with rivals?

Governmental regulation

Have you ever faced lost sales/delays due to government regulations?

Resource limits

Lack of skilled workers

Unavailability of your workforce during a pandemic?

Limited capacity (delay in manufacturing)

How frequently do you face delays in demand fulfilment?

Shortage of raw material for products

How frequently due to face problems from suppliers?

How much demand is fulfiled during a pandemic?

Sensitivity

Hazardous condition

Do you face problems in workforce health frequently?

How much of your workforce was unavailable during a pandemic?

Strict storage or handling requirements

How much do you face due to handling requirements of products?

The complexity of operation (breakdown)

How much complexity do you feel in your operations?

Connectivity

Need for the same component for products

How many products use the same component/material?

How frequently does a shortage of this component happen?

Outsourcing

To what extent do you face losses due to outsourced material?

Distributed supply chain

How much delay/unavailability do you face during a pandemic?

Supplier/customer disruption

Supplier-side disruption

To what extent do you face losses from the supplier’s side?

 

Demand-side disruption

How much is lost in sales during a pandemic?

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Sharma, B., Mittal, M.L., Soni, G. et al. An Implementation Framework for Resiliency Assessment in a Supply Chain. Glob J Flex Syst Manag 24, 591–614 (2023). https://doi.org/10.1007/s40171-023-00348-x

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