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Effective Management of Supply Chains: Risks and Performance

  • Bob Ritchie
  • Clare Brindley

Abstract

A significant feature of the rapidly evolving business climate spurred on by significant technology shifts, innovation, communication technologies and globalization, is the increasing prevalence of risk in almost every aspect of our lives. Whether real or imagined, we perceive greater exposure, increased likelihood and more severe consequences of already known risks whilst becoming aware of other risks previously unknown. FM Global (2007) concluded from their study of the views of 500 financial executives in Europe and America that most anticipated an increase in overall business risks in the foreseeable future. The top three risk areas featured global competition, supply chains and property-related risks. Individual organizations are continuously receiving information inputs identifying new risk sources, enhanced exposure to existing risks and escalating costs associated with compensation should such risks materialize. The emergence of risk management is an important response to such developments providing a contribution to most fields of management decision and control (e. g. Smallman, 1996; Giannakis et al., 2004). Supply Chain Risk Management (SCRM) represents the risk management response primarily to supply chain risks, although as will be seen later in the chapter, it has a much wider influence at the strategic enterprise risk level.

Keywords

Supply Chain Risk Management Supply Chain Management Balance Scorecard Supply Disruption 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Springer-Verlag London Limited 2009

Authors and Affiliations

  • Bob Ritchie
    • 1
  • Clare Brindley
    • 2
  1. 1.Lancashire Business SchoolUniversity of Central LancashirePrestonUK
  2. 2.Nottingham Business SchoolNottingham Trent UniversityNottinghamUK

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