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Conceptual Framework of Supply Chain Safety

  • Sandra Tandler
  • Michael Essig
Part of the Lecture Notes in Logistics book series (LNLO)

Abstract

In today’s world, companies cannot afford to act on their own. According to a study conducted by AMR Research in 2006 the average company has 36 contract manufacturers. Out of this, 42 % of these companies report that more than 25 % of manufacturing output is produced by third-party contract manufacturers. Thus, it is evident from the study that outsourcing-related activities (predominantly concerning the functional areas of information technology, production, and logistics) not only result in a higher number of companies involved in the supply chain – this in turn explains the fact that the length and the depth of a supply chain have increased manifold. In addition, companies manage today more than five different supply chains because of the requirement to produce multiple products for multiple markets – supply chains can thus be characterized as networks. By consequence, companies experience a stronger mutual dependence on each other – the whole supply chain becomes more vulnerable to disruptions.

Keywords

Supply Chain Supply Chain Management Uncertainty Factor Logistics Management Physical Distribution 
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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© Springer-Verlag Berlin Heidelberg 2013

Authors and Affiliations

  1. 1.Chair of Materials Management and DistributionBundeswehr University MunichNeubibergGermany

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