Supply chain risk management in the decade of 2020

Abstract

The purpose of the thesis is to provide understanding and in-depth knowledge into supply chain management and risk management. In recent years, supply chain risk management has faced new challenges. These new challenges have exposed vulnerabilities in supply chains which business risk management must consider. Thesis explains what supply chain and risk management is and focuses on three risk categories: difficulties with raw materials, globalisation and geopolitical distress and natural catastrophes. The time scope of the thesis is the on-going decade.

The work is conducted as an empirical descriptive analysis using qualitative research methods. The content of the thesis analyses trends and incidents of the decade of 2020 and builds conceptual scenarios explaining the possible processes of risk management. Risk scenarios are explained and visualised by creating case studies and examples of recent events in the framework of existing supply chain management tools and strategies.

The findings indicate that risks may have severe consequences to businesses considering the significance of supply chains. To help prevent supply chain disruptions, continuous risk management is a necessity. Difficulty remains as the improvements of today may not answer to difficulties and risks of the future. Further research on supply chain risk management is required due to the complex and continuously evolving subject.