Risk management in supply chain : preparing for disruptions

Abstract

Supply chain risk management (SCRM) is critical in today's interconnected and globalized business environment, where disruptions such as natural disasters, political instability, and pandemics pose significant challenges. This thesis investigates strategies for mitigating disruption risks in supply chains, aiming to enhance organizational resilience and continuity. Through a qualitative literature review and thematic analysis of 14 academic sources, the research identifies key strategies including flexibility, supplier diversification, redundancy, postponement, avoidance, collaboration and information sharing, technological integration, and strategic stock. The findings emphasize the necessity of proactive risk management to mitigate the disruptions risks and balancing efficiency with costs to maintain optimal operations during disruptions. This study concludes that businesses must tailor their risk mitigation strategies to their unique contexts, combining insights from traditional and innovative approaches to safeguard against evolving challenges.