15th Annual International Conference on Industrial Engineering and Operations Management

Analyzing Global Semiconductors Supply Chain Resilience Using Structural Equation Modeling

Noor Sadiah, Haya Fetais, Majed Hadid, Adel Elomri & Laoucine Kerbache
Publisher: IEOM Society International
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Abstract

The global semiconductor chip shortage has exposed critical vulnerabilities in supply chains, significantly impacting various industries. This study proposes a comprehensive framework to enhance the resilience of semiconductor supply chains by identifying key factors and their interactions. Leveraging Structural Equation Modeling (SEM), the framework integrates fourteen hypotheses to analyze nine different factors affecting the semiconductor supply chain resilience.  Artificial Intelligence (AI), supply chain integration, agility, and localization are among the factors analyzed in this study. The model is developed based on insights from literature within the engineering and decision sciences subject areas and is preliminarily tested using secondary data generated based on the literature. Initial results, based on this secondary data, underscore the importance of AI and digital technologies in fostering transparent, agile supply chains, enabling firms to respond swiftly to disruptions. Additionally, manufacturing flexibility and supply chain integration emerged as critical enablers of resilience, ensuring long-term competitiveness in the semiconductor industry. Future research will validate these findings by applying primary survey data on the framework developed in this study to further contribute to the understanding of supply chain resilience in high-tech industries.

Published in: 15th Annual International Conference on Industrial Engineering and Operations Management, Singapore, Singapore

Publisher: IEOM Society International
Date of Conference: February 18-20, 2025

ISBN: 979-8-3507-4444-6
ISSN/E-ISSN: 2169-8767