6th North American International Conference on Industrial Engineering and Operations Management

Supply Chain Risk Mitigation with Supply Risk Management approach

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Track: Industry Solutions
Abstract

Risk is often described as an event, a change in circumstances or a consequence. Risk can be addressed and can even be eliminated through risk management. In this study will be done identification of the cause of delay in raw materials until on time in the manufacturing company. During these 2 years the company faced the problem of providing raw materials that are often late, which is a barrier for companies to produce in a timely manner to meet consumer demand, because this problem the company suffered losses, so it is necessary to know the factors that cause delays in the supply of raw materials. The method used in this study is HOR (HOR I, HOR II) by identifying risk events and risk agents. After identification with HOR I risk agent that causes the onset of insulation due to late transportation, delays in procurement of raw materials, dependence on the parent company. To mitigate the risk agent is prepared mitigation strategy (HOR II) that is, making a work contract with the supplier who comes from the parent company to communicate directly with the supplier, procure raw materials 2 weeks - 2 months before needed.

Published in: 6th North American International Conference on Industrial Engineering and Operations Management, Monterrey, Mexico

Publisher: IEOM Society International
Date of Conference: November 3-5, 2021

ISBN: 978-1-7923-6130-2
ISSN/E-ISSN: 2169-8767