Managerial perception and assessment of catastrophic supply chain risks

An Empirical Study

Masterarbeit , 2010 , 94 Seiten , Note: 1,3

BWL - Unternehmensführung, Management, Organisation

Purpose - Catastrophic supply chain risks can have severe effects on companies’ supply chains. Still, previous supply chain risk management research has predominantly focused on operational
risks. The purpose of this study is to explore the construct of managerial risk perception and the assessment stage of catastrophic supply chain risks.

Design/methodology/approach - A risky decision making model for catastrophic supply chain risks was applied in an explorative multiple case study approach. Interviews served as the main
source for information.

Findings - The degree of supply chain integration was found to be a prime determinant of the potential damage caused by disruptions due to catastrophic supply chain risks. The frequency of catastrophic supply chain events seems to be influenced to some degree by the number of suppliers.
It is suggested that managerial perception of catastrophic supply chain risks is formed by the degree of potential damage and past exposure to catastrophic supply chain events. Several barriers to the assessment of catastrophic supply chain risks, such as missing top management priority, low supply chain risk management maturity and lack of obvious return were identified.
A combination of “softer” supply chain risk assessment methods, expert opinions and simulation techniques have been identified to be useful to assess catastrophic supply chain risks.

Originality/ value - This explorative research provides first insights into the construct of managerial risk perception in the context of catastrophic supply chain risks. Further it identifies useful risk assessment tools and techniques for catastrophic supply chain risks, based on both supply chain risk management research and catastrophe research.

Key words Supply chain risk management, risk assessment, catastrophic risks, low-probability high-consequence risks, risk perception, managerial risk perception.

Inhaltsverzeichnis (Table of Contents)

• Chapter 1 - Introduction
• 1.1. Research motivation
• 1.2. Research goals
• 1.3. Academic and managerial contribution
• 1.4. Thesis outline
• Chapter 2-Literature review
• 2.1. Understanding risk
• 2.2. Supply chain risk management
• 2.3. Classification of SCRM research
• 2.3.1. Categorization of supply chain risk sources
• 2.3.2. The elements of the SCRM process
• 2.4. Catastrophic supply chain risks
• 2.5. A conceptual framework for supply chain risk analysis
• 2.5.1. The risk assessment stage
• 2.5.2. Managerial risk perception
• Chapter 3-Theoretical model
• 3.1. Risky decision making model
• 3.1.1. Supply chain risk conditions
• 3.1.2. Probability and magnitude of potential catastrophic supply chain events
• 3.1.3. Overall perception of catastrophic supply chain risks
• 3.1.4. Assessment of catastrophic supply chain risks
• 3.2. Research propositions
• Chapter 4 - Methodology
• 4.1. Multiple case study approach
• 4.2 Literature review as a starting point
• 4.3. Data collection
• 4.4. Data analysis
• 4.5. Shaping prepositions and enfolding literature
• 4.6. Achieving case study rigor
• Chapter 5 - Findings
• 5.1. Within-case results
• 5.1.1. Case Company A
• 5.1.2. Case Company B
• 5.1.3. Case Company C
• 5.1.4. Case Company D
• 5.1.5. Case Company E
• 5.1.5. Case Company F
• 5.1.6. Case Company G
• 5.2. Synopsis of findings – a cross-case display
• 5.2.1. Supply chain risk characteristics
• 5.2.2. Frequency and magnitude of past catastrophic supply chain events
• 5.3.3. Managerial perception of catastrophic supply chain risks
• 5.3.4. Assessment of catastrophic supply chain risks: procedures & barriers
• Chapter 6-Discussion
• 6.1. Supply chain risk levels
• 6.2. Formative elements of managerial risk perception
• 6.3. Effects of managerial risk perception
• 6.4. Barriers to a formal assessment of catastrophic supply chain risks
• 6.5. Methods and tools for the assessment of catastrophic supply chain risks

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This master's thesis aims to explore the construct of managerial risk perception and assessment of catastrophic supply chain risks, a topic largely neglected in previous research. The study seeks to understand how managers perceive and assess these risks, and what factors influence their decisions. The research takes a multiple case study approach, applying a risky decision making model to gather insights from interviews conducted with managers in different companies.

• The impact of supply chain integration on the potential damage caused by catastrophic events.
• The role of the number of suppliers in influencing the frequency of catastrophic supply chain events.
• The factors that shape managerial perception of catastrophic supply chain risks, including the degree of potential damage and past exposure to such events.
• The identification of barriers to the assessment of catastrophic supply chain risks, such as lack of top management priority, low supply chain risk management maturity, and lack of obvious return.
• The exploration of effective methods and tools for assessing catastrophic supply chain risks, such as a combination of "softer" supply chain risk assessment methods, expert opinions, and simulation techniques.

Zusammenfassung der Kapitel (Chapter Summaries)

Chapter 1 introduces the research motivation, goals, academic and managerial contributions, and thesis outline. Chapter 2 reviews existing literature on risk, supply chain risk management, and catastrophic supply chain risks, highlighting the importance of understanding the assessment stage and managerial risk perception in this context. Chapter 3 presents a theoretical model based on risky decision making, outlining the key elements influencing the perception and assessment of catastrophic supply chain risks. Chapter 4 details the methodology employed, including the multiple case study approach, data collection, data analysis, and techniques used to achieve case study rigor.

Chapter 5 presents findings from the within-case analysis, providing detailed insights into the experiences and perspectives of the participating companies. Chapter 6 offers a discussion of these findings, examining key themes such as supply chain risk levels, formative elements of managerial risk perception, and barriers to formal assessment. Chapter 7 concludes the research by summarizing key findings, exploring theoretical and managerial implications, and suggesting limitations and avenues for future research.

Schlüsselwörter (Keywords)

This research focuses on the critical areas of supply chain risk management, risk assessment, catastrophic risks, low-probability high-consequence risks, risk perception, and managerial risk perception. These keywords encompass the core concepts and research focus of the study, providing a concise representation of the key themes investigated.

• Hochschule: Universiteit Maastricht
• Note: 1,3
• Autor: Simon Barth (Autor:in)
• Erscheinungsjahr: 2010
• Seiten: 94
• Katalognummer: V164613
• ISBN (eBook): 9783640799015
• ISBN (Buch): 9783640799220
• Sprache: Englisch
• Schlagworte: supply chain management, supply chain risk management, catastrophic supply chain risks, catastrophes, catastrophic risks