Differentiating between supply and supplier risk for better supply chain risk management

Sudipa Sarker*

*Corresponding author for this work

Research output: Chapter in Book/Report/Conference proceedingChapter

Abstract

What is the most challenging crisis in the history of Toyota? According to Liker, the installation of a wrong floor mat in a Lexus sedan by a supplier was the most challenging crisis in Toyota’s history. Its consequence was that the company was vilified by the press and lost its long-held reputation for safety and quality . Clearly, such risks from suppliers can be referred to as supplier risks, and companies all over the world who are practicing either outsourcing and/or global sourcing encounter such risks time and again. However, what about the eruption of Grimsvotn—the active volcano in Iceland? This eruption led to the cancellation of over 100,000 flights, and many organizations ended up losing billions of dollars. Can this particular risk be called a supplier risk ? Most probably not.
Original languageEnglish
Title of host publicationRevisiting Supply Chain Risk
EditorsGeorge A. Zsidisin, Michael Henke
Place of PublicationCham, Switzerland
PublisherSpringer
Pages315-328
Number of pages14
ISBN (Electronic)9783030038137
ISBN (Print)9783030038120
DOIs
Publication statusPublished - 3 Jan 2019

Publication series

NameSpringer Series in Supply Chain Management
Volume7
ISSN (Print)2365-6395
ISSN (Electronic)2365-6409

Keywords

  • supply chain
  • risk management

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