Building Strength Through a Strong Supply Chain

Strong Supply Chain

From stress-testing to considering the consequences of an unexpected shutdown to tailoring a textbook approach to meet customers’ needs, corporate leaders are working increasingly hard to avoid risks further down the line. Get three of the most read and discussed articles from MIT SMR's supply chain & logistics archive.

Articles included with this collection:

Managing Risk to Avoid Supply-Chain Breakdown
By Sunil Chopra and ManMohan S. Sodhi

The Bullwhip Effect in Supply Chains
By Hau L. Lee, V. Padmanabhan and Seungjin Whang

A Supply Chain View of the Resilient Enterprise
By Yossi Sheffi and James B. Rice Jr.

16-Operations-500

Managing Risk to Avoid Supply-Chain Breakdown

By understanding the variety and interconnectedness of supply-chain risks, managers can tailor balanced, effective risk-reduction strategies. The authors show how smart companies use “stress testing” to identify parts of the supply chain that might break in the event of a natural disaster, terrorist strike or other upheaval. They then explain a variety of ways that supply-chain partners can collaboratively prepare for and effectively manage risk.

07-Operations-500

The Bullwhip Effect in Supply Chains

Distorted information from one end of a supply chain to the other can lead to tremendous inefficiencies: excessive inventory investment, poor customer service, lost revenues, misguided capacity plans, ineffective transportation, and missed production schedules. What happens when a supply chain is plagued with a bullwhip effect that distorts its demand information as it is transmitted up the chain? How do exaggerated order swings occur? What can companies do to mitigate them?

19-Global-Business-500

A Supply Chain View of the Resilient Enterprise

An organization’s ability to recover from disruption quickly can be improved by building redundancy and flexibility into its supply chain. While investing in redundancy represents a pure cost increase, investing in flexibility yields many additional benefits for day-to-day operations.