Dedication	5
	Contents	9
	About the Editors	12
	1 Research in Supply Chain Risk: Historical Roots and Future Perspectives	14
	1 A Rich and Developing History	14
	2 Shifting Toward Digitalization and Data Analytics	15
	3 Structure of the Book	16
	3.1 Assessing Supply Chain Risk—The First Step in Managing Supply Chain Risk	17
	3.2 Creating Resiliency by Managing Supply Chain Risk	18
	3.3 Incorporating Relational and Behavioral Perspectives	19
	3.4 Managing Risk in Sustainable and Innovative Supply Chains	20
	3.5 Emerging Typologies and Taxonomies	22
	3.6 Grounding Our Understanding of Supply Chain Risk: Cases and Observations	22
	4 Conclusions	23
	References	24
	Assessing Supply Chain Risk—The First Step in Managing Supply Chain Risk	26
	2 Assessing the Vulnerability of Supply Chains: Advances from Engineering Systems	27
	1 Introduction	27
	1.1 Background	27
	1.2 Objectives	28
	2 Concepts and Definitions	28
	3 Framework for Vulnerability Assessment	29
	4 An Updated Toolbox	31
	4.1 Epoch-Era Analysis	32
	4.2 Failure Mode Methods	33
	4.3 System Design Methods	36
	5 Using the Toolbox in Supply Chain Vulnerability Assessment	40
	5.1 Step 1: Definition of Scope of Work	40
	5.2 Step 2: Description of SC/SCM Context	41
	5.3 Step 3: Taxonomy Development	41
	5.4 Step 4: Scenario Development	42
	5.5 Step 5: Criticality Ranking	43
	5.6 Step 6: Scenarios of Importance	44
	5.7 Step 7: Reducing Likelihood and Consequence	44
	6 Summary	45
	References	46
	3 Using Scenario Planning to Supplement Supply Chain Risk Assessments	48
	1 Introducing a Well-Known Problem	48
	1.1 Attempting to Make the Uncertain, Well … Certain	49
	1.2 A Gap in Research	50
	2 Scenario Planning: Accepting Uncertainty	50
	2.1 Plausible Futures, not Forecasts	50
	2.2 A Divergence from Other Scenario Planning Methods	51
	3 The Roots of Scenario Planning	51
	4 Using Scenario Planning for Supply Chain Risk Management	52
	4.1 Involving the Right People	53
	4.2 The Focusing Question	54
	4.3 Brainstorming Influences on the Focusing Question	55
	4.4 Grouping Individual Forces into Driving Forces	56
	4.5 Ranking and Rating Forces	57
	4.6 The Scenario Matrix	58
	4.7 Writing Scenarios	58
	4.8 An Alternative to the Scenario Matrix Approach	60
	4.9 Identifying Signals for Action	60
	5 Scenario Planning Challenges	61
	6 Summary	61
	References	61
	4 Decision Support Systems and Artificial Intelligence in Supply Chain Risk Management	63
	1 Introduction	63
	2 Multiple-Criteria Decision Analysis for SCRM	65
	2.1 MCDA Methods	65
	2.2 Related Techniques	66
	3 Mathematical Programming for SCRM	68
	3.1 Modelling Uncertainty	68
	3.2 Model Solving	69
	4 AI Techniques for SCRM	71
	4.1 Petri Nets	71
	4.2 Multi-agent Systems	72
	4.3 Automated Rule-Based Reasoning	73
	4.4 Machine Learning	74
	5 Conclusions	76
	References	77
	5 Resilience Assessment in Complex Supply Networks	82
	1 Introduction	82
	2 Supply Chain Resilience	83
	3 Elements of Supply Chain Resilience	86
	4 A Framework for Resilience Assessment in Supply Networks	88
	4.1 Supply Chain Design	88
	4.2 Supplier-Related Factors	93
	4.3 Relational Competencies	96
	4.4 Physical Capital Resources	99
	4.5 Human Capital Resources	101
	4.6 Overall Resilience Score	102
	5 Conclusion and Future Research	103
	References	104
	Creating Resiliency by Managing Supply Chain Risk	108
	6 What Value for Whom in Risk Management?—A Multi-value Perspective on Risk Management in an Engineering Project Supply Chain	109
	1 Introduction: Value for Whom?	109
	2 Why Do We Need a Multi-value Perspective? Insights from Literature	110
	2.1 Supply-Chain Risk Management Perspectives and Perceptions	111
	2.2 Value for Stakeholders in Risk Management	112
	3 Empirical Study: The Multiple Value Perspectives of Risk Management for Stakeholders	113
	3.1 Research Method	113
	3.2 The Multiple Value Perspectives of Risk Management for Stakeholders	114
	3.3 The Outcome-Related Value Perspective of Risk Management	115
	3.4 The Process Quality-Related Value Perspectives of Risk Management	117
	3.5 Discussion: Learnings from Empirical Studies	122
	3.6 Process Regarding Multi-value Perspectives	122
	4 Conclusions	126
	References	127
	7 Risk Management of Critical Logistical Infrastructures: Securing the Basis for Effective and Efficient Supply Chains	129
	1 Introduction	129
	2 Risks for Critical Logistical Infrastructures	130
	2.1 Categorization and Interdependencies	133
	2.2 Existing Methodology	133
	3 Evaluation of Risks for Critical Logistical Infrastructures	136
	3.1 Basic Assumptions	136
	3.2 Evaluation Approach	137
	3.3 Implementation	137
	3.4 Strengths, Weaknesses, and Extensions	138
	4 Summary and Outlook	140
	References	141
	8 Procedure Model for Supply Chain Digitalization Scenarios for a Data-Driven Supply Chain Risk Management	144
	1 Introduction	144
	2 Research Overview	145
	3 Model Development	147
	3.1 Focus Definition and Selection of Evaluation KPIs	148
	3.2 Evaluation of the Risk Situation	149
	3.3 Definition of Requirements for Future Supply Chain Risk Management	151
	3.4 Scenario Development	152
	3.5 Scenario Assessment	153
	3.6 Concept Creation	157
	4 Conclusion	157
	References	158
	9 Preparing for the Worst	162
	1 Preparing for the Worst	162
	2 Real Options: The Value of Preparation	163
	2.1 Options’ Valuation	163
	2.2 Four Common Categories of Real Options for Preparation	164
	3 Redundancy	164
	3.1 A First Line of Redundancy: Extra Inventory	164
	3.2 Practical Upper Limits on Inventory	165
	3.3 Other Kinds of Redundancy	166
	4 Flexibility	166
	4.1 Flexible Manufacturing: The Option to Make Anything	167
	4.2 Flexible Distribution Networks: Emergency Realignment	168
	4.3 Mobile Flexible Assets	168
	5 Places: Emergency Operations Centers	169
	5.1 Facility Monitoring: Who’s Minding the Stores	169
	5.2 The Local and the Global	170
	6 Ready for the Worst: Business Continuity Plans	170
	6.1 When the Going Gets Tough, the Tough Use Playbooks	171
	6.2 Playbooks to the People	172
	6.3 Drill, Baby, Drill	172
	6.4 The Bigger Picture: From BCP to BCM to ERM	173
	7 SCRM as a Real Option	173
	7.1 Response Investments	174
	References	174
	10 The Future of Resilient Supply Chains	176
	1 Introduction	176
	2 Theoretical Background	177
	3 Research Methodology	180
	3.1 Data Collection and Analysis	180
	4 Results and Discussion	182
	4.1 Insights from the Academic Panel	182
	4.2 Insights from the Practitioner Panel	187
	5 Conclusion and Future Directions	190
	References	192
	Incorporating Relational and Behavioral Perspectives	194
	11 Can Buyer Consortiums Improve Supplier Compliance?	195
	1 Introduction	195
	2 The Model	199
	2.1 Independent Audits (I)	201
	2.2 Joint Audits (J)	204
	3 Independent Versus Joint Audits Equilibrium Comparison	207
	4 Conclusions	210
	5 Appendix—Proofs	211
	References	213
	12 Leadership in Risky Supply Chains	215
	1 Dropping Old Tools	217
	2 Reframing Through Divergence	219
	3 Reframing Value Patterns	221
	4 The Hazards of Adaptive Leadership in Dynamic Supply Chains	223
	5 Conclusion	225
	References	225
	13 Malicious Supply Chain Risk: A Literature Review and Future Directions	227
	1 Introduction	227
	2 Literature Review	228
	2.1 Examples of Malicious Risks	229
	3 Managing Malicious Risks	231
	4 Drivers of Malicious Risks	233
	4.1 Micro-Drivers: Behaviorally Driven Risk	233
	4.2 Meso-Drivers: Structurally Driven Risk	234
	4.3 Macro-Drivers: Network Exposure	234
	5 Conclusion	234
	References	235
	14 A Behavioural View of Supply Chain Risk Management	238
	1 Behavioural Supply Chain Management	238
	2 Supply Chain Risk Management: Limitations and Opportunities for Research	239
	2.1 Assumption 1: Objective Assessment of Risk	240
	2.2 Assumption 2: Rational Decision Rules	244
	3 Conclusion	247
	References	247
	Managing Risk in Sustainable and Innovative Supply Chains	253
	15 Resilience and Sustainability in Supply Chains	254
	1 Introduction	254
	2 Discussion	256
	2.1 Supply Chain Resilience	256
	2.2 Supply Chain Sustainability	258
	2.3 Resilience and Sustainability	259
	2.4 Relevance to Practice	263
	3 Conclusion	264
	References	265
	16 Sustainability Risk Management in Supply Chain	267
	1 Introduction	267
	2 Sustainable Supply Chain	268
	3 Sustainability Risks in the Supply Chain	269
	4 Risk Management in a Sustainable Supply Chain	271
	5 Case Examples of Sustainable Supply Chain Risk Management	274
	5.1 Requirements for Responsibility in Purchasing	274
	5.2 The Process of Responsibility Assurance in the Supply Chain	275
	5.3 The Role of Risk Management in Assuring Responsibility in the Supply Chain	276
	6 Discussion and Conclusions	278
	References	279
	17 The Relationship Between Firm Resilience to Supply Chain Disruptions and Firm Innovation	281
	1 Introduction	281
	2 Literature Review: Firm Innovation and Firm Resilience	282
	3 Research Process	283
	4 The Linkage Between Innovation and Resilience: A Dynamic Capability View	284
	5 Supply Chain Resilience	285
	5.1 Antecedents of Supply Chain Resilience	285
	6 Firm Innovation	287
	6.1 Antecedents of Firm Innovation	290
	7 Organizational Capabilities to Improve Both Firm Innovation and Firm Resilience	291
	8 Future Research	293
	9 Conclusion	294
	References	294
	18 Supply Chain Virtualization: Facilitating Agent Trust Utilizing Blockchain Technology	301
	1 Introduction	301
	2 Risk and Virtual Supply Chains	302
	3 Issues in the Management of Virtual Supply Chain Risk	303
	3.1 Transparency	304
	3.2 Traceability	304
	3.3 Authenticity	305
	4 Reducing Risk by Building Trusting Relationships	305
	4.1 Three Drivers for Trusting Relationships	306
	5 Opportunities for Creating Trusting Relationships Using Blockchain Technology	307
	5.1 What Is Blockchain?	308
	5.2 How Can Blockchain Enable Trust in Virtual Supply Chains?	308
	6 Conclusion	311
	References	312
	Emerging Typologies and Taxonomies	314
	19 Differentiating Between Supply and Supplier Risk for Better Supply Chain Risk Management	315
	1 Introduction	315
	2 Supply Risk	316
	3 Supplier Risk	316
	4 Supply Risk Management	318
	5 Supplier Risk Management	319
	6 Cases	321
	7 Discussion and Conclusion	325
	References	326
	20 Categorizing Supply Chain Risks: Review, Integrated Typology and Future Research	329
	1 Introduction	329
	2 Defining Risk and Supply Chain Risk	330
	2.1 An Overview of Supply Chain Risk Management (SCRM) Literature	331
	2.2 Supply Chain Risk Identification	332
	3 Research Methodology	334
	4 Results	334
	4.1 What Are the Most Influential Studies on the Topic of Supply Chain Risk Classification (RQ1)	334
	4.2 How Has the Supply Chain Risk Classification Topic Developed Over Time? (RQ2)	342
	4.3 What Are the Interactions Among Researchers that Contributed to the Topic of Supply Chain Risk Classification? (RQ3)	346
	4.4 How Can Consensus Be Achieved Across the Supply Chain Risk Classification Studies Published Since 2000? (RQ4)	349
	5 Conclusions	356
	6 Limitations of the Study	360
	7 Recommendations for Future Research	360
	References	361
	21 The Impact of Supply Chain Disruptions on Organizational Performance: A Literature Review	367
	1 Introduction	367
	2 Conceptualization of Supply Chain Risk Management	368
	3 Research Methodology	370
	4 The Effect of Supply Chain Disruptions on Supply Chain Performance	370
	4.1 The Effect of Demand Disruption Risk on Supply Chain Performance	371
	4.2 The Effect of Supply Disruption Risk on Supply Chain Performance	372
	4.3 The Effect of Environmental Disruption Risk on Supply Chain Performance	372
	4.4 The Effect of Control Disruption Risk on Supply Chain Performance	373
	4.5 General Studies in Supply Chain Risk Management	373
	4.6 Comparing the Effect of Different Sources of Risks on Supply Chain Performance	374
	5 Supply Chain Disruption Risk Management: Major Themes	378
	5.1 Conceptualizations of Supply Chain Risk Management	378
	5.2 Impact of Supply Chain Disruptions on Organizational Performance	379
	6 Supply Chain Resiliency Enhancers	380
	7 Supply Chain Resiliency Enhancers: Major Findings	383
	7.1 Flexibility	383
	7.2 Agility	383
	7.3 Collaboration	384
	7.4 Redundancy	384
	8 Conclusion	385
	References	386
	Grounding Our Understanding of Supply Chain Risk: Cases and Observations	390
	22 The Management of Disruption Supply Risks at Vestas Wind Systems	391
	1 Introduction	391
	2 Vestas and the Wind Turbine Industry	392
	3 The Management of Disruption Supply Risk	392
	3.1 Disruption Risk Management Strategies	393
	3.2 The Variety of Disruption Risks and the Strategies for Managing Them	394
	4 Disruption Risk Management at Vestas	395
	4.1 Gearboxes	396
	4.2 Towers	397
	5 Electronics	399
	5.1 Electronics Case—Earthquake Damages to a Key Supplier’s Production Facility	400
	5.2 How These Experiences Led to Changes in Electronics Disruption Management	401
	6 A Framework for Disruption Risk Management	402
	7 Conclusion	403
	References	404
	23 Foreign Exchange Risk Mitigation Strategies in Global Sourcing: The Case of Vortice SPA	405
	1 Introduction	405
	2 Foreign Exchange Risk Mitigation Strategies	406
	3 Mitigating Foreign Exchange Risk at Vortice Elettrosociali SpA	407
	3.1 Background	407
	3.2 FX Risk at Vortice	407
	3.3 FX Risk Exposure Analysis	408
	3.4 FX Risk Mitigation Strategies	409
	3.5 The Role of Functional Involvement	414
	4 Conclusions	415
	References	416
	24 The Paradox of Risk Management: A Supply Management Practice Perspective	418
	1 Introduction	418
	2 Supply Management Process	419
	3 Supply Risk Management	419
	3.1 Risk Identification	420
	3.2 Risk Assessment	420
	3.3 Risk Mitigation or Treatment	421
	4 Case Study Methodology and the Single-Case Design	421
	4.1 Empirical Setting	422
	4.2 Data Sources	422
	4.3 Data Analysis	423
	5 Supply Management Process in the Case Organization	424
	5.1 New Supplier Selection	424
	5.2 Strategic Sourcing	425
	5.3 Receiving and Inspecting the Delivered Goods	425
	5.4 Managing the Portfolio of Existing Suppliers	425
	6 Supply Risk Management in the Case Organization	426
	6.1 Financial Risk	426
	6.2 Sourcing Risk	428
	6.3 Performance Risk	428
	6.4 Sustainability Risk	429
	7 Discussion	429
	7.1 How Are Risks Managed (i.e., Identified, Assessed and Mitigated) Inside a Large Global Organization?	429
	7.2 Why May Risk Management in Practice Differ from the Theory and Widely Accepted Standards?	431
	8 Conclusions and Future Research Directions	432
	References	432
	25 Risk in Complex Supply Chains, Networks and Systems	435
	1 Introduction	435
	2 Examples of Complex Supply Networks and Systems	436
	2.1 Example A: Humanitarian Aid Supply	437
	2.2 Example 2: Government Procurement	440
	2.3 Example 3: Healthcare Supply Networks	442
	3 A Synthesis of Risks and Their Mitigation in Complex Supply Networks and Systems	445
	3.1 Supply Network Orchestration Risk	445
	3.2 Supply Network Learning Risk	445
	3.3 Supply Network Innovation Risk	446
	3.4 An Initial Conceptual Framework for Risk in Complex Supply Networks and Systems	446
	4 Reflecting on Theories	447
	5 Summary	448
	References	448
	26 Surfing the Tides of Political Tumult: Supply Chain Risk Management in an Age of Governmental Turbulence	452
	1 Introduction	452
	2 Supply Chain Risk from Government Actions that Damage the Trade Environment	453
	3 Omission or Inadequacy of Government Action as a Source of Supply Chain Risk	455
	4 Supply Chain Risk from Outside the Central Government	456
	5 Managing the Risk	457
	References	459
	Index	460