Modelling the impact of liner shipping network perturbations on container cargo routing: Southeast Asia to Europe application

Understanding how container routing stands to be impacted by different scenarios of liner shipping network perturbations such as natural disasters or new major infrastructure developments is of key importance for decision-making in the liner shipping industry. The variety of actors and processes within modern supply chains and the complexity of their relationships have previously led to the development of simulation-based models, whose application has been largely compromised by their dependency on extensive and often confidential sets of data. This study proposes the application of optimisation techniques less dependent on complex data sets in order to develop a quantitative framework to assess the impacts of disruptive events on liner shipping networks. We provide a categorization of liner network perturbations, differentiating between systemic and external and formulate a container assignment model that minimises routing costs extending previous implementations to allow feasible solutions when routing capacity is reduced below transport demand. We develop a base case network for the Southeast Asia to Europe liner shipping trade and review of accidents related to port disruptions for two scenarios of seismic and political conflict hazards. Numerical results identify alternative routing paths and costs in the aftermath of port disruptions scenarios and suggest higher vulnerability of intra-regional connectivity

An integrated approach to supply chain risk analysis

Despite the increasing attention that supply chain risk management is receiving by both researchers and practitioners, companies still lack a risk culture. Moreover, risk management approaches are either too general or require pieces of information not regularly recorded by organisations. This work develops a risk identification and analysis methodology that integrates widely adopted supply chain and risk management tools. In particular, process analysis is performed by means of the standard framework provided by the Supply Chain Operations Reference Model, the risk identification and analysis tasks are accomplished by applying the Risk Breakdown Structure and the Risk Breakdown Matrix, and the effects of risk occurrence on activities are assessed by indicators that are already measured by companies in order to monitor their performances. In such a way, the framework contributes to increase companies' awareness and communication about risk, which are essential components of the management of modern supply chains. A base case has been developed by applying the proposed approach to a hypothetical manufacturing supply chain. An in-depth validation will be carried out to improve the methodology and further demonstrate its benefits and limitations. Future research will extend the framework to include the understanding of the multiple effects of risky events on different processe

Supplier selection under disaster uncertainty with joint procurement

Master of ScienceDepartment of Industrial & Manufacturing Systems EngineeringJessica L. Heier StammHealth care organizations must have enough supplies and equipment on hand to adequately respond to events such as terrorist attacks, infectious disease outbreaks, and natural disasters. This is achieved through a robust supply chain system. Nationwide, states are assessing their current supply chains to identify gaps that may present issues during disaster preparedness and response. During an assessment of the Kansas health care supply chain, a number of vulnerabilities were identified, one of which being supplier consolidation. Through mergers and acquisitions, the number of suppliers within the health care field has been decreasing over the years. This can pose problems during disaster response when there is a surge in demand and multiple organizations are relying on the same suppliers to provide equipment and supplies. This thesis explores the potential for joint procurement agreements to encourage supplier diversity by splitting purchasing among multiple suppliers. In joint procurement, two or more customers combine their purchases into one large order so that they can receive quantity discounts from a supplier. This research makes three important contributions to supplier selection under disaster uncertainty. The first of these is the development of a scenario-based supplier selection model under uncertainty with joint procurement. This optimization model can be used to observe customer purchasing decisions in various scenarios while considering the probability of disaster occurrence. Second, the model is applied to a set of experiments to analyze the results when supplier diversity is increased and when joint procurement is introduced. This leads to the third and final contribution: a set of recommendations for health care organization decision makers regarding ways to increase supplier diversity and decrease the risk of disruption associated with disaster occurrence

National Culture\u27s Impact on Effectiveness of Supply Chain Disruption Management

The purpose of this research is to understand the national cultural antecedents that may help explain differences in supply chain disruptions mitigation abilities of companies from different countries. An analysis of survey data on disruption planning and response collected from various organizations worldwide was performed using weighted least square regression and factor analysis. We find that culture influences disruption planning and response. Statistical findings suggest that differences in disruption planning and response abilities between companies from different countries could be partly attributed to national culture. All five Hofstede’s dimensions of national culture, i.e., Power Distance, Individualism, Masculinity, Uncertainty Avoidance, and Long-term Orientation were shown to have a significant positive effect on disruption planning and response. National cultural dimensions and economic status of a country could be effectively used to predict disruption planning and response abilities of companies in various countries. Managers could benefit from our research as it could help them assess disruptions mitigation abilities of their partners located in other countries. Increasing international trade and globalization of supply chains accentuate the importance of our research

Product renovation and shared ownership: sustainable routes to satisfying the world's growing demand for goods

It has been estimated that by 2030 the number of people who are wealthy enough to be considered as middle class consumers will have tripled. This will have a dramatic impact on the demands for primary materials and energy. Much work has been carried out on sustainable ways of meeting the World’s energy demands and some work has been carried out on the sustainable production and consumption of goods. It has been estimated that with improvements in design and manufacturing it is possible to reduce the primary material requirements by 30% to produce the current demand for goods. Whilst this is a crucial step on the production side, there will still be a doubling of primary material requirements by the end of the century because of an absolute rise in demand for goods and services. It is therefore clear that the consumption of products must also be explored. This is a key areas of research for the UK INDEMAND centre, which is investigating ways of reducing the UK’s industrial energy demand and demand for energy intensive materials. Our ongoing work shows that two strategies would result in considerable reductions in the demand for primary materials: product longevity and using goods more intensively (which may requires increased durability). Product longevity and durability are not new ideas, but ones that can be applied across a raft of goods as methods of reducing the consumption of materials. With long life products there is a potential risk of outdated design and obsolescence, consequently there is a need to ensure upgradability and adaptability are incorporated at the design stage. If products last longer, then the production of new products can be diverted to emerging markets rather than the market for replacement goods. There are many goods which are only used occasionally; these goods do not normally wear out. The total demand for such could be drastically reduced if they were shared with other people. Sharing of goods has traditionally been conducted between friends or by hiring equipment. The use of modern communication systems and social media could enable the development of sharing co-ops and swap spaces that will increase the utilisation of goods and hence reduce the demand for new goods. This could also increase access to a range of goods for those on low incomes. From a series of workshops it has been found that the principal challenges are sociological rather than technological. This paper contains a discussion of these challenges and explores possible futures where these two strategies have been adopted. In addition, the barriers and opportunities that these strategies offer for consumers and businesses are identified, and areas where government policy could be instigated to bring about change are highlighted

Study on the Implications of Asynchronous GMO Approvals for EU Imports of Animal Feed Products

The aim of this study is to understand the implications of asynchronous approvals for genetically modified organisms (GMOs) that are imported to the European Union for use within animal feed products, specifically with regard to the EU livestock sector, as well as upon the upstream and downstream economic industries related to it. Asynchronous approval refers to the situation in which there is a delay in the moment when a genetically modified (GM) event – modifying a specific trait of a plant or animal – is allowed to be used in one country in comparison to another country. In the perspective of this study, the asynchronous GMO approvals concern the use of GM varieties of plants that are approved in the countries which supply them to the EU, in one form or another of feed material, before these are approved by the EU

Product longevity and shared ownership: Sustainable routes to satisfying the world’s growing demand for goods 

It has been estimated that by 2030 the number of people who are wealthy enough to be significant consumers will have tripled. This will have a dramatic impact on the demands for primary materials and energy. It has been estimated that with improvements in design and manufacturing it is possible to maintain the current level of production using 70% of the current primary material consumed. Even with these improvements on the production side, there will still be a doubling of primary material requirements by the end of the century, with accompanying rises in industrial energy demand, if the rise in demand for goods and services is to be met. It is therefore clear that the consumption of products must also be explored. Product longevity and using goods more intensively are two strategies which could reduce the demand for new goods. If products last longer, then manufacturing output can concentrate on emerging markets rather than the market for replacement goods. There are many goods which are infrequently used, these seldom wear out. The total demand for such could be drastically reduced if they we re shared with other people. Sharing of goods has traditionally been conducted between friends or by hiring equipment, but modern communication systems and social media could increase the opportunities to share goods. Sharing goods also increases access to a range of goods for those on low incomes. From a series of workshops it has been found that the principal challenges are sociological rather than technological. This paper contains a discussion of these challenges and explores possible futures where these two strategies have been adopted. In addition, the barriers and opportunities that these strategies offer for 548 AIMS Energy Volume 3, Issue 4, 547-561. consumers and businesses are identified, and areas where government policy could be instigated to bring about change are highlighted

Design of a Global Supply Chain for the Unexpected

Supply chains (SCs) play a crucial role in business operations and economies around the globe. They are in constant change and face challenges such as recurrent risks and disruption risks. The disruptive risks tend to cascade and propagate upstream and downstream of the disruption point. Due to the difficulty of calculating probabilities of disruptions, many decision makers prefer to underestimate disruptive risks. Losses of billions of dollars are accounted for each year due to the disruptive risks. These losses highlight the importance and need of having decision support systems and tools that can aid to design, model and analyze SCs that can cope with disruptions and their effects through all the stages. This research aims at developing new methods for designing and analyzing SCs that are prepared for unexpected events. It provides new insights into the methods to estimate the impact of possible disruptions during designing and planning stages. It further proposes complexity, robustness and resilience measures which facilitate the comparison between different SC designs in different scenarios. The significance of this research is to provide more stable production environments and develop the capability to prepare for unexpected events. Particular focus is given to natural disasters due to the magnitude and variety of impacts they could cause. Hence, a mathematical programming model that designs SCs and product architectures is proposed. The objective function is to minimize the disaster risk score of natural disasters (which depends on the geographical location of each SC entity and its associated “World Risk Index”). Also, a goal programming model is derived from the initial model. The goal programming model allows the inclusion of the decision-makers’ risk attitudes and costs to balance the decisions. The results obtained from the model showed that the SC and product architecture designs affect each other. Additionally, it was demonstrated that different risk-attitudes could lead to different SC designs. To achieve harmonious designs between SCs and products while remaining robust and controlling complexity, a novel methodology to assess structural SC complexity and robustness is presented using network analysis. This methodology includes the evaluation of different product architectures. Consequently, managers can choose the SC/product architecture that has a balanced level of complexity and robustness. It is worth noting that complexity and higher costs are needed to protect against disruptions. Moreover, the results demonstrated that the modular architecture is preferable as it has a balanced level of complexity and robustness. To analyze the dynamic behaviour of the SCs, a system dynamics framework is introduced to evaluate the impacts of disruptions in assembly SCs. Consequently, a pragmatic tool that provides organizational support is proposed. This framework enables the examination of full and partial disruptions and the incorporation of expediting orders after a disturbance. The SC performance indicators are the output of the proposed model. These indicators make the comparison between different scenarios easy. The usage of the framework and the findings can serve to define disruption policies, and assist in the decisions relating to the SC design. After running several scenarios, it was determined that the disruptions happening in the downstream levels have more impacts on the SC performance than the disruptions in the upstream levels. Hence, the disruption policies for the downstream levels should have higher priority. Moreover, it was demonstrated that expediting after disruptions could affect more the already damaged SC performance. Finally, to evaluate the SC performance and costs when facing disruptions, an index to assess SC resilience cost is provided. The metric considers the fulfilment rate in each period of each SC entity and its associated cost. This index allows comparison between different scenarios in the SC