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Ericsson’s Proactive Supply Chain Risk Management-approach After a Serious Supplier Accident

Norrman, Andreas LU and Jansson, Ulf (2004) In International Journal of Physical Distribution & Logistics Management 34(5). p.434-456
Abstract
Supply chain risk management (SCRM) is of growing importance, as the vulnerability of supply chains increases. The main thrust of this article is to describe how Ericsson, after a fire at a sub-supplier, with a huge impact on Ericsson, has implemented a new organization, and new processes and tools for SCRM. The approach described tries to analyze, assess and manage risk sources along the supply chain, partly by working close with suppliers but also by placing formal requirements on them. This explorative study also indicates that insurance companies might be a driving force for improved SCRM, as they now start to understand the vulnerability of modern supply chains. The article concludes with a discussion of risk related to traditional... (More)
Supply chain risk management (SCRM) is of growing importance, as the vulnerability of supply chains increases. The main thrust of this article is to describe how Ericsson, after a fire at a sub-supplier, with a huge impact on Ericsson, has implemented a new organization, and new processes and tools for SCRM. The approach described tries to analyze, assess and manage risk sources along the supply chain, partly by working close with suppliers but also by placing formal requirements on them. This explorative study also indicates that insurance companies might be a driving force for improved SCRM, as they now start to understand the vulnerability of modern supply chains. The article concludes with a discussion of risk related to traditional logistics concepts (time, cost, quality, agility and leanness) by arguing that supply chain risks should also be put into the trade-off analysis when evaluating new logistics solutions – not with the purpose to minimize risks, however, but to find the efficient level of risk and prevention. (Less)
Please use this url to cite or link to this publication:
author
and
organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
Insurance, Supply chain management, Risk management, Business continuity
in
International Journal of Physical Distribution & Logistics Management
volume
34
issue
5
pages
434 - 456
publisher
Emerald Group Publishing Limited
external identifiers
  • scopus:9344220146
ISSN
0960-0035
DOI
10.1108/09600030410545463
language
English
LU publication?
yes
id
d64de5c0-b8e0-461c-a28c-d78f7b0705da (old id 589411)
alternative location
http://www.emeraldinsight.com/journals.htm?issn=0960-0035&volume=34&issue=5&articleid=846926
date added to LUP
2016-04-01 16:21:17
date last changed
2023-02-22 23:23:45
@article{d64de5c0-b8e0-461c-a28c-d78f7b0705da,
  abstract     = {{Supply chain risk management (SCRM) is of growing importance, as the vulnerability of supply chains increases. The main thrust of this article is to describe how Ericsson, after a fire at a sub-supplier, with a huge impact on Ericsson, has implemented a new organization, and new processes and tools for SCRM. The approach described tries to analyze, assess and manage risk sources along the supply chain, partly by working close with suppliers but also by placing formal requirements on them. This explorative study also indicates that insurance companies might be a driving force for improved SCRM, as they now start to understand the vulnerability of modern supply chains. The article concludes with a discussion of risk related to traditional logistics concepts (time, cost, quality, agility and leanness) by arguing that supply chain risks should also be put into the trade-off analysis when evaluating new logistics solutions – not with the purpose to minimize risks, however, but to find the efficient level of risk and prevention.}},
  author       = {{Norrman, Andreas and Jansson, Ulf}},
  issn         = {{0960-0035}},
  keywords     = {{Insurance; Supply chain management; Risk management; Business continuity}},
  language     = {{eng}},
  number       = {{5}},
  pages        = {{434--456}},
  publisher    = {{Emerald Group Publishing Limited}},
  series       = {{International Journal of Physical Distribution & Logistics Management}},
  title        = {{Ericsson’s Proactive Supply Chain Risk Management-approach After a Serious Supplier Accident}},
  url          = {{http://dx.doi.org/10.1108/09600030410545463}},
  doi          = {{10.1108/09600030410545463}},
  volume       = {{34}},
  year         = {{2004}},
}