Risk Management in the Import/Export Process of an Automobile Company: A Contribution for Supply Chain Sustainability

Abstract

Supply chain risk management (SCRM) is imperative to achieve business sustainability in the long-term perspective and also to increase companies’ competitiveness. ISO 31000—Risk Management explains in its latest versions the need for companies to integrate a risk management process into their business models. Complementary to this standard, ISO 31010 presents 31 risk tools to guide companies in this task. However, a question of practical application arises as to which tools should be used for each stage of the SCRM process. In view of the raised question, the main objective of this research is to select ISO 31010 tools that can be used in each of the stages (identify, analyze, and evaluate) of the risk management of the import and export process of an automotive industry located in Brazil. For this, the analytic hierarchy process (AHP method) was used in a case study to prioritize the tools to compose the SCRM. As practical implications, this study resulted in the suggestion of a structured risk management process, considering the assessment of key professionals of the department studied in the company.

Analysis of the MORT method applicability for risk management in supply chains

“…In the interceptive form, it is already considered that the chain has been affected, and its function is to minimize the effects and losses with interventions as much as possible. Regardless of the form being preventive or intercepting, numerous researchers (Jüttner et al 2003;Ritchie and Brindley 2007;Manuj and Mentzer 2008;Tummala and Schoenherr 2011;Kern et al 2012;De Oliveira et al 2017;Dias et al 2021; among others) studied the potential models for SCRM, so that these models could be used to increase resilience and minimize significant interruptions in the supply chain.…”

“…Specifically on techniques for risk management applied in supply chains, also referred to in the literature as "tools" (an example of this is in the ISO 31010 standard), it is observed the application and use of FMEA Wu 2013), Decision Tree (Ruiz-Torres et al 2013), Bayesian Network (Ojha et al 2018), Delphi Method (Kwak et al 2018), Markov Analysis (Hosseini et al 2020), Multi Criteria Decision Analysis (Abdel-Basset and Mohamed 2020), Risk indices (Dias et al 2021), Monte Carlo Simulation (Silva et al 2021), among many other techniques. However, no application of the MORT Method was found in Supply Chain studies.…”

“…It is observed in the literature the existence of numerous tools for Risk Management (ISO 2009;De Oliveira et al 2018;Dias et al 2021). Each of them with its purpose (to identify and/or analyze and/or evaluate risks and/or other actions) and the appropriate sector for the risk management application (chemical industry, manufacturing, steel, food, services, among others).…”

Export Promotion Agencies’ Lived Turmoil, Response and Strategies in COVID-19 Times

“…For this reason, local and national governments are increasingly also concerned with the lack of risk management capability among SMEs-consequently often attempting to provide them risk management training and capability building [42]. In this regard, Dias et al [43] underline the importance of exporters implementing risk management models to enhance operational sustainability when engaging in specific supply chains.…”

Export and exports risks of small and medium enterprises during the COVID-19 pandemic

“…The effectiveness of this standard in implementing risk management procedures and systems in an organization is also demonstrated(Dias et al, 2021;de Oliveira et al, 2017;Olechowski et al, 2016). The key priorities include the knowledge of the foreign business partner (customer), a precise and secure contract, securing payment of the purchase price, specification of the required product quality and methods of its control, or clear delivery terms and insurance.…”