Supply Chain Risk Management: An Approach to Reduce The Agricultural Product's Logistics Costs

Guritno, Adi Djoko

doi:10.18502/kls.v3i3.397

Cited by 4 publications

(5 citation statements)

References 3 publications

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“…Based on the risk analysis, risk of pest and insect attack during on-farm may lead to the crop failure which may affect the lack of supply. Risk in agriculture has wider complexity and preharvest activity should be prioritized because it results on-farm risk that may affect the risk in the next tier (Guritno, 2015). Therefore, on-farm risk is necessary to be managed and mitigated to reduce the catastrophic effect.…”

Section: Risk Analysis and Risk Mitigation Of Ricementioning

confidence: 99%

Risk Mitigation on Supply Chain of Rice in Central Java Province and Special Region of Yogyakarta

2019

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Rice is a vital commodity in Indonesia because it is the main staple food for most Indonesian people. Balancing supply and demand of rice in Indonesia is complex and has possibly led to polemics, even though the production of rice in Indonesia tends to increase. An analysis of the supply-demand for rice commodity is, therefore, necessary as an effort to improve the national rice condition along with the logistics and supply chain point of view. This study aims to analyze the supply chain risk management of rice to provide recommendations on improving rice supply chain performance on each tier. This study was undertaken at Demak and Sleman Districts, Indonesia. In-depth interviews were used to enrich the information from the respondents along the supply chain. In this study, tiers on the supply chain of rice mainly consists of farmers, collectors who also acts as traders, and retailers. Meanwhile, the role of government is represented by The Indonesia Logistics Bureau (BULOG). The ISO 31000:2009 standard for analyzing the risk in each tier along the supply chain. Based on the risk analysis, on-farm activity plays a vital role in transferring risk along the supply chain in terms of quality and quantity. Risk mitigation of each tier was explored in this study.

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Section: Risk Analysis and Risk Mitigation Of Ricementioning

confidence: 99%

Risk Mitigation on Supply Chain of Rice in Central Java Province and Special Region of Yogyakarta

2019

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“…Each tier along the supply chain may handle different kinds of risks in which the activities to prevent the risks in each tier might be different as well [10]. The practice of SCRM consists of identifying the risk from the risk owner, analysing the probability and severity of the risk, monitoring the risk and continuously evaluating the risk.…”

Section: Theoretical Backgroundmentioning

confidence: 99%

Agriculture Value Chain as an Alternative to Increase Better Income’s Distribution: The Case of Indonesia

Guritno¹

2018

Agricultural Value Chain

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Specific material handling and treatment for specific agriculture products is required. Enhancing the productivity, competitiveness and efficiency of agriculture value chain is a priority for Indonesia to achieve competitiveness. This chapter discusses the overview of agriculture value chain in Indonesia and provides case studies related to supply chain risk management and logistics cost. Then, the author may propose recommendations to optimize the agricultural value chain. Each agriculture commodity probably has different type of tier, type of supply chain risks, issues and activities which leads to the different proportion of logistics and distribution cost in each tier. The results showed differences in strategy either speculation or postponement for inventory management to improve the value of horticulture along supply chain, while in aquaculture research also shows the same differences. Moreover, the value chain analysis helps to identify the value created by each stakeholder. In the value chain of catchment fish, ship owner plays the dominant role in the whole income distribution, while in the aquaculture, spreader get the highest profit margin. Trader gives the highest value added during transportation but earns the lowest profit. The value chain analysis of fresh vegetables shows the highest portion of traders in the whole inventory cost.

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“…On the other hands, responsive strategy is suitable to be applied in the order harvesting pattern by improving the ability to quickly and accurately respond the change of demand. According to Guritno [3] and Pishvae et al [6], lead time can be used as a basis in determining the appropriate strategy in the supply chain of vegetables. Types of vegetables such as cabbage, spinach, beans, tomatoes and celery should apply an efficient strategy because they have short lead time and their demand is predictable.…”

Section: Strategy For Supply Chain Of Fresh Vegetablementioning

confidence: 99%

An Application of RapAgRisk (Rapid Agricultural Supply Chain Risk Assessment) Method on Fresh Vegetables for Identifying and Reducing Damage during Delivery to Consumers

Guritno

Khuriyati

2018

KLS

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Vegetables have distinctive properties that are easily damaged, so handling and delivery time will be the important factors in the whole supply chain. Identification and mitigation of the damage is very important to prevent damage to vegetables and maintain resale value. This study uses the Rapid Agricultural Supply Chain Risk Assessment (RapAgRisk) based on the risk management standard ISO 31000:2009 to conduct a risk analysis. The field research uses sample of the actors in the supply chain from the farm producer to the point of sale. The research was done by taking convenience sampling through in-depth interviews with the actors of the supply chain. The research location in fresh vegetable production centers in Magelang (Central Java Province), and Sleman (Yogyakarta Province). Research result showed risk factor of the weather, natural condition, biological and environmental, related markets, logistics (infrastructure), and operational management in the supply chain of fresh vegetables. At the level of farmers and collectors, each have four risks while at the merchant level, there are five important risks getting attention for follow up.Mitigation each of these factors lead to the reducing damage and it can be applied to maintain the quality of the vegetables and increase the selling price.

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Supply Chain Risk Management: An Approach to Reduce The Agricultural Product's Logistics Costs

Abstract: Abstract

Cited by 4 publications

References 3 publications

Risk Mitigation on Supply Chain of Rice in Central Java Province and Special Region of Yogyakarta

Risk Mitigation on Supply Chain of Rice in Central Java Province and Special Region of Yogyakarta

Agriculture Value Chain as an Alternative to Increase Better Income’s Distribution: The Case of Indonesia

An Application of RapAgRisk (Rapid Agricultural Supply Chain Risk Assessment) Method on Fresh Vegetables for Identifying and Reducing Damage during Delivery to Consumers

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