In today's uncertain business environments, companies use various strategies to mitigate risks in their supply chains. To identify the appropriate strategies, businesses need to take interrelationships among the risk mitigation strategies into account. The aim of this study is two-fold. Firstly, it attempts to identify the most commonly used risk mitigation strategies in the Turkish defense industry. Secondly, it purports to explore the causal relationships among the strategies. Data collected from a company operating in the defense industry were analyzed using the fuzzy DEMATEL method. DEMATEL was used in the study since it is the most suitable method for analyzing mutual relationships among supply chain risks. Also, the fuzzy theory was used to transform expert judgments into numerical values. The results showed that the most important risk mitigation strategies are agility, collaboration, risk sharing, supplier selection, and development, respectively. The most influential strategies are found to be standardization/part commonality, accurate demand forecasting, and information sharing. On the other hand, inventory holding, agility, risk-sharing, and flexible transportation are affected the most by the other strategies. The defense industry’s sensitive production techniques, strict quality standards, and complex product structures consisting of many subcomponents increase the vulnerability of its supply chains against risks. A literature review for this study showed that there is no study on risk mitigation strategies in the defense supply chain. Therefore, it is considered that this study will make an important contribution to the literature. Also, the findings will guide practitioners to make more sound decisions.
Primary Language | Turkish |
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Subjects | Engineering |
Journal Section | Articles |
Authors | |
Publication Date | July 31, 2020 |
Published in Issue | Year 2020 |