Global Supply Chain Management
University of Applied Sciences and Arts Dortmund, Germany
Faculty of Business Administration
European Master in Project Management
Operational Risks in Global Supply Chain
Project Thesis
Submitted by Kashif Shabab
Submitted to Professor Dr. Jan-Philipp Büchler
Summer Semester 2011 / 2012
Table of contents
1 Introduction 6
2 Global Supply Chain 7
2.1 Supply chain management: schools of thought............................................................8
2.1.1 The functional chain awareness school……………...………………………….…....9
2.1.2 The linkage/logistics school...…..................................................................................9
2.1.3 The information school…..........................................................................................10
2.1.4 The integration/process school……………..……………………………...…….…11
2.1.5 Critical review………………….…………..…………………………………….…11
2.2 Globalization versus internationalization....................................................................12
2.3 Advantages of global supply chain.............................................................................13
2.4 Disadvantages of global supply chain.........................................................................14
3 Risks in Global Supply Chain ..15
3.1 Sources of risks and uncertainties in global supply chain..........................................16
3.2 Global supply chain risk management........................................................................22
4 Mitigation Strategies ..25
5 Conclusion .27 References .28
List of Figures
Figure 1: The Functional Chain Awareness School 9
Figure 2: The Linkage/Logistics School 10
Figure 3: The Information School 11
Figure 4: The Integration/Process School 11
Figure 5: Global Supply Chain Risk Management and
Faculty of Business Administration
European Master in Project Management
Operational Risks in Global Supply Chain
Project Thesis
Submitted by Kashif Shabab
Submitted to Professor Dr. Jan-Philipp Büchler
Summer Semester 2011 / 2012
Table of contents
1 Introduction 6
2 Global Supply Chain 7
2.1 Supply chain management: schools of thought............................................................8
2.1.1 The functional chain awareness school……………...………………………….…....9
2.1.2 The linkage/logistics school...…..................................................................................9
2.1.3 The information school…..........................................................................................10
2.1.4 The integration/process school……………..……………………………...…….…11
2.1.5 Critical review………………….…………..…………………………………….…11
2.2 Globalization versus internationalization....................................................................12
2.3 Advantages of global supply chain.............................................................................13
2.4 Disadvantages of global supply chain.........................................................................14
3 Risks in Global Supply Chain ..15
3.1 Sources of risks and uncertainties in global supply chain..........................................16
3.2 Global supply chain risk management........................................................................22
4 Mitigation Strategies ..25
5 Conclusion .27 References .28
List of Figures
Figure 1: The Functional Chain Awareness School 9
Figure 2: The Linkage/Logistics School 10
Figure 3: The Information School 11
Figure 4: The Integration/Process School 11
Figure 5: Global Supply Chain Risk Management and
References: • Knight, F. H. 1921, Risk, uncertainty and profit, Chicago, University of Chicago Press. • Kleindorfer, P.R. 2000, Industrial ecology and risk analysis, http://grace.wharton.upenn.edu/risk/downloads/01-25-pk.pdf • Khan, O & Burnes, B. 2007, ‘Risk and supply chain management: creating a research agenda’, International journal of logistics management, vol. 18, no. 2, pp. 197-216. • Lummus, R. 1999, ‘Defining supply chain management: a historical perspective and practical guidelines’, Industrial management and data systems, vol. 99. no. 1.