An investigation of the relationships between supply risk awareness, assessment, management, and supply disruption occurrence

The today supply chain trends along with the current financial crisis have increased the awareness among professionals that risk assessment and mitigation play a crucial role in successfully managing supply chains. This increasing emphasis on risk management and the even more predominant trend to focus on core activities that creates greater dependencies on upstream supply, emphasizes the importance of the supply risk management. This study focuses on the supply side of the risk, looking at the relationships between top management awareness, supply risk assessment, supply risk management, and disruption occurrence. In particular, through a structural equation model, this research will demonstrate that increasing the top management awareness of supply risk raises the employment of risk assessment tools. Risk assessment allows a company to better understand risk sources increasing the implementation of risk management techniques in order to improve enterprise resiliency and decrease disr...