Identifying risks and mitigating disruptions in the automotive supply chain

摘要

Many companies face problems related to their supply chain that disrupt their smooth functioning. This true in case of ford Motor Company that has 50 plants around the world to utilize 35 billion parts to produce six million cars and trucks. The suppliers are of 10 tiers and their Tier lsuppliers are 1400 working in 4,400 sites. Any disruption in their supply can cause considerable negative impact on the Ford Motor Company's production. This is the situation of most of the companies who have global business and having suppliers from various countries that too when the companies are adopting lean manufacturing principles. Unexpected natural calamities are no doubt a serious problem this low-probability high-risk interaction is to be proactively handled. This paper applies a new model proposed by Simchi-Levi (Ref. 1) the operational-disruption risk and describes in detail how this model was used for the analysis at Ford. (39 refs.)