ABSTRACT
The risk of disruptions from factors within supply chains and from outside forces is one of the main concerns for both supply chain practitioners and researchers. Many companies have experienced a change in their supply chain risk profile as a result of changes in their business models. Adopting “lean” practices, moving to outsourcing, and a general tendency to reduce the size of the supplier base1
can all contribute to increased risk. Broader trends can also increase exposure to risks. These can include globalization, reduced inven-
tory buffers, increased demand for on-time deliveries, or shorter product life cycles. Companies that source globally must also deal with longer distances, increased rules and regulations, currency fluctuations, customs requirements, and language, cultural and time differences along with other operational and strategic issues that amplify supply chain risks.2
