Campus Units
Industrial and Manufacturing Systems Engineering
Document Type
Article
Publication Version
Submitted Manuscript
Publication Date
11-2019
Journal or Book Title
Computers & Industrial Engineering
Volume
137
First Page
106061
Research Focus Area(s)
Operations Research
DOI
10.1016/j.cie.2019.106061
Abstract
Supply chain risk analysis is an important field in operations management and logistics. Identifying those risks, assessing the probability of those risks, and understanding how those risks change if mitigation strategies are implemented contribute to better supply chain risk management. Reliability analysis has a long tradition of assessing the probability of failure, and fault trees are typically used to understand how the failure of individual components can lead to system failure within an engineered system. More recently, fault trees have been proposed to assess the probability of a supply chain failure. Dynamic fault trees, which are relatively new in reliability analysis, model the dependency among possible component failure and how these probabilities change over time. This paper applies dynamic fault trees to model supply chain risk for different types of supply chains. The dynamic fault tree allows a firm to model complex interactions among suppliers and understand how those interactions impact its risk. The model incorporates an information system that relays information about the status of suppliers to the firm, and this information system could also fail. A Markov chain model and Monte Carlo simulation are used to numerically assess supply chain risk as modeled by these dynamic fault trees.
Copyright Owner
Elsevier Ltd.
Copyright Date
2019
Language
en
File Format
application/pdf
Recommended Citation
Lei, Xue and MacKenzie, Cameron A., "Assessing Risk in Different Types of Supply Chains with a Dynamic Fault Tree" (2019). Industrial and Manufacturing Systems Engineering Publications. 214.
https://lib.dr.iastate.edu/imse_pubs/214
Comments
This is a manuscript of an article published as Lei, Xue, and Cameron MacKenzie. "Assessing Risk in Different Types of Supply Chains with a Dynamic Fault Tree." Computers & Industrial Engineering 137 (2019): 106061. DOI: 10.1016/j.cie.2019.106061. Posted with permission.