Risks in Parts Supply Chain and Their Impact on Supply Chains and Shipping Sector: Focusing on Automobile Industry
The Korean Production And Operations Management Society, Byeong-Il Choi, Han-Byul Ryu, Sunkyu Kim · 한국생산관리학회지 · 2023
Of late, various risk factors, such as the closure of container ports due to the COVID-19 pandemic, decline in container fleets, and instability in final demand, have had a detrimental impact on the business environment. Such negative effects could prevent companies from achieving their goals. Therefore, it is necessary to identify the risk and implement appropriate risk management strategies based on the impact factors of the risk. This study analyzed the impact of supply chain risks on the domestic automobile production network and maritime car carrier market. We quantified supply chain risks that arise in domestic automobile production processes and employed the vector auto regression models to analyze the effects of these risks on the automobile supply chain and pure car carrier market. In addition, using impact reaction function, we analyzed the process through which the risk in the supply chain extends to automobile production and pure car carrier market. It is expected that this study will help set long-term and short-term targets for production plans and demarcate corporate strategies through effective response to market conditions.