Supply chain risk management in the content delivery network (CDN) industry
Scientific Papers of Silesian University of Technology Organization and Management Series · 2023
The purpose of this study is to provide new insights into how supply chain risk management influences a company's operations in the Content Delivery Network (CDN) industry.We also provide recommendations to identify opportunities and how to mitigate and reduce risks.Design/methodology/approach: We adopt a quantitative research approach involving a correlation and effect/probability matrix.This method relies on risk classification, which is determined by assessing the likelihood of occurrence and the associated impact.The probability is derived from historical data about the incidence of specific events in processes, with values ranging from 0 to 1. Conversely, the impact is evaluated by a team of experts from various company departments, and their recommendations are averaged, resulting in a scale ranging from 0 to 10. Findings: We found that executing the risk management process within an enterprise requires thorough analysis and process auditing.In the context of a supply chain involving numerous globally reaching companies, the task becomes inherently more challenging as changes may be required across multiple if not all, entities.Nevertheless, the adoption of risk management contributes to the implementation of supply chain and organizational strategies by fostering resilience, thereby enhancing the stability of the organization's position. Research limitations/implications:This study provides only a snapshot of the CDN industry, i.e. as we restricted our research to one company, this research provides only context-specific findings and we are cautious to generalize our results. Practical implications:The conducted research and analyses took place within an actual enterprise.The analysis provided can be replicated in other enterprises using the presented procedure.Originality/value: This is one of the first studies examining the CDN industry and providing concrete steps to reduce the risk along the supply chain.We thereby extend and expand the body of knowledge for supply chain risk management both in theory and practice.