Book introduction

A supply chain is a network of entities such as manufacturer, suppliers and distributors working together to transform goods from raw material to final product while moving them to the end customer. Effective supply chain management is a critical component of a firm's ability to fill consumer demand, regardless of the industry. Supply chain performance may be decreased by disruptive events occurring in the supply chain system. Supply chain disruptions are unplanned events that may occur in the supply chain which might affect the normal or expected flow of materials and components (Svensson, 2000). Managing the risk of these events occurring in the supply chain has become known as supply chain risk management (SCRM) and may be defined as the management of supply chain risks through coordination or collaboration among the supply chain partners so as to ensure profitability and continuity (Tang, 2006). SCRM has recently raised the attention of both academics and practitioners and is the focus of this book.