Resource sharing as supply chain disruption risk management measure

Ronald Cockx, Dieter Armbruster, Julia C. Bendul

Research output: Contribution to journalConference article

Abstract

This research aims to highlight the benefits of sharing financial resources in supply chain networks. By modifying a resource sharing scheme that is used successfully by Eastern African Masaai tribes to support other herders in case of an unexpected loss of cattle to a resource sharing system for supply chains as described by Hao et al (2015). The so-called Osotua-based resource sharing model has proven to increase the overall cattle herd size and that is therefore favorable to support other and even rival herders in critical situations. We implement the Osotua-based resource sharing model into a bankruptcy propagation model based on Battiston et al. (2007). We can show that there is a substantial increase of the network's overall health when using the Osotua-based supply chain resource sharing. Additionally, we explore the effects of the number of partners in a network willing to share resources as well as the effects of increasing network complexity.

Original languageEnglish (US)
Pages (from-to)802-807
Number of pages6
JournalIFAC-PapersOnLine
Volume52
Issue number13
DOIs
StatePublished - Sep 2019
Event9th IFAC Conference on Manufacturing Modelling, Management and Control, MIM 2019 - Berlin, Germany
Duration: Aug 28 2019Aug 30 2019

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Keywords

  • Resource sharing
  • Ripple effects
  • Risk management
  • Supply chain disruption

ASJC Scopus subject areas

  • Control and Systems Engineering

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