Managing uncertainty in a supply chain reengineering project towards agility Online publication date: Tue, 11-Nov-2008
by Chee Yew Wong, Jan Stentoft Arlbjorn
International Journal of Agile Systems and Management (IJASM), Vol. 3, No. 3/4, 2008
Abstract: Supply chain uncertainty arises when products are fashion-driven, in addition, seasonality, competitive and shortening life cycle. To manage supply chain uncertainty, companies know that they ought to become more agile, flexible, reliable and speedy. Often supply chain reengineering projects are initiated to identify and manage supply chain uncertainty. However, during the reengineering process, two more uncertainties emerge – strategic and implementation uncertainties. Without overcoming these three uncertainties, it is difficult to transform the supply chain. This paper presents a longitudinal case study to uncover how the three uncertainties are managed in a supply chain reengineering project of a multinational toy company. Decision-making, risk (uncertainty) analysis and mitigation solution of the project are revealed. A framework was established due to the importance of anticipating and managing all three uncertainties and their interactions. The framework reveals how these uncertainties may be identified, analysed and mitigated.
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