Title: An exploratory study on procurement risk management in Japanese manufacturing companies
Authors: Akira Endo; Katsuyuki Kamei
Addresses: Graduate School of Societal Safety Sciences, Kansai University, 7-1 Hakubai-cho, Takatsuki, 569-1098, Osaka, Japan ' Faculty of Societal Safety Sciences, Kansai University, 7-1 Hakubai-cho, Takatsuki, 569-1098, Osaka, Japan
Abstract: The procurement sections in Japanese manufacturing companies are usually responsible for dealing with various kinds of risks on the process of purchasing resources and components. The purpose of this paper is to clarify actual status and incentives of procurement risk management in Japanese manufacturing companies. This study investigates 362 firms listed on the first section of the Tokyo Stock Exchange and examines how they actually manage procurement risks and are motivated to conduct risk responses. As a result, this paper reveals an outline of procurement risk management in these firms, identifies the current issues and the three main incentives. Finally, this study indicates that a future research is needed to develop a procurement risk communication model with stakeholder collaboration, including companies in supply chains, customers, investors, governments, NGOs, and NPOs.
Keywords: procurement; purchasing; risk management; procurement risks; Japanese manufacturing companies; supply chain.
International Journal of Procurement Management, 2022 Vol.15 No.1, pp.1 - 19
Received: 24 May 2020
Accepted: 09 Aug 2020
Published online: 22 Dec 2021 *