Title: An exploratory study of supply chain risk management in the New Zealand fast food industry

Authors: Yiran Cui; Chuda Basnet

Addresses: Department of Management Systems, Waikato Management School, The University of Waikato, Private Bag 3105, Hamilton 3216, New Zealand ' Department of Management Systems, Waikato Management School, The University of Waikato, Private Bag 3105, Hamilton 3216, New Zealand

Abstract: This paper reports on exploratory qualitative research into the current practice of supply chain risk management in the New Zealand fast food industry. The study found that the New Zealand fast food industry depends heavily on import from other countries and overseas suppliers for the large amount of raw materials required by the industry. These suppliers hold dominant power in New Zealand fast food industry. As a result, fast-food restaurants have limited room for switching to contingency suppliers in disruptive situations, such as natural disasters or earthquakes. Furthermore, the study also shows that the fast food industry has increased vulnerability due to the stringent food safety and health standards and customer's increasing awareness of food safety issues.

Keywords: fast food industry; risk management; risk mitigation; SCM; supply chain management; fast food supply chains; New Zealand; overseas suppliers; contingency suppliers; natural disasters; vulnerability; food safety standards; customer awareness; supply chain risks.

DOI: 10.1504/IJLSM.2015.067256

International Journal of Logistics Systems and Management, 2015 Vol.20 No.2, pp.199 - 215

Received: 06 Jul 2013
Accepted: 07 Oct 2013
Published online: 15 Apr 2015 *

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