Abstract:
With globalization, companies rely increasingly on global sourcing to remain
competitive in the environment and enjoy operational benefits. However with
operational benefits does come certain risks and vulnerabilities. Food supply chain
differs from other product supply chains and are more vulnerable. These
risks/vulnerabilities arise from either internal environment (inaccurate forecasting due
to longer times, bull-whip effect, information distortion, rate of product obsolescence,
capacity flexibility etc) of the supply chain or from external environment (political
instability, natural disasters, war, terrorism). The impact of internal risks is not greater
and can be resolved with methods used in the past however the risks from external
environment are and have greater impact. This project explores the factors from
environmental volatility, political instability and transportation infrastructure affects
the supply chain operations in food industry Pakistan. For this project, a food company
has been selected and case study methodology has been used to answer the research
question. By conducting unstructured interviews and analyzing secondary data, the
factors from environmental volatility, political instability and transportation
infrastructure were determined. Further it was analyzed how these factors affected the
supply chain. This project contributes to the literature of risks in supply chain, food
supply chain and supply chain disruptions. It will provide insight about the nature of
risks and dealing these risks with better approach.
