ASSESSMENT OF QUALITY RISKS IN SUPPLY CHAINS IN KENYA A SYSTEMATIC LITERATURE REVIEW
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Abstract
In the context of intensifying efforts to enhance performance of supply chains, and the timely introduction of products and technologies within competitive markets, organizations and their supply chains have often overlooked the quality risks associated with new product development, particularly concerning design and engineering. This oversight is starkly illustrated by the recent widespread and detrimental product recalls across the automotive, food, pharmaceutical, and smartphone manufacturing sectors, which have brought the issues of product and process quality, as well as associated risks, to the forefront. Additionally, the alarming rise of counterfeit and contraband products in Kenyan supply chains and globally has reached a critical level of concern. Consequently, this study sought to identify and evaluate various quality risks present in the supply chains in Kenya. Utilizing systematic literature survey, the study provided comprehensive overview of supply chain quality risks, the risk perspectives, strategies for risk mitigation, and challenges to management of supply chain quality. The study concluded that supply chains must employ proactive mechanisms for quality determination and anticipation in order to enhance resilience.
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References
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Brun, A., Caridi, M., Fahmy, S. K., & Ravelli, I. (2006). Value and risk assessment of supply chain management improvement projects. International Journal of Production Economics, 99(1-2), 186201.
Caldwell, N., Harland, C., Powell, P. & Zheng, J. (2013) .Impact of e-business on perceived` supply chain risks. Journal of Small Business and Enterprise Development, Vol. 20 Issue: 4, pp.688-715.
Chen, C.-C. (2013). A developed autonomous preventive maintenance programme using RCA and FMEA. International Journal of Production Research, Vol. 51 No. 18, pp.5404-5412.
Choi, T.Y. & Liker, J.K. (1995). Bringing Japanese continuous improvement approaches to U.S. manufacturing: the roles of process orientation and communications. Decision Sciences, Vol. 26 No. 5, pp. 589-620.
Christopher, M., & Lee, H. (2014). Mitigating supply chain risk through improved confidence. International Journal of Physical Distribution & Logistics Management, 34(5), 388-396.
Datta, P. & Roy, R. (2011). Operations strategy for the effective delivery of integrated industrial product-service offerings: two exploratory defense industry case studies. International Journal of Operations & Production Management, Vol. 31 No. 5, pp. 579-603.
Ghadge, A., Fang, X., Dani, S., & Antony, J. (2017). Supply chain risk assessment approach for process quality risks. International Journal of Quality & Reliability Management, Vol. 34 Issue: 7, pp.940-954.
IACC (2005). The negative consequences of international intellectual property theft: economic harm, threats to the public health and safety, and links to organized crime and terrorist organizations. White Paper, January, International Anti-Counterfeiting Coalition, Washington, DC, available at: www.iacc.org (accessed 8 July, 2018).
Jia, F. & Zsidisin, G.A. (2014). Supply relational risk: what role does Guanxi play? Journal of Business Logistics, Vol. 35 No. 3, pp. 259-267.
Kaufmann, L. & Carter, C.R. (2006). International supply relationships and non- financial performance – a comparison of U.S. and German practices. Journal of Operations Management, Vol. 24 No. 5, pp. 653-675.
Kraljic, P. (1983). Purchasing must become supply management. Harvard Business Review, 61(5), 109-117.
Krause, D.R. & Ellram, L.M. (1997). Success factors in supplier development. International Journal of Physical Distribution and Logistics Management, Vol. 27 No. 1, pp. 39-52.
Krause, D.R., Scannell, T.V. & Calantone, R.J. (2000). A structural analysis of the effectiveness of buying firms’ strategies to improve supplier performance. Decision Sciences, Vol. 31 No. 1, pp. 33-55.
Leat, P., Revoredo‐Giha, C. (2013). Risk and resilience in agri‐food supply chains: the case of the ASDA PorkLink supply chain in Scotland. Supply Chain Management: An International Journal, Vol. 18 Issue: 2, pp.219-231,
Lee, H.L. & Billington, C. (1993). Material management in decentralized supply chains. Operations Research, Vol. 41 No. 5, pp. 835-847.
Lo, V.H.Y. & Yeung, A. (2006). Managing quality effectively in supply chain: a preliminary study. Supply Chain Management: An International Journal, Vol. 11 No. 3, pp. 208-215.
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Mutuku, S.M., Ochieng, V.O., Sang, W. (2021). Influence of Supplier Selection Criteria on the Performance of State Corporations in Kenya: A case of Water Resource Authority. The Strategic Journal of Business & Change Management, 8(4), 372 – 387.
Natarajarathinam, M., Capar, I. & Narayanan, A. (2009). Managing supply chains in times of crisis: a review of literature and insights. International Journal of Physical Distribution & Logistics Management, Vol. 39 No. 7, pp. 535-573.
Noordewier, T.G., John, G. & Nevin, J.R. (1990). Performance outcomes of purchasing arrangements in industrial buyer-vendor relationships. Journal of Marketing, Vol. 54 No. 4, pp. 80-93.
Norrman, A. & Lindroth, R. (2004). Catergorization of supply chain risk and risk management, in Brindley, C. (Ed.). Supply Chain Risk, Ashgate, Aldershot, pp. 14-27.
Norrman, A. (2008). Supply chain risk-sharing contracts from a buyers’ perspective: content and experiences. International Journal of Procurement Management, Vol. 1 No. 4, pp. 371-393.
Norrman, A., & Jansson, U. (2004). Ericsson’s proactive supply chain risk management approach after a serious sub-supplier accident. International Journal of Physical Distribution & Logistics Management, 34(5), 434 - 456.
Norrman, A., & Lindroth, R. (2004). Categorization of supply chain risk and risk management. In C. Brindley (Ed.), Supply chain risk: Ashgate Publishing Limited
Ochieng, V. (2014). The Role of Supplier Development in effectiveness of Procurement Function: A case of National Cereal and Produce Board. IRJBM, 3, 49-62
Pfohl, H., Gallus, P. & Thomas, D. (2011). Interpretive structural modelling of supply chain risks. International Journal of Physical Distribution and Logistics Management, Vol. 41 No. 9, pp. 839-859.
Raj-Sinha, P., Whitman, L.E. & Malzahn, D. (2004). Methodology to mitigate supplier risk in an aerospace supply chain. Supply Chain Management: An International Journal, Vol.9 No.2, pp. 154-168.
Rao, S. & Goldsby, T.J. (2009). Supply chain risks: a review and typology. The International Journal of Logistics Management, Vol. 20 No. 1, pp. 97-123.
Selviaridis, K., & Norrman, A. (2014). Performance-based contracting in service supply chains: a service provider risk perspective. Supply Chain Management: An International Journal, Vol. 19 Issue: 2, pp.153-172
Stenbeck, T. (2009). Budgeting performance-based winter maintenance: snow influence on highway maintenance cost. Journal of Infrastructure Systems, Vol. 15 No. 3, pp. 251-260.
Stevenson, M., & Busby, J. (2015). An exploratory analysis of counterfeiting strategies:Towards counterfeit-resilient supply chains. International Journal of Operations & Production Management, Vol. 35 Issue: 1, pp.110-144
Stump, R.L. (1995). Antecedents of purchasing concentration: a transaction cost explanation. Journal of Business Research, Vol. 34 No. 2, pp. 145-157.
Tang, C. S. (2006). Perspectives in supply chain risk management. International Journal of Production Economics, 103(2), 451-488.
Theodorakioglou, Y., Gotzamani, K. & Tsiolvas, G. (2006). Supplier management and its relationship to buyers’ quality management. Supply Chain Management: An International Journal, Vol. 11 No. 2, pp. 148-159.
Trent, R.J. & Monczka, R.M. (1999). Achieving world-class supplier quality. Total Quality Management, Vol. 10 No. 6, pp. 927-938.
Tse, Y.K. & Tan, K.H. (2011). Managing product quality risk in a multi-tier global supply chain. International Journal of Production Research, Vol. 49 No. 1, pp. 139-158.
Tse, Y.K., Tan, K.H., Chung, S.H. & Lim, K.M. (2011). Quality risk in global supply network. Journal of Manufacturing Technology Management, Vol. 22 No. 8, pp. 1002-1013.
Vaidyanathan, G. & Devaraj, S. (2003). A five factor framework for analysing online risks in e-business. Communications of the ACM, Vol. 46 No. 12, pp. 354- 361.
Weckenmann, A., Akkasoglu, G., & Werner, T. (2015). Quality management – history and trends. The TQM Journal, Vol. 27 Issue: 3, pp.281-293,
Wu, T., Blackhurst, J. & Chidambaram, V. (2006). A model for inbound supply risk analysis. Computers in Industry, Vol. 57 No. 4, pp. 350-365.
Zsidisin, G. A. (2003). A grounded definition of supply risk. Journal of Purchasing & Supply Management, 9, 217-224.
Zsidisin, G. A., & Ellram, L. M. (2003). An agency theory investigation of supply risk management. Journal of Supply Chain Management, 39(3), 1527.
Zsidisin, G. A., Ellram, L. M., Carter, J. R., & Cavinato, J. L. (2004). An analysis of supply risk assessment techniques. International Journal of Physical Distribution & Logistics Management, 34(5), 397-413.
Zsidisin, G. A., Panelli, A., & Upton, R. (2000). Purchasing organization involvement in risk assessments, contingency plans, and risk management: An exploratory study. Supply Chain Management: An International Journal, 5(4), 87-197.
Zsidisin, G.A. & Wagner, S.M. (2010). Do perceptions become reality? The moderating role of supply chain resiliency on disruption occurrence. Journal of Business Logistics, Vol. 31 No. 2, pp. 1-20.
Zsidisin, G.A., Petkova, B., Saunders, B.L., & Bisseling, M. (2016). Identifying and managing supply quality risk. The International Journal of Logistics Management, Vol. 27 Issue: 3, pp.908-930.
Axelsson, B. & Wynstra, F. (2002). Buying Business Services. Wiley, Chichester.
Bates, H., Holweg, M., Lewis, M. & Oliver, N. (2007). Motor vehicle recalls: trends, patterns and emerging issues. Omega, Vol. 35 No. 2, pp. 202-210.
Behn, R. & Kant, P. (1999). Strategies for avoiding the pitfalls of performance contracting. Public Productivity & Management Review, Vol. 22 No. 4, pp. 470-489.
Bonnemeier, S., Burianek, F. & Reichwald, R. (2010). Revenue models for integrated customer solutions: concept and organizational implementation. Journal of Revenue and Pricing Management, Vol. 9 No. 3, pp. 228-238.
Brun, A., Caridi, M., Fahmy, S. K., & Ravelli, I. (2006). Value and risk assessment of supply chain management improvement projects. International Journal of Production Economics, 99(1-2), 186201.
Caldwell, N., Harland, C., Powell, P. & Zheng, J. (2013) .Impact of e-business on perceived` supply chain risks. Journal of Small Business and Enterprise Development, Vol. 20 Issue: 4, pp.688-715.
Chen, C.-C. (2013). A developed autonomous preventive maintenance programme using RCA and FMEA. International Journal of Production Research, Vol. 51 No. 18, pp.5404-5412.
Choi, T.Y. & Liker, J.K. (1995). Bringing Japanese continuous improvement approaches to U.S. manufacturing: the roles of process orientation and communications. Decision Sciences, Vol. 26 No. 5, pp. 589-620.
Christopher, M., & Lee, H. (2014). Mitigating supply chain risk through improved confidence. International Journal of Physical Distribution & Logistics Management, 34(5), 388-396.
Datta, P. & Roy, R. (2011). Operations strategy for the effective delivery of integrated industrial product-service offerings: two exploratory defense industry case studies. International Journal of Operations & Production Management, Vol. 31 No. 5, pp. 579-603.
Ghadge, A., Fang, X., Dani, S., & Antony, J. (2017). Supply chain risk assessment approach for process quality risks. International Journal of Quality & Reliability Management, Vol. 34 Issue: 7, pp.940-954.
IACC (2005). The negative consequences of international intellectual property theft: economic harm, threats to the public health and safety, and links to organized crime and terrorist organizations. White Paper, January, International Anti-Counterfeiting Coalition, Washington, DC, available at: www.iacc.org (accessed 8 July, 2018).
Jia, F. & Zsidisin, G.A. (2014). Supply relational risk: what role does Guanxi play? Journal of Business Logistics, Vol. 35 No. 3, pp. 259-267.
Kaufmann, L. & Carter, C.R. (2006). International supply relationships and non- financial performance – a comparison of U.S. and German practices. Journal of Operations Management, Vol. 24 No. 5, pp. 653-675.
Kraljic, P. (1983). Purchasing must become supply management. Harvard Business Review, 61(5), 109-117.
Krause, D.R. & Ellram, L.M. (1997). Success factors in supplier development. International Journal of Physical Distribution and Logistics Management, Vol. 27 No. 1, pp. 39-52.
Krause, D.R., Scannell, T.V. & Calantone, R.J. (2000). A structural analysis of the effectiveness of buying firms’ strategies to improve supplier performance. Decision Sciences, Vol. 31 No. 1, pp. 33-55.
Leat, P., Revoredo‐Giha, C. (2013). Risk and resilience in agri‐food supply chains: the case of the ASDA PorkLink supply chain in Scotland. Supply Chain Management: An International Journal, Vol. 18 Issue: 2, pp.219-231,
Lee, H.L. & Billington, C. (1993). Material management in decentralized supply chains. Operations Research, Vol. 41 No. 5, pp. 835-847.
Lo, V.H.Y. & Yeung, A. (2006). Managing quality effectively in supply chain: a preliminary study. Supply Chain Management: An International Journal, Vol. 11 No. 3, pp. 208-215.
McLellan, A.T., Kemp, J., Brooks, A. & Carise, D. (2008). Improving public addiction treatment through performance contracting: the Delaware experiment. Health Policy, Vol. 87 No. 3, pp. 296-308.
Mitchel, V.W. (1995). Organisational risk perception and reduction: a literature review. British Journal of Management, Vol. 6 No. 2, pp. 115-133.
Mitchell, V.W., Moutinho, L. & Lewis, B.R. (2003). Risk reduction in purchasing organizational professional services. Services Industry Journal, Vol. 23 No. 5, pp. 1-19.
Monczka, R.M., Petersen, K.J., Handfield, R.B. & Ragatz, G.L. (1998). Success factors in strategic supplier alliances: the buying company perspective. Decision Sciences, Vol. 29 No. 3, pp. 553-577.
Mutuku, S.M., Ochieng, V.O., Sang, W. (2021). Influence of Supplier Selection Criteria on the Performance of State Corporations in Kenya: A case of Water Resource Authority. The Strategic Journal of Business & Change Management, 8(4), 372 – 387.
Natarajarathinam, M., Capar, I. & Narayanan, A. (2009). Managing supply chains in times of crisis: a review of literature and insights. International Journal of Physical Distribution & Logistics Management, Vol. 39 No. 7, pp. 535-573.
Noordewier, T.G., John, G. & Nevin, J.R. (1990). Performance outcomes of purchasing arrangements in industrial buyer-vendor relationships. Journal of Marketing, Vol. 54 No. 4, pp. 80-93.
Norrman, A. & Lindroth, R. (2004). Catergorization of supply chain risk and risk management, in Brindley, C. (Ed.). Supply Chain Risk, Ashgate, Aldershot, pp. 14-27.
Norrman, A. (2008). Supply chain risk-sharing contracts from a buyers’ perspective: content and experiences. International Journal of Procurement Management, Vol. 1 No. 4, pp. 371-393.
Norrman, A., & Jansson, U. (2004). Ericsson’s proactive supply chain risk management approach after a serious sub-supplier accident. International Journal of Physical Distribution & Logistics Management, 34(5), 434 - 456.
Norrman, A., & Lindroth, R. (2004). Categorization of supply chain risk and risk management. In C. Brindley (Ed.), Supply chain risk: Ashgate Publishing Limited
Ochieng, V. (2014). The Role of Supplier Development in effectiveness of Procurement Function: A case of National Cereal and Produce Board. IRJBM, 3, 49-62
Pfohl, H., Gallus, P. & Thomas, D. (2011). Interpretive structural modelling of supply chain risks. International Journal of Physical Distribution and Logistics Management, Vol. 41 No. 9, pp. 839-859.
Raj-Sinha, P., Whitman, L.E. & Malzahn, D. (2004). Methodology to mitigate supplier risk in an aerospace supply chain. Supply Chain Management: An International Journal, Vol.9 No.2, pp. 154-168.
Rao, S. & Goldsby, T.J. (2009). Supply chain risks: a review and typology. The International Journal of Logistics Management, Vol. 20 No. 1, pp. 97-123.
Selviaridis, K., & Norrman, A. (2014). Performance-based contracting in service supply chains: a service provider risk perspective. Supply Chain Management: An International Journal, Vol. 19 Issue: 2, pp.153-172
Stenbeck, T. (2009). Budgeting performance-based winter maintenance: snow influence on highway maintenance cost. Journal of Infrastructure Systems, Vol. 15 No. 3, pp. 251-260.
Stevenson, M., & Busby, J. (2015). An exploratory analysis of counterfeiting strategies:Towards counterfeit-resilient supply chains. International Journal of Operations & Production Management, Vol. 35 Issue: 1, pp.110-144
Stump, R.L. (1995). Antecedents of purchasing concentration: a transaction cost explanation. Journal of Business Research, Vol. 34 No. 2, pp. 145-157.
Tang, C. S. (2006). Perspectives in supply chain risk management. International Journal of Production Economics, 103(2), 451-488.
Theodorakioglou, Y., Gotzamani, K. & Tsiolvas, G. (2006). Supplier management and its relationship to buyers’ quality management. Supply Chain Management: An International Journal, Vol. 11 No. 2, pp. 148-159.
Trent, R.J. & Monczka, R.M. (1999). Achieving world-class supplier quality. Total Quality Management, Vol. 10 No. 6, pp. 927-938.
Tse, Y.K. & Tan, K.H. (2011). Managing product quality risk in a multi-tier global supply chain. International Journal of Production Research, Vol. 49 No. 1, pp. 139-158.
Tse, Y.K., Tan, K.H., Chung, S.H. & Lim, K.M. (2011). Quality risk in global supply network. Journal of Manufacturing Technology Management, Vol. 22 No. 8, pp. 1002-1013.
Vaidyanathan, G. & Devaraj, S. (2003). A five factor framework for analysing online risks in e-business. Communications of the ACM, Vol. 46 No. 12, pp. 354- 361.
Weckenmann, A., Akkasoglu, G., & Werner, T. (2015). Quality management – history and trends. The TQM Journal, Vol. 27 Issue: 3, pp.281-293,
Wu, T., Blackhurst, J. & Chidambaram, V. (2006). A model for inbound supply risk analysis. Computers in Industry, Vol. 57 No. 4, pp. 350-365.
Zsidisin, G. A. (2003). A grounded definition of supply risk. Journal of Purchasing & Supply Management, 9, 217-224.
Zsidisin, G. A., & Ellram, L. M. (2003). An agency theory investigation of supply risk management. Journal of Supply Chain Management, 39(3), 1527.
Zsidisin, G. A., Ellram, L. M., Carter, J. R., & Cavinato, J. L. (2004). An analysis of supply risk assessment techniques. International Journal of Physical Distribution & Logistics Management, 34(5), 397-413.
Zsidisin, G. A., Panelli, A., & Upton, R. (2000). Purchasing organization involvement in risk assessments, contingency plans, and risk management: An exploratory study. Supply Chain Management: An International Journal, 5(4), 87-197.
Zsidisin, G.A. & Wagner, S.M. (2010). Do perceptions become reality? The moderating role of supply chain resiliency on disruption occurrence. Journal of Business Logistics, Vol. 31 No. 2, pp. 1-20.
Zsidisin, G.A., Petkova, B., Saunders, B.L., & Bisseling, M. (2016). Identifying and managing supply quality risk. The International Journal of Logistics Management, Vol. 27 Issue: 3, pp.908-930.