International Business Management

Year: 2017
Volume: 11
Issue: 2
Page No. 508 - 521

Risk Assessment of Papaya Supply Chain: An Indonesian Case Study

Authors : Alim Setiawan Slamet, Akira Nakayasu, Retno Astuti and Nadya Megawati Rachman

Abstract: Risk management plays an important role in managing food supply chains effectively due to its uncertainties. The aims of this study were to identify and analyze various risks in the papaya supply chain, then assess the risks and prioritize them to be mitigated appropriately. Failure Modes and Effects Analysis (FMEA) was applied to assess the risks of papaya supply chain using three criteria, i.e., the occurrence, the likelihood of being detected and the severity. Fuzzy Analytic Network Process (FANP) was used to determine the relative importance of factors and sub-factors. A Weighted Risk Priority Number (WRPN) then was calculated to determine the risk priority. A higher WRPN score implies greater risk and should be prioritized in mitigation. The results of this study indicated that the highest ranking of the risk sub-factors were farmer knowledge in cultivation practice. Technical and vocational education/training was one of alternatives to mitigate the risk priority.

How to cite this article:

Alim Setiawan Slamet, Akira Nakayasu, Retno Astuti and Nadya Megawati Rachman, 2017. Risk Assessment of Papaya Supply Chain: An Indonesian Case Study. International Business Management, 11: 508-521.

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