An Innovative Matrix to Mitigate Supply Chain Risk: Insights for Industry

Maurício Fontoura Blos, João Inácio da Silva Filho, Mauricio Conceição Mario


The purpose of this study is twofold: firstly, to define a supply chain matrix situation level (Normal, Near-Miss and Subject to Disruption) and secondly, to use PAL2v to refine and improve the limitations of FMEA technique. We use the Paraconsistent Annotated Logic with an annotation of two values (PAL2v) to generate an innovative matrix to mitigate risks. There are two significant contributions on implementing the proposed Matrix: to create more favorable conditions for organizations to evaluate the supply chain risk events and to provide score leverage for sustainable development of businesses. The proposed matrix has limitation of usage; we have limited our study for one organization. Future research may consider multi-organizations. This innovative matrix generated a guideline to be used in the organizations. The practical implication is the promotion of a more preparedness to mitigate the risks in a supply chain. The proposed matrix used a different approach to improve the limitations of FMEA technique and to solve the problem of inconsistency through PAL2v.

Key words: Supply Chain Matrix, Risk Management, SCM performance, Paraconsistent Annotated Logic with annotation of two values (PAL2v).

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