Supply risk management: A comparison across firm size, regional area and industry

This research compares whether supply risk management varies between firm size, regional area and industry, and examines the relationship between perceived supply risk and its management. This research was motivated by gaps in knowledge about supply risk management in regional Australia. A case study approach was employed with empirical data gathered from 121 small and medium enterprises (SMEs). The results of analysis revealed that supply risk management does vary across firm size, regional area and industry. Further, the SMEs favoured preventive, reactive and contractual techniques to reduce supply risk. The contractual technique was used by firms to minimize both the probability and effect of risk occurrence.