SUNConferences, Computers and Industrial Engineering 42

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Supply Chain Risk and Small and Medium Manufacturing Enterprises in South Africa
Bernadette Patricia Sunjka, Mark Sklar-Chik

Last modified: 2012-06-20

Abstract


Supply Chains are subject to disruptions potentially resulting in financial and/or other non-financial losses (e.g. damage to reputation and SC relationships) to constituent organizations. In the case of Small and Medium Enterprises (SMEs) these disruptions and subsequent impacts can have severe effects which can jeopardize their survival. While larger enterprises may recover from the impacts of certain risks, their smaller counterparts are hampered by a lack of resources and the fiscal constraints when deciding on strategies to address these risks. Evidence shows that Manufacturing SMEs contribute 46 percent towards the total employment and 18 percent towards the manufacturing sectors income, hence, forming critical links in large Supply Chains and performing a vital role in the economy. Therefore, Supply Chain Risk Management (SCRM) is pertinent in enabling SMEs in managing the risk and effects of those risks.

 

This exploratory investigation looked at 8 SME’s operating in different industries in the Gauteng area in South Arica. Data was collected through semi-structured interviews with company owners.


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