Supply chain risk management (SCRM): a case study on the automotive and electronic industries in Brazil

TLDR

The study is limited by a small sample size and by many companies’ lack of awareness of SCRM, which hampers accurate risk assessment. The study aims to identify supply chain risks in Brazil’s automotive and electronic sectors and to underscore the urgency of implementing SCRM. An exploratory study was conducted in the automotive and electronic industries, focusing on the initiation phase of SCRM. The study identifies key SCRM practices—improved supply‑chain communication, business‑continuity training, and a chief risk officer role—that enhance preparedness and effectively manage risks in Brazil’s automotive and electronic sectors.

Abstract

Purpose The purpose of this paper is twofold: to identify the supply chain risks in the automotive and electronic industries in Brazil, and to highlight the urgency of supply chain risk management (SCRM) implementation. Design/methodology/approach It uses exploratory study methodology in the automotive and electronic industries, taking in consideration of the (SCRM) phase of initiation. Findings There are significant practices to implement SCRM: better supply chain communication, SCRM and business continuity planning training program, and the creation of a chief risk officer position to manage the supply chain risks. Research limitations/implications The limitation of this study comes from its small sample size. There are two simple reasons: many companies did not know SCRM and thus misinterpreted the information about SCRM. Practical implications This case study promotes more preparedness for the two industries to manage the risks of supply chain. Originality/value This study shows the risks that surround the supply chain in the automotive and electronic industries in Brazil and how these industries can implement SCRM in a successful way.