Evaluation of Supply Chain Network Resilience Level in Pre-disruption and Post-disruption Scenario

Disruption in the supply chain network is unavoidable. Although with a minimal probability, disruption can result in enormous losses due to disruption of flow in an interconnected system. This paper presents a simulation study to evaluate the impact of disruptions. Ten supply chain networks from six different types of industries are used as the case studies. Monte Carlo simulation is used to simulate the randomized disruption scenarios. The resilience is measured using four parameters: density, centrality, connectivity, and network size. The performance of the supply chain networks was evaluated with the mean and CVaR. The result shows that supply chain networks with high initial resilience are not necessarily the most resilient because initial resilience does not correlate with the difference in resilience when exposed to disruption. Furthermore, all networks experience the highest decrease of resilience value due to connectivity parameters. Therefore, the recommendation given is adding new nodes (DC/hubs/manufacturer) as buffer nodes or relationships between existing nodes (between supplier/DC/manufacturer/retailer). Disruption scenarios are not based on each zone and are assumed to have the same characteristics as research limitations.