A Grey-based risk selection model using fuzzy information of a supply chain

A supply chain is easily exposed to risk by uncertainty and complexity and enterprises being difficult to cope with it because the risk involved is not clear in the aspect of time, intensity, duration, and etc. If the risk in a supply chain is probable or even possible, an enterprise should take action to prevent it according to the precautionary principle. If there is any risk, an enterprise should make a strategy to minimize the impact of the risk and act it. This paper proposes a Grey-based risk selection model to consider the many aspects of intensity and possibility of risk in a supply chain. The intensity and possibility of occurring risk are vague and cannot be expressed by exact numerical values. The Grey-based approach has the ability to measure, model, calculate and integrate uncertainty of a supply chain. The proposed model analyzes various risks to evaluate risk in a supply chain and priorities the seriousness of risk to control it.