Simulation Modeling of a Conceptual Model for Supply Chain Risks in Japan’s Automobile Industry
DOI:
https://doi.org/10.52731/lbds.v004.213Keywords:
Disruption, Supply Chain, Simulation Model, Automobile IndustryAbstract
Japan’s automobile industry suffered enormous losses because of the 2011 Tohoku earthquake. Four years earlier, the 2007 Niigata Chuetsu offshore earthquake had damaged Riken’s Kashiwazaki plant in Niigata, impeding operations among most Japan’s automobile manufacturers. Five years after the 2011 Tohoku earthquake, many plants, including semiconductor manufacturer Renesas and automotive parts supplier Aisin Kyushu in Kumamoto were affected by the 2016 Kumamoto earthquake, the impact affected entire Japan’s automobile industry. Thus, production stoppages at lower-tier suppliers have often affected nearly every Japan’s automobile manufacturer.
Therefore, the purposes of this study are to describe how disasters affected the supply chain network in Japan’s automobile industry, to build a conceptual model that reproduces concentration and consolidation within the supply chain structure, and to compare the propagation of the supply chain disruption using several models.
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