Measuring Productivity and Supply Chain Risk in Offshoring Countries Using Slack-based DEA Method

서지정보

· 발행기관 : 한국로지스틱스학회
· 수록지 정보 : 로지스틱스연구 / 31권 / 1호 / 15 ~ 25페이지
· 저자명 : 박영웅, 안승범

초록

A growing concern and issue in a global supply chain relates to hidden costs from various hazards present in outsourcing locations. Governments establish investment recruitment strategies, create Free Trade Zones, and participate in Free Trade Agreements or Regional Trade Agreements in order to safeguard and support home production. A study on supply chain risk management is globally conducted by researchers. However, there are only a few literature on how the risk affects offshoring activities. The goal of the research is to evaluate the effectiveness of global offshore destinations while taking into account supply chain concerns. In accordance with the literature studies, the study first classifies risks according to the nature of their effects. The study uses secondary data from The Organisation for Economic Cooperation and Development (OECD), Institute for Economics and Peace (IEP), The World Bank, and World Economic Forum to obtain information on supply chain risks, logistics performance, and offshore in order to reduce data bias. The effectiveness of offshoring is examined using a Data Envelopment Analysis Slack Based Measure Model while taking political, policy, social, and input-market concerns into account as well as the logistics performance index. A total of 58 nations with the necessary data for the variables are taken into consideration for the decision-making units. The research uses 5 input variables in total, while Value Added in Foreign Final Demand from the OECD is used as a stand-in for offshoring as the output variable. Data for the recent five years 2010, 2012, 2014, 2016, and 2018 are provided by the secondary data source. The results are evaluated globally for the studied years and summarized by each continent. The study revealed that developing countries multinational firms tend to offshore the business activities to the developing countries, and values low labor cost over supply chain resilience and logistics performance.

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