Evaluation of sustainable Supply Chain Risk using Best and Worst Method and Graph Theory and Matrix Approach techniques

According to many experts and researchers expression, a supply chain with a high level of risk cannot be effective in achieving the goals of organization. The growth of environmental hazards and the destructive impact of productive activities on this area also increase the importance of addressing the issue of risk management in the supply chain, which is known as the sustainable supply chain. The main purpose of this study is to design a framework for assessing sustainable supply chain risk.

In this study, by studying the theoretical foundations and reviewing the research literature, a basic framework of dimensions and criteria for risk assessment of sustainable supply chain has been achieved. The case study of this research has been done on the supply chain of 5 car manufacturing companies. Then, using Best and Worst Method technique, the final hierarchical structure for risk assessment criteria is obtained and using Graph Theory and Matrix Approach technique, the results of risk assessment of supply chain of five companies from the perspective of sustainability are obtained.

The research results show that the ranking of companies has been determined from the perspective of the sustainable supply chain’s risk level that SAIPA Diesel Company has the highest rating.

Due to the use of a comprehensive framework, this research incorporates a combination of quantitative and qualitative metrics of risk assessment of the automotive sustainable supply chain and, unlike many studies, is not limited to one stage of the supply chain and covers all stages of the supply chain. This framework can be used to evaluate different parts of the automotive supply chain (primary suppliers, manufacturing companies, distributors and retailers) and measure their risk from the sustainability perspective.