Risk of catastrophic events on construction supply chain

Abstract

Construction supply chain flow through the entire business process initiated from the demand by the client to create the project, till the demolition of the construction. Catastrophic events are rare events which are difficult to predict its occurrence. However, catastrophic events take place within the construction supply chain; have a severe impact over the project. Most of the researches on supply chain were keen to understand the factors increasing efficiency and reducing cost. As a result, many findings were there to keep the supply chain live at ordinary times, but at the cost of being vulnerable to disruptions. It was identified that catastrophic events take place in the construction supply chain have not been highlighted in supply chain researches. Therefore, the aim of this paper is to present the catastrophic events take place in construction supply chain and their risk levels. A comprehensive literature review has laid the initial path to gather current knowledge on catastrophic events in construction supply chain. In order to fill the gaps in literature, a preliminary study has been carried out to gather further information on practical experience with catastrophic events in construction supply chain. The study revealed that although there are number of findings on catastrophic events on supply chain management, the risk levels of these catastrophic events change under different conditions. Therefore, through the findings of the above two phases and the survey carried out among construction industry experts, this paper list out the catastrophic events, ranked according to the risk level under a developing economic and tropical environment. This fascinating strategic finding is a great tool for construction decision makers to fight the risks in construction supply chain.