Robustness and Resilience to EnableEfficiency and Effectiveness in Humanitarian Response1.
Background: Interms of humanitarian supply chain management, organizations are nowadaysfacing new challenges in the deliveryof relief items, some of which are linked to the sheer increase in the needs ofthe affected populations, others to the changes in the environment in whichthey operate, while others to the increased expectations of compliance todonors and accountability to beneficiaries.Relieforganizations are faced with a unique blend of challenges characterizing therelief chain design and management, such as unpredictability of demand,suddenly-occurring big scale demand and short lead times for a wide range ofsupplies, lack of resources such as supply, people, technology, transportationcapacity and money. This is further complicated by unpredictable factors suchwild urbanization, big climate change, big political, social and economicchange and communication technology and innovations in information. According to the Center for Researchin Natural Disasters (CRED) ,377 million people with worldwide are affected bynatural disaster with economic damage of $92.
38 billion in 2016 and this numberis gradually increasing with the passage of time(CRED). (T Masood) Resilience “Resilience has been being closelyrelated to the concepts of robustness, adaptability, change managementcapability and flexibility”. The resilience in disaster supplynetwork operations deals with two main issues. 1-Bouncing back to the original functionality of the supply chain in an effectiveway. 2-Changemanagement by the supply network due to anticipated or unanticipated changes indemand e.g. meeting product and service demands post-earthquake.
Resilient SupplyChain Operation:Theterm resilience has been always one of the main concerns of managers, since theability of an enterprise to confront unexpected events is the matter of successor failure. Since the number of events or causes of risk has grown, managershave become more and more interested in this subject. The supply chain resilience is now the matterof being in the best position comparing to your competitors in order to notonly be able to manage the risk, but also to benefit from disruptions. Resilience in Disaster Management OperationsIncase of contingencies the supply chain operations are effected by the poor coordinationand the unavailability of the holistic supply chain approaches to meet thedemands of victims. Secondly, there is a lot of disconnectedness between the supplychain operations and the humanitarian actors dealing with disasters. Thehuge number of involved governmental agencies, nongovernmental organizations,UN faculties, international institutes, manufacturers and 3rd party logisticsproviders which are various in the nature, size, abilities, specialties andperformances, asks for coordination, cooperation and well management of thehumanitarian roles in case of natural disasters. In fact, “only a collectivestrategy will be able to improve the performance of humanitarian supply chains”.
SupplyChain resilience addresses characteristics of resilience that enhance directionand understanding. Control, connectedness, and continuity (coherence) are threepsychological principles of resilience that are believed to improve theresponse when natural or human-made disasters occur. Aresilient supply chain must be adaptable, as the desired state in many cases isdifferent from the original one. DefiningResilience and Its Scope Thestudy of resilience has its origins in development theory of social psychologyand is an emerging theory in its own right.
The concept of resilience isdirectly related to important issues such as ecological and socialvulnerability, the politics and psychology of disaster recovery, and riskmanagement under increasing threats. While there are commonly used de?nitionsin each all of these areas they are discipline-speci?c. In many cases thedomain covered by the resilience construct lacks clarity. Thus, in order tounderstand the phenomena of resilience, we need to ?rst consider differentperspectives and approaches from the various streams of literature.Christopher’sPhilosophy of Supply Chain Resilience Christopher(2005) states that resilient processes are ?exible and agile and are able tochange quickly.
The dynamic nature of this adaptive capability allows thesupply chain to recover after being disrupted, returning to its original stateor achieving a more desirable state of supply chain operations. Christopher’sconceptualization of a resilient supply chain includes elements such a supplybase strategy, collaborative planning, visibility, and factoring riskconsiderations into decisions. Resilience inEmergency management/Disaster operations and sustainable developmentperspectiveEmergency management is an interdisciplinary ?eld that drawsupon bodies of knowledge in the physical and social sciences. The relativelyrecent disaster recovery stream of emergency management research presents alearning perspective of resilience. Lindell etal.
(2007) suggest that a disaster resilient community learns from itsexperience, supports sustainable development policies, mobilizes thegovernment, and demands that effective policies be implemented. They identifyfour stages of emergency management, including hazard mitigation, disasterpreparedness (readiness), emergency response, and disaster recovery. Thesestages are directly related to the phases of supply chain resilience discussedlater. They also emphasize the learning perspective.
For example, thevulnerability of infrastructure could be decreased during the recovery stage(e.g. a bridge destroyed by an earthquake could be replaced by a new one with abetter, more robust design).In addition,one of the most dif?cult parts of recovery is restoring social routines andeconomic activities. The process of recovery involves restoring people’spsychological stability. It also involves learning positive lessons from theexperience.Networked Humanitarian Supply Chains -Prospective Approaches for Enhancing Robustness of Emergency Facilities NetworkSpatial Decision Support System(SDSS): Background:An efficient strategic planning platform for site selection. SDSS is ananalytical platform that allows user to visualize key information along withthe evaluation modules in order to provide better insight into the strategicproblems and challenges and also to be able to support the decision makingprocess.
The platform has been successfully used for developing efficient strategicfreight distribution planning to locate freight logistics facility in JavaIsland, Indonesia. A holistic framework of the SDSS platform has systematicallybeen sketched, followed by the recommendations of interesting modules andapproaches to be equipped on the platform (SMCE, MOFL and discretesimulation-based approach)Potential Approach:A “customized” SDSS platform could be developed for the humanitariancommunity to support urban logistics facility determination. The Risk IndexStrategy: Background:An Effective Tool to Preselect Locations with Minimal Risk Exposure. Whenselecting locations for pre-positioning strategic stockpiles, only sites withminimal risk exposure level can be selected as nodes for the emergency responsenetwork. A risk index is a parameter representing all most relevant riskfactors for a certain geographic area, such as natural disasters (droughts,floods, earthquakes, cyclones and tsunamis), macroeconomic and politicalchanges, or even the locations of suppliers. To be analytically quantified, itrequires key risk factors to be identified and described in terms ofprobability distribution with the support of i) Databases like EM-DAT, ii) Domain experts,iii) Businesses databasesiv) Available Literature. Potential Approach:A risk index representing the risk exposure level of different localities canpotentially be defined for the humanitarian community by identifying the mostrelevant risk factors to be included in the risk index framework.
The riskprofile of each potential location can then be derived and used to compare theselected sites.Flow of GoodsAcross Marine Supply Chain for Resilient Intermodal NetworkBackground:Around 90% of world trade is carried by the international shipping industrywithout which, the current volume of worldwide import and export activitiescould not be covered. Seaborne trade continues to expand, bringing benefits forconsumers across the world through competitive freight costs. Literature onmaritime supply chain management highlights the critical role that ports playas key nodes of businesses’ supply chains through upstream and downstreamlinkages, especially referring to those processes and activities that addsignificant value to the final client. Ports have been considered as theintegral part of agile supply chain strategy (Paixão & Marlow, 2003).
Potential Approach:Indonesia is the World’s largest archipelago made of 18,000 islands, with acomplex network of ports and related transport systems. Resilient marine supplychain provides strong foundation for robust inventory management. It alsoprovides a great support across different countries and long distancetransport, and hence reducing costs across the network. For the humanitariancommunity, it becomes critical to recognize the crucial role played by portswithin the supply chains framework and, with the contribution of large terminaloperators, promoting the process of integration of all stakeholders of disasterrelief chains. In the context of this research, it is important to understandthe impact of the marine supply chain and its optimization and on thehumanitarian relief operations. The integrative approach to undertake marinecompanies for supply of complex relief goods from intermodal transport todistribution of network will provide a robust framework.Big Data toSupport Disaster Preparedness and ResponseBackground:Innovations in technology and greater affordability of digital devices havecreated the basis for the explosion in the quantity and diversity of highfrequency digital data (UN Global Pulse, 2012). These data hold the potentialto provide a robust framework to support decision making processes,constituting a good opportunity to enhance the fight against natural calamitiesthrough the development of powerful new tools.
The crowd sourcing power ofsocial media for disaster management for instance has been harnessed especiallyin the area of management of slow-onset disasters (e.g. Kansai Region on August2012 (Fujitsu Journal, 2015), forest and peat fire management in Indonesia (UNGlobal Pulse, 2014)) and the model has provided interesting insights.Potential Approach:A pilot explorative study addressing the identification of the types of new,digital data sources to be potentially used for disasters preparedness andresponse, including an analysis of the challenges posed by the potential ofusing such in disaster management work, and specific applications of “Big data”in the field of humanitarian logistics could be designed and implemented.What is the Optimal Size of a Network ofEmergency Response Facilities in a Heavily Disasters Impacted Country?To overcome the limitationsof traditional Decision Support System (DSS) tools designed to tackle similarproblems, but targeted mainly at private sector entities, develop an innovativemethodology taking into account both speed of operations and economicaffordability: · Given a set of in-country probablelarge scale disasters scenarios, the first objective of the network sizeoptimization problem encompasses the demand coverage component through theminimization of the total distribution cost constrained over maximum distancebetween the emergency response facilities and their assigned potentiallyaffected areas- demand point. · In order to merge responsiveness andeconomic affordability, efficient distribution strategies that reduce logisticscost are required to be taken into account. This comprises several factors suchas transportation costs, warehouse operating cost, and more importantly,warehouse-retailers echelon inventory replenishment cost.
Minimizing the totaldistribution cost function will support the decision making in terms of optimalnumber of warehouses. How to Identify the most Appropriate Locationsfor Establishing an Efficient Network of Emergency Response Facilities?Toovercome the limitations of traditional approaches on tackling multi criteria supplychain decision making, develop an innovative framework for addressing thelocation problem for a network of emergency response facilities. GeographicInformation System (GIS) technology is used to integrate key information suchas National Master Plan for the Economic Development, natural disaster hazardzones, population densities, strategic logistics infrastructure, and industrialcluster.
The combination of this information with inputs of local logisticsexperts will enable the identification of candidate locations to furtherinvestigate.