Impact of Supply Chain Risks on Company Metrics: An Integrated Multi-Criteria Decision-Making Approach

The unanticipated events and recent disruptions in the supply chain have caused huge damage to businesses. Owing to the increasing number of supply chain risks to consider, predicting the impact of these risks becomes increasingly difficult. This study combines and utilizes several techniques to investigate the impact of supply chain risks on company metrics. The Intuitionistic Fuzzy Entropy Weighing Method (IF-EWM) and Failure Mode and Effect Analysis (FMEA) method were combined to rank the identified supply chain risks. Meanwhile, the Intuitionistic Fuzzy Technique for Order of Preference by Similarity to Ideal Solution (IF-TOPSIS) and Intuitionistic Fuzzy Višekriterijumsko Kompromisno Rangiranjeis (IF-VIKOR) are used in assessing the impact of these risks in company metrics. Our conclusion implies the necessity to give the highest importance to market change risk, followed by inaccurate information sharing and bullwhip effect; conversely, high crime rates and pollution were given the least priority. Research findings also show that equal weights in each supply chain risk or prioritizing the governmental and natural risk will impact the quality and flexibility metric; meanwhile, operational, demand, and information technology risk will impact the quality and expense metric of the company. This study also proves the need to place utmost priority on quality metric, as it will have the most negative impact on a business in any scenario. This research will offer management guidance for proper planning in risk mitigation and resource allocation accordingly.