Abstract
Supply chain management (SCM) improves efficiency of supply chains (SC) in terms of reduction of inventory and lead time. To the contrary, the pursuit of efficiency results in the vulnerability of SC and accelerates propagation of damage of risk incidents such as earthquake and factory fire. Therefore, supply chain risk management has became an important topic in SCM. In this paper, we propose a method of effects analysis of earthquake to the SC performance. Effects are evaluated in two steps. First, the effect of earthquake on the function, of a supply chain unit is evaluated by considering the malfunction of regional services such as transportation electric power and water supply. Secondly, propagation of the malfunction of the supply chain unit is evaluated by means of supply chain simulation.
