A framework for managing risks in the aerospace supply chain using systems thinking

Impact of globalization, technological and environmental changes, has radically influenced supply chain risks and mitigating strategies. Since uncertainty is an intrinsic element of the aerospace supply chain system, this paper analyses the uncertain variables (risks) in aerospace supply chain using a `systems of systems' approach. Complexity and interdependent nature of the aerospace supply chain requires different levels of mitigation strategies. In this paper, utility theory and a proactive approach to risk management is considered. Effect on quality and delivery are two important monitoring parameters when analyzing risks within the aerospace supply chain system. This is depicted with the help of cases. The paper concludes by identifying the benefits of mitigating strategies for future sustainable systems.