Risk and Resilience in Value Chain Management - BSOM072

This report delves into the critical aspects of risk and resilience within holistic value chain management, with a specific focus on the food producer sector, particularly Brake Bros. It begins with a comprehensive literature review, analyzing various authors' perspectives on supply chain risks, including cybersecurity, product quality, and cost constraints, and their impact on agro-food performance. The report then establishes a conceptual framework, highlighting the importance of value chain management for profitability and efficiency. It examines the challenges faced by food producers, such as maintaining product quality, managing inventory, and ensuring effective customer service. The report also provides improvements and recommendations, including widening the focus to encompass demand chains, reviewing data flow, and implementing practical strategies to enhance value chain management and resilience. The analysis emphasizes the need for proactive risk assessment and recovery plans to ensure sustainable operations and customer satisfaction. The report concludes with a call to action for food producers to adopt strategies that mitigate risks and build resilience in their value chains.

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Risk and Resilience in Holistic Value Chain Management

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Contents
Introduction......................................................................................................................................3
Literature Review............................................................................................................................4
Conceptual Framework....................................................................................................................6
Improvements and Recommendations.............................................................................................9
Conclusion.....................................................................................................................................12
References......................................................................................................................................13

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Introduction
The report is prepared in regards to the risk and resilience in the holistic value chain
management. In the supply chain, the holistic plan includes payments and receipts. In supply
chain management the major issue which has been seen is the sustainability issue so holistic
supply chain maximizes the collective capabilities and minimizes the cost of the company. In
this report, the literature review will be done of the different authors which will be the focus on
the food producer risk and resilience in value chain management. The producer of the UK will be
chosen and then the conceptual framework will be provided in this report. In this report, the
problem of the supply chain will also be elaborated and their solutions and the recommendations
will also be done.

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Literature Review
As per the author, supply value chain management is essential for the company as it maximizes
the profit and optimizes the business operations. In the value chain management, all the activities
are analysed which adds value to the products including the raw materials so that effective
product can be required by the consumers (Van Der Vegt, et al., 2015).In venture, the
collaboration can be attained through the increasing of the competitive advantage and by creating
the value for the consumer. The supply value chain is the supporting tool which helps in taking
the effective decisions in order to deliver the valuable product as per the author.
In the reviews of the author, there are many risks in the food supply chain which has a negative
impact on the agro-food performance. The great risk exists in the company due to the several
other reasons such as due to the structural characteristics. The risk related to the cybersecurity
vulnerability is the major issue which has been seen so the author has seen the major risk in the
IT analysis only (Fiksel, 2015). The major risk is related to the quality of the product which
generally fails in the supply chain. If the supply chain takes a long time or if something is there
at the warehouse for a long period then it creates a quality issue which is the biggest risk. There
are many elements of risk such as reliable predictions, effective raw materials, etc.
In the food supply value chain, reliance is sustainability. The fresh food, vegetables, dairy and
many other products should be there in the warehouse so that loyalty of the customers can be
maintained. The inbound and outbound logistic material has to be concerned which relates to the
receiving and storing of the product and with the getting finished goods and services. As per the
author, there are certain activities which should be taken place every time such as supervisor, the
armed guard, merchandise, etc. There are the food supply chain products like perishable products
which should be put on the high discount so that the customers can get attracted towards it.
The major issue which has been seen in the supply chain management by the author is that the
issue related to the costing. Due to the constraints in economics, the cost is increasing in every
term such as in raw materials, labour, energy, etc. So, this creates a problem for the companies to
manage their operations. In the food producing company the major issue is related to the taste of
the customers and the quality (Park, et al., 2011). Due to the increasing sales, the company was
losing its quality in the value chain management which is the major issue.

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The customer's services should be effective in giving the services which are also the issue in the
holistic value chain. The services in the food chain will be required at a fixed period of time. In
the supply chain, the food is transferred to the other places so it should be traced at the proper
time. The major issues which the organization faces are related to the lack of traceability in the
supply chain.
As per the author, the blind spots in the supply chain are created by lacking transparency in the
food chain and thus creating the unnecessary risk in Brake Bros Company. The company is
losing its profits and sales due to the certain legal issues so it was also the major issue in the
company (Haimes, 2009). Sometimes, the company even use the outdated systems so as per the
author, in the food supply chain there is the lack of the traceability and it causes the issues in the
delays and errors in sharing the information.
Another major issue which has been seen in the companies related to the food supply chain is the
safety and the quality of the products which generally caused due to the delays in the
transportation, poor warehousing practices and storage and due to the industrial sabotage. Lack
of communication and fragmented information is also an issue in the supply chain between the
parties which has a major impact on the food supply chain. There are many parties who do not
have any knowledge and still, they do the transactions which create the inability or the lack of
proper information.
In the supply chain, the cost is higher due to many other expenses such as energy and fuel cost,
logistic and freight, investment in new technology and due to the manpower also. In the holistic
supply chain, another issue which rises is related to the track and control the investor failure in
the stores and the warehouse of the company (Bharati and Chaudhry, 2012). The inventory and
the food supply chain are not properly managed by the company so it creates the problem of
maintaining the quality and controlling cost in relation to satisfying the customers.

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Conceptual Framework
The food producer in the UK is Brake Bros which serves food and drinks to the catering industry
of the UK. The company Brake Bros get certain advantages in dealing with the caters as they
increase their output which helps in increasing their profit also. They also enhance their
efficiency by reducing their cost and increasing the value of the final products. There are many
companies who offer the food to the caters but to offer both things like food and drinks is not
done by every supply chain (Holweg and Helo, 2014). The company Brake Bros has classic food
options and has well-qualified experts which handle and permits the order of high range too.
The company Brake Bros properly plan and prepare the food which helps in providing the
versatility also. The company also has certain risk and resilience such as their quality of the
product should not be compromised and should have delivered on time which is the major
concern (Ndraha, et al., 2018). The supply chain of the company Brake Bros is effective as they
delivered the products of the food on time but when it comes to the quality, they somehow not do
the great process when it is delivered at the large manner.
The Brake Bros organization needs to maintain the value chain management and reduce the risks
occurred in the process of the value chain management. The above articles show the risk analysis
that helps in improving the proper value chain of the business. The food producer Brake Bros
needs to use the proper recovery plan in managing the value chain business as it is essential for
maintaining all the aspects of the value chain to gain the profitable advantages (Fearne, et al.,
2012). The above articles describe the issues that affect the value chain management.
As the value chain management of the food producer faces several issues like the issue of value
chain costs, issue of implementing the better-quality products with the proper value in the market
and other issue relates with the inventory management. These issues need to be analyzed
properly for the proper management of the value chain as the value chain is essential for the
Brake Bros Pvt. Ltd. This is a food production company that supply food, drink and other
products to the catering industry of UK (Jun, 2007). It is important for the company to maintain
the value chain as it is more important in food products.
The above articles discussed the issues and the risks occurred in the management of the value
chain. The value chain risk to resilience needs to increase the ability to identify physical climate

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risks and to maintain the business value in the market. The risk to resilience is essential for
gaining better advantages to the company (Parmigiani and River-Santos, 2015). The climate risk
assessments are one of the important risks that face by the value chain of the organization so it is
important to manage these risks for better management. As the organization improves its
production and the value for the products to gain the attraction of the customers. The company
needs to develop standard approaches for better value chain management.
The above articles define about the several issues faced by the companies in the management of
value chain which is majorly affected due to the several aspects of the business majorly the
quality is an important aspect in the value chain process (Donovan, et al., 2015).To improve the
value chain management, the organization need to consider several recommendations to improve
the overall production along with the proper value. The value chain affects the overall process,
employees, customers and communities of the related business. The Brake Bros company needs
to maintain the value chain process for the proper value of the products (Mol, 2015). The
company needs to consider risk assessment for the proper management of the business value
chain.

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Improvements and Recommendations
The several improvements needed by the organization of food producer to manage the risk and
resilience occurred in the value chain management of the business of Brake Bros Pvt. Ltd. The
recommendations are too important for managing the value chain as the supply chain and value
chain are the important process of the business (Hahn and Packowski, 2015). The several issues
have occurred in the value chain process which is related to the cost issues and risk issues. The
improper communication among the parties affects the overall process of the supply chain.
The rising costs of the supply chain are also one of the major issues in the value chain process
that create risk and resilience in the process. The other issues related to the failure in track and
control inventory in the warehouse and stores (Savino, et al., 2015). The organization needs to
reduce these problems for the proper supply chain as this is one of the big factors that affect the
customer and their attraction. The supply chain matters a lot in the food production company so
it is important to implement some of the recommendations related to the value chain process.
Some of the major recommendations used to improve the value chain management are discussed
below-
Widen the focus
It is important to widen the focus of from the traditional process of supply chain management to
improve the demand chain in the same context. The focus is too important in the process of the
value chain management as it improves the value chain and decreases the issues occurred in the
value chain (Gobel, et al., 2015). Brake Bros company needs to make the focus wide for the
better value chain of food products.
Review the flow of data
The flow of data is also essential for the overall management of the value chain as it increases
the correctness in the data analysis because the value chain system can be analyzed by the proper
flow of data. The flow of data is also responsible for the proper exchange of information.
Do the legwork
The success of the value chain is identified by doing the leg work as it is essential for the overall
process of value chain management. Brake bros analyse their success of value chain management

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by doing the legwork (Villamayor-Tomas, et al., 2015). The operation of the value chain is also
identified by this process and this also gives the information about adding the value in the
products.
Align key performance indicators
The key performance indicators give information regarding the performance of the value chain
and also described the criteria used to define the value chain in the process (Manning, 2015). The
value is properly defined by the use of key performance indicators.
Focus on business partnering
The proper focus in business partnering is essential to improve the value chain process in Brake
Bros and the company achieve its objectives by focusing on the business partnering. This aspect
makes the proper alignment in the supply chain and maintains the overall corporate strategy.
Seize the opportunity
The opportunity can be seized by developing collaborative partnerships which provide the proper
competitive advantage (Saenz and Revilla, 2014). This advantage extends across the value chain
of the organization. This also helps in the proper management of the value chain. The advantages
are too effective in the maintenance of the value chain in the food products.
Learn to embrace dependency
It is essential to learn the embrace dependency for integrating the better process of business and
also maintains the effective information systems (Brandon-Jones, et al., 2014). This is one of the
common aim relating to value chain management.
Look to the future
For managing the value chain management, it is important to look at the future and analyze the
information regarding the activity of the business and information system. The value chain
decides the future of the business as it maintains the attraction of consumers towards the
business.
Identify the external context

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The information regarding the external context is also important in the value chain as the several
political, social and regulatory system affect the overall value chain process in the Brake Bros
(Lowitt, et al., 2015). The business identifies all these factors for the effective value chain. The
value of the products is also depending on the external environment.


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Conclusion
From the above context, it has been concluded that there are several factors that analyze the risks
occurred in the value chain. The value chain faces several risks that are important to analyse for
the better management of the value chain. The conceptual framework regarding the value chain
management of brake Bros has been discussed in this report. As the value chain management of
the food producer faces several issues like the issue of value chain costs, issue of implementing
the better-quality products with the proper value in the market and other issue relates with the
inventory management. Apart from this several recommendations are also discussed to improve
the value chain management in the organization. The Brake Bros company needs to maintain the
value chain process for the proper value of the products. The company needs to consider risk
assessment for the proper management of the business value chain.

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References
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empirical study of small and medium-sized enterprises. Information Resources Management
Journal (IRMJ), 25(1), pp.38-60.
Brandon‐Jones, E., Squire, B., Autry, C.W. and Petersen, K.J., 2014. A contingent resource‐
based perspective of supply chain resilience and robustness. Journal of Supply Chain
Management, 50(3), pp.55-73.
Donovan, J., Franzel, S., Cunha, M., Gyau, A. and Mithöfer, D., 2015. Guides for value chain
development: a comparative review. Journal of Agribusiness in Developing and Emerging
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Fearne, A., Martinez, M.G. and Dent, B., 2012. Dimensions of sustainable value chains:
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Fiksel, J., 2015. From risk to resilience. In Resilient by design (pp. 19-34). Island Press,
Washington, DC.
Göbel, C., Langen, N., Blumenthal, A., Teitscheid, P. and Ritter, G., 2015. Cutting food waste
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Hahn, G.J. and Packowski, J., 2015. A perspective on applications of in-mHahnemory analytics
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on Environment Value Chain [J]. China Industrial Economy, 6, pp.46-52.

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