Supply Chain Disruption Factors and Influences in Industrial Manufacturing and Technology Industries

Authors

  • Adrish Kar American High School
  • Joshua Eaton United States Military Academy at West Point

DOI:

https://doi.org/10.47611/jsrhs.v11i4.3725

Keywords:

supply chain network, disruption factor, pandemic, principal component analysis, exploratory factor analysis

Abstract

Objective: This paper investigates the main supply chain disruption factors and influences in a set of industrial manufacturing and technology industries as well as the relationships that exist between them. Background: Disruption factors are obstacles that impede a manufacturing company filling customer orders and are treated as the main causal factors in this study. The number of unfilled orders of an industry is any obligation to provide a good or service that has not been met and is used as the main response variable in this research. Methods: Principal component analysis and exploratory factor analysis are both variable reduction techniques that were utilized together in order to isolate latent constructs behind disruption factors and identify significant disruption factors contributing to the unfilled orders for each industry. Results: Across a majority of manufacturing industries, insufficient supply of materials, equipment limitations, logistics/transportation constraints, and storage limitations were observed to be amplified significantly as disruption factors by the pandemic. Conclusions: This research reveals the disruption factors that were exacerbated by the pandemic in a set of certain industrial manufacturing and technology industries that were not extensively examined by previous research and strongly corroborate existing literature on the general challenges imposed by the pandemic on supply chain networks. This work also provides a future research objective of improving supply chain resilience.

Downloads

Download data is not yet available.

Author Biography

Joshua Eaton, United States Military Academy at West Point

Professor at Northcentral University and several other colleges and universities.

Assistant Professor at the United States Military Academy at West Point, NY.

References or Bibliography

Abdi, H., & Williams, L. J. (2010). Principal component analysis. Wiley Interdisciplinary Reviews: Computational Statistics, 2(4), 433–459. https://doi.org/10.1002/wics.101

Analysis of a pandemic-induced metals market. Creation Tech. (2021, April 21). Retrieved from https://www.creationtech.com/analysis-of-a-pandemic-induced-metals-market/

Bock, T. (2022, August 24). Factor analysis and principal component analysis. Displayr. Retrieved from https://www.displayr.com/factor-analysis-and-principal-component-analysis-a-simple-explanation/

Chowdhury, P., Paul, S. K., Kaisar, S., & Moktadir, M. A. (2021). Covid-19 pandemic related supply chain studies: A systematic review. Transportation Research Part E: Logistics and Transportation Review, 148, 102271. https://doi.org/10.1016/j.tre.2021.102271

Cudeck, R. (2000). Exploratory factor analysis. Handbook of Applied Multivariate Statistics and Mathematical Modeling, 265–296. https://doi.org/10.1016/b978-012691360-6/50011-2

Esper, T. L. (2020). Supply Chain Management amid the coronavirus pandemic. Journal of Public Policy & Marketing, 40(1), 101–102. https://doi.org/10.1177/0743915620932150

Helper, S., & Soltas, E. (2021, November 30). Why the pandemic has disrupted supply chains. The White House. Retrieved from https://www.whitehouse.gov/cea/written-materials/2021/06/17/why-the-pandemic-has-disrupted-supply-chains/

Kenton, W. (2022, July 8). Capacity utilization rate. Investopedia. Retrieved from https://www.investopedia.com/terms/c/capacityutilizationrate.asp

Kenton, W. (2022, July 8). Reading into factory orders. Investopedia. Retrieved from https://www.investopedia.com/terms/f/factory-orders.asp#:~:text=The%20factory%20orders%20report%20includes,Shipments%2C%20which%20indicate%20current%20sales

Okubo, N., & Stewart, D. (2020). The computer comeback pcs surge due to COVID-19 - Deloitte. Deloitte. Retrieved from https://www2.deloitte.com/content/dam/Deloitte/global/Documents/Technology-Media-Telecommunications/gx-tmt-the-computer-comeback-pcs-surge-due-to-covid-19.pdf

Pinto, V., & Dutta, A. (2020, May 25). Home appliances remain immune to Covid, lockdown relaxation boosts demand. Business Standard News. Retrieved August 31, 2022, from https://www.business-standard.com/article/companies/home-appliances-remain-immune-to-covid-lockdown-relaxation-boosts-demand-120052501237_1.html

Princomp: Principal Components Analysis. RDocumentation. (n.d.). Retrieved from https://www.rdocumentation.org/packages/stats/versions/3.6.2/topics/princomp

Quarterly Survey of Plant Capacity Utilization (QPC) Tables. US Census Bureau. (2021, October 8). Retrieved from https://www.census.gov/programs-surveys/qpc/data/tables.html

Sharma, A., Adhikary, A., & Borah, S. B. (2020). Covid-19′s impact on supply chain decisions: Strategic insights from NASDAQ 100 firms using Twitter Data. Journal of Business Research, 117, 443–449. https://doi.org/10.1016/j.jbusres.2020.05.035

Shih, W. (2022, August 9). Global supply chains in a post-pandemic world. Harvard Business Review. Retrieved from https://hbr.org/2020/09/global-supply-chains-in-a-post-pandemic-world

Suhr, D. (2007). Principal component analysis vs. Exploratory Factor Analysis. Statistics and Data Analysis, 150–160. https://doi.org/10.1.1.444.2964

Unfilled orders. The Financial Dictionary. (n.d.). Retrieved from https://financial-dictionary.thefreedictionary.com/Unfilled+Orders#:~:text=Any%20obligation%20to%20provide%20a,of%20a%20company's%20supply%20chain.

Published

11-30-2022

How to Cite

Kar, A., & Eaton, J. (2022). Supply Chain Disruption Factors and Influences in Industrial Manufacturing and Technology Industries. Journal of Student Research, 11(4). https://doi.org/10.47611/jsrhs.v11i4.3725

Issue

Section

HS Research Articles