Evaluating Resiliency of Supply Chain Network: A Data Envelopment Analysis Approach

Supply chains can be vulnerable to sudden disruptions, especially when it emphasizes efficient operation. In this regard, supply chain resilience (SCR) has received attention recently to cope with disruptions and improve competitiveness. This paper presents a novel methodology to measure resilience between different configurations of a supply chain network (SCN), based on a number of influential factors. For this reason, data envelopment analysis (DEA) is employed to identify the best-practice and less-performing SCN configurations among a group of alternatives. On this basis, the extent to which a current configuration can improve its resiliency is also measured. The methodology is applied to the case of E1, a liquefied petroleum gas (LPG) company in Korea. Topological and operational measures were used as variables to assess resilience. The results suggest that the LPG supply chain in the case study requires an addition in the number and capacity of supply nodes in its network.