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The resilience of energy supply chains: a multiple case study approach on oil and gas supply chains to Europe
Cross-border Research Association, Lausanne, Switzerland; Department of Industrial Engineering, University of Borås, Borås, Sweden . (Industrial engineering and management)ORCID iD: 0000-0002-9417-9421
Cross-Border Research Association.
Cross-Border Research Association.
Vrije University.
2014 (English)In: Supply chain management, ISSN 1359-8546, E-ISSN 1758-6852, Vol. 19, no 1, p. 46-63Article in journal (Refereed) [Artistic work] Published
Abstract [en]

Purpose– The purpose of this paper is to enhance the understanding about how energy supply chains work to build resilience against exogenous security threats and thereafter what support mechanisms should be introduced or improved by the European Union.Design/methodology/approach– Five case studies and data collection from multiple sources is used to understand what exogenous security threats could lead to the disruption of oil and gas flows to Europe, how energy companies, from a supply chain perspective, are working to manage these threats and finally, how the EU may coordinate the security of the energy sector in collaboration with supply chain companies.Findings– Results show that today, oil and gas supply chains have in place a good combination of disruption strategies, including portfolio diversification, flexible contracts, transport capacity planning and safety stocks. The most relevant security threats the companies fear, include hijacking of vessels (sea piracy), but also terrorism, and wars. Finally, the study highlights that the European Union has built a comprehensive portfolio of strategies to deal with scarcity of oil and gas resources. However, these approaches are not often synchronized with supply chain strategies.Practical implications– The paper provides guidance for supply chain managers dealing with critical suppliers located in conflict environments. The paper recommends that supply chain managers fine tune their strategies in coordination with governmental actions in foreign politics, dependence reduction and crisis management. This may be achieved by closer communication with governments and potentially through the creation of a pan-European sector alliance.Originality/value– Previous research discusses the topic of supply chain resilience and supply chain risk management. However, none of these studies report on exogenous security threats and disruption strategies of oil and gas supply chains. At the same time, previous research lacks detailed studies describing the interaction between governments and energy supply chains.

Place, publisher, year, edition, pages
Emerald Group Publishing Limited, 2014. Vol. 19, no 1, p. 46-63
Keywords [en]
Supply chain risk management, Supply chain resilience, Supply chain security, Critical supplies, Energy security, Supply chain strategies
National Category
Social Sciences
Research subject
Industrial Economics and Management
Identifiers
URN: urn:nbn:se:kth:diva-246109DOI: 10.1108/SCM-09-2012-0307ISI: 000330422200005Scopus ID: 2-s2.0-84892421908OAI: oai:DiVA.org:kth-246109DiVA, id: diva2:1295902
Note

QC 20190318

Available from: 2019-03-13 Created: 2019-03-13 Last updated: 2019-03-18Bibliographically approved

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