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Resilience of Supply Chain Networks to Labor Disruptions

This study introduces a supply chain network efficiency measure for networks with labor and associated bounds on labor availability. It also proposes two resilience measures with respect to (1) labor availability disruptions and (2) labor productivity disruptions. Solving five distinct supply chain network examples, we find (1) a free movement of labor across the supply chain network results in a higher efficiency of the supply chain as well as a higher resilience, (2) a reduction in labor productivity can impact the supply chain network efficiency and the corresponding resilience, and (3) the presence of electronic commerce escalates the efficiency of the supply chain network but diminishes resilience.