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Prokop - Global Supply Chain Security and Management

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Global Supply Chain Security and Management: Appraising Programs, Preventing Crimes examines the relationship between securing a supply chain and promoting more efficient worldwide trade. Historically, the primary goal of supply chain security was guarding against theft and damage. Today, supply chains are also on the frontlines in the fight against terrorism. This book showcases industry leaders and their best practices, also exploring how the government is both a policing organization and a supply chain partner. In addition, it covers the critical roles that various technologies play, focusing on how Big Data is collected and turned into knowledge. By using the tools provided, readers will gain a stronger understanding of the challenges and opportunities faced by any organization that imports or exports products. Outlines the latest technologies being used to secure infrastructures Leverages game theory to express the strategic interactions of government and business Covers the latest U.S. regulations and provides analytical tools to help make sense of these regulations Incorporates the latest theories and techniques of industrial organization, economics, and security.

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Table of Contents
List of Figures
  1. Figures in Chapter 1
  2. Figures in Chapter 2
  3. Figures in Chapter 3
  4. Figures in Chapter 4
  5. Figures in Chapter 7
  6. Figures in Chapter 8
List of Tables
  1. Tables in Chapter 1
  2. Tables in Chapter 3
  3. Tables in Chapter 4
  4. Tables in Chapter 5
  5. Tables in Appendix: Some Useful Concepts and Analytical Tools
Landmarks
Global Supply Chain Security and Management Appraising Programs Preventing - photo 1
Global Supply Chain Security and Management
Appraising Programs, Preventing Crimes
Darren J. Prokop
Professor of Logistics, University of Alaska Anchorage
Table of Contents Copyright Butterworth-Heinemann is an imprint of Elsevier The - photo 2
Table of Contents
Copyright
Butterworth-Heinemann is an imprint of Elsevier
The Boulevard, Langford Lane, Kidlington, Oxford OX5 1GB, United Kingdom
50 Hampshire Street, 5th Floor, Cambridge, MA 02139, United States
Copyright 2017 Elsevier Inc. All rights reserved.
No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying, recording, or any information storage and retrieval system, without permission in writing from the publisher. Details on how to seek permission, further information about the Publishers permissions policies and our arrangements with organizations such as the Copyright Clearance Center and the Copyright Licensing Agency, can be found at our website: www.elsevier.com/permissions.
This book and the individual contributions contained in it are protected under copyright by the Publisher (other than as may be noted herein).
Notices
Knowledge and best practice in this field are constantly changing. As new research and experience broaden our understanding, changes in research methods, professional practices, or medical treatment may become necessary.
Practitioners and researchers must always rely on their own experience and knowledge in evaluating and using any information, methods, compounds, or experiments described herein. In using such information or methods they should be mindful of their own safety and the safety of others, including parties for whom they have a professional responsibility.
To the fullest extent of the law, neither the Publisher nor the authors, contributors, or editors, assume any liability for any injury and/or damage to persons or property as a matter of products liability, negligence or otherwise, or from any use or operation of any methods, products, instructions, or ideas contained in the material herein.
Library of Congress Cataloging-in-Publication Data
A catalog record for this book is available from the Library of Congress
British Library Cataloguing-in-Publication Data
A catalogue record for this book is available from the British Library
ISBN: 978-0-12-800748-8
For information on all Butterworth-Heinemann publications visit our website at https://www.elsevier.com/books-and-journals

Publisher Candice Janco Acquisition Editor Sara Scott Editorial Project - photo 3

Publisher: Candice Janco
Acquisition Editor: Sara Scott
Editorial Project Manager: Emily Thomson
Production Project Manager: Paul Prasad Chandramohan
Designer: Mark Rogers
Typeset by TNQ Books and Journals
Dedication

This book is dedicated to my parents, Daniel and Helen, for teaching me how to dream and to my wife, Stephanie, for fulfilling my dreams.

Preface
This book presents a detailed overview and appraisal of supply chain management in the context of security. In most books dealing with supply chain management the government is taken to be a rather nebulous entity; and when it does appear it is usually as a source of preexisting constraints to business. These constraints would involve compliance with the tax system, honoring contracts, obeying laws and regulations, etc. In other words, government is exogenous to supply chains and to the strategic planning involved in setting them up. In the context of supply chain security, however, the government is a prominent player; indeed, it has a place in the supply chain alongside traditional vendors, producers, consumers, and transportation providers. All of these players have a role in helping to secure the supply chain over various areas of vulnerability. These areas include items in storage, items on the move, and data in cyberspace.
The post-9/11 world is one punctuated by concerns over security. Furthermore, many security programs are in a state of flux. Government is playing its traditional role of policing business activity; but it is also offering a role as a supply chain partner to businesses. This is occurring not only in crime and terror prevention but in natural disaster and emergency management. This book examines government in its dual role of policing and partnering. Building government into the supply chain highlights one of the tensions that is a recurring theme in the book. Basically, partnership is an important ingredient in supply chain management; but the government has the unilateral power to decide when to replace partnership with law enforcement. How should businesses plan and implement their security procedures when dealing with this special partner?
This book highlights other tensions apart from partnering and policing. Proceeding from the establishment of trust to actual cooperation is an important journey that all supply chain partners need to make. Using a game theoretic framework the process of how to achieve a cooperative result is examined. This also includes whether or not a cooperative outcome is a stable one.
There is a tension between making decisions through algorithms and through human experience and reflection. New technologies are emerging which may revolutionize the practice of supply chain management and the gathering of information necessary to secure supply chains. Data can be shared quickly along a supply chain connected by a computer network. Items can be tracked as they move along transportation routes and through particular access points. Advances in Big Data mean that an avalanche of data can be generated over a short period of time. However, human judgment is still necessary to separate data from noise and turn the data into useful information. In other words, a technology is only as useful as the people who can use it to make meaningful decisions.
With so many moving parts to todays international supply chains and so many points where vulnerabilities may reside, it may be difficult to maintain a so-called efficient operation. Indeed, if a crisis occurs or a threat needs to be reacted to the process can be messy and chaotic. At this point it is a matter of being effective as opposed to efficient. Effectiveness involves getting a handle on the disruption/disaster as fast as possible with as much resources as possible. This is not efficient; that is, it is not a process based on market signals and negotiating. Efficiency is a luxury when normalcy has returned to the supply chain.
Finally, there is a tension between trade flows and security programs. A supply chain with no logistics (i.e., no flows of items, people, etc. between partners spread over distances) would resemble a series of isolated fortifications. Certainly, these are easier to secure; but it is the flow of trade which fuels competition, incentivizes cost control, and spurs innovation. So, if trade is good for the economy it means that securing supply chains will face the challenge of dealing with distance, multiple routes of transportation, and multiple ports of entry. Since 9/11 the US government has developed several programs to address these challenges. Many have had the benefit of private sector input. Yet, tensions remain. Security is a transaction cost; and any extra cost comes at the expense of some foregone production and trade. On the other hand, security programs are necessary to deal with any potential or realized threat. It is not an option in todays economy to leave a supply chain completely unsecured. Crime, terrorism, and natural disasters are a fact of life and resources must be devoted to dealing with them.
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