The Inter-play Between Performance and Risk in Supply Chain Management

Risk and performance are inseparable terms, yet how these two influence each other within sustainable supply chain management (SSCM) is still an evolving question. In this chapter, we explore various factors that influence decisions of supply chains considering risk and performance dimensions. We specifically discuss performance measurement (PM) and its characteristics and what role it plays in supply chain risk management (SCRM). The chapter includes an introduction and background of SCRM and how it links to PM. Further, it identifies dimensions of PM and options to integrate it in SCRM. The link will encourage managers to consider PM characteristics in risk management to improve overall sustainability. Emergent concerns and future directions are also presented.