Flood Risks and Impacts Future Research Questions and Implication to Private Investment Decision-Making for Supply Chain Networks

The goal of this paper is to investigate the impact of floods on the global economy through supply chains, and to propose what components should be considered to measure supply chain risk. This study will examine, in particular, Thailand’s 2011 flood since it is the most notable example of the impact of floods both on industries and the whole economy. Since the prolonged floods affected the primary industrial sectors in Thailand, i.e., the automotive and electronics industries, the impact on the whole economy was devastating. The impact of natural hazards on the supply chain is increasing. However, the impact on each firm that is exposed is different depending on how well they are prepared and how they respond to the risks. Designing supply chains in a more resilient way will ultimately reduce risks to the economy. Comparing different supply chains and industries’ structure in the case of Thailand’s flooding, we identify which components should be considered in private investment decision-making and propose potential questions for future research. Table of