Supply Chain Resilience : A Review from the Inventory Management Perspective

In the wake of the COVID-19 pandemic, severe economic damage and product shortages caused by demand surges and supply disruptions have prompted interests in strategies and tools for building resilient supply chains. The recent geopolitical conflicts as well as increased frequency of natural disasters caused by climate change further intensify this interest. Stockpiling, multi-sourcing, capacity reservation, and flexible supply contracts are the most basic and effective strategies that have been widely used in practice for larger and unpredictable events. This article reviews the related literature on supply chain resilience from the inventory management perspective. Specifcally, we discuss the inventory-related strategies that are applied to hedge against demand and supply risks. For each strategy, we summarize the implementation challenges, current research, as well as opportunities for future research