At the MIT Center for Transportation & Logistics

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Optimal Allocation of Risk Mitigation Investments

Authors:
Jessica Mo, Rishi Raghav Sanker
MIT Supply Chain Management Program (SCM)



Summary:
The sponsor company (Tempur Sealy or TSI) aims to explore the end-to-end (E2E) supply chain risks associated with one of its premium product lines, Tempur-Pedic mattresses. Currently, TSI implements risk mitigation strategies within various functions of the supply chain to ensure resiliency and an uninterrupted product flow to its customers; however, these investments are not coordinated across departments and are executed independently. TSI aims to improve visibility and integration of risk-mitigation investments to strengthen overall organizational resiliency.


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