Supply Chain Risk Management For Small And Medium Enterprises In Construction Projects

Abstract

The Construction Industry In India, Particularly In Maharashtra, Relies Heavily On Small And Medium Enterprises (SMEs) For Project Execution, Yet These Firms Face Significant Vulnerabilities Due To Fragmented And Complex Supply Chains. This Study Investigates Supply Chain Risk Management (SCRM) Practices Tailored For Construction SMEs, Addressing A Critical Gap In Sector-specific Risk Mitigation Strategies. Through A Mixed-methods Approach Involving Surveys, Semi-structured Interviews With SME Owners, Project Managers, And Suppliers, Along With Case Studies Of Ongoing Construction Projects In Maharashtra, The Research Identified Key Supply Chain Risks Such As Material Price Volatility, Supplier Delays, Transportation Disruptions, Quality Inconsistencies, Regulatory Uncertainties, And Financial Liquidity Issues.The Assessment Revealed That Risks Related To Raw Material Procurement And Logistics Have Particularly High Likelihood And Severity, Yet They Are Often Inadequately Managed Due To Limited Resources, Lack Of Formal Risk Protocols, And Low Technological Adoption Among SMEs. The Study Further Highlights The Predominantly Reactive Nature Of Current Risk Management Practices And The Associated Operational Challenges. To Address These Issues, The Research Proposes A Simplified, Practical Four-phase SCRM Framework Encompassing Risk Identification, Assessment, Mitigation, And Continuous Monitoring. This Framework Integrates Low-cost Tools, Stakeholder Collaboration Mechanisms, And Localized Strategies Suitable For Resource-constrained SMEs.

Keywords