A risk assessment framework using neutrosophic theory for the halal supply chain under an uncertain environment

Abstract

PurposeThe complex network structure causes several disruptions in the supply chain that make risk management essential for supply chain management including halal supply chain (HSM). During risk management, several challenges are associated with the risk assessment phase, such as incomplete and uncertain information about the system. To cater this, the authors propose a risk assessment framework that addresses the issues of uncertainty using neutrosophic theory and demonstrated the applicability of the proposed framework through the case of halal supply chain management (HSCM).Design/methodology/approachThe proposed framework is using the capabilities of the neutrosophic number which can handle uncertain, vague and incomplete information. Initially, the risk related to the HSC is identified through a literature review and expert’s input. Further, the probability and impact of each HSM-related risk are assessed using experts’ input through linguistic terms. These linguistic values are transformed into single-value trapezoidal neutrosophic numbers (SVTNNs). Finally, the severity of each HSM-related risk is determined through the multiplication of the probability and impact of each risk and prioritised the risks based on their severity.FindingsA comprehensive risk assessment framework is developed that could be used under uncertainty. Initially, 16 risks are identified related to the HSM. Further, the identified risks are prioritised using the severity of the risks. The high-priority risk is “raw material status”, “raw material wholesomeness” and “origin of raw material” while “information integrity” and “people integrity” are low-priority risks.Practical implicationsHSM risk can be effectively assessed through the proposed framework. The proposed framework applied neutrosophic numbers to represent real-life situations, and it could be used for other supply chains as well.Originality/valueThe proposed method is effectively addressing the issue of linguistic subjectivity, inconsistent information and uncertainty in the expert’s opinion. A case study of the HSC is adopted to illustrate the efficiency and applicability of the proposed risk framework.