The risk assessment analysis of corn chips supply chain using Fuzzy FMEA

Abstract

Abstract Lembah Hijau is one of the SMEs which produces corn chips in Lamongan District. This SME cooperates with corn farmers and retailers who joined the supply chain of corn chips. The uncertainty of the maize cropping pattern, the production process that depends on weather conditions, and the demand for fluctuating corn chips are the factors that can trigger a variety of risks. The research objective was to identify and assess the risk of corn chips’ supply chain in Lembah Hijau and to mitigate the risks. The method used to assess the risk is Fuzzy Failure Mode Effect Analysis (FMEA) by using the questionnaires which were filled by five expert respondents. The raw material, production process and marketing are the variables that will be reviewed. The results showed that by identifying the risk of corn chip supply chain, 14 risks consisting of 3 risks in the raw material variable, 6 risks in the production process variable and 5 risks in the marketing variables were found. Based on the highest Fuzzy Risk Priority Number value of raw material variable, the risk found was the fluctuation of corn price. Meanwhile, the risk in the production process variable was the weather conditions that do not support the production process and the risk in the marketing variable was the return of corn chips product.