Risk Management in Air Cargo Delivery: Addressing with the House of Risk Framework

Mustika Sari, Muhammad Riffat, Nursery Alfaridi Nasution, Reni Dian Octaviani

Abstract


Objective: The purpose of this study was to identify the root reasons of delayed products delivery and to create risk-reduction plans for logistics service providers that use air transportation.
Methodology: The House of Risk (HOR) approach was utilized, which entailed in-depth interviews and questionnaires filled out by people who were knowledgeable about the problem.
Findings: Twelve separate risk events were found, and eighteen risk agents were shown to be involved in these delays. Nine of them were identified as priority risk agents, indicating that they were the main reasons for the delays. In order to limit the hazards identified, the study developed eight preventive strategies that were carefully sequenced to address these difficulties. The study's conclusions are meant to help the business put the suggested mitigation plans into practice. These strategies specifically seek to lower or limit the possibility of delays when carrying air cargo. By putting these strategies into practice, the company may improve the dependability and efficiency of its logistics processes, guaranteeing the timely delivery of goods.
Conclusion: The ultimate goal of the research is to provide the organization with practical and effective strategies to reduce or eliminate the probability of disruptions in their logistical operations, particularly concerning aviation cargo shipments bound to Papua. By implementing the recommended preventive measures, the company is expected to increase the dependability and efficacy of their logistics operations, which is the anticipated result of this research. Through the implementation of this strategic approach, the company can effectively bolster customer satisfaction, sustain a competitive advantage within the logistics sector, and ensure punctual deliveries.


Keywords


Risk Management; Air Cargo; House of Risk

Full Text:

PDF

References


Bartle, J. R., Lutte, R. K., & Leuenberger, D. Z. (2021). Sustainability and air freight transportation: Lessons from the global pandemic. Sustainability (Switzerland), 13(7), 1–13. https://doi.org/10.3390/su13073738

Bartulovic, D., Abramovic, B., Brnjac, N., & Steiner, S. (2022). Role of air freight transport in intermodal supply chains. Transportation Research Procedia, 64(C), 119–127. https://doi.org/10.1016/j.trpro.2022.09.015

Budd, L., & Ison, S. (2022). The impact of COVID-19 on air cargo logistics and supply chains. In Transportation Amid Pandemics: Lessons Learned from COVID-19. Elsevier Inc. https://doi.org/10.1016/B978-0-323-99770-6.00020-X

Choi, T. M. (2021). Risk analysis in logistics systems: A research agenda during and after the COVID-19 pandemic. Transportation Research Part E: Logistics and Transportation Review, 145(November 2020). https://doi.org/10.1016/j.tre.2020.102190

Davis, J., & Vogt, J. (2021). Hidden Supply Chain Risk and Incoterms®: Analysis and Mitigation Strategies. Journal of Risk and Financial Management, 14(12). https://doi.org/10.3390/jrfm14120619

Delgado, F., Sirhan, C., Katscher, M., & Larrain, H. (2020). Recovering from demand disruptions on an air cargo network. Journal of Air Transport Management, 85(May 2019). https://doi.org/10.1016/j.jairtraman.2020.101799

Fahmy, R., & Hariningsih, E. (2021). The Impact of Supply Chain Management Integration on Operational The Impact of Supply Chain Management Integration on Operational Performance. Wahana Jurnal Ekonomi Manajemen Dan Akuntansi, 24(June). https://doi.org/10.35591/wahana.v24i1.328

Huan, S. H., Sheoran, S. K., & Wan, G. (2004). A review and analysis of supply chain operations reference (SCOR) model. Supply Chain Management, 9(1), 23–29. https://doi.org/10.1108/13598540410517557

International Air Transport Association (IATA). (2018). Annual Review 2018. In IATA (Vol. 65, Issue 12). https://doi.org/10.1515/auto-2017-0118

Kurniawan, S., Marzuky, D., Ryanto, R., & Agustine, V. (2021). Risk and Supply Chain Mitigation Analysis Using House of Risk Method and Analytical Network Process (A Case Study on Palm Oil Company). The Winners, 22(2), 123–136. https://doi.org/10.21512/tw.v22i2.7056

Listiyono, F. Z., Samsuri, A. P., Lazuardi, M. F., & Informatika, T. (2024). Metode Scor Dan Ahp. 8(3), 4200–4208.

Liu, Y., Yin, M., & Hansen, M. (2019). Economic costs of air cargo flight delays related to late package deliveries. Transportation Research Part E: Logistics and Transportation Review, 125(March), 388–401. https://doi.org/10.1016/j.tre.2019.03.017

Oktarina, R., & Gunawan, S. (2022). House of Risk (HOR) Analysis as a Supply Chain Risk Mitigation Method at CV. XYZ. The 3rd South American International Industrial Engineering and Operation Management, 1203–1213. https://doi.org/10.46254/sa03.20220253

Palengka, G. J., Vikaliana, R., & Utami, P. (2024). Supply Chain Risk Mitigation Using the House of Risk Approach: Evidence in an Indonesian Catering Company. KnE Social Sciences, 2024, 476–498. https://doi.org/10.18502/kss.v9i16.16265

Putri, Y. D., Huda, L. N., & Sinulingga, S. (2019). The concept of supply chain management performance measurement with the supply chain operation reference model (Journal review). IOP Conference Series: Materials Science and Engineering, 505(1). https://doi.org/10.1088/1757-899X/505/1/012011

Rachmadhani, M. M., Immawan, T., Mansur, A., & Choi, W. (2023). Risk Management Framework Design Based on ISO 31000 and SCOR Model. Spektrum Industri, 21(1), 41–51. https://doi.org/10.12928/si.v21i1.93

Sahoo, R., Pasayat, A. K., Bhowmick, B., Fernandes, K., & Tiwari, M. K. (2022). A hybrid ensemble learning-based prediction model to minimise delay in air cargo transport using bagging and stacking. International Journal of Production Research, 60(2), 644–660. https://doi.org/10.1080/00207543.2021.2013563

Wibowo, D. A., & Ahyudanari, E. (2021). Application of House of Risk (Hor) Models for Risk Mitigation of Procurement in The Balikpapan Samarinda Toll Road Project. IPTEK Journal of Proceedings Series, 0(1), 172. https://doi.org/10.12962/j23546026.y2020i1.8481

Wong, E. Y. C., Mo, D. Y., & So, S. (2021). Closed-loop digital twin system for air cargo load planning operations. International Journal of Computer Integrated Manufacturing, 34(7–8), 801–813. https://doi.org/10.1080/0951192X.2020.1775299

Zhao, L., & Huchzermeier, A. (2018). Supply Chain Risk Management. In EURO Advanced Tutorials on Operational Research. https://doi.org/10.1007/978-3-319-76663-8_3

Zhu, L., Wu, Y., Smith, H., & Luo, J. (2023). Optimisation of containerised air cargo forwarding plans considering a hub consolidation process with cargo loading. Journal of the Operational Research Society, 74(3), 777–796. https://doi.org/10.1080/01605682.2022.2096493




DOI: http://dx.doi.org/10.22441/jurnal_mix.2025.v15i2.020

Refbacks

  • There are currently no refbacks.


MIX: Jurnal Ilmiah Manajemen
Journal URL: http://publikasi.mercubuana.ac.id/index.php/Jurnal_Mix
Journal DOI: 10.22441/jurnal_mix
P-ISSN: 2088-1231
E-ISSN: 2460-5328

Editor's Address:

Magister Management Department, Universitas Mercu Buana.
Tedja Buana Building 4th Floor.
Jl. Menteng Raya No. 29, Jakarta 10340.

The Journal is Indexed and Abstracting by:

Web Analytics Made Easy - StatCounter
View My Stats