Author(s): Walailak Atthirawong, Wariya Panprung
Known as the “Detroit of Asia”, Thailand has long been renowned as the primary manufacturer of automobiles among ASEAN countries and has been recognized in economic success story. For Japanese manufacturers, the country is very attractive as the first choice of automobile manufacturing main base. Definitely, motor parts require a lot of components and piece parts causing supply chain very complex to the automotive industry and unavoidably more potential risk factors. This research aims to identify factors that affect supply chain risks in the automotive parts manufacture and prioritize such the risks according to the levels of impacts. A survey research design was employed and data was collected from questionnaire survey to at first identify risks. Also, factor analysis was conducted to identify factors that would potentially affect such the risks in Automotive Part Manufactures. From the analysis, five criteria were extracted; i.e.,1) supply risk, 2) external risk, 3) demand risk, 4) production planning risk, and 5) technological risk. Entropy and TOPSIS methods were further applied to rank those criteria. It was revealed that production planning risk should be considered and focused as the highest impact, whereas supply risk and external risk were ranked in the same level at the second priority. Recommendations for reducing the risks are also discussed.