20. TISM-Based Model to Evaluate the Flexibility Index of a Supply Chain

In the present era of global competition, organizations are trying to improve the effectiveness of the whole chain of organizations involved from raw material to delivery of the final product to the consumer. In this regard, supply chain management plays a crucial role. Uncertainty and variation in customers’ demand call for flexible supply chains. Supply chain flexibility gives an idea of interorganizational relationships. In many industries, supply chain flexibility is becoming a more and more important concept for gaining competitive advantages. By the design and use of strategic supply chain networks, significant improvements of supply chain flexibility can be achieved to improve the overall flexibility of the supply chain. Without analyzing the supply chain flexibility adequately, it is difficult to manage and organize the flow of material and information necessary for coordination in the supply chain. This chapter aims to find the main flexibility factors in a supply chain and development of the structural framework by using the interpretive structural modeling (ISM) approach. Further, this ISM model is used to suggest a framework for evaluating the flexibility index of a supply chain. The application of this framework is explained with the help of a case example. This approach of evaluating the flexibility index will be highly useful to map their flexibility parameters and for taking corrective measures.