Abstract

http://ssrn.com/abstract=1135679
 
 

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Security-Preparedness of Firms in U.S. Food Supply Chain


Swati Agiwal


University of Minnesota - Twin Cities - Department of Applied Economics

Hamid Mohtadi


University of Wisconsin - Milwaukee

Jean Kinsey


University of Minnesota - Twin Cities - Department of Applied Economics

2008

2008 Industry Studies Conference Paper

Abstract:     
The growing interdependence of firms across the globe with seeming rise in the incidence of both intentional and unintentional security events (terrorism, food contamination, etc.), has exposed, and often contributed to, the vulnerabilities of many firms and their supply chain partners.

It is increasingly imperative that the firms be prepared to be able to protect and defend themselves against such security threats. With this paper we attempt to understand this preparedness, which we consider an ex ante construct, specifically for the firms in the food industry, and find a way to measure it. The highlights of this paper are (1) the unique dataset on firms in the food supply chain across U.S. detailing their security practices, (2) a novel approach to analyzing this dataset using Latent Trait Analysis that allows us to uncover the underlying strength and weakness of firms in their security practices and (3) analysis with which we are able to relate firms' security practices with firm characteristics, such as market area, supply chain scope and firm size. Our preliminary analyses reveal some interesting results on what firms do and how firm characteristics bring about differences in firms' security preparedness, ex ante. We find four distinct latent factors for explaining different facets of security preparedness, two of which are supply chain collaboration and physical security preparedness. We then also analyze the influence of firm and respondent demographics on each of the dimensions of preparedness. Firm size, supply chain scope, market area and tax status of the firm are some of the variables that emerge as as important characteristics that impact security preparedness in supply chains.

Number of Pages in PDF File: 36

Keywords: security, supply chain, latent trait analysis

JEL Classification: L10, L80

working papers series


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Date posted: May 22, 2008  

Suggested Citation

Agiwal, Swati and Mohtadi, Hamid and Kinsey, Jean, Security-Preparedness of Firms in U.S. Food Supply Chain (2008). 2008 Industry Studies Conference Paper. Available at SSRN: http://ssrn.com/abstract=1135679 or http://dx.doi.org/10.2139/ssrn.1135679

Contact Information

Swati Agiwal (Contact Author)
University of Minnesota - Twin Cities - Department of Applied Economics ( email )
MN
United States
Hamid Mohtadi
University of Wisconsin - Milwaukee ( email )
Department of Economics
Milwaukee, WI 53211
United States
Jean Kinsey
University of Minnesota - Twin Cities - Department of Applied Economics
MN
United States
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