Analysis of Sourcing Mitigation Using Integrated House of Risk (HOR) (Case Study at Cebongan Bamboo Center, Sleman, Yogyakarta)

Abstract

Cebongan Bamboo Center is one of the community industries engaged in bamboo in Sleman, Yogyakarta. The evaluation for suppliers needs to be determined by SMEs to solve the problem of delay in product delivery to the customer, the problem includes the absence of any agreement, sign on paper when negotiating, and problem of raw material delays from suppliers. So, to identify those problems, House of Risk (HOR) and Analytical Network Process (ANP) will be used. To identify and measure the potential risks that exist and determine the priorities of the risks used House of Risk (HOR). In HOR, it was found that in the supply chain activity of bamboo materials, 23 risk events and 19 risk agents were identified. From the results of the HOR 1, it was obtained 4 selected risk agents related to sourcing that would be taken into consideration in mitigation actions. Then, from the results of the HOR 2, 5 mitigation actions can be used, with the hope of being able to mitigate risks in sourcing at Cebongan Bamboo Center. At the stage of ANP, the interview results and questionnaire that have been collected then obtained 5 criteria, 12 sub-criteria, and 5 alternatives. The result of the ideal alternative weight priority is Sleman supplier (Mr Heri) with 0.102054, Sleman supplier (Mr Aris) in the second position with 0.981747, Magelang supplier (Mr Yadi) in 3rd position with 0.838332, Kulon Progo supplier (Mr Jayus) in rank 4 with 0.833874, and Sleman supplier (Mr Ujang) last ranked with 0.782389.