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Investigation of the Effect of e-Platform Information Security Breaches: A Small and Medium Enterprise Supply Chain Perspective

Durowoju, O, Chan, HK and Wang, X (2020) Investigation of the Effect of e-Platform Information Security Breaches: A Small and Medium Enterprise Supply Chain Perspective. IEEE Transactions on Engineering Management. ISSN 0018-9391

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Many small and medium enterprises (SMEs) engage in dyadic information integration partnerships or partial integration with their direct suppliers and customers. They often utilise e-commerce or cloud computing technology platforms hosted by third-party providers to leverage such partnerships. However, information security breaches and disruptions caused by cyber-attacks are commonplace in the IT industry. The effects of said disruptions and breaches on e-commerce businesses under varied disruption conditions are still uncertain. Furthermore, the effect of security breaches on non-participating members of the supply chain is poorly understood, especially under various disruption profiles. Using discrete event modelling, this study explores the impact of disruption caused by information security breaches on supply chain performance and the externality effect of partial integration on non-participants. We also examine the impact of breach disruption frequency and remediation length on supply chain performance with varying levels of information sharing. These impacts were studied under two typical inventory replenishment policies for SMEs. It was determined that remediation length should be a prioritised factor in impact management and that flexibility in the inventory replenishment policy can help mitigate the impact of information disruption on the inventory performance of businesses, especially that of non-participants, in information-sharing partnerships.

Item Type: Article
Additional Information: © 2020 IEEE. Personal use of this material is permitted. Permission from IEEE must be obtained for all other uses, in any current or future media, including reprinting/republishing this material for advertising or promotional purposes, creating new collective works, for resale or redistribution to servers or lists, or reuse of any copyrighted component of this work in other works
Uncontrolled Keywords: 08 Information and Computing Sciences, 09 Engineering, 15 Commerce, Management, Tourism and Services
Subjects: H Social Sciences > HF Commerce > HF5001 Business
H Social Sciences > HF Commerce
Q Science > QA Mathematics > QA75 Electronic computers. Computer science
Divisions: Business & Management (from Sep 19)
Publisher: Institute of Electrical and Electronics Engineers
Date Deposited: 14 Jul 2020 14:39
Last Modified: 04 Sep 2021 07:00
DOI or ID number: 10.1109/TEM.2020.3008827
URI: https://researchonline.ljmu.ac.uk/id/eprint/13301
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