Risk Analysis for Digitalization Oriented Sustainable Supply Chain Using Interval-Valued Pythagorean Fuzzy AHP

Abstract

Digitalization arising with advancements in technologies offers immense opportunities for the supply chain. The digitalization provides raised value creation and productivity advantages in terms of optimized processes and systems, better resource management, and smarter supply chains. Therefore, with digitalization, organizations consider the adoption of sustainable practices in their supply chains as both a competitive advantage and a necessity for long-term survival. However, the development and implementation of sustainable supply chains include many risks, largely due to the existence of several risks such as economic, technological, political, social, and the lack of resources. Sustainable supply chains in a digital environment are an important issue that needs to be addressed due to these risks. This study is to examine the risks towards the advancement of technology more closely on sustainable supply chain environments. The aim is to create a model that evaluates the risks that can be encountered under the digitalization perspective of the sustainable supply chain. Firstly, in this study, the main and sub-criteria of the risk assessment model are determined by a comprehensive literature review and experts’ opinion. Subsequently, the interval-valued Pythagorean fuzzy analytic hierarchy process (IVPF-AHP) method is used to evaluate the related risks arising in the sustainable supply chain with digitalization.