Risk Assessment in Sustainable Supply Chain: Theoretical and Managerial Implications for Circular Economy in Emerging Economies

In recent times, sustainable supply chain (SSC) management has received significant attention from academics and industries. Due to its complex nature, various risk sources are involved in SSCs. Thus, evaluation of risks in SSC becomes critical in enhancing the resilience and efficiency. Accordingly, this paper develops a framework for evaluating the most influential risks in an SSC using multi-criteria decision-making method. Using a data triangulation strategy, the study finalized 20 risks from the list of 25 risks. The finalized risks are evaluated and prioritized using multi-objective optimization ratio analysis technique. The findings show that the environmental supply chain is critical for SSC as it plays a key role in enhancing SSC performance. Based on the outcomes, the study suggests that the industries should prefer closed-loop supply chain practices rather than traditional linear supply chain practices. Also, the industries must incorporate 6R (Rethink, Refuse, Reduce, Reuse, Recycle, Repair) practices in the regular industrial activities. Furthermore, the findings help academics and industrial managers to achieve sustainability and circularity in supply chains.