Disruption Risk Evaluation on Large-scale Production Network with Establishments and Products
<|reference_start|>Disruption Risk Evaluation on Large-scale Production Network with Establishments and Products: We constructed an establishment-level production network where each establishment inputs and outputs multiple products, using data that includes the firm-level production network and establishments covering nearly all Japanese entities. The network represents the manufacturing sector with 183,951 establishments across 157,537 firms and 919,982 inter-establishment linkages. A probabilistic model of supply chain disruptions was applied to this network. The key findings are as follows: (1) The establishment-level network exhibits greater shock propagation compared to the firm-level network. (2) Incorporating actual product information leads to a larger impact on propagation compared to using industry-level information. (3) Regional shock simulations reveal that while the firm-level network shows greater shock propagation when the shock originates in Tokyo, no such difference is observed in the establishment-level network.<|reference_end|>
@article{inoue2024disruption,
    title={Disruption Risk Evaluation on Large-scale Production Network with
  Establishments and Products},
    author={Hiroyasu Inoue and Yasuyuki Todo},
    journal={arXiv preprint arXiv:2410.05595},
    year={2024},
    archivePrefix={arXiv},
    eprint={2410.05595},
    primaryClass={cs.SI}
}