Abstract
This paper attempts to evaluate the impact of risk factors from the container security initiative (CSI) on the maritime supply chain in Taiwan, employs a loss exposure matrix to identify the severity and frequency of security risk, and uses a bowtie diagram to investigate appropriate risk management strategies to deal with maritime security risks.
This paper’s findings consist of the following: (1) the leading categories of CSI risk factors are operational risk, physical risk and financial risk; (2) apart from two security risks comprising high-risk level, the majority of risk exposure is at the medium level; risk management strategies include loss prevention, loss reduction, avoidance, and non-insurance transfer; and (3) all maritime security regulations and measures should consider the balance among cost, time, security, efficiency and competition; failure to do so may lead to additional burdens for maritime supply chain service providers.
