BACHELOR OF BUSINESS ADMINISTRATION (HONS) OPERATIONS

MANAGEMENT (BA244), FACULTY OF BUSINESS MANAGEMENT

GROUP ASSIGNMENT PROJECT (RICE SUPPLY CHAIN)

SUBJECT: SUPPLY CHAIN LOGISTICS (OPM560)

PREPARED BY GROUP: FIFO

NAME STUDENT ID CLASS

1 MUHAMMAD ARIF HAKIMI BIN ZAINOL NAZRI 2022850418 BA2444B

2 MUHAMMAD NABIL IZZUDDIN BIN MUSA 2022898118 BA2444B

3 NURUL AFFIDA BINTI MOHD AMRAN 2022898438 BA2444B

4 FARAH ZULAIKHA ABDUL HADI 2022498294 BA2444B

PREPARED FOR:
PROF. TS. DR. VEERA PANDIYAN KALIANI SUNDRAM

DUE DATE:
14 JANUARY 2024
Table of Content

1.0 Introduction..............................................................................................................................1
1.1 Role and Responsibilities.....................................................................................................2
1.2 Multi-Tier Supply Chain Structure for Rice Industry..........................................................4
1.2.1 First-tier and Second-tier Supplier..............................................................................5
1.2.2 Manufacturer...............................................................................................................5
1.2.3 Consumer.................................................................................................................... 5
2.0 Root Cause Identification........................................................................................................7
2.1 Fishbone Diagram................................................................................................................7
3.0 Analysis................................................................................................................................... 10
3.1 Pareto Chart....................................................................................................................... 10
4.0 Recommendations to Problem.............................................................................................. 13
4.1 Failure Mode and Effects Analysis (FMEA) tables...........................................................13
5.0 Conclusion.............................................................................................................................. 22
6.0 Bibliography........................................................................................................................... 23

List of Figure and Table

Figure 1 Simple Supply Chain structure for Rice ………………………………………………...2

Figure 2 Multi-Tier Supply Chain Structure for Rice …………………………………………….4

Figure 3 Fishbone diagram ……………………………………………………………………….7

Figure 4 Pareto Chart ……………………………………………………………………………10

Table 1 Data of Pareto Chart …………………………………………………………………….11

Table 2 Failure Mode and Effects Analysis (FMEA) ...…………………………………………13

Abstract

This abstract focuses on the rice supply chain, which is a complex and essential part of world
agriculture. Rice production is a complicated network of activities that includes planting,
harvesting, processing, packaging, distribution, and consumption. Rice is a staple meal for a
large section of the world's population. This abstract explores the ancient and modern procedures
used at several phases of the rice supply chain, highlighting its many facets. It takes into account
how technology advancements affect environmental preservation, sustainability, and production.

Furthermore, the abstract underlines the rice supply chain's interdependence with global
market dynamics, and geopolitical effects. Balancing local consumer requirements with
international trade concerns provides problems and possibilities for economies throughout the
world. This investigation aims to untangle the complexity of the rice supply chain, providing
insights into the delicate balance between ancient methods and modern innovations.

This abstract seeks to offer a complete overview of the rice supply chain by evaluating
essential factors such as production methods, processing technologies, and distribution networks.
It emphasizes the need of comprehending this complex system in order to solve crucial
challenges like food packaging , sustainability, and fair distribution, therefore contributing to a
wider discussion about the future of global agriculture and nutrition.
1.0 Introduction

The rice supply chain is a complex web that includes every stage of the rice's life, from field
cultivation to dinner tables throughout the globe. Planting, harvesting, processing, packing,
distribution, and consumption are just a few of the phases that make up this complex system.
One of the basic foods that is consumed the most extensively worldwide, rice is essential to the
nourishment of a sizable section of the global population as well as the economics of many
countries.The research findings from the literature review prove that supply chain risk factors
(including uncertainty) negatively affect performance (Rath et al., 2022).

We dig into the complexity and interdependencies that define each stage of
manufacturing in our investigation of the rice supply chain. The rice supply chain represents the
marriage of traditional farming methods and contemporary developments, from the cutting-edge
technologies transforming large-scale production to the traditional ways used by smallholder
farmers. Along with production gains, new seed types, farming methods, and processing
technology have presented possibilities and problems for sustainability and environmental
effect.Sustainable performance refers to consideration of the dimension of environmental
performance, the dimension of social performance and the dimension of economic performance
(Rath et al., 2022).

In addition, trade regulations, geopolitical considerations, and the dynamics of the world
market all have a significant impact on the rice supply chain. The equilibrium between domestic
consumption and global commerce bears significant consequences for both food security and
economic stability. As we work our way through this complex network, it becomes clear that
solving urgent problems like equitable distribution, sustainability, and food security requires a
grasp of the intricacies of the rice supply chain (Abraham, M. and Pingali, P. 2021).

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1.1 Role and Responsibilities

Figure 1 Simple Supply Chain structure for Rice

Referring to figure 1 above, supply chain management is the integration of various

business processes across upstream and downstream, ensuring a seamless flow of resources
(goods and services) from the point of origin to consumption in order to maximize customer
value and gain a competitive advantage in the marketplace (Sundram et al., 2022).

To begin with, the basic components for a supply chain structure can include some major
important aspects which start with the supplier, manufacturer, distributor and the consumer (Min,
2019). As a start, a simple supply chain structure for rice can contain the logistics, transporter
player, wholesaler and retailer to be featured together in a common supply chain structure.

Firstly, the supplier is the one who provides everything from raw materials to accounting
services (Heizer, 2019). In Malaysia's rice supply chain, suppliers are responsible for rice
production, ensuring a steady supply of quality raw materials like paddy rice. They are
responsible for sourcing and procuring the rice, maintaining strict quality control measures,
ensuring timely delivery, managing inventory, building relationships with producers, adhering to
local and international regulations, gathering market intelligence and promoting sustainability
and social responsibility. Whereas, manufacturers manage rice standards, inventory and forecast
demand, relying on suppliers for market intelligence and informed production planning.

Secondly, the manufacturer comprises all the processes a business uses to turn raw
materials into final products that are ready to be sold to customers. These processes include raw
materials procurement, production, quality control, distribution and post-sales service (Luther,
2023). The manufacturer is a key player in the rice production and distribution chain, responsible
for sourcing, processing, packaging, ensuring the quality and consistency of rice products. In
other words, the manufacturer is responsible for sourcing high-quality rice, processing it,
packaging, coordinating supply, investing in research, adhering to regulations, providing

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customer service and adopting sustainable practices. In short, their primary responsibility is to
ensure the smooth distribution of rice products, meet consumer expectations and uphold high
standards of quality and safety.

Thirdly, the distributors are parties who act as intermediaries for product manufacturers
and other entities in the distribution channel or supply chain (Kezia, 2022). In general, the
distributor is an essential intermediary between the manufacturer and the consumer, responsible
for the efficient and timely distribution of rice products. In summary, a distributor's role involves
managing warehousing, inventory, transportation, logistics, quality control, packaging, customer
service, marketing, and market intelligence. They ensure proper storage conditions, track stock,
forecast demand and adhere to food safety regulations, while also generating demand and
gathering market intelligence.

Lastly, the end user or consumer refers to a person who acquires or uses the goods or
services of a kind ordinarily acquired for personal, domestic or household purpose, use or
consumption and does not include a person that acquires or uses the same or holds himself out
as acquiring or using the goods or services (Consumer Protection Act 1999). In a simple supply
chain structure for rice, the consumer plays a crucial role in driving demand. They make
informed purchase decisions based on their preferences, needs, and budget, ensuring product
quality and safety. They also practice proper storage and handling to maintain freshness and
prevent contamination. Consumers can provide feedback and complaints to help manufacturers,
distributors, and retailers improve their products. Also, they can support sustainable practices by
purchasing environmentally friendly rice products, reduce food waste and shape market demand
by choosing specific brands or types of rice. By doing so, consumers indirectly influence the
supply chain and shape the choices made by manufacturers, distributors, and retailers.

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1.2 Multi-Tier Supply Chain Structure for Rice Industry

Figure 2 Multi-Tier Supply Chain Structure for Rice

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1.2.1 First-tier and Second-tier Supplier

First tier suppliers are directly contracted with by a company, while second tier suppliers
provide resources to these first tier suppliers. Engaging in supplier tiering is a useful first step to
take alongside supply chain mapping to understand how and where suppliers source materials
and goods (Young et. al 2023). Malaysia's supplier network consists of 2nd and 1st tier
suppliers, with the Ministry of Agriculture facilitating resource flow, technology, and knowledge
exchange between these tiers. In addition, the Ministry of Agriculture connects 2nd tier suppliers
with 1st tier suppliers like PeSAWAH, New Holland, MARDI and Malaysia Sustainable Rice
Platform. Based on the figure above, 1st tier suppliers are linked with distributors and factory
transporters to ensure the smooth movement of rice from the farm to the end consumers. Besides,
farmers act as temporary storage providers for harvested paddy, storing it before transporting it
to the next stage of the supply chain which is the manufacturer, SW Food Sdn Bhd at the factory.

1.2.2 Manufacturer

In product manufacturing, the supply chain facilitates the transfer and transformation of
raw materials into finished products. From there, the manufacturer transports and distributes the
products to a retailer or directly to a consumer (Ebersole, 2020). Based on figure 2 above, SW
Food Sdn Bhd is a key player in the supply chain linked to Bank Negara as a financial institution
that provides financial services to support its operations. The distributor, a factory transporter,
ensures efficient rice transportation from the manufacturer's factory to distribution centers. SW
Food Sdn Bhd, a manufacturer, manages rice activities like paddy cleaning, milling, packaging,
and storage while BERNAS regulates the industry and ensures fair trade practices. The
distributor, JATI, packaging the rice products according to industry standards and customer
requirements ensuring they are presented attractively and ready for distribution.

1.2.3 Consumer

The consumer is a crucial figure in the supply chain. Their wants, values, and opinions
will affect the decisions that buyers make about suppliers. Quite often, they will always seek

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businesses that are resilient and can weather supply chain risks (Gracia_Marie, 2023). The
Multi-Tier Supply Chain Structure for Rice in Malaysia involves distributors like MYDIN
supermarket and Mini mart acting as intermediaries between manufacturers and end consumers.
Such that MYDIN supermarket sources rice from manufacturers like SW Food Sdn Bhd and
stores it for retail and wholesale customers while mini marts and convenience stores provide it to
local communities. The 2nd-tier consumers like Mamu FZ restaurant and Hilton Hotel rely on
distributors for rice supply, while 1st-tier consumers like households, restaurants and hotels
purchase rice products for personal consumption or culinary preparations.

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2.0 Root Cause Identification
2.1 Fishbone Diagram

Figure 3 Fishbone diagram

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In this problem that is being investigated, we are using Fishbone diagram (Figure 3), also known
as Ishikawa diagram, to identify the possible causes for the effect of rice demand exceeding the
available rice supply in the market. As a result, there are several potential causes that can lead to
the major problem.

The first cause of the problem was coming from the distributor, based on the official
social media account TikTok of Dr. Akmal bin Saleh, who is the Leader of UMNO Youth, he and
his team visited a distributor site of rice packaging process located at Melaka. He found that the
distributor does not want to make the packaging just because they will not receive a greater
profit. This is because the government has already stated that they must sell the rice a pack at a
price of RM25.50 to RM26. The distributor believes this price is too low for them to generate
any profit from it. The process of packaging has been put on hold until the government imposes a
new selling price in the future. Meanwhile, many people will have to buy the expensive imported
rice in the market because that's the only option the people have at that period.

Followed by the first cause, it is safe to say that there are other parties that are in control
upon these issues. The mentioned parties were not very clear but can be mentioned as “cartel”.
Based on the news article from local provider, Sinar Harian quoted from Head of Kedah State,
Datuk Seri Muhammad Sanusi Md Nor mentioned that cartel was existed in the rice
industry for a very long time and causing the main reason why the farmers are not getting paid
for what they deserved instead there is an increasing in technological advancement of paddy
industry (Hashim, 2023). He also stated that he is very familiar with the activity of the cartel and
affecting the situation to make it worse. The cartel will make a repack of local rice into imported
rice labels. This also will affect the price by gaining extra profit for them and concurrently the
people will need to buy the imported rice as there is no other option as well.

The shortage supply also can be because of the environment itself. It is believed that
climate change will be a driving factor to the crop failure for the farmers. According to
Hilmy (2023), who is also an author from a local newspaper provider has predicted that In five
months, the country may face a severe shortage of local white rice due to unpredictable
weather and the bloated price of padi seeds. Unpredictable weather is really a serious matter as
it can disrupt the plan of farmers of harvesting rice and planting the seeds which they are afraid
of resulting in crop failure or their crop will not produce according to the time plant.

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 Another cause was because of the government intervention in these issues. It is believed
that the government duty in this situation is only as simple as the middleman between the
farmers, consumers and the corporate business. All sides want the best for them as long as they
are getting what they want such as profit and continuous supply of rice as well as the availability
of rice is always there. But by setting the selling price very low it really put some situations to
the all side. According to the news article from Berita Harian, the author, Mutalib (2023) create
a headline naming about 'Kenaikan harga beras akan adil untuk semua pihak', soon after the
Minister of Agriculture and Food Security of Malaysia, Datuk Seri Mohamad Sabu has table a
motion and discussing about increasing the price of rice in the Dewan Rakyat on last November
2023.

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3.0 Analysis
3.1 Pareto Chart

Figure 4 Pareto Chart

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 Table 1 Data of Pareto Chart

A brief explanation of the table above (Table 1) consists of several important pieces of
information such as the various root causes that were retrieved from the fishbone diagram. There
are 12 root causes which come from 4 sets of main causes, similarly as in the fishbone diagram
such as main cause of distributor, method, rice cartel and the environment. The 12 root causes
have been sorted by the frequency of occurrence to the problem of rice demand exceeding the
rice supply in Malaysia, resulting in the most high frequency coming from the environment
because of the unpredictable weather with the figure of 19, followed by the same main course
which is the climate change, government intervention was from the method main course and the
list go down so on followed as in the table. A horizontal line was constructed along the pareto
chart on the level of 80% in order to make a conclusion of finding the top root cause. This
method is also known as undertaking the Pareto Chart by making the 80:20 analysis (Sundram
et al., 2022).

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Based on the Pareto chart (Figure 4) that has been designed from the fishbone diagram data, by
using the pareto principle or also known as “80:20 analysis”, the top 3 of the root causes are
contributing to the main problem in this issue which is that the rice demand exceeded the rice
supply. So in this chart, it has been identified as the result of a 80-20 partition. Here are the top 3
of root cause to the problem;

1. Unpredictable weather
2. Climate change
3. Government intervention

Based on the analysis on the graph above, unpredictable weather and climate change
cause originally came from the same factor which is the environment, while the other 2 are low
selling price and government intervention are coming from the method factor, which is mainly
focusing on the Government and local authorities. The only factor that came from the
manufacturing and distributor side was about the cause of hiding the rice supply.

From this data and the analysis acquired, safely to say the major cause of this issue is
involving nature and the environment, which is where Malaysia are receiving unpredictable
weather and climate change over the year. Meanwhile, the government and the local
authorities too cannot be forgotten as they are the contributing factor to the major problem in
this issue. Them as the highest authorities in the country makes them as the powerful side
between the business organization and the consumer. But as the government, they must act and
work for the citizens and serve the country by maintaining and keeping its balance by setting the
affordable price for people to buy and helping the manufacturer to produce the rice supply.
Meanwhile, the manufacturer as the business organization needs to keep operating, but some
business player with the supplier and other entities tries to break rules and regulations to acquire
more profit by creating a cartel and controlling the rice market. Example, a cartel hides the rice
supply with the help of a distributor by not making the packaging during the market price very
low.

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4.0 Recommendations to Problem
4.1 Failure Mode and Effects Analysis (FMEA) tables

Table 2 Failure Mode and Effects Analysis (FMEA)

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 The main purpose of FMEA (Failure Modes and Effects Analysis) is to identify and
monitor the significance of failure before it occurs in a design, process or system. This is like a
detective story, where the list all the ways that could go wrong and then likelihood the severity
and consequences of each scenario. By identifying and mitigating these risks, it can prevent
surprises and ensure the creations are as reliable and safe as possible. This helps the team solve
the risk issue and ensure everything is working properly, ultimately leading to a safer, more
reliable and better product or service. There are certain benefits of using FMEA that can prevent
costly failures. By detecting potential problems early, costs associated with recalls, rework, lost
production time and reputational damage can be avoided. The second is to improve product
quality. FMEA can help identify inefficiencies and gaps in the process and changes to improve
performance, highlighting inefficiencies that can improve the quality and reliability of products
or services and optimize processes. In summary, FMEA is an important tool for risk management
that helps ensure the safety, reliability and quality of the process.

The first process step is selling the celling price at rm26. Price ceiling refers to the
maximum price set by the government to ensure that people in the country can afford it and to
prevent price gouging. The Ministry said that under the Law (Grade and Price Control) Order
(Amendment No. 4) of 2008 and the Law and Rice Control Law of 1994, the selling price of
local white rice residues is regulated at RM2.60 per kilogram. “This move would improve cost
structures for producers and help alleviate shortage. It’s a better solution than trying to
maintain the price at RM26 (since) supplies still run dry,” (On Sept 27, Ameer Ali Mydin).
The potential failure is low quality of rice. When it comes to wheat misconception, it refers to
the perception that wheat does not meet the desired standards in terms of taste, texture or general
quality. Quality is a powerful engine in rice value chain upgrading (Custodio et. al, 2019).
This understanding can be influenced by many factors such as Pre-harvest,Harvesting and
processing, Distribution and handling or even Consumer perception. By measuring quality
attributes is not as straightforward because “rice quality” is relative and context-specific
(Fitzgerald, McCouch & Hall, 2009). By Understanding how the market and the industry
perceive rice and differentiate it into quality classes could contribute to more efficient,
demand-driven, and sustainable rice VCs (Demont, Fiamohe, & Kinkpé, 2017; Demont &
Ndour, 2015; My, Demont, Van Loo, de Guia, et al., 2018).

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 The failure of rice crops can have both immediate and potential long-term consequences
on limited rice resources. Failure in the short term could lead to reduced grain supplies, leading
to rising prices and capacity shortages. This may affect the food security and affordability of
consumers whose staple food is rice. Failure can have many long-term effects. First, it will
reduce rice production and affect the entire market. This could affect the economy because rice is
an important crop in many countries. Additionally, if the harvest is not successful, the livelihoods
of farmers who rely on cultivation may also be affected. In addition, failure will impact food
security more broadly, especially in regions that are heavily dependent on rice as a staple. The
size of rice and the amount of leaf area of rice per plant is closely related to rice panicle
number and grain number of single panicle rice as well as the yield and quality of rice per
plant, which is closely related to natural resources (Price D ,1999). This could lead to
increased dependence on imports, affecting the country's self-sufficiency in rice production. This
could have a long-term impact on the country's agriculture and overall food security.

The severity of limited rice resources can be very high because rice is a staple food and
most people are highly dependent on it. Limited rice resources can lead to food shortages, high
prices, and the possibility of social and economic instability. In this case, the severity is
compounded by the fact that rice is the main source of nutrients and calories for humans
(St, K. R. N. C. 151 W. L., & Collins, S. 2020). A shortage in rice can lead to malnutrition,
especially among vulnerable people such as children and the elderly. Competition in the market
can be a potential cause of limited rice resources. Enhancement to boost the productivity of
rice amid limited resources in agriculture and strong competition for resources in other
sectors of the economy (Soon, K., & Wee, T. D. K. 2011). If the demand for rice is high and
many buyers compete for the limited supply, it can cause prices to rise and less value to be
created. This can happen for many reasons, including population growth, changes in food
preferences, or even disruptions in crop production due to natural disasters. The frequent
occurrence in competition in the market is quite common and tends to occur in various
industries. When many businesses offer similar products or services, they often compete for
customers, share business, and make profits. This competition can take many forms, such as
price competition, product differentiation, or marketing strategies. For prevent current process
control is Government price control refers to the practice of the government setting limits on the
prices of certain goods or services. The goal is to ensure affordability and protect consumers

15
from price gouging or monopolistic practices. The Ministry controls the prices through the
enforcement of AKHAP 2011. The detection failure of government price control can be a
complex and subjective matter. Because cost control can be overridden or controlled. Businesses
can find ways to control prices through black markets or by reducing production to remain
profitable. This can defeat the objectives of price control and make the market unprofitable. Risk
priority is a calculation between Severity x Occurrence x Detection and it indicates high priority
for action for failure mode, effect and cause. The recommendation for It's worth exploring
different options to get a better idea of the rice's quality suggests that more research and
comparison is needed before making decisions about rice. There are many reasons to explore
different options, but information is limited. The information available to evaluate the quality of
rice may be incomplete or insufficient. Exploring other options can provide a broader perspective
and allow for comparisons. The second is the change in the quality of the rice. The quality of rice
varies greatly depending on many factors, including variety, history, processing and storage.
Potential benefits through research can lead to the discovery of unexpected options that offer the
best quality, taste or value for money.

Second process step is repackaging of local rice into imported packaging. Misleading or
false labeling can occur in a variety of ways. One of the ways this can happen is by providing
false information or misrepresenting products, such as false statements about ingredients or their
benefits. Additionally, mislabeling may occur when products are deliberately mislabeled as
ingredients, allergens, or potentially harmful to health, as a countermeasure to deliberately
deceive consumers. For potential failure affect Consumer dissatisfaction can have immediate and
potentially long-term effects on the product. In the short term, dissatisfied customers may stop
purchasing, causing sales and profits to decline. When consumers are satisfied it has a positive
impact on companies as they incur high profits, consumers will spread positive word of
mouth and continue purchasing their products (Oliver, R. L. ,1999) In the long term,
continued customer dissatisfaction may have greater consequences. It can make it difficult for
companies to retain existing customers by damaging customer loyalty and trust in the brand. This
can lead to lower customer value and decreased market share. The severity of customer
dissatisfaction will vary depending on the extent and impact of the problem the customer is
experiencing. If it is a minor complaint, its severity will be low and minor complaints or

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disappointment from customers can be easily resolved. These issues will not have a major impact
on the overall perception of the product or company.

One potential way to create a perception of higher quality or value is through effective
branding and marketing strategies. These issues will not have a major impact on the overall
perception of the product or company. Through consumer perceptions of price, quality and
value are considered pivotal determinants of shopping behavior and product choice
(Zeithaml, V. A., 1988). Also focus on providing good customer service. Providing personalized
support and attention, promptly resolving customer concerns, and exceeding customer
expectations can create a positive impression of the brand and its products. Creating a perception
of higher quality or value does not always occur. This depends on many factors such as the
effectiveness of marketing strategies, quality of products, customer needs and preferences.
Customer perception can be influenced by personal experiences, preferences and other factors.
Preventing current process control for a cartel in control of intermediaries requires a
multi-faceted approach involving legal enforcement, regulatory measures, and industry
collaboration. That is, to strengthen the protection of laws and regulations. Existence cartel rice
no something story conspiracy only the truth will exist intersection siur. The existence of a
rice cartel is a real thing. There are many cases of rice cartels which always occur from
year to year and some of them have been successfully revealed (Hendy Febrianto
Kurniawan, et. al 2023). Governments can strengthen existing laws and regulations to ensure
they contain cartel activities involving intermediaries. Strict enforcement and sanctions will
prevent and deter people from fleeing.

When it comes to detecting failures in rating for cartels in control of intermediaries, it can
be challenging. Cartels often operate secretly, making it difficult to determine their impact on
ratings. Risk priority is a calculation between Severity x Occurrence x Detection and it indicates
low priority for action for failure mode, effect and cause. The recommendation to "investigate
the issue and take necessary actions to address the problem" provides a useful and
comprehensive guide to dealing with situations involving errors or incorrect records. It
emphasizes the need for thorough investigation. This includes gathering information to
understand the sources and nature of the registration problem. This includes reviewing product

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labels, examining labels for different products or product lines for inconsistencies or
inaccuracies.
Third process step is monitoring and assessment. Rice monitoring and mapping are
thus very important for optimizing food security, environmental sustainability, water
security, greenhouse gas emission reduction and general economic prosperity. Most
countries in the Asian region use limited survey methods to collect rice paddy data from
community level to national level (Jayan Wijesingha, Deshapriya, et. al 2015). Crop failure
can be caused by many factors such as bad weather conditions (drought, excessive rainfall), poor
soil quality, lack of proper irrigation and even human error. Agriculture, such as paddy, does not
grow as expected. These factors can affect crop growth and development, resulting in reduced
crop yield or complete crop failure. The potential effect of failure is that when inaccurate data is
used in products and processes, it can have immediate and potentially long-term effects. In the
short term, it can lead to poor decision making, poor allocation of resources, and poor product
quality. This may cause financial losses and customer dissatisfaction. In the long run, the
outcome will be worse. Inaccurate data can lead to a lack of trust in the product or process,
preventing consumers from purchasing or using the product. It can also hinder innovation and
growth because decisions based on misinformation may not be consistent with business
operations or customer needs. The severity of inaccurate data is high because it affects the
current crop and the long-term economy. It is crucial to provide accurate information, analysis
and decision-making to reduce risk and promote a healthy rice industry.

A potential cause of climate change is the increased release of greenhouse gasses into the
atmosphere. Climate change is rarely the sole or primary motivator for adaptation action
(Berrang-Ford, L., et. al 2011). These gasses radiate heat into the Earth's atmosphere, causing
global warming and climate change. Climate change has always occurred. It is a phenomenon
that has occurred throughout Earth's history. However, rapid and significant changes in current
climate patterns are mainly caused by human activities and increases in greenhouse gas
emissions. The majority of research on adaptation in the climate change field has focused
on theorizing how human systems might or can adapt to climate change, examined the
possibility for adaptation, or created inventories or wish lists of policy entry points
(Barnett, J. ,2010).

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 To prevent errors in the process control for regular data analysis and reporting, a practice
known as quality assurance needs to be followed to ensure the accuracy, completeness and
consistency of data collection. Perform data analysis and review data regularly. The difficulty of
detecting failures in rating for regular data analysis and reporting. This depends on factors such
as the complexity of the data, the quality control measures implemented and the expertise of the
personnel involved. While some failures can be easily detected through examination and
analysis, others may require more advanced skills and expertise. Risk priority is a calculation
between Severity x Occurrence x Detection and it indicates high priority for action for failure
mode, effect and cause. In order to prevent future recurrences and increase crop yields, it is
recommended to analyze the factors that may have contributed to the crop failure, such as soil
quality, water supply, pests, or weather conditions, highlighting the importance of understanding
the root causes of crop failure. By identifying key factors and understanding the specific factors
that cause crop failure, it is possible to prioritize interventions that will address the most critical
problems. The relationship between these factors should be quantified and proper soil
management strategies set up to ensure sustainable crop production (Oldfield, et.al 2019).

Last process step is cost analysis. There are several reasons why the distributor might not
want to handle the packaging process. One possibility could be optional fees. Packaging incurs
additional costs, including materials, labor and materials. Human beings have countless desires
but bounded resources. People tend to feel constrained when they find that their resources
limit their spending (Tully et al., 2015). If distributors want to reduce costs, they can choose to
outsource the packaging process to a packaging company or work with a supplier that provides
pre-packaged products.

When future cost considerations are omitted in the development of a product, process, or
system, can have an immediate and potentially long-term impact. It has some consequences such
as immediate effects. Resources can be money, time, or other currency. Economics is the
study of how people allocate their resources and how those choices affect society
(Haghpour., et. al, 2022). Cost overruns, where there is a higher risk of overspending
throughout the development period without taking into account future costs, lead to financial
disruptions and compromised quality or performance of the product. The long-term effect is
higher maintenance and operating costs. Omitting future cost considerations can result in a

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design or process that is more difficult or expensive to maintain or operate over time. This will
lead to further development, replacement or modification costs that will affect the long-term
benefits of the product or process. Considering future costs is important to the long-term success
and sustainability of a product, process or system.

The severity of omitting future cost considerations will vary depending on the nature and
extent of the removal. However, it is widely recognized that this can have serious consequences
for a product, process or system. Ignoring future cost considerations may result in cost overruns,
inefficient resource allocation, limitations, higher maintenance and operating costs, reduced
durability or reliability, and may impact the environment. Potential causes of insufficient
information and incomplete information can have many causes. This may be due to limited
resources, incomplete research, or errors in data collection. However, insufficient data and
incomplete information do not always occur, but they may occur in some cases.

Using standardized methods set by the government can be a good way to prevent current
process control issues and ensure uniformity. Standards can comprise a broad variety of
aspects (Fomin and de Vries, 2008). This process is often based on industry best practices and
regulatory requirements. By following these standardized methods, companies can improve the
quality and reliability of their processes. Government regulations are designed to ensure safety,
efficiency and fairness in every field. Detecting a failure in the use of standardized methods set
by the government will not be easy and will cause concern. However, standardization, in
general, is quite poorly understood (Cargill, Carl, et al, 2011). This depends on the situation
and the complexity of the process involved. It may indicate flaws or limitations in the method
itself or its implementation. It is important that the government regularly evaluates and revises
these procedures to ensure they are effective and accurate. If we want to better understand the
various usages of terms, standards and standardization we need to analyze it in different
areas (Cargill, Carl, et al, 2011). Risk priority is a calculation between Severity x Occurrence x
Detection and it indicates moderate priority for action for failure mode, effect and cause. The
recommendation to explore alternative options such as partnering with a packaging company or
outsourcing the packaging task to a third-party service provider, suggest that the current
packaging process may not be effective and that external expertise and resources may be utilized.
Some initial recommendations can be derived from commonly observed barriers to

20
innovation in the logistics service industry (Wagner, S. M., & Sutter, R., 2012). This is
enhanced intelligence and efficiency. Packaging companies and third-party service providers
specialize in packaging design, production and distribution. They have the skills, knowledge and
resources to improve the packaging process and have the ability to increase packaging quality
and efficiency. Through collaboration capabilities, packaging companies can work with
packaging companies to gain expertise in design, manufacturing, and production. Overall the
highest Risk priority number (RPN) step is monitoring and assessment which is 280, while the
lowest Risk priority number (RPN) is the process step of repackaging of local rice into imported
packaging which is 42.

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5.0 Conclusion
For the global food system to be stable and sustainable, the rice supply chain is essential. The
food systems approach strives to provide a comprehensive understanding of food production.
(Friend,R et al ,2019) Many factors contribute to the resilience and efficiency of the rice supply
chain at different levels of cultivation, processing, distribution, and consumption. Upon
concluding our analysis of this intricate network, a number of crucial revelations become
apparent.

First off, the output of rice farming has increased dramatically as a result of technical
developments. Increased yields as a result of improvements in farming methods, equipment, and
seed varieties have reduced the strain on the world's rice supply. (Peterson-Wilhelm,et al ,2021)
To solve issues with food security and advance inclusion, it is imperative that smallholder
farmers have access to these technologies.

Second, it is impossible to exaggerate the significance of sustainability in the rice supply

chain. Techniques including organic farming, water-efficient irrigation, and environmentally
friendly packaging support both the long-term sustainability of rice production and
environmental preservation. Additionally, sustainable farming practices lessen the effects of
climate change on rice production and assist farmers in adjusting to changing weather patterns.

Thirdly, guaranteeing the safety and quality of rice products requires supply chain
traceability and transparency.Over-dependency on rice importation, if not checked, can also
permit dumping of low quality and sometimes expired rice into the country.(Ogunleke, A. O., &
Baiyegunhi, L. J. S. (2019). Building customer trust and ensuring that rice satisfies necessary
health and nutritional criteria are achieved via the establishment of strong monitoring systems
and certification procedures.

In summary, the rice supply chain is an intricately linked and dynamic system that needs
ongoing maintenance and development. A robust and effective rice supply chain must include
technological innovation, transparent policies, sustainable practices, and supporting regulations.
As we proceed, we must encourage cooperation between interested parties, give inclusion first
priority, and welcome innovations that improve the general welfare of rice sector farmers and
consumers.

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