Hedging weather risk and coordinating supply chains

• Published date: 01 April 2020
• Date: 01 April 2020
• DOI: http://doi.org/10.1002/joom.1083

ERRATUM

Hedging weather risk and coordinating supply chains

In Brusset and Bertrand (2018), the errors were published on pages 41, 43, 46, and in References.

On page 41, where the article reads:

The fact that temperature, rainfall and other weather variables have direct effects on various economic

series is not new (Steele, 1951; Granger, 1978). In retail, weather determines the decisions of consumers as

to what they buy, in what quantity, when and even where (Agnew and Thornes, 1995).

It should read:

The fact that temperature, rainfall and other weather variables have direct effects on various economic

series is not new (Steele, 1951; Granger, 1978). In a context of rapid, chaotic and threatening climate

change, the issue of adaptation of companies and the economy as a whole is of increasing relevance. As a

sign of this increasing importance to decision makers in all walks of life, the work of William Nordhaus

has just been rewarded with the 2018 Nobel Prize for Economics for his work in the mid-1990s on an inte-

grated quantitative assessment model to describe the relationship between the economy and climate. In

retail, weather determines the decisions of consumers as to what they buy, in what quantity, when and

even where (Agnew and Thornes, 1995).

On page 43, first column, the paragraph ending by the sentence:

…different approach is needed to allow manufacturers to assess their losses due to adverse weather condi-

tions when information provided by retail partners is scarce, inconsistent or limited, and to protect them-

selves from the financial consequences of such adverse weather conditions (Deschenes and Greenstone,

2011; Bertrand et al., 2015).

The reference citation should read:

(Deschênes and Greenstone, 2011; Bertrand et al., 2015; Bertrand and Brusset, 2018).

On page 46, the paragraph just before section 6.1 that read as:

The hedging and coordinating strategies for the sunscreen products and clothing follow the very same prin-

ciple mutatis mutandis.

It should read:

The hedging and coordinating strategies for the sunscreen products and clothing follow the very same prin-

ciple mutatis mutandis. The particular case of the sunscreen products has been dealt in detail in Bertrand

and Brusset (2018).

This missing reference should be added in the list of references:

Bertrand, J.L., Brusset, X., 2018. Managing the financial consequences of weather variability. Journal of Asset Man-

agement 19, 301–315. https://doi.org/10.1057/s41260-018-0083-x.

The previous publisher of the journal mistakenly published a penultimate version of the text in 2018. The corrections

listed above are necessary and the text has been updated for accuracy in 2020.

REFERENCE

Brusset, X., & Bertrand, J.-L. (2018). Hedging weather risk and coordinating supply chains. Journal of Operations Management,64(1), 41–52.

https://doi.org/10.1016/j.jom.2018.10.002

DOI: 10.1002/joom.1083

J Oper Manag. 2020;66:365. wileyonlinelibrary.com/journal/joom © 2020 Association for Supply Chain Management, Inc. 365