Final answer:
Contingency plans are specific strategies companies have in place to deal with unexpected events that disrupt normal business operations, like the supply chain issues caused by the March 2011 Japanese tsunami disaster. They are part of broader concepts such as crisis management and risk management, and are essential to mitigate the risks associated with supply chain disruptions.
Step-by-step explanation:
When unexpected occurrences such as the Japanese tsunami disaster of March 2011 impact the automotive industry by halting production and distribution, companies must have well-prepared alternative strategies to address such disruptions. These strategies are more specifically referred to as contingency plans. Contingency plans are a critical component of business strategies that ensure a company continues to operate efficiently in the face of supply chain disruptions, natural disasters, or other unforeseen events. The Japanese crisis required automakers to rely on their contingency plans to navigate the shortage of parts from halt of production in Japan. The just-in-time delivery system, which emphasizes the prompt delivery of parts to assembly plants without the need for large warehousing, becomes particularly vulnerable when the supply chain is disrupted, thus emphasizing the importance of robust contingency planning.
In the broader context, such contingency plans are a part of crisis management and risk management processes but are specifically the actionable procedures a business has ready for implementation when the usual business operations cannot proceed as planned. Moreover, supply chain management is an ongoing strategy that focuses on optimizing the production flow of goods and services from supplier to consumer, potentially including contingency planning as a component to address supply chain risks.