Developing resilient and robust supply chains through data analytic capability

Abstract

Purpose

Modern supply chains have become increasingly vulnerable to disruptions, as evidenced by the recent COVID-19 crisis, the Suez Canal blockage and the war in Ukraine. The purpose of the study was to examine the impact of disruptions on organizations and their supply chains, and to examine which resilience principles and corresponding strategies were effective at maintaining and/or creating competitive advantage.

Design/methodology/approach

Anchored in contingent resource-based view theory and organizational information processing theory, the study uses an explanatory mixed-methods explanatory research design consisting of two surveys followed by semi-structured interviews to elaborate on the quantitative results.

Findings

The quantitative findings showed that data analytic capability combined with a data driven culture had a positive impact on competitive advantage through improved supply chain robustness. No similar effect for supply chain resilience on competitive advantage was found. This was explained by the qualitative findings which showed that insights enabled data analytic capability led to increased supply chain robustness by encouraging proactive measures such as safety stock and redundancies in the supply chain. However, supply chain resilience required these measures to be in place. Without them, supply chain managers were unable to act upon the insights enabled by visibility.

Originality/value

The empirical findings show that data analytic capability impacts supply chain robustness and resilience in different ways, especially in the context of unprecedented disruptions.

Citation

Kokkinou, A., Mandemakers, A. and Mitas, O. (2023), "Developing resilient and robust supply chains through data analytic capability", Continuity & Resilience Review, Vol. 5 No. 3, pp. 320-342. https://doi.org/10.1108/CRR-07-2023-0013