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Article
Publication date: 19 September 2008

Xiaohong Li and Ian Barnes

This paper aims to identify proactive supply risk management methods which can be used to reduce or remove risk sources during the supplier selection process, in the context of…

2051

Abstract

Purpose

This paper aims to identify proactive supply risk management methods which can be used to reduce or remove risk sources during the supplier selection process, in the context of Western‐based manufacturing companies that source from emerging markets.

Design/methodology/approach

Learning from the literature and conducting multiple‐case study analyses of five Western‐based manufacturing companies' sourcing experiences from emerging markets.

Findings

The experiences of five Western‐based manufacturing companies suggested that applying the risk management process into supplier selection was particularly important and effective for supply risk reduction when sourcing from emerging markets. Supply risk sources must be identified and proactive supply risk management methods must be used to remove or reduce risk sources for effective supply risk management. The proactive risk management methods discovered in this research are: conducting a supplier questionnaire covering a wide range of business dimensions of the supplier; performing a technical review; negotiating a risk mitigation plan; employing local‐based procurement staff; using a total cost estimate; applying a strict part qualification process.

Research limitations/implications

A multiple‐case study methodology employs a limited number of case studies and therefore may restrict the generalisation of research findings. Manufacturing companies are used as case study organisations for this research. Therefore, the research findings are particularly applicable and useful to manufacturing companies but might not be valid for other types of company. The research focuses on supply risk reduction during the supplier selection process, while further research into other stages of the supply management process is desirable.

Practical implications

The generated proactive supply risk management methods are useful to manufacturing companies looking to source or aiming to improve their sourcing experiences from emerging markets.

Originality/value

The literature provides valuable contents in terms of concepts but lacks proactive supply risk management methods for supply risk management when sourcing from emerging markets. The generated proactive supply risk management methods based on first‐hand information are valuable both to academics and practitioners in this field.

Details

Strategic Outsourcing: An International Journal, vol. 1 no. 3
Type: Research Article
ISSN: 1753-8297

Keywords

Article
Publication date: 29 April 2021

Varthini Rajagopal, Prasanna Venkatesan Shanmugam and Ratnapratik Nandre

Reputation risk onsets in focal firm whenever any entity of its supply chain (SC) faces risk-crisis event. A framework for modeling and predicting holistic SC reputation risk is…

Abstract

Purpose

Reputation risk onsets in focal firm whenever any entity of its supply chain (SC) faces risk-crisis event. A framework for modeling and predicting holistic SC reputation risk is proposed by integrating operational risk (OR) drivers originating from upstream and downstream partners and focal firm. A fuzzy cognitive map (FCM) is then developed to predict and quantify Pharmaceutical SC reputation risk.

Design/methodology/approach

Using event study methodology, SC reputation risk framework with 13 input OR drivers was developed. Based on pharmaceutical supply chain experts’ opinion, the correlation between reputation risk and its input drivers was estimated. The developed FCM tool was validated using nine real-life instances. A series of “what-if” scenario analyses were performed to demonstrate effectiveness of proactive and reactive mitigation strategies against reputation risk.

Findings

Quality and unethical governance risks significantly impacted reputation in Pharmaceutical SC and a firm should prefer “risk avoidance” against these risks. The upstream risks significantly affect reputation in a Pharmaceutical SC as compared to the downstream risks. Proactive mitigation strategies and assertive crisis communication are suggested for upstream risks while diminishment/ bolstering/rebuilding reactive crisis communication is recommended for downstream risks.

Originality/value

Reputation risk is often overlooked in SC literature. This work develops a model to quantify the reputation risk considering the indirect consequences of the ORs that originates at any point in a SC. The proposed FCM tool aids SC manager to focus on higher attribution risk events and devise an optimal combination of proactive and reactive mitigation strategies to avoid/minimize the economic loss due to reputation crisis.

Details

Journal of Advances in Management Research, vol. 19 no. 1
Type: Research Article
ISSN: 0972-7981

Keywords

Open Access
Article
Publication date: 29 June 2020

Andreas Norrman and Andreas Wieland

This invited article explores current developments in supply chain risk management (SCRM) practices by revisiting the classical case of Ericsson (Norrman and Jansson, 2004) after…

12570

Abstract

Purpose

This invited article explores current developments in supply chain risk management (SCRM) practices by revisiting the classical case of Ericsson (Norrman and Jansson, 2004) after 15 years, and updating its case description and analysis of its organizational structure, processes and tools for SCRM.

Design/methodology/approach

An exploratory case study is conducted with a longitudinal focus, aiming to understand both proactive and reactive SCRM practices using a holistic perspective of a real-life example.

Findings

The study demonstrates how Ericsson's SCRM practices have developed, indicating that improved functional capabilities are increasingly combined across silos and leveraged by formalized learning processes. Important enablers are IT capabilities, a fine-grained and cross-functional organization, and a focus on monitoring and compliance. Major developments in SCRM are often triggered by incidents, but also by requirements from external stakeholders and new corporate leaders actively focusing on SCRM and related activities.

Research limitations/implications

Relevant areas for future research are proposed, thereby increasing the knowledge of how companies can develop SCRM practices and capabilities further.

Practical implications

Being one of few in-depth holistic case studies of SCRM, decision-makers can learn about many practices and tools. Of special interest is the detailed description of how Ericsson reactively responded to the Fukushima incident (2011), and how it proactively engaged in monitoring and assessment activities. It is also exemplified how SCRM practices could continuously be developed to make them “stick” to the organization, even in stable times.

Originality/value

This is one of the first case studies to delve deeper into the development of SCRM practices through taking a longitudinal approach.

Details

International Journal of Physical Distribution & Logistics Management, vol. 50 no. 6
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 6 March 2020

Msafiri Njoroge, Wineaster Anderson, Lena Mossberg and Omari Mbura

The purpose of this study is to identify and validate indicators of entrepreneurial orientation (EO) in the hospitality industry, as well as to examine its dimensionality in the…

Abstract

Purpose

The purpose of this study is to identify and validate indicators of entrepreneurial orientation (EO) in the hospitality industry, as well as to examine its dimensionality in the context of emerging economies with a specific focus on tourist hotels in Tanzania.

Design/methodology/approach

The study uses a mixed-method approach for data collection and analysis. The qualitative study involved 20 in-depth interviews with hotel managers. Based on interview insights, indicators of EO were identified and applied in contextualizing the study and develop the survey questionnaires. The second phase, which was quantitative in nature involved a survey of hotels (n = 346) in the Coastal and Northern tourist circuits of Tanzania for validation and generalization. The exploratory and confirmatory factor analyses were used to analyze the quantitative data.

Findings

EO in the studied context consists of proactive-risk-taking, innovativeness and competition approach. Hotels focus on proactive and risk-taking efforts concurrently, undertake wide-ranging acts; pursue bold and risk decisions in exploiting opportunities; being proactive on opportunity exploration but less emphasis on initiation speed on actions of competitors. Innovativeness focuses on providing quality services; standardization of services; product introduction; and technological advancements. Besides, the conventional dimensions, hotels use competition approach geared at extensive marketing; customer management; and flexibility in pricing based on competition. EO also exhibits multidimensionality with its dimensions exhibiting moderate-to-high correlations and with acceptable discriminant validity.

Practical implications

The study’s findings imply that EO and its respective indicators confirmed in western contexts are not necessarily a perfect reflection and applicable in the hospitality industry in emerging economies like Tanzania. Hospitality firms must be vigilant with contextual characteristics – economically, socially and culturally shaping entrepreneurial opportunities.

Originality/value

This study identifies and validates indicators of EO in the hospitality industry in emerging economies. Moreover, the study adds to the body of knowledge that EO in this context is also multidimensional in nature.

Details

Journal of Entrepreneurship in Emerging Economies, vol. 12 no. 4
Type: Research Article
ISSN: 2053-4604

Keywords

Article
Publication date: 26 September 2023

Seyed Mojtaba Taghavi, Vahidreza Ghezavati, Hadi Mohammadi Bidhandi and Seyed Mohammad Javad Mirzapour Al-e-Hashem

This paper aims to minimize the mean-risk cost of sustainable and resilient supplier selection, order allocation and production scheduling (SS,OA&PS) problem under uncertainty of…

Abstract

Purpose

This paper aims to minimize the mean-risk cost of sustainable and resilient supplier selection, order allocation and production scheduling (SS,OA&PS) problem under uncertainty of disruptions. The authors use conditional value at risk (CVaR) as a risk measure in optimizing the combined objective function of the total expected value and CVaR cost. A sustainable supply chain can create significant competitive advantages for companies through social justice, human rights and environmental progress. To control disruptions, the authors applied (proactive and reactive) resilient strategies. In this study, the authors combine resilience and social responsibility issues that lead to synergy in supply chain activities.

Design/methodology/approach

The present paper proposes a risk-averse two-stage mixed-integer stochastic programming model for sustainable and resilient SS,OA&PS problem under supply disruptions. In this decision-making process, determining the primary supplier portfolio according to the minimum sustainable-resilient score establishes the first-stage decisions. The recourse or second-stage decisions are: determining the amount of order allocation and scheduling of parts by each supplier, determining the reactive risk management strategies, determining the amount of order allocation and scheduling by each of reaction strategies and determining the number of products and scheduling of products on the planning time horizon. Uncertain parameters of this study are the start time of disruption, remaining capacity rate of suppliers and lead times associated with each reactive strategy.

Findings

In this paper, several numerical examples along with different sensitivity analyses (on risk parameters, minimum sustainable-resilience score of suppliers and shortage costs) were presented to evaluate the applicability of the proposed model. The results showed that the two-stage risk-averse stochastic mixed-integer programming model for designing the SS,OA&PS problem by considering economic and social aspects and resilience strategies is an effective and flexible tool and leads to optimal decisions with the least cost. In addition, the managerial insights obtained from this study are extracted and stated in Section 4.6.

Originality/value

This work proposes a risk-averse stochastic programming approach for a new multi-product sustainable and resilient SS,OA&PS problem. The planning horizon includes three periods before the disruption, during the disruption period and the recovery period. Other contributions of this work are: selecting the main supply portfolio based on the minimum score of sustainable-resilient criteria of suppliers, allocating and scheduling suppliers orders before and after disruptions, considering the balance constraint in receiving parts and using proactive and reactive risk management strategies simultaneously. Also, the scheduling of reactive strategies in different investment modes is applied to this problem.

Article
Publication date: 1 April 2021

Miaomiao Yang, Juanru Wang and Jin Yang

The purpose of this paper is to investigate how boundary-spanning search affects sustainable competitive advantage under the conditions that competitors also search and to test…

Abstract

Purpose

The purpose of this paper is to investigate how boundary-spanning search affects sustainable competitive advantage under the conditions that competitors also search and to test the moderating role of knowledge integration capability.

Design/methodology/approach

This paper classifies boundary-spanning search into proactive search and responsive search by considering competition and develops a theoretical model in which knowledge integration capability moderates the effects of proactive and responsive searches on sustainable competitive advantage. Empirical analyses were conducted on the data of 245 Chinese advanced manufacturing firms.

Findings

The results show that proactive and responsive searches have inverted U-shaped relationships with sustainable competitive advantage. Moreover, the relationships between proactive and responsive searches and sustainable competitive advantage are moderated by knowledge integration capability. Specifically, as knowledge integration capability increases, the inverted U-shaped relationship between proactive search and sustainable competitive advantage becomes flatter, whereas the inverted U-shaped relationship between responsive search and sustainable competitive advantage becomes almost linear.

Originality/value

This paper enriches the research of boundary-spanning search by considering competition and uncovers how boundary-spanning search affects sustainable competitive advantage under the conditions that competitors also search. Furthermore, this paper sheds light on that the effects of proactive and responsive searches on sustainable competitive advantage are even more complex than inverted U-shaped patterns and provides a contingent viewpoint to deeply understand the relationship between boundary-spanning search and sustainable competitive advantage.

Details

Baltic Journal of Management, vol. 16 no. 3
Type: Research Article
ISSN: 1746-5265

Keywords

Article
Publication date: 15 June 2012

Claudia Colicchia and Fernanda Strozzi

Supply chain risk management (SCRM) has recently gained increasing attention in the supply chain context, both from the practitioners' perspective and as a research area. Given…

17055

Abstract

Purpose

Supply chain risk management (SCRM) has recently gained increasing attention in the supply chain context, both from the practitioners' perspective and as a research area. Given the relevance of the topic, the aim of the present paper is to present a focused literature review, investigating the process of knowledge creation, transfer and development from a dynamic perspective within the context of SCRM.

Design/methodology/approach

A review of the literature on SCRM was undertaken. The new proposed methodology combines the systematic literature review approach to identify the most relevant articles to be included in the study with the citation network analysis in order to unfold the dynamics of the field under study. The authors define this new methodology as systematic literature network analysis.

Findings

The paper demonstrates that there are a number of key themes in the field of SCRM. The contributions that influenced the field were identified and, by analysing the evolution over time of key concepts, a number of research directions were identified and discussed.

Research limitations/implications

The dynamic nature of current literature review allows the identification of the directions in which research is moving and thus the recognition of streams of research that appear most promising. However, the application of the research methodology, and in particular of the citation network analysis, requires the support of specific computer programs. Moreover, the underlying assumption of the citation network analysis is that, by analysing the network of citations made to and from articles, it is possible to explain the flows of knowledge used to generate new results. This is only partially true since the spread of measures based on impact assessment led many researchers to an excessive use of citations, even if their content is not always decisive for the outcome of their work.

Practical implications

The present paper outlines a research agenda that may facilitate the development of models for managing supply chain risk. Furthermore from the evidence of the performed literature review some managerial insights can be derived on how to manage supply chain risk: by considering uncertainty in the design of supply chains, by understanding the impact of risks arising from network collaboration and interactions between supply chain partners, by developing proactive mitigation capabilities to hedge the increasing level of risk.

Originality/value

The novelty of this research lies in the combination of two existing methodologies for reviewing the literature and in the adoption of a dynamic perspective in order to analyse theory development.

Details

Supply Chain Management: An International Journal, vol. 17 no. 4
Type: Research Article
ISSN: 1359-8546

Keywords

Article
Publication date: 29 November 2019

Seyedamir Tavakoli Taba, Mohammad Mojtahedi and Sidney Newton

Currently there is no analysis of the development of disaster risk management literature in the construction and built environment context, the changes in its research paradigms…

Abstract

Purpose

Currently there is no analysis of the development of disaster risk management literature in the construction and built environment context, the changes in its research paradigms over time and the role of different key players in the advance of its current body of knowledge. This study aims to address that gap by investigating the longitudinal data of disaster risk management literature published over the past three decades.

Design/methodology/approach

A social network analysis approach is used in this study to show the overall development of the field and specifically the impact of research collaborations between different organisations and countries on research productivity.

Findings

The results indicate that the focus of disaster risk management research in the built environment context is heavily biased towards reactive strategies (response and recovery) over proactive strategies (mitigation and preparedness). The findings also demonstrate that collaboration between disaster risk management researchers has a significant influence on their research productivity.

Originality/value

The findings from this study should be of value to researchers, policymakers and academic strategists. This study for the first time shows the ability of the social networks paradigm to reveal frailties in research connections in the field of disaster risk management in construction and built environment and highlights where networking strategies are needed.

Details

International Journal of Disaster Resilience in the Built Environment, vol. 11 no. 1
Type: Research Article
ISSN: 1759-5908

Keywords

Article
Publication date: 2 September 2021

Sebastian Sturm, Nils-Ole Hohenstein, Hendrik Birkel, Gernot Kaiser and Evi Hartmann

This paper integrates research on demand- and supply-side risk management practices to better explain how to achieve competitive advantage in dynamic business conditions. The…

1553

Abstract

Purpose

This paper integrates research on demand- and supply-side risk management practices to better explain how to achieve competitive advantage in dynamic business conditions. The purpose of this study is to develop a model linking supply chain flexibility, agility, robustness and resilience and to investigate its relationships and impact on business performance.

Design/methodology/approach

The authors conduct a review of existing literature to derive their hypotheses and operationalize the respective constructs. The formulated research model is then validated applying partial least squares structural equation modeling on survey data from 89 multi-national companies based in Europe.

Findings

The authors find a significant positive relationship between supply chain flexibility and supply chain agility as well as supply chain robustness and supply chain resilience, respectively. Additionally, it is argued that supply chain flexibility, agility and resilience have significant positive impact on individual dimensions of business performance.

Originality/value

The relationships between supply chain flexibility, agility, robustness, resilience and business performance are investigated and empirically validated altogether in a single model for the first time, providing a clear separation of these terms and shedding further light on the management of supply chain risks.

Article
Publication date: 7 January 2022

Nils-Ole Hohenstein

The enormous impact of the COVID-19 pandemic showcases the key role of supply chain risk management (SCRM) in achieving and maintaining business performance, competitiveness and…

5707

Abstract

Purpose

The enormous impact of the COVID-19 pandemic showcases the key role of supply chain risk management (SCRM) in achieving and maintaining business performance, competitiveness and survival in the “new normal”. The purpose of this paper is to explore what impact the COVID-19 pandemic has had and may yet have on supply chains (SCs), which SCRM approaches have proved successful and how logistics service providers (LSPs) have applied the knowledge they have gained to improve their SCRM practices and resilience so as to prepare better for the next major disruption.

Design/methodology/approach

This paper combines an extensive literature review with a multiple-case study of 10 internationally operating LSPs and how they have handled the impact of the COVID-19 pandemic so far. To bridge the research-practice gap, this study draws on the dynamic-capabilities view and provide insights that are valuable to both academia and practice.

Findings

This study provides empirical evidence on the severe impact of the COVID-19 pandemic on SCs, which has posed several challenges to LSPs. The study identifies eight factors that are critical to the adaptive capabilities of LSPs and, therefore, to their resilience in extreme conditions. The findings of this study show that these factors determine whether an SCRM system is robust and agile enough to allow an LSP to anticipate potential disruption and to respond fast enough when disruption occurs. Specifically, this study finds that robustness and agility demonstrably strengthen business performance, while learning from experience proves key to reconfiguring an SCRM design in response to acute disruption.

Originality/value

This paper is among the first to provide rich, empirical and practically applicable insights into the impact of the COVID-19 pandemic on business in relation to SCRM. These novel insights offer inspiring opportunities for further research.

Details

The International Journal of Logistics Management, vol. 33 no. 4
Type: Research Article
ISSN: 0957-4093

Keywords

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