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Open Access
Article
Publication date: 13 May 2021

Byung-Gak Son, Sangho Chae and Canan Kocabasoglu-Hillmer

Catastrophic supply chain disruptions can significantly damage the operational and financial performance of firms. While a growing body of literature on supply network structures…

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Abstract

Purpose

Catastrophic supply chain disruptions can significantly damage the operational and financial performance of firms. While a growing body of literature on supply network structures has studied what influences supply networks' vulnerability to supply chain disruptions and capability to recover from them, it remains unclear how supply network structures change after major supply chain disruptions. We aim to provide an understanding of how these changes occur.

Design/methodology/approach

Using a natural experiment approach and supply network data from Factset, this study investigates how firms' supply network structures change after experiencing the catastrophic supply chain disruptions caused by the 2011 Tohoku earthquake and tsunami in Japan. We capture post-earthquake supply network changes using the measures of degree centrality and ego network density.

Findings

The results of the analysis suggest that compared to unaffected firms, the affected firms experience changes in their supply network structures tending toward lower complexity measured by in-degree centrality, out-degree centrality and ego network density.

Originality/value

This study contributes to social network theory and the complex adaptive supply network literature by providing empirical evidence of structural changes in supply networks after catastrophic supply chain disruptions. A managerial contribution is made by providing a reflection on why these changes might be occurring and alert firms to the challenges of managing complexity in their supply networks.

Details

International Journal of Operations & Production Management, vol. 41 no. 6
Type: Research Article
ISSN: 0144-3577

Keywords

Open Access
Article
Publication date: 30 September 2019

Muhammad Asif, Prem Chhetri and Rajiv Padhye

This paper explores the interaction and impact of political disruptions on textile supply chain performance in Pakistan. A qualitative approach is adopted to explore the linkages…

Abstract

This paper explores the interaction and impact of political disruptions on textile supply chain performance in Pakistan. A qualitative approach is adopted to explore the linkages and relationships between political disruptions and supply chain disruptions and performance. Semi-structured interviews were conducted at 25 different textile manufacturing firms. This study confirmed the prevalence of severe and variegated impacts of political disruptions on the textile supply chain. Supply chain disruption is found to be a key mediating factor that directly and indirectly affect supply chain performance through an increased production and delivery lead-time, transportation delays, interruptions of raw material supplies to plants and distributors and the restricted access to workplaces for suppliers and workers. The linkages are represented through vicious circles that illustrate the interactions and inter-relationships between disrupted supply chain and performance. This study provides empirical evidence to help government to formulate pertinent labour laws and industrial policy to mitigate political disruptions and minimise deleterious effects of supply chain disruption on production and distribution networks whilst respecting and protecting the democratic rights of people.

Details

Journal of International Logistics and Trade, vol. 17 no. 3
Type: Research Article
ISSN: 1738-2122

Keywords

Open Access
Article
Publication date: 1 July 2022

Ioanna Falagara Sigala, Mikhail Sirenko, Tina Comes and Gyöngyi Kovács

The coronavirus disease (COVID-19) pandemic has emerged as an unprecedented health crisis worldwide and heavily disrupted the healthcare supply chain. This study focuses on…

7034

Abstract

Purpose

The coronavirus disease (COVID-19) pandemic has emerged as an unprecedented health crisis worldwide and heavily disrupted the healthcare supply chain. This study focuses on analysing the different types of disruptions occurring in personal protective equipment (PPE) supply chains during the COVID-19 pandemic and on proposing mitigation strategies that are fit to the global scale and many interdependencies that are characteristic for this pandemic. The authors construct a conceptual system dynamics model (SD) based on the literature and adjusted with the use of empirical data (interviews) to capture the complexity of a global supply chain and identify leverage points (mitigation strategies).

Design/methodology/approach

This research follows a mix-methods approach. First, the authors developed a conceptual framework based on four types of disruptions that usually occur during health emergencies (direct effect, policy, supply chain strategy, and behaviourally induced disruptions). Second, the authors collected and analysed data from interviews with experts in the PPE supply chain. Based on the interviews data, the authors developed a conceptual system dynamics (SD) model that allows to capture the complex and dynamic interplay between the elements of the global supply chain system, by highlighting key feedback loops, delays, and the way the mitigation strategies can impact on them. From this analysis, the authors developed four propositions for supply chain risk management (SCRM) in global health emergencies and four recommendations for the policy and decision makers.

Findings

The SD model highlights that without a combination of mitigation measures, it is impossible to overcome all disruptions. As such, a co-ordinated effort across the different countries and sectors that experience the disruptions is needed. The SD model also shows that there are important feedback loops, by which initial disruptions create delays and shortages that propagate through the supply chain network. If the co-ordinated mitigation measures are not implemented early at the onset of the pandemic, these disruptions will be persistent, creating potential shortages of PPE and other critical equipment at the onset of a pandemic – when they are most urgently needed.

Originality/value

This research enriches the understanding of the disruptions of PPE supply chains on the systems level and proposes mitigation strategies based on empirical data and the existing literature.

Open Access
Article
Publication date: 2 February 2024

Sara Rogerson, Martin Svanberg, Ceren Altuntas Vural, Sönke von Wieding and Johan Woxenius

Severe disruptions to maritime supply chains, including port closures, congestion and shortages in shipping capacity, have occurred during the COVID-19 pandemic. This paper’s…

Abstract

Purpose

Severe disruptions to maritime supply chains, including port closures, congestion and shortages in shipping capacity, have occurred during the COVID-19 pandemic. This paper’s purpose is to explore flexibility-based countermeasures that enable actors in maritime supply chains to mitigate the effects of disruptions with different characteristics.

Design/methodology/approach

Semi-structured interviews were conducted with shipping lines, shippers, forwarders and ports. Data on the COVID-19 pandemic's effects and countermeasures were collected and compared with data regarding the 2016–2017 Gothenburg port conflict.

Findings

Spatial, capacity, service and temporal flexibility emerged as the primary countermeasures, whilst important characteristics of disruptions were geographical spread, duration, uncertainty, criticality, the element of surprise and intensity. Spatial flexibility was exercised in both disruptions by switching to alternative ports. During the COVID-19 pandemic, ensuring capacity flexibility included first removing and then adding vessels. Shipping lines exercising service flexibility prioritised certain cargo, which made the spot market uncertain and reduced flexibility for forwarders, importers and exporters that changed carriers or traffic modes. Experience with disruptions meant less surprise and better preparation for spatial flexibility.

Practical implications

Understanding how actors in maritime supply chains exercise flexibility-based countermeasures amid disruptions with different characteristics can support preparedness for coming disruptions.

Originality/value

Comparing flexibility-based measures in a pandemic versus port conflict provides insights into the important characteristics of disruptions and the relevance of mitigation strategies. The resilience of maritime supply chains, although underexamined compared with manufacturing supply chains, is essential for maintaining global supply chain flows.

Details

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

Keywords

Open Access
Article
Publication date: 21 March 2019

Kirstin Scholten, Pamela Sharkey Scott and Brian Fynes

Organisations must build resilience to be able to deal with disruptions or non-routine events in their supply chains. While learning is implicit in definitions of supply chain

7377

Abstract

Purpose

Organisations must build resilience to be able to deal with disruptions or non-routine events in their supply chains. While learning is implicit in definitions of supply chain resilience (SCRes), there is little understanding of how exactly organisations can adapt their routines to build resilience. The purpose of this study is to address this gap.

Design/methodology/approach

This paper is an in-depth qualitative case study based on 28 interviews across five companies, exploring learning to build SCRes.

Findings

This study uncovers six learning mechanisms and their antecedents that foster SCRes. The learning mechanisms identified suggest that through knowledge creation within an organisation and knowledge transfer across the supply chain and broader network of stakeholders, operating routines are built and/or adapted both intentionally and unintentionally during three stages of a supply chain disruption: preparation, response and recovery.

Practical implications

This study shows how the impact of a supply chain disruption may be reduced by intentional and unintentional learning in all three disruption phases. By being aware of the antecedents of unintentional learning, organisations can more consciously adapt routines. Furthermore, findings highlight the potential value of additional attention to knowledge transfer, particularly in relation to collaborative and vicarious learning across the supply chain and broader network of stakeholders not only in preparation for, but also in response to and recovery from disruptions.

Originality/value

This study contributes novel insights about how learning leads both directly and indirectly to the evolution of operating routines that help an organisation and its supply chains to deal with disruptions. Results detail six specific learning mechanisms for knowledge creation and knowledge transfer and their antecedents for building SCRes. In doing so, this study provides new fine-grained theoretical insights about how SCRes can be improved through all three phases of a disruption. Propositions are developed for theory development.

Details

Supply Chain Management: An International Journal, vol. 24 no. 3
Type: Research Article
ISSN: 1359-8546

Keywords

Open Access
Article
Publication date: 7 July 2023

Navodika Karunarathna, Dinesha Siriwardhane and Amila Jayarathne

The main aim of this study is to explore the appropriate factors in measuring COVID-19-induced supply chain disruptions and the impact of these disruptions on the economic…

1152

Abstract

Purpose

The main aim of this study is to explore the appropriate factors in measuring COVID-19-induced supply chain disruptions and the impact of these disruptions on the economic vulnerability of small-scale farmers in Sri Lanka.

Findings

The findings revealed that most of the farmers have continued to cultivate even during the pandemic despite several challenges which affected their economic status. Therefore, it is concluded that COVID-19-induced transportation and demand disruptions exacerbated the economic vulnerability of small-scale farmers over the disruptions in supply and production.

Practical implications

The findings of this study are crucial for formulating novel policies to improve the sustainability of the Sri Lankan agricultural sector and alleviate the poverty level of Agri-communities in the countryside. As farming is a vital sector in the economy, increased attention ought to be given on facilitating farmers with government-encouraged loans or allowances for their financial stability. Further, the respective government authorities should develop programs for importing and distributing adequate quantities of fertilizers among all the farmers at controlled prices so that they can continue their operations without any interruption. Moreover, the government could engage in collaboratively work with private organizations to streamline the Agri-input supply process. There should be a government initiative for critical consideration of the issues of farming families and their continued motivation to engage in agriculture. Thus, farmers' livelihoods and agricultural prosperity could be upgraded through alternative Agri-inputs and marketing strategies, providing financial assistance, encouraging innovative technology, etc.

Originality/value

Despite the significance and vulnerability of the vegetable and fruit sector in Sri Lanka, there is a limitation in the empirical studies conducted on the supply chain disruptions caused by COVID-19 measures and their implications on the farmers' livelihood. Furthermore, previous empirical research has not employed adequate quantitative tools to analyze the situation or appropriate variables in evaluating COVID-19-induced disruptions. Hence, the current study explored the appropriate factors for measuring COVID-19-induced supply chain disruption using exploratory factor analysis. Then, the impact of those factors on the economic vulnerability of the small scale farmers was revealed through the ordinal logistics regression analysis.

Details

International Journal of Industrial Engineering and Operations Management, vol. 6 no. 2
Type: Research Article
ISSN: 2690-6090

Keywords

Open Access
Article
Publication date: 24 October 2022

Nishat Alam Choudhury, Seongtae Kim and M. Ramkumar

The purpose of this research work is to examine the financial effect of supply chain disruptions (SCDs) caused by coronavirus disease 2019 (COVID-19) and how the magnitude of such…

5767

Abstract

Purpose

The purpose of this research work is to examine the financial effect of supply chain disruptions (SCDs) caused by coronavirus disease 2019 (COVID-19) and how the magnitude of such effects depends on event time and space that may moderate the signaling environment for shareholder behaviors during the pandemic.

Design/methodology/approach

This study analyses a sample of 206 SCD events attributed to COVID-19 made by 145 publicly traded firms headquartered in 21 countries for a period between 2020 and 2021. Change in shareholder value is estimated by employing a multi-country event study, followed by estimating the differential effect of SCDs due to the pandemic by event time and space.

Findings

On average, SCDs due to pandemic decrease shareholder value by −2.16%, which is similar to that of pre-pandemic SCDs (88 events for 2018–2019). This negative market reaction remains unchanged regardless of whether stringency measures of the firm's country become more severe. Supply-side disruptions like shutdowns result in a more negative stock market reaction than demand-side disruptions like price hikes. To shareholder value, firm's upstream or downstream position does not matter, but supply chain complexity serves as a positive signal.

Originality/value

This study provides the first empirical evidence on the financial impact of SCDs induced by COVID-19. Combining with signaling theory and event system theory, this study provides a new boundary condition that explains the impact mechanism of SCDs caused by the pandemic.

Details

International Journal of Operations & Production Management, vol. 42 no. 13
Type: Research Article
ISSN: 0144-3577

Keywords

Open Access
Article
Publication date: 21 February 2020

Helena Kahiluoto, Hanna Mäkinen and Janne Kaseva

The purpose of this paper is to contribute to the theory and practice of supply chain management in terms of how an organisation should structure its supply base to be resilient…

10174

Abstract

Purpose

The purpose of this paper is to contribute to the theory and practice of supply chain management in terms of how an organisation should structure its supply base to be resilient to supply uncertainties and disruptions. An empirical assessment of supplier response diversity is demonstrated, and the following research question posed: Is response diversity of suppliers positively associated with supply chain resilience, more positively than mere supplier diversity is?

Design/Methodology/Approach

Resilience is operationalised as the maintenance of sales of two food products in 27 southern Finnish retail stores during two distinct disruptions. Response diversity is operationalised as 1) diversity in the personnel sizes of slaughterhouse suppliers of pork under domestic strikes and as 2) evenness in the proportions of imports and domestic supply of food oil under global price volatility. A five-step quantitative assessment is performed.

Findings

Response diversity is positively related to the maintenance of sales, more positively than diversity of individual suppliers is.

Research limitations/Implications

Response diversity is an advancement to the theory of supply chain resilience and supply base management, and access to big data increases practical potential.

Practical implications

Empirical assessments of response diversity of suppliers provide buyer companies an effective means to enhance their supply base management for resilience.

Social implications

The proposed approach is useful for teaching and for authorities to enhance food security.

Originality/value

This first assessment of response diversity of supply chain operations presents an important advancement in the theory and practice of supply base management for resilience.

Details

International Journal of Operations & Production Management, vol. 40 no. 3
Type: Research Article
ISSN: 0144-3577

Keywords

Open Access
Article
Publication date: 27 March 2018

Jamie Stone and Shahin Rahimifard

Resilience in agri-food supply chains (AFSCs) is an area of significant importance due to growing supply chain volatility. While the majority of research exploring supply chain

24169

Abstract

Purpose

Resilience in agri-food supply chains (AFSCs) is an area of significant importance due to growing supply chain volatility. While the majority of research exploring supply chain resilience has originated from a supply chain management perspective, many other disciplines (such as environmental systems science and the social sciences) have also explored the topic. As complex social, economic and environmental constructs, the priority of resilience in AFSCs goes far beyond the company specific focus of supply chain management works and would conceivably benefit from including more diverse academic disciplines. However, this is hindered by inconsistencies in terminology and the conceptual components of resilience across different disciplines. The purpose of this study is to use a systematic literature review to identify which multidisciplinary aspects of resilience are applicable to AFSCs and to generate a novel AFSC resilience framework.

Design/methodology/approach

This paper uses a structured and multidisciplinary review of 137 articles in the resilience literature followed by critical analysis and synthesis of findings to generate new knowledge in the form of a novel AFSC resilience framework.

Findings

Findings indicate that the complexity of AFSCs and subsequent exposure to almost constant external interference means that disruptions cannot be seen as a one-off event; thus, resilience must concern the ability to not only maintain core function but also adapt to changing conditions.

Practical implications

A number of resilience elements can be used to enhance resilience, but their selection and implementation must be carefully matched to relevant phases of disruption and assessed on their broader supply chain impacts. In particular, the focus must be on overall impact on the ability of the supply chain as a whole to provide food security rather than to boost individual company performance.

Originality/value

The research novelty lies in the utilisation of wider understandings of resilience from various research fields to propose a rigorous and food-specific resilience framework with end consumer food security as its main focus.

Details

Supply Chain Management: An International Journal, vol. 23 no. 3
Type: Research Article
ISSN: 1359-8546

Keywords

Open Access
Article
Publication date: 16 September 2022

Anass Cherrafi, Andrea Chiarini, Amine Belhadi, Jamal El Baz and Abla Chaouni Benabdellah

The COVID-19 pandemic has caused major disruptions and revealed the fragilities in supply chains. This crisis has re-opened the debate on supply chain resilience and…

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Abstract

Purpose

The COVID-19 pandemic has caused major disruptions and revealed the fragilities in supply chains. This crisis has re-opened the debate on supply chain resilience and sustainability. This paper aims to investigate distinct impacts of COVID-19 on supply chains. It identifies both short- and medium-to-long-term measures taken to mitigate the different effects of the pandemic and highlights potential transformations and their impacts on supply chain sustainability and resilience.

Design/methodology/approach

To address the purpose of the study, a qualitative research approach based on case studies and semi-structured interviews with 15 practitioners from various supply chain types and sectors was conducted. Studied organizations included necessary and non-necessary supply chain sectors, which are differently impacted by the COVID-19 pandemic.

Findings

This study reveals five main challenges facing supply chains during COVID-19, including uncertain demand and supply, suppliers' concentration in specific regions, globalized supply chains, reduced visibility in the supply network, and limited supplier capacity. To help mitigate these challenges and develop both sustainability and resilience, this paper identifies some mitigating actions focusing on the promotion of the health and wellbeing of employees and supply chain stabilization. Further, in the post-COVID era, sustainable and resilient supply chains should consider regionalization of the supply chain, diversification of the supply network, agility, collaboration, visibility, and transparency; and should accelerate the use of smart technologies and circular economy practices as dynamic capabilities to improve supply chain resilience and sustainability.

Originality/value

This study contributes to exploring the sustainability- and resilience-related challenges posed by the COVID-19 pandemic. Its findings can be used by researchers and supply chains decision-makers to limit disruptions and improve responsiveness, resilience, sustainability, and restoration of supply chains. The results support benchmarking through sharing of the best practices and organizations can also integrate the different capabilities discussed in this study into the processes of selection and auditing of their suppliers.

Details

The TQM Journal, vol. 34 no. 7
Type: Research Article
ISSN: 1754-2731

Keywords

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