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1 – 10 of 342Andreas 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…
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.
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João Henrique Lopes Guerra, Fernando Bernardi de Souza, Silvio Roberto Ignácio Pires and Anderson Luiz Ribeiro de Sá
Supply chains are among the most important, complex and risky systems in the modern world. Thus, managing risk is no longer an option, but a fundamental process in organizations…
Abstract
Purpose
Supply chains are among the most important, complex and risky systems in the modern world. Thus, managing risk is no longer an option, but a fundamental process in organizations. Given the lack of pathways that guide companies toward supply chain risk management (SCRM), the purpose of this study is to provide a conceptual reference, in the form of a maturity model, to support them in the evolution and improvement of this process.
Design/methodology/approach
The proposal covered a broad literature review, a survey and a multiple case study. The research was conducted in the aerospace industry and included companies from the supply chain of a leading aircraft manufacturer.
Findings
The model elaborated with the research results has eight attributes and four levels, addressing critical issues for SCRM to achieve its scope and purposes. The attributes include the structuring and scope of the SCRM process, the importance it receives within the organization, the resources used and the qualification of employees, the role of leadership and the inter-organizational collaboration.
Practical implications
Managing risk along supply chains is particularly challenging, demands resources and knowledge and requires a continuous effort. The proposed model offers a reference for improvement, helping to identify areas that need to be strengthened and practices to be implemented. Thus, it can guide the focus and efforts in a more efficient and systematic way, in addition to support evaluations and comparisons.
Originality/value
Although maturity models are abundant in different fields and several are available for risk management, models specifically developed for SCRM are scarce. This study broadens the understanding of SCRM with novel insights about how to improve this process in an evolutionary way. While many researchers focused their efforts on the SCRM process steps, this study identified critical issues that transcend these steps. The research was carried out in a sector with a long tradition in risk management and included companies belonging to a same supply chain, that is, using an approach still little explored in studies on SCRM or risk management maturity models.
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João Henrique Lopes Guerra, Fernando Bernardi de Souza, Silvio R. I. Pires, Manoel Henrique Salgado and Anderson Luiz Ribeiro de Sá
The study analysed the aerospace industry, a traditionally important sector for the topic of risk management, from three complementary perspectives: the supply chain risks present…
Abstract
Purpose
The study analysed the aerospace industry, a traditionally important sector for the topic of risk management, from three complementary perspectives: the supply chain risks present in the sector, the mitigation strategies adopted to face them, and the characteristics (dimensions) observed in the SCRM process of aerospace companies.
Design/methodology/approach
The research employed a quali–quantitative method: a survey was carried out, followed by interviews with professionals from companies belonging to different tiers of aerospace supply chains. Interviews helped to interpret the survey data and understand in more detail risk management in aerospace companies.
Findings
The study presents a panorama of the aerospace industry in terms of risk management. The sector’s turbulent environment is described as well as the strategies to prevent, minimise or postpone the impact of supply chain risks. In particular, ten dimensions that have been identified in the SCRM process of aerospace firms are discussed. These characteristics influence the objectives of this process and are related to resources, roles and responsibilities, incentives, development of competences and skills, scope (internal and external) and approaches to integrate decisions and actions in the context of the supply chain.
Originality/value
Articles that address the SCRM process usually focus on the process steps, whereas this study investigated dimensions that transcend these steps but whose discussion in the literature is still fragmented. It also analysed a reference sector for the topic from a broader perspective than others available in the literature (supply chain risks, mitigation strategies and characteristics of the SCRM process). Supply chain members with relationships with each other were investigated, a desirable approach for SCRM but still under-explored. The study also answers calls for industry-specific studies and research on emerging countries.
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Sibel Yildiz Çankaya, Yesim Can Saglam and Bülent Sezen
The aim of this conceptual study is to analyze the effects of state-of-the-art research streams on supply chain risk management (SCRM) based on organizational theoretical…
Abstract
Purpose
The aim of this conceptual study is to analyze the effects of state-of-the-art research streams on supply chain risk management (SCRM) based on organizational theoretical background and direct future research toward the use of other related organizational theories. This paper seeks to provide a framework for understanding various organizational theories that can impact the understanding of SCRM.
Design/methodology/approach
A systematic literature review on articles published from 1998 to 2020 was conducted manually in the following databases: Emerald, Science Direct, Taylor & Francis Online, and Wiley online library. Among these articles, the paper by Smeltzer and Siferd (1998) is the first article published on the topic. Therefore, that serves as a starting point for the papers' analysis. A total of 109 articles have been selected and reviewed in detail.
Findings
The results of the study indicate that the articles which utilize theories in SCRM research have been mostly published in the last three years. The quantitative and case studies have been prevalently applied methods in the articles. In total, 34 theories are listed from the investigated articles. The four commonly studied theories among these are the information processing theory, transaction cost theory, contingency theory, and resource-based view.
Originality/value
This paper is the pioneer in the sense that the paper specifically and directly reviews the SCRM literature in terms of organizational theory usage. For future research, this study offers a diffusion of innovation (DOI) theory that explains the factors which can affect the adoption or diffusion of SCRM practices.
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Wenjin Hu, Yongyi Shou, Mingu Kang and Youngwon Park
The purpose of this study is to investigate the contingencies of supply chain risk management (SCRM) in manufacturing multinational corporations (MNCs) by exploring the moderating…
Abstract
Purpose
The purpose of this study is to investigate the contingencies of supply chain risk management (SCRM) in manufacturing multinational corporations (MNCs) by exploring the moderating role of international asset dispersion in the performance effect of SCRM, as well as the counteraction effect of supply chain integration (SCI).
Design/methodology/approach
Multi-country survey data from a sample of 378 responses collected by the sixth round International Manufacturing Strategy Survey were analyzed. Hierarchical regression analysis was conducted to test the proposed hypotheses.
Findings
The results demonstrate that SCRM improves the operational effectiveness of manufacturing MNCs but this performance effect is attenuated by international asset dispersion. Nevertheless, external integration can counteract the negative effect of international asset dispersion and ensure the efficacy of SCRM practices.
Practical implications
The results of this study provide suggestions for supply chain managers of manufacturing MNCs to better conduct SCRM practices under the condition of dispersed international assets. Besides, supply chain managers can leverage external integration to ensure the efficacy of SCRM practices.
Originality/value
Although there are plenty of studies on the relationship between SCRM and operational performance, prior findings are inconsistent. This study sheds light on the SCRM-operational performance relationship by considering how a manufacturing MNC’s international asset dispersion can influence the efficacy of SCRM practices and how SCI can attenuate the negative effect of international asset dispersion.
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Elena Revilla and Maria Jesus Saenz
The purpose of this paper is to develop a taxonomy of how companies implement Supply Chain Risk Management (SCRM) in terms of two fundamental approaches: the first emerging from…
Abstract
Purpose
The purpose of this paper is to develop a taxonomy of how companies implement Supply Chain Risk Management (SCRM) in terms of two fundamental approaches: the first emerging from internal actions and operations within companies, and the other involving inter-organizational actions undertaken with external supply chain partners. This taxonomy aims to predict firms’ performance with regard to the frequency of supply chain disruption.
Design/methodology/approach
A cluster analysis of survey data from 908 firms representing 69 countries together with an analysis of variance.
Findings
The authors’ analysis demonstrates a clear structure of four different patterns of how companies manage supply chain risks: passive, internal, collaborative, and integral. The authors found that firms pursuing an inter-organizational orientation (collaborative and integral) face the lowest levels of supply chain disruption. On the contrary, strategies which simply concentrate on having greater control of internal operations are not vigorous enough to stop the cascade effect of a disruption at the supply chain level. Furthermore, the excellent performance of integral SCRM strategies also suggests that collaboration between buyers and suppliers ensures the efficacy of internal business continuity plans and security procedures.
Practical implications
Managers should play an active role in making sure that supply chain management and risk management disciplines evolve together. Obviously, when an exogenous event results in a supply chain disruption, a firm will try to put its operations under control through internal capabilities. But SCRM strategies designed proactively in advance with relevant partners are even more beneficial.
Originality/value
First, previous studies have limited the analysis of SCRM mainly to its reactive internal initiatives within a firm. This paper takes the SCRM literature beyond the internal focus by considering both internal and inter-organizational efforts and, more importantly, developing a single configurational model to analyze modes of interaction. Second, there is little empirical evidence showing the current situation of SCRM. Research in SCRM has been more qualitative than empirical, especially in global coverage. The research tackles this gap and, based on a broader scope of the samples the empirical findings show a higher level of generalizability.
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Hua Liu and Shaobo Wei
Building on the information processing perspective, the authors propose that both internal and external supply chain risk management (SCRM) practices play essential roles in…
Abstract
Purpose
Building on the information processing perspective, the authors propose that both internal and external supply chain risk management (SCRM) practices play essential roles in mediating supply chain disruption orientation (SCDO) to exercise an influence on resilience. The authors also put forward analytics capability as an important moderator in the above-mediated relationship.
Design/methodology/approach
The authors collected 170 match-paired questionnaires from Chinese firms to test our model. The authors further interviewed some managers to supplement key quantitative results.
Findings
First, SCDO positively affects resilience via internal and external SCRM practices. Second, the mediating effects of internal and external SCRM practices are stronger when analytics capability is higher. Third, analytics capability positively moderates the positive effect of SCDO on SCRM practices. Meanwhile, it does not moderate the positive effect of SCRM practices on resilience.
Research limitations/implications
Our study contributes to SCRM-related and IT-related literature by considering the content, mediating mechanisms (i.e. internal and external SCRM practices) and boundary conditions (i.e. data analytic capability) of SCDO in shaping resilience in the digital supply chain.
Practical implications
Our study helps remind managers that firms build disruption orientation, develop different SCRM practices and leverage analytics capability to improve resilience amid unexpected and unplanned disruptions.
Originality/value
Our study sheds light on the roles of both internal and external SCRM practices. Furthermore, this research helps explain how SCDO motivates resilience through SCRM practices, particularly for those firms that have higher analytics capability.
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Thi Bich Phuong Phung, Sungsu Kim and Chia Chia Chu
Due to an increase in vulnerability, supply chain risk management (SCRM) has gained the attention of both researchers and practitioners. Although different approaches have been…
Abstract
Purpose
Due to an increase in vulnerability, supply chain risk management (SCRM) has gained the attention of both researchers and practitioners. Although different approaches have been widely used to discuss the implementation of risk management, the impacts of leadership factors on SCRM have received little attention. To fill this gap in the literature, this study aims to examine whether transformational leadership and integration facilitate SCRM and enhance performance.
Design/methodology/approach
Using 261 Vietnamese manufacturing companies as sample, this study applies partial least squares based structural equation modeling (SEM) to test the proposed hypotheses.
Findings
This study demonstrates three contributions for exist leadership and supply chain literature. First, the characteristics of transformational leadership effectively facilitate the internal and external integration in supply chain with higher responsiveness, visibility and integration. Second, transformational leadership has indirectly effect to supply chain risk management practice (SCRMP) throughout supply chain integration (SCI). Additionally, three dimensions of integration enable SCRM and partially mediate the relationship between transformational leadership and SCRM. Furthermore, SCRM not only plays a partially mediating role in the relationship between internal integration, customer integration and supply chain performance but also fully mediates the relationship between supplier integration and supply chain performance.
Practical implications
This study addresses that the paper extends the content of the relationship between transformational leadership and SCI by three integration dimensions among of exist literature. Transformational leadership should be literarily included into part of leadership strategy on SCRMPs since it is shown to have an indirectly positive improvement effect on SCRM. In addition, the paper is targeted the supply chain downstream performance (SCDP) with integration and risk management with the concept of considering downstream performance is a key section to confront the external stakeholder and customers, Finally, the authors emphasized companies should be aware of the importance about how to include transformational leadership, SCI and SCRMP into its supply chain management.
Originality/value
This study contributes to the SCRM literature by empirically examining the effect of transformational leadership and SCI on SCRM and performance in Vietnam, which is few and far better than that of developed countries.
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Ying Kei Tse, Kim Hua Tan, Sai Ho Chung and Ming Kim Lim
The rise of recent product recalls reveals that manufacturing firms are particularly vulnerable to product quality and safety where goods and materials have been sourced globally…
Abstract
Purpose
The rise of recent product recalls reveals that manufacturing firms are particularly vulnerable to product quality and safety where goods and materials have been sourced globally. The purpose of this paper is to explore the issues of quality and safety problems in global supply networks, and introduce a supply chain risk management (SCRM) framework to reduce the quality risk.
Design/methodology/approach
A conceptual SCRM framework for mitigating quality risk is developed. In addition, four SCRM treatment practices are proposed by consolidating the empirical literature in the operations management and supply chain management areas. The general feasibility was discussed based on literature.
Findings
The research has identified the root causes of the recent product recalls and a series of product harm scandals ranging from automobiles to unsafe toys. Supply chains are extended by outsourcing and stretched by globalization, which greatly increase the complexity of supply networks and decrease the visibility in risk and operation processes.
Originality/value
The paper identifies four SCRM practices, and proposes two distinct antecedents that can prompt the effectiveness of SCRM.
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Mauricio F. Blos, Mohammed Quaddus, H.M. Wee and Kenji Watanabe
The purpose of this paper is twofold: to identify the supply chain risks in the automotive and electronic industries in Brazil, and to highlight the urgency of supply chain risk…
Abstract
Purpose
The purpose of this paper is twofold: to identify the supply chain risks in the automotive and electronic industries in Brazil, and to highlight the urgency of supply chain risk management (SCRM) implementation.
Design/methodology/approach
It uses exploratory study methodology in the automotive and electronic industries, taking in consideration of the (SCRM) phase of initiation.
Findings
There are significant practices to implement SCRM: better supply chain communication, SCRM and business continuity planning training program, and the creation of a chief risk officer position to manage the supply chain risks.
Research limitations/implications
The limitation of this study comes from its small sample size. There are two simple reasons: many companies did not know SCRM and thus misinterpreted the information about SCRM.
Practical implications
This case study promotes more preparedness for the two industries to manage the risks of supply chain.
Originality/value
This study shows the risks that surround the supply chain in the automotive and electronic industries in Brazil and how these industries can implement SCRM in a successful way.
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