Climate change and supply-chain vulnerability

2015 ◽  
Vol 4 (1) ◽  
pp. 6-26 ◽  
Author(s):  
Valeria Andreoni ◽  
Apollonia Miola

Purpose – The increasing complexity of the present economic system and the strong interdependencies existing between production activities taking place in different world areas make modern societies vulnerable to crisis. The global supply chain is a paradigmatic example of economic structures on which the impacts of unexpected events propagate rapidly through the system. Climate change, which affects societies all over the world, is one of the most important factors influencing the efficiency of the present economic networks. During the last decades a large set of studies have been oriented to investigate the direct impacts generated on specific geographical areas or productions. However, a smaller number of analyses have been oriented to quantify the cascading and indirect economic effects generated all over the world. The paper aims to discuss these issues. Design/methodology/approach – The main objective of this paper is to provide an overview of the main studies, methodologies and databases used to investigate the climate vulnerability of the global supply chain. Findings – The great complexity of the global economic system, coupled with methodological and data gaps, makes it difficult to estimate the domino effects of unexpected events. A clear understanding of the possible consequences generated all over the world is, however, a fundamental step to build socio-economic resilience and to plan effective adaptation strategies. Originality/value – The information provided in this paper can be useful to support further studies, to build consistent quantification methodologies and to fill the possible data gap.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohd Helmi Ali ◽  
Mohammad Iranmanesh ◽  
Kim Hua Tan ◽  
Suhaiza Zailani ◽  
Nor Asiah Omar

Purpose The current complex halal food supply chain (SC) has caused food scandals, which have illustrated the weakness of multiple food quality standards and certification and audits in ensuring food safety. Drawn on the resource-based view (RBV) theory, the purpose of this study is to explore the impacts of SC integration (SCI) on halal food SC integrity and, consequently, food quality. Design/methodology/approach Empirical data were collected from 275 halal-certified food companies in Malaysia and analysed using structural equation modelling – SmartPLS3.0. Findings The results confirmed that SCI, including internal, supplier and customer integrations, has significant effects on the dimensions of the halal food SC integrity which, in turn, lead to halal food safety and quality. Practical implications The importance of SCI in halal food SC is highlighted in this study. The impact of SCI is contexted in halal food SC integrity and food quality. Therefore, it provides a clear understanding to managers of SC applicability in the halal food industry. Originality/value Based on the RBV theory, this study contributes to the limited body of research of the relationships among SCI from the context of the halal industry with a specific focus on food supply chain integrity and food quality.


2019 ◽  
Vol 35 (6) ◽  
pp. 33-35

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings Building a regional rather than a global supply chain can help firms guard against the damaging impact of the bullwhip effect and increase the stability of their supply chain. The possibility of better communication, greater flexibility, and ability to respond more quickly are factors that can appease the bullwhip severity. The benefits of a regional supply chain increase further in times of economic certainty, when the risk to global supply chains intensifies. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Juneho Um ◽  
Neungho Han

Purpose This study aims to theoretically hypothesise and empirically explore the relationships amongst global supply chain risks, supply chain resilience and mitigating strategies. Design/methodology/approach The study adopts supply chain resilience as a dynamic capability and resilience capability as a mediating prerequisite in addressing supply chain risk in sourcing, manufacturing and delivery. The moderating role of diverse mitigating strategies is tested to enhance supply chain resilience. Data collected via survey was used for structural equation modelling and additional tests to explore appropriate mitigating strategies for differing risk environments. Findings Achieving better supply chain resilience capability plays an important mediating role between supply chain risks and resilience, while the relationships depend on the performance of seven mitigating strategies. Research limitations/implications The findings contribute to the theoretical development of risk management issues in global supply chains by suggesting the role of supply chain resilience capability. Practical implications The findings offer managerial guidance on how to mitigate the global supply chain risk through the appropriate practice of strategies to strengthen supply chain resilience in an uncertain environment. Originality/value This is the first empirical research examining the impact of mitigating strategies on supply chain resilience. The results provide practical implications for managing uncertain events and offering theoretical insight for future research in supply chain resilience.


2019 ◽  
Vol 69 (1/2) ◽  
pp. 9-19
Author(s):  
Ike Iswary Lawanda

Purpose This is a methodological proposal that describes the access to information as a starting point, and the importance of access to information as the backbone for the values of investment with the notion of culture as shared beliefs, supported by information to communicate and provide awareness about issues related to environmental policy that is consistent with sustainable development. Data collection is done from census data of Cikarawang population, observation and in-depth interviews with informants of community leaders. Constructive theory constructs to identify the diversity of existing construction of and placing in the consensus. The goal of this methodology is to produce an informed and knowledgeable construction of, which simultaneously improving continuously. Constructivists do not intend to predict and control the real world and divert it but to reconstruct the world at the point of its existence: in the mind of the people of the community in Cikarawang village. The view of the importance of cultural institutions and traditional knowledge should not be ignored in reaching the target of practical dissemination of information regarding environmental policy should be conducted for further study the model of and the model for the construction of the constructed. The use of application in documenting myths and rituals of Cikarawang people is enabling the access of information of the people in learning the culture and language of Cikarawang. Moreover, it is the way to reach the goal of sustainable environment for the next generations. Design/methodology/approach The goal of this methodology is to produce an informed and knowledgeable construction of, which simultaneously improved continuously. Constructivists do not intend to predict and control the real world and divert it but to reconstruct the world at the point of its existence: in the mind of the constructor. In the process related to two aspects, : hermeneutic and dialectical. Aspects of individual construction of hermeneutic describe as compare and contrast to the dialectical aspects of individual construction of, so that each respondent was entered into the construction of another and entirely fused. Findings The access of information on asri to face global warming is to demonstrate the hybridity and syncretism of this everyday locality and to show how this global sense of place is a progressive sense of place which avoids defensive and exclusionary definitions of place and culture because they cannot be sustained in a world where understanding a place means understanding its connection to other places. However, the youths of Cikarawang are likely to self-identify, as liberals are also more supportive of progressive domestic social agenda than older generations. They are less overtly religious than the older generations. Research limitations/implications The access of information, is about trying to establish the existence of the collectivity by defining what makes it a community – isolating national characteristics, defining crucial historical moments or significant places. None of these implies that these meanings can be fixed. There might be useful to think of nations as projects which are never fully achieved. There are always alternative accounts which are being given, and alternative interpretations being made from different positions. Climate information needs to be made in accordance with the local context and activities of both of the content, format, timing and distribution (dissemination). Practical implications The undetermined that perceived lack of locals trying to understand the information about weather and climate change are delivered by using technology need to engage their participation to identify and develop adaptation and mitigation strategies. Knowledge about the weather and how to overcome it is also myths about the environment containing taboo and prohibition as well as the annual harvest ritual. Digital technology using application is the nearest object to individual youngsters to access information openly and individually. Access of information using apps and internet is bridging the issues of climate change, myths and rituals about environment, and generation gaps. Social implications The behavior of young people of Generation X are not heeding the ban in the experience of their ancestors. It is not only because of their belief in myth depleted but also in the absence of respected elders. Person figures which are respected as wise men or local leaders to be role models. In the past, knowledge and cultural information are presented, preserved, generated down to future generations. Nowadays, information about climate, weather, cultural knowledge in agriculture, irrigation, daily life, ritual, myth, and kinship is no longer simply rely on figures but the media that they believe in. Originality/value It is an interdisciplinary research of global knowledge, memory and communication. Digital technology-based application as the system to support access of information and the effort of documentation on community myths and rituals of remote people may affect on sustainable local wisdoms which protect and sustain the environment to be inherited to next generations. Web, private social networks, wikis and blogs are becoming important corporate tools for communication, collaboration and information-sharing. It is a way of young people in this Generation X most familiar in such as interactive, collaborative, managing knowledge, and managing global system and bridging generation gaps.


2020 ◽  
Vol 40 (10) ◽  
pp. 1649-1660 ◽  
Author(s):  
Robert B. Handfield ◽  
Gary Graham ◽  
Laird Burns

PurposeUsing the constructal law of physics this study aims to provide guidance to future scholarship on global supply chain management. Further, through two case studies the authors are developing, the authors report interview findings with two senior VPs from two multi-national corporations being disrupted by COVID-19. This study suggests how this and recent events will impact on the design of future global supply chains.Design/methodology/approachThe authors apply the constructal law to explain the recent disruptions to the global supply chain orthodoxy. Two interviews are presented from case studies the authors are developing in the USA and UK – one a multi-national automobile parts supplier and the other is a earth-moving equipment manufacture. Specifically, this is an exploratory pathway work trying to make sense of the COVID-19 pandemic and its impact on supply chain scholarship.FindingsAdopting the approach of Bejan, the authors believe that what is happening today with COVID-19 and other trade disruptions such as Brexit and the USA imposing tariffs is creating new obstacles that will redirect the future flow of supply chains.Research limitations/implicationsIt is clear that the COVID-19 response introduced a bullwhip effect in the manufacturing sector on a scale never-before seen. For scholars, the authors would suggest there are four pathway topics going forward. These topics include: the future state of global sourcing, the unique nature of a combined “demand” and “supply shortage” bullwhip effect, the resurrection of lean and local production systems and the development of risk-recovery contingency strategies to deal with pandemics.Practical implicationsSupply chain managers tend to be iterative and focused on making small and subtle changes to their current system and way of thinking, very often seeking to optimize cost or negotiate better contracts with suppliers. In the current environment, however, such activities have proved to be of little consequence compared to the massive forces of economic disruption of the past three years. Organizations that have more tightly compressed supply chains are enjoying a significant benefit during the COVID-19 crisis and are no longer being held hostage to governments of another country.Social implicationsAn implicit assumption in the press is that COVID-19 caught everyone by surprise, and that executives foolishly ignored the risks of outsourcing to China and are now paying the price. However, noted scholars and epidemiologists have been warning of the threats of pandemics since the severe acute respiratory syndrome (SARS) virus. The pundits would further posit that in their pursuit of low-cost production, global corporations made naive assumptions that nothing could disrupt them. Both the firms the authors have interviewed had to close plants to protect their workforce. It was indicated in the cases the authors are developing that it is going to take manufacturers on average one month to recover from 4–6 days of disruption. These companies employ many thousands of people, and direct and ancillary workers are now temporarily laid off and face an uncertain future as/when they will recover back to normal production.Originality/valueUsing the constructal law of physics, the authors seek to provide guidance to future scholarship on global supply chain management. Further, through two case studies, the authors provide the first insight from two senior VPs from two leading multi-national corporations in their respective sectors being disrupted by COVID-19. This study is the first indication to how this and recent disruptive events will impact on the design of future global supply chains. Unlike the generic work, which has recently appeared in HBR and Forbes, it is grounded in real operational insight.


2019 ◽  
Vol 26 (7) ◽  
pp. 2122-2145 ◽  
Author(s):  
Aswin Alora ◽  
Mukesh K. Barua

Purpose Companies all over the world have recently started to adopt supply chain finance (SCF) solutions in their supply chains to reduce the payment defaults and simplify the bill settlement process. The purpose of this paper is to identify and prioritize the barriers to adopting SCF in micro, small and medium enterprises. Design/methodology/approach It employs a three-phase methodology to identify and prioritize the essential barriers to the implementation of SCF. An extensive survey has been carried out in 101 Indian MSMEs in India which identified 37 barriers under six heads in the first phase. Experts’ interview using the Delphi technique has been carried out in the second phase to finalize the barriers. The analytic hierarchy process methodology, with sensitivity analysis for validation, is used in the final stage to prioritize and rank the barriers. Findings Results show that financial and information technology barriers are prominent in SCF adoption followed by financial challenges. Among specific barriers, the disclosure of sensitive company information to competitor barrier acts as an essential barrier followed by poor technological capability of MSMEs. Research limitations/implications The study is limited to SCF adoption of MSMEs in a developing nation. Extensive research is required in order to derive a global trend. Practical implications The current research contributes to the stakeholder theory and transaction cost economics. Observations made in the current research can encourage organizations to incorporate stakeholders’ concerns into the adoption of SCF solutions. The study provides a more in-depth view of such challenges and a benchmark, which will help companies to adopt SCF solutions more effortlessly. Moreover, policy makers across the world can explore these serious issues and amend or introduce new policies to facilitate companies’ implementation of supply chain financial solutions. Originality/value To the best of the authors’ knowledge, this is the first study which identified and prioritized SCF adoption barriers of MSMEs in a developing nation. This study is also novel in adopting a hybrid analytical hierarchy process-sensitivity analysis for ranking the SCF barriers in an MSME context. SCF studies often emphasize only on the reverse factoring aspect of SCF. The current study considers many innovative aspects of SCF, such as pre-shipment financing, dynamic discounting, inventory financing, collaborative logistics, etc.


2019 ◽  
Vol 55 (2) ◽  
pp. 247-262
Author(s):  
Renata Peregrino de Brito ◽  
Priscila Laczynski de Souza Miguel ◽  
Susana Carla Farias Pereira

Purpose This study aims to analyze the media coverage of the impact of extreme weather events (EWE) and related risk management activities in Brazil. Design/methodology/approach Using a documentary analysis, the authors examined the media coverage of droughts and floods from 2003 to 2013 with concomitant official reports. Findings The results indicate that although media coverage conveys the direct impact of floods and droughts on society, it underemphasizes the importance of risk management activities. Moreover, the private sector rarely engages in risk management and mitigation activities, despite the documented supply chain disruptions. Research limitations/implications This study focuses solely on media coverage as provided by wide-circulation newspaper in Brazil and would benefit by being extended to all media platforms. Practical implications The results highlight the need for private sector involvement in risk management activities to facilitate the adaptation to climate change. Social implications The study reveals the deficiency of existing reports and lack of awareness regarding EWE. Originality/value The study contributes by focusing on climate awareness and how society can adapt to climate change, as well as how businesses can improve supply chain operations to facilitate smoother risk management.


2017 ◽  
Vol 37 (8) ◽  
pp. 1010-1030 ◽  
Author(s):  
Antony Paulraj ◽  
Constantin Blome

Purpose The environmental management of supply chains has become increasingly relevant in the recent era. Extant research proposes two main forms of mechanisms – collaboration and evaluation – for environmental supply chain management. Despite the wide use of these mechanisms and the empirical insight into the fact that they could be adopted simultaneously, it is unknown if, and, at which levels, environmental collaboration (EC) and environmental evaluation (EE) could be complementary or substitutionary in nature. Therefore, the purpose of this paper is to gain a clear understanding into the plural forms of these mechanisms. Design/methodology/approach The transaction cost economics and relational exchange theory are used to ground the research hypotheses. The results are based on survey data collected from 145 US manufacturing firms. The authors employ polynomial regression as well as the response surface methodology to test the proposed hypotheses. Findings The results suggest that EC and EE can have an intriguing effect depending on the outcome measure. Specifically, the authors find the effects in the economic and the environmental/social domains to be significantly different. Originality/value While scholars acknowledge that collaboration and evaluation could act as complements, extant research does not propose and test models that specifically capture complementary and substitutionary nature of these mechanisms. Accordingly, the study makes the first attempt to empirically test for the effects of the simultaneous pursuit of EC and EE.


2015 ◽  
Vol 31 (3) ◽  
pp. 18-20

Purpose – This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach – This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings – Social media is now recognized widely as a recruitment tool in major companies. Some industries have been quicker off the mark than others to engage in this way. This article investigates the degree to which social media is now being used for recruitment of global supply chain managers, and considers why it lags behind other sectors and offers a model for addressing the situation. Practical implications – The paper provides strategic insights and practical thinking that have influenced some of the world’s leading organizations. Originality/value – The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.


2015 ◽  
Vol 43 (10/11) ◽  
pp. 940-966 ◽  
Author(s):  
Cecilia Maria Castelli ◽  
Andrea Sianesi

Purpose – The purpose of this paper is to show how it is possible to take into account the objectives that fashion-luxury companies pursue on the final market (i.e. critical success factors (CSF) – of luxury) and propagate them in the upstream steps of the supply chain (SC) in order to understand how the latter can be aligned to the market. Design/methodology/approach – An extensive literature review allowed the identification of SC objectives. Case studies were used in order to asses choices and practices applied along the SC of luxury companies were assessed through in depth case studies; hence, the relationship between choices/practices, SC objectives and luxury CSF was explored. Findings – The paper documents that success in the luxury market not only depends on branding and marketing but also on the choices made along the SC, to the point that it is possible to identify some SC choices and practices that support the achievement of luxury CSF. Research limitations/implications – The results presented represent a useful guideline and offer some methodological suggestions; however, the precise set of SC objectives have to be tailored on each specific brand, according to the uniqueness that characterizes luxury companies. Practical implications – The paper suggests which areas of the SC should be mostly targeted in order to achieve success in the luxury market, also indicating some possible concrete choices. Originality/value – The main value of this paper consists in shaping a first explicit connection among the world of luxury as it is perceived by the consumers and the world of the SC.


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