scholarly journals An empirical analysis of supply and manufacturing risk and business performance: a Chinese manufacturing supply chain perspective

2018 ◽  
Vol 23 (6) ◽  
pp. 461-479 ◽  
Author(s):  
Vikas Kumar ◽  
Ozlem Bak ◽  
Ruizhi Guo ◽  
Sarah Louise Shaw ◽  
Claudia Colicchia ◽  
...  
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Supply Chains ◽  
Business Performance ◽  
Business Environment ◽  
Structured Interviews ◽  
Supply Risk ◽  
Management Performance ◽  
Content Type ◽  
Manufacturing Supply Chain

Purpose This study aims to explore the importance and impact of supply and manufacturing risk management upon business performance within the context of Chinese manufacturing supply chains. Design/methodology/approach A two-phased multi-method approach was adopted, which included a survey questionnaire to practitioners in Chinese manufacturing supply chains followed by semi-structured interviews. The findings included 103 valid survey responses complemented by six semi-structured interviews. Findings The results indicate that in Chinese manufacturing context supply risk and manufacturing risk management are both vital for business performance. A high correlation between business and manufacturing risk management performance exists; however, no significant impact of supplier dependency, systematic purchasing, maturity of production and supply chain and human resources was found despite previously these elements being regarded as key influencers for supply and manufacturing risk management performance. The Chinese manufacturing supply chain indicated that elements such as the supplier and customer orientation, flexibility, manufacturing and supply risk highly connotes with business performance. Practical implications In the current unpredictable and volatile business environment, the competitiveness of manufacturing supply chains to a large extent depend on their ability to identify, assess and manage the manufacturing and supply risks. The findings of this study will assist supply chain managers in taking decision on manufacturing and supply risk management and reducing the uncertainty upon their business performance. Originality/value The supply chain risk has been widely explored within the context of individual case studies, or standalone models focusing on either supply or manufacturing risk in supply chains; however, to what extent this has been applicable to a wider context and its impact upon business process has not been explored. Hence, this study simultaneously has analysed manufacturing risk and supply risk and its impact upon Chinese manufacturing supply chains business performance. Moreover, this study uses a combination of quantitative and qualitative methods, which is often limited in this area. Finally, the institutional theory lens offers novel insights in better understanding the factors that can affect the impact of supply and manufacturing risk management upon business performance in those contexts, such as China, where the institutional aspect presents specific features.

Supply risk management and competitive advantage: a misfit model

2015 ◽  
Vol 26 (3) ◽  
pp. 459-478 ◽  
Author(s):  
Jury Gualandris ◽  
Matteo Kalchschmidt
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Competitive Advantage ◽  
Business Performance ◽  
Future Research ◽  
Supply Chain Risk ◽  
Supply Risk ◽  
Content Type ◽  
The Relationship ◽  
Practical Implications

Purpose – The purpose of this paper is to develop a model of congruence for the management of supply risk that is easy to apply, but also accurate. The authors also aim at providing empirical evidence about the relationship between misfit – i.e. the incongruence between a firm’s preparedness in (supply) risk management and the potential riskiness characterising the context – and competitive advantage. Design/methodology/approach – In line with the purpose, literature and field interviews were used to develop a model of congruence in the context of supply risk management (SRM) and operationalise it within a questionnaire. Then, the authors collected survey data to validate the model. Findings – Results show that competitive advantage decreases when the firm’s preparedness in SRM does not match to the pattern of risk conditions (i.e. environmental vulnerabilities). Research limitations/implications – The model of congruence here developed is simple to apply but offer effective decisions support. This study, thus, stimulates future research on the assessment and management of supply chain risk. This study, also, fosters the attention to the non-linear relationship between risk management and business performance. Practical implications – This study develops a model that can be used by practitioners to configure an optimal adoption of SRM practices. Also, the analysis allows to draw some specific recommendations for supply chain managers aiming at improving their preparedness in SRM. Originality/value – By relying on SRM literature, the balanced-resilience logic and the theoretical framework of contingency theory, this study develops and test a model of congruence that shows how companies can gain competitive advantage through the management of supply risk.

Understanding the impact of supply-side decisions and practices on supply risk management

2020 ◽  
Vol 27 (5) ◽  
pp. 1769-1792 ◽  
Author(s):  
Sehrish Huma ◽  
Waqar Ahmed ◽  
Arsalan Najmi
Keyword(s):  
Risk Management ◽  
Business Environment ◽  
Strategic Decision ◽  
Equation Modeling ◽  
Supply Side ◽  
Supplier Development ◽  
Supply Risk ◽  
Management Performance ◽  
Content Type ◽  
Sourcing Strategies

PurposeIn the era of market turbulence, sourcing specialists consistently face challenges to keep the availability of the material efficiently and effectively without any disruption. Sourcing strategies and planning have a huge impact on procurement performance. The purpose of this paper is to examine the relationships among different sourcing strategies and supply risk management and performance and additionally, the role of procurement practices in different strategic settings.Design/methodology/approachThis is empirical research that collected data gathered from 223 procurement specialists working in various manufacturing firms through a structured questionnaire. Valid data is then analyzed through the structure equation modeling technique for hypotheses testing.FindingsThe findings of this study reveal that supplier development is a partial complementary mediator between multiple supplier strategy and supply-side risk management. While in a volatile business environment, strategic supplier strategy has a significant negative impact on supply-side risk management, and in this case supplier development acts as a competing partial mediator between the two. Contract management has resulted in an important mechanism to be deployed in a strategic sourcing strategy. It is also shown that supplier risk management is also associated with improved supply management performance.Practical implicationsThis paper establishes an explanation of theoretical and practical understanding of sourcing strategies and empirically shows that supplier development is the appropriate mechanism to deal with supply-side risk management, which in turn positively impacts on supplier management performance.Originality/valueThis study contributes to supply chain risk management literature, especially in the context of strategic risk management and explains how a strategic decision can impact supply risk management. This provides a piece of empirical evidence regarding the use of well-established procurement practices to improve supply performance.

Building resilience in retail supply chains: Lessons learned from COVID-19 and future pathways

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Atif Saleem Butt
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
United Arab Emirates ◽  
Cash Flows ◽  
Lessons Learned ◽  
Third Party ◽  
Structured Interviews ◽  
Cross Sectional ◽  
Content Type ◽  
The Impact

PurposeThis study explores the countermeasures taken by retailers to mitigate the effects of COVID-19 on supply chain disruptions.Design/methodology/approachThis research uses a multiple case study approach and undertakes 36 semi-structured interviews with senior management of the four largest retailers of the United Arab Emirates. The respondents were designated at different positions such as Vice President, Director and Project Manager.FindingsResults reveal that retailers are employing six countermeasures to mitigate the effects of COVID-19 on supply chains. Particularly, retailers are securing required demand, preserving cash flows, redirecting inventory, adding capacity to their distribution centres, becoming more flexible with their direct or third-party logistics provider and finally widening delivery options for their suppliers to mitigate the impact of COVID-19.Research limitations/implicationsThis study has some limitations. First, the results of this study cannot be generalized to a broader population as it attempts to build an initial theory. Second, this study uses a cross-sectional approach to explore the countermeasures employed by retailing firms to mitigate the effects of COVID-19.Originality/valueA notable weakness in a supply chain disruption literature is an unfulfilled need for research examining the strategies employed by retailers to respond to/address the challenges posed by COVID-19. Our study fills this gap.

Broken chocolate: biomarkers as a method for delivering cocoa supply chain visibility

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Pedro Lafargue ◽  
Michael Rogerson ◽  
Glenn C. Parry ◽  
Joel Allainguillaume
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Unknown Origin ◽  
Child Labour ◽  
Institutional Pressures ◽  
Structured Interviews ◽  
Data Set ◽  
Content Type ◽  
Modern Slavery ◽  
Chain Map

Purpose This paper examines the potential of “biomarkers” to provide immutable identification for food products (chocolate), providing traceability and visibility in the supply chain from retail product back to farm. Design/methodology/approach This research uses qualitative data collection, including fieldwork at cocoa farms and chocolate manufacturers in Ecuador and the Netherlands and semi-structured interviews with industry professionals to identify challenges and create a supply chain map from cocoa plant to retailer, validated by area experts. A library of biomarkers is created using DNA collected from fieldwork and the International Cocoa Quarantine Centre, holders of cocoa varieties from known locations around the world. Matching sample biomarkers with those in the library enables identification of origins of cocoa used in a product, even when it comes from multiple different sources and has been processed. Findings Supply chain mapping and interviews identify areas of the cocoa supply chain that lack the visibility required for management to guarantee sustainability and quality. A decoupling point, where smaller farms/traders’ goods are combined to create larger economic units, obscures product origins and limits visibility. These factors underpin a potential boundary condition to institutional theory in the industry’s fatalism to environmental and human abuses in the face of rising institutional pressures. Biomarkers reliably identify product origin, including specific farms and (fermentation) processing locations, providing visibility and facilitating control and trust when purchasing cocoa. Research limitations/implications The biomarker “meta-barcoding” of cocoa beans used in chocolate manufacturing accurately identifies the farm, production facility or cooperative, where a cocoa product came from. A controlled data set of biomarkers of registered locations is required for audit to link chocolate products to origin. Practical implications Where biomarkers can be produced from organic products, they offer a method for closing visibility gaps, enabling responsible sourcing. Labels (QR codes, barcodes, etc.) can be swapped and products tampered with, but biological markers reduce reliance on physical tags, diminishing the potential for fraud. Biomarkers identify product composition, pinpointing specific farm(s) of origin for cocoa in chocolate, allowing targeted audits of suppliers and identifying if cocoa of unknown origin is present. Labour and environmental abuses exist in many supply chains and enabling upstream visibility may help firms address these challenges. Social implications By describing a method for firms in cocoa supply chains to scientifically track their cocoa back to the farm level, the research shows that organizations can conduct social audits for child labour and environmental abuses at specific farms proven to be in their supply chains. This provides a method for delivering supply chain visibility (SCV) for firms serious about tackling such problems. Originality/value This paper provides one of the very first examples of biomarkers for agricultural SCV. An in-depth study of stakeholders from the cocoa and chocolate industry elucidates problematic areas in cocoa supply chains. Biomarkers provide a unique biological product identifier. Biomarkers can support efforts to address environmental and social sustainability issues such as child labour, modern slavery and deforestation by providing visibility into previously hidden areas of the supply chain.

Proposed Framework for Research in the Triple A (Agility, Adaptability, Alignment) in Supply Chains

2011 ◽  
pp. 306-321 ◽  
Author(s):  
Ivan Arana-Solares ◽  
Jose Machuca ◽  
Rafaela Alfalla-Luque
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Competitive Advantage ◽  
Business Performance ◽  
Business Environment ◽  
Sustainable Competitive Advantage ◽  
Global Business ◽  
The Impact

In the rapidly changing global business environment, it can be seen that supply chain designs based solely on efficiency and speed do not necessarily lead to a sustainable competitive advantage. According to Lee (2004), this can only be done if supply chains are designed to incorporate the Triple A: Agility, Adaptability and Alignment. Although Lee provided some examples, to date his claim has not been empirically tested, which is essential. A number of studies have looked at the three component parts of the Triple A separately, but as yet no studies have focused on all three Triple A components concurrently, or on the impact they have on business performance. The main aim of this chapter is to determine the dimensions and factors that characterize these variables, in order to empirically test the accuracy of Lee’s claim.

Trust, power and supply chain integration in Web-enabled supply chains

2019 ◽  
Vol 24 (4) ◽  
pp. 524-539 ◽  
Author(s):  
Carlo Mora-Monge ◽  
Gioconda Quesada ◽  
Marvin E. Gonzalez ◽  
Joshua M. Davis
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Business Performance ◽  
Dynamic Capabilities ◽  
Social Capital Theory ◽  
Supply Chain Integration ◽  
Trading Partner ◽  
Capital Theory ◽  
Content Type ◽  
The Social

Purpose This study aims to examine the effects of trading partner trust and trading partner power, on supply chain integration, and their impact on business performance in the context of Web-enabled supply chains. In doing so, the authors extend previous studies by exploring this phenomenon by using an integrative theory-driven approach. Design/methodology/approach This study presents a theoretical model grounded on the resource-based and dynamic capabilities views and the social capital theory. Data collected from 175 firms in the USA are used to test the hypotheses using structural equation modeling. Findings Results highlight the importance of trust and supply chain integration on business performance, whereas power did not appear to have an effect on supply chain integration in Web-enabled supply chains. The findings are robust to concerns of endogeneity, common method bias and alternative model specification. Practical implications Companies engaged in Web-enabled supply chains need to focus on increasing their integration efforts, and these efforts must also be accompanied by partnerships built on trust. Trading partners who might be inclined to use coercive strategies to influence other members of the supply chain in Web-enabled environments may be better off using cooperative approaches based on trust to achieve their desired goals. Originality/value This study integrates the resource-based view, dynamic capabilities view and the social capital theory to explore the dynamic relationships between trading partner trust, trading partner power and supply chain integration in Web-enabled supply chains. In doing so, this paper extends prior studies by examining supply chain integration’s impact on business performance and its mediating role, as it relates to trading partner trust and power in Web-enabled supply chains.

Exploring the influence of supply chain collaboration on supply chain visibility, stakeholder trust, environmental and financial performances: a partial least square approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Charles Baah ◽  
Innocent Senyo Kwasi Acquah ◽  
Daniel Ofori
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Business Environment ◽  
Manufacturing Firms ◽  
Partial Least Square ◽  
Least Square ◽  
Supply Chain Collaboration ◽  
Competitive Strategies ◽  
Content Type ◽  
Study Results

PurposeThe need to stay competitive amidst ever-changing business environment has shifted competitive strategies from firms to supply chains. Managers are now basing competitive strategies on supply chains acknowledging that supply chains present competitive advantages among other resources. The purpose of the study is to explore the predictive relevance of supply chain collaboration and the extent to which it influences supply chain visibility, stakeholder trust, environmental and financial performances. This study focused on manufacturing firms due to their supplier relationships, consumption of resources, energy and emissions of greenhouse gasses.Design/methodology/approachThe study adopted a survey research design, a quantitative approach and partial least square structural equation modelling technique in making data analysis and interpretations due to its suitability for predictive research models as is the case in this study.FindingsThe study hypothesized that supply chain collaboration positively and significantly interacts with supply chain visibility, stakeholder trust, environmental and financial performances. The study results confirmed supply chain collaboration as a significant, positive and a robust influence on supply chain visibility, stakeholder trust, environmental and financial performances thereby projecting win-win scenarios for firms that engage in collaborative supply chain practices.Originality/valueThe study is among the few to indicate findings in relation to the scope of supply chain collaboration's potency in influencing performance from the perspective of manufacturing firms operational in an emerging economy. Thus, this study contributes to understanding the wider scope of supply chain collaboration, its interactions with other firm variables and how it informs decisions of managers, scholars and supply chain partners.

A Conceptual Framework for Risk and Vulnerability in Virtual Enterprise Networks

2010 ◽  
pp. 1-27 ◽  
Author(s):  
Jan Husdal
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Supply Chains ◽  
Virtual Enterprise ◽  
Business Environment ◽  
Supply Chain Risk Management ◽  
Enterprise Networks ◽  
Supply Chain Risk ◽  
To Come ◽  
Managing Risk

Is managing risk in Virtual Enterprise Networks different from managing risk in supply chains? It is not unusual for firms in a supply chain to come together and act as a Virtual Enterprise Network (VEN) and the supply chains of today’s globalized and outsourced business environment exhibit many VEN-like features. Looking at VEN risk management from the perspective of supply chain risk management, current ideas on VENs will serve as a base onto which ideas on supply chain risk will be transposed. Many concepts related to supply chain risk will be explored and related to their possible VEN counterparts: risk, vulnerability, robustness, flexibility, resilience and business continuity. Conceptual in its approach and drawing from other areas of research, this chapter introduces four distinct groups of VENS, namely Constrained, Directed, Limited and Free VEN, and concludes that VEN risk management can and should learn from supply chain risk management.

Proposed Framework for Research in the Triple A (Agility, Adaptability, Alignment) in Supply Chains

2012 ◽  
pp. 331-346
Author(s):  
Ivan Arana-Solares ◽  
Jose Machuca ◽  
Rafaela Alfalla-Luque
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Competitive Advantage ◽  
Business Performance ◽  
Business Environment ◽  
Sustainable Competitive Advantage ◽  
Global Business ◽  
The Impact

In the rapidly changing global business environment, it can be seen that supply chain designs based solely on efficiency and speed do not necessarily lead to a sustainable competitive advantage. According to Lee (2004), this can only be done if supply chains are designed to incorporate the Triple A: Agility, Adaptability and Alignment. Although Lee provided some examples, to date his claim has not been empirically tested, which is essential. A number of studies have looked at the three component parts of the Triple A separately, but as yet no studies have focused on all three Triple A components concurrently, or on the impact they have on business performance. The main aim of this chapter is to determine the dimensions and factors that characterize these variables, in order to empirically test the accuracy of Lee’s claim.

Ambidextrous supply chain as a dynamic capability: building a resilient supply chain

2016 ◽  
Vol 54 (1) ◽  
pp. 2-23 ◽  
Author(s):  
Sang M Lee ◽  
Jin Sung Rha
Keyword(s):  
Supply Chain ◽  
Business Performance ◽  
Negative Impact ◽  
Business Environment ◽  
Dynamic Capability ◽  
Equation Modeling ◽  
Content Type ◽  
Building Process ◽  
Capability Building ◽  
Research Questions

Purpose – Developing ambidexterity as a dynamic capability is important for firms to sustain their competitive advantage. Moreover, this capability allows firms to build the resiliency to mitigate enterprise risks. The purpose of this paper is to apply two main theoretical frames from the strategy literature, dynamic capabilities, and organizational ambidexterity, to supply chain management (SCM) to examine mitigation strategies for supply chain (SC) disruptions. The authors empirically investigated how the firm’s SC ambidexterity is developed through a dynamic capability-building process and how this, in turn, can mitigate the negative impact of SC disruptions and improve business performance. Design/methodology/approach – This study conducted a field survey to answer the research questions as there exists no archival database with detailed information on ambidextrous SC strategies and dynamic capability. A total of 316 usable responses were received from managers working in the SC area. Confirmatory factor analysis and structural equation modeling were run on SPSS (version 16.0) and AMOS (version 18.0) to test the hypotheses to answer research questions. Findings – Overall, the results of the study confirmed that a dynamic SC capability-building process is an antecedent of SC ambidexterity, and that SC ambidexterity is important to firms as it mitigate the negative impact of SC disruptions and enhance business performance. To take advantage of an ambidextrous SC, through minimizing the negative impact of SC disruptions and maximizing firm performance, firms should continually search for creative ways to satisfy new market needs and adapt to the fast changing business environment. Originality/value – This study applied a dynamic capability-building process and ambidexterity to SCM. From the resilient SC perspective, the study found that the ability to effectively utilize existing resources and create novel strategies for problem solving plays a critical role in addressing SC disruptions.

Sign in / Sign up

Export Citation Format

Share Document