Purpose
This paper aims to propose an empirically grounded governance framework based on complex adaptive systems (CAS) principles to facilitate formation of well-connected regional supply chains that foster economic development, adaptability and resilience of mining regions.
Design/methodology/approach
This study is an exploratory case study of the South Australian (SA) mining industry that includes 38 semi-structured interviews with the key stakeholders and structural analysis of the regional supply network (RSN).
Findings
Findings demonstrate the applicability of the CAS framework as a structured approach to the governance of the mining industry regional supply chains. In particular, the findings exemplify the relationship between RSN governance, its structure and interconnectivity and their combined impact on the adaptability and resilience of mining regions.
Research limitations/implications
The data set analysed in the current study is static. Longitudinal data would permit a deeper insight into the evolution of the RSN structure and connectivity. The validity of the proposed framework could be further strengthened by being applied to other industrial domains and geographical contexts.
Practical/implications
The proposed framework offers a novel insight for regional policy-makers striving to create an environment that facilitates the formation of well-integrated regional supply chains in mining regions through more focussed policy and strategies.
Originality/value
The proposed framework is one of the first attempts to offer a holistic structured approach to governance of the regional supply chains based on CAS principles. With the current transformative changes in the global mining industry, policy-makers and supply chain practitioners have an urgent need to embrace CAS and network paradigms to remain competitive in the twenty-first century.
Purpose
The competitiveness of mining regions largely depends on the performance of the regional supply chains that provide services to mining companies. These local supply chains are often highly intertwined and represent a regional supply network for the industry. Individual companies often use supply chain strategies that are sub-optimal to overall supply network performance. To effectively respond to an uncertain business environment, policy-makers and supply chain participants would benefit by a governance framework that would allow to incentivise the formation of supply networks structures enabling effective operations. The purpose of this paper is to offer an empirically grounded conceptual framework based on Complex Adaptive Systems (CASs) governance principles, which links network governance mechanisms with supply network structure and operational performance to incentivise the formation of adaptive and resilient supply networks in the mining industry.
Design/methodology/approach
A mixed method research design and a case study of the South Australian mining sector were used to collect empirical data. Qualitative interviews and network analysis of the SA mining industry regional supply network structure were conducted. The relationships between network parameters were interpreted using CAS theory.
Findings
An empirically grounded conceptual framework based on CAS governance principles is developed. The case study revealed that supply chain strategies and governance mechanisms in the SA mining industry have led to the formation of a hierarchical, scale-free structure with insufficient horizontal connectivity which limits the adaptability, responsiveness and resilience of the regional supply network.
Research limitations/implications
The findings are drawn from a single case study. This limits generalisability of the findings and the proposed framework.
Practical implications
The proposed framework draws the attention of the policy-makers and supply chain participants towards the need for utilising CAS governance principles to facilitate the formation of adaptive, responsive and resilient regional supply networks in the mining industry.
Originality value
The proposed conceptual framework is an attempt to parameterise the governance of the regional supply networks in the mining industry.
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