Pouring cement down one of your oil wells: Relationship between the supply chain disruption orientation and performance

Abstract

The Covid‐19 pandemic is triggering several supply chain disruptions that have a tremendous impact on firms’ activities. Consequently, firms have pushed suppliers to develop their disruption orientation through the exchange of information and collaboration with the aim to enhance their own performance. Although this is important from the industry perspective, relationships among the focal firm's disruption orientation, the suppliers’ disruption orientation, and the focal firm's performances have not been investigated in the literature. Hence, in order to fill this important gap, we investigate both (i) how the suppliers’ disruption orientation helps translate the focal firm's disruption orientation into environmental and economic performances and (ii) how the supplier ecocentricity (ability to learn from nontraditional stakeholders) is related to these relationships. In order to analyze these issues, we draw upon the dynamic capabilities, relational view, and stakeholder resource‐based view theories. Our results indicate that the focal firm's disruption orientation creates a positive association between its suppliers’ disruption orientation and its own environmental and economic performances. Further, our results reveal that the association between the firm's disruption orientation and environmental performance is not necessarily direct and occurs through the suppliers’ disruption orientation. Our study also reveals that the positive association between the focal firm's disruption orientation and environmental performance through suppliers’ disruption orientation is stronger under medium and high levels of suppliers’ ecocentricity. Our results provide useful managerial insights for supply chain stakeholders that could help in managing disruption orientation, especially during and after a pandemic.

Permeation of the term “analytics” in production and operations management research

“…In particular, we expect supply chain (Delasay et al, 2022;Stekelorum et al, 2022) and health-care (Kumar et al, 2022;Qiu et al, 2022) analytics studies to remain prominent in the near future. In addition, studies on updating real-time demand will continue to appear as new models and algorithms are developed for doing so.…”

“…Here, we adopted a simplified method for enhanced visualization that points to an exciting path forward for analytics and operations management researchers. In particular, we expect supply chain (Delasay et al., 2022; Stekelorum et al., 2022) and health‐care (Kumar et al., 2022; Qiu et al., 2022) analytics studies to remain prominent in the near future. In addition, studies on updating real‐time demand will continue to appear as new models and algorithms are developed for doing so.…”

Expanding the boundaries of the discipline: The 30th‐anniversary issue of Production and Operations Management

“…Supply chain management is a mainstay of OM research, but many unprecedented issues arose during the COVID‐19 pandemic (Stekelorum et al., 2022). For instance, we have observed many unfair supply chain practices ranging from price gouging to wage theft (which occurred when factory workers were not paid fairly due to falling demand).…”

In search of operational resilience: How and when improvisation matters

“…Indeed, anecdotal evidence of improvisation in disruptive situations abounds in resource‐constrained and resource‐abundant contexts (e.g., Cunha et al, 2022; Latour, 2001; Lombardi et al, 2021; Luo & Malsch, 2020; Munir et al, 2022). Burberry, Louis Vuitton, LMVH, Rolls Royce, the Formula One team, and Airbus all used improvisation to manage disruptions from the Covid‐19 pandemic, as did small and medium‐sized firms (SMEs) in developing economies (Cunha et al, 2022; Stekelorum et al, 2022).…”