Supply chain risk mitigation competency: an individual-level knowledge-based perspective

Abstract

Supply chain managers are responsible for making decisions regarding supply chain risk in order to mitigate the impact of supply chain disruptions. This study develops and tests a theoretical model that leverages the individual-level knowledge-based view perspective to understand the process through which risk mitigation orientation of the supply chain manager contributes to his/her absorptive capacity. A supply chain manager's absorptive capacity, in turn, enhances his/her ability to effectively mitigate supply chain risk. Study findings demonstrate that supply chain managers with high-risk mitigation orientation have greater level of absorptive capacity which enhances their risk mitigation competency. This study represents the first development and testing of a model that examines individual-level knowledge management factors that affect supply chain risk mitigation competency. This research emphasises the importance of the individual supply chain manager in managing risk and illustrates how theoretical perspectives from the knowledge management, supply chain risk and organisational behaviour literature can be fruitfully adopted to explain behaviour in the field of supply chain risk management.

Does social capital matter for supply chain resilience? The role of absorptive capacity and marketing-supply chain management alignment

“…Besides its application on wide variety of phenomena, absorptive capacity has also been investigated in relation to SC risk and uncertainties (Ambulkar, Blackhurst, & Cantor, 2016;Van Doorn, Heyden, & Volberda, 2017). This line of literature suggests that acquiring, processing, and exploiting external information is particularly relevant when firms deal with a barrage of adverse changes and their survival is at stake.…”

“…This line of literature suggests that acquiring, processing, and exploiting external information is particularly relevant when firms deal with a barrage of adverse changes and their survival is at stake. Absorptive capacity plays a pivotal role in reducing uncertainty (i.e., narrowing the gap between knowledge available and knowledge needed to handle SC risks effectively) (Ambulkar et al, 2016). Firms with higher absorptive capacity are, therefore, argued to be in a better position to face external threats, rise to external challenges through entrepreneurial processes, and contain the effect of disruptions (Van Doorn et al, 2017).…”

“…Furthermore, absorptive capacity could be critical for putting knowledge for innovative use (Najafi-Tavani, Sharifi, & Ismail, 2013) against disruptions and adversities that have been shown to enable SCR (Gölgeci & Ponomarov, 2015). Recent research has found that absorptive capacity enhances the ability to effectively mitigate SC risks that can jeopardize SCR (Ambulkar et al, 2016). In this vein, knowledge and understanding of SC structures (physical, relational, and intangible), which could be harnessed via absorptive capacity (Tsai, 2001), can be considered essential enablers of SCR.…”

“…It needs to go through processes underpinned by absorptive capacity to turn into knowledge that foster SCR. Absorptive capacity facilitates knowledge flow in supply chains (Tsai, 2001) (Ambulkar et al, 2016). Absorptive capacity can, therefore, transform insights and information obtained in supply chains into instrumental ingredients for withstanding adversities and tackling disruptions.…”

Organizational Communication and Individual Behavior: Implications for Supply Chain Risk Management

“…Risk perceptions are important for SCM (Ambulkar, Blackhurst & Cantor, 2016;Cantor et al, 2014), according to the literature, but little, if any, research has been conducted in the supply chain management field that examines whether or not RCT and RH apply or whether they can facilitate an understanding of the employee decision-making process under exogenous risk-level changes. Of particular value is to learn how organizational communication changes individual behavior and how RCT and RH can October 2018 Organizational Communication and Behavior impact supply chain employees' decisions regarding the level of risk in their SC strategies.…”