Towards a Definition and Concept of Collaborative Resilience in Supply Chain: A Study of 5 Indian Supply Chain Cases

Towards a Definition and Concept of Collaborative Resilience in Supply Chain: A Study of 5 Indian Supply Chain Cases

Shikha Aggarwal, Manoj Kumar Srivastava, Sangeeta Shah Bharadwaj
DOI: 10.4018/IJISSCM.2020010105
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Abstract

In the era of turbulent environment, handling disruptions and building resilience is of prime importance to businesses. Most literature on building resilience in a supply chain is organization-focused and discusses firm-level abilities to bounce back after a disruption. In this study, the authors explored and defined collaborative resilience in a supply chain. Specifically, a case study approach across five supply chains was followed. Through this research, an empirical definition and understanding of collaborative resilience in supply chains was derived as the finding of the study. To the best of our knowledge, this is the first empirical research to develop a definition of collaborative resilience in supply chain. This study may strike many future research studies for research on the phenomenon of collaborative resilience in supply chains.
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Introduction

Rising volatility and turbulence in corporate environment have been the most critical concern of supply chain managers lately (Christopher and Holweg, 2011). There have been numerous industry reports, case examples, and surveys in the recent past to show that companies lose big on market share, revenue and profits in the aftermath of a supply chain disruption (Hendricks and Singhal, 2005). A disruption could be caused by fire breakout, cyber-attack, employee strike, machine breakdown, earthquake etc. and can adversely affect the operations of the whole supply chain (Pettit et al., 2010). In today’s inter-connected world, companies that have long and complex supply chains face risks not only from their own suppliers but also from suppliers of suppliers and so on (Sheffi and Rice, 2005; Pettit et al., 2010; Namdar et al., 2017; Xin-jun et al., 2018; Raghnuath et al., 2018, etc.). Disruptions due to events like natural disaster; accident, loss of key supplier etc. may arise at any point along a supply chain and have a huge impact on other entities of the supply chain as well. In 2013, the Business Continuity Institute surveyed 519 organizations from over 71 countries in their 5th Annual Survey on Supply Chain Resilience. The study found that due to supply chain incidents alone, companies lose productivity for more than half of businesses along with increased cost of working and loss of revenue. “The ability to bounce back from such a disruption is called resilience. The term supply chain resilience was first used in academics by Christopher and Peck in the year 2004. Other authors like Sheffi and Rice (2005), Ponomorov and Holcomb (2009), and Scholten et al. (2014) have conceptualized resilience in supply chain context over the past decade. About a hundred research papers on supply chain resilience have been published in various journals. Hohenstein et al. (2015) conducted a thorough review of literature and highlighted potential research areas in the domain of supply chain resilience. They suggested that future research must focus on empirical studies on supply chain resilience. Gu and Huo studied (2017) studied the impact of supply chain resilience on company performance. Li et al. (2017) on a further note investigated the impact of supply chain resilience, supply chain preparedness, supply chain alertness and supply chain agility, on a firm’s financial outcomes. They found out that all the three dimensions significantly impact supply chain resilience. Tukamuhabwa et al. (2017) conducted empirical investigation in developing country context and found out that threats of disruption, resilience strategies and outcomes are indeed inter-related in the practical sense.

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