Barriers to multi-tier supply chain risk management

Liyuan Wang-Mlynek · Kai Dominik Foerstl

45 citations0/0 files storedThe International Journal of Logistics Management

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Supply Chain Resilience and Risk Management Quality and Supply Management Sustainable Supply Chain Management

Abstract

Purpose Multi-tier supply chain risk management (MSCRM) is an evolving and dynamic field, as any defaults or glitches in supply chains can potentially harm the efficiency and competitiveness of the entire supply chain. This study aims to investigate barriers to MSCRM in the automotive and civil aircraft industries. Design/methodology/approach This study adopts an inductive case study research design. The case analysis includes two parts. First, the within-case analysis develops case profiles and identifies critical categories. Second, the cross-case analysis compares MSCRM patterns across the cases. Findings This study argues that narrow information sharing and communication covering only the immediate supply chain partners obstruct the efficiency of MSCRM. Similarly, high dependency on strategic alliances with suppliers hinders efficient MSCRM. Additionally, relying on information and communication technologies (ICT) increases companies' exposure to risks and poses another barrier to efficient MSCRM. Research limitations/implications Further research should be pursued to expand generalizability and test the validity of the findings using other forms of data collection and methodologies, such as large-scale surveys, experiments or secondary data across different sectors and typical supply networks. Practical implications This study provides empirical evidence on the obstacles faced by companies during the process of MSCRM. These findings can guide practitioners in developing initiatives to overcome these challenges. Originality/value This study is among the first to investigate the barriers to MSCRM in the automotive and civil aircraft industries using in-depth case studies across three tiers of the supply chain.

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References

2007Theory Building From Cases: Opportunities And Challenges 1989Agency Theory: An Assessment and Review 1991Comparative Economic Organization: The Analysis of Discrete Structural Alternatives 2001DEFINING SUPPLY CHAIN MANAGEMENT 1997Information Distortion in a Supply Chain: The Bullwhip Effect 2004Building the Resilient Supply Chain 1996Resource-based View of Strategic Alliance Formation: Strategic and Social Effects in Entrepreneurial Firms 2006Perspectives in supply chain risk management

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