Supply Chain Diversification, Digital Transformation, and Supply Chain Resilience: Configuration Analysis Based on fsQCA

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Abstract

To determine the influence of COVID-19 on supply chains, previous research has examined the impact of supply chain diversification and digital transformation on supply chain resilience, but few studies have integrated these two aspects to understand their impact on supply chain resilience. Given this, our study implements the fuzzy set qualitative comparative analysis (fsQCA) method to investigate the influence of supply chain diversification (supply base diversification and customer base diversification) and digital transformation (digital transformation depth and breadth) on supply chain resilience. Using data from 191 listed manufacturing firms, it is shown that the dimensions of supply chain diversification and digital transformation do not have the necessary conditions to achieve high supply chain resilience, while the analysis of sufficient conditions shows that three paths can achieve high supply chain resilience—namely, those driven by digital transformation, supply chain diversification, and supplier centralization and customer base diversification. This study demonstrates the numerous and complex linkages between antecedent and outcome, and firms can choose the path that is best for them to improve supply chain resilience based on their size, degree of digital transformation, and supply chain diversification.

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Viable supply chain model: integrating agility, resilience and sustainability perspectives—lessons from and thinking beyond the COVID-19 pandemic

Dmitry Ivanov (2020)

Viability is the ability of a supply chain (SC) to maintain itself and survive in a changing environment through a redesign of structures and replanning of performance with long-term impacts. In this paper, we theorize a new notion—the viable supply chain (VSC). In our approach, viability is considered as an underlying SC property spanning three perspectives, i.e., agility, resilience, and sustainability. The principal ideas of the VSC model are adaptable structural SC designs for supply–demand allocations and, most importantly, establishment and control of adaptive mechanisms for transitions between the structural designs. Further, we demonstrate how the VSC components can be categorized across organizational, informational, process-functional, technological, and financial structures. Moreover, our study offers a VSC framework within an SC ecosystem. We discuss the relations between resilience and viability. Through the lens and guidance of dynamic systems theory, we illustrate the VSC model at the technical level. The VSC model can be of value for decision-makers to design SCs that can react adaptively to both positive changes (i.e., the agility angle) and be able to absorb negative disturbances, recover and survive during short-term disruptions and long-term, global shocks with societal and economical transformations (i.e., the resilience and sustainability angles). The VSC model can help firms in guiding their decisions on recovery and re-building of their SCs after global, long-term crises such as the COVID-19 pandemic. We emphasize that resilience is the central perspective in the VSC guaranteeing viability of the SCs of the future. Emerging directions in VSC research are discussed.