Supply Chain Resilience During the Covid-19 Pandemic: Understanding the Role of Collaboration, Visibility, Velocity, and Flexibility in Supply Chain Resilience Using Structural Equation Modeling Approach

Authors

  • Melvin V. Moraga Department of Decision Sciences and Innovation, Ramon V. Del Rosario College of Business, De La Salle University, Manila, Philippines
  • Brandon Patrick Go Ramon V. Del Rosario College of Business, De La Salle University, Manila, Philippines
  • Chabeli Eunice Go Ramon V. Del Rosario College of Business, De La Salle University, Manila, Philippines
  • Hannah Tan Ramon V. Del Rosario College of Business, De La Salle University, Manila, Philippines
  • Julia Ledesma Ramon V. Del Rosario College of Business, De La Salle University, Manila, Philippines

DOI:

https://doi.org/10.11594/ijmaber.05.03.03

Keywords:

Collaboration, Flexibility, Supply chain resilience, Velocity, Visibility

Abstract

The Covid-19 has wrought havoc on the supply chain across the world. During the global pandemic, supply chain managers were forced to rely on short-term solutions with little to no impact on their operations. This paper aims to assess the effect of collaboration, visibility, velocity, and flexibility on supply chain resilience. A total of 66 respondents constitutes the sample of the study, consisting of middle management employees across all depots nationwide. Eight research questions and eight hypotheses were generated and tested at 0.05 significance level using descriptive statistics and path analysis to quantify the relationships among multiple variables. Data were then analyzed through partial least squares - structural equation modeling. Results showed that collaboration, visibility, and flexibility have a significant impact on supply chain resilience. However, velocity did not have a significant impact on supply chain resilience. The research concludes that the supply chain capabilities play a crucial role in the supply chain resilience of the company and its supply chain partners. The key recommendations of the paper help enhance these capabilities to improve the resilience of its supply chain.

Downloads

Download data is not yet available.

References

Amora, J. T. (2021). Convergent validity as-sessment in PLS-SEM: A loadings-driven approach. Data Analysis Perspectives Journal, 2(3), 1-6. https://www.researchgate.net/publication/351984581_Convergent_validity_assessment_in_PLS-SEM_A_loadings-driven_approach

Amora, J., Ochoco, M., & Anicete, R. (2016). Student engagement and college experi-ence as the mediators of the relationship between institutional support and aca-demic performance. Digital Journal of Lasallian Research, 6(12), 15-30. https://www.researchgate.net/publication/303010791_Student_Engagement_and_College_Experience_as_Mediators_of_the_Relationship_Between_Institutional_Support_and_Academic_Performance

Arora, S., et al. (2020, February 04). Resilience in transport and logistics. https://www.mckinsey.com/capabilities/operations/our-insights/resilience-in-transport-and-logistics

Barratt, M. (2004). Understanding the meaning of collaboration in the supply chain. Sup-ply Chain Management, 9(1), 30-42. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/13598540410517566

Blome, C., Schoenherr, T., & Eckstein, D. (2014). The impact of knowledge transfer and complexity on supply chain flexibil-ity: A knowledge-based view. Interna-tional Journal of Production Economics, 147, 307–316. https://doi.org/10.1016/j.ijpe.2013.02.028

Brandon-Jones, E., Squire, B., Autry, C. W., & Petersen, K. J. (2014). A Contingent Re-source- based Perspective of Supply Chain Resilience and Robustness. Journal of Supply Chain Management, 50(3), 55-73. https://researchportal.bath.ac.uk/en/publications/a-contingent-resource-based-perspective-of-supply-chain-resilienc

Busse, C., Schleper, M. C., Weilenmann, J., & Wagner, S. M. (2017). Extending the sup-ply chain visibility boundary.

International Journal of Physical Distribution & Logistics Management, 47(1), 18-40. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/IJPDLM-02-2015-0043

Cao, M. & Zhang, Q. (2010). Supply chain col-laboration: conceptualisation and in-strument development. International Journal of Production Research, 48(22), 6613-6635. https://www.tandfonline.com/doi/full/10.1080/00207540903349039

Carvalho, H., Azevedo, S. and Cruz-Machado, V. (2012), “Agile and resilient approaches to supply chain management: influence on performance and competitiveness”, Lo-gistics Research, 4(1-2), pp. 49-62 http://dx.doi.org/10.1007/s12159-012-0064-2

Chopra, S. and Sodhi, M. (2004, October 15). Managing risk to avoid supply-chain breakdown. MIT Sloan Management Re-view. Retrieved October 13, 2021, from https://sloanreview.mit.edu/article/managing-risk-to-avoid-supplychain-breakdown/

Christopher, M. and Peck, H. (2004), "Building the Resilient Supply Chain", The Interna-tional Journal of Logistics Management, Vol. 15 No. 2, pp. 1-14. https://doiorg.dlsu.idm.oclc.org/10.1108/09574090410700275

Dimaunahan, D. V., & Amora, J. T. (2016). An investigation of organizational creativity of Micro, Small and Medium-Scale Res-taurants in the Philippines using Struc-tural Equation Modeling. GSTF Journal on Business Review (GBR), 4(3).

Duclos, L. K., Vokurka, R. J., & Lummus, R. R. (2003). A conceptual model of supply chain flexibility. Industrial Management + Data Systems, 103(1), 446–456. https://doi.org/10.1108/02635570310480015

Ellram, L. M., & Hendrick, T. E. (1995). Part-nering characteristics: A dyadic perspec-tive. Journal of Business Logistics, 16(1), 41. https://www.academia.edu/17373558/Partner-ing_characteristics_a_dyadic_perspective

Empty Shelves Are Back, but Panic Buying Hasn't Reached Levels Seen Early in Pan-demic: Expert | KTLA,’ (2020) https://ktla.com/news/local-news/empty-shelves-are-back-but-panic-buying-hasnt-reached-levels-seen-early-in-pandemic-expert/

Fawcett, S. E., & Magnan, G. M. (2002). The rhetoric and reality of supply chain inte-gration. International Journal of Physical Distribution & Logistics Management, 32(5), 339. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/09600030210436222

Frey, B. (2018). The SAGE encyclopedia of ed-ucational research, measurement, and evaluation 1-4. Thousand Oaks, CA: SAGE Publications, Inc. https://doi:10.4135/9781506326139

Gumasing, M. J. J., & Pacheco, M. E. G. (2018). Predictive Model on the Severity of Mus-culoskeletal Disorder and Accidents of Truck Drivers in the Philippines. Indus-trial Engineering and Operations Man-agement, 1378-1390. https://www.ieseg.fr/en/events/2nd-ieom-european-international-conference-on-industrial-engineering-and-operations-management/

Hecht, A. A., Biehl, E., Barnett, D. J., & Neff, R. A. (2019). Urban Food Supply Chain Re-silience for Crises Threatening Food Se-curity: A Qualitative Study. Journal of the Academy of Nutrition and Dietetics, 119(2), 211–224. https://doi.org/10.1016/j.jand.2018.09.001

Hulland, J. (1999). Use of partial least squares (PLS) in strategic management research: A review of four recent studies. Strategic Management Journal, 20(2), 195. http://search.proquest.com/docview/225007755?accountid=28547

Huo, B., Gu, M., & Wang, Z. (2018). Supply chain flexibility concepts, dimensions and outcomes: an organisational capability perspective. International Journal of Pro-duction Research, 56(17), 5883–5903. https://doi-org.dlsu.idm.oclc.org/10.1080/00207543.2018.1456694.

Jüttner, U., & Maklan, S. (2011). Supply chain resilience in the global financial crisis: an empirical study. Supply Chain Manage-ment, 16(4), 246-259. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/13598541111139062

Kamalahmadi, M., & Parast, M. M. (2015). A review of the literature on the principles of enterprise and supply chain resilience: Major findings and directions for future research. International Journal of Pro-duction Economics, 171(2016), 116-133. http://dx.doi.org/10.1016/j.ijpe.2015.10.023

Kock, N. (2014). Advanced mediating effects tests, multi-group analyses, and meas-urement model assessments in PLS-based SEM. International Journal of e-Collaboration, 10(3). http://dx.doi.org/10.4018/ijec.2014010101

Kock, N. (2015). Common method bias in PLS-SEM: A full collinearity assessment ap-proach. International Journal of e-Collaboration, 11(4), 1-10. http://dx.doi.org/10.4018/ijec.2015100101

Kock, N. (2020). WarpPLS User Manual: Ver-sion 7.0. Laredo, TX: ScriptWarp Systems. http://dx.doi.org/10.4018/jec.2010100101

Kock, N., & Lynn, G.S. (2012). Lateral collinear-ity and misleading results in variance-based SEM: An illustration and recom-mendations. Journal of the Association for Information Systems, 13(7), 546-580. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2152644

Lee, S. M., & Rha, J. S. (2016). Ambidextrous supply chain as a dynamic capability: Building a resilient supply chain. Man-agement Decision, 54(1), 2-23. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/MD-12-2014-0674

Lemke, M. K., Apostolopoulos, Y., Gallos, L. K., & Sönmez, S. (2020, September). Com-mercial Transport During a Pandemic: Network Analysis to Reconcile COVID-19 Diffusion and Vital Supply Chain Resili-ence. Journal of Occupational and Envi-ronmental Medicine, 62(9). https://doi.org/10.1097/JOM.0000000000001940

Lemke, M. K., Apostolopoulos, Y., Gallos, L. K., & Söonmez, S. (2020). Commercial Transport During a Pandemic: Network Analysis to Reconcile COVID-19 Diffusion and Vital Supply Chain Resilience. Journal of Occupational and Environmental Med-icine, 62(9), 537-538. Google Scholar. https://doi.org/10.1097/JOM.0000000000001940

Madhok, A., & Tallman, S. B. (1998). Re-sources, Transactions and Rents: Manag-ing Value Through Interfirm Collabora-tive Relationships. Organization Science, 9(3), 326–339. https://doi-org.dlsu.idm.oclc.org/10.1287/orsc.9.3.326

Mandal, S., Sarathy, R., Korasiga, V. R., Bhattacharya, S., & Dastidar, S. G. (2016). Achieving supply chain resilience, The contribution of logistics and supply chain capabilities. International Journal of Dis-aster Resilience in the Built Environment, 7(5), 544-562. Google Scholar. https://doi.org/10.1108/IJDRBE-04-2016-0010

Massachusetts Institute of Technology. (n.d.). Structural equation modeling - MIT. http://web.mit.edu/carrien/Public/speechlab/sem.pdf

Mentzer, J. T., Min, S., & Zacharia, Z. G. (2000). The Nature of Interfirm Partnering in Supply Chain Management. Journal of Re-tailing, 76(4), 549. https://doi.org.dlsu.idm.oclc.org/10.1016/S0022-4359(00)00040-3

Mowbray, D. (2011). Corporate Re-silience. http://www.mas.org.uk/uploads/articles/Corporate_Resilience.pdf

Nikookar W. & Yanador Y. Preparing supply shain for the next disruption beyond COVID-19: managerial antecedents of supply chain resilience International Journal of Operations & Production Man-agement Vol. 42 No. 1, 2022 pp. 59-90 https://www.proquest.com/scholarly-journals/preparing-supply-chain-next-disruption-beyond/docview/2615867642/se-2?accountid=190474

Panicked Shoppers Empty Shelves as Corona-virus Anxiety Rises—The New York Times (2020) https://www.nytimes.com/2020/03/13/nyregion/coronavirus-panic-buying.html

Pereira, C. R., Christopher, M., & Da Silva, A. L. (2014). Achieving supply chain resilience: the role of procurement. Supply Chain Management: An International Journal, 19(5/6), 626- 642. Google Scholar. https://doi.org/10.1108/SCM-09-2013-0346

Ponomarov, S. Y., & Holcomb, M. C. (2009). Understanding the concept of supply chain resilience. International Journal of Logistics Management, 20(1), 124-143. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/09574090910954873

Rice, J. and Caniato, F. (2003), “Building a se-cure and resilient supply network”, Sup-ply Chain Management Review, Vol. 7 No. 5, pp. 22-30. https://www.proquest.com/trade-journals/building-secure-resilient-supply-network/docview/221137244/se-2?accountid=190474

Rojo, A., Llorens-Montes, J., & Perez-Arostegui, M. (2016). The impact of ambidexterity on supply chain flexibility fit. Supply Chain Management, 21(4), 433-452. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/SCM-08-2015-032

Sahay, B. S. (2003). Understanding trust in supply chain relationships. Industrial Management & Data Systems, 103(8), 553-563. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/02635570310497602

Scheibe, K. P., & Blackhurst, J. (2018). Supply chain disruption propagation: a systemic risk and normal accident theory perspec-tive. International Journal of Production Research, 56(1-2), 43–59. https://doi.org/10.1080/00207543.2017.1355123

Scholten, K., & Schilder, S. (2015). The Role of Collaboration in Supply Chain Resilience. Supply Chain Management: An Interna-tional Journal, 20(4), 471-484. Google Scholar. http://dx.doi.org/10.1108/SCM-11-2014-0386

Sharma, S. K., & Sajeev, A. G. (2018). Modelling resilience of truckload transportation in-dustry. Benchmarking, 25(7), 2531-2545. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/BIJ-07- 2017-0188

Sheffi, Y., Rice, J. (2005). A Supply Chain View of the Resilient Enterprise. MIT Sloan Management Review, 47(1), 41-48. https://www.researchgate.net/publication/255599289_A_Supply_Chain_View_of_the_Resilient_Enterprise

Somapa, S., Cools, M., & Dullaert, W. (2018). Characterizing supply chain visibility – a literature review. International Journal of Logistics Management, 29(1), 308-339. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/IJLM-06-2016-0150

Stevenson, M., & Spring, M. (2007). Flexibility from a supply chain perspective: Defini-tion and review. International Journal of Operations & Production Management, 27(7), 685. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/01443570710756956

Taasoobshirazi, G. & Wang, S. (n.d.). The Per-formance of the SRMR, RMSEA, CFI, and TLI: An Examination of Sample Size, Path Size, and Degrees of Freedom. University of Cincinnati: Journal of Applied Quantita-tive Methods. https://scholar.google.com/citations?view_op=view_citation&hl=en&user=RvQN7HcAAAAJ&citation_for_view=RvQN7HcAAAAJ:3bvyWxjaHKcC

Vernon, F. (2008). Supply chain visibility: Lost in translation? Supply Chain Manage-ment, 13(3), 180-184. http://dx.doi.org.dlsu.idm.oclc.org/10.1108/13598540810871226

Vickery, S., R. Calantone, and C. Droge. 1999. “Supply Chain Flexibility: An Empirical Study.” Journal of Supply Chain Manage-ment 35 (3): 24–25. https://onlinelibrary.wiley.com/doi/abs/10.1111/j.1745-493X.1999.tb00058.x

Wei, H., & Wang, E. T. G. (2010). The strategic value of supply chain visibility: Increasing the ability to reconfigure. European Jour-nal of Information Systems, 19(2), 238-249. http://dx.doi.org.dlsu.idm.oclc.org/10.1057/ejis.2010.10

World Economic Forum. (n.d.). World Economic Forum Annual Meeting 2013 Resilient Dynamism. World Economic Forum. http://www3.weforum.org/docs/AM13/WEF_AM13_Report.pdf

Downloads

Published

2024-03-22

How to Cite

Moraga, M. V., Go, B. P. ., Go, C. E. ., Tan, H. ., & Ledesma, J. . (2024). Supply Chain Resilience During the Covid-19 Pandemic: Understanding the Role of Collaboration, Visibility, Velocity, and Flexibility in Supply Chain Resilience Using Structural Equation Modeling Approach. International Journal of Multidisciplinary: Applied Business and Education Research, 5(3), 762-777. https://doi.org/10.11594/ijmaber.05.03.03