NBR Volume-3  Issue-2 2021 (July-December)

INVESTIGATING THE ROLE OF RISK MITIGATION STRATEGIES ON SUPPLY CHAIN DISRUPTION
IMPACT AMIDST COVID-19 OUTBREAK

Komal Abdullah
Institute of Business of Administration, Karachi, Pakistan
Tashfah Tauqir
Institute of Business of Administration, Karachi, Pakistan
Mujtaba Hassan Agha
NUST Business School, National University of Sciences and Technology,
Islamabad, Pakistan
Rameez Khalid
Institute of Business of Administration, Karachi, Pakistan

ABSTRACT 

Purpose – This contextual study evaluates the role of risk management practices in Pakistan amidst the COVID-19 outbreak in addressing supply chain disruption and ensuring supply chain resilience and robustness. The purpose of the study was to analyze the emerging challenges in supply chain disruption due to COVID19 and to add value to literature by leveraging the study to provide insights into the Pakistani context.

Methodology: For the quantification of data, structural equation modeling was used. A purposive sample of 174 respondents was selected to provide data in the study.

Findings: The results provide empirical evidence that disruption caused by COVID- 19 in Pakistan did not affect the robustness and resilience of the supply chain due to a shift towards tier 1 suppliers, considered low adaptation of lean and recourse to buffer capacities for mitigating the disruption. Furthermore, the findings reveal that risk identification, assessment, and control within supply chain risk management practices play an important role in enhancing resilience and robustness in the supply chain system.

Practical Implications: Overall, the empirical contribution of the study supports the theorization that a combination of the resource-based view and organizational information processing theories influenced the SC management of risk practices. In Pakistan, organizations which had communicated new strategies and maintained closeness to their customers remained resilient, thus paving the way for practitioners to follow the same path.

Keywords: Supply chain disruption, COVID-19, supply chain resilience, supply chain robustness, risk management, supply chain risk management practices

Article History:

Received: 06 June 2021
Revised: 22 Feb 2022
Accepted: 31 Mar 2022

Paper type: Research Paper

Full-Length Paper: PDF

DOI: https://doi.org/10.37435/NBR21060601

This is an open-access article under the CC BY 4.0 license