Operational resilience, disruption, and efficiency: Conceptual and empirical analyses

Abstract

A B S T R A C TThis research develops the notion of operational resilience and investigates its relationship with operational efficiency under differing conditions of operational disruption. Operational resilience is conceptualized as a multi-dimensional construct, consisting of two theoretically distinct components (i.e., disruption absorption and recoverability), which are argued to have unique effects on operational efficiency under varying operational disruption conditions. The study's hypotheses are empirically tested on primary data from a sample of 259 firms in a sub-Saharan African economy. Using structural equation modeling as an analytical tool, the study finds that both disruption absorption and recoverability have positive effects on operational efficiency. Additionally, the study finds that while the effect of disruption absorption on operational efficiency is stronger under conditions of high operational disruption, the effect of recoverability on operational efficiency is stronger under conditions of low operational disruption. A major implication of these findings is that the nature of operational resilience and the disruption circumstances under which it is deployed shape its efficiency value, thus advancing knowledge on the nuances associated with how and when operational resilience influences operational efficiency.

Sustainable supply chain management towards disruption and organizational ambidexterity: A data driven analysis

“…The Latin America and Caribbean are potential workshop to replace Asia for North America and Europe. The certitude and operative constancy must be noticed when building resilience and flexibility approaches, which positively improve operational efficiency ( Ivanov and Dolgui, 2019 , Essuman et al, 2020 ). However, the lack of information and uncertainty, and the absence of the external knowledge are navigating their activities and unsustain their existence.…”

“… Alamerew and Brissaud (2020) explored the system dynamics using TBL aspects from a close-loop SC to grants a complex systemic model of reverse logistics to recover end-of-life products based on cost, revenue, regulatory, and strategic decisions; and proposed that researchers, practitioners, policy makers need to improve their knowledge sharing among the main CE pillars and the strengthen the interaction among numerous decision factors. Essuman et al (2020) developed the operational resilience notion and investigated its effects on operational efficiency under different operational disruptive situations and found both disruption absorption and recoverability have positive relationship to operational efficiency. Fattahi et al (2020) provides a stochastic optimization of disruption drives on SC network design to measures the expected SC's surplus cost with new resilience metric that quickly and effectively forms the SC back to its original or even more desirable state after the disruption and during its recovery phase.…”

“…For instance, the floods in Thailand, and earthquake and tsunami in Japan in 2011 showed an aggravated of global SC disruption ( Kauppi et al, 2016 ; Shekarian et al, 2020 ). Recently, firms as Hyundai deferred its manufacture in South Korea; and Ford, Nissan, and Tesla shut down their factories; a drop in Apple products demand as results of the disruption caused by the Covid-19 outbreak in China are reported from February 2020 ( Essuman et al, 2020 ). Factory closures and drastic drops in product demand have led to major SC problems for many firms throughout the world ( Yu and Aviso, 2020 ).…”

OR-methods for coping with the ripple effect in supply chains during COVID-19 pandemic: Managerial insights and research implications

“…Over the last decades, an enormous array of methods and tools has been developed, which can be applied to decision-making support under uncertainty ( Silbermayr and Minner, 2014 ; Demirel et al, 2019 ; Li and Zobel, 2020 ). We refer to comprehensive surveys on these operational and disruption risks ( Klibi et al, 2010 ; Snyder et al, 2016 ; Shen and Li, 2017 ; Hosseini et al, 2019a , b ; Ghadge et al, 2019 ; Yu et al, 2019 ; Essuman et al, 2020 ). Similar literature on epidemics and humanitarian disasters in the context of SCs and logistics presents a body of promising methods and outcomes ( Altay and Green, 2006 ; Dasaklis et al, 2012 ; Gupta et al, 2016 ; Dubey et al, 2019b ; Fosso Wamba, 2020 ).…”

Influence of Organisational Culture on Supply Chain Resilience: A Power and Situational Strength Conceptual Perspective

“…In the supply chain management field, resilience is described as "the adaptive capability of the supply chain to prepare for unexpected events, respond to disruptions, and recover from them by maintaining continuity of operations at the desired level of connectedness and control over structure and function" (Ponomarov and Holcomb 2009, p. 131). Essuman et al (2020) have considered a number of studies to discuss both operational and supply chain resilience and found that different researchers consider resilience from different perspectives; for example, at focal firm level, at supply chain level, supply network, and supply system.…”