Reforming global supply chain management under pandemics: The GREAT‐3Rs framework

Abstract

The recent outbreak of Coronavirus disease 2019 (COVID‐19) has posed serious threats and challenges to global supply chain management (GSCM). To survive the crisis, it is critical to rethink the proper setting of global supply chains and reform many related operational strategies. We hence attempt to reform the GSCM from both supply and demand sides considering different pandemic stages (i.e., pre, during, and post‐pandemic stages). In this research paper, we combine a careful literature review with real‐world case studies to examine the impacts and specific challenges brought by the pandemic to global supply chains. We first classify the related literature from the demand and supply sides. Based on the insights obtained, we search publicly available information and report real practices of GSCM under COVID‐19 in nine top global enterprises. To achieve responsiveness, resilience, and restoration (3Rs), we then propose the “GREAT‐3Rs” framework, which shows the critical issues and measures for reforming GSCM under the three pandemic stages. In particular, the “GREAT” part of the framework includes five critical domains, namely, “government proactive policies and measures,” “redesigning global supply chains,” “economic and financing strategies under risk,” “adjustment of operations,” and “technology adoption,” to help global enterprises to survive the pandemic; “3Rs” are the outputs that can be achieved after using the “GREAT” strategies under the three pandemic stages. Finally, we establish a future research agenda from five aspects.

Firms’ responses to the COVID-19 pandemic

“…In response to the COVID-19 pandemic, Ahlstrom and Wang (2021) showcase multiple temporal tactics of pharmaceutical firms, conceptually highlighting the need for quick action in global crises. Xu, Sethi, Chung, and Choi (2023) outline a framework for pandemic responses, highlighting a wide range of tactical responses on an operational level to achieve the three major strategic objectives, responsiveness, resilience, and restoration, to secure firm survival and stabilize financial performance. Amankwah-Amoah (2020) look at operational responses specific to the airline industry.…”

Supply Chain Response during the COVID-19 Pandemic: A Multiple-Case Study

“…Belhadi et al [41] stated that in the automotive industry's response to the COVID-19 crisis, supplier location decisions were made and information technologies were used, while in the aeronautical industry, response efforts focused on maintaining business continuity both at airports and on flights. In the framework proposed by Xu et al [42], they highlight that the increase in online business, social responsibility, and the union of companies to form industrial conglomerates were the strategies that improved the SC response. For Snowdon and Saunders [43], the response strategies used by Nova Scotia during the pandemic were the integration of the SC, strategic and local sourcing, and the restricted use of raw materials.…”

Dynamic digital capabilities and supply chain resilience: The role of government effectiveness

“…In recent times, academics and policymakers have paid significant attention to the turbulence in the supply chain resulting from various sources of disruption (Tang, 2006;Xu et al, 2022). The turbulence in a supply chain is often commonly referred to as: "supply chain disruption".…”