The Effectiveness of Supply Chain Risk Information Processing Capability: An Information Processing Perspective

IEEE Transactions on Engineering Management

Volumn 63, Issue 4, 2016, Pages 414-425

  Fan, Huan ^a,b   Cheng, T C E ^b   Li, Gang ^a   Lee, Peter K C ^b  

^a XI'AN JIAOTONG UNIVERSITY   (China)

^b HONG KONG POLYTECHNIC UNIVERSITY   (Hong Kong)

Author keywords

Information processing capability; supply chain risk (SCR); uncertainty characteristics

Indexed keywords

INFORMATION ANALYSIS; RISK ANALYSIS; RISK ASSESSMENT; RISK MANAGEMENT; SUPPLY CHAINS; TURBULENCE; UNCERTAINTY ANALYSIS;

IMPROVING PERFORMANCE; INFORMATION PROCESSING CAPABILITY; INFORMATION PROCESSING THEORIES; MANAGERIAL IMPLICATIONS; OPERATIONAL PERFORMANCE; SUPPLY CHAIN RISK; SUPPLY CHAIN RISK MANAGEMENT; UNCERTAINTY CHARACTERISTICS;

SUPPLY CHAIN MANAGEMENT;

EID: 85026998558     PISSN: 00189391     EISSN: None     Source Type: Journal    
DOI: 10.1109/TEM.2016.2598814     Document Type: Article

References (76)

1. K. B. Hendricks and V. R. Singhal, "The effect of supply chain glitches on shareholder wealth, " J. Oper. Manage., vol. 21, no. 5, pp. 501-522, 2003.
2. K. B. Hendricks and V. R. Singhal, "Association between supply chain glitches and operating performance, "Manage. Sci., vol. 51, no. 5, pp. 695-711, 2005.
3. M. Hillman and H. Keltz, "Managing risk in the supply chain-A quantitative study, " AMR Res., pp. 713-798, Jan. 2007.
4. M. S. Sodhi, B. G. Son, and C. S. Tang, "Researchers' perspectives on supply chain risk management, " Prod. Oper. Manage., vol. 21, no. 1, pp. 1-13, 2012.
5. U. Juttner, "Supply chain risk management: Understanding the business requirements from a practitioner perspective, " Int. J. Logistic Manage., vol. 16, no. 1, pp. 120-141, 2005.
6. D. Waters, Supply Chain Risk Management: Vulnerability and Resilience in Logistics. London, U.K.: Kogan Page, 2007.
7. S. Chopra and M. S. Sodhi, "Managing risk to avoid supply-chain breakdown, " MIT Sloan Manage. Rev., vol. 46, no. 1, pp. 53-61, 2004.
8. P. R. Kleindorfer and G. H. Saad, "Managing disruption risks in supply chain, " Prod. Oper. Manage., vol. 14, no. 1, pp. 53-68, 2005.
9. M. Christopher and H. Lee, "Mitigating supply chain risk through improved confidence, " Int. J. Phys. Distrib. Logistics Manage., vol. 34, no. 5, pp. 388-396, 2004.
10. U. Juttner, H. Peck, and M. Christopher, "Supply chain risk management: Outlining an agenda for future research, " Int. J. Logistics Res. Appl., vol. 6, no. 4, pp. 197-210, 2003.
11. C. S. Tang, "Robust strategies for mitigating supply chain disruptions, " Int. J. Logistics Res. Appl., vol. 9, no. 1, pp. 33-45, 2006.
12. M. L. Tushman and D. A. Nadler, "Information processing as an integrating concept in organizational design, " Acad. Manage. Rev., vol. 3, no. 3, pp. 613-624, 1978.
13. P. R. Rogers, A. Miller, and W. Q. Judge, "Using information-processing theory to understand planning/performance relationships in the context of strategy, " Strategic Manage. J., vol. 20, no. 6, pp. 567-577, 1999.
14. D. Mani, A. Barua, and A. B. Whinston, "An empirical analysis of the impact of information capabilities design on business process outsourcing performance, " MIS Quart., vol. 34, no. 1, pp. 39-62, 2010.
15. J. Shockley, A. V. Roth, and L. D. Fredendall, "An information-processing approach for evaluating in-store retail operational design strategies, " Decision Sci., vol. 42, no. 3, pp. 619-653, 2011.
16. J. R. Galbraith, Designing Complex Organizations. Reading, MA, USA: Addison-Wesley, 1973.
17. R. Srinivasan andM. Swink, "Leveraging supply chain integration through planning comprehensiveness: An organizational information processing theory perspective, " Decision Sci., vol. 46, no. 5, pp. 823-861, 2015.
18. G. Premkumar, K. Ramamurthy, and C. S. Saunders, "Information processing view of organizations: An exploratory examination of fit in the context of inter-organizational relationships, " J. Manage. Inf. Syst., vol. 22, no. 1, pp. 257-294, 2005.
19. P. M. Chandran, Sears Logistics Management Practices. Hyderabad, India: ICFAI, 2004. [Online]. Available: Https://mohanchandran. files.wordpress.com/2008/01/sears.pdf
20. A. Latour, "Trial by fire: A blaze in Albuquerque sets off major crisis for cell-phone giants-Nokia handles supply shock with aplomb as Ericsson of Sweden gets burned-Was SISU the difference?" Wall Street J., p. A1-A1, Jan. 29, 2001.
21. L. Story and D. Barboza, "Mattel recalls 19 million toys sent from China, " The New York Times, Aug. 15, 2007.
22. C. W. Craighead, J. Blackhurst, M. J. Rungtusanatham, and R. B. Handfield, "The severity of supply chain disruptions: Design characteristics and mitigation capabilities, " Decision Sci., vol. 38, no. 1, pp. 131-156, 2007.
23. C. S. Tang, "Perspectives in supply chain risk management, " Int. J. Prod. Econ., vol. 103, no. 2, pp. 451-488, 2006.
24. S. C. Ellis, R. M. Henry, and J. Shockley, "Buyer perceptions of supply disruption risk: A behavioral view and empirical assessment, " J. Oper. Manage., vol. 28, no. 1, pp. 34-46, 2010.
25. R. E. Spekman and E. W. Davis, "Risky business: Expanding the discussion on risk and the extended enterprise, " Int. J. Phys. Distrib. Logistics Manage., vol. 34, no. 5, pp. 414-433, 2004.
26. M. N. Faisal, D. K. Banwet, and R. Shankar, "Supply chain risk mitigation: Modeling the enablers, " Bus. Process Manage. J., vol. 12, no. 4, pp. 535-552, 2006.
27. E. Bendoly and M. Swink, "Moderating effects of information access on project management behavior, performance and perceptions, " J. Oper. Manage., vol. 25, no. 3, pp. 604-622, 2007.
28. X. A. Koufteros, M. A. Vonderembase, andW. J. Doll, "Integrated product development practices and competitive capabilities: The effect of uncertainty, equivocality, and platform strategy, " J. Oper. Manage., vol. 20, no. 4, pp. 331-355, 2002.
29. D. F. Riedl, L. Kaufmann, C. Zimmermann, and J. L. Perols, "Reducing uncertainty in supplier selection decisions: Antecedents and outcomes of procedural rationality, " J. Oper. Manage., vol. 31, no. 1, pp. 24-36, 2013.
30. H. Zhou and W. C. Benton, "Supply chain practice and information sharing, " J. Oper. Manage., vol. 25, no. 6, pp. 1348-1365, 2007.
31. J. H. Thun and D. Hoenig, "An empirical analysis of supply chain risk management in the German automotive industry, " Int. J. Prod. Econ., vol. 131, no. 1, pp. 242-249, 2011.
32. P. Puranam, M. Raveendran, and T. Knudsen, "Organization design: The epistemic interdependence perspective, " Acad. Manage. Rev., vol. 37, no. 3, pp. 419-440, 2012.
33. W. G. Egelhoff, "Information-processing theory and the multinational enterprise, " J. Int. Bus. Stud., vol. 22, no. 3, pp. 341-368, 1991.
34. B. D.Williams, J. Roh, T. Tokar, andM. Swink, "Leveraging supply chain visibility for responsiveness: The moderating role of internal integration, " J. Oper. Manage., vol. 31, no. 7, pp. 543-554, 2013.
35. C. Y. Wong, S. Boon-Itt, and C. W. Wong, "The contingency effects of environmental uncertainty on the relationship between supply chain integration and operational performance, " J. Oper.Manage., vol. 29, no. 6, pp. 604-615, 2011.
36. C. Bode, S. M.Wagner, K. J. Petersen, and L. M. Ellram, "Understanding responses to supply chain disruptions: Insights from information processing and resource dependence perspectives, " Acad. Manage. J., vol. 54, no. 4, pp. 833-856, 2011.
37. J. P. Cannon and W. D. Perreault, Jr., "Buyer-seller relationships in business markets, " J. Marketing Res., vol. 36, no. 4, pp. 439-460, 1999.
38. S. Sarin and C. McDermott, "The effect of team leader characteristics on learning, knowledge application, and performance of cross-functional new product development teams, " Decision Sci., vol. 34, no. 4, pp. 707-739, 2003.
39. R. Lamming, T. Johnsen, J. Zheng, and C. Harland, "An initial classification of supply networks, " Int. J. Oper. Prod. Manage., vol. 20, no. 6, pp. 675-691, 2000.
40. T. Y. Choi and D. R. Krause, "The supply base and its complexity: Implications for transaction costs, risks, responsiveness, and innovation, " J. Oper. Manage., vol. 24, no. 5, pp. 637-652, 2006.
41. H. Matsuo, "Implications of the Tohoku earthquake for Toyotas coordination mechanism: Supply chain disruption of automotive semiconductors, " Int. J. Prod. Econ., vol. 161, pp. 217-227, 2015.
42. V. G. Hegde, S. Kekre, S. Rajiv, and P. R. Tadikamalla, "Customization: Impact on product and process performance, " Prod. Oper. Manage., vol. 14, no. 4, pp. 388-399, 2005.
43. K. L. Kraemer, J. Dedrick, and S. Yamashiro, "Refining and extending the business model with information technology: Dell Computer Corporation, " Inf. Soc., vol. 16, no. 1, pp. 5-21, 2000.
44. D. Kandemir, A. Yaprak, and S. T. Cavusgil, "Alliance orientation: Conceptualization, measurement, and impact on market performance, " J. Acad. Marketing Sci., vol. 34, no. 3, pp. 324-340, 2006.
45. P. Trkman and K. McCormack, "Supply chain risk in turbulent environments-A conceptual model for managing supply chain network risk, " Int. J. Prod. Econ., vol. 119, no. 2, pp. 247-258, 2009.
46. P. Chatterjee, "Interfirm alliances in online retailing, " J. Bus. Res., vol. 57, no. 7, pp. 714-723, 2004.
47. I. Nonaka, "The knowledge-creating company, " Harvard Bus. Rev., vol. 69, no. 6, pp. 96-104, 1991.
48. E. Johnson, "Learning from toys: Lessons in managing supply chain risk from the toy industry, " California Manage. Rev., vol. 43, no. 3, pp. 106-124, 2001.
49. G. Svensson, "A conceptual framework of vulnerability in firms' inbound and outbound logistics flows, " Int. J. Phys. Distrib. Logistics Manage., vol. 32, no. 2, pp. 110-134, 2002.
50. R. Kaipia and H. Hartiala, "Information-sharing in supply chains: Five proposals on how to proceed, " Int. J. Logistics Manage., vol. 17, no. 3, pp. 377-393, 2006.
51. X. Zhao, B. B. Flynn, andA.V. Roth, "Decision science research in China: A critical review and research agenda-Foundations and overview, " Decision Sci., vol. 37, no. 4, pp. 451-496, 2006.
52. X. Zhao, B. Huo, B. B. Flynn, and J. H. Y. Yeung, "The impact of power and relationship commitment on the integration between manufacturers and customers in a supply chain, " J.Oper.Manage., vol. 26, no. 3, pp. 368-388, 2008.
53. N. Kumar, L. W. Stern, and L. C. Anderson, "Conducting interorganizational research using key informants, " Acad. Manage. J., vol. 36, no. 6, pp. 1633-1651, 1993.
54. J. S. Armstrong and T. S. Overton, "Estimating nonresponse bias in mail surveys, " J. Marketing Res., vol. 14, no. 3, pp. 396-402, 1977.
55. L. J. Menor and A. V. Roth, "New service development competence in retail banking: Construct development and measurement validation, " J. Oper. Manage., vol. 25, no. 4, pp. 825-846, 2007.
56. K. K. Boyer and M. Pagell, "Measurement issues in empirical research: Improving measures of operations strategy and advanced manufacturing technology, " J. Oper. Manage., vol. 18, no. 3, pp. 361-374, 2000.
57. B. M. Beamon, "Measuring supply chain performance, " Int. J. Oper. Prod. Manage., vol. 19, no. 3, pp. 275-292, 1999.
58. B. B. Flynn, B. Huo, and X. Zhao, "The impact of supply chain integration on performance: A contingency and configuration approach, " J. Oper. Manage., vol. 28, no. 1, pp. 58-71, 2010.
59. P. Podsakoff, S. MacKenzie, J. Lee, and N. Podsakoff, "Common methods biases in behavioral research: A critical review of the literature and recommended remedies, " J. Appl. Psychol., vol. 88, no. 5, pp. 879-903, 2003.
60. J. C. Loehlin, Latent Variable Models. Mahwah, NJ, USA: Lawrence Erlbaum, 1998.
61. M. S. Garver and J. T. Mentzer, "Logistics research methods: Employing structural equation modeling to test for construct validity, " J. Bus. Logistics, vol. 20, no. 1, pp. 33-58, 1999.
62. N. Venkatraman, "Performance implications of strategic coalignment: A methodological perspective, " J. Manage. Stud., vol. 27, no. 1, pp. 19-41, 1990.
63. A. N. Mishra, S. Devaraj, and G. Vaidyanathan, "Capability hierarchy in electronic procurement and procurement process performance: An empirical analysis, " J. Oper. Manage., vol. 31, no. 6, pp. 376-390, 2013.
64. S. W. O'Leary-Kelly and R. J. Vokurka, "The empirical assessment of construct validity, " J. Oper. Manage., vol. 16, no. 4, pp. 387-405, 1998.
65. J. Hair, W. Black, B. Babin, R. Anderson, and R. Tathan, Multivariate Data Analysis, 6th ed. Upper Saddle River, NJ, USA: Prentice-Hall, 2006.
66. C. Fornell and D. F. Larcker, "Structural equation models with unobservable variables andmeasurement error: Algebra and statistics, " J. Marketing Res., vol. 18, no. 3, pp. 382-388, 1981.
67. R. M. O'Brien, "A caution regarding rules of thumb for variance inflation factors, " Quality Quantity, vol. 41, no. 5, pp. 673-690, 2007.
68. M. Hobday, "Product complexity, innovation and industrial organization, " Res. Policy, vol. 26, no. 6, pp. 689-710, 1998.
69. C. C. Bozarth, D. P.Warsing, B. B. Flynn, and E. J. Flynn, "The impact of supply chain complexity on manufacturing plant performance, " J. Oper. Manage., vol. 27, no. 1, pp. 78-93, 2009.
70. H. Fan, G. Li, H. Y. Sun, and T. C. E. Cheng, "An information processing perspective on supply chain risk management: Antecedents, mechanism, and consequences, " Working Paper, 2016.
71. S. Novak and S. D. Eppinger, "Sourcing by design: Product complexity and the supply chain, " Manage. Sci., vol. 47, no. 1, pp. 189-204, 2001.
72. R. Monczka, R. Trent, and R. Handfield, Purchasing and Supply Chain Management. New York, NY, USA: South-Western College, 1998.
73. S. Li, S. S. Rao, T. S. Ragu-Nathan, and B. Ragu-Nathan, "Development and validation of a measurement instrument for studying supply chain management practices, " J. Oper. Manage., vol. 23, no. 6, pp. 618-641, 2005.
74. S. Vickery, C. Droge, and R. Germain, "The relationship between product customization and organizational structure, " J. Oper. Manage., vol. 17, no. 4, pp. 377-391, 1999.
75. S. Devaraj, D. G. Hollingworth, and R. G. Schroeder, "Generic manufacturing strategies and plant performance, " J. Oper. Manage., vol. 22, no. 3, pp. 313-333, 2004.
76. C. Droge, C. Claycomb, and R. Germain, "Does knowledge mediate the effect of context on performance? Some initial evidence, " Decision Sci., vol. 34, no. 3, pp. 541-568, 2003.