Impact of Resilience, Disruption and Ambidexterity on Supply Chain Performance

Abstract

Supply chain disruption represents noticeable risks to firms in a dynamic unanticipated environment. Different levels faced various challenges, which required unique strategies as there were numerous strategies available that helped the firm to mitigate the negative effect of disruption. According to a statement by Dean Becker, the president and CEO of adaptive learning systems, “More than education, more than experience, more than training, a person’s level of resilience will determine who succeeds and who fails”. Resilience uses proactive and reactive strategies to reduce the negative impact of supply chain disruption. Implementing such strategies can give a new direction to an organization to achieve competencies in uncertain environments. Organizations required both exploitation and exploration as well to reduce the impact of disruption. The purpose of this study is to investigate the relationship among resilience, disruption, ambidexterity and performance. Scholar developed the framework to understand the relationship among resilience, supply chain disruption and performance. In addition, scholars examined moderating effect of supply chain ambidexterity between supply chain disruption and supply chain performance. To test these relationships scholar used structural equation modeling. For the first time, this study introduces a new term the “Zone of Ambidexterity” in the supply chain context. In this study, the scholar used normal accidental theory that helps to understand supply chain disruptions whereas paradox theory was used to know more about supply chain ambidexterity. This work contributes to the supply chain disruption and ambidexterity literature by finding the relationship between them. The findings of the study suggest that ambidexterity plays a vital role in reducing the intensity of disruption that improves performance. It also strengthens the negative relationship between supply disruption and operational performance. Structural ambidexterity was much more effective as compared to contextual ambidexterity. This study covers the literature on supply chain disruption, supply chain resilience and supply chain ambidexterity in detail which ultimately helps an organization to bounce back from disruptions.