Supply chain resilience and performance of manufacturing firms: role of supply chain disruption

Abstract

PurposeThe current study sought to investigate the moderating effect of supply chain disruptions (SCD) (supply chain – supply disruption, catastrophic disruption and infrastructure disruption) on the relationship between supply chain resilience (SCR) and supply chain performance (SCP) of manufacturing firms in Ghana.Design/methodology/approachThe quantitative research approach and explanatory research designs were utilised. A sample of 345 manufacturing firms were drawn from a population of 2,495 manufacturing firms in the Accra metropolis. The Partial Least Squares Structural Equation Modelling (PLS-SEM) was employed to accomplish the research objectives.FindingsFirst, the study revealed that SCR has a significant positive effect on SCP. Second, the authors found reasonable evidence to support that SCD have a significant positive moderating effect on the relationship between SCR and SCP, except for supply chain catastrophic disruption which had a negative impact. It can be concluded that the components of SCD have heterogeneous impact in the SCR and SCP nexus.Research limitations/implicationsThe study is limited to manufacturing firms in Ghana and does not make a distinction among resilience strategies.Practical implicationsIncreased SCR boost manufacturing companies' supply chains' performance and aid to lessen the adverse effects of SCD relating to infrastructure and supply. It implies that supply chain managers are able to reduce the effects of infrastructure and supply disruptions. Also, techniques that reduce the adverse impact of SCD relating to catastrophe would be beneficial for supply chain managers in Ghana and other countries with comparable economic environments.Originality/valueThe study provides a unique contribution on the moderating role of the dimensions of SCD (supply, infrastructure and catastrophic) on the nexus between SCR and SCP in a developing economy context in a dynamic changing environment. Policymakers would get better insights into instituting the required policies needed to revamp firms with weak supply chains as a result of supply chain disruption.