Abstract
Managers are becoming increasingly aware that their companys reputation, earnings consistency, and ability to deliver better shareholder returns are increasingly dependent on how well they manage supply chain disruptions. Although firms have always faced the risk of supply chain disruptions, the attention it receives has increased dramatically in recent years. This is likely driven by at least four developments. First, supply chains have become more complex due to globalization, outsourcing, single sourcing, and the focus on removing slack from supply chains. While many of these strategies have improved performance, these strategies have also made supply chains more prone to disruptions.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Aviv Y (2001) The effect of collaborative forecasting on supply chain performance. Manag Sci 47:1326–1343
Barnes-Schuster D, Bassok Y, Anupindi R (2002) Coordination and flexibility in supply contracts with options. Manuf Serv Oper Manag 4:171–207
Billington C, Johnson B, Triantis A (2002) A real options perspective on supply chain management in high technology. J Appl Corp Finance 15(2):32–43
Cachon G, Fisher M (2000) Supply chain inventory management and the value of shared information.. Manag Sci 46:1032–1048
Cachon G, Lariviere MA (2001) Contracting to assure supply: How to share demand forecasts in a supply chain.. Manag Sci 47:629–646
Casey N, Pasztor A (2007) Safety agency, mattel clash over disclosures. Wall Str J, 4 September, A1
Chopra S, Sodhi MS (2004) Managing risk to avoid supply-chain breakdown. Sloan Manag Rev 46(1):53–61
Craighead CW, Blackhurst J, Rungtusanatham MJ, Handfield RB (2007) The severity of supply chain disruptions: design characteristics and mitigation capabilities. Decis Sci 38:131–156
Fairclough G (2008) How a Heparin maker in China tackles risks—plant now supplying US must make frequent checks to monitor difficult market. Wall Str J, 10 March, B1.
Ferrer J, Karlberg J, Hintlian J (2007) Integration: the key to global success. Supply Chain Manag Rev, March 1–4
Fisher M (1997) What is the right supply chain for your product?. Harvard Bus Rev 75(2):105–116
Frohlich MT, Westbrook R (2001) Arcs of Integration: an international study of supply chain strategies. J Oper Manag 19:185–200
Hendricks KB, Singhal VR (2003) The effect of supply chain glitches on shareholder value. J Oper Manag 21:501–522
Hendricks KB, Singhal VR (2005) An Empirical analysis of the effect of supply chain disruptions on long-run stock price performance and risk of the firm. Prod and Oper Manag 14:35–52
Hendricks KB, Singhal VR (2005) Association between supply chain glitches and operating performance. Manag Sci 51:695–711
Kesmodel D (2008) Oversight ‘Flaw’ Led to meat recall—lax monitoring seen at plant’s cattle pens before closure. Wall Str J, 11 March, B1.
Kilgore M (2003) Mitigating supply chain risks. White paper, Chainalytics LLC
Kleindorfer PR, Saad GH (2005) Managing disruption risks in supply chain. Prod Oper Manag J 14:53–68
Lakenan B, Boyd D, Frey E (2001) Why Cisco fell:outsourcing and its peril. strategy+business. www.strategy-business.com/article/19984. Accessed 17 Jan 2011
Lee H, Padamanabhan P, Whang S (1997) Information distortion in supply chain: The bullwhip effect. Manag Sci 43:546–558
Lunsford JL (2007) Jet Blues: Boeing scrambles to repair problems with new plane—layers of outsourcing slow 787 production; ‘Hostage to Suppliers’. Wall Str J, 7 December, A1
Milner JM, Kouvelis P (2002) On the complementary value of accurate demand information and production and supplier flexibility. Manuf Serv Oper Manag 4:99–113
Narasimhan R, Jayaram J (1998) Casual linkages in supply chain management: an exploratory study of North American manufacturing firms. Decis Sci 29:579–605
Radjou N (2002) Adapting to supply network change. Forrester Research Inc, Cambridge MA
Rosenzweig ED, Roth A, Dean JW (2003) The influence of an integration strategy on competitive capabilities and business performance: an exploratory study of consumer products manufacturers. J Oper Manag 21:437–456
Sheffi Y (2005) The resilient enterprise: overcoming vulnerability for competitive advantage. MIT Press, Massachusetts
Shin H, Collier DA, Wilson DD (2000) Supply management orientation and supplier/buyer performance. J Oper Manag 18:317–333
Smyrlis L (2006) Risky Business: there has been a significant increase in external risk during the past five years and supply chain is the major concern, New survey shows. Can Transp and Logist, June 1, 14
Taylor TA (2002) Supply chain coordination under channel rebates with sales effort effects. Manag Sci 48:992–1007
Tang C (2006) Robust strategies for mitigating supply chain disruptions. Int J Logist Res Appl 9:33–45
Tomlin B (2006) On the value of mitigation and contingency strategies for managing supply chain disruptions risks. Manag Sci 52:639–657
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2012 Springer-Verlag London Limited
About this chapter
Cite this chapter
Hendricks, K.B., Singhal, V.R. (2012). Supply Chain Disruptions and Corporate Performance. In: Gurnani, H., Mehrotra, A., Ray, S. (eds) Supply Chain Disruptions. Springer, London. https://doi.org/10.1007/978-0-85729-778-5_1
Download citation
DOI: https://doi.org/10.1007/978-0-85729-778-5_1
Published:
Publisher Name: Springer, London
Print ISBN: 978-0-85729-777-8
Online ISBN: 978-0-85729-778-5
eBook Packages: EngineeringEngineering (R0)