Advertisement

A Foundation of Sustainability Related Supply Chain Risks in Stakeholder Theory

Chapter
Part of the Lecture Notes in Logistics book series (LNLO)

Abstract

Based on an in-depth literature review of supply chain risk management and drawing on stakeholder theory, we develop a conceptualization of sustainability-related supply chain risks. Our accompanying conceptual analysis reveals that damage caused by sustainability-related supply chain risks evolves qualitatively differently than the traditionally established mechanism. Instead of supply chain disruptions, stakeholder reactions are effective as triggers of damage to focal firms. Therefore, a novel sustainability-related supply chain risk management is required.

Keywords

Sustainable supply chain management supply chain risk stakeholder theory legitimacy 

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. Amaeshi, K.M., Osuji, O.K., Nnodim, P.: Corporate Social Responsibility in Supply Chains of Global Brands: A Boundaryless Responsibility? Clarifications, Exceptions and Implications. Journal of Business Ethics 81(1), 223–234 (2008)CrossRefGoogle Scholar
  2. Anderson, D.R.: The Critical Importance of Sustainability Risk Management. Risk Management 53(4), 66–74 (2006)Google Scholar
  3. Anderson, D.R., Anderson, K.E.: Sustainability Risk Management. Risk Management & Insurance Review 12(1), 25–38 (2009)CrossRefGoogle Scholar
  4. Bode, C., Wagner, S.M., Petersen, K.J., Ellram, L.M.: Understanding Responses to Supply Chain Disruptions: Insights from Information Processing and Resource Dependence Perspectives. Academy of Management Journal 54(4), 833–856 (2011)CrossRefGoogle Scholar
  5. Brønn, P., Vidaver-Cohen, D.: Corporate Motives for Social Initiative: Legitimacy, Sustainability, or the Bottom Line? Journal of Business Ethics 87(suppl. 1), 91–109 (2009)CrossRefGoogle Scholar
  6. Buysse, K., Verbeke, A.: Proactive Environmental Strategies: A Stakeholder Management Perspective. Strategic Management Journal 24(5), 453–470 (2003)CrossRefGoogle Scholar
  7. Campbell, J.L.: Why Would Corporations Behave in Socially Responsible Ways? An Institutional Theory of Corporate Social Responsibility. Academy of Management Review 32(3), 946–967 (2007)CrossRefGoogle Scholar
  8. Carter, C.R., Easton, P.L.: Sustainable Supply Chain Management: Evolution and Future Directions. International Journal of Physical Distribution & Logistics Management 41(1), 46–62 (2011)CrossRefGoogle Scholar
  9. Carter, C.R., Jennings, M.M.: The Role of Purchasing in Corporate Social Responsibility: A Structural Equation Analysis. Journal of Business Logistics 25(1), 145–186 (2004)CrossRefGoogle Scholar
  10. Carter, C.R., Rogers, D.S.: A Framework of Sustainable Supply Chain Management: Moving toward New Theory. International Journal of Physical Distribution & Logistics Management 38(5), 360–387 (2008)CrossRefGoogle Scholar
  11. Cavinato, J.L.: Supply Chain Logistics Risks: From the Back Room to the Board Room. International Journal of Physical Distribution & Logistics Management 34(5), 383–387 (2004)CrossRefGoogle Scholar
  12. Chopra, S., Sodhi, M.S.: Managing Risk to Avoid Supply-Chain Breakdown. MIT Sloan Management Review 46(1), 53–62 (2004)Google Scholar
  13. Christopher, M., Peck, H.: Building the Resilient Supply Chain. International Journal of Logistics Management 15(2), 1–13 (2004)CrossRefGoogle Scholar
  14. Cousins, P.D., Lamming, R.C., Bowen, F.: The Role of Risk in Environment-Related Supplier Initiatives. International Journal of Operations & Production Management 24(6), 554–565 (2004)CrossRefGoogle Scholar
  15. Craighead, C.W., Blackhurst, J., Rungtusanatham, M.J., Handfield, R.B.: The Severity of Supply Chain Disruptions: Design Characteristics and Mitigation Capabilities. Decision Sciences 38(1), 131–156 (2007)CrossRefGoogle Scholar
  16. DeLaurentis, T.: Ethical Supply Chain Management. China Business Review 36(3), 38–41 (2009)Google Scholar
  17. Deleris, L.A., Erhun, F.: Quantitative Risk Assessment in Supply Chains: A Case Study Based on Engineering Risk Analysis Concepts. In: Kempf, K.G., Keskinocak, P., Uzsoy, R. (eds.) Planning Production and Inventories in the Extended Enterprise. Springer, New York (2011)Google Scholar
  18. Driscoll, C., Crombie, A.: Stakeholder Legitimacy Management and the Qualified Good Neighbor: The Case of Nova Nada and Jidi. Business & Society 40(4), 442 (2001)CrossRefGoogle Scholar
  19. World Commission on Environment and Development (WCOEAD), Our Common Future. Oxford University Press, Oxford (1987)Google Scholar
  20. Donaldson, T., Preston, L.E.: The Stakeholder Theory of the Corporation: Concepts, Evidence, and Implications. Academy of Management Review 20(1), 65–91 (1995)Google Scholar
  21. Dowling, J., Pfeffer, J.: Organizational Legitimacy: Social Value and Organizational Behavior. Pacific Sociological Review 18(1), 122–136 (1975)CrossRefGoogle Scholar
  22. Duhigg, C., Barboza, D.: How U.S. Lost out on Iphone Work. New York Times (2012), http://www.nytimes.com/2012/01/22/business/apple-america-and-a-squeezed-middle-class.html?pagewanted=all
  23. Ehrgott, M., Reimann, F., Kaufmann, L., Carter, C.: Social Sustainability in Selecting Emerging Economy Suppliers. Journal of Business Ethics 98(1), 99–119 (2011)CrossRefGoogle Scholar
  24. Elkington, J.: Cannibals with Forks. The Triple Bottom Line of 21st Century Business. Capstone, Oxford (1999)Google Scholar
  25. Faisal, M.N.: Analysing the Barriers to Corporate Social Responsibility in Supply Chains: An Interpretive Structural Modelling Approach. International Journal of Logistics: Research & Applications 13(3), 179–195 (2010)CrossRefGoogle Scholar
  26. Fombrun, C.J., Gardberg, N.A.: Opportunity Platforms and Safety Nets: Corporate Citizenship and Reputational Risk. Business & Society Review (00453609) 105(1), 85 (2000)CrossRefGoogle Scholar
  27. Freeman, R.E.: Strategic Management: A Stakeholder Approach. Cambridge Univ. Press, Cambridge (1984)Google Scholar
  28. Freeman, R.E., Harrison, J.S., Wicks, A.C., Parmar, B.L., De Colle, S.: Stakeholder Theory. The State of the Art. Cambridge Univ. Press, Cambridge (2010)CrossRefGoogle Scholar
  29. Garriga, E., Melé, D.: Corporate Social Responsibility Theories: Mapping the Territory. Journal of Business Ethics 53(1/2), 51–71 (2004)CrossRefGoogle Scholar
  30. Gladwin, T.N., Kennelly, J.J., Krause, T.-S.: Shifting Paradigms for Sustainable Development: Implications for Management Theory and Research. Academy of Management Review 20(4), 874–907 (1995)Google Scholar
  31. Grolin, J.: Corporate Legitimacy in Risk Society: The Case of Brent Spar. Business Strategy & the Environment 7(4), 213–222 (1998)CrossRefGoogle Scholar
  32. Guide Jr., V.D.R., Van Wassenhove, L.N.: The Evolution of Closed-Loop Supply Chain Research. Operations Research 57(1), 10–18 (2009)zbMATHCrossRefGoogle Scholar
  33. Hamel, G., Välikangas, L.: The Quest for Resilience (Cover Story). Harvard Business Review 81(9), 52–63 (2003)Google Scholar
  34. Hart, S.L.: A Natural-Resource-Based View of the Firm. Academy of Management Review 20(4), 986–1014 (1995)Google Scholar
  35. Harwood, I., Humby, S.: Embedding Corporate Responsibility into Supply: A Snapshot of Progress. European Management Journal 26(3), 166–174 (2008)CrossRefGoogle Scholar
  36. Hill, C.W.L., Jones, T.M.: Stakeholder-Agency Theory. Journal of Management Studies 29(2), 131–154 (1992)CrossRefGoogle Scholar
  37. Hubbard, G.: Measuring Organizational Performance: Beyond the Triple Bottom Line. Business Strategy & the Environment 18(3), 177–191 (2009)MathSciNetCrossRefGoogle Scholar
  38. Jawahar, I.M., McLaughlin, G.L.: Toward a Descriptive Stakeholder Theory: An Organizational Life Cycle Approach. Academy of Management Review 26(3), 397–414 (2001)Google Scholar
  39. Johnson, M.E.: Learning from Toys: Lessons in Managing Supply Chain Risk from the Toy Industry. California Management Review 43(3), 106–124 (2001)CrossRefGoogle Scholar
  40. Jones, T.M.: Instrumental Stakeholder Theory: A Synthesis of Ethics and Economics. Academy of Management Review 20(2), 404–437 (1995)Google Scholar
  41. Jüttner, U.: Supply Chain Risk Management: Understanding the Business Requirements from a Practitioner Perspective. International Journal of Logistics Management 16(1), 120–141 (2005)CrossRefGoogle Scholar
  42. Klassen, R.D., Vereecke, A.: Social Issues in Supply Chains: Capabilities Link Responsibility, Risk (Opportunity) and Performance. International Journal of Production Economics (forthcoming)Google Scholar
  43. Kleindorfer, P.R., Singhal, K., Van Wassenhove, L.N.: Sustainable Operations Management. Production & Operations Management 14(4), 482–492 (2005)CrossRefGoogle Scholar
  44. Kraljic, P.: Purchasing Must Become Supply Management. Harvard Business Review 61(5), 109–117 (1983)Google Scholar
  45. Linton, J.D., Klassen, R., Jayaraman, V.: Sustainable Supply Chains: An Introduction. Journal of Operations Management 25(6), 1075–1082 (2007)CrossRefGoogle Scholar
  46. MacCrimmon, K.R., Wehrung, D.A., Stanbury, W.T.: Taking Risks. The Management of Uncertainty. Free Press, New York (1986)Google Scholar
  47. Manuj, I., Mentzer, J.T.: Global Supply Chain Risk Management. Journal of Business Logistics 29(1), 133–155 (2008a)CrossRefGoogle Scholar
  48. Manuj, I., Mentzer, J.T.: Global Supply Chain Risk Management Strategies. International Journal of Physical Distribution & Logistics Management 38(3), 192–223 (2008b)CrossRefGoogle Scholar
  49. March, J.G., Shapira, Z.: Managerial Perspectives on Risk and Risk Taking. Management Science 33(11), 1404–1418 (1987)CrossRefGoogle Scholar
  50. Meehan, J., Bryde, D.: Sustainable Procurement Practice. Business Strategy & the Environment 20(2), 94–106 (2011)CrossRefGoogle Scholar
  51. Mitchell, R.K., Agle, B.R., Wood, D.J.: Toward a Theory of Stakeholder Identification and Salience: Defining the Principle of Who and What Really Counts. Academy of Management Review 22(4), 853–886 (1997)Google Scholar
  52. Mitchell, V.-W.: Organizational Risk Perception and Reduction: A Literature Review. British Journal of Management 6(2), 115–133 (1995)CrossRefGoogle Scholar
  53. Mueller, M., Dos Santos, V., Seuring, S.: The Contribution of Environmental and Social Standards Towards Ensuring Legitimacy in Supply Chain Governance. Journal of Business Ethics 89(4), 509–523 (2009)CrossRefGoogle Scholar
  54. Narasimhan, R., Talluri, S.: Perspectives on Risk Management in Supply Chains. Journal of Operations Management 27(2), 114–118 (2009)CrossRefGoogle Scholar
  55. Norman, W., Macdonald, C.: Getting to the Bottom of ”Triple Bottom Line”. Business Ethics Quarterly 14(2), 243–262 (2004)CrossRefGoogle Scholar
  56. Norrman, A., Lindroth, R.: Categorization of Supply Chain Risk and Risk Management. Supply Chain Risk. Ashgate, Aldershot (2004)Google Scholar
  57. Rao, S., Goldsby, T.J.: Supply Chain Risks: A Review and Typology. International Journal of Logistics Management 20(1), 97–123 (2009)CrossRefGoogle Scholar
  58. Ritchie, B., Brindley, C.: Supply Chain Risk Management and Performance: A Guiding Framework for Future Development. International Journal of Operations & Production Management 27(3), 303–322 (2007)CrossRefGoogle Scholar
  59. Seuring, S., Müller, M.: From a Literature Review to a Conceptual Framework for Sustainable Supply Chain Management. Journal of Cleaner Production 16(15), 1699–1710 (2008)CrossRefGoogle Scholar
  60. Sheffi, Y.: The Resilient Enterprise. MIT Press, Cambridge (2005)Google Scholar
  61. Sodhi, M.S., Son, B.-G., Tang, C.S.: Researchers’ Perspectives on Supply Chain Risk Management. Production & Operations Management 21(1), 1–13 (2012)CrossRefGoogle Scholar
  62. Spekman, R.E., Davis, E.W.: Risky Business: Expanding the Discussion on Risk and the Extended Enterprise. International Journal of Physical Distribution & Logistics Management 34(5), 414–433 (2004)CrossRefGoogle Scholar
  63. Starik, M., Rands, G.P.: Weaving an Integrated Web: Multilevel and Multisystem Perspectives of Ecologically Sustainable Organizations. Academy of Management Review 20(4), 908–935 (1995)Google Scholar
  64. Suchman, M.C.: Managing Legitimacy: Strategic and Institutional Approaches. Academy of Management Review 20(3), 571–610 (1995)Google Scholar
  65. Svensson, G.: A Conceptual Framework for the Analysis of Vulnerability in Supply Chains. International Journal of Physical Distribution & Logistics Management 30(9), 731–750 (2000)CrossRefGoogle Scholar
  66. Teevs, C.: Billig-Kleidung Von Lidl und Co. Spiegel Online (2012), http://www.spiegel.de/wirtschaft/service/0,1518,808288,00.html
  67. Treleven, M., Schweikhart, S.B.: A Risk/Benefit Analysis of Sourcing Strategies: Single vs. Multiple Sourcing. Journal of Operations Management 7(4), 93–114 (1988)CrossRefGoogle Scholar
  68. Tybout, A.M., Roehm, M.: Let the Response Fit the Scandal. Harvard Business Review 87(12), 82–88 (2009)Google Scholar
  69. Vachon, S.: Green Supply Chain Practices and the Selection of Environmental Technologies. International Journal of Production Research 45(18/19), 4357–4379 (2007)zbMATHCrossRefGoogle Scholar
  70. Vogel, D.: The Market for Virtue: The Potential and Limits of Corporate Social Responsibility. Brookings Inst. Press, Washington, DC (2005)Google Scholar
  71. Walker, H., Di Sisto, L., McBain, D.: Drivers and Barriers to Environmental Supply Chain Management Practices: Lessons from the Public and Private Sectors. Journal of Purchasing & Supply Management 14(1), 69–85 (2008)CrossRefGoogle Scholar
  72. Wood, D.J.: Corporate Social Performance Revisited. Academy of Management Review 16(4), 691–718 (1991)Google Scholar
  73. Zimmerman, M.A., Zeitz, G.J.: Beyond Survival: Achieving New Venture Growth by Building Legitimacy. Academy of Management Review 27(3), 414–431 (2002)Google Scholar

Copyright information

© Springer-Verlag Berlin Heidelberg 2013

Authors and Affiliations

  1. 1.Institute for Supply Chain Management – Procurement and LogisticsEBS Business School, EBS Universität für Wirtschaft und RechtWiesbadenGermany
  2. 2.Chair of Logistics ManagementETH ZurichZurichSwitzerland

Personalised recommendations