Jessica L. Darby, Kaitlin D. Wowak, David J. Ketchen Jr, Brian L. Connelly
Navigating failure is a critical part of managing today's supply chains. This study focuses on one prominent type of supply chain failure: product recalls. Despite the negative implications for the firm, its supply chain, and society, some firms are slow to initiate recalls. Drawing on agency theory, the authors examine whether such delays might be mitigated, in part, by a group of stockholders who are increasingly vocal about supply chain failures: activist investors. While most stockholders avoid meddling in firms, activist investors work to bring about change. Research makes clear that firms respond when directly attacked by activist investors, but less is known about possible spillover effects—i.e., whether and to what extent non-targeted firms respond when activist investors attack other firms. Analyses of data on 5427 medical product recalls reveal that greater stock ownership by activist investors who have attacked other firms is associated with faster recalls, and the spillover effect is stronger for design-related defects and high-severity defects that can harm consumers. Overall, the study uncovers an important spillover effect wherein activist investor attacks influence other firms in which they own stock to recall defective products more quickly, thereby benefiting society.
{"title":"An Agency Theory Perspective on Activist Investors and Supply Chain Failures: The Case of Product Recalls","authors":"Jessica L. Darby, Kaitlin D. Wowak, David J. Ketchen Jr, Brian L. Connelly","doi":"10.1111/jscm.70003","DOIUrl":"https://doi.org/10.1111/jscm.70003","url":null,"abstract":"<p>Navigating failure is a critical part of managing today's supply chains. This study focuses on one prominent type of supply chain failure: product recalls. Despite the negative implications for the firm, its supply chain, and society, some firms are slow to initiate recalls. Drawing on agency theory, the authors examine whether such delays might be mitigated, in part, by a group of stockholders who are increasingly vocal about supply chain failures: activist investors. While most stockholders avoid meddling in firms, activist investors work to bring about change. Research makes clear that firms respond when directly attacked by activist investors, but less is known about possible spillover effects—i.e., whether and to what extent non-targeted firms respond when activist investors attack <i>other</i> firms. Analyses of data on 5427 medical product recalls reveal that greater stock ownership by activist investors who have attacked other firms is associated with faster recalls, and the spillover effect is stronger for design-related defects and high-severity defects that can harm consumers. Overall, the study uncovers an important spillover effect wherein activist investor attacks influence other firms in which they own stock to recall defective products more quickly, thereby benefiting society.</p>","PeriodicalId":51392,"journal":{"name":"Journal of Supply Chain Management","volume":"61 4","pages":"98-115"},"PeriodicalIF":9.9,"publicationDate":"2025-09-08","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jscm.70003","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"145772539","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Structural holes in global supply chains isolate suppliers in low- and middle-income economies from buyers and consumers in high-income economies, hindering the accomplishment of sustainability goals. Previous research has studied how for-profit organizations bridge these structural holes. This study examines how purpose-driven organizations, which place their purpose above profits to improve farmers' livelihoods in coffee supply chains, bridge the same structural holes. Knowledge on structural holes is elaborated by exploring the brokering activities of these purpose-driven organizations. This is accomplished by analyzing case data from 31 purpose-driven organizations: nine cases of sourcing intermediaries and exporters in Colombia and 22 cases of roasters and importers in the Netherlands (NL), United States (US), and United Kingdom (UK). The cases are grouped and compared according to their primary activities, with the average or typical case as the unit of analysis. The findings unpack an approach to brokerage motivated by the purpose-driven organizations' goal of improving the livelihoods of marginalized suppliers. Their approach to brokerage centers around aligning, empowering, educating, and mobilizing practices and the legitimation of novel practices in regulative, normative, and cognitive domains. This is achieved through either single-direction or multi-stakeholder brokerage. The study contributes to society by considering the implications for other entities and global supply chains of exemplar organizations' innovative approaches to sustainability issues.
{"title":"Brokering for the Benefit of Others: How Purpose-Driven Organizations Create Sustainable Supply Chains","authors":"Eugenia Rosca, Madeleine Pullman, Mark Pagell","doi":"10.1111/jscm.70002","DOIUrl":"https://doi.org/10.1111/jscm.70002","url":null,"abstract":"<p>Structural holes in global supply chains isolate suppliers in low- and middle-income economies from buyers and consumers in high-income economies, hindering the accomplishment of sustainability goals. Previous research has studied how for-profit organizations bridge these structural holes. This study examines how purpose-driven organizations, which place their purpose above profits to improve farmers' livelihoods in coffee supply chains, bridge the same structural holes. Knowledge on structural holes is elaborated by exploring the brokering activities of these purpose-driven organizations. This is accomplished by analyzing case data from 31 purpose-driven organizations: nine cases of sourcing intermediaries and exporters in Colombia and 22 cases of roasters and importers in the Netherlands (NL), United States (US), and United Kingdom (UK). The cases are grouped and compared according to their primary activities, with the average or typical case as the unit of analysis. The findings unpack an approach to brokerage motivated by the purpose-driven organizations' goal of improving the livelihoods of marginalized suppliers. Their approach to brokerage centers around aligning, empowering, educating, and mobilizing practices and the legitimation of novel practices in regulative, normative, and cognitive domains. This is achieved through either single-direction or multi-stakeholder brokerage. The study contributes to society by considering the implications for other entities and global supply chains of exemplar organizations' innovative approaches to sustainability issues.</p>","PeriodicalId":51392,"journal":{"name":"Journal of Supply Chain Management","volume":"61 4","pages":"77-97"},"PeriodicalIF":9.9,"publicationDate":"2025-09-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jscm.70002","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"145772452","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Ethan Nikookar, Imran Ali, Mark Stevenson, Sajjad Shokouhyar
According to the social-ecological systems view, a resilient supply chain possesses the ability to persist, adapt, and transform in the face of disruptions. Extant research has identified a range of antecedents that foster supply chain resilience but without distinguishing between those that are sufficient and those that are necessary. While altering sufficient antecedents might affect resilience, their absence does not preclude it because of the potential compensatory effects of other factors. Conversely, necessary antecedents are indispensable, as their absence prevents the realization of resilience, a scenario that cannot be rectified by modifying other antecedents. Grounded in dynamic capabilities theory, this research hypothesized that supply chain visibility, responsiveness, flexibility, and collaboration are necessary antecedents of supply chain resilience. To empirically test this, the research applied Necessary Condition Analysis (NCA) to survey data from 479 manufacturing firms in Australia. The results indicate that only supply chain responsiveness and collaboration are necessary antecedents. A bottleneck analysis was also undertaken to determine how much supply chain collaboration and responsiveness is needed to achieve different levels of supply chain resilience. The research proposes a two-tiered maturity model—Tier 1 (necessary) capabilities versus Tier 2 (contributory) capabilities—for building supply chain resilience and extends dynamic capabilities theory by demonstrating that specific capabilities may be nonnegotiable for enhancing sensing, seizing, and resource-reconfiguration capacities. The research provides managerial guidance for determining how limited organizational resources can be most efficiently deployed to handle disruptions.
{"title":"Necessary Antecedents of Supply Chain Resilience: The Nonnegotiable Influence of Supply Chain Responsiveness and Collaboration","authors":"Ethan Nikookar, Imran Ali, Mark Stevenson, Sajjad Shokouhyar","doi":"10.1111/jscm.70000","DOIUrl":"https://doi.org/10.1111/jscm.70000","url":null,"abstract":"<p>According to the social-ecological systems view, a resilient supply chain possesses the ability to persist, adapt, and transform in the face of disruptions. Extant research has identified a range of antecedents that foster supply chain resilience but without distinguishing between those that are sufficient and those that are necessary. While altering sufficient antecedents might affect resilience, their absence does not preclude it because of the potential compensatory effects of other factors. Conversely, necessary antecedents are indispensable, as their absence prevents the realization of resilience, a scenario that cannot be rectified by modifying other antecedents. Grounded in dynamic capabilities theory, this research hypothesized that supply chain visibility, responsiveness, flexibility, and collaboration are necessary antecedents of supply chain resilience. To empirically test this, the research applied Necessary Condition Analysis (NCA) to survey data from 479 manufacturing firms in Australia. The results indicate that only supply chain responsiveness and collaboration are necessary antecedents. A bottleneck analysis was also undertaken to determine how much supply chain collaboration and responsiveness is needed to achieve different levels of supply chain resilience. The research proposes a two-tiered maturity model—Tier 1 (necessary) capabilities versus Tier 2 (contributory) capabilities—for building supply chain resilience and extends dynamic capabilities theory by demonstrating that specific capabilities may be nonnegotiable for enhancing sensing, seizing, and resource-reconfiguration capacities. The research provides managerial guidance for determining how limited organizational resources can be most efficiently deployed to handle disruptions.</p>","PeriodicalId":51392,"journal":{"name":"Journal of Supply Chain Management","volume":"61 4","pages":"54-76"},"PeriodicalIF":9.9,"publicationDate":"2025-08-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jscm.70000","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"145772576","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Environmental supply chain incidents caused by upstream suppliers are increasingly scrutinized by end-customers. Although prior research on chain liability suggests that greater incident severity leads to more negative customer reactions and more substantive recovery efforts mitigate these effects, important dynamics in these variables have not yet been fully examined. This study advances a dynamic perspective on attribution theory and introduces forgiveness as a key process variable in how companies might recover from environmental chain liability incidents. Using a vignette experiment, we examine how multiple types of incident severity (environmental impact, human health risk, and physical proximity) and recovery strategies (apology, restitution, and monitoring) interact to influence customer forgiveness and repurchase intentions. The results reveal that an incident's human health risk and physical proximity reduce repurchase intentions independently without compounding effects and that recovery through monitoring and restitution independently increases forgiveness and repurchase intentions but loses effectiveness when combined. These findings refine current knowledge of chain liability by challenging several current assumptions about incident severity and recovery and highlight the need for a more nuanced approach to managing environmental supply chain incidents.
{"title":"Dynamic Attribution in Chain Liability: Managing Recovery From Environmental Supply Chain Incidents","authors":"Lisi Guan, Evelyne Vanpoucke, Tim Hilken","doi":"10.1111/jscm.12349","DOIUrl":"https://doi.org/10.1111/jscm.12349","url":null,"abstract":"<p>Environmental supply chain incidents caused by upstream suppliers are increasingly scrutinized by end-customers. Although prior research on chain liability suggests that greater incident severity leads to more negative customer reactions and more substantive recovery efforts mitigate these effects, important dynamics in these variables have not yet been fully examined. This study advances a dynamic perspective on attribution theory and introduces forgiveness as a key process variable in how companies might recover from environmental chain liability incidents. Using a vignette experiment, we examine how multiple types of incident severity (environmental impact, human health risk, and physical proximity) and recovery strategies (apology, restitution, and monitoring) interact to influence customer forgiveness and repurchase intentions. The results reveal that an incident's human health risk and physical proximity reduce repurchase intentions independently without compounding effects and that recovery through monitoring and restitution independently increases forgiveness and repurchase intentions but loses effectiveness when combined. These findings refine current knowledge of chain liability by challenging several current assumptions about incident severity and recovery and highlight the need for a more nuanced approach to managing environmental supply chain incidents.</p>","PeriodicalId":51392,"journal":{"name":"Journal of Supply Chain Management","volume":"61 4","pages":"25-53"},"PeriodicalIF":9.9,"publicationDate":"2025-06-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1111/jscm.12349","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"145772750","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"管理学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}