Supply Chain Disruption Management: A Conceptual Framework and Theoretical Model

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Severe supply chain disruptions have a great impact on the firm. They can cause loss of sales to customers and lead to changes in the design and strategy of the supply chain. This research works focuses on supply chain disruption management. It presents an overall conceptual framework and a theoretical model, highlighting the decision making process of disruption recovery. First, the literature concepts surrounding supply chain disruptions - risk management, mitigation, crisis management, supply chain resilience, supply chain security, business continuity planning, and sustainability - are defined and differentiated, since these concepts often have overlapping factors that can cause confusion. After defining each of these concepts and the latest research findings, a framework for understanding the relationships among the concepts is developed. Second, this framework reveals a gap in the literature surrounding the disruption recovery and decision making process. While an initial disruption management model can be built using factors from the literature, data are collected by conducting multiple interviews and analyzed using a structured grounded theory methodology to produce a more complete model. This also has the effect of building theory from which propositions are developed surrounding discovery of the disruption, recovery team composition, decision making, and others. These propositions can be tested empirically in future research.