Improving cross-functional teams’ effectiveness during supply chain disruptions: the importance of information scouting and internal integration

Abstract

Purpose Organizations increasingly rely on cross-functional teams to deal with supply chain (SC) disruptions. These teams may use their broad range of connections and expertise to gather or scout relevant information, enabling them to develop integrative countermeasures and increase their organization’s resilience. Despite their potential, cross-functional teams often struggle to attain information scouting’s prospective benefits for effectively resolving disruptions. By drawing from group information-processing theory, this study aims to explore when and how cross-functional teams can realize information scouting’s full potential for ensuring their organization’s resilience. Design/methodology/approach Multisource, multi-informant data were collected from 80 cross-functional teams exposed to SC disruptions in a realistic SC management simulation. Findings The results show that a cross-functional team’s ability to effectively use information scouting for ensuring its organization’s resilience is contingent upon the degree to which the team’s members share information and align decisions internally (i.e. internal integration). The findings further reveal that this moderating role of internal integration is strengthened when the cross-functional team faces a volatile environment in which multiple SC disruptions are likely to occur (i.e. higher SC vulnerability). Originality/value This study contributes by advancing a more complete perspective on how a cross-functional team may contribute to its organization’s resilience. Specifically, the present research reveals how the benefits of a cross-functional team’s information scouting for dealing with SC disruptions are critically dependent upon internal conditions within the team, as well as external conditions related to its organization’s overall SC (i.e. beyond individual dyadic relationships).