Supply chain risk mitigation competency: an individual-level knowledge-based perspective

Abstract

Supply chain managers are responsible for making decisions regarding supply chain risk in order to mitigate the impact of supply chain disruptions. This study develops and tests a theoretical model that leverages the individual-level knowledge-based view perspective to understand the process through which risk mitigation orientation of the supply chain manager contributes to his/her absorptive capacity. A supply chain manager’s absorptive capacity, in turn, enhances his/her ability to effectively mitigate supply chain risk. Study findings demonstrate that supply chain managers with high-risk mitigation orientation have greater level of absorptive capacity which enhances their risk mitigation competency. This study represents the first development and testing of a model that examines individual-level knowledge management factors that affect supply chain risk mitigation competency. This research emphasises the importance of the individual supply chain manager in managing risk and illustrates how theoretical perspectives from the knowledge management, supply chain risk and organisational behaviour literature can be fruitfully adopted to explain behaviour in the field of supply chain risk management.