The Effect of Supply Chain Risk Management on Logistics Performance and Innovation Performance

Abstract

Purpose of the Study: The main objective of this paper is to describe the multidimensionality of supply chain risk and evaluate supply chain risk management in association with logistics performance and innovation performance. Theoretical framework: No study was found that analyzes the impact of supply chain risk management on logistics performance and innovation performance in the literature review. The purpose of this study is to close this gap in the existing literature. Design/methodology/approach: This study leverages a data set of 30 medium-sized technology firms in Turkey. The first part of the analysis aims at finding determinants of supply chain risk management, and the second part is the analysis of supply chain risk management, innovation performance, and logistics performance. Structural equation modeling multivariate statistical technique is chosen. Findings: Consequently, it empirically proves that risk mitigation and risk control affect positively innovation performance. It concludes that only risk control is effective in increasing logistics performance. Moreover, it estimates that risk identification and risk assessment will have a significant regulatory effect on performance. However, this study explains that they don't have a positive effect on the results. Research, Practical & Social implications: Research gaps and opportunities are presented to lead further studies about supply chain risks in different sectors. This paper is hopefully purposed to contribute to sector representatives as a guide. Originality/value: This study contributes to our understanding of how and with whom to collaborate by highlighting the relationships among supply chain risk management, innovation performance, and logistics performance.