Understanding influence of supply chain relationships in retail channels on risk management

Abstract

The purpose of the study lies in explaining and measuring Supply Chain relationships and their effect on supply chain resilience and supply chain performance in retail/service organizations. The study is also empirically explaining relationships while employing commitment–trust theory. The empirical research uses 144 responses, which were collected through the use of survey methods from retail firms. The questionnaire was adapted from various published sources. Purposive sampling was used as the technique for data collection. Hypotheses were analyzed by using structural equation modeling. The findings indicate that supply chain relationships significantly influence supply chain performance. SC agility was found as the significant enabler for Resilience. Cooperation plays a vital role in enhancing agility, resilience, and SC performance. Resilience shows the insignificant impact on the performance of supply chain and integration share insignificant effect on cooperation. Retail supply chain managers need to create a transparent atmosphere where all the supply chain partners can exchange formal and informal messages and provide opportunities through such platforms that enable them to share risk management-related expertise and strengthen their productive relationships. Organizations should promote relationships for the long-lasting continuity of their operations. The research is unique for its findings and its contribution toward the supply chain resilience as well as risk management domain and also for contributing in the retail sector as it is one of the first empirical studies to evaluate the relational exchanges and risk management from the perspective of retailers in a developing nation. The study also tries to meet meaningful gaps in existent literature.