The Relationship Between Firm Resilience to Supply Chain Disruptions and Firm Innovation

Abstract

This chapter discusses the relationship between supply chain disruption risk management and innovation management and examines whether a firm’s investment in innovation can improve the firm’s resilience to supply chain disruption. We review the antecedents of both firm innovativeness and firm resilience to supply chain disruptions, and we identify how investment in innovation can enhance a firm’s response to supply chain disruptions using a systematic literature review process. We identify leadership, information sharing, and collaboration as practices that improve both firm innovation and firm resilience to supply chain disruption. We discuss future research directions to further examine the relationship between a firm’s innovation capability and the firm’s resilience to supply chain disruptions.