Evaluating Supply Chain Risk Mitigation Strategy

As supply chain globalization accelerates, assessing and managing supply chain risk to secure global supply networks is a pressing concern for many firms. Previous literature provides typologies of supply chain risk mitigation strategy. However, relatively little is known about how firms can most effectively alleviate the negative impacts of supply chain risk occurrence for particular risk contexts. The purpose of this research is to propose a conceptual model that matches mitigation strategies with particular risk situations. Based on the extant literature supply chain risk characteristics that determine particular risk situations are synthesized and the two primary alternative supply chain mitigation strategies are articulated. Then, drawing on contingency theory, propositions that suggest optimal mitigation strategies for particular risk situations are provided.