IDEAS home Printed from https://ideas.repec.org/a/spr/annopr/v337y2024i1d10.1007_s10479-024-05873-1.html
   My bibliography  Save this article

Design of resilient and viable sourcing strategies in intertwined circular supply networks

Author

Listed:
  • Khadija Echefaj

    (Hassan First University of Settat)

  • Abdelkabir Charkaoui

    (Hassan First University of Settat)

  • Anass Cherrafi

    (Cadi Ayyad University)

  • Dmitry Ivanov

    (Berlin School of Economics and Law)

Abstract

This study examines the effects of intertwining and circularity on the design of resilient and viable sourcing and recovery strategies in supply chains. We first construct a case study where the supply chains of three industries (i.e., automotive, healthcare, and electronics) frame an intertwined supply network (ISN). Through a discrete-event simulation model developed in anyLogistix, we examine the impact of disruptions in supply and demand on the performance of individual supply chains and the ISN as a whole. We test the performance of several sourcing strategies and their combinations. A special focus is directed toward shared reverse flows. The results show that disruption impact and recovery processes in the Circular ISN do not always follow conventional patterns known from the resilience of individual supply chains due to intertwining and circularity effects. We offer some managerial recommendations for the design of resilient sourcing strategies in the ISN context that are triangulated around collaborative sourcing practices, coordinated production planning, shared reverse flows, and visibility in inventory management.

Suggested Citation

  • Khadija Echefaj & Abdelkabir Charkaoui & Anass Cherrafi & Dmitry Ivanov, 2024. "Design of resilient and viable sourcing strategies in intertwined circular supply networks," Annals of Operations Research, Springer, vol. 337(1), pages 459-498, June.
  • Handle: RePEc:spr:annopr:v:337:y:2024:i:1:d:10.1007_s10479-024-05873-1
    DOI: 10.1007/s10479-024-05873-1
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10479-024-05873-1
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s10479-024-05873-1?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Zeng, Bingcong & Yen, Benjamin P.-C., 2017. "Rethinking the role of partnerships in global supply chains: A risk-based perspective," International Journal of Production Economics, Elsevier, vol. 185(C), pages 52-62.
    2. Bin Shen & Chen Zhu & Qingying Li & Xiaofeng Wang, 2021. "Green technology adoption in textiles and apparel supply chains with environmental taxes," International Journal of Production Research, Taylor & Francis Journals, vol. 59(14), pages 4157-4174, July.
    3. Ivanov, Dmitry & Keskin, Burcu B., 2023. "Post-pandemic adaptation and development of supply chain viability theory," Omega, Elsevier, vol. 116(C).
    4. Ramani, Vinay & Ghosh, Debabrata & Sodhi, ManMohan S., 2022. "Understanding systemic disruption from the Covid-19-induced semiconductor shortage for the auto industry," Omega, Elsevier, vol. 113(C).
    5. Javad Feizabadi & David M. Gligor & Thomas Y. Choi, 2023. "Examining the resiliency of intertwined supply networks: a jury-rigging perspective," International Journal of Production Research, Taylor & Francis Journals, vol. 61(8), pages 2432-2451, April.
    6. Xiongping Yue & Dong Mu & Chao Wang & Huanyu Ren & Pezhman Ghadimi, 2023. "Topological structure and COVID-19 related risk propagation in TFT-LCD supply networks," International Journal of Production Research, Taylor & Francis Journals, vol. 61(8), pages 2758-2778, April.
    7. Dmitry Ivanov, 2021. "Supply Chain Viability and the COVID-19 pandemic: a conceptual and formal generalisation of four major adaptation strategies," International Journal of Production Research, Taylor & Francis Journals, vol. 59(12), pages 3535-3552, June.
    8. Meghan Stewart & Dmitry Ivanov, 2022. "Design redundancy in agile and resilient humanitarian supply chains," Annals of Operations Research, Springer, vol. 319(1), pages 633-659, December.
    9. Babai, M. Zied & Ivanov, Dmitry & Kwon, Oh Kang, 2023. "Optimal ordering quantity under stochastic time-dependent price and demand with a supply disruption: A solution based on the change of measure technique," Omega, Elsevier, vol. 116(C).
    10. Burke, Gerard J. & Carrillo, Janice E. & Vakharia, Asoo J., 2007. "Single versus multiple supplier sourcing strategies," European Journal of Operational Research, Elsevier, vol. 182(1), pages 95-112, October.
    11. Tsan-Ming Choi, 2021. "Facing market disruptions: values of elastic logistics in service supply chains," International Journal of Production Research, Taylor & Francis Journals, vol. 59(1), pages 286-300, January.
    12. Lars Mönch & Reha Uzsoy & John W. Fowler, 2018. "A survey of semiconductor supply chain models part I: semiconductor supply chains, strategic network design, and supply chain simulation," International Journal of Production Research, Taylor & Francis Journals, vol. 56(13), pages 4524-4545, July.
    13. Sardesai, Saskia & Klingebiel, Katja, 2023. "Maintaining viability by rapid supply chain adaptation using a process capability index," Omega, Elsevier, vol. 115(C).
    14. Pritee Ray & Mamata Jenamani, 2016. "Sourcing decision under disruption risk with supply and demand uncertainty: A newsvendor approach," Annals of Operations Research, Springer, vol. 237(1), pages 237-262, February.
    15. Sascha Hägele & Eric H. Grosse & Dmitry Ivanov, 2023. "Supply chain resilience: a tertiary study," International Journal of Integrated Supply Management, Inderscience Enterprises Ltd, vol. 16(1), pages 52-81.
    16. Zhu, Stuart X., 2015. "Analysis of dual sourcing strategies under supply disruptions," International Journal of Production Economics, Elsevier, vol. 170(PA), pages 191-203.
    17. Ping Zhang & Hong Yan & King Wah Pang, 2019. "Inventory Sharing Strategy for Disposable Medical Items between Two Hospitals," Sustainability, MDPI, vol. 11(22), pages 1-21, November.
    18. ManMohan S. Sodhi & Christopher S. Tang & Evan T. Willenson, 2023. "Research opportunities in preparing supply chains of essential goods for future pandemics," International Journal of Production Research, Taylor & Francis Journals, vol. 61(8), pages 2416-2431, April.
    19. Dmitry Ivanov, 2023. "The Industry 5.0 framework: viability-based integration of the resilience, sustainability, and human-centricity perspectives," International Journal of Production Research, Taylor & Francis Journals, vol. 61(5), pages 1683-1695, March.
    20. Xavier Brusset & Morteza Davari & Aseem Kinra & Davide La Torre, 2023. "Modelling ripple effect propagation and global supply chain workforce productivity impacts in pandemic disruptions," International Journal of Production Research, Taylor & Francis Journals, vol. 61(8), pages 2493-2512, April.
    21. Baozhuang Niu & Jiawei Li & Jie Zhang & Hsing Kenneth Cheng & Yinliang (Ricky) Tan, 2019. "Strategic Analysis of Dual Sourcing and Dual Channel with an Unreliable Alternative Supplier," Production and Operations Management, Production and Operations Management Society, vol. 28(3), pages 570-587, March.
    22. Dmitry Ivanov, 2017. "Simulation-based single vs. dual sourcing analysis in the supply chain with consideration of capacity disruptions, big data and demand patterns," International Journal of Integrated Supply Management, Inderscience Enterprises Ltd, vol. 11(1), pages 24-43.
    23. Jain, Tarun & Hazra, Jishnu, 2017. "Dual sourcing under suppliers' capacity investments," International Journal of Production Economics, Elsevier, vol. 183(PA), pages 103-115.
    24. Yanjun Wang & Yugang Yu, 2020. "Flexible strategies under supply disruption: the interplay between contingent sourcing and responsive pricing," International Journal of Production Research, Taylor & Francis Journals, vol. 58(16), pages 4829-4850, July.
    25. Linh Nguyen Khanh Duong & Josephine Chong, 2020. "Supply chain collaboration in the presence of disruptions: a literature review," International Journal of Production Research, Taylor & Francis Journals, vol. 58(11), pages 3488-3507, June.
    26. Aldrighetti, Riccardo & Battini, Daria & Ivanov, Dmitry, 2023. "Efficient resilience portfolio design in the supply chain with consideration of preparedness and recovery investments," Omega, Elsevier, vol. 117(C).
    27. Jafar Namdar & Xueping Li & Rupy Sawhney & Ninad Pradhan, 2018. "Supply chain resilience for single and multiple sourcing in the presence of disruption risks," International Journal of Production Research, Taylor & Francis Journals, vol. 56(6), pages 2339-2360, March.
    28. Somarin, Aghil Rezaei & Sharma, Pankaj & Tiwari, Sunil & Chen, Songlin, 2023. "Stock reallocation policy for repairable service parts in case of supply disruptions due to extreme weather events," International Journal of Production Economics, Elsevier, vol. 256(C).
    29. Alexandre Dolgui & Dmitry Ivanov & Boris Sokolov, 2020. "Reconfigurable supply chain: the X-network," International Journal of Production Research, Taylor & Francis Journals, vol. 58(13), pages 4138-4163, July.
    30. Villa, Sebastián & Castañeda, Jaime Andrés, 2018. "Transshipments in supply chains: A behavioral investigation," European Journal of Operational Research, Elsevier, vol. 269(2), pages 715-729.
    31. Zahra Homayouni & Mir Saman Pishvaee & Hamed Jahani & Dmitry Ivanov, 2023. "A robust-heuristic optimization approach to a green supply chain design with consideration of assorted vehicle types and carbon policies under uncertainty," Annals of Operations Research, Springer, vol. 324(1), pages 395-435, May.
    32. Patricia van Loon & Luk N. Van Wassenhove, 2020. "Transition to the circular economy: the story of four case companies," International Journal of Production Research, Taylor & Francis Journals, vol. 58(11), pages 3415-3422, June.
    33. Li, Shanshan & He, Yong & Chen, Lujie, 2017. "Dynamic strategies for supply disruptions in production-inventory systems," International Journal of Production Economics, Elsevier, vol. 194(C), pages 88-101.
    34. Dmitry Ivanov & Alexandre Dolgui & Jennifer V. Blackhurst & Tsan-Ming Choi, 2023. "Toward supply chain viability theory: from lessons learned through COVID-19 pandemic to viable ecosystems," International Journal of Production Research, Taylor & Francis Journals, vol. 61(8), pages 2402-2415, April.
    35. Dmitry Ivanov & Alexandre Dolgui, 2022. "The shortage economy and its implications for supply chain and operations management," International Journal of Production Research, Taylor & Francis Journals, vol. 60(24), pages 7141-7154, December.
    36. Varun Gupta & Bo He & Suresh P. Sethi, 2015. "Contingent sourcing under supply disruption and competition," International Journal of Production Research, Taylor & Francis Journals, vol. 53(10), pages 3006-3027, May.
    37. Shan, Xi & Xiong, Siqin & Zhang, Chenglin, 2023. "Mitigating supply disruption risks by diversifying competing suppliers and using sales effort," International Journal of Production Economics, Elsevier, vol. 255(C).
    38. Dmitry Ivanov & Ajay Das, 2020. "Coronavirus (COVID-19/SARS-CoV-2) and supply chain resilience: a research note," International Journal of Integrated Supply Management, Inderscience Enterprises Ltd, vol. 13(1), pages 90-102.
    39. Dubey, Rameshwar & Bryde, David J. & Dwivedi, Yogesh K. & Graham, Gary & Foropon, Cyril & Papadopoulos, Thanos, 2023. "Dynamic digital capabilities and supply chain resilience: The role of government effectiveness," International Journal of Production Economics, Elsevier, vol. 258(C).
    40. Basu, Preetam & Avittathur, Balram, 2018. "Pricing and sourcing strategies for competing retailers in supply chains under disruption riskAuthor-Name: Kumar, Milan," European Journal of Operational Research, Elsevier, vol. 265(2), pages 533-543.
    41. Dmitry Ivanov, 2022. "Viable supply chain model: integrating agility, resilience and sustainability perspectives—lessons from and thinking beyond the COVID-19 pandemic," Annals of Operations Research, Springer, vol. 319(1), pages 1411-1431, December.
    42. Young Woong Park & Jennifer Blackhurst & Chinju Paul & Kevin P. Scheibe, 2022. "An analysis of the ripple effect for disruptions occurring in circular flows of a supply chain network," International Journal of Production Research, Taylor & Francis Journals, vol. 60(15), pages 4693-4711, August.
    43. Shanshan Li & Yong He & Stefan Minner, 2021. "Dynamic compensation and contingent sourcing strategies for supply disruption," International Journal of Production Research, Taylor & Francis Journals, vol. 59(5), pages 1511-1533, March.
    44. Aldrighetti, Riccardo & Battini, Daria & Ivanov, Dmitry & Zennaro, Ilenia, 2021. "Costs of resilience and disruptions in supply chain network design models: A review and future research directions," International Journal of Production Economics, Elsevier, vol. 235(C).
    45. Sanjoy Kumar Paul & Priyabrata Chowdhury, 2020. "Strategies for Managing the Impacts of Disruptions During COVID-19: an Example of Toilet Paper," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 21(3), pages 283-293, September.
    46. Marcus Brandenburg & Tobias Rebs, 2015. "Sustainable supply chain management: a modeling perspective," Annals of Operations Research, Springer, vol. 229(1), pages 213-252, June.
    47. Alexandre Dolgui & Dmitry Ivanov, 2023. "Metaverse supply chain and operations management," International Journal of Production Research, Taylor & Francis Journals, vol. 61(23), pages 8179-8191, December.
    48. Tadeusz Sawik, 2023. "A stochastic optimisation approach to maintain supply chain viability under the ripple effect," International Journal of Production Research, Taylor & Francis Journals, vol. 61(8), pages 2452-2469, April.
    49. Dmitry Ivanov & Alexandre Dolgui, 2020. "Viability of intertwined supply networks: extending the supply chain resilience angles towards survivability. A position paper motivated by COVID-19 outbreak," International Journal of Production Research, Taylor & Francis Journals, vol. 58(10), pages 2904-2915, May.
    50. Pritee Ray & Mamata Jenamani, 2016. "Sourcing decision under disruption risk with supply and demand uncertainty: A newsvendor approach," Annals of Operations Research, Springer, vol. 237(1), pages 237-262, February.
    51. MacCarthy, Bart L. & Ahmed, Wafaa A.H. & Demirel, Guven, 2022. "Mapping the supply chain: Why, what and how?," International Journal of Production Economics, Elsevier, vol. 250(C).
    52. Riccardo Aldrighetti & Ilenia Zennaro & Serena Finco & Daria Battini, 2019. "Healthcare Supply Chain Simulation with Disruption Considerations: A Case Study from Northern Italy," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 20(1), pages 81-102, December.
    53. Heese, H. Sebastian, 2015. "Single versus multiple sourcing and the evolution of bargaining positions," Omega, Elsevier, vol. 54(C), pages 125-133.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chervenkova, Tanya & Ivanov, Dmitry, 2023. "Adaptation strategies for building supply chain viability: A case study analysis of the global automotive industry re-purposing during the COVID-19 pandemic," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 177(C).
    2. Ivanov, Dmitry, 2024. "Supply chain resilience: Conceptual and formal models drawing from immune system analogy," Omega, Elsevier, vol. 127(C).
    3. Ivanov, Dmitry, 2023. "Intelligent digital twin (iDT) for supply chain stress-testing, resilience, and viability," International Journal of Production Economics, Elsevier, vol. 263(C).
    4. Aldrighetti, Riccardo & Battini, Daria & Ivanov, Dmitry, 2023. "Efficient resilience portfolio design in the supply chain with consideration of preparedness and recovery investments," Omega, Elsevier, vol. 117(C).
    5. Liu, Ming & Ding, Yueyu & Chu, Feng & Dolgui, Alexandre & Zheng, Feifeng, 2024. "Robust actions for improving supply chain resilience and viability," Omega, Elsevier, vol. 123(C).
    6. Brusset, Xavier & Ivanov, Dmitry & Jebali, Aida & La Torre, Davide & Repetto, Marco, 2023. "A dynamic approach to supply chain reconfiguration and ripple effect analysis in an epidemic," International Journal of Production Economics, Elsevier, vol. 263(C).
    7. Rozhkov, Maxim & Ivanov, Dmitry & Blackhurst, Jennifer & Nair, Anand, 2022. "Adapting supply chain operations in anticipation of and during the COVID-19 pandemic," Omega, Elsevier, vol. 110(C).
    8. Ivanov, Dmitry & Keskin, Burcu B., 2023. "Post-pandemic adaptation and development of supply chain viability theory," Omega, Elsevier, vol. 116(C).
    9. Aldrighetti, Riccardo & Battini, Daria & Ivanov, Dmitry & Zennaro, Ilenia, 2021. "Costs of resilience and disruptions in supply chain network design models: A review and future research directions," International Journal of Production Economics, Elsevier, vol. 235(C).
    10. Dmitry Ivanov & Alexandre Dolgui, 2022. "Stress testing supply chains and creating viable ecosystems," Operations Management Research, Springer, vol. 15(1), pages 475-486, June.
    11. Svoboda, Josef & Minner, Stefan & Yao, Man, 2021. "Typology and literature review on multiple supplier inventory control models," European Journal of Operational Research, Elsevier, vol. 293(1), pages 1-23.
    12. Burgos, Diana & Ivanov, Dmitry, 2021. "Food retail supply chain resilience and the COVID-19 pandemic: A digital twin-based impact analysis and improvement directions," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 152(C).
    13. Gupta, Varun & Ivanov, Dmitry & Choi, Tsan-Ming, 2021. "Competitive pricing of substitute products under supply disruption," Omega, Elsevier, vol. 101(C).
    14. Cheramin, Meysam & Saha, Apurba Kumar & Cheng, Jianqiang & Paul, Sanjoy Kumar & Jin, Hongyue, 2021. "Resilient NdFeB magnet recycling under the impacts of COVID-19 pandemic: Stochastic programming and Benders decomposition," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 155(C).
    15. Mehmet Fatih Acar & Alev Özer Torgalöz & Enes Eryarsoy & Selim Zaim & Salomée Ruel, 2024. "The effect of organizational culture, supplier trust and information sharing on supply chain viability," Operations Management Research, Springer, vol. 17(3), pages 1058-1077, September.
    16. Babai, M. Zied & Ivanov, Dmitry & Kwon, Oh Kang, 2023. "Optimal ordering quantity under stochastic time-dependent price and demand with a supply disruption: A solution based on the change of measure technique," Omega, Elsevier, vol. 116(C).
    17. Alam, Md Fahim Bin & Tushar, Saifur Rahman & Ahmed, Tazim & Karmaker, Chitra Lekha & Bari, A.B.M. Mainul & de Jesus Pacheco, Diego Augusto & Nayyar, Anand & Islam, Abu Reza Md Towfiqul, 2024. "Analysis of the enablers to deal with the ripple effect in food grain supply chains under disruption: Implications for food security and sustainability," International Journal of Production Economics, Elsevier, vol. 270(C).
    18. Aghajani, Mojtaba & Ali Torabi, S. & Altay, Nezih, 2023. "Resilient relief supply planning using an integrated procurement-warehousing model under supply disruption," Omega, Elsevier, vol. 118(C).
    19. Ivanov, Dmitry & Dolgui, Alexandre & Sokolov, Boris, 2022. "Cloud supply chain: Integrating Industry 4.0 and digital platforms in the “Supply Chain-as-a-Service”," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 160(C).
    20. Sawik, Tadeusz, 2022. "Stochastic optimization of supply chain resilience under ripple effect: A COVID-19 pandemic related study," Omega, Elsevier, vol. 109(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:annopr:v:337:y:2024:i:1:d:10.1007_s10479-024-05873-1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.