Huashan Li

Prior research on supply chain geographical complexity has predominantly treated geographical distance and geographical dispersion as interchangeable concepts. Further, nearly all empirical studies in this stream that examined supply chain antecedents of product quality risks used samples from Western, educated, industrialized, rich, and democratic (WEIRD) countries. To improve the theoretical and practical insights from this stream of research, we theorize that, particularly for manufacturers in emerging markets, supply base geographical distance and dispersion affect product quality risks through monitoring and coordination challenges, respectively. Analyzing data from the Chinese automobile industry, we find that the geographical distance of firms from their supply base is not significantly related to automobile quality risks, but geographical dispersion is significantly and positively associated. In line with our arguments, we found that the relationship between geographical distance and quality risk is weakened when firms source from suppliers located in countries with strong regulatory quality, and that the positive relationship between geographical dispersion and quality risks is weakened by supplier quality certifications. Taken together, our findings provide a nuanced understanding of the relationship between supply chain geographical complexity and product quality risks, which leads to new theoretical and practical insights relevant for non-WEIRD countries.

Purpose: This study aims to develop a new typology of crises to illuminate how firms manage different innovation configurations during them. From a paradoxical perspective, we integrate insights from problemistic search logic and threat-rigidity logic to theorize paradoxical innovation configurations within each type of crisis in our typology. Design/methodology/approach: Based on time (imminent vs. latent) and space (internal vs. external) dimensions, we develop a typology of crises (i.e. imminent internal crises, latent internal crises, imminent external crises, and latent external crises). Using the configurational theorizing approach and case studies, we develop propositions for paradoxical innovation configurations within each type of crisis. Findings: In the time dimension, imminent (latent) crises trigger short-term (long-term) innovation as the primary response, supplemented by long-term (short-term) innovation. In the space dimension, internal (external) crises require knowledge-deepening (knowledge-broadening) innovation as the primary response, supplemented by knowledge-broadening (knowledge-deepening) innovation. Overall, imminent internal crises foster short-term knowledge-deepening innovation as the primary approach, supplemented by long-term knowledge-broadening innovation; while latent external crises foster long-term knowledge-broadening innovation as the primary approach, supplemented by short-term knowledge-deepening innovation. For imminent external crises and latent internal crises, either configuration (short-term knowledge-deepening innovation supplemented by long-term knowledge-broadening innovation, or vice versa) is possible, and the specific choice depends on the slack resources available to firms. Originality/value: Our study extends the literature on organizational crises by theorizing the coexistence of negative (i.e. survival threats) and positive (i.e. development opportunities) framing, which shapes firms' paradoxical innovation configurations as a response. In particular, we develop a new typology of crises to offer novel and fine-grained insights into the different innovation configurations under distinct types of crises.

Purpose: Supply chain concentration (SC concentration) is a key aspect of supply chain structure and a determinant of a firm's resilience to external disruptions. However, previous research on how SC concentration affects firm resilience has been inconclusive. This study investigates the nuances of this relationship by examining the moderating effects of political ties and board interlocks. Design/methodology/approach: We used both cross-sectional and panel designs to test the hypotheses. Our main analysis is conducted on a cross-sectional sample of 3,745 publicly listed Chinese companies during the COVID-19 pandemic. For a robustness check, we test the hypotheses using a panel dataset of Chinese firms from 2007 to 2022. We also interviewed managers at two Chinese manufacturing firms to understand the mechanisms underlying the theorized relationships. Findings: We find that both supplier and customer concentration are detrimental to firm resilience. Specifically, firms with high SC concentration experience greater firm value losses and take longer to recover following the COVID-19 outbreak. Furthermore, firms can leverage social capital with external parties to mitigate such effects. We find that the impact of supplier and customer concentration is weaker for firms with strong political ties and high levels of board interlocks. The results are robust across alternative measures and research designs. Originality/value: These findings extend prior research by identifying key dimensions of social capital – specifically, political ties and board interlocks – that mitigate the negative impact of SC concentration on firm resilience.

This study examines the vertical spillover effect of product recalls, defined as the losses supplier firms incur when buyer firms announce product recalls. Drawing on social network theory, this study theorizes that relationship ties between recalling firms and their suppliers serve as “pipes” and “prisms” that transmit a cash flow effect and impression effect, respectively, of product recalls from the recalling firms to their suppliers. In addition, such vertical spillover effects are shaped by the extended social network consisting of institutional intermediaries—common business ties, common institutional ownership, and common analyst coverage between suppliers and recalling firms. Hypotheses are tested using a comprehensive dataset collected from seven sources, comprising 154 media‐reported major automobile recalls in the United States from 2010 to 2019, involving 752 buyer–supplier dyads. Confirming the vertical spillover effect, the findings indicate that a buyer's automobile recalls result in a significant loss of firm value for its suppliers. This effect is stronger when the supplier shares more common business ties with the recalling automakers but weaker when there is a high level of common institutional ownership and common analyst coverage. The findings extend understanding of the supply chain effects of product recalls and their contingencies.

The global landscape has undergone significant transformations due to recent geopolitical turmoil. Globalization is increasingly influenced by political tensions, shifting balances between developed countries and emerging markets, trade disputes, and protectionist policies. Events such as Brexit, the US–China trade war, and the resurgence of protectionist sentiments have reshaped economic collaborations between countries and prompted a more fragmented international business environment. These changes have fundamentally altered how businesses engage in global trade and manage their global supply chains. This chapter discusses how geopolitical turmoil affects the globalization process and reshapes firm strategies to build more resilient supply chains in an increasingly uncertain environment.

Supply base geographical complexity has important implications for supply chain risk and performance, but less is known about its relationship with product quality risks. Drawing on the transaction...

To exercise risk control at the corporate level, firms often appoint Chief Risk Officers (CROs) to their top management team. By establishing CRO positions, firms can reduce firm risk and potential financial losses caused by operational disruptions. Yet, by inducing stringent control measures on risks, security, and compliance, CRO appointments might create unwieldy bureaucracies with operational hurdles and incur burdensome costs that offset efficiency. Using longitudinal secondary data collected from multiple sources, we analyze the impact of CRO appointments on firm risk and operational efficiency of 435 publicly listed firms in the United States from 2006 to 2016. Our results indicate that CRO appointments not only reduce risks, but also improve efficiency in operations. We delve into the power of CROs and find that more powerful CROs are more effective in enhancing the operational efficiency of firms. We further examine the contextual factors and reveal that firms operating under high industry litigation threats and industry dynamism improve operational efficiency to a greater extent after CRO appointments. Overall, CROs' appointments are more beneficial to firms when they have stronger power in the top management team and when the operating environments are uncertain and volatile.

In “Operations Research: Topics, Impact and Trends from 1952–2019,” A. Calma, W. Ho, L. Shao, and H. Li retrospectively look at 68 years of publication of the Operations Research. Using 5,440 journal articles, they highlight the top contributing countries and authors and top research methods and problems investigated. Mathematical programming is the most common research method, whereas inventory is the most investigated problem. Investigations related to pricing are growing significantly. The United States, Canada, and the United Kingdom publish the most papers, with the United States and Canada having similar publication profiles per capita. Inventory is the most popular research problem studied by North American, Asian, and Middle Eastern countries, whereas European countries focus on scheduling problems. Network visualizations of the journal’s last 10 years show dynamic programming as the most used method and pricing as the most studied problem. Coauthor networks on collaborations on both dynamic programming and pricing are also shown.