Final published version
Licence: CC BY: Creative Commons Attribution 4.0 International License
Research output: Contribution to Journal/Magazine › Journal article › peer-review
Research output: Contribution to Journal/Magazine › Journal article › peer-review
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TY - JOUR
T1 - Organizational Resilience to Supply Chain Risks During the COVID‐19 Pandemic
AU - Wulandhari, Nur Baiti Ingga
AU - Budhwar, Pawan
AU - Mishra, Nishikant
AU - Akbar, Saeed
AU - Do, Quynh
AU - Milligan, Gavin
PY - 2023/7/31
Y1 - 2023/7/31
N2 - This paper aims to establish a link between aggregate organizational resilience capabilities and managerial risk perception aspects during a major global crisis. We argue that a multi‐theory perspective, dynamic capability at an organizational level and enactment theory at a managerial level allow us to better understand how the sensemaking process within managerial risk perception assists organizational resilience. We draw from in‐depth interviews with 40 managers across the UK's food industry, which has been able to display resilience during the pandemic. In sensing supply chain risks (SCRs), managers within both authority‐based and consensus‐based organizational structures utilize risk‐capture heuristics and enact actions related to effective communications, albeit at different information costs. In seizing, we found that managers adhere to distinct heuristics that are idiosyncratic to their organizational structures. Through limited horizontal communication channels, authority‐based structures adhere to rudimentary how‐to heuristics, whereas consensus‐based structures use obtainable how‐to heuristics. We contribute to the organizational resilience and dynamic capabilities literature by identifying assessment as an additional step prior to transforming, which depicts a retention process to inform future judgements. Our study presents a novel framework of organizational resilience to SCRs during equivocal environments, by providing a nuanced understanding of the construction of dynamic capabilities through sensemaking.
AB - This paper aims to establish a link between aggregate organizational resilience capabilities and managerial risk perception aspects during a major global crisis. We argue that a multi‐theory perspective, dynamic capability at an organizational level and enactment theory at a managerial level allow us to better understand how the sensemaking process within managerial risk perception assists organizational resilience. We draw from in‐depth interviews with 40 managers across the UK's food industry, which has been able to display resilience during the pandemic. In sensing supply chain risks (SCRs), managers within both authority‐based and consensus‐based organizational structures utilize risk‐capture heuristics and enact actions related to effective communications, albeit at different information costs. In seizing, we found that managers adhere to distinct heuristics that are idiosyncratic to their organizational structures. Through limited horizontal communication channels, authority‐based structures adhere to rudimentary how‐to heuristics, whereas consensus‐based structures use obtainable how‐to heuristics. We contribute to the organizational resilience and dynamic capabilities literature by identifying assessment as an additional step prior to transforming, which depicts a retention process to inform future judgements. Our study presents a novel framework of organizational resilience to SCRs during equivocal environments, by providing a nuanced understanding of the construction of dynamic capabilities through sensemaking.
U2 - 10.1111/1467-8551.12648
DO - 10.1111/1467-8551.12648
M3 - Journal article
VL - 34
SP - 1282
EP - 1315
JO - British Journal of Management
JF - British Journal of Management
SN - 1045-3172
IS - 3
ER -