Aim/purpose – The purpose of this paper is to recognize and compare the best
practices that ensure the flexibility and continuity of supplies. Although the flexibility
drivers and continuity risk drivers, according to the literature, are actually the same,
there is a lack of research articles on this aspect.
Design/methodology/approach – A two-phase methodology design, based on the
literature review and in-depth interviews, was used, and seven in-depth interviews with the
representatives of manufacturing companies that operate in different sectors were conducted.
Findings – Supply flexibility and continuity are presented in the literature, mainly
as the responses to the business environmental events/changes that have already occurred.
Nevertheless, the researched manufacturing companies recognize their use in
terms of prevention as well. The researched enterprises use traditional ways of dealing
with supply problems (alternative supplier, inventory buffers). They do not really connect
ensuring supply continuity with long-term disruptions, but rather understand it as
prevention of typical supply delays and quality problems. The respondents regard supplier
flexibility not only as a way of responding to the forecasted demand changes but
also to unexpected situations. The companies ensure supply continuity and supply flexibility
using similar but not exactly the same strategies. For the reactive strategies, sourcing
decisions are crucial, whereas for preventive strategies – it is supplier performance
management.
Research implications/limitations – The small number of conducted interviews is
a limitation of performed research, however, some directions for future research can be
noted. Apart from other implications described in the paper, it is deduced that sourcing
flexibility positively influences supply continuity. Nevertheless, this hypothesis needs
quantitative verification.
Originality/value/contribution – The paper compares the issue of supply flexibility
with the issue of supply continuity. For these two areas, it identifies common and
individual strategies that are performed by researched companies in terms of prevention
and reaction to risk and uncertainty.
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