Restructuring Global Supply Chains: Navigating Challenges of the COVID-19 Pandemic and Beyond
Problem definition: The COVID-19 pandemic imposed unprecedented stresses on global supply chains (GSCs), compelling companies to reassess their supply chain structures and strategies. This crisis has also heightened awareness among businesses, consumers, and policymakers about the critical importance and far-reaching implications of GSC design and management. This unique moment presents a generational opportunity for Operations Management (OM) researchers to document and understand the ongoing restructuring of GSCs. Methodology/results: By analyzing microlevel data on U.S. customs import shipments (2019–2021), we uncover shifts in GSC strategies during the COVID-19 pandemic. Firms diversified suppliers within existing sourcing locations and reallocated volumes among them. Whereas dependence on China decreased, imports from other Asian nations like India and Vietnam, as well as North American countries like Canada and Mexico, increased. Industry-specific differences were pronounced, and a notable shift toward lower-frequency, higher-quantity shipments was also observed. Managerial implications: Beyond the challenges of COVID-19, recent years have witnessed other major supply chain disruptions, due to causes such as geopolitical tensions, natural disasters, and port worker strikes. We offer actionable insights for executives designing supply chain strategies to prepare for similar disruptions as they increase in frequency and severity. We identify future research avenues aimed at enhancing the resilience and adaptability of GSCs in a continuously evolving environment. Supplemental Material: The online appendix is available at https://doi.org/10.1287/msom.2024.0879 .
Authors
- Morris A. Cohen (ORCID: https://orcid.org/0000-0002-8644-8820)
- Jing Wu (ORCID: https://orcid.org/0000-0002-0153-7710)
- Yimeng Niu (ORCID: https://orcid.org/0000-0002-0347-2631)
- Shiliang Cui (ORCID: https://orcid.org/0000-0002-6643-6865)
- Andy A. Tsay (ORCID: https://orcid.org/0000-0002-4082-8027)
- Ricardo Ernst (ORCID: https://orcid.org/0000-0001-7203-9535)
- Arnd Huchzermeier (ORCID: https://orcid.org/0000-0003-2178-3254)
- Niklas Werle (ORCID: https://orcid.org/0000-0003-1098-3939)
- Vinayak Deshpande (ORCID: https://orcid.org/0000-0002-6681-028X)
Institutions
- University of North Carolina at Chapel Hill (US)
- Santa Clara University (US)
- Chinese University of Hong Kong (HK)
- Georgetown University (US)
- Tilburg University (NL)
- University of Pennsylvania (US)
- WHU – Otto Beisheim School of Management (DE)
Publication Details
- Journal
- Manufacturing & Service Operations Management
- Published
- 2025-04-23
- DOI
- https://doi.org/10.1287/msom.2024.0879
- Citations
- 16
- Primary Topic
- Supply Chain Resilience and Risk Management
- Type
- article
- Field-Weighted Citation Impact
- 35.62