Drivers of Supply Chain Resilience in Family Firms: An Exploratory Study

This study explores the drivers of supply chain resilience in family-owned small and medium enterprises (SMEs). Using a microfoundational perspective on dynamic capabilities, the paper investigates how cognitive capabilities and governance incentives shape resilience strategies in family firms. A multiple case study approach, involving interviews with supply chain managers, family business owners, and suppliers, reveals that long-term relationships, trust-based governance, and socio-emotional wealth preservation are central to fostering resilience. Findings highlight that while relational capital enhances collaboration and agility during crises, over-reliance on legacy relationships can expose firms to risks. The integration of dynamic capabilities—such as sensing, seizing, and transforming—with family-centric governance structures enables family firms to adapt and innovate effectively in complex supply chains. By bridging family business and supply chain resilience research, this study provides novel insights into the unique mechanisms driving resilience in family SMEs.