Risk and resilience strategies in global supply chains: evidence from a mixed-methods analysis

Purpose This study aims to investigate how manufacturing small and medium enterprises embedded in global supply chains manage systemic disruptions, including geopolitical crises, pandemics and environmental shocks. It identifies three vulnerability mechanisms – dependence on internationally sourced inputs, limited knowledge of input origins and difficulty substituting critical inputs – and examines how these mechanisms shape resilience strategies. Design/methodology/approach This study uses an explanatory sequential mixed-methods design. A survey of 465 small and medium enterprises was analyzed using partial least squares structural equation modeling to examine the relationships between supply chain vulnerabilities and crisis impacts. The qualitative phase drew on an expert panel and two focus groups with small and medium-sized enterprise (SME) managers and supply chain experts to explain and extend the quantitative results. The two phases were integrated into a conceptual framework linking vulnerability mechanisms, strategic responses and resilience. Findings Quantitative results show that dependence on internationally sourced inputs is positively associated with disruption impacts, including among SMEs characterized by limited upstream visibility and difficult-to-substitute inputs. The qualitative analysis explains how small and medium enterprises mitigate these vulnerabilities through strategic shifts, collaborative practices and process adaptation. It further shows that upstream visibility, diversified sourcing options, supplier collaboration and dynamic planning shape SMEs’ ability to respond to disruptions, subject to financial, technical, relational and temporal constraints. Research limitations/implications The findings are based on Canadian manufacturing small and medium enterprises and may not generalize directly to other sectors or national contexts. Cross-sectoral and cross-country research is therefore needed to assess the external validity of the proposed relationships. Practical implications This study provides small and medium enterprise managers with practical strategies to strengthen resilience, including supplier diversification, investment in supply chain mapping and collaborative risk management. These insights help small and medium enterprises transform vulnerability into adaptive capacity, improving preparedness for future systemic disruptions. Originality/value This study extends supply chain resilience research to small and medium enterprises, a group often overlooked compared to large firms. By integrating risk management, contingency theory and dynamic capabilities, this study introduces an original framework explaining how vulnerabilities and capabilities interact to enable resilience under systemic crises.