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Organizational resilience of Swedish textile enterprises through crisis strategic planning: a research review
University of Borås, Swedish School of Textiles. (F:3 - Fashion Function Futures)
2013 (English)In: Proceedings of the 18th International Symposium on Logistics: Resilitent supply chains in an uncertain environment, International Symposium on Logistics (ISL) - 2013 , 2013Conference paper, Published paper (Refereed)
Sustainable development
The content falls within the scope of Sustainable Development
Abstract [en]

Purpose Resilience, in an organizational sense means the ability to survive and thrive in crises and turbulences (Vargo and Seville 2011). It is associated with established activities like crisis management (CM) and business continuity planning (BCP), but it allows for new perspectives and insights into the conditions for doing business. From the Swedish textile and clothing (T&C) industry perspective, the average number of firms that went bankrupt during the recent crisis (2007-09) escalated twofold compared to the average over 2000-10 due to tremendous pressure on the credit system. The small and medium sized enterprises (SMEs) were the most affected of all, facing major threats to their financial performance and ultimately to their survival during the crisis (Vossen 1998). In such a context, study of organizational resilience (ORes) to survive and thrive becomes increasingly significant. The paper highlights the major findings of the doctoral thesis of the author. It concentrates on understanding the resilience development process through crisis strategic planning (CSP) in Swedish textile-related SMEs amidst economic crises. It also investigates and answers how resilience development is a precursor for business success, how to develop and monitor resilience, and identifies the antecedents and key strategic initiatives and their differential degrees of influence. Design or Methodology A mixed methodology was adopted based on quantitative statistical analyses, at first, followed by a detailed qualitative work based on surveys, interviews, case studies and secondary data for triangulation. Data analysis was conducted through certain thematic coding principles. A four-step hermeneutic spiral was followed by systematically combining the pre-understanding, empirics and extant literature to develop a theoretical framework through constant modification. Overall a resilience development processual framework was adopted along the CR-GT view of causation (Lee 2012). Findings and implications The findings are manifold. Economically resilient firms mostly showed planned resilience in financial crises based on long-term strategies through BCP and in terms of growth strategies through market penetration, diversification and transformational initiatives. These firms also showed better short-term CM through higher operational flexibility while the less resilient ones lacked in strategic readiness due to resource scarcity. Resourcefulness viz. cash flow and investment finance, relational networks and material assets along with ‘dynamic competitiveness’ through strategic and operational flexibilities were key enablers of resilience and healthy Z-score performance. Along the CSP model, an understanding of the crisis environment, for evaluating and allocating resources and assets for proper strategic initiatives is essential for resilient financial performance. This is beneficial for firms to understand the key areas in which to invest and develop a multi-strategic CSP model, categorizing firms along different resilience types. Value/ Originality The CSP model developed for resilience processual development proposes a strategic roadmap for organizations on how to understand the operating environment, devise capabilities and formulate, implement and evaluate strategies to combat crises and is useful for SME owners and managers. Similar researches are quite limited in this field. Category: Research Review

Place, publisher, year, edition, pages
International Symposium on Logistics (ISL) - 2013 , 2013.
Keywords [en]
Organizational Resilience, SMEs
National Category
Economics and Business
Research subject
Textiles and Fashion (General)
Identifiers
URN: urn:nbn:se:hb:diva-7009Local ID: 2320/12596ISBN: 9780853582922 (print)OAI: oai:DiVA.org:hb-7009DiVA, id: diva2:887716
Conference
International Symposium on Logistics (ISL), Vienna, 7-10th July, 2013
Funder
The Swedish Knowledge Centre for Renewable Transportation Fuels (f3)Available from: 2015-12-22 Created: 2015-12-22 Last updated: 2017-10-24Bibliographically approved

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Pal, Rudrajeet

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Output format
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