Social issues in supply chains: Capabilities link responsibility, risk (opportunity), and performance

Social issues in the supply chain are defined as product- or process-related aspects of operations that affect human safety, welfare and community development. Drawing from related literatures, basic constructs related to capabilities and risk are defined and used to underpin case research in five multinational firms. This data extended our understanding of three key social management capabilities: monitoring, collaboration, and innovation. Moreover, the field research revealed four key linkages that detail how managers actively can work toward mitigating social risks, creating new opportunities, and improving firm performance. Collectively, these capabilities and linkages establish the basis for an integrative framework and five research propositions. (C) 2012 Elsevier B.V. All rights reserved.