Enhancing supply chain viability through dynamic adaptation: a simulation-based approach to scalability and substitution strategies

The COVID-19 pandemic has affected the global economy, increasing the focus on resilience and survivability in supply chains (SCs). This study addresses these topics and advances understanding of how strategic decisions can enhance supply chain viability under adverse conditions. It integrates empirical case studies and simulation modeling to investigate two SC adaptation strategies and their impact on SC performance. A dynamic supplier selection process based on scalability and substitution was implemented, and varied thresholds and time horizons were tested and evaluated. This study makes significant contributions to the literature by integrating the constructs of resilience and efficiency, offering valuable insights for academics and practitioners. The results demonstrate how a combination of scalability and substitution can enhance SC viability while maintaining SC performance. Integrating simulation results with real-world case study data enriches the literature by bridging the gap between theory and practice and providing actionable managerial insights to enhance both strategic planning and operational viability in SCs.