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Handbook of Management Scales/Risk management infrastructure

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Risk management infrastructure (alpha = 0.91)

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Description

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A new scale was developed to measure risk management infrastructure. A substantive validity test was used for scale purification.

Definition

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Risk management infrastructure describes a firm’s structure of resources designed to manage risk in the supply chain (Blackhurst et al., 2011).

Items

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  • We have a department to manage supply chain risks and disruptions. (0.78)
  • We have KPI and metrics to monitor supply chain risk. (0.94)
  • We have information systems in place to manage supply chain risks and disruptions. (0.96)

(1 = disagree strongly, 7 = agree strongly)

Source

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  • Ambulkar/Blackhurst/Grawe (2015): Firm’s resilience to supply chain disruptions: Scale development and empirical examination. Journal of Operations Management, Vol. 33–34, pp. 111–122

Comments

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The three items might measure the construct in a formative rather than reflective way. The three items could be interpreted as yes–no questions, i.e. a 7-point scale might not be suitable here.