[Research Contribution] Risk Management: The Key to Enhancing Supply Chain Performance Amidst Global Uncertainty

22 April, 2026

Keywords: Supply chain risk management, supply chain performance, global supply chain, flexibility and adaptability, collaboration and information sharing

In the context of global supply chains increasingly facing numerous uncertainties, from geopolitical conflicts to post-pandemic disruptions, risk management capability is becoming a decisive factor in business operational performance. A study by a team of authors from the University of Economics Ho Chi Minh City (UEH), using a PLS-SEM model with data from Vietnam, provides empirical evidence showing that risk management not only helps minimize disruptions but also directly enhances supply chain performance. The study also clarifies the central role of information sharing and collaboration among partners in increasing responsiveness, improving flexibility, and reducing internal disruptions. This result carries an important implication: risk management should not be viewed merely as a defensive tool, but needs to be positioned as a strategic capability that helps businesses enhance their competitive advantage in an uncertain environment.

Global Supply Chains: Opportunities Accompanied by Challenges

Globalization has helped businesses optimize costs, expand markets, and access resources more efficiently, but it has also significantly increased the complexity and risks within supply chains. Factors such as exchange rate fluctuations, political instability, inflation, or interdependence among partners can disrupt operations and degrade performance. Recent events such as the Russia-Ukraine conflict, US-China trade tensions, or instability in the Middle East have clearly demonstrated this vulnerability. Although there has been much research on supply chain risk management, most has focused on individual aspects such as logistics or operations, while the direct relationship between risk management and overall supply chain performance, particularly in emerging economies like Vietnam, has not been fully explored.

This gap raises an important question: do risk management practices actually help improve supply chain performance?

Risk Management and Supply Chain Performance: Empirical Evidence and Governance Implications

The study used a PLS-SEM model to analyze empirical data in Vietnam, and the results show that risk management has a positive and statistically significant impact on supply chain performance.

Specifically, businesses that effectively implement risk management are able to detect potential disruptions early, thereby responding more quickly and minimizing operational losses. In particular, enhancing real-time information sharing and promoting collaboration among parties in the supply chain helps reduce information asymmetry – the main cause of the bullwhip effect, in which small fluctuations in customer demand are amplified as they propagate back toward suppliers, causing significant forecasting errors, excess or shortage inventory, and increased operating costs. By limiting this effect, businesses can improve planning accuracy, optimize inventory, and enhance overall supply chain performance.

From a theoretical perspective, this result reinforces the view of information processing theory that the ability to collect and process data in a timely manner is a core element in reducing uncertainty. Simultaneously, a stakeholder resource-based approach is also clearly demonstrated, as balancing interests and strengthening linkages between customers, suppliers, and businesses helps optimize overall chain performance. This shows that risk management does not operate independently but is closely tied to the capacity for coordination and information sharing within the supply chain ecosystem.

Enhancing Adaptive Capacity in Modern Supply Chains

Risk management is a broad field, whereas this study has only focused on aspects such as risk identification, information sharing, and collaboration among parties in the supply chain, without deeply examining specific types of risks such as environmental risks, pandemics, or geopolitical risks. In the future, research could expand in these directions, while also conducting cross-country comparisons to provide a more comprehensive view. In a context of significant uncertainty, risk management not only helps businesses respond effectively to disruptions but also serves as a core competency, contributing to improved performance, increased flexibility, and sustainable competitive advantage in the global supply chain.

Author: Dr. Duong Ngoc Hong – University of Economics Ho Chi Minh City

This article is part of a series disseminating research and applied knowledge with the message “Research Contribution For All,” implemented by UEH in collaboration with Khanh Hoa Newspaper, Radio, and Television, aiming to accompany the sustainable development of Khanh Hoa province. UEH respectfully invites readers to tune in to the next Scientific Knowledge Bulletin.