When Stability Masks Strain: Supplier Lead Time Variability and the Hidden Side of Supply Chain Resilience: A Case Study of Volvo Cars

Sammanfattning

The automotive supply chain is inherently complex and even the slightest supplier delaycould deteriorate its stability. To address such issues, both industry and academia haveincreasingly focused on how to build resilience and evade disruption. However, attention iscontinuously given to extreme disruptions, ignoring everyday, recurring variability in supplychains. Therefore, this research examines supplier lead time variability as a normal, ongoingdisruption to give understanding of its management in practice.Through a qualitative single case study based on interviews at Volvo Cars, this researchreveals a novel approach to supply chain resilience. While automotive supply chains, such asthe one of Volvo Cars, are described in literature as highly vulnerable due to their scale,complexity, and interdependencies, the findings show that this complexity primarily increasesthe frequency of smaller, manageable disruptions. The findings of this research challenge thetraditional view that uninterrupted production indicates resilience, showing that disruptionimpacts are often shifted rather than eliminated. Reactive efforts are capable of internallyabsorbing disruption and ensuring continuity, but creates operational burden.This research proposes a broader view of resilience as the continuous management ofvariability and trade-offs. By moving beyond the assumption that disruptions only matterwhen they stop production, the study introduces an extended framework that emphasises thehidden cost of resilience and the need to account for trade-offs concerning operations,finance, and environment. In doing so, this research argues for a next step in resiliencethinking by positioning supply chain management as a strategic function requiringoptimization across cost, service, and sustainability.