Navigating COVID-19 Pandemic: Empowering Sustainable Supply Chains Performance through Leadership Capability, Knowledge Sharing Capability, and Strategic Management Capability amid COVID-19 Disruptions

Abstract

The advent of COVID-19 triggered widespread disruptions globally, adversely affecting businesses and resulting in financial challenges and a decline in overall performance. This unparalleled public health emergency has resulted in significant disturbances within the sustainable supply chain and posed a risk to human survival. In view of these considerations, this investigation aims to evaluate the effect of COVID-19 on Sustainable Supply Chain Performance (SSCP) along with its influence on leadership capability (LC), knowledge sharing capability (KSC), strategic management capability (SMC), and moderating organizational commitment (OC) in Pakistan. To examine the proposed hypotheses, data were collected from Pakistani enterprises actively involved in the supply chain and supply chain departments of manufacturing firms. Subsequently, comprehensive analyses were conducted using structural equation modeling to derive meaningful insights. According to the empirical outcomes, the pandemic had a negative influence on SSCP in Pakistan, but LC, KSC, and SMC helped mitigate these disruptions. In addition, LC, KSC, and SMC successfully mediated the relationship between COVID-19 and SSCP, moderating the role of OC. This study contributes significantly to the literature by incorporating resource-based view (RBV), dynamic capability view (DCV), and knowledge-based view (KBV) theories to analyze and understand LC, KSC, and SMC. Moreover, to mitigate the interruptions resulting from pandemic in Supply Chain (SC) operations and enhance profitability amidst such unprecedented circumstances, the model explained in this study can be a valuable tool for SC and logistics management specialists.

Keywords:

• COVID-19
• sustainable supply chain performance
• leadership capability
• knowledge sharing capability
• strategic management capability

REVIEWING EDITOR:

• Jie Ma, Northumbria University, United Kingdom of Great Britain and Northern Ireland

SUBJECTS:

• Leadership
• Strategic Management
• Production, Operations & Information Management

1. Introduction

The COVID-19 pandemic has placed numerous organizations in a precarious financial situation; a few of them have completely ceased operations, making recovery very difficult (Rai et al., 2021), this situation has also significantly impacted the activities, sales, and manufacturing of companies, resulting in a negative impact on their overall performance (Salisu & Akanni, 2020). A report from the World Trade Organization indicated a substantial decrease in global trade, with a drop ranging from 13% to 32% compared to figures from 2019 (World Trade Organization [WTO], 2020). The National Association of Manufacturers (NAM) surveyed 558 US member companies and discovered that over 78% of them anticipated a substantial financial impact due to the pandemic uncertainty (The National Association of Manufacturers [NAM], 2020). Similarly, (Bloom et al., 2021) indicated that US companies were influenced by the Coronavirus pandemic, resulting in an average decline of 29% in sales and generating diverse outcomes among distinct types of businesses and proprietors. According to Bartik et al. (2020) the pandemic has led to an exponential increase in the complete or temporary shutdown of enterprises, manufacturing plants, commercial hubs, frontiers, and governmental bodies in numerous countries severely affected by high infection rates. In addition, the global impact of COVID-19 has significantly disturbed and disarrayed supply chains, resulting in an imbalance between availability and need for essential services and operations (Ivanov & Dolgui, 2020). Owing to the spread of the coronavirus pandemic, there has been a worldwide decline in the accessibility of SCs (Araz et al., 2020). Furthermore, the Covid-19 crisis influences various aspects of the SC, such as storage facilities, administration, and marketplaces; these sectors tend to be impacted either at their core or simultaneously (Ivanov & Das, 2020). The SC has been experiencing several challenges as the globe has tried to negotiate the challenging times brought on by the recent COVID-19 outbreak. Numerous enterprises encounter challenges in sustaining a consistent and uninterrupted supply of essential goods and services (Sharma et al., 2022). Similarly, (Orlando et al., 2022) highlighted that countries worldwide have enforced border closures and travel restrictions due to COVID-19, with millions of individuals, stores, schools, and enterprises recommended or forced to close, adversely affecting the worldwide economy and SC. Similarly, (Hosseini & Ivanov, 2022) investigated the effect of the pandemic on the SC of essential everyday commodities, including manufacturers of personal protective equipment such as masks, medical supplies, food, automotive components, and the electronics industry. Therefore, (Chowdhury et al., 2021) revealed that as supply chains grapple with unprecedented disruptions and uncertainties, there is a need to understand how organizations can navigate and adapt to these challenges while advancing sustainability initiatives. Furthermore, (Hoek, 2020) highlighted the obstacles that supply chain managers encounter while striving to implement the principles of risk management and adaptability in the SC, urging researchers to explore the operational strategies employed by supply chain administrators to address and manage concerns directly related to the ramifications of the pandemic.

The majority of earlier research on SCs in the pandemic era concentrated on difficulties and barriers (Karmaker et al., 2021; Kumar et al., 2020, Yu & Rehman Khan, 2022). Nevertheless, no investigation has been conducted to identify and validate the mediation roles of leadership capability, knowledge sharing capability, and strategic management capability in linking the COVID-19 pandemic and the SSCP with the moderating role of organizational commitment. Some investigations have tested the relationship between SSCP and COVID-19. For instance, in accordance with (Karmaker et al., 2021), SC risk management may be utilized to diminish the effect of interruptions on SC resilience and robustness during the COVID-19 pandemic. Similarly, (Basit et al., 2023; Kumar et al., 2020) examined the correlation between COVID-19 and SSCP, emphasizing how innovative approaches have the potential to diminish the influence of Covid-19 on SSCP. Moreover, researchers have started to explore SSCM in the context of post-COVID-19 as well (Sumarliah & Al-Hakeem, 2023), which clearly depicts that this pandemic affected the supply chains over the long run. Therefore, it is imperative to devise novel methodologies to augment organizational sustainability or restructure existing approaches accordingly (Chaouni Benabdellah et al., 2021; Li et al., 2022). Furthermore, corporations are compelled to navigate a delicate equilibrium between ensuring long-term sustainability, meeting stakeholder demands, and concurrently achieving positive economic outcomes (Khan et al., 2021; Rasti Borazjani Faghat et al., 2020).

The essential factor for achieving effectiveness in quality management procedures and business excellence frameworks is the capacity for leadership (Teoman & Ulengin, 2018), which plays an important role in supply chain performance (Wong, 2001). Efficient knowledge sharing within the SC has been developed as a crucial method for improving the overall operational effectiveness of the SC and attaining a competitive edge (Yurong & Mingwei, 2010), while also optimizing total earnings (Li & Hu, 2012). Strategic management of the supply chain enhances punctual deliveries, decreases operational expenses, results in client contentment, and enhances corporate effectiveness (Yeung, 2008). OC significantly moderates the association between COVID-19 and SC mitigation strategies (Khan et al., 2022). Moreover, (Bouachouch & Lamrabet, 2022) suggested a conceptual framework for viewing the hospital as a supply chain, investigating the link between commitment within the organization and collaborative connections across functions in the context of the hospital supply chain.

Hence, the objective of this inquiry is to address the subsequent study queries:

• Q1. Does novel coronavirus influence sustainable supply chain performance?

• Q2. Does the novel coronavirus influence leadership capability, knowledge sharing capability, and strategic management capability?

• Q3. Does Leadership capability, knowledge sharing capability, and strategic management capability mediate the relationship between the novel coronavirus and SSCP?

• Q4. Does organizational commitment moderate the relationship between leadership capability, knowledge-sharing capability, strategic management capability, and SSCP?

As previously stated, the primary objective of this study is to address the gap by suggesting a theoretical framework and, subsequently, through experimentation, assessing a conceptual model that employs LC, KSC, and SMC as mediating variables linking the novel coronavirus and SSCP. To achieve this objective, numerous study hypotheses have been formulated based on the RBV, DCV, and KBV theories. The RBV presents a conceptual structure that provides a tactical solution to the volatile business circumstances brought about by globalization, digital progress, and financial recessions (Barney, 2012; Wernerfelt, 1984). Based on the RBV and KBV, during Coivd-19 outbreak the utilization of leadership capabilities and knowledge management processes played a significant role in enhancing business efficacy and securing a competitive edge (Mahdi & Nassar, 2021). Moreover, based on RBV and DCV (Basit et al., 2023) revealed that innovative strategies and capabilities can alleviate the effect of COIVD-19 on SSCP. Similarly, based on KBV, (Ng et al., 2022) highlight that the components of knowledge management shed light on how companies handle the repercussions of the Pandemic, along with the insights gained and anticipated prospects of businesses functioning under extremely challenging circumstances. Utilizing the RBV model, (Anggadwita et al., 2023) demonstrated that the ability of a business to remain resilient throughout an pandemic is contingent upon the incorporation of strategic decision-making, strategic considerations, and the implementation of incremental successor programs.

2. Literature review

2.1. COVID-19 pandemic and SSCP

According to Butt (2022), the interruptions caused by Covid-19, such as shutting down, travel restrictions, and labor shortages, have led to widespread supply chain blockages, such as raw material shortages, production halts, transportation issues, and delayed deliveries. Similarly, (Rukasha et al., 2021) described that one of the primary influences of the pandemic was the disruption of manufacturing processes, stemming from lockdowns, social distancing, and labor shortages, leading to factory closures, reduced capacities, and consequent supply shortages, delayed deliveries, and production halts. The pandemic has severely challenged logistics and transportation, with global travel restrictions and border closures causing supply chain bottlenecks, longer lead times, and exacerbated inventory imbalances and stockouts (Agrawal et al., 2020). Throughout the pandemic, inventory management has grown intricate with fluctuating demand and uncertain consumer behavior, leading to challenging demand forecasting and subsequent organizational struggles with inventory imbalances affecting capital and operational efficiency (Dodd & Liao, 2020). (Yuni Erlina & Evi Feronika Elbaar, 2021) described the pandemic effects on the rice SC in Kapuas Regency, Kalimantan, Indonesia, including farming, intermediaries, distribution, arrival time, and distributor costs; therefore, integrated supply chain management via an information system for enhanced local rice flow.

H1: The SSCP is adversely influence by the Covid-19 outbreak.

2.2. COVID-19 pandemic and leadership capability

According to Hu et al. (2020) employing leadership is vital for directing workforces who are experiencing pandemic mortality-related stress towards active involvement in their work and making greater contributions to organizational culture. (Alsharif et al., 2021) described that leaders can impact the innovative self-efficacy of their followers to reduce career uncertainty and mitigate fear-triggered obstacles such as organizational misconduct and intentions to leave, during Coivd-19 pandemic. Leaders throughout the pandemic have a substantial impact on their respective organizations. Additionally, business creativity, exchanging information, and working together help reduce costs and increase effectiveness, while ensuring that the quality of life and welfare of their employees remain uncompromised (Vahdat, 2022). The COVID-19 crisis has the potential to stimulate a shift towards more proactive leadership in business operations, leveraging AI and Big data analytics. Therefore, to effectively confront the challenges and uncertainties brought about by the pandemic, organizations need advanced and unique strategies (Adam & Alarifi, 2021). Show that the new management approaches implemented within SMEs amid an pandemic disaster (in terms of external knowledge, structures and leadership, renewal, or worker operations) may enhance performance and raise the possibility that these businesses will succeed.

H2a: There is a positive association between the COVID-19 pandemic and leadership capability.

2.3. COVID-19 pandemic and knowledge sharing capability

(Tønnessen et al., 2021) explored the substantial influence of both inside and outdoor digital knowledge exchange as key indicators of innovative performance amidst the COVID-19 outbreak. Moreover, individual motivation shows a positive association with both inside and outdoor digital knowledge sharing as well as innovative performance. Similarly, (Mahdi & Nassar, 2021) businesses and organizations have concentrated on knowledge-sharing management throughout the pandemic to gain a long-term competitive edge by developing social and human assets along with the enhancement of strategic leadership capabilities.(Lee et al., 2021) Highlight that diversity-focused leadership enhances employees’ satisfaction with their demand for self-sufficiency, proficiency, and interconnectedness, and promotes open internal communication during a crisis. Additionally, open inside communication enhances employees’ satisfaction with their own requirements, consequently enhancing their job involvement and propensity to share knowledge amidst a crisis (EL Baz & Ruel, 2021). Highlight the significant function carried out by identifying supply chain risks, which can impact the results of SC risk management procedures amidst the pandemic. Additionally, cooperation with companions in different supply chain phases and knowledge sharing to identify potential threats can considerably affect the results of SC risk-management practices.

H2b: There is a positive association between COVID-19 and knowledge-sharing capability.

2.4. COVID-19 pandemic and strategic management capability

(Al-Mansour & Al-Ajmi, 2020) argues that amid the pandemic crisis, businesses ought to reassess their strategies by emphasizing increased financial investment in human resources, creating multifaceted teams, integrating with supply chains, allocating resources towards corporate social responsibility, and amplifying cooperative endeavors. Similarly, (Khan et al., 2022) highlights innovative strategies, including environmentally friendly methodologies, supply chain crisis alleviation tactics, and intelligent technologies, aimed at mitigating SC disruptions during the pandemic. Similarly, (Khan et al., 2021) investigated novel business strategies, including technological innovation and business data analytics, which demonstrated strong efficacy in enhancing business performance during the COVID-19 pandemic. Alike, (Taqi et al., 2020) outlined various distinct strategies, such as “adaptive production methods,” “expanding supplier origins,” and “establishing alternate suppliers,” which have significant outcomes in mitigating the effect of the pandemic on the ready-made garment SC.

H2c: There is a positive association between the COVID-19 pandemic and strategic management capability.

2.5. Leadership capability, knowledge sharing capability, strategic management capability, and SSCP

(Huo et al., 2021) examines how leadership affects the alignment of green strategies in the SC and provided a direction for companies to harmonize their eco-friendly approaches with their supply chain partners. (Fontoura & Coelho, 2020) discovered that SC leadership has a favorable effect on the exchange of information, common principles, and conscientiousness of procurement, subsequently leading to a positive effect on overall corporate social responsibility. Similarly, (Jia et al., 2019) suggested a model based on SC leadership, governance mechanisms, SC structure, and SC learning. In addition, SC leadership has a positive effect on governance mechanisms, SC structure, and supply chain learning (Mardiana, 2020). Investigated the correlation between leadership practices and SCM in Indonesia’s textile industry. Consequently, leadership was found to exhibit a favorable and substantial association with the effective implementation of supply chain management practices.

Isa and Dweiri (2020) discovered that knowledge sharing serves as a mediator linking SC integration with SC efficiency, further augmenting comprehensive performance metrics. Similarly, (Rajabion et al., 2019) explored knowledge sharing within the SC has the potential to improve performance by adopting innovation, boosting competitive edge, and strengthening connections between suppliers and consumers. Similarly, (Hao et al., 2019) found that efficient knowledge sharing in SCM promotes collaboration, stable alliances, and sustainable development. According to Schoenherr et al. (2014), the advantages of knowledge sharing in SCM involve improved SC efficiency and the capability to convert unspoken expertise into tangible knowledge.

Strategic supply chain management offers several benefits. It allows organizations to improve their activities and economic efficacy, reduce expenses, escalate consumer value and contentment, and retain a competitive edge in the marketplace (Akyuz & Gursoy, 2020). (Ketchen & Giunipero, 2004) Examine the relationship between SMC and SCM. Furthermore, an augmented level of engagement between SMC and SCM is anticipated to yield advantages in fostering knowledge progression within both domains, ultimately amplifying organizational capabilities to achieve their objectives. According to van Kampen et al. (2016), the advantages of employing strategic management within supply chain operations include enhanced preparedness, quick adaptability, heightened dependability, increased versatility, optimized expenses, and more effective asset administration.

H3a. A positive association exists between leadership capabilities and sustainable supply chain performance.

H3b. A positive correlation exists between knowledge-sharing capabilities and sustainable supply chain performance.

H3c. A positive correlation exists between strategic management capabilities and sustainable supply chain performance.

2.6. The mediating role of leadership capability, knowledge sharing capability, and strategic management capability

The global COVID-19 pandemic has interrupted both health and financial sectors, particularly affecting healthcare providers, and necessitating continuous evaluation of supply chain strategies to effectively support patient care during resurgences or future pandemics by ensuring the availability of critical supplies such as personal protective equipment and medical-surgical items (Francis, 2020). In the context of the pandemic, (Bag et al., 2024) highlights the impact of BDA on the healthcare SC revolution, SC flexibility, and SC robustness under the moderating influence of innovation leadership. It was discovered that creative leadership is crucial in the pandemic situation because it indirectly influences the robustness of the healthcare SC in the presence of BDA. Amidst the COVID-19 pandemic, healthcare SC in Newfoundland and Labrador encountered difficulties, notably in the accessibility of vital medical supplies such as personal protective equipment (PPE). Therefore, to adeptly navigate such crises, it is imperative to adopt an all-encompassing leadership approach that fosters teamwork, synchronization, and information sharing among diverse parties, ensuring efficient administration of the supply chain (Snowdon & Saunders, 2022).

(EL Baz & Ruel, 2021) Highlighting the significant contribution during the Covid-19 pandemic, the recognition of SC vulnerabilities emerges as a pivotal factor influencing the outcomes of risk management approaches. Moreover, the efficiency of these strategies can be substantially influenced by partnering closely throughout different supply chain stages and sharing knowledge to proactively identify potential risks. Ngo et al. (2023) explores the key drivers of the digital supply chain revolution and how firms’ knowledge creation capabilities impact it, especially during COVID-19 disruptions. Therefore, the evolution of digital supply chains relies on absorptive capacity and learning intent, and the heightened unpredictability in external landscapes expedites digital transformation initiatives and impacts the efficacy of organizations’ capacities for generating knowledge. (Al-Omoush et al., 2022) demonstrates the influence of cognitive resources on SC flexibility, cooperative knowledge generation, and corporate longevity. In addition, the interconnectedness between cooperative knowledge generation and organizational sustainability is particularly evident during the pandemic crisis, enhancing organizational resilience.

(Al-Mansour & Al-Ajmi, 2020) argues that enterprises should scrutinize their strategies from three angles during the COVID-19 crisis: increasing economic commitment to human capital, forming cross-functional groups, collaborating with their SCs, financing in corporate social responsibility, and focusing more on collaborations. Similarly, (Khan et al., 2022) emphasizes the importance of inventive strategies such as environmentally friendly practices, crisis mitigation strategies within the SC, and the integration of intelligent technologies. Therefore, these strategies were designed to effectively mitigate disruptions in the SC affected by the pandemic. Alike, (Taqi et al., 2020) outlined various distinct strategies, such as “adaptive production methods,” “expanding supplier origins,” and “establishing alternate suppliers,” which have significant outcomes in mitigating the influence of the pandemic on the ready-made garment SC.

H4a: Leadership capability plays a mediating role in the connection between Covid-19 and SSCP.

H4b: Knowledge-sharing capability plays a mediating role in the connection between Covid-19 and SSCP.

H4c: Strategic management capability plays a mediating role in the connection between Covid-19 and SSCP.

2.7. The moderating role of organizational commitment

Wang et al. (2021) developed a theoretical framework that substantiated the moderating influence of OC on the association between supervisor guidance and supplementary job performance. Furthermore, (Patiar & Wang, 2016) established that OC serves as a mediator linking leadership and operational effectiveness in the Australian automotive sector. Likewise, Ingsih et al. (2021) suggests that motivation and personalized consideration exert a favorable and major impact on organizational commitment. Thus, organizations should enhance their commitment during the COVID-19 outbreak by adopting a transformational leadership style (Li et al., 2021) knowledge and communication technology implementation effects companies effectiveness amid the Covid-19 pandemic by medtiading of organizational commitment, entrepreneurial attitude and development mindset. According to Athar (2020) when organizations demonstrate commitment, they are more likely to incorporate environmentally friendly practices in their manufacturing processes, implement strategies to mitigate crises both in the short and long term (like an pandemic), and embrace intelligent technologies to address ambiguous situations, such as the COVID-19 pandemic. Moreover, Lee et al. (2022) verified the moderating impact of organizational commitment in implementing strategic HRM aspects, such as training programs, professional growth, and remuneration and rewards, to boost organizational performance within the aviation sector amid the pandemic.

H5a: Organizational commitment moderates the positive connection between leadership capability and SSCP

H5b: Organizational commitment moderates the positive connection between knowledge sharing capability and SSCP

H5c: Organizational commitment moderates the positive connection between strategic management capability and SSCP

3. Data source and research methods

The major purpose of our investigation was to understand the connection between COVID-19 and the SSCP. We set the objective to be achieved efficiently through a quantitative methodology involving the testing of the hypotheses (see Figure 1). To verify the accuracy of our hypothesis, we collected data from supply chain corporations and supply chain divisions of production enterprises enlisted with the Securities and Exchange Commission of Pakistan (SECP). For additional information, see Table 1 for demographic details. We distributed questionnaires using online links within the Facebook groups managed by these companies to inquire about their business activities. The surveys were distributed to participants through LinkedIn, WhatsApp, and electronic mail. All participants provided written informed consent to participate in this research. Respondents answered the survey inquiries using a five-point Likert scale ranging from 1 (completely disagree) to 5 (completely agree). Ultimately, the study gathered 307 complete responses, of which 28 were incomplete. In addition, 279 surveys were considered to be applicable for the examination. The study was conducted according to the guidelines of the Declaration of Helsinki and was approved by the Ethics Committee of Chang’an University, China. Figure 2 illustrates the flowchart of the research methodology.

Figure 1. Conceptual Framework based on above literature.

Figure 2. Research methodology flowchart.

Table 1. Demographical details.

Contestants	Narrative	Rate of recurrence	Percentage (%)
Gender	Male	158	56.63
	Female	121	43.36
Total		279	100
Age	24–29	81	29.03
	30–34	63	22.58
	35–39	76	27.24
	Above 40	59	21.14
Total		279	100
Education	Undergraduate	55	19.71
	Graduate	133	47.67
	Postgraduate	91	32.61
Total		279	100
Hierarchy	Directors	66	23.65
	Management	112	40.14
	Officers	101	36.20
Total		279	100
Job experience	5–10	94	33.69
	10–15	91	32.61
	15–19	53	18.99
	Above 20 years	41	14.69
Total		279	100

Data collection involved the utilization of a five-point Likert scale. To examine the impact of COVID-19, five items were sourced from a previous investigation (EL Baz & Ruel, 2021). The evaluation of LC drew upon a collection of five items derived from (Kivipõld & Vadi, 2010), while the assessment of KSC relied on a series of five items derived from (Attia & Salama, 2018). Similarly, the appraisal of SMC utilized a set of five items from (Ferraris et al., 2022; Monday et al., 2015). Additionally, the measurement scales employed to assess SSCP encompassed five items gathered from (Altay et al., 2018; Sharma et al., 2022). Moreover, for OC questionnaires are collected from (Khan et al., 2022) (Appendix A). Once comprehensive data on different variables was collected, our subsequent action involved the utilization of statistical techniques. Furthermore, this allowed us to methodically examine and create links between these variables as a component of our study (Prasojo et al., 2020). Furthermore, it allows for the analysis of interrelated concepts concurrently (Yasri et al., 2020). In addition, statistical analyses have been performed to establish a suitable model for investigating various factors and concepts. Additionally, the emphasis was placed on meeting the criteria of convergence and correlation validity (Yasri et al., 2020).

The approach we utilized to investigate the research hypotheses in this study consisted of utilizing the PLS-SEM method through Smart PLS-4 Software. Few management research techniques are as effective as PLS-SEM in modeling elaborate cause-and-effect connections. Additionally, this method has gained popularity because it has a well-established reputation for being incredibly trustworthy and precise (Gudergan et al., 2008). Furthermore, PLS-SEM offers enhanced robustness by avoiding difficulties linked to unacceptable or undefined variables (Fornell & Bookstein, 1982). Besides, PLS-SEM has proven to be a practical approach for creating theories that involve intricate and explorative models (Nitzl, 2016). Skewness and Kurtosis were used to evaluate the normality of the data distribution. The commonly utilized criteria for evaluating z scores are set at ±1.96 for a significance level of .05 and ±2.58 for a significance level of .01(Hair, 2009). All distributions displayed characteristics indicative of normality when applying the threshold of ±2.58. Furthermore, the data were analyzed to determine the likelihood of encountering common method variance. In this study, we applied Harman’s one-factor analysis, a method applied in prior research (Koh & Kim, 2004; Leimeister et al., 2006), to explore the results of the unrotated factor solutions. Furthermore, this study sought to determine the number of factors responsible for elucidating the diversity noted within the variables (Koh & Kim, 2004). Hence, Harman’s single-factor analysis revealed insignificant concerns regarding Common Method Bias (CMB). The analysis revealed the extraction of only a single factor, elucidating 31.4% of the variability in the response variable. This value falls below the established 50% threshold (Hair et al., 2021).

4. Analysis of data and results

4.1. Measurement model

The measurement model is employed to validate genuineness, evaluate coherence, and examine the structural characteristics of the hypothetical variable (Mardani et al., 2020). Different metrics were employed to assess the effectiveness of the measurement model, such as factor loadings, composite reliabilities, convergent validity (AVE), and discriminant validity (Table 2). Hence, the correctness of the hypothetical variable was duly established by satisfying the conditions of factor loading, composite reliability surpassing 0.70, and Cronbach’s alpha exceeding 0.60, thereby guaranteeing the trustworthiness of the measurements (Hair, Black, et al., 2019). Furthermore, the convergence validity of every hypothetical variable exceeded 0.50.

Table 2. Instrument reliability and validity.

	Factor loading	Cronbach’s alpha	Composite reliability	The average variance extracted (AVE)
COVID19-1	0.802	0.825	0.884	0.656
COVID19-2	0.820
COVID19-3	0.807
COVID19-4	0.810
KSC1	0.762	0.778	0.857
KSC2	0.797			0.599
KSC3	0.802
KSC4	0.733
LC1	0.714	0.884	0.911	0.673
LC2	0.779
LC3	0.858
LC4	0.856
LC5	0.882
SMC1	0.751	0.764	0.816	0.597
SMC3	0.800
SMC4	0.766
SSCP1	0.890	0.953	0.961	0.753
SSCP2	0.895
SSCP3	0.898
SSCP4	0.914
SSCP5	0.875
SSCP6	0.778
SSCP7	0.836
SSCP8	0.848

To confirm discriminant validity, we utilized two methods: (1) the Fornell and Larcker technique and (2) the HTMT method. In the Fornell and Larcker method, we stipulated that the square root of the AVE for each hypothetical variable would surpass that of other hypothetical variables, and that the variables should exhibit stronger interconnectedness with one another (Fornell & Larcker, 1981). Table 3 illustrates that this requirement was met for every single one of the variable.

Table 3. Fornell & Larcker.

	COVID-19	Knowledge sharing capability	Leadership capability	SSCP	Strategic management capability
COVID-19	0.810
Knowledge Sharing Capability	0.449	0.774
Leadership Capability	0.108	0.163	0.820
SSCP	−0.115	0.201	0.211	0.868
Strategic Management Capability	0.222	0.399	0.074	0.389	0.773

In the HTMT ratio approach, our research identified a range of HTMT values for all variables ranging from 0.118 to 0.554 (as indicated in Table 4), which fell below the upper limit of 0.90 (Henseler et al., 2016). Therefore, it can be confidently stated that there are no issues with the HTMT.

Table 4. Heterotrait-monotrait ratio (HTMT).

	COVID-19	Knowledge sharing capability	Leadership capability	SSCP	Strategic management capability
COVID-19
Knowledge Sharing Capability	0.554
Leadership Capability	0.121	0.190
SSCP	0.151	0.228	0.192
Strategic Management Capability	0.290	0.540	0.118	0.485

4.3. Structural model analysis

The R² value denotes the percentage change in the criterion variable, which can be elucidated by the predictor variable. An overview of the coefficients of determination (R²) for each outcome variable is shown in Figure 3. The coefficient of determination (R²), with a value of 0.408, shows that approximately 40.8% of the variations in SSCP can be ascribed to the collective impact of four other factors: Covid-19, LC, KSC, and SMC. Hence, it was recommended by Falk and Miller (1992) that R² values ought to be no less than 0.10 or greater, to signify an acceptable degree of variability elucidated by a specific endogenous construct.

Figure 3. The outcomes of the SEM.

The F² effect size measures the extent to which R² changes when a specific external factor is excluded from a model. This evaluation enables a more accurate assessment of the explanatory capability of each independent variable within the structure. The independent variable exerted a notable influence when the F² value reached 0.35, a moderate effect at a value of 0.15, and a minor influence at 0.02 (Cohen, 1988). The results in Table 5, the outcomes indicated that the magnitude of the F² effect size demonstrated variability ranging from 0.024 to 0.161.

Table 5. Quality of the SEM.

	Q²	F²
Leadership capability	0.004	0.046
Knowledge sharing capability	0.179	0.024
Strategic management capability	0.042	0.161

An additional vital assessment involves ascertaining whether the research model demonstrates sufficient predictive significance regarding the predefined criterion, as demonstrated in Q2, based on the outcomes derived from the PLS analysis. When Q2 values exceed 0.0, the research model is deemed appropriate for predicting the value of the outcome variable, as demonstrated by the Q2 values above zero for all dependent variables in Table 5. This result indicates that the model has meaningful predictive significance.

According to Hair, Risher, et al. (2019), for a satisfactory fit, SRMR should be below 0.08, and NFI should exceed 0.9. Our research model meets these criteria with an SRMR of 0.07 and an NFI of 0.93, indicating a robust fit.

4.3.1. Hypothesis testing

Table 6 displays the results of the examination conducted using the Smart PLS software for evaluating the Structural Model. We utilized the bootstrap resampling technique to enhance the stability of the β-coefficient estimates, consequently assessing the variance and determining the significance of these coefficients.

Table 6. PLS structural model.

Hypothesis	β	STDEV	T values	p values
COVID-19 -> SSCP	−0.284	0.058	4.900	0.000
COVID-19 -> Leadership capability	0.108	0.056	2.961	0.005
COVID-19 -> Knowledge sharing capability	0.449	0.077	5.867	0.000
COVID-19 -> Strategic management capability	0.222	0.057	3.874	0.000
Leadership capability -> SSCP	0.163	0.043	3.763	0.000
Knowledge sharing capability -> SSCP	0.121	0.050	2.408	0.016
Strategic management capability -> SSCP	0.338	0.048	7.074	0.000
COVID-19 -> Leadership Capability -> SSCP	0.364	0.047	7.671	0.000
COVID-19 -> Strategic management capability -> SSCP	0.075	0.023	3.292	0.001
COVID-19 -> Knowledge sharing capability -> SSCP	0.055	0.027	2.016	0.044
OC × Strategic Management Capability -> SSCP	0.165	0.059	3.038	0.002
OC × Knowledge Sharing Capability -> SSCP	0.141	0.039	3.571	0.000
OC × Leadership Capability -> SSCP	0.111	0.053	2.174	0.030

Table 6 demonstrate the findings of the analysis, which have a direct connection to H1 through H3c and an indirect connection to H4a to H4c. This assessment investigated both direct and indirect connections, adhering to the principles specified in the research conducted by Baron and Kenny (1986). This analysis depended on a significance level of 5% or a critical t-value of 1.96, also referred to interchangeably, with a p-value of 0.05. The hypothesis remains valid with statistical backing when the p-value is below 0.05, and the t-value surpasses 1.96 (Hair et al., 2014). Thus, we notice a negative and significant link between the Covid-19 pandemic and SSCP (Beta = −0.284; p ≤ 0.05). Moreover, the present study confirmed a positive connection between Covid-19 and H2a leadership capability (beta = 0.108; p ≤ 0.005), H2b KSC (beta = 0.449; p ≤ 0.000), and H2c strategic management capability (beta =0.222; p ≤ 0.000). In addition, the examination’s outcomes determine a direct connection between leadership capability and SSCP H3a (beta = 0.163; p ≤ 0.000), KSC H3b (beta =0.121; p ≤ 0.016), and strategic management capability H3c (beta = 0.338; p ≤ 0.000).

Likewise, for mediation, we applied the approach of Baron and Kenny (1986); So, the outcomes of this study confirmed that leadership capability successfully meditate the association between COVID-19 and SSCP (Beta = 0.364; p ≤ 0.000); knowledge sharing capability successfully mediated the association between COVID-19 and SSCP (Beta = 0.055; p ≤ 0.000), and strategic management capability successfully meditate the association between COVID-19 and SSCP (Beta = 0.165; p ≤ 0.000).

This study aimed to ascertain and validate the moderating effects of OC. Table 6 and Figures 4–6 demonstrate the findings of the analysis: OC plays a moderating role between leadership capability and SSCP (beta =0.111; p ≤ 0.000), OC plays a moderating role between knowledge sharing capability and SSCP (Beta = 0.141; p ≤ 0.000), and OC plays a moderating role between strategic management capability and SSCP (Beta = 0.165; p ≤ 0.000).

Figure 4. Moderation analysis of Organizational Commitment *Leadership Capability.

Figure 5. Moderation analysis of Organizational Commitment *Knowledge Sharing Capability.

Figure 6. Moderation analysis of Organizational Commitment *Strategic Management Capability.

5. Discussion

The global impact of the pandemic has led to substantial interruptions in global SCs. Consequently, there is a need to implement creative approaches and effective managerial skills to ensure consistent supply chain performance. The present study assessed the link between COVID-19 and SSCP using LC, KSC, and SMC. The outcomes of this inquiry were categorized into two types of hypotheses: one indicating a direct connection and the other illustrating an indirect connection. The direct result of the H1 test showed that the influence of Covid-19 on SSCP was negative, and our findings were corroborated by a prior investigation conducted by Khan et al. (2022). Alike, the direct outcomes from studies H2a, H2b, and H2c show that the COVID-19 pandemic has positively influenced the utilization of LC, KSC, and SMC within the context of Pakistan. Concerning the leadership capability, our research findings are corroborated by a previous study (Hu et al., 2020); Concerning the knowledge sharing capability, our investigation outcomes are corroborated by a previous study (Tønnessen et al., 2021); Concerning the strategic management capability, our analysis results are corroborated by a previous study (Al-Mansour & Al-Ajmi, 2020). Furthermore, (H3a, H3b, and H3c) represent that LC, KSC, and SMC have a significant impact on the SSCP. Concerning leadership capability, (Huo et al., 2021) examines how leadership affects the alliance of green strategies in the SC and provided an actionable direction for companies to harmonize their eco-friendly approaches with their supply chain partners. Concerning knowledge sharing capability, (Isa & Dweiri, 2020) discovered that the KSC plays a mediating role in the connection between SC integration and SC performance. Moreover, it enhances the overall performance. Regarding strategic management capability, (Akyuz & Gursoy, 2020) examined that strategic supply chain management offers several benefits. It allows organizations to improve their activities and economic efficiency, reduce expenses, increase consumer value and fulfillment, and maintain a competitive edge in the market.

This study discloses the results concerning the mediation effects of hypotheses H4a, H4b, and H4c. The examination explored the effects of mediation on LC, KSC, and SMC, which were analyzed and validated using SEM. The investigation substantiated that leadership proficiency, knowledge-sharing capacity, and strategic management competence effectively act as mediators in the link between the COVID-19 pandemic and SSCP. Additionally, our study aligns with previous scholarly work. Concerning leadership capability, (Francis, 2020) highlights that the global pandemic has interrupted both health and economic sectors, particularly affecting healthcare providers, and necessitating continuous evaluation of supply chain strategies to effectively support patient care during resurgences or future pandemics by ensuring the availability of critical supplies such as personal protective equipment and medical-surgical items. Regarding knowledge-sharing capability, (Ngo et al., 2023) explores major forces behind the evolution of the digital supply chain and how firms’ knowledge creation capabilities impact this, especially during COVID-19 disruptions. Therefore, the evolution of digital supply chains relies on absorptive capacity and learning intent, and heightened uncertainties within external environments expedite the progression of digital transformation initiatives and impact the efficacy of organizations’ capacity for knowledge creation. Concerning strategic management capability, (Khan et al., 2022) emphasizes the importance of inventive strategies, such as environmentally friendly practices, crisis mitigation strategies within the SC, and the integration of intelligent technologies. Therefore, these strategies were designed to effectively mitigate disruptions in the SC affected by the pandemic.

Lastly, the moderating effect of OC is summarized in the following hypotheses: H5a, H5b, and H5c. This suggests that OC modifies the links between LC, KSC, SMC, and SSCP. Regarding H5a (Ingsih et al., 2021) suggests that motivation and personalized consideration exert a favorable and major impact on organizational commitment. Thus, organizations should enhance their commitment during the COVID-19 outbreak by adopting a transformational leadership style. Concerning H5b (Li et al., 2021) knowledge and communication technology implementation affect the effectiveness of companies amid the Covid-19 pandemic by medtiading organizational commitment, entrepreneurial attitude, and development mindset. About H5c (Lee et al., 2022) verified the moderating impact of organizational commitment in implementing strategic HRM aspects such as training programs, professional growth, and remuneration and rewards to boost organizational performance within the aviation sector during the COVID-19 pandemic.

5.1. Theoretical and practical implications

From a theoretical perspective, this study contributes to the body of knowledge in following directions.

1. This research sheds light on how COVID-19 has affected the performance of SCs, with particular emphasis on supply chain and SC departments in manufacturing companies in Pakistan. By examining and documenting the difficulties faced by these sectors, this study provides insights that contribute to existing literature. This presents a viewpoint on the influence of the pandemic on the sustainability of SCs.

2. This study reveals a connection, between COVID 19 and the abilities of leadership, knowledge sharing, and strategic management. This fresh approach adds value to the existing research by acknowledging how organizational capabilities can flourish in the face of challenges. It highlights the adaptability and resilience of SCs during times of disaster.

3. One significant aspect is the investigation of how LC, KSC, and SMC play mediating roles in connecting COVID 19 with supply chain performance. This provides insights into how these organizational capabilities act as mediators influencing the connection and results within the domain of supply chain sustainability during a crisis.

4. This study explored the role of OC in LC, KSC, SMC, and SSCP. By studying this relationship, we gain an understanding of how organizational commitment can be utilized to improve the effectiveness of capabilities in managing sustainable supply chains during disruptions.

5. This research takes a perspective based on the RBV, DCV, and KBV. This provides a framework for analyzing the connections and dynamics between COVID-19 capabilities and the SSCP. Combining these perspectives strengthens the foundation for studies exploring how companies can effectively utilize their resources and knowledge to navigate disruptions.

From a managerial perspective, SC players can efficiently employ our proposed theoretical structure to articulate and construct the necessary skills needed to advance supply chain sustainability. This study has significant implications for the individuals responsible for making decisions within the supply chain.

1. To prepare for a potential worldwide outbreak, those involved in the supply chain need to rethink their approaches to achieve favorable outcomes.

2. Creative approaches and effective managerial capability management skills need to be expedited to enhance the dependability, durability, and strength of SC by consistently overseeing, linking, precision, and maintaining authority.

3. Businesses can employ supply chain localization, inclusivity, and local area advancement to reduce susceptibility within their supply chains.

4. Moving towards a fresh pandemic demands synchronization and preparation among the authorities and various parties involved.

5. Organizations should take advantage of this period of unpredictability to investigate, create, and progress in the realm of technological enhancement, leading to promising opportunities and, ultimately, a competitive advantage.

5.2 Limitations

This study recognizes and underscores various limitations that require further exploration. First, this study used cross-sectional data. Hence, the utilization of longitudinal data should be considered in future research endeavors. Second, we gathered data from SC enterprises in Pakistan and the SC division within manufacturing firms. Therefore, further studies in different countries and cultures are needed to better understand the role of the investigated factors in shaping supply chain resilience. Third, we used participants’ subjective decisions in our quantitative study. Therefore, researchers can use qualitative data for better understanding.

6. Conclusion

In this study, we investigated the association between COVID-19 and SSCP. The findings, as outlined in response to Research Question 1, emphasize the adverse impact of COVID-19 on SSCP within the context of Pakistan. These results emphasize that the adverse effects of COVID-19 on SCs are diverse and involve disruptions in manufacturing, distribution, and logistics. Lockdowns, travel limitations, and workforce deficiencies have hindered smooth movement of goods and services, resulting in delays, shortages, and escalated expenses. The insights gained from Research Question 2 reveal a favorable association between COVID-19 and the application of LC, KSC, and SMC. The results revealed that organizational capability improves resilience and adaptability during unprecedented disruptions. The identified positive link with these key capabilities provides valuable insights for strategic planning and resource allocation to foster sustainable responses amid the ongoing global health crisis. Furthermore, when addressing research question 3 we explore the factors that mediate the relationship between COVID-19 and SSCP. Specifically, we focus on how LC, KSC, and SMC act as intermediaries in navigating the challenges caused by COVID-19. These findings emphasize the role played by LC, KSC, and SMC in ensuring the resilience and sustainability of SC operations despite the disruptions caused by the pandemic. As organizations grapple with the changing landscape influenced by this crisis, these insights offer valuable considerations for strategic planning and effective management of SC dynamics. Ultimately, when addressing Research Question 4, our findings emphasize that OC plays a moderating role in the relationships among LC, KSC, SMC, and SSCP. This emphasizes the role of OC in shaping and impacting the effectiveness of important organizational abilities. This offers insights into the dynamics involved in maintaining supply chain operations. As companies tackle challenges in recognizing how OC moderates these effects, it adds a layer to strategic decision-making. This underscores the significance of commitment in optimizing LC, KSC, and SMC to ensure resilient supply chain performance.

Author contributions

Conceptualization, AB and MBH.; Methodology, FE, MBH, AB, and JAEP.; Software, AJ, JAEP and AB; Validation, MBH; Formal analysis, AB, FE and JAEP., Investigation, AJ, AB and MBH; Resources, AB, AJ and MBH; Data Curation, AB, AJ, and FE; Writing- original draft—AB, AJ, and F.E., Writing—review and editing, MBH, JAEP, and FE; Visualization, JAEP and FE; Supervision, MBH; Project administration, AB and AJ; Funding acquisition, MBH.

Disclosure statement

No potential conflict of interest was reported by the author(s).

Data availability statement

Data can be obtained through email at [email protected]

Appendix A:

Questionnaire.

Table

Questionnaire
Scale: 1= Strongly Disagree, 2 = Disagree, 3 = Neutral, 4 = Agree, 5 = Strongly agree	1	2	3	4	5
How did COVID-19 outbreak negatively affect Supply Chain?
1. The COVID-19 virus is present in all parts of the country?						(Adejare et al., 2021)
2. The COVID-19 virus made a severe impact on the way we conduct business?
3. Did Covid-19 negatively affect Overall operations?						(EL Baz & Ruel, 2021b)
4. Did Covid-19 negatively affect Lead time for delivery?
5. Did Covid-19 negatively affect Purchasing costs for supply?
To what extent does Leadership Capability mitigate the impact of Covid-19 on Supply chain performance?
1. We have common understanding and knowledge of operational plans and programmers.						(Kivipõld & Vadi, 2010)
2. We have set the main purpose and interim objectives
3. We are actively involved with setting our objectives and putting them into practice.
4. We have restrooms in our organization, where we gather to socialize with co-workers.
5. In making decisions, we take into consideration expertise and competence not the position
To What extent does the Knowledge Sharing Capability mitigate the impact of Covid-19 on Supply chain performance?
1. Employee’s ability to collaborate, combine and exchange ideas among themselves to diagnose and solve problems and create opportunities.						(Attia & Salama, 2018)
2. Share their own ideas to formulate new product or service ideas.
3. Share their experiences to successfully implement new projects or initiatives
4. Learn to share their ideas and knowledge and the commonality of sharing and exchanging ideas to find solutions to problems.
5. Our organization structure facilitates the creation of new knowledge
To what extent does Strategic Management Capability mitigate the impact of Covid-19 on Supply chain performance?
1. We are very sensitive to external changes in the host market (regarding customers, competitors, environment, etc.) and integrate these into strategic planning of our company						(Ferraris et al., 2022, Monday et al., 2015)
2. We utilize different mechanisms to become aware of strategic developments early.
3. Our management board collaborates for strategic decisions without being bogged down in top-level ‘win-lose’ politics
4. Our management board strategic adaptations are communicated fast and comprehensively through the organization
5. Our top managers obtain clear and unbiased information from subordinates in order to evaluate and control activities and performance results.
To what extent is Supply chain performance effect during Covid-19?
1. Our organization can quickly deal with disruption						(Altay et al., 2018, Sharma et al., 2022)
2. The supply chain would quickly recover to its original state.
3. Our Organization would not take long to recover average operating performance.
4. Our Organization can quickly restore material flow.
5. Improving supplier capabilities for enhancing social, economic, and environmental outcomes
6. Structural arrangement of supply chains for achieving sustainability outcomes.
7. System ability to meet the demands of survival in a dynamic environment.
8. Collaboration with suppliers for joint planning to achieve sustainability outcomes.
To what extent does organizational commitment strengthen or weaken the impact of COVID-19 on supply chain performance?						(Lim et al., 2021)
1. I really feel that this organization’s problems are my own.
2. I feel emotionally attached to this organization.
3. I feel a strong sense of belonging to my organization.
4. I feel like part of the family at the organization.
5. This organization has a great deal of personal meaning to me