Supply chain information integration, flexibility, and operational performance

2018 ◽  
Vol 29 (1) ◽  
pp. 340-364 ◽  
Author(s):  
Kangkang Yu ◽  
Ben Nanfeng Luo ◽  
Xue Feng ◽  
Jianing Liu
Keyword(s):  
Supply Chain ◽  
Information Integration ◽  
Operational Performance ◽  
Annual Reports ◽  
External Information ◽  
Chain Flexibility ◽  
Content Type ◽  
Mediating Role ◽  
Supply Chain Flexibility ◽  
Internal Information

Purpose Supply chain flexibility is crucial for firms to respond to uncertain circumstances caused by environmental factors, such as the diversity of customer demands, problems of product safety, and adjustments of industrial policies. To investigate the approach to enhance supply chain flexibility, the purpose of this paper is to propose that both internal and external information integration contribute to reactive and proactive supply chain flexibilities, which elicit high operational performance. Design/methodology/approach Using a sample of 84 food companies that have been listed three years in China and content analysis based on their annual reports, evidence was collected to test the hypotheses through hierarchical regressions. Findings The results reveal that external information integration results in both reactive and proactive flexibilities, which further improve operational performance. Internal information integration positively affects both reactive and proactive flexibilities, but its mediating role was not determined in the study. Originality/value The research provides insights into how supply chain flexibility mediates the effect of supply chain information integration on operational performance in the context of the Chinese food industry.

scholarly journals Proactive and reactive flexibility: How does flexibility mediate the link between supply chain information integration and performance?

2021 ◽  
Vol 13 ◽  
pp. 184797902110076
Author(s):  
Yao-Te Tsai ◽  
Rivo Giovanni Lasminar
Keyword(s):  
Supply Chain ◽  
Financial Performance ◽  
Information Integration ◽  
Three Dimensions ◽  
Operational Performance ◽  
Annual Reports ◽  
External Information ◽  
Mediating Effects ◽  
Chain Flexibility ◽  
And Performance

To maintain competitiveness, businesses need to upgrade their operational performance and financial performance more efficiently and effectively in order to control uncertainty and costs. The purposes of the study are to (1) investigate the relationship between three dimensions, namely integration, flexibility, and performance; and (2) examine the mediating effects of supply chain flexibility. This research collected annual reports from the Indonesian basic and chemical industry from 2014 to 2017. Content analysis was used to extract information from companies’ annual reports, and hierarchical analysis examined the hypotheses. The results show that external information integration positively influences both reactive and proactive flexibility. Furthermore, proactive flexibility significantly affects financial performance and operational performance. Moreover, both reactive and proactive flexibility have positive mediating effects on the connection between external information integration and operational performance. Lastly, reactive flexibility positively mediates external information integration’s effect on financial performance. As the market has been becoming more competitive, this study provides important insights for decision-makers. This study contributes to the knowledge of the Indonesian basic and chemical supply chain by considering both financial and operational performance, especially as these performance indexes measure different dimensions.

The role of capabilities in shaping sustainable supply chain flexibility and enhancing circular economy-target performance: an empirical study

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Surajit Bag ◽  
Muhammad Sabbir Rahman
Keyword(s):  
Supply Chain ◽  
Circular Economy ◽  
Data Analytics ◽  
Sustainable Supply Chain ◽  
Chain Flexibility ◽  
Content Type ◽  
Mediating Role ◽  
Supply Chain Flexibility ◽  
Target Performance ◽  
Analytics Capability

Purpose A circular economy is a popular approach considered by many firms to address sustainable development goals strategically. Literature indicates that collaborative relationships among supply chain partners facilitate circular economy practices. However, there is a dearth of studies in lower-middle-income countries indicating the unique challenges industries face whilst practising circular economy principles and how the challenges can be overcome. To address the calls of previous researchers, this study aims to explore the following relationships: engagement and alliance capability whilst data analytics capability plays a mediating role; the relationship between alliance and data analytics capability with sustainable supply chain flexibility whilst industry dynamism is considered as a moderating variable and the relationship between sustainable supply chain flexibility and circular economy-target performance. Design/methodology/approach A cross-sectional survey was performed and data was collected from 760 employees of Indian firms. Covariance-based structural equation modelling was applied to perform the path analysis to determine a firm’s capabilities in shaping sustainable supply chain flexibility and enhancing circular economy target performance. Findings Drawing upon dynamic capability theory, it was first established that engagement capability has a positive and significant influence on alliance capability, whilst data analytics capability played a partial mediating role. Second, it was established that alliance capability and data analytics capability significantly affect sustainable supply chain flexibility, whilst industry dynamism played a moderating role. Finally, it was clear that sustainable supply chain flexibility had a significant and positive effect on circular economy target performance, ultimately enhancing sustainability. Originality/value This study advances the circular economy literature by recommending that firms must consider some critical operational level capabilities to develop their dynamic capability, i.e. sustainable supply chain flexibility, to better meet the competitive market conditions in turbulent business environments.

scholarly journals Improving retail supply flexibility using buyer-supplier relational capabilities

2017 ◽  
Vol 37 (3) ◽  
pp. 343-362 ◽  
Author(s):  
Raymond Obayi ◽  
S.C. Koh ◽  
David Oglethorpe ◽  
Seyed M. Ebrahimi
Keyword(s):  
Supply Chain ◽  
Supplier Relationships ◽  
Chain Flexibility ◽  
Content Type ◽  
Mediating Role ◽  
Supply Chain Flexibility ◽  
And Performance ◽  
Relational Capabilities ◽  
Practical Implications

Purpose The purpose of this paper is to investigate the mediating role of three important relational capabilities – absorptive capacity (AC), transactive memory systems (TMS), and organisational interoperability (OI); on the flexibility of buyer-supplier relationships and performance in retail supply chains. Drawing on the relational view of strategic management, the impact of relational capabilities on two forms of supply chain flexibility is examined – configuration flexibility (CF) for switching suppliers with minimal penalties, and planning and control flexibility (PCF) for altering supply schedules, quality, and delivery lead-time. Design/methodology/approach Strategic- and tactical-level managers from 211 retail stores in the UK were surveyed. The authors validated a measurement model with structural equation modelling and tested four hypotheses on the mediating role of relational capabilities on supply chain flexibility and retail performance, controlling for size, duration of relationship, and market segment. Findings Results showed that the three relational capabilities partially mediated the positive effect of CF and PCF on operational performance in big middle and niche retailers. Examining the interaction effect of the forms of flexibility on the relational capabilities and performance, the authors found positive interaction effects on TMS and OI but a non-significant effect on AC. Practical implications In addition to providing novel theoretical insights on supply chain flexibility, the findings have practical implications for supplier selection and buyer-supplier relationship management. Originality/value Overall, the study highlights the impacts of relational capabilities on adopted operational strategies such as flexibility, buyer-supplier relationships, and retail performance.

Mediating role of process simplification in process integration and upstream supply chain flexibility

2018 ◽  
Vol 67 (5) ◽  
pp. 825-844 ◽  
Author(s):  
Gaurav Goyal ◽  
Harsh Vardhan Samalia ◽  
Piyush Verma
Keyword(s):  
Supply Chain ◽  
Process Integration ◽  
Mediation Effect ◽  
Chain Flexibility ◽  
Content Type ◽  
Mediating Role ◽  
Supply Chain Flexibility ◽  
Management Commitment ◽  
Top Management Commitment

PurposeThe purpose of this paper is to investigate the mediating role of process simplification on the relationship between process integration and upstream supply chain flexibility in Indian automotive organizations.Design/methodology/approachThe three-step mediation analysis was performed using SPSS macro PROCESS to assess the mediating role of process simplification on the relationship between process integration constructs: top management commitment and supplier relationship; and upstream supply chain flexibility.FindingsThe results indicate a complete mediation effect of process simplification between supplier relationship and upstream supply chain flexibility, while partial mediation effect is noticed between top management commitment and upstream supply chain flexibility.Practical implicationsFor Indian automotive managers, the study suggests that for improving the upstream supply chain flexibility, organizations must have a strategy towards improving the simplification of supply chain processes by upgrading technology and providing training to their suppliers. This understanding will help the automotive managers to simplify their upstream supply chain processes for gaining competitive positioning and maximizing the organizational profit.Originality/valueThis study has considered the mediating role of process simplification (a relatively less studied variable) specifically in the context of its impact on upstream supply chain flexibility. Also, the presented study explores this role in the Indian automotive domain which further enhances its value for both practitioners and researchers alike.

The differentiated and ambidextrous influence of network flexibility on exploratory and exploitative partnership formations

2020 ◽  
Vol 50 (6) ◽  
pp. 577-599 ◽  
Author(s):  
Yi-Fen Huang ◽  
Lin-Hua Lu
Keyword(s):  
Supply Chain ◽  
Network Evolution ◽  
Annual Reports ◽  
Manufacturing Flexibility ◽  
Chain Flexibility ◽  
Content Type ◽  
Supply Chain Flexibility ◽  
Network Flexibility ◽  
Partnership Selection ◽  
The Impact

PurposeThe purpose of this study is to provide evidence on the impact of network flexibility and its ambidextrous influence on a firm's exploratory and exploitative partnership selection.Design/methodology/approachThe authors develop our hypotheses based on the literature of network flexibility and draw on a sample of publicly listed firms in Taiwan semiconductor and optoelectronics industries. The authors collect our data from survey questionnaires and archival sources and examine our hypotheses by using the generalized linear model (GLM) approach.FindingsThe authors’ empirical findings show that configuration flexibility has a greater influence on exploratory partnerships, while manufacturing flexibility has a greater impact on exploitative partnerships. In addition, when firms are ambidextrous (i.e. have both types of flexibility), they are able to simultaneously obtain both exploratory and exploitative partnerships. The authors’ findings indicate that balancing network flexibility is critical when firms execute ambidextrous alliance strategies.Research limitations/implicationsThe authors’ use of survey data to measure network flexibility may limit our observations related to network evolution. In addition, the authors’ use of public annual reports to capture firm partnerships may cause us to ignore informal relationships between partners.Practical implicationsThe authors’ empirical findings suggest that the types of partnerships firms develop depend on which types of flexibility they possess. The results further suggest that decision makers have to find a way to develop a balanced strategy between network configuration and manufacturing flexibility when they would like to develop an ambidextrous alliance strategy.Originality/valueThe authors’ study advances the understanding in the literature on supply chain flexibility and its ambidexterity by connecting network flexibility and ambidextrous alliance strategy. The authors offer a guide to supply chain managers in the area of network design.

Retail Supply Chain Flexibility: The Mediating Role of Inter-organizational Learning Drivers

2015 ◽  
Vol 2015 (1) ◽  
pp. 16659
Author(s):  
Raymond Obayi ◽  
Seyed Mohammad Ebrahimi ◽  
SC Lenny Koh ◽  
David Oglethorpe
Keyword(s):  
Supply Chain ◽  
Organizational Learning ◽  
Chain Flexibility ◽  
Mediating Role ◽  
Supply Chain Flexibility

Supply chain flexibility

2017 ◽  
Vol 28 (4) ◽  
pp. 964-1026 ◽  
Author(s):  
Jorieke H.M. Manders ◽  
Marjolein C.J. Caniëls ◽  
Paul W.Th. Ghijsen
Keyword(s):  
Supply Chain ◽  
Grey Literature ◽  
Point Of View ◽  
Comprehensive Overview ◽  
Chain Flexibility ◽  
Content Type ◽  
Business Studies ◽  
Supply Chain Flexibility ◽  
State Of Research ◽  
Number Of Publications

Purpose The conceptualization of flexibility in organizations historically emerged from three views which relate to economic, to organizational and to manufacturing perspectives. Despite the growing number of publications about supply chain flexibility in the area of supply chain management, there is a lack of consensus on how to define and to conceptualize supply chain flexibility from a management point of view. The purpose of this paper is to present a comprehensive overview of the literature on the supply chain flexibility perspective and contributes to our understanding of the current state of research and its future development. Design/methodology/approach The research methodology used is the systematic literature review. In total 92 articles were selected from databases of well-known journal publishers in the field of economics, business studies and management sciences as well as grey literature to cover the topic of supply chain flexibility. Findings A limited number of studies in the field of supply chain flexibility apply theories and define the term supply chain flexibility. Instead they focus on a particular part or dimension of the supply chain. Based on the analysis, a distinction is made between flexibility in the supply chain and supply chain flexibility. Based on the function and characteristics of the supply chain, the authors selected 30 flexibility dimensions that cover supply chain flexibility by concentrating on the different business areas involved. Research limitations/implications The results support researchers and practitioners by identifying relevant trends and gaps in the field of supply chain flexibility. Originality/value The authors review the dimensions and aspects of supply chain flexibility that are currently taken into account in the literature. In this way, the authors provide an overarching perspective on the flexibility literature relating to supply chains.

Demand-supply balancing in manufacturing operations

2016 ◽  
Vol 23 (3) ◽  
pp. 564-583 ◽  
Author(s):  
Joakim Coker ◽  
Petri Helo
Keyword(s):  
Supply Chain ◽  
Inventory Management ◽  
Demand Management ◽  
Chain Structure ◽  
Manufacturing Companies ◽  
Chain Flexibility ◽  
Content Type ◽  
Manufacturing Operations ◽  
Supply Chain Flexibility ◽  
Supply Chain Structure

Purpose – Demand-supply balancing (DSB) strategies and approaches are becoming increasingly important for manufacturing and operations. The purpose of this paper is to analyze practices of manufacturing companies and how they balance demand/supply in operations. Design/methodology/approach – Questionnaire-based interview has been conducted at 20 largest companies having manufacturing/operations in Finland. Findings – Supply chain structure, flexibility, demand management, capacity management, inventory management and revenue management are perceived as key practices for DSB. Research limitations/implications – The results show importance of supply chain-related parameters such as supply chain flexibility and inventory management in addition to production planning and control. The study is delimited to Finland companies but it gives an idea how decision making in operations generally can be perceived. Practical implications – DSB actions should be connected to operations strategy and long-term planning of the company. Originality/value – DSB is a strategic-level operations question which has an impact on several functions of supply chain.

Mediating and non-linear relationships among supply chain integration dimensions

2018 ◽  
Vol 48 (7) ◽  
pp. 698-723 ◽  
Author(s):  
Macarena Sacristán-Díaz ◽  
Pedro Garrido-Vega ◽  
José Moyano-Fuentes
Keyword(s):  
Supply Chain ◽  
Information Integration ◽  
Structural Equation ◽  
Financial Integration ◽  
Supply Chain Integration ◽  
External Information ◽  
Content Type ◽  
Linear Relationships ◽  
Non Linear ◽  
Internal Integration

Purpose The purpose of this paper is to analyse the relationships between the different dimensions of supply chain integration (SCI). First, the sequence in which these dimensions should be implemented and some possible mediating effects are investigated. Then, relationships are examined more closely to observe whether they present more complex non-linear forms than those usually analysed. Design/methodology/approach Required information was gathered from a sample of 477 Spanish industrial companies (23.4 per cent response rate). PLS structural equation modelling was applied to capture non-linear relationships between SCI dimensions. Findings The results indicate that internal integration leads to external integration and that within external integration, information flow integration provides the basis for financial flow integration and physical flow integration. Thus, the results suggest the existence of a logical sequence to achieve SCI. In addition, clearly different non-linear relationships are observed between the analysed variables. Practical implications It seems that a sufficient minimum value has to be reached for internal integration to have a positive effect on external information and financial integration. In addition, a higher degree of information integration appears to facilitate financial and physical integration, although a medium degree of information integration results in a lower degree of financial integration. Therefore, managers should not expect that efforts made to increase one integration dimension will always produce the same effect on the other dimensions. Originality/value An empirical contribution is made to knowledge of the logical SCI sequence. This contribution is not only important for academia, but also for managers seeking to improve supply chain performance through integration.

scholarly journals The impact of collaborative decision-making on logistics service performance for container shipping services

2020 ◽  
Vol 5 (2) ◽  
pp. 175-191
Author(s):  
Po-Lin Lai ◽  
Dong-Taur Su ◽  
Hui-Huang Tai ◽  
Ching-Chiao Yang
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Information Integration ◽  
Service Performance ◽  
External Information ◽  
Container Shipping ◽  
Collaborative Decision Making ◽  
Content Type ◽  
Logistics Service ◽  
Collaborative Decision

Purpose The increasing demand for high-quality logistics services has forced container shipping firms to decrease logistics service failure to retain the customers. This study thus aims to apply organizational information processing theory (OIPT) to construct a maritime supply chain collaborative decision-making model and examine its impact on logistics service performance. Design/methodology/approach In total, 142 usable questionnaires were collected from questionnaire survey. A two-step structural equation modeling approach including confirmatory factor analysis was subsequently performed to test the hypotheses. Findings The results show that internal information integration positively impacts external information integration, that external information integration positively impacts collaborative decision-making, and that collaborative decision-making positively impacts logistics service performance for container shipping firms. However, a relationship between internal information integration and collaborative decision-making was not found in this study. Research limitations/implications This study primarily examines collaborative decision-making from the view of container shipping firms. Future research including other supply chain members is needed to generalize the results and could also incorporate other factors such as relationship quality and culture, into the model to address this issue. Practical implications To decrease the occurrence of logistics failures and improve service quality in the maritime logistics process, it is suggested that container shipping firms apply information technology for acquiring and assimilating logistics information internally and externally across the supply chain to facilitate decision-making. Originality/value This study contributes to the knowledge about the antecedents and impacts of collaborative decision-making for container shipping firms in Taiwan. Particularly, in line with OITP, the findings indicate that container shipping firms can facilitate logistics decision-making and strategy formulation through information integration, which in turn enhances logistics service performance.

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