Supply chain integration and its impact on supply chain agility and organizational flexibility in manufacturing firms

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ahmad Azwan Ahmad Shukor ◽  
Md. Shah Newaz ◽  
Muhammad Khalilur Rahman ◽  
Azni Zarina Taha
Keyword(s):  
Supply Chain ◽  
Environmental Uncertainty ◽  
Manufacturing Firms ◽  
Partial Least Square ◽  
Supply Chain Integration ◽  
Equation Modeling ◽  
Organizational Ambidexterity ◽  
Organizational Flexibility ◽  
Content Type ◽  
Supply Chain Agility

PurposeThis study investigates the impact of environmental uncertainty and organizational ambidexterity on supply chain integration and its relationship between supply chain agility and organizational flexibility in the manufacturing firms.Design/methodology/approachThe data were collected from 526 managers in services and manufacturing industry in Kuala Lumpur. The partial least square (SmartPLS 3.0) tool was applied through the use of the structural equation modeling (SEM) technique.FindingsThe results revealed that a strong relationship exist between environmental uncertainty and supply chain integrations including customer, supplier and internal integration. Organizational ambidexterity has a significant relationship with supply chain integration. Supply chain integrations were shown to have a positive impact on the firm's supply chain agility and organizational flexibility.Originality/valueThe findings may assist to establish a set of key drivers for enhancing supply chain agility and organizational flexibility as a supply chain management initiative in the manufacturing and service industry.

Environmental uncertainty and supply chain performance: the effect of agility

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
R. Anthony Inman ◽  
Kenneth W. Green
Keyword(s):  
Supply Chain ◽  
Environmental Uncertainty ◽  
Agile Manufacturing ◽  
Equation Modeling ◽  
Alternative View ◽  
Supply Chain Performance ◽  
Content Type ◽  
Supply Chain Agility ◽  
Study Results ◽  
The Relationship

PurposeToday's businesses are facing a world that is more complex, turbulent and unpredictable than in the past with increasing levels of environmental complexity. Rather than proposing environmental uncertainty as a mediator/moderator of the relationship between agility and performance as others have done, the authors offer an alternative view where supply chain agility is seen as mediating the relationship between environmental uncertainty and supply chain performance.Design/methodology/approachThe authors propose that supply chain agility is a response to the effects of environmental uncertainty and, as such, environmental uncertainty should be seen as a driver of supply chain agility. Few studies test the direct relationship between uncertainty and supply chain performance, and none simultaneously test for agility's mediation and moderation effect between environmental uncertainty and agility.FindingsThe model was statistically assessed using partial-least-squares structural equation modeling (PLS/SEM) by analyzing survey data from manufacturing managers in 136 US firms. The study results did not indicate a significant relationship between environmental uncertainty and supply chain performance. However, the authors did find a significant positive relationship between agile manufacturing and supply chain performance using measures that were primarily operations-centered rather than financial. Additionally, the authors found that agile manufacturing fully mediates the relationship between environmental uncertainty and supply chain performance.Originality/valueThe authors’ model, though simple, provides a base for future research for them and other researchers who can incorporate other impacting variables into the model. The study results show that uncertainty can be a force for good and that utilizing agile manufacturing can be a new source of opportunity.

Drivers of supply chain integration and the role of organizational culture

2016 ◽  
Vol 22 (1) ◽  
pp. 89-115 ◽  
Author(s):  
Erlinda N. Yunus ◽  
Suresh K. Tadisina
Keyword(s):  
Organizational Culture ◽  
Supply Chain ◽  
Firm Performance ◽  
Manufacturing Firms ◽  
Supply Chain Integration ◽  
Equation Modeling ◽  
Content Type ◽  
The Impact ◽  
The Relationship

Purpose – Supply chain integration (SCI) is a set of practices driven by many factors and circumstances. The purpose of this paper is to examine firms’ internal and external drivers of SCI, evaluate the impact of the integration on firm performance, and further investigate the moderating role of organizational culture in strengthening the relationships between firms’ drivers and SCI. Design/methodology/approach – For the purpose of this study, manufacturing firms were identified as the focal firms in supply chains, and thus data were collected through a survey of 223 Indonesian-based manufacturing firms. Two informants from each firm became the respondents. Structural equation modeling was used to analyze the data. Findings – This study confirmed the positive relationship between SCI and firm performance. The results also indicated that internal driver, or specifically firms’ customer orientation (CO), triggered the initiation of SCI. Organizational culture, in terms of external focus, positively influenced the relationship between CO and SCI. Research limitations/implications – This study illustrates the important role of organizational culture in determining the shape of the relationship between firms’ drivers and SCI. The results of this study enhance the understanding of SCI, especially related to types of organizational culture that could promote the integration. Originality/value – This study brings a different dimension of SCI as this study provides evidence from a developing country, which might implement different practices as compared those of developed countries. This study provides a measure of internal drivers, which has not been empirically investigated. The new measure was tested and validated using a rigorous process, and thus could be employed in other studies with different settings.

Developing model to analyze factors affecting firms’ agility and competitive capability

2019 ◽  
Vol 14 (2) ◽  
pp. 476-491 ◽  
Author(s):  
Waqar Ahmed ◽  
Arsalan Najmi ◽  
Yusra Mustafa ◽  
Asif Khan
Keyword(s):  
Supply Chain ◽  
Service Industries ◽  
Partial Least Square ◽  
Equation Modeling ◽  
Learning Orientation ◽  
Chain Flexibility ◽  
Content Type ◽  
Competitive Capabilities ◽  
Agile Supply Chain ◽  
Supply Chain Agility

PurposeThe purpose of this study was to investigate and explain the factors contributing to supply chain agility in service-oriented firms and therein to enhance competitive capabilities of the organization. The study has identified various variables from past studies that support firms in developing agile supply chain operations. Factors identified from prior studies are supply chain flexibility, supply chain visibility, supply chain responsiveness, supply chain speed and learning orientation, which were then empirically tested for further understanding.Design/methodology/approachUsing purposive sampling, a sample of 217 valid responses was gathered through structured questionnaire from supply chain practitioners working in various service industries of Pakistan. Partial least square-structural equation modeling was used for data analysis.FindingsThe results of the study show that learning orientation and flexibility of the service firm highly complement the goal of achieving agility in their operations. Speed and visibility also have a major impact on developing agile supply chain. Moreover, supply chain agility has a significantly positive impact on competitive capabilities.Originality/valueThis research is about investigating the operational agility of services sector, which is a one-off study especially in the context of developing and competitive market. This research will provide important insights into the context of dynamic capabilities view for policymakers and decision-makers who aim to develop their competitive strategies based on their operational agility.

scholarly journals Learning orientation and innovation performance: the mediating role of operations strategy and supply chain integration

2020 ◽  
Vol 25 (4) ◽  
pp. 457-474 ◽  
Author(s):  
Vikas Kumar ◽  
Younis Jabarzadeh ◽  
Paria Jeihouni ◽  
Jose Arturo Garza-Reyes
Keyword(s):  
Supply Chain ◽  
Structural Equation ◽  
Manufacturing Firms ◽  
Innovation Performance ◽  
Supply Chain Integration ◽  
Equation Modeling ◽  
Learning Orientation ◽  
Operations Strategy ◽  
Content Type ◽  
Strategy Types

Purpose The purpose of this study is to explore the effect of operations strategy (cost, quality, flexibility and delivery) and supply chain integration on innovation performance under influence of learning orientation. Design/methodology/approach Taking a quantitative and deductive approach, a conceptual framework was developed and tested by analyzing data gathered through survey questionnaire from 243 UK manufacturing firms using structural equation modeling. Findings The findings show that learning orientation influences operations strategy and supply chain integration, but it does not have a direct impact on innovation performance. Additionally, quality and flexibility strategies affect innovation performance and supply chain integration positively, while cost and delivery strategies do not have a significant effect on these variables. Research limitations/implications Operations strategy types (cost, quality, flexibility and delivery) were studied as distinct variables, whereas supply chain integration also has several dimensions but that has not been investigated separately in the present research. The findings are also based on limited 243 responses from UK manufacturing firms. Practical implications Innovation performance of manufacturing firms can be improved through a more integrated supply chain if managers embody flexibility and quality capabilities in their operations and become learning oriented. Originality/value The effect of supply chain integration on innovation performance and learning orientation on supply chain integration and operations strategy types have not been fully explored in literature. Also, having all four operations strategy types in a direct relation to supply chain integration and innovation performance is another original aspect of the current study.

Firm performance implications of supply chain integration, agility and innovation in agri-businesses: evidence from an emergent economy

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
George Augustus Benjamin Aggrey ◽  
Lawrence Yaw Kusi ◽  
Ebenezer Afum ◽  
Victoria Yaa Osei-Ahenkan ◽  
Christine Norman ◽  
...  
Keyword(s):  
Supply Chain ◽  
Structural Equation ◽  
Supply Chain Integration ◽  
Primary Data ◽  
Equation Modeling ◽  
Operating Cycle ◽  
Content Type ◽  
Mediating Role ◽  
Supply Chain Agility ◽  
Predictive Relationship

PurposeThis study empirically examines the effect of supply chain integration (SCI) on financial performance (FP) and controls for the mediating effects of supply chain agility (SCA), supply chain (SC) innovation and operational performance (OP).Design/methodology/approachThrough a causal research design, structured questionnaires were used for primary data collection from 217 commercial poultry farms (CPFs) operating in the Bono Region of Ghana. Structural equation modeling was reflectively configured to test the formulated hypotheses.FindingsSCI causes a statistically significant moderate positive variance in OP in terms of cost-effectiveness, order fulfillment rate, operating cycle, inventory turns, business process innovation. SCI is an insignificant weak positive predictor of FP (growth in revenue, profit, return on investment, sales growth) of CPFs operating in Ghana. Furthermore, OP significantly and positively mediates the predictive relationship between SCI and FP. Again, SC innovation significantly mediates the predictive relationship between SCI and OP. However, SCA fails to significantly mediate the predictive relationship between SCI and OP.Research limitations/implicationsFocal firms' characteristics were ignored, although they may determine how SCI affects OP and FP in the presence of SCA and SC innovation.Originality/valueEmpirically, SCI has no direct impact on FP of CPFs but does so indirectly through the mediating role of OP.

The effect of high-involvement human resource management practices on supply chain integration

2015 ◽  
Vol 45 (8) ◽  
pp. 716-746 ◽  
Author(s):  
Baofeng Huo ◽  
Zhaojun Han ◽  
Haozhe Chen ◽  
Xiande Zhao
Keyword(s):  
Supply Chain ◽  
Resource Management ◽  
Human Resource Management ◽  
Human Resource ◽  
Estimation Method ◽  
Supply Chain Integration ◽  
Equation Modeling ◽  
High Involvement ◽  
Content Type ◽  
Hrm Practices

Purpose – Taking an interdisciplinary approach, the purpose of this paper is to combine concepts from human resource management (HRM) and supply chain management (SCM) fields and explore the effects of high-involvement HRM practices on supply chain integration (SCI). Design/methodology/approach – Using empirical survey data collected from ten countries, the authors examine the specific effects of three dimensions of high-involvement HRM practices – employee skills, incentives and participation – on three types of SCI – internal integration, supplier and customer integration. The authors use structural equation modeling and the maximum-likelihood estimation method to test the proposed relationships. Findings – The results confirm the overall relevancy of HRM to SCI. However, several proposed links are not supported by the data collected. Originality/value – This study makes both theoretical and managerial contributions by empirically examining the interface between HRM and SCI. More specifically, it examines the effects of different high-involvement HRM practices on different types of SCI. The findings will not only help researchers to better understand the interface, but will also guide managers in adjusting HRM practices to achieve desired operational goals.

An integrated model of supply chain resilience and its impact on supply chain performance under disruption

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shih-Jung Juan ◽  
Eldon Y. Li ◽  
Wei-Hsi Hung
Keyword(s):  
Supply Chain ◽  
Partial Least Square ◽  
Least Square ◽  
Equation Modeling ◽  
Manufacturing Companies ◽  
Cross Sectional ◽  
Content Type ◽  
Supply Chain Resilience ◽  
Structured Equation Modeling ◽  
Logistic Issue

PurposeThis study aims to explore the relationships among the five components of supply chain (SC) resilience (SCRES): visibility, velocity, flexibility, robustness and collaboration and their impacts on the SC performance under disruption (SCPUD).Design/methodology/approachFive SCRES components are identified from the literature review and data are collected using an web survey from 113 manufacturing companies in Taiwan. The data are analyzed by structured equation modeling with the partial least square solution. Two-stage least-squares (2SLS) regression was used to test the potential endogeneity of SC collaboration (SCC).FindingsThe results reveal that SCC is an exogenous driver of SCRES; it directly affects visibility, velocity, flexibility, robustness and SCPUD. Furthermore, SC flexibility is the only component of SC agility that directly affects SCPUD; it is influenced directly by SC velocity and indirectly by SC visibility through SC velocity. SC visibility is a vital agility component that positively influences SC velocity and SC robustness.Research limitations/implicationsThe data in this study are cross-sectional and the sample size of 113 is relatively small. The relationship between SC robustness and SCPUD needs a longer observation period to reveal. The logistic issue in the shortage of carriers caused by the pandemic has been overlooked.Practical implicationsA firm should enhance its collaboration and flexibility in the SC as they both are the critical antecedents of SC performance (SCP) during the disruption period.Originality/valueThis study integrates visibility, velocity, flexibility, robustness and collaboration into a complete framework of SCRES. The dependent variable, SCPUD, measures SC performance (SCP) under the disruption caused by the COVID-19 pandemic. It is the first study to investigate the associations of the six constructs in a research model.

Dynamic capabilities in the “new normal”: a study of organizational flexibility, integration and agility in the Peruvian coffee supply chain

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Edgar Ramos ◽  
Andrea S. Patrucco ◽  
Melissa Chavez
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Food Supply ◽  
Dynamic Capabilities ◽  
Partial Least Square ◽  
Least Square ◽  
Supply Chain Performance ◽  
Organizational Flexibility ◽  
Content Type ◽  
Food Supply Chains

Purpose Considering the unprecedented supply chain disruptions due to the COVID-19 pandemic, especially in the agri-food sector, the possession of dynamic capabilities (DCs) – particularly, the need for higher agility – seems to be the key to survival in highly uncertain environments. This study aims to use the dynamic capability view (DCV) theory to analyze how three key supply chain capabilities – organizational flexibility, integration and agility – should be combined to obtain the desired supply chain performance. Design/methodology/approach The authors designed a conceptual model in which the relationships between these three key capabilities and supply chain performance were hypothesized. The model was first tested through partial least square regression using survey data collected from 98 members of the Peruvian coffee supply chain. A fuzzy-set qualitative comparative analysis (fsQCA) was conducted to uncover how DCs could be combined in successful supply chain configurations. Findings The authors show that organizational flexibility is a driver of higher agility in agri-food supply chains, together with external and internal supply chain integration, that have a direct impact on agility, which positively affects supply chain performance. Higher levels of supply chain agility are necessary but insufficient to guarantee high performance, as sufficiency is reached when both integration (internal and/or external) and agility are present. Originality/value This study represents a pioneering attempt to apply the DCV theory to agri-food supply chains – characterized by many sources of uncertainty. All the DCs are included within the same model and the joint use of PLS regression and fsQCA provides evidence about the relationships between DCs and how they can empower agri-food supply to obtain the desired performance.

Supply chain integration and its impact on sustainability

2018 ◽  
Vol 118 (9) ◽  
pp. 1749-1765 ◽  
Author(s):  
Mingu Kang ◽  
Ma Ga (Mark) Yang ◽  
Youngwon Park ◽  
Baofeng Huo
Keyword(s):  
Supply Chain ◽  
Structural Equation ◽  
Management Practices ◽  
Social Performance ◽  
Supply Chain Integration ◽  
Equation Modeling ◽  
Content Type ◽  
New Perspective ◽  
And Performance ◽  
And Function

Purpose The purpose of this paper is to examine the role of supply chain integration (SCI) in improving sustainability management practices (SMPs) and performance. Design/methodology/approach Based on data collected from 931 manufacturing firms in multiple countries and regions, the authors conducted a structural equation modeling analysis to test the proposed hypotheses. Findings The findings suggest that supplier and customer integration are vital enablers for both intra- and inter-organizational SMPs. The results also reveal that both intra- and inter-organizational SMPs are significantly and positively associated with sustainability performance (i.e. economic, environmental and social performance) and function as complements to jointly enhance environmental and social performance. Originality/value This study incorporates SCI into the sustainability literature, providing a new perspective on sustainability and supply chain management research.

Supply chain integration and firm performance: an empirical study of Swedish manufacturing firms

2014 ◽  
Vol 24 (1) ◽  
pp. 20-31 ◽  
Author(s):  
Hooshang M. Beheshti ◽  
Pejvak Oghazi ◽  
Rana Mostaghel ◽  
Magnus Hultman
Keyword(s):  
Supply Chain ◽  
Financial Performance ◽  
Well Being ◽  
Survey Instrument ◽  
Global Market ◽  
Manufacturing Firms ◽  
Supply Chain Integration ◽  
Manufacturing Companies ◽  
Content Type ◽  
The Impact

Purpose – This article aims to explore the impact of supply chain integration on the financial performance of Swedish manufacturing firms. Design/methodology/approach – The literature review provided the foundation for the development of the survey instrument and hypotheses for the study. In addition, the survey instrument was tested by the experts in the field and modified before it was sent to the managers in the survey group. Findings – The findings show that supply chain integration at any level is beneficial to the financial well being of the firm. Companies with total supply chain integration reported the highest level of financial performance. Research limitations/implications – Data were collected from Swedish manufacturing firms without regard to the size of the firm. The results show that supply chain integration is beneficial at any level. Practical implications – The findings will assist managers with decisions regarding supply chain integration and its role as a critical factor in improving the financial performance of manufacturing companies. Originality/value – Limited empirical studies have been conducted in this area, especially in Sweden. This study provides insight for manufacturing managers with regard to the importance of supply chain management and the competitive nature of business in the global market.

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