The mediating effect of supply chain flexibility on the relationship between supply chain integration and supply chain performance

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Anurodhsingh Khanuja ◽  
Rajesh Kumar Jain

PurposeSupply chain integration (SCI) and flexibility (SCF) are recognised as crucial business practices and capability in the global competitive market. However, limited research has paid attention to study the relationship between SCI, SCF and their impact on supply chain performance (SCP). Therefore, the purpose of this paper is to establish a relationship between integration, flexibility and performance.Design/methodology/approachThe structural equation modelling technique was used to analyse the 187 data collected from Indian organisations through the survey methodology.FindingsFindings indicate that external integration contributes significantly to realise SCF and SCP. Sourcing and logistics flexibility also help to improve the SCP. The mediation analysis showed that the association of customer and supplier integration with SCP is partially and fully mediated by logistics flexibility, respectively. This study suggests that integration influences the SCP when the firm has a strong association with downstream partners and enough capability for logistics flexibility.Research limitations/implicationsThe study has collected cross-sectional data to analyse the relationship between SCI, SCF and SCP. However, as integration requires an effort of the years, longitudinal data and industry-specific studies may provide comprehensive views to validate the results of this study.Originality/valueBuilding on relational view theory and dynamic capability theory, the study has proposed the SCP assessment framework based on the relationship between SCI and SCF.

2015 ◽  
Vol 20 (1) ◽  
pp. 24-41 ◽  
Author(s):  
Zhi Cao ◽  
Baofeng Huo ◽  
Yuan Li ◽  
Xiande Zhao

Purpose – This study aims to bridge the gap in understanding the effects of organizational culture on supply chain integration (SCI) by examining the relationships between organizational cultures and SCI. The extant studies investigating the antecedents of SCI focus mainly on environments, interfirm relationships and other firm-level factors. These studies generally overlook the role of organizational culture. The few studies that do examine the effects of organizational culture on SCI show inconsistent findings. Design/methodology/approach – By placing organizational culture within the competing value framework (CVF), this study establishes a conceptual model for the relationships between organizational culture and SCI. The study uses both a contingency approach and a configuration approach to examine these proposed relationships using data collected from 317 manufacturers across ten countries. Findings – The contingency results indicate that both development and group culture are positively related to all three dimensions of SCI. However, rational culture is positively related only to internal integration, and hierarchical culture is negatively related to both internal and customer integration. The configuration approach identifies four profiles of organizational culture: the Hierarchical, Flexible, Flatness and Across-the-Board profiles. The Flatness profile shows the highest levels of development, group and rational cultures and the lowest level of hierarchical culture. The Flatness profile also achieves the highest levels of internal, customer and supplier integration. Research limitations/implications – This study is subject to several limitations. In theoretical terms, this study does not resolve all of the inconsistencies in the relationship between organizational culture and SCI. In terms of methodology, this study uses cross-sectional data from high-performance manufacturers. Such data cannot provide strong causal explanations, but only broad and general findings. Practical implications – This study reminds managers to consider organizational culture when they implement SCI. The study also provides clues to help managers in assessing and adjusting organizational culture as necessary for SCI. Originality/value – This study makes two theoretical contributions. First, by examining the relationships between organizational culture and SCI in a new context, the findings of the study provide additional evidence to reconcile the previously inconsistent findings on this subject. Second, by departing from the previous practice of investigating only particular dimensions of organizational culture, this study adopts a combined contingency and configuration approach to address both the individual and synergistic effects of all dimensions of organizational culture. This more comprehensive approach deepens our understanding of the relationship between organizational culture and SCI.


2019 ◽  
Vol 69 (6) ◽  
pp. 1205-1225 ◽  
Author(s):  
Scott Dellana ◽  
John F. Kros ◽  
Mauro Falasca ◽  
William J. Rowe

Purpose The purpose of this paper is to explore the mediating effect of supply chain risk management integration (RMI) on the relationship between supply chain logistics performance (LP) and supply chain cost performance (CP), as well as on the relationship between LP and supply chain service performance (SP). The impact of CP and SP on overall firm performance (FP) is also explored. ISO 9001-certified firms and non-certified firms are assessed to determine whether superior risk-based thinking, as required in the latest ISO 9001 standard, has a positive impact on the different relationships. Design/methodology/approach A theoretical model is developed and tested based on the participation of 140 supply chain managers. The proposed structural equation model positively relates LP, RMI, CP and SP. RMI is positively linked to CP and SP, while CP and SP are positively related to overall FP. Two subsamples (a group of 63 ISO 9001-certified firms and a group of 77 non-certified firms) are used to evaluate the model. Findings For certified and non-certified firms, LP is positively related to RMI, CP and SP, and SP and CP are positively related to FP. However, for certified firms, RMI partially mediates the relationship of LP with both CP and SP, while for non-certified firms, RMI does not mediate these relationships. The findings suggest that ISO 9001-certified firms are able to leverage RMI efforts to impact positively on supply chain performance, whereas non-certified firms are not. Research limitations/implications The study findings are based on the perceptions of managers. Even though the majority of the 63 certified firms included in this study were ISO 9001:2015 certified, the model results do not differentiate between companies certified to the 2008 version of the standard and the 2015 version (which specifically requires demonstration of risk-based thinking). Practical implications This study suggests that ISO 9001 provides a framework for risk management processes and collaboration with supply chain partners to positively impact the relationship of LP with cost and SP. Originality/value This is one of the first studies to characterize the benefits of using a structured approach for risk-based thinking that is associated with ISO 9001.


2019 ◽  
Vol 12 (2) ◽  
pp. 254 ◽  
Author(s):  
Mohamed Errassafi ◽  
Hassan Abbar ◽  
Zahra Benabbou

Purpose: This paper aims to explain the direct effect of supply chain integration on operational performance of manufacturing companies and the mediating effect of internal integration on the relationship between external integration and operational performance.Design/methodology/approach: From an organizational capabilities perspective we consider internal integration as a set of intra-organizational capabilities and customer integration and supplier integration as a set of inter-organizational capabilities. In the basis of a sample of 75 Moroccan manufacturing companies, we used PLS – Structural Equation Modeling to study the direct effect of customer integration, internal integration and supplier integration on operational performance of manufacturers and to analyze the mediating effect of internal integration. Findings: The results show that customer integration, internal integration and supplier integration are all positively and significantly related to operational performance of the manufacturer and internal integration mediates relationship between costumer integration and operational performance but not relationship between supplier integration and operational performance.     Research limitations/implications: This study focuses on a set of best practices for integrating flows and business processes that industrial companies need to implement in order to create value for final consumer and show how to use internal integration practices to benefit more from external integration.Originality/value: The result of this study extends the developing body of literature on supply chain integration by analyzing the effect of interaction between internal and external integration on the operational performance towards an organizational capabilities perspective in a specific Moroccan industrial context.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yang Cheng ◽  
Sami Farooq ◽  
Muhammad Shakeel Sadiq Jajja

PurposeThis paper aims to investigate the moderating effects of the role a plant plays in a manufacturing network on the relationships between its level of integration with other plants in the same manufacturing network (referred as “internal manufacturing network integration” in this paper), its interactions with suppliers/customers (referred as “external supply chain integration” in this paper), and its operational performance.Design/methodology/approachThis paper is based on the data from the sixth version of International Manufacturing Strategy Survey (IMSS VI). Specifically, this paper uses a subset of the IMSS VI data set from the 606 plants that identified themselves as one of the plants in a manufacturing network.FindingsThe results demonstrate plant role has a moderating effect on the relationship between internal manufacturing network integration and external supply chain integration, but not on the relationship between external supply chain integration and operational performance. Our research also highlights that plant role moderates the mediating effect of external supply chain integration on the relationship between internal manufacturing network integration and operational performance. More importantly, it indicates that if a plant wants to significantly increase its operational performance, it will have to strengthen its linkages with supply chain partners, no matter which role it plays in manufacturing network.Originality/valueThis paper supplements the existing research by developing further understandings on the relationship between internal manufacturing network integration, external supply chain integration and operational performance. Specifically, it examines the influence of plant role on such relationship and reveals the essence about in what context (in terms of plant characteristics) internal manufacturing network integration influences the operational performance of a plant in a manufacturing network through external supply chain integration.


2019 ◽  
Vol 25 (7) ◽  
pp. 1587-1611
Author(s):  
Jorge Tarifa-Fernández ◽  
Jerónimo de-Burgos-Jimenez ◽  
José Cespedes-Lorente

Purpose The purpose of this paper is to explore and advance on existing knowledge regarding supply chain integration (SCI) and absorptive capacity (AC). On the one hand, new elements, such as high-performance human resource practices (HPHRP) and internal integration (II) are proposed to foster AC within the supply chain. On the other hand, the study proposes a model and hypotheses to analyze the moderating effect of AC on the relationship between external SCI and supply chain performance. Design/methodology/approach Four hypotheses are formulated based on relevant literature. Data were collected from the horticultural marketing sector, using two different sources, a survey and archival data. A total of 99 responses were analyzed. Hierarchical multiple regressions were carried out to test the proposed hypotheses. Findings The results confirm that HPHRP are a crucial element when trying to increase the level of AC. In addition, the results show that AC has a moderating effect on the relationship between SCI and supply chain performance (both economic and financial). AC moderates the relationship between customer integration and economic performance. Originality/value This study examines the potential causes for the differences that exist in a firm’s ability to develop AC. Thus, on the one hand, HPHRP and II are proposed as triggers of AC, and on the other, AC is proposed as a moderator in the relationship between SCI and performance.


2018 ◽  
Vol 7 (4.7) ◽  
pp. 424 ◽  
Author(s):  
Rashid Ahmed Khamis al Naqbi ◽  
Rosman Bin MD Yusoff ◽  
Fadillah Binti Ismail

Sustainability is becoming a more important factor in the processes of organizations. Supply chains management (SCM) has acknowledged a great deal of interest by researchers and practitioners. The primary objective of the current research paper is to examine the relationship between internal integration and sustainable supply chain performance. In addition to that, the study has focused on the mediating effect of supplier integration and customer integration in the relationship between key between internal integration and sustainable supply chain performance. The study focuses on manufacturing enterprises of UAE under subject investigation and its relationship with sustainability goals. A detailed literature has been reviewed critically to develop the hypothesis of the study. A questionnaire survey was adopted to collect data from supply chain managers of manufacturing companies. Smart PLS 3 (SEM) is used to analyze the collected data. The results of the study have shown a great deal of agreement with the proposed hypothesis. Analysis of the study is divided into two major parts. Part one is based on an outer model assessment in which reliability and validity were examined. The second part is based on an inner model assessment in which hypotheses were tested. The result of the study will be useful for policymakers and researchers in understanding the emerging role of environmental concerns in strategic management and operational management.   


2016 ◽  
Vol 23 (6) ◽  
pp. 1445-1471 ◽  
Author(s):  
Veera Pandiyan Kaliani Sundram ◽  
VGR Chandran ◽  
Muhammad Awais Bhatti

Purpose – The purpose of this paper is to employ a newly developed framework to examine the complex relationship between different components of supply chain practices, supply chain integration (SCI) and supply chain performance (SCP) in the Malaysian electronics sector. Design/methodology/approach – This study utilizes survey data of 156 electronics firms in Malaysia and tested the research framework and hypotheses. In addition to the traditional approach of Barron and Kenny (1986), the Sobel test as well as a bootstrapping approach, which is deemed for small sample size, is used to formally test the indirect effects of SCI in the model. Findings – SCI has fully and partially mediated the relationship between supply chain management practices (SCMPs) and SCP. SCI fully mediates the relationship between SCP and three of the SCMPs, namely, information quality, agreed vision and goals and postponement strategies. The relationship of supply strategic partnership, customer relation management, information sharing with SCP were partially mediated by SCI. Risk and reward sharing is found to be non-significant. These insights allow managers to effectively utilize the different components of SCMPs for SCI and performance. Practical implications – For supply chain practitioners, the results of the study can be useful in integrating SCMPs and SCI on improving SCP. Practitioners should take into account the mediating effect of SCI in designing their supply chain management approach to production. Originality/value – To the authors’ best knowledge, this paper is one of the first to address the mediating effect of SCI between SCMPs and overall performance of the supply chain.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ai-Hsuan Chiang ◽  
Ming-Yuan Huang

PurposeRapid response is often the cornerstone of success in many industries, especially manufacturing. In the authors’ opinion, organizational structure will also affect the construction of a fast-response supply chain system. The main purpose of this research examines whether different levels of organizational structure have different effects on the relationship between external integration and firm performance.Design/methodology/approachThis study applied questionnaires to collect data. This study collected 818 questionnaires from manufacturers in China, Hong Kong and Taiwan to verify our proposed model using structural equation modeling.FindingsResults show that response speed perfectly mediates the relationship between external integration and firm performance. Different levels of organizational structure will also affect external integration. Strict organizational structure requires customer integration, while loose organizational structure requires supplier integration to quickly meet customer needs.Practical implicationsCompanies can probably determine whether their organizational structure is higher or lower than that of their competitors. If firms can determine that their organization structure is high or low, they can adopt suitable external integrations to enhance quick response and operational performance.Originality/valueIn the relationship between supply chain integration and performance, we consider a mediating variable and moderating variable together. Results explain the reason that the relationship between supply chain integration and performance are inconsistent in previous studies. We have addressed external integration in alignment with organizational structure to provide better service and enhance performance by providing empirical evidence.


2017 ◽  
Vol 24 (3) ◽  
pp. 594-616 ◽  
Author(s):  
Heba Fawzi Ayoub ◽  
Ayman Bahjat Abdallah ◽  
Taghreed S. Suifan

Purpose The purpose of this paper is to investigate the effect of supply chain integration (SCI) in terms of supplier integration, customer integration, and internal integration on knowledge management (KM) and technical innovation (TI). The study also investigates the effect of KM on TI. Furthermore, the mediating effect of KM on the relationship between SCI and TI is investigated. Design/methodology/approach Study model and hypotheses were developed based on literature review. The study is based on survey data collected from 217 Jordanian manufacturing companies in electrical, electronics, machinery, and mechanical appliances industries. Exploratory factor analysis and confirmatory factor analysis were applied to assess construct validity. Direct and indirect effects were tested using structural equation modeling and bootstrap re-sampling technique. Findings The results reveal that supplier integration and customer integration have positive effects on KM and TI, while internal integration has not. Also, KM has a positive effect on TI. In addition, KM mediates supplier integration-TI and customer integration-TI relationships, while does not mediate internal integration-TI relationship. Originality/value Most existing studies examined the effect of KM on SCI and supply chain management. This study argues and empirically demonstrates that SCI contributes to KM capability of manufacturing companies. Moreover, this is one of the first studies to investigate the mediating role of KM on SCI-TI relationship. The paper provides evidence that external integration is superior to internal integration in enhancing KM and TI.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Qiang Lu ◽  
Jinliang Chen ◽  
Hua Song ◽  
Xiangyu Zhou

Purpose The purpose of this study is to examine how cloud computing assimilation reduces supply chain financing (SCF) risks of small and medium enterprises (SMEs). This study also investigated the mediating roles of internal and external supply chain integration between cloud computing assimilation and the SCF risks of SMEs, as well as the moderating role of environmental competitiveness. Design/methodology/approach Data was collected from surveys of SMEs located in China. Multiple regression analysis was used to validate the proposed theoretical model and research hypotheses. Findings The findings show that cloud computing assimilation could reduce the SCF risks of SMEs directly. The results also indicate that both internal and external supply chain integration mediate the relationship between cloud computing assimilation and SCF risks. Furthermore, environmental competitiveness inhibits the effects of cloud computing assimilation on SCF risks. Originality/value To our best knowledge, this is the preliminary study to explore the role of cloud computing assimilation in reducing the SCF risks of SMEs. Also, this study attempted to investigate the process by which cloud computing assimilation affects the SCF risks of SMEs.


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