Developing a model for supply chain agility and innovativeness to enhance firms’ competitive advantage

2019 ◽  
Vol 57 (7) ◽  
pp. 1511-1534 ◽  
Author(s):  
Chih-Jou Chen

Purpose Developing agility and innovativeness as dynamic capabilities are important for firms to sustain their competitive advantage in today’s global economy. The purpose of this paper is to develop and empirically test a framework to investigate how the supply chain agility and innovativeness are achieved through IT integration and trust in members of supply chain and how these, in turn, can enhance firms’ competitive advantage. Design/methodology/approach This research employs a survey method and data are collected from senior managers working in the supply chain or IT area. The model and hypotheses are tested utilizing data from 204 usable Taiwan manufacturing firms via structural equations modeling methodology. Findings The study demonstrates that both IT integration and trust in supply chain members significantly enhance supply chain agility and innovativeness, which in turn positively affect firm’s competitive advantage. The results indicate that IT integration and trust are antecedents and major joint partnership resources for improving supply chain agility and innovativeness. Research limitations/implications Data are collected from manufacturing industry in Taiwan and single respondent from each firm, the generalizability of current findings to other industries or countries should require additional investigation. Practical implications The study suggests that a firm should focus on IT integration and trust in supply chain members to achieve supply chain agility and innovativeness. To take advantage of supply chain agility and innovativeness, through maximizing firm’s competitive advantage, firms should continually adapt to the fast changing business environment and search for creative ways to satisfy new market needs. Originality/value Given the attention paid to supply chain agility and innovativeness in terms of importance to responding to business uncertainty and competitiveness, and more recently, as important capabilities in managing supply chain management, this paper investigates how IT integration and trust can contribute to supply chain agility and innovativeness. Provide evidence regarding the impact of IT integration and trust on agility of supply chains, innovativeness and competitive advantage.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Umair Manzoor ◽  
Sajjad Ahmad Baig ◽  
Muhammad Hashim ◽  
Abdul Sami ◽  
Hakeem-Ur Rehman ◽  
...  

PurposeIn today's global economy, developing supply chain agility (SCA) and lean practices (LP) as resource-based view and dynamic capabilities are essential for firms to sustain their competitive advantage (CA) and enhance their operational performance (OP). The purpose of this paper is to develop and empirically test a framework to investigate how CA is achieved through SCA and LP and how these, in turn, can enhance a firm's OP.Design/methodology/approachFor data collection, the authors adopted the survey method using self-administered questionnaires. Two-source survey data were collected in two rounds (separated by a two-month lag time) from supply chain managers, operational managers and general managers. The purpose of collecting data in two rounds was to reduce common-method bias. Likert scale (1–5) was used in the questionnaire. Smart PLS 3 and SPSS 23 were used for the data analysis purpose.FindingsSCA was found to directly and positively affect OP. LP also positively affected OP. In addition, CA fully mediated the relationship between SCA, LP and OP.Practical implicationsThis study encourages the managers of manufacturing firms to adapt LP and their supply chains (SCs) to become agile and leverage the advantages of their implementation to improve their OP and succeed in the market.Originality/valueThis study is one of the first to investigate the effect of SCA and LP on OP. Furthermore, the first study examines CA's mediating impact on the relationship between SCA, LP and OP.


2019 ◽  
Vol 57 (8) ◽  
pp. 2092-2112 ◽  
Author(s):  
Rameshwar Dubey ◽  
Angappa Gunasekaran ◽  
Stephen J. Childe

Purpose The purpose of this paper is to examine when and how organizations build big data analytics capability (BDAC) to improve supply chain agility (SCA) and gain competitive advantage. Design/methodology/approach The authors grounded the theoretical framework in two perspectives: the dynamic capabilities view and contingency theory. To test the research hypotheses, the authors gathered 173 usable responses using a pre-tested questionnaire. Findings The results suggest that BDAC has a positive and significant effect on SCA and competitive advantage. Further, the results support the hypothesis that organizational flexibility (OF) has a positive and significant moderation effect on the path joining BDAC and SCA. However, contrary to the belief, the authors found no support for the moderation effect of OF on the path joining BDAC and competitive advantage. Originality/value The study makes some useful contributions to the literature on BDAC, SCA, OF, and competitive advantage. Moreover, the results may further motivate future scholars to replicate the findings using longitudinal data.


2017 ◽  
Vol 40 (3) ◽  
pp. 254-269 ◽  
Author(s):  
Xun Li ◽  
Qun Wu ◽  
Clyde W. Holsapple ◽  
Thomas Goldsby

Purpose This paper aims to investigate the impact of three critical dimensions of supply chain resilience, supply chain preparedness, supply chain alertness and supply chain agility, all aimed at increasing a firm’s financial outcomes. In a turbulent environment, firms require resilience in their supply chains to prepare for potential changes, detect changes and respond to actual changes, thus providing superior value. Design/methodology/approach Using survey data from 77 firms, this study develops scales for preparedness, alertness and agility. It then tests their hypothesized relationships with a firm’s financial performance. Findings The results reveal that the three dimensions of supply chain resilience (i.e. preparedness, alertness and agility) significantly impact a firm’s financial performance. It is also found that supply chain preparedness, as a proactive resilience capability, has a greater influence on a firm’s financial performance than the reactive capabilities including alertness and agility, suggesting that firms should pay more attention to proactive approaches for building supply chain resilience. Originality/value First, this study develops a comparatively comprehensive definition for supply chain resilience and explores its dimensionality. Second, this study provides empirically validated instruments for the dimensions of supply chain resilience. Third, this study is one of the first to provide empirical evidence for direct impact of supply chain resilience dimensions on a firm’s financial performance.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Bharat Singh Patel ◽  
Murali Sambasivan

Purpose The purpose of this study is to critically examine the scholarly articles associated Murali Sambasivan with the diverse aspects of supply chain agility (SCA). The review highlights research insights, existing gaps and future research directions that can help academicians and practitioners gain a comprehensive understanding of SCA. Design/methodology/approach The present study has adopted author co-citation analysis as the research methodology, with a view to thoroughly investigating the good-quality articles related to SCA that have been published over a period of 22 years (1999-2020). In this study, 126 research papers on SCA – featuring diverse aspects of agility – from various reputed journals have been examined, analysed and assimilated. Findings The salient findings of this research are, namely, agility is different from other similar concepts, such as flexibility, leanness, adaptability and resilience; of the 13 dimensions of agility discussed in the literature, the prominent ones are quickness, responsiveness, competency and flexibility; literature related to SCA can be categorised as related to modelling the enablers, agility assessment, agility implementation, leagility and agility maximisation. This research proposes a more practical definition and framework for SCA. The probable areas for future research are, namely, impediments to agility, effective approaches to agility assessment, cost-benefit trade-offs to be considered whilst implementing agility, empirical research to validate the framework and SCA in the domain of healthcare and disaster relief supply chains. Practical implications This paper provides substantial insights to practitioners who primarily focus on measuring and implementing agility in the supply chain. The findings of this study will help the supply chain manager gain a better idea about how to become competitive in today’s dynamic and turbulent business environment. Originality/value The originality of this study is in: comprehensively identifying the various issues related to SCA, such as related concepts, definitions, dimensions and different categories of studies covered in literature, proposing a new definition and framework for SCA and identifying potential areas for future research, to provide deeper insights into the subject and highlight areas for future research.


2019 ◽  
Vol 42 (2) ◽  
pp. 290-310
Author(s):  
Xun Li ◽  
Clyde W. Holsapple ◽  
Thomas J. Goldsby

Purpose In today’s constantly evolving global business environment, multidivisional firms (MDFs) require an organizational structure for supply chain management (SCM) that facilitates the development of supply chain agility. This research aims to investigate what structural elements of an MDF’s SCM team contribute to supply chain agility. Design/methodology/approach A two-sample field study was conducted. Four MDFs with top-performing supply chains (Sample 1) were first studied to identify agility-supporting structural elements. Then, quantitative data from 35 MDFs with contrasting levels of supply chain agility (Sample 2) were collected to test the theoretical propositions advanced from Sample 1 findings. Findings The results reveal four structural elements that exert a positive impact on an MDF’s supply chain agility: hierarchical position of the divisional top supply chain executive, scope of divisional supply chain operations, hierarchical position of the top supply chain executive at the headquarters and scope of SCM coordination by the headquarters. Originality/value First, this study provides a comparatively comprehensive understanding of the SCM organization structure in MDFs. Second, this study is one of the first to provide empirically supported theoretical insights about the linkage between an MDF’s organizational structure for SCM and supply chain agility.


Author(s):  
Ivan Arana-Solares ◽  
Jose Machuca ◽  
Rafaela Alfalla-Luque

In the rapidly changing global business environment, it can be seen that supply chain designs based solely on efficiency and speed do not necessarily lead to a sustainable competitive advantage. According to Lee (2004), this can only be done if supply chains are designed to incorporate the Triple A: Agility, Adaptability and Alignment. Although Lee provided some examples, to date his claim has not been empirically tested, which is essential. A number of studies have looked at the three component parts of the Triple A separately, but as yet no studies have focused on all three Triple A components concurrently, or on the impact they have on business performance. The main aim of this chapter is to determine the dimensions and factors that characterize these variables, in order to empirically test the accuracy of Lee’s claim.


Kybernetes ◽  
2019 ◽  
Vol 48 (10) ◽  
pp. 2217-2236 ◽  
Author(s):  
Roya Dehgani ◽  
Nima Jafari Navimipour

PurposeThe impact of information technology (IT) on the agility of supply chain management (SCM) systems is very noticeable in the business world nowadays. Competition and constant changes, including product/technological innovations, decreasing product lifestyles and product proliferation, create pressure that affects the business environment. Organizations are required for answering the changes in the market to gain a competitive advantage and business success. The organizations are able to answer to unexpected market changes through supply chain market, and these changes are converted to business opportunities. Using IT to achieve the agility of SCM is one of the important factors to help the organizations. Therefore, the adoption of IT and its efficient implementation can improve the cooperation between supply chain agility through the rapid transfer, the distribution of accurate information and the use of information. This paper aims to investigate the impact of IT on the agility of SCM.Design/methodology/approachA total of 120 employees of the Golasal firm are involved in collecting data using a questionnaire. Measurements were performed in all questionnaires using a five-point Likert scale. The causal model is evaluated by structural equationmodeling technique, which is used to examine the reliability and validity of the model.FindingsThe results have shown that IT has positive influences on the agility of SCM systems. In addition, the obtained results have shown that four variables, namely, IT skills and knowledge, IT-based systems integration, IT infrastructure and design of global position system and geographic information systems, affect the agility of SCM systems.Originality/valueIn this paper, the agility of SCM systems is pointed out and the approach to resolve the problem is applied into a practical example. The presented model provides a complete framework to examine the impact of IT on the agility of SCM systems.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Johannes W.F.C. van Lieshout ◽  
Jeroen M. van der Velden ◽  
Robert J. Blomme ◽  
Pascale Peters

PurposeEstablishing a competitive advantage in today's dynamic environment involves optimizing an organization's exploration and exploitation strategy. This paper aims to explore how an open innovation strategy complements the organization's ambidextrous strategy in attaining a competitive advantage. Organizational ambidexterity and dynamic capability theories are also explored to investigate the impact of open innovation on the organization's ambidextrous strategy and competitive advantage – especially inbound and outbound open innovation.Design/methodology/approachThe authors conducted a systematic literature review using Boolean search techniques, which was focused on the research fields of the sub-areas of general management, strategy, innovation, organization studies, information management, entrepreneurship, international business, marketing, and economics, supplemented by the snowball technique.FindingsOrganizations that combine their ambidextrous strategy with open innovation attributes achieve a competitive advantage through developing their dynamic capabilities by which organizations change their value proposition. This study also shows that an ambidextrous strategy should no longer be viewed as a structural solution implemented by management, but also as a bottom-up intervention. Additionally, the authors found that the organization's dynamic capabilities establish a feedback loop, which changes the organization's ambidextrous strategy to resolve the efficiency–agility paradox.Originality/valuePrevious research has focused on strategic orientation; however, hardly any research has investigated how the interrelatedness of open innovation, organizational ambidexterity and dynamic capabilities support a competitive advantage. The authors present a conceptual model that inspires new research avenues.


2019 ◽  
Vol 32 (2) ◽  
pp. 519-547 ◽  
Author(s):  
Muhammad Irfan ◽  
Mingzheng Wang ◽  
Naeem Akhtar

Purpose The purpose of this paper is to emphasize the underlying mechanism through which firms can achieve supply chain agility and augment business performance from the vendor’s perspective. Design/methodology/approach Drawing on dynamic capability view and contingency theory, the study conceptualizes a moderated mediation model to investigate the underlying influence of process integration (PI), supply flexibility and product-related complexity on supply chain agility and the subsequent effect of supply chain agility on firm’s business performance. Survey data from a sample of 148 firms, in the garment manufacturing industry, in Pakistan were analyzed using partial least square methods. Findings The results revealed that supply flexibility (i.e. volume and mix) mediates the effect of PI on supply chain agility. Supply chain agility, in turn, influences a firm’s business performance. Furthermore, the competence‒capability framework is not consistent across the varying degrees of product complexity such as product complexity hinders the effect of supply flexibility on supply chain agility, whereas it amplifies the impact of PI on supply chain agility. The conditional indirect effects suggest that the indirect effect of PI on supply chain agility through supply flexibility becomes stronger when product complexity is high. Originality/value The study is novel in the context of an emerging economy to educate fashion vendors to tune their competencies and capabilities to regain the market share in the global market place.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lu Yang ◽  
Baofeng Huo ◽  
Min Tian ◽  
Zhaojun Han

PurposeDigitalization encourages the manufacturer to engage in inter-organizational technological activities (i.e. supplier IT integration and supply visibility) with its major supplier, which influences supply chain (SC) governance. This study tests a moderated mediation model that considers supplier IT integration and supply visibility as mediators between supply-side digitalization and supplier opportunism, and relational ties as a moderator in the relationship between inter-organizational technological activities and supplier opportunism.Design/methodology/approachOrdinary least square (OLS) regression is used to examine data from 200 firms in China describing their supply chain management (SCM) practices and perceived relationships with their major suppliers.FindingsSupply-side digitalization is positively related to supplier IT integration and supply visibility. Supply-side digitalization has a positive indirect effect on supplier opportunism through supplier IT integration but a negative indirect effect through supply visibility. Relational ties weaken the positive effect of supplier IT integration and the positive indirect effect of supply-side digitalization on supplier opportunism. Relational ties also weaken the negative effect of supply visibility and the negative indirect effect of supply-side digitalization on supplier opportunism.Originality/valueThis study enriches understanding of SC governance in the digital age by empirically confirming that digital transformation brings both challenges and opportunities to SC governance and by clarifying the interplay of relational governance and technological activities. In addition, this study contributes to the SC digitalization literature by empirically validating the role of digitalization in promoting inter-organizational technological activities, as well as by revealing its potential dark side.


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