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The Impact of Supply Chain Management Practices on Competitive Advantage and Organizational Performance
Abstract
Effective supply chain management (SCM) has become a potentially valuable way of securing competitive advantage and improving organizational performance since competition is no longer between organizations, but among supply chains. This research conceptualizes and develops five dimensions of SCM practice (strategic supplier partnership, customer relationship, level of information sharing, quality of information sharing, and postponement) and tests the relationships between SCM practices, competitive advantage, and organizational performance. Data for the study were collected from 196 organizations and the relationships proposed in the framework were tested using structural equation modeling. The results indicate that higher levels of SCM practice can lead to enhanced competitive advantage and improved organizational performance. Also, competitive advantage can have a direct, positive impact on organizational performance.
... As stated in the study by Li et al. [69], having a competitive advantage will enhance organizational success. Competitiveness's direct and beneficial impact on organizational performance is supported by Das and Hassan [29]. ...
... The indicators of competitive advantage adapted from previous research [29,30,69,72] are selling price (CA1), superior quality and on-time delivery (CA2), new products and innovations (CA3), product reliability and durability (CA4), and fast product development (i.e., time-to-market) (CA5). ...
... Organizational performance indicators adapted from previous research [29,69,72] consist of growth in sales and profit (OP1), increased market share (OP2), profit margin on sales (OP3), growth in ROI (OP4), operational efficiency and cost-saving (OP5). ...
Purpose
This research aims to study the impact of sustainable supply chain management on both competitive advantage and organizational performance in the Ethiopian manufacturing industry.
Design/methodology/approach
The objectives are achieved through collecting and analyzing data from 221 Ethiopian manufacturing industries. This research employs a quantitative approach, specifically descriptive and causal research methods. The data are collected by questionnaires administered directly to a sample of 221 respondents who are managers and supervisors in the manufacturing industry. In addition, data analysis was performed using structural equation modeling in the Smart-PLS Software version (SmartPLS 4.0).
Findings
The research reveals that SSCM substantially and positively impacts competitive advantage and organizational performance. Furthermore, statistical findings prove the connection between competitive advantage and organizational performance. Moreover, competitive advantage indirectly influences the relationship between SSCM and OP. The results suggest that successfully implementing SSCM can improve competitive advantage and OP.
Originality/value
Considering the triple-bottom-line approach and the mediating effects of competitive advantage, this study is the first to analyze the relationship between SSCM and manufacturing performance in Ethiopia. This study adds to the existing literature by providing empirical evidence on the impact of sustainable supply chain management (SSCM) on competitive advantage and organizational performance in the manufacturing industry of emerging markets.
Research limitations/implications
The research is based on a cross-sectional study, which may prevent the generalization of findings derived from the current study. The analyzed variable in this study quantified OP, which is widely recognized as a very dynamic concept.
... To achieve efficient SCM, firms must implement effective supply chain management practices (SCMPs), which include a set of coordinated activities aimed at optimizing supply chain efficiency and performance (Li et al., 2006). Prior studies highlight that SCMPs enhance logistics operations, supply chain (SC) efficiency, and overall firm performance (Fredendall et al., 2016;Gandhi et al., 2017). ...
... This is the process of getting rid of all the time and materials that are lost throughout the production process. A philosophy, work ethic, method, management idea, value, attitude, or ethos can all be considered lean (Li et al., 2006;Iranmanesh et al., 2019;Jum'a et al., 2022). ...
... The degree of supply chain partners in exchanging sensitive and private-classified information (Jum'a et al., 2021;Li et al., 2006). ...
Nowadays, the emphasis on sustainable performance highlights the necessity for resilience and innovation in tackling environmental and economic concerns within supply chain operations. Therefore, this study investigates the impact of six supply chain management practices (SCMPs) on organizational performance (OP) and environmental sustainability performance (ESP), along with the moderating role of supply chain dynamism. This research was conducted within medium and large export manufacturing firms in Jordan’s Garment, Textile, and Leather (GTL) sector, a pivotal export industry critical to the country’s economy. Data were gathered from 204 managers, employing an online self-administered questionnaire, using a quantitative research approach. The hypotheses were examined via structural equation modeling (SEM) through the SmartPLS software4. The findings reveal that ESP was significantly influenced by strategic supplier partnership and postponement. Additionally, the level of information sharing and internal lean practices were found to have a dual impact on both OP and ESP. Supply chain dynamism acted as a significant moderator only in the relationship between postponement and both OP and ESP. This study fills a significant gap in the GTL context in developing economies for export manufacturing firms that contribute to the current literature. What makes it original is its consideration of supply chain dynamism as a moderating variable and its context in an important sector for Jordan’s economy. In conclusion, the results present valuable implications for practitioners on developing custom SCMPs for sustainable and operational performance objectives in the dynamic supply chain context. Future studies should adopt probability sampling methods to improve the generalizability of the findings. Further, the findings should be confirmed by conducting a study on other exporting sectors or geographical areas to gain additional perspectives on the relationships between SCMPs, OP, and ESP.
... Many well-known American businesses have been seen adopting an integrated strategic approach to purchasing and logistics management, sometimes known as supply chain management (Tan et al., 2002). For the sake of enhancing the long-term performance of the individual companies and the supply chain, supply chain management is the systematic, strategic coordination of the traditional business functions and the tactics across these business functions within a particular company and across businesses within the supply chain (Li et al., 2004). Businesses must efficiently control their supply chains to enhance customer service and balance expenses and services if they want to gain a competitive edge (Althaqafi, 2020; Stevens, 1990). ...
... Improving efficiencies inside a company is insufficient; their complete supply chain must be made competitive (Li et al., 2004). Management studies and the education of worldwide companies have seen growing interest in supply chain management (Vollmann et al., 2000). ...
Focusing on Indian warehouses, this paper looks at how Material Handling Equipment (MHE) affects warehouse performance. The study assesses the dependability and validity of the relevant constructs using structural equation modelling. The data was collected from 142 samples i.e., employees working in warehouse companies in Bangalore, Chennai and Hyderabad cities in India. The findings show that although both MHE and warehouse performance constructs show reasonable internal consistency, warehouse performance shows especially strong construct reliability and convergent validity, with Cronbach's Alpha (0.801), rho_A (0.808), Composite Reliability (0.909), and AVE (0.834) well above standard thresholds. By comparison, MHE shows average convergent validity with an AVE of 0.464. With a path coefficient of-0.824 and a p-value of 0.000, structural model analysis shows a strong and statistically significant negative correlation between MHE and warehouse performance. Increased use or mismanagement of MHE could thereby harm warehouse efficiency, whether because of inadequate equipment choice, maintenance problems, or operational discrepancies. The results underline the need of a more calculated approach to MHE planning and management to maximize warehouse performance in the Indian logistics sector.
... Hasil penelitian terdahulu juga menunjukkan pengaruh positif praktik manajemen rantai pasokan terhadap kinerja organisasi dengan keunggulan kompetitif sebagai variabel mediasi (Li et al., 2006dan Nu'man et al., 2020. Selain itu, penelitian yang dilakukan oleh Azizi et al. (2016), Tukamuhabwa et al. (2021), Jahed et al. (2022 membutikan praktik manajemen rantai pasokan memiliki pengaruh positif terhadap keunggulan kompetitif. ...
... Organisasi yang memiliki keunggulan kompetitif menunjukkan bahwa organisasi tersebut memiliki keunikan dan membedakannya dengan pesaing (Li et al.,2006). ...
Praktik manajemen rantai pasokan adalah faktor yang dapat meningkatkan kinerja organisasi. Peneliti terdahulu menjelaskan bahwa praktik manajemen rantai pasokan dapat meningkatkan kinerja organisasi melalui keunggulan kompetitif. Penelitian ini bertujuan untuk mengetahui pengaruh praktik manajemen rantai pasokan terhadap kinerja organisasi yang dimediasi oleh keunggulan kompetitif. Metode olah data dalam penelitian ini menggunakan aplikasi SPSSuntuk menganalisis pengaruh pada masing-masing indikator dari setiap variabel yang diteliti. Data pada penelitian ini diperoleh melalui metode penyebaran kuesioner kepada pemilik Usaha Mikro Kecil Menengah (UMKM) pengrajin Batik yang berada di Provinsi Daerah Istimewa Yogyakarta (DIY) dan diperoleh responden sebanyak 60 responden. Hasil dari penelitian ini membuktikan bahwasanya praktik manajemen rantai pasokan memiliki pengaruh positif terhadap kinerja organisasi dan keunggulan kompetitif mampu memediasi pada pengaruh positif praktik manajemen rantai pasokan terhadap kinerja organisasi.Kata kunci: Praktik Manajemen Rantai Pasokan, Keunggulan Kompetitif, Kinerja Organisasi
... Competitive advantage is defined as attributes of an organisation that attract customers. Competitive advantage includes the capabilities that enable an organisation to differentiate itself from its competitors (Li et al. 2006). Dagnino and Ferrigno (2021) and Ali and Anwar (2021) identify competitive advantage factors as an organisation's abilities to satisfy customers, including price, product quality, product line breadth, order fill rate, order lead time, order information and delivery frequency. ...
... In addition, hypothesis H8 (the positive influence of competitive advantage on business performance in Omnichannel) is agreed upon by many authors through studies related to the impact of competitive advantage to business performance. Studies by Delaney (1996), Rhodes (2008) and Li et al. (2006) have acknowledged that when enterprises have competitive advantages, this will help organisations operate more efficiently, achieve higher revenue and profits, and maintain longer-lasting customer relationships. ...
Background: Nowadays, customers expect to have a seamless shopping experience, whether on an e-commerce platform or in brick-and-mortar stores. This requires the combination of online and offline businesses in a unique channel called Omnichannel. To operate Omnichannel efficiently, the role of information technology (IT) and distribution activities is so essential. Thus, this research evaluates the effects of IT capability and distribution competence on business performance in Omnichannel.Aim: This research aims to examine the direct effects of distribution competence and IT capability on the business performance of retailers in Omnichannel. At the same time, it also considers the indirect effects of these relationships through the mediating roles of customer value creation and competitive advantage.Setting: The data used were directly collected from 200 managers operating Omnichannel in the retail sector.Methods: Quantitative research was conducted to measure the effects of independent variables, including IT capability, distribution competence, customer value creation and competitive advantage on the dependent variable, which is business performance. Partial Least Squares Structural Equation Modeling (PLS-SEM) was used to check the relationships among these factors in the context of Omnichannel in Vietnam.Results: Information technology capability and distribution competence have a direct impact on business performance, with beta coefficients of 0.198 and 0.271, respectively. Meanwhile, the regression coefficients of indirect relationships through mediating variables are 0.204 and 0.097, respectively.Conclusion: Information technology capability and distribution competence play key roles in the retail supply chain, especially in Omnichannel. To maintain the effectiveness of business operations, increase customer value and enhance competitive advantage, retailers should generate the efficiency of IT and distribution functions.Contribution: Omnichannel is a relatively new channel in Vietnam. However, this is an essential trend in society. To develop this business model, IT capability and distribution competence are two vital elements. This research helps retailers operating in Omnichannel examine their business performance as well as their positions in competitive environment. On that basis, some solutions are suggested to improve their capacity and optimise resources in Omnichannel.
... Competitive Advantage is defined as the "Capability of an organization to create a defensible position over its competitors" [1]. In today's competitive business there is an increased focus on delivering value to the customer [12]. ...
... The ability of an organization to introduce new products and features in the market [1], [23], [27] ...
Supply chains are the lifeblood of any organization. They connect suppliers, producers, and final customers in a network that is essential to the creation and delivery of goods and services. Effective supply chain management (SCM) has become a potentially valuable way of securing competitive advantage and improving organizational performance.Since competition is no longer between organizations, but among supply chains.The aim of this research is conceptualizing the relationship between supply chain management (SCM) processes (demand management, order fulfillment, manufacturing flow management, and product development and commercialization) and competitive advantage. Data collection was performed using Analytical Hierarchy Process (AHP). Research results show that the significant positive relationship between supply chain management processes and competitive advantage, also conclude thatdemand management and order fulfillment are stronger indicators of competitive advantage than manufacturing flow management and product development and commercialization.
... Michalic and Buhalis (2013) use image, quality, differentiation, contact and price in seeing competitive advantage. The conceptual framework of research by Li et al. (2006) developed indicators for measuring competitive advantage, namely: price/cost, quality, delivery dependability, product innovation and time to market. ...
Micro, Small and Medium Enterprises (MSMEs) are the most important pillars in the Indonesian economy and the high number of MSMEs in Indonesia cannot be separated from the existing problems. The problems faced by MSMEs cause the low competitiveness faced by MSMEs. The competitive advantage generated by MSMEs comes from superior resources which are reflected in the company's intellectual assets (intellectual capital). SMEs that can create a competitive advantage must have different resources from their competitors. One of the resources that can be highlighted is knowledge resources. The purpose of this study is to analyze confirmatory factors intellectual capital, knowledge management and competitive advantage. Analysis of the data used in the study using confirmatory factor analysis (CFA) techniques, the results of the study show that the indicator that is considered to have the largest or strongest contribution in forming the intellectual capital variable is human capital. The indicator that is considered to have the largest or strongest contribution in forming the Knowledge Management variable is the use of knowledge and the indicator that is considered to have the largest or strongest contribution in forming the variable of competitive advantage is not easy to replace. JEL Classification Codes: O34, D83, L15, L26.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This study develops a game-theoretic model to analyze sourcing decisions in global supply chains. The model accounts for currency fluctuation, political risk, and supplier competition. Results suggest that diversified sourcing strategies outperform sole sourcing under uncertain environments.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This study develops a game-theoretic model to analyze sourcing decisions in global supply chains. The model accounts for currency fluctuation, political risk, and supplier competition. Results suggest that diversified sourcing strategies outperform sole sourcing under uncertain environments.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This study develops a game-theoretic model to analyze sourcing decisions in global supply chains. The model accounts for currency fluctuation, political risk, and supplier competition. Results suggest that diversified sourcing strategies outperform sole sourcing under uncertain environments.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This study develops a game-theoretic model to analyze sourcing decisions in global supply chains. The model accounts for currency fluctuation, political risk, and supplier competition. Results suggest that diversified sourcing strategies outperform sole sourcing under uncertain environments.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This study develops a game-theoretic model to analyze sourcing decisions in global supply chains. The model accounts for currency fluctuation, political risk, and supplier competition. Results suggest that diversified sourcing strategies outperform sole sourcing under uncertain environments.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This study develops a game-theoretic model to analyze sourcing decisions in global supply chains. The model accounts for currency fluctuation, political risk, and supplier competition. Results suggest that diversified sourcing strategies outperform sole sourcing under uncertain environments.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Focusing on urban supply chains, this paper investigates the potential of drones and autonomous delivery vehicles for last-mile delivery. Simulation models assess the trade-offs between cost, speed, and environmental impact. Findings highlight the need for regulatory adaptation and hybrid delivery networks.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Focusing on urban supply chains, this paper investigates the potential of drones and autonomous delivery vehicles for last-mile delivery. Simulation models assess the trade-offs between cost, speed, and environmental impact. Findings highlight the need for regulatory adaptation and hybrid delivery networks.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Focusing on urban supply chains, this paper investigates the potential of drones and autonomous delivery vehicles for last-mile delivery. Simulation models assess the trade-offs between cost, speed, and environmental impact. Findings highlight the need for regulatory adaptation and hybrid delivery networks.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This research evaluates the effectiveness of big data analytics techniques-such as machine learning and neural networks-for improving demand forecasting accuracy in retail supply chains. Case studies show that leveraging customer transaction data and external variables leads to improved forecast precision and inventory alignment.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This research evaluates the effectiveness of big data analytics techniques-such as machine learning and neural networks-for improving demand forecasting accuracy in retail supply chains. Case studies show that leveraging customer transaction data and external variables leads to improved forecast precision and inventory alignment.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
This research evaluates the effectiveness of big data analytics techniques-such as machine learning and neural networks-for improving demand forecasting accuracy in retail supply chains. Case studies show that leveraging customer transaction data and external variables leads to improved forecast precision and inventory alignment.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Warehouse efficiency is a critical component of supply chain performance. This paper explores the integration of discrete-event simulation and lean manufacturing principles to enhance operational efficiency in warehouse environments. A case study of a mid-sized distribution center is presented, where value stream mapping (VSM), 5S, and simulation modeling were applied to identify and eliminate non-value-added activities. The study demonstrated a 23% improvement in order picking time and a 17% increase in space utilization. The results suggest that combining lean principles with simulation tools offers a robust methodology for sustainable warehouse optimization.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Warehouse efficiency is a critical component of supply chain performance. This paper explores the integration of discrete-event simulation and lean manufacturing principles to enhance operational efficiency in warehouse environments. A case study of a mid-sized distribution center is presented, where value stream mapping (VSM), 5S, and simulation modeling were applied to identify and eliminate non-value-added activities. The study demonstrated a 23% improvement in order picking time and a 17% increase in space utilization. The results suggest that combining lean principles with simulation tools offers a robust methodology for sustainable warehouse optimization.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Warehouse efficiency is a critical component of supply chain performance. This paper explores the integration of discrete-event simulation and lean manufacturing principles to enhance operational efficiency in warehouse environments. A case study of a mid-sized distribution center is presented, where value stream mapping (VSM), 5S, and simulation modeling were applied to identify and eliminate non-value-added activities. The study demonstrated a 23% improvement in order picking time and a 17% increase in space utilization. The results suggest that combining lean principles with simulation tools offers a robust methodology for sustainable warehouse optimization.
... The competitive advantage is the ability to obtain a superior position in the market compared to its competitors operating in the same industry(S. Li et al., 2006;Munas & Arun, 2020). Competitive advantage can also be defined as "a policy and tool for improving performance, managing and organizing the organizational structure in the company, which in turn is reflected in the quality of the services provided, so that it excels and distinguishes itself from its counterparts, increases the market share in the company, and maximizes its profits (Ejrami et al., 2016). ...
The article aimed to identify the impact of digital transformation as a modified variable on the relationship between commercial bank customers’ empowerment and the competitive advantage of commercial banks. The analytical descriptive approach was adopted using a questionnaire distributed to a random sample of (284) employees in Iraqi commercial banks. Multiple regression equations and hierarchical regression equations were used. The results showed a statistically significant effect at the significance level (α≤0.05) of digital transformation as a modified variable on the relationship between the capabilities of commercial banks' customers and the competitive advantage of commercial banks. The impact of digital transformation as a modified variable on the relationship between customer empowerment and the competitive advantage of commercial banks.
... SCM, in this context, has become a method with which to respond correctly, rapidly, and profitably to global market demand (Zeng et al., 2013;Kuei et al., 2011). QM and SCM were originally different initiatives but have evolved to have the same goal of customer satisfaction (Li et al., 2006;Zhang et al., 2011). The integration of QM and SCM is suggested by many scholars as a critical success factor for an organisation (Narasimhan and Das, 2001;Pagell, 2004). ...
... All of the supply chain's functional components are thought to be unique and competitive when they use pertinent and timely information effectively (Blanchard, 2021). Information sharing among supply chain participants should come from reputable sources and be current, accurate, timely, and credible [9]. Activities carried out in the supply chain include supplying raw materials, converting them into goods or services, and delivering them to the client. ...
This study examines the effect of supply chain management on performance of Juhel pharmaceutical company, Awka, Anambra State, Nigeria. The study adopted survey research design. The population of the study comprised sixty-seven (67) employees of Juhel Pharmaceutical Company, Awka, Anambra State. Questionnaire was employed as the instrument of data collection. The study found that strategic supplier partnership, customer relationship and the level and quality of information sharing have significant effect on the performance of Juhel pharmaceutical company. The study concluded that supply chain management has significant positive effect on performance. The study recommended that companies should consider adopting supply chain practices particularly strategic supplier partnership fully as the potential benefits to be realized are enormous compared to the initial and operational cost of implementing the practice.
... The upstream flow of the supply chain is also known as the supply flow, and the 33 downstream flow is also known as the distribution flow [9][10]. The five dimensions of competitive advantage 34 introduced in the supply chain are price/cost, quality, product innovation, delivery reliability, and time to market [11]. 35 Generally, in industries, price is used as a tool for profitability. ...
... Supply chain collaborative innovation involves cross-enterprise information sharing, resource integration, and joint decision-making. All help firms accelerate R and D innovation, thereby optimizing operations [43]. Thus, in a highly dynamic environment, firms tend to adopt digital technologies to strengthen cooperation across the supply chain, aiming to sustain relatively stable collaborative innovation that meets customer expectations [44]. ...
... Of this, approximately 65% ($21 billion) can be attributed to non-native plant pathogens [4]. Some diseases caused by introduced pathogenic species are chestnut blight fungus, Dutch elm disease, and Huanglongbing citrus disease [4,5]. ...
Geographical Information System (GIS) technology offers a dynamic and comprehensive approach to studying the geographical distribution of diseases. By providing interactive and informative maps, GIS allows us to analyze the frequency of cases, map disease occurrences, and explore the association between diseases and environmental factors. This powerful tool enables us to gain a deeper understanding of the spread and impact of various diseases. India’s agricultural sector is significantly affected by crop diseases and pests, resulting in reduced quality and quantity of agricultural production. Controlling crop diseases has become a vital area of research across multiple scientific and technological disciplines. In this pursuit, the integration of remote sensing, GIS, and Internet of Things (IoT) devices has showcased tremendous potential for effectively managing and controlling diseases. Scientists and researchers across the globe are increasingly recognizing the need to utilize data from diverse sensors and apply machine learning approaches in the development of disease detection, prediction, analysis, and evaluation models. The integration of remote sensing, GIS, and IoT technologies allows us to gather data from various sources and enhance our understanding of plant diseases. As the number and diversity of research studies in the field of disease control continue to grow, it becomes crucial to conduct literature reviews to identify further developments and contribute to the field. A comprehensive research review offers insights into state-of-the-art machine learning methods that utilize a wide range of data sources for plant disease detection. It also outlines the different data acquisition methods, including traditional and deep learning techniques associated with GIS and IoT. Furthermore, this research emphasizes the significance of intelligent data fusion techniques from diverse data sources in predicting and improving plant health status. By integrating information from multiple sensors and data streams, we can enhance our ability to identify, predict, and combat plant diseases effectively. This approach has proven invaluable in addressing the challenges faced in disease control. In this ever-evolving field, GIS plays a vital role in helping us tackle the problems plaguing our agricultural practices. By implementing cutting-edge technologies, we can embark on a journey toward a healthier and more productive agricultural system. By continuously exploring new strategies and advancements, we pave the way for transforming the landscape of disease control in agriculture. Let’s embrace the power of GIS, remote sensing, and IoT technologies to protect our crops, improve agricultural productivity, and ensure food security for generations to come. With innovative solutions and collaborative efforts, we can revolutionize disease control and secure a prosperous future for our agricultural communities.
... Konsep Manajemen Rantai Pasok berasal dari manajemen pembelian dan pasokan, serta manajemen transportasi dan logistik (Li et al., 2006). Dari perpespektif pembelian, Manajemen Rantai Pasok berarti ntegrasi pasokan berdasarkan pemasok yang berevolusi dari pembelian tradisional menjadi fungsional manajemen material. ...
Innovation management and supply chain performance in textile MSMEs in Sukamurni, Balaraja are not optimized enough. This has an impact on sales figures that have not increased in the last few periods. On that basis, and considering theoretical studies, it is necessary to optimize innovation management and supply chain performance. This activity is included in the action category, which is carried out in the community service program scheme. To help MSME actors increase turnover from time to time through innovation management and supply chain performance, the community service team held a workshop to optimize innovation management and supply chain performance. The achievement of this community service activity is to increase the ability of MSME actors. In principle, based on the comparison of pre-test and post-test scores, this activity has achieved the target expected from the beginning, namely increasing community knowledge and skills. The workshop activities in this community service were held according to plan and schedule. Likewise, the completion of tasks by participants who can produce products according to the targets set by the community service team. The workshop activities in this community service showed satisfactory results. The average post-test score (after attending the workshop) is an indication that skills and knowledge have increased significantly. This can be seen from the increase in the results of the pretest posttest workshop from 74 to 80.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Supply chain management (SCM) practices have become a critical strategic tool for organizations striving to achieve a sustainable competitive advantage and enhance organizational performance in today's dynamic and globalized business environment. This study explores the relationship between key SCM practices-such as strategic supplier partnerships, customer relationship management, information sharing, lean manufacturing, and quality management-and their influence on competitive positioning and performance outcomes. By integrating theoretical insights from the resource-based view and empirical findings from various industries, this research highlights how effective SCM practices contribute to improved operational efficiency, customer satisfaction, market responsiveness, and financial success. The analysis reveals that organizations that adopt a comprehensive and integrative SCM approach experience superior performance metrics, including cost reduction, flexibility, innovation capability, and service excellence. Moreover, competitive advantage is significantly reinforced through collaborative networks, technological alignment, and agile supply chain strategies. The findings underscore the importance of aligning supply chain initiatives with organizational goals and provide a conceptual framework for future research and practical implementation. This study contributes to both academic discourse and managerial decision-making by demonstrating how SCM can be leveraged as a catalyst for strategic and operational excellence.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Supply chain management (SCM) practices have become a critical strategic tool for organizations striving to achieve a sustainable competitive advantage and enhance organizational performance in today's dynamic and globalized business environment. This study explores the relationship between key SCM practices-such as strategic supplier partnerships, customer relationship management, information sharing, lean manufacturing, and quality management-and their influence on competitive positioning and performance outcomes. By integrating theoretical insights from the resource-based view and empirical findings from various industries, this research highlights how effective SCM practices contribute to improved operational efficiency, customer satisfaction, market responsiveness, and financial success. The analysis reveals that organizations that adopt a comprehensive and integrative SCM approach experience superior performance metrics, including cost reduction, flexibility, innovation capability, and service excellence. Moreover, competitive advantage is significantly reinforced through collaborative networks, technological alignment, and agile supply chain strategies. The findings underscore the importance of aligning supply chain initiatives with organizational goals and provide a conceptual framework for future research and practical implementation. This study contributes to both academic discourse and managerial decision-making by demonstrating how SCM can be leveraged as a catalyst for strategic and operational excellence.
... Supply Chain Management (SCM) practices have evolved from simple logistical coordination to a strategic tool that enhances organizational performance and competitive positioning. Researchers have highlighted the pivotal role of SCM in integrating key business processes across the supply chain to deliver superior value to customers (Li et al., 2006). This integration includes activities such as supplier partnership, customer relationship management, information sharing, and quality management, all of which are essential in building a responsive and cost-effective supply chain. ...
Supply chain management (SCM) practices have become a critical strategic tool for organizations striving to achieve a sustainable competitive advantage and enhance organizational performance in today's dynamic and globalized business environment. This study explores the relationship between key SCM practices-such as strategic supplier partnerships, customer relationship management, information sharing, lean manufacturing, and quality management-and their influence on competitive positioning and performance outcomes. By integrating theoretical insights from the resource-based view and empirical findings from various industries, this research highlights how effective SCM practices contribute to improved operational efficiency, customer satisfaction, market responsiveness, and financial success. The analysis reveals that organizations that adopt a comprehensive and integrative SCM approach experience superior performance metrics, including cost reduction, flexibility, innovation capability, and service excellence. Moreover, competitive advantage is significantly reinforced through collaborative networks, technological alignment, and agile supply chain strategies. The findings underscore the importance of aligning supply chain initiatives with organizational goals and provide a conceptual framework for future research and practical implementation. This study contributes to both academic discourse and managerial decision-making by demonstrating how SCM can be leveraged as a catalyst for strategic and operational excellence.
... This study employs the Culture of Manager indicator, utilizing metrics from Ahmad et al. [20], which include manager control, manager commitment, continuity of ownership, and manager enrichment. The Supply Chain Management indicator includes metrics from Li et al. [21], specifically: Supplier partnership strategy, Customer relationships, Degree of information sharing, and Quality of information sharing. ...
Introduction: In the era of free trade, businesses must adopt strategies that enhance their value from the consumer’s perspective to remain competitive. Competitive advantage is achieved when a company offers greater value than its costs, which can be influenced by organizational culture, supply chain management, and innovation. This study examines these factors in UMKM FOKUST, a small business group in Boyolali Regency, Indonesia that has received government support for growth and development. Objectives: The purpose of this research is to examine how Culture of Managers and Supply Chain Management affect Competitive Advantage with Innovation Capability as a Mediating Variable. Methods: This study included 30 UMKM FOKUST managers from Temon Village, Simo District, Boyolali Regency. This study's sample must meet these criteria: 1) administer UMKM FOKUST, Temon Village, Simo District, Boyolali Regency. 2) are in business for at least 3 years. This study employs regression and Sobel test using SPSS. Results: The data analysis shows that Supply Chain Management affects Innovation Capability, Manager Culture affects Sustainable Competitive Advantage, and Innovation Capability does not mediate this effect. Conclusions: Studying MSMEs' Supply Chain Management and Innovation Capability, unlike many studies that use major companies' objects. MSMEs' operations are affected by management culture. Efficiency is now part of the competitive advantage indicator.
... According to Olazo (2022), MSME performance can be assessed based on production growth, business expansion, increased sales, and revenue growth. Li et al. (2006) further emphasize financial and market metrics, such as return on investment (ROI), profit margins, sales growth, and overall market share, as benchmarks for success. With more than half of the global population using social media, digital marketing provides an unparalleled opportunity to reach new customers (Yusra & Agus, 2020). ...
This research study explores the evolving perceptions of Micro, Small, and Medium Enterprise (MSME) owners regarding their business performance before and during the COVID-19 pandemic. It examines the impact of social media marketing as a critical tool for navigating disruption and sustaining business operations. Specifically, the study identifies and analyzes the social media marketing strategies employed by MSMEs, assesses owners' perceptions of their effectiveness, and compares business performance across the pre-pandemic and pandemic periods. Utilizing a descriptive-comparative research design, this study gathers data on MSME characteristics and social media marketing adoption. A paired t-test is employed to compare two sets of measurements from the same sample, providing insights into shifts in business performance. Findings reveal that MSMEs leveraged social media marketing to adapt and thrive amid disruption. By integrating digital platforms and bypassing traditional supply chains, businesses gained direct market access, leading to increased sales, expanded reach, and enhanced customer engagement. The evidence strongly supports that strategic social media engagement significantly enhances business performance, particularly in crisis situations. The study's originality and value lie in its focus on social media-driven digital transformation among MSMEs during the COVID-19 pandemic. It offers actionable insights for policymakers, business support organizations, and MSME owners, helping them develop resilient and adaptive marketing strategies for future disruptions.
... Still, it would extend further to measure all the supply chains that those companies are dealing with. The second reason is considering the benefit of managing the whole supply chain, which could reap rewards through the increase of return on investment (ROI), return on assets (ROA) profitability, decreasing costs, number of products in stock, and time load [9][10][11]. ...
Supply chain management (SCM) makes firms intensively link their operations by building strong relationships with their customers and suppliers. This link can be established through investing in IT services, supplier relations, customer services, and other aspects related to the effective management of their activities or processes. By doing so, firms can increase their profitability while reducing their costs and waste. The purpose of this study is to identify how SCM can influence a firm’s performance and how its theories apply to the real world. Therefore, this study examines the relationship between SCM and the firm’s performance, analyzing Dell and HP financial reports and SCM strategies to support the results. For data collection, all the related information was gathered through Thomson One, Bloomberg, and BBC News. To analyze this data, DuPont analysis and the Business Model Canvas have been used. The findings of this study were as follows: a direct relationship between SCM and return on assets (ROI) and profit margin, and an indirect relationship with return on investment and market share.
Purpose
The purpose of this study is to identify the impact of selected supply chain management practices (SCMPs) on firm performance (FP) and the role of competitive advantage (CA) as a mediator between SCM practices and FP, with particular reference to small and medium enterprises (SMEs) operating in the West Bank.
Design/methodology/approach
Data were collected from 213 owners and supply chain managers of SMEs from various industries via questionnaires. The data collected were analyzed by using Smart PLS software to test hypotheses in the theoretical model based on structural equation modeling analysis.
Findings
The results of this study indicated that customer relationship management (CRM), supplier partnership (SP), e-procurement (EP) and postponement (PO) have a positive impact on FP and CA in SMEs. In contrast, information sharing (ISH) has an insignificant relationship with SMEs’ performance and CA.
Research limitations/implications
This study examines only five SCM practices. FP was measured by financial factors. Thus, non-financial success metrics must assess intangible benefits. This study focused on the West Bank and ignored Gaza Strip because of its circumstances.
Originality/value
Most studies on SCM and FP have focused on large companies. It ignored SMEs despite their importance. There is very little study on SCM practices and FP using CA as a mediator. Despite the importance of SCM, CA and SMEs in Palestine, scholars have not paid enough attention to them. To the best of the authors’ knowledge, this is the first Palestinian study to examine SCM practices influence on FP using CA.
This paper addresses the problem of inventory control under uncertain demand using a stochastic programming approach. A multi-product, multi-period model is developed, and numerical experiments show the approach significantly reduces stockouts and holding costs compared to deterministic methods.
This paper addresses the problem of inventory control under uncertain demand using a stochastic programming approach. A multi-product, multi-period model is developed, and numerical experiments show the approach significantly reduces stockouts and holding costs compared to deterministic methods.
This paper addresses the problem of inventory control under uncertain demand using a stochastic programming approach. A multi-product, multi-period model is developed, and numerical experiments show the approach significantly reduces stockouts and holding costs compared to deterministic methods.
This research paper explores the challenges and opportunities of implementing artificial intelligence (AI) in supply chain management (SCM) within the Asian manufacturing sector. The study aims to investigate the current state of AI adoption, perceived benefits, challenges, and investment priorities among Asian manufacturers, with a focus on understanding the implications for operational efficiency and competitiveness. Utilizing a survey-based approach, data was collected from key stakeholders in the Asian manufacturing sector, comprising individuals with expertise in SCM, technology adoption, and manufacturing operations. The survey questionnaire was designed to capture quantitative and qualitative insights into AI adoption rates, perceived benefits, challenges, and investment priorities. The findings of the study indicate a moderate level of AI adoption among Asian manufacturers, with significant potential for further growth and investment in AI technologies. Key benefits associated with AI adoption include improved demand forecasting, enhanced inventory management, and increased supply chain visibility. However, challenges such as high implementation costs, lack of skilled workforce, data privacy concerns, and integration complexities hinder widespread adoption. The implications of the research findings extend to practitioners, policymakers, and researchers, offering actionable recommendations for manufacturers to navigate the complexities of digital transformation and harness the full potential of AI technologies in SCM. By addressing these challenges and leveraging AI-driven innovation, manufacturers can enhance operational efficiency, customer satisfaction, and competitive advantage in the dynamic Asian manufacturing market.
Sustainability reporting has become a pivotal element of corporate transparency, particularly in industries with complex and far-reaching supply chains such as logistics. In the context of Business-to-Business (B2B) logistics, where long-term relationships and trust are essential, sustainability reporting not only serves as a compliance tool but also as a strategic asset influencing client perceptions of service quality. This paper explores the dynamic relationship between sustainability reporting and perceived service quality in B2B logistics settings. It examines how transparent communication of environmental, social, and governance (ESG) practices affects client trust, brand credibility, service evaluation, and strategic partnerships. Drawing on theoretical insights and practical examples, the paper argues that consistent and detailed sustainability reporting enhances perceived service quality by reinforcing accountability, operational integrity, and alignment with clients' corporate values.
Purpose
Herbal medicine is increasingly becoming popular in Sub-Sahara Africa, particularly Ghana. More worrying is the fact that users combine both orthodox medications with the herbal medicines. This study aims to determine the drivers of the increasing patronage in Ghana.
Design/methodology/approach
Quantitative approach was used, and 412 valid responses were assessed using structural equation modelling.
Findings
The study found that types of sickness and herbal firm marketing efforts are significant determinants of consumer attitudes towards consumption of herbal medicine. The pressure exerted by significant others, positive attitude and types of sickness are key determinants of purchase intentions. Interestingly, while types of sickness and perceptions of one’s ability to control consumption impact consumption behaviour directly, firms marketing efforts do not directly lead to purchase behaviour; rather, its effect on consumption is mediated by subjective norms, attitude and purchase intention.
Practical implications
The study has implications for policymakers and the pharmaceutical industry. It illuminates the roles of marketing efforts and the beliefs concerning the efficacy of herbal products for some types of illnesses. This calls for an upstream approach in educating the populace about the consumption of unorthodox medicine. It also calls for the development of the herbal sector and implementation of strict regulation measures to control production and distribution of herbal medicine.
Originality/value
The study novelty lies in the extension of the theory of planned behaviour. It demonstrates the interesting interplay of the nature of sickness and conscientious efforts in accounting for the rise in herbal medicine consumption.
This research examines the influence of strategic management practices on the success and income of small and medium-sized enterprises (SMEs) in the province of Santa Elena, Ecuador. Through a systematic literature review using the PRISMA method, 30 studies selected from the Scopus and Web of Science databases were analyzed. The results reveal that fundamental strategic practices such as formal planning, strategic flexibility and innovation have a significant impact on the performance and profitability of SMEs. Formal strategic planning provides clear direction and measurable objectives, while strategic flexibility enables companies to adapt quickly to market changes. The research also highlights the growing importance of sustainable management practices, including human resource and supply chain management, as key factors for long-term success. The study highlights the need for greater institutional and government support for SMEs in St. Helena, especially in areas such as strategic management training, access to finance, and promotion of business collaboration. Specific empirical studies in the province are recommended to validate these findings in the local context and provide more precise recommendations for SMEs in the region.
As the trend toward the digitization of complex business processes continues, the relevance of data quality for corporate success has increased. Especially, in multistep processes where data are created, modified, and transferred between different systems and departments, ensuring high data quality through continuous improvement is a competitive advantage. The interdependencies within multistep processes make troubleshooting more difficult and complex, as is typically the case in supply chains and logistics. At present, research on improving the data quality in complex process chains is relatively limited compared to the vast body of literature in operations research. Therefore, this exploratory study begins with a literature review on the measurement and monitoring of data quality in logistics and supply chains. Based on the findings from literature and the identified total data quality management model, a case study was conducted. As the first measuring approach, a survey was distributed to 148 employees in the central logistics department of a multinational automobile manufacturer to analyze the quality of billing‐relevant data in vehicle logistics. Although both subjective and objective approaches for measuring data quality have been described in the literature, automated techniques for continuous assessment of data quality have only increased in popularity in recent years. There is still potential for further research in the fields of process‐oriented measurement and monitoring that consider the interdependencies between systems and departments involved in multistage logistics processes. In the logistics and supply chain literature, the most common dimensions of data quality that can be measured automatically were accuracy, completeness, consistency, and timeliness. Consistency and accuracy were also found critical in the reference case, which could potentially be the result of unsatisfactory system interfaces, data quality checks, and system landscape. The statements related to the data quality checks, the system landscape, and the understandability dimension were rated quite differently by the different departments. The survey helped identify weaknesses that should be further investigated and improved in the future to ensure continuous process operation and profitability.
Küreselleşmeyle birlikte müşteri talepleri hızla değişmiş, bu durum lojistik faaliyetlerin önemini artırmıştır. Lojistik; üretici ile nihai tüketici arasındaki süreçlerin zamanında, sorunsuz ve en uygun maliyetle tamamlanmasını sağlayarak, firmalara rekabet avantajı ve müşteri memnuniyeti sunar. Bu bağlamda, lojistik performansı; firmaların ve ülkelerin lojistik süreçlerindeki etkinliğini ve verimliliğini ölçen temel bir gösterge olarak kabul edilmektedir. Lojistik alandaki gelişmelere paralel şekilde, bu alana yönelik akademik çalışmalar da artış göstermektedir. Bu çalışmada, “lojistik performans” anahtar kelimesiyle 2004-2024 yılları arasında TR Dizin'de yayımlanan 39 makale bibliyometrik analiz yöntemiyle incelenmiştir. Belirlenen parametreler doğrultusunda frekans analizleri yapılmış, öne çıkan konular belirlenmiştir. Ayrıca, VOSviewer yazılımı ile küme güçleri, çalışmalar arası etkileşim ve bağlantılar görselleştirilmiştir. Çalışmanın sonunda ulusal literatürdeki eğilimler derlenmiş, araştırma boşlukları belirlenmiş ve gelecekteki çalışmalar için öneriler sunulmuştur. Çoğu çalışmanın lojistik süreçlerin optimizasyonu, dijital dönüşüm ve sürdürülebilirlik konularına odaklandığı görülmüştür.
The study aimed to identify the extent to which SCM contributes to improving the competitive advantage and performance of listed industrial companies in the Palestine Stock Exchange. The research focuses on the impact of improving efficiency in SCM, such as reducing costs and improving quality, on the company's competitiveness and increasing its market share. The study contributes to providing effective solutions to improve efficiency and competitiveness through innovative SCM strategies, which enhances corporate sustainability and customer satisfaction. The study is original in that it highlights the relationship between SCM and increasing market share, which adds a new dimension to research. The study targeted 329 participants working in 11 listed industrial companies in the Palestine Stock Exchange, using random samples to assess the impact of SCM on performance and competitive advantage and was considered suitable for statistical analysis using the Smart-PLS4 program. This study showed that SCM is positively related to improving competitive advantage and company performance, which enhances product quality, reduces costs, and increases customer satisfaction and loyalty, which improves the position of companies in the market. The researcher recommends adopting effective SCM strategies in industrial companies to boost competitiveness and performance efficiency. Emphasizing modern technology, product innovation, and long-term partnerships with suppliers and customers will ensure sustainability and adaptability to market changes. Abstract The study aimed to identify the extent to which SCM contributes to 1 improving the competitive advantage and performance of listed industrial companies 2 in the Palestine Stock Exchange. The research focuses on the impact of improving 3 efficiency in SCM, such as reducing costs and improving quality, on the company's 4 competitiveness and increasing its market share. The study contributes to providing 5 effective solutions to improve efficiency and competitiveness through innovative 6 SCM strategies, which enhances corporate sustainability and customer satisfaction. 7 The study is original in that it highlights the relationship between SCM and increasing 8 market share, which adds a new dimension to research. The study targeted 329 partic-9 ipants working in 11 listed industrial companies in the Palestine Stock Exchange, 10 using random samples to assess the impact of SCM on performance and competitive 11 advantage and was considered suitable for statistical analysis using the Smart-PLS4 12 program. This study showed that SCM is positively related to improving competi-13 tive advantage and company performance, which enhances product quality, reduces 14 costs, and increases customer satisfaction and loyalty, which improves the position of 15 companies in the market. The researcher recommends adopting effective SCM strate-16 gies in industrial companies to boost competitiveness and performance efficiency. 17 Emphasizing modern technology, product innovation, and long-term partnerships 18 with suppliers and customers will ensure sustainability and adaptability to market 19 changes. 20
Purpose
These days, supply chain management (SCM) is essential to maintaining the long-term sustainability of the whole manufacturing ecosystem. This research examines the effects of competitive priorities (cost, quality, flexibility and delivery) on achieving success for the three key participants in SCM: suppliers, distributors and customers.
Design/methodology/approach
Survey data from 258 workers in pharmaceutical businesses was utilized in an empirical study partial least squares structural equation modeling (PLS-SEM) was employed to examine whether supply chain capabilities (SCC) were influenced by competitive advantage (cost, quality, flexibility and delivery).
Findings
The results of the investigation show a favorable correlation between competitive advantage in the Ethiopian pharmaceutical and medical supplier industry and SCC.
Originality/value
This study demonstrates the positive impacts of cost, quality, flexibility and delivery on suppliers, distributors and customers. Our findings suggest that pharmaceutical and medical suppliers prioritize achieving high-quality service before focusing on cost reduction.
The emerging area of supply chain alliances has received considerable attention in the academic and managerial press, yet there are many unanswered questions regarding the dynamics of such relationships. A number of such fundamental issues drive this research initiative, including how alliances are developed, their key success factors, and the specific benefits to be achieved. The study begins by establishing a definition of strategic supplier alliances, based on a comparison of both theoretical and managerial descriptions. The critical antecedents associated with the success of strategic supplier alliances are next developed, and the magnitude of the effect of these factors on partnership success is assessed. The analysis employs both qualitative and quantitative data, collected through an electronic network of over 200 companies, as part of an ongoing benchmarking initiative in supply chain management. From the perspective of the buying company in the alliance, the following attributes of supplier alliances were found to be significantly related to partnership success: trust and coordination, interdependence, information quality and participation, information sharing, joint problem solving, avoiding the use of severe conflict resolution tactics, and the existence of a formal supplier/commodity alliance selection process. Resource commitment and smoothing over problems were found to be poor predictors of alliance success. The implications of these results for managerial decision making in supplier alliance development are discussed.
In this article, we provide guidance for substantive researchers on the use of structural equation modeling in practice for theory testing and development. We present a comprehensive, two-step modeling approach that employs a series of nested models and sequential chi-square difference tests. We discuss the comparative advantages of this approach over a one-step approach. Considerations in specification, assessment of fit, and respecification of measurement models using confirmatory factor analysis are reviewed. As background to the two-step approach, the distinction between exploratory and confirmatory analysis, the distinction between complementary approaches for theory testing versus predictive application, and some developments in estimation methods also are discussed.
Mass customization capabilities enable firms to design, produce, and deliver a high volume of differentiated products that meet specific customer needs in a timely manner and at close to mass‐production prices. A critical part of mass customization is simultaneously achieving customer responsiveness, cost efficiency, and high volume production in the manufacturing system. This research describes mass customization and provides a framework to understand the relationships among time‐based manufacturing practices, mass customization, and value to the customer. It involves the development of an instrument to measure mass customization. Data were collected from 303 manufacturing firms of various size, location, and industry to develop the instrument and test the relationships in the framework. The primary research method was structural equation modeling using LISREL. The study indicates that firms with high levels of time‐based manufacturing practices have high levels of mass customization and value to the customer. Also, firms with high levels of mass customization have high levels of value to customer.
The US auto industry has undergone tremendous changes during the past decade. Companies have increased their level of out‐sourcing and are relying more heavily on their supply chain as a source of their competitive advantage. Thus, determining which suppliers to include in the supplier chain has become a key strategic consideration. However, previous studies of supplier selection have not considered a company's position in the supply chain. In this paper, we compare supplier‐selection practices based on a survey of companies at different levels in the auto industry. Our findings rebut the common thinking that indirect suppliers who are more involved in commodity purchasing emphasize initial price and de‐emphasize relational considerations. We learned that selecting suppliers based on the potential for a cooperative, long‐term relationship is just as important to direct and indirect suppliers as it is to the auto assemblers. We also learned that price is one of the least important selection items, regardless of position on the supply chain. Further, contrary to the existing understanding that quality and delivery are separate constructs, they formed a single construct in our study. To summarize the empirical results, no differences among the auto assemblers, direct suppliers, and indirect suppliers were found for the importance placed on consistency (quality and delivery), reliability, relationship, flexibility, price, and service. Statistically significant differences were found between the auto assemblers and indirect suppliers on the importance placed on technological capability and financial issues.
Manufacturing firms operating in a post‐industrial environment have customers who demand specialized products and short lead times. To meet these needs, organizations are adopting time‐based manufacturing practices to cut time and improve performance. The central tenet of this study is that time‐based manufacturers employ traditional work system practices including standardization, formalization, and routinization plus integration to improve competitiveness. This study measures the levels of time‐based manufacturing practices, work system practices, and competitive capabilities of 265 firms. The results indicate that firms with high levels of time‐based manufacturing practices tend to have high levels of standardization and formalization as well as integration. Firms with high levels of standardization and integration tended to have enhanced competitive capabilities.
The overall objective of this research was to explore the association between implementation of cooperative purchasing/supplier relationships, internal service quality, and an organization’s ability to provide quality products and services to its customers. Specifically, purchasing‐related factors influencing internal and external product and service quality were identified from the literature and an internal service quality model was developed and then tested using empirical data. Survey data were collected from 118 US purchasing executives in a wide range of industries. The findings from this study indicate the existence of strong positive relationships between implementation of cooperative purchasing/supplier relationships, internal service quality, and the service and product quality provided to external customers. Additionally, the key role of purchasing in the integration and communication of quality expectations and quality performance throughout the firm is demonstrated.
An empirical analysis of purchasing's strategic role in the firm is presented. This study uses data collected from high level purchasing executives at the Director/VP level representing a large cross industry sample of 739 firms. The data analysis is rigorous. Using data from 571 of the 739 firms, correlation analysis and exploratory factor analysis is performed. Data from the remaining 168 firms is used to conduct structural equation modeling. This is the first attempt to examine a structural model of strategic purchasing and its influence on supplier evaluation systems, buyer–supplier relationships, and firm's financial performance. Scales are developed to measure each construct and are shown to be reliable. Five hypothesized relationships are presented and supported by the literature. The first, second, and third hypotheses link strategic purchasing to supplier evaluation systems, buyer–supplier relationships and firm's financial performance, respectively. The fourth hypothesis links supplier evaluation systems to buyer–supplier relationships. And, the fifth hypothesis links buyer–supplier relationships to firm's financial performance. The results of the data analysis provide support for each of the five hypotheses above. The implications of this research are that a strategic purchasing function is important to the success of the firm. Firms that have a strategic purchasing function are more likely to implement a supplier evaluation system. This provides purchasing with a better understanding of which suppliers are performing well and which suppliers are not performing well. Increased emphasis on strategic purchasing and supplier evaluation systems are critical for firms seeking to establish long‐term relationships with their suppliers. Based on the findings of this study, strategically managed long‐term relationships with key suppliers can have a positive impact on the firm's financial performance.
The emergence of the extended manufacturing enterprise, a globally dispersed collection of strategically aligned organizations, has brought new attention to how organizations coordinate the flow of information and materials across their supply chains. This paper explores and develops the concept of enterprise logistics [Greis, N.P., Kasarda, J.D., 1997. Enterprise logistics in the information age. California Management Review 39 (3), 55–78] as a tool for integrating the logistics activities both within and between the strategically aligned organizations of the extended enterprise. Specifically, this paper examines the fit between an organization's enterprise logistics integration capabilities and its supply chain structure. Using a configurations approach, we test whether globally dispersed network organizations that adopt enterprise logistics practices are able to achieve higher levels of organizational performance. Results indicate that enterprise logistics is a necessary tool for the coordination of supply chain operations that are geographically dispersed around the world. However, for a pure network structure, a high level of enterprise logistics integration alone does not guarantee improved organizational performance. The paper ends with a discussion of managerial implications and directions for future research.
Porter [Porter, M.E., 1996. What is strategy? Harvard Business Review 74 (6), 61–78.] claims that a proper link between strategy and manufacturing operations is a key to developing sustainable competitive advantage. To be successful in this globally competitive, rapidly changing environment, organizations must formulate strategic plans that are consistent with their investment in and use of manufacturing technology. This study proposes that organizations that invest in advanced manufacturing technology and develop mechanisms for manufacturing managers to participate in strategy formulation will have improved competitive capabilities and better performance than firms that do not. Using the result from a large‐sample survey, this study develops valid and reliable measures of advanced manufacturing technology and manufacturing managers' participation in strategy formulation as well as the competitive capabilities of a firm. Linear structural equation analysis (LISREL) results show that the relationships between a firm's practices in these two areas and its competitive capabilities are found to be statistically significant and positive. Also, high levels of these competitive capabilities lead to high levels of performance as measured by customer satisfaction and marketing performance.
Academics and practitioners agree that excellence in supply management results in better quality, customer service, and channel performance. Yet, most of these studies are either conceptual in nature or actual case studies. The primary objective of this research is to test the impact of a supply management orientation (SMO) on the suppliers' operational performance and buyers' competitive priorities (cost, quality, delivery, flexibility). Three major research hypotheses associated with SMO, Supplier Performance (SP), and Buyer Performance (BP) are tested using a confirmatory structural equation modeling approach. The results of this research support the conclusion that an improvement (increase) in the SMO improves both the suppliers' and buyers' performance (i.e., a win–win situation for the supply chain). In addition, the influence of SMO on delivery‐ and quality‐related performance is more statistically significant than on cost or flexibility performance. In fact, when volume and process flexibility are top competitive priorities, a supply chain management orientation may not be an effective way to achieve the desired flexibility. The article ends by discussing other conclusions and suggests directions for future research.
Though there is a wide acceptance of the strategic importance of integrating operations with suppliers and customers in supply chains, many questions remain unanswered about how best to characterize supply chain strategies. Is it more important to link with suppliers, customers, or both? Similarly, we know little about the connections between supplier and customer integration and improved operations performance. This paper investigated supplier and customer integration strategies in a global sample of 322 manufacturers. Scales were developed for measuring supply chain integration and five different strategies were identified in the sample. Each of these strategies is characterized by a different “arc of integration”, representing the direction (towards suppliers and/or customers) and degree of integration activity. There was consistent evidence that the widest degree of arc of integration with both suppliers and customers had the strongest association with performance improvement. The implications for our findings on future research and practice in the new millennium are considered.
This paper presents a unifying framework for the analysis of distribution channels which encompasses both economic and sociopolitical determinants of channel member behavior and provides a suitable departure point for comparative work. The framework integrates present approaches to the study of marketing channels and provides an essential, but heretofore missing, basis for comprehensive empirical research in the area.
A critical element in the evolution of a fundamental body of knowledge in marketing, as well as for improved marketing practice, is the development of better measures of the variables with which marketers work. In this article an approach is outlined by which this goal can be achieved and portions of the approach are illustrated in terms of a job satisfaction measure.
This paper first develops six dimensions (strategic supplier partnership, customer relationship, information sharing, information quality, lean system, and postponement) that capture the content of Supply Chain Management (SCM) practices. Based on the 196 responses collected from managers, t-tests and ANOVA are used to verify whether SCM practices differ by firm size, a firm's position in the supply chain, or the length of the supply chain that a firm is in. The results show that there are no significant differences in all SCM practices regarding the firm's position in the supply chain, but some differences do exist in certain SCM practices by the firm size or the length of the supply chain.
Using a manufacturing strategy framework, this paper has empirically addressed the issue of manufacturing and managerial success and business unit performance. Managerial winners display heightened manufacturing strength on a number of performance criteria simultaneously, including proxy variables for delivery, flexibility, price, and market scope. Operational definitions of manufacturing strategy contents were determined, comprising seven important strategy domains. Five of the manufacturing strategy content areas increase the predicitive power in classifying manufacturing performers over their total strategic capabilities. Our exploratory analysis suggests that manufacturing “superstars,” are simultaneoulsy placing more emphasis on advanced manufacturing technology, resource improvements, and quality programs. On the other hand, the current manufacturing “weaklings” are expending more effort on restructuring and integrating information and ystems with most likely the hope of radical improvements in the future.
In this article, we provide guidance for substantive researchers on the use of structural equation modeling in practice for theory testing and development. We present a comprehensive, two-step modeling approach that employs a series of nested models and sequential chi-square difference tests. We discuss the comparative advantages of this approach over a one-step approach. Considerations in specification, assessment of fit, and respecification of measurement models using confirmatory factor analysis are reviewed. As background to the two-step approach, the distinction between exploratory and confirmatory analysis, the distinction between complementary approaches for theory testing versus predictive application, and some developments in estimation methods also are discussed.
States that we have witnessed, over the last several years, a profound change in understanding the dynamics of competitive advantage. Managers now acknowledge that a firm's success is tied, in part, to the strength of its weakest supply chain partner. This paper develops the concept of supply chain management and argues that only through close collaborative linkages through the entire supply chain, can one fully achieve the benefits of cost reduction and revenue enhancing behaviors. Data are presented that look at a range of supply chain management practices and processes. By examining differences in practices and processes between buyers and sellers, along with the supply chain, attempts to understand better the challenges facing managers who espouse supply chain management. Also proposes a change in mind set for the traditional procurement manager and present insights for him/her to adapt to the requirements of the new competition.
For years, researchers and practitioners have primarily investigated the various processes within manufacturing supply chains individually. Recently, however, there has been increasing attention placed on the performance, design, and analysis of the supply chain as a whole. This attention is largely a result of the rising costs of manufacturing, the shrinking resources of manufacturing bases, shortened product life cycles, the leveling of the playing field within manufacturing, and the globalization of market economies. The objectives of this paper are to: (1) provide a focused review of literature in multi-stage supply chain modeling and (2) define a research agenda for future research in this area.
There is a growing recognition that innovation speed is important to a firm's creating and sustaining competitive advantage amidst rapidly changing business environments. However, there has been little theoretical advancement or model building regarding when innovation speed is appropriate, what factors speed up innovations, and how differences in speed affect project outcomes. In this article, we organize and integrate the innovation speed literature, develop a conceptual framework of innovation speed, and offer researchable propositions relating to the need for and antecedents and outcomes of innovation speed. Specifically, we argue that innovation speed (a) is most appropriate in environments characterized by competitive intensity, technological and market dynamism, and low regulatory restrictiveness; (b) can be positively or negatively affected by strategic-orientation factors and organizational-capability factors; and (c) has an influence on development costs, product quality, and ultimately project success.
More demanding customer needs in terms of quality, variety, delivery (both fast and reliable), and competitive pricing challenge an increasing number of companies to restructure their supply chains. An appealing option is to delay, or postpone, the point of product differentiation, that is deferring the process in which products are transformed according to unique customer specifications. Advances in technology and the gradual removal of barriers to trade in Europe increasingly enable companies to apply postponement principles in their supply chain strategies. In this article, we provide an in-depth analysis of the experiences of four companies in managing the change process associated with implementing such strategies. Operating and organizational characteristics are identified to assess the attractiveness of postponement in their specific business settings. It was found that in particular, an organization’s administrative heritage and the lack of an overall supply chain vision can be major bottlenecks in managing the change process. For a successful implementation of postponement, a company’s management should establish the appropriate mix of standardization and customization in the supply chain. Differences in the internal organization and the external demands for product specificity require different postponement strategies.
For years, researchers and practitioners have primarily investigated the various processes within manufacturing supply chains individually. Recently, however, there has been increasing attention placed on the performance, design, and analysis of the supply chain as a whole. This attention is largely a result of the rising costs of manufacturing, the shrinking resources of manufacturing bases, shortened product life cycles, the leveling of the playing field within manufacturing, and the globalization of market economies. The objectives of this paper are to: (1) provide a focused review of literature in multi-stage supply chain modeling and (2) define a research agenda for future research in this area.
Time-to-market is becoming a highly competitive issue for manufacturing companies, and in the 1990s it may be the single most critical factor for success across all markets. A new group of accelerating competitors is emerging that thinks in terms of speed-to-market. These business units are using shorter product life cycles and have a propensity for change which is winning market share and increasing profits. Key to their success is concurrent engineering which gives manufacturing managers a say in designing the production and ensuring that flexibility and efficiency are available in the product phase of product development. Technological advances in information processing provide the tools used in concurrent engineering.
Part 1 Alliances old and new: the world of alliances a tale of two alliance companies. Part 2 Global competition and strategic alliances: strategic logic of alliances forging strategic alliances - a roadmap. Part 3 Managing strategic alliances: managing alliances - challenges and tasks, the job of the alliance manager, the role of top management managing corporate alliances. Part 4 From alliances to networks: next frontier - managing the global network corporation.
The structure and dimensionality of the user information satisfaction (UIS) construct is an important theoretical issue that has received considerable attention. Building upon the work of Bailey and Pearson (1983), Ives et al. (1983) conduct an exploratory factor analysis and recommend a 13-item instrument (two indicators per item) for measuring user information satisfaction. Ives et al. also contend that UIS is comprised of three component measures (information product, EDP staff and services, and user knowledge or involvement). In a replication using exploratory techniques, Baroudi and Orlikowski (1988) confirm the three factor structure and support the diagnostic utility of the three factor model. Other researchers have suggested a need for caution in using the UIS instrument as a single measure of user satisfaction; they contend that the instrument's three components measure quite different dimensions whose antecedents and consequences should be studied separately. The acceptance of UIS as a standardized instrument requires confirmation that it explains and measures the user information satisfaction construct and its components. Based on a sample of 224 respondents, this research uses confirmatory factor analysis (LISREL) to test alternative models of underlying factor structure and assess the reliability and validity of factors and items. Copyright © 1995 Institute for Operations Research and the Management Sciences.