Enhancing supply chain performance through supply chain practices

Abstract

Background: The recognised relationship between company performance and supply chain performance has prompted managers, practitioners and researchers alike to seek a better understanding of the performance of supply chains. To this end, many firms have adopted and implemented various supply chain practices and enhanced collaboration and more recently e-collaboration within supply chains.

Objectives: The aim of this study was to investigate how firms can enhance their supply chain performance through supply chain practices and supply chain e-collaboration.

Method: A quantitative design was adopted in which a survey questionnaire was administered to a sample of 500 senior managers representing some 350 firms. A non-probability sampling employing convenience and purposive methods was used. A confirmatory factor analysis and structural equation modelling technique were undertaken to assess the psychometric properties of the measurement scale and to test hypotheses using the path modelling technique.

Results: The key findings of this study were as follows: Supply chain practice was found to have a strong positive and significant relationship with supply chain e-collaboration, while supply chain e-collaboration has a strong positive and significant influence on strategic information sharing. Strategic information sharing has a positive and significant influence on supply chain competence and supply chain performance. Supply chain e-collaboration has a positive and significant influence on supply chain competence, while supply chain competence was found to have a negative and insignificant influence on supply chain performance.

Conclusion: This study concludes that firms can use supply chain practices to enhance their supply chain e-collaboration and supply chain performance. The study also provides a useful framework for analysing the relationship between supply chain practices, supply chain e-collaboration, strategic information sharing, supply chain competence and supply chain performance.