Assessing the effectiveness of supply chain partnering with scalable partnering as a moderator

Abstract

Purpose The primary purpose of this paper is to examine empirically the significant determinant for supply chain partnering (SCP) that can be applied by the firms to increase their effectiveness in SCP efforts. Next, the paper intends to examine the impact of scalable partnering towards the effectiveness of SCP. Design/methodology/approach To address the research problem, a survey instrument is developed and a structured model is hypothesized and tested using SPSS tool. Data are collected from a field research on a sample of 584 companies in Malaysia. Findings The result of this research indicates that resource sharing have positive influences on SCP. Increasing scalable partnering would also lead to increases in the effectiveness of SCP. Research limitations/implications One of the limitations of the study is that the use of a single key informant for the data collection from the respective companies. A more stringent test of the relationships between scalable partnering and its impact in SCP requires a longitudinal study. Practical implications Managers must also recognize the influential role of scalable partnering which actually motivates channel partners to continue their investment in SCM initiatives. Thus, managers should pay more attention to the need of channel member to generate a higher level of confidence in scalable partnering. Originality/value While SCP and its determinant exist in prior research, this paper contributes a new variable “Scalable Partnering” towards strengthening the relationship among the supply chain partners.

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