Unpacking Coordination Benefits in Supply Networks: Findings from Manufacturing SMEs

Abstract

This paper examines how coordination among firms in supply networks generates benefits in the short and long terms for firms. It focuses on information technology (IT) and process improvement coordination. Analysis was performed on quantitative and qualitative data from a sample of SMEs in plastics manufacturing in Pennsylvania. Results indicate that coordination on both IT and process improvement leads to short- and long-term benefits. These relationships were mediated by the adoption of innovations (when coordinating on IT) and access to new capabilities (in process improvement coordination). These results extend the understanding of how participation in supply networks benefits individual firms.

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