Linking supply chain integration to supply chain orientation and performance – a knowledge integration perspective from Indian manufacturing industries

Abstract

Purpose The purpose of this paper is to investigate the complex interrelationships among the key constructs, supply chain orientation (SCO), supply chain integration (SCI) and supply chain performance (SCP) in Indian manufacturing industries. These relationships have been studied using the relational view (RV) and the knowledge-based view (KBV) theoretical perspectives. Design/methodology/approach The conceptual model was derived from the existing body of knowledge in the supply chain domain. The study is based on a sample size of 122 data collected via face-to-face meetings with the Indian manufacturers using well-established scales. The covariance-based structural equation modeling was used to test the proposed hypotheses. Findings In Indian manufacturing and supply chains, SCO has a positive relationship with SCI and SCP. Moreover, the direct impact of SCO on SCP diminishes when SCI is used as a mediating variable. This study also observes positive impact of: i) SCO on SCP, ii) SCI on SCP and iii) discovery of mediating role of SCI on SCP under the theoretical lenses of RV and KBV. Research limitations/implications Cross-sectional survey of manufacturing firms of one country (using one response per firm) calls for validation covering other parts of the world and demands a longitudinal survey. This research will trigger more scholarly, practice and policy debate among researchers studying Indian and emerging economies context. Practical implications The notion of a holistic view of the SC with a focus on improving the customer value can enhance strategic partnerships among the SC partners (i.e. SCI) and overall SCP. Firms should make efforts to include SCI in SC designs to successfully transform SCO into SCP. Originality/value The originality of the research lies in studying the complex interrelationships among key concepts of SC in a unique Indian manufacturing context. The Indian supply chains operate in a set of unique characteristics, which have been detailed out in this paper. This paper not only establishes the mediating role of SCI for overall SCP in emerging economies but also enhances the scholarly knowledge in the SC domain. Most studies report SCO as a single-order construct, measured by scales comprising of only few items. The second-order SCO measures in this study bring credibility to the findings. Additionally, it contributes to both academicians and practitioners alike in the context of an integrated SC in emerging economies.

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