Purpose
The purpose of this paper is to investigate the impact of internal integration, external integration (EI), and supply chain risk management (SCRM) on manufacturing flexibility, and the ...moderating effect of SCRM on the relationships between internal and EI, respectively, and manufacturing flexibility.
Design/methodology/approach
Using hierarchical regression, data are analyzed from a sample of 343 manufacturing plants in Asia collected in 2013-2014 as part of the International Manufacturing Strategy Survey (IMSS VI).
Findings
Internal integration and SCRM have a direct effect on manufacturing flexibility. SCRM moderates the relationship between EI and flexibility.
Research limitations/implications
Further research is needed to generalize beyond the flexibility performance of discrete manufacturing firms in Asia.
Practical implications
To benefit from EI and increase their flexibility performance, manufacturing firms need to implement different mechanisms of SCRM to prevent and deal with supply chain risks including those associated with supply chain integration.
Originality/value
This research contributes to the body of knowledge on the relationships between internal integration, EI, SCRM, and manufacturing flexibility.
This research adopts the institutional and relational view theories to empirically test the impact of organisational culture (OC) on sustainable supply chain performance (SSCP) and further examines ...the impact of external integration on their relationship, drawing on a study in the food manufacturing industries in the UK and Greece. Using the mixed method approach, structural equation modelling (SEM) technique was first used to empirically analyse the data from a survey of 315 firms. In addition, insights from 11 interviews from top managers were qualitatively used as the basis to enrich and confirm the findings from the quantitative study. Our findings revealed that in the context of global supply chains only developmental, hierarchical, and group culture components of the competing values framework (CVF) as a model for assessing OC are conducive for achieving a higher SSCP. Although developmental, hierarchical and group cultures are instrumental for SSCP, a strong external integration is still required. Thus, external integration was found to mediate the relationship between the dimensions of OC and SSCP. The results further confirmed a positive relationship between all the dimensions of OC (developmental, group, hierarchical and rational culture) and external integration and a positive impact of external integration on SSCP. This research expands the institutional and relational view theories to examine the effect of OC (using CVF) on SSCP and further reveals the extent of external integration needed in the relationship to enhance SSCP in global supply chains. Supply chain managers are encouraged to adopt integrated competing values, namely, developmental, group, and hierarchical cultures to intensify the external integration in the supply chain to overcome several sustainability challenges and improve SSCP.
•Organisational Culture plays a crucial in the implementation of sustainability practices.•Only Developmental, Group and Hierarchical Cultures enables firms to implement and achieve higher sustainability performance.•External integration with customers and suppliers is very critical to achieving sustainability performance after instilling sustainability-supportive culture.•External integration enables firms to obtain additional information, knowledge, skills and resources needed to enhance sustainability performance.
Purpose The purpose of this paper is to provide guidance in setting the level of autonomy (i.e. parental control) of plants in a network to enhance operational performance. In particular, the effect ...of autonomy on performance is analysed directly and indirectly through internal manufacturing network integration (MNI) and external supply chain integration (SCI) as two dimensions of manufacturing network embeddedness. Design/methodology/approach The analysis is based on data from 441 manufacturing plants in 17 countries. Data were gathered during the Sixth International Manufacturing Strategy Survey. Five main constructs were obtained after carrying out a confirmatory factor analysis: plant autonomy, internal MNI, external SCI, efficiency and effectiveness. Direct and indirect relationships among the constructs are tested through a structural equation model. Findings Higher levels of autonomy correlate with higher effectiveness and similar efficiency. However, lower autonomy leads to higher levels of manufacturing network and SCI, which enhance performance. Although not statistically significant, the analysis of the total effects reveals a mildly positive effect of autonomy on effectiveness and negative effect on efficiency, which requires further investigation. Research limitations/implications Further research could include headquarters’ perspectives or additional determinants (e.g. business strategy objectives). Practical implications Managers should set autonomy levels strategically: higher for effectiveness and lower for efficiency. However, lower autonomy can also strengthen internal MNI and external SCI, thus improving operational performance. Originality/value The concept of manufacturing network embeddedness highlights the importance of considering external supply chain and internal MNI in the same framework, as both dimensions can affect operational performance.
Subsequent to the decades of research and business advancement in sustainable development, the importance of sustainability is undoubtful; however, existing paths toward it are not yet sufficient. ...Correspondingly, innovation has recently emerged as a persuasive means to enhance sustainability. As with all conventional innovations, the integration of broad and diverse actors in innovation projects aimed particularly at sustainable development is essential, but it is argued to require reconciliation, owing to the peculiarities of the sustainability context. The innovation literature (particularly the open innovation stream) extensively investigates and is able to provide us with businesses' capabilities for integrating external actors for conventional innovation projects. Elaborated from the literature, we identify and conceptualize four capabilities as bundles of open conventional innovation capability – namely, networking, competence mapping, relational, and desorptive capabilities. Starting from the conceptual framework of open conventional innovation capabilities, eight innovation projects aimed particularly at sustainability with diverse and broad actors were used as an empirical context for qualitative, multiple-case studies. The results suggest that open sustainability-oriented innovation capabilities conform to the open conventional innovation capability framework; however, the capabilities must be reconciled with the particular sustainability context. In particular, the results suggest that desorptive capability (the ability of aligning/empowering internals for external acquirements) requires particular and strong reconciliation with the sustainability context, whereas the required reconciliation of networking, competence mapping and relational capabilities strongly depends on the outcome characteristics. In this regard, the findings reveal that for innovations to develop a sustainable product-service system that would dramatically change existing systems and consumers’ lifestyles, capability reconciliation is required for all key partners of the project. On the other hand, for innovations to develop a sustainable product or service, established open conventional innovation capabilities can be used.
Background: The performance of an organization is affected by activities of other supply chain members. The key issue in a supply chain is the coordinated management and control of all these ...activities, which is achieved through proper integration of the supply chain. Therefore, this study was conducted with the aim of investigating the effect of internal and external integration on the performance of hospital with the mediating role of added value of the supply chain in Hazrat Valiasr Bafaq Hospital.
Methods: The current cross-sectional research was conducted with the structural equation approach in 1400. The statistical population included all the employees (250 people) of Hazrat Waliasr Bafaq Hospital, 163 of whom were randomly selected based on Cochran's formula. Data collection tools included value added questionnaires of supply chain, internal integration, external integration and performance. The validity of the instruments was investigated and confirmed using convergent and divergent validity, and reliability was studied using Cronbach's alpha and composite reliability. The structural equations model and SPSS 24 and LISREL 8 software were used to analyze the data.
Results: Findings showed that internal integration with a significant value of 1/925 and path coefficient = 0/177 does not affect performance, and external integration with a significant value of 5/670 and path coefficient = 0/446 had a positive and significant effect on performance. Moreover, internal integration with a significant value of 2/281 and path coefficient = 0/265, and external integration with a significant value of 5/586 and path coefficient = 0/495 had a significant positive effect on the added value of the supply chain. The added value of the supply chain had a positive and significant effect on performance with a significant value of 2/315 and path coefficient = 0/231. In addition, the added value of the supply chain explains the mediating role between integration and performance. The quality of the final model of the research had a good fit with the overall model fit index (0.38).
Conclusion: The findings of this study showed that External integration has a significant effect on both the performance and supply chain value addition. But internal integration only affects supply chain value addition. It was also found that interdepartmental coordination is one of the important parameters for improving hospital performance. According to the results of this research, it is suggested that all the internal activities of the hospital be carried out based on a written program. Moreover, a special focus on the added value of the supply chain should be included as one of the hospital's strategies.
Within the context of supply chain integration this study illuminates the role of customer satisfaction and associated performance impacts through the lens of organizational learning theory. This ...study investigates the relationships among internal integration, external integration (i.e. with customers and suppliers), customer satisfaction, and financial performance using survey data collected from 214 manufacturing firms in China. The results suggest that internal integration significantly influences both dimensions of external integration, customer and supplier integration; and that supplier integration is significantly and positively related to financial performance. The results also show that customer satisfaction is significantly and positively related to financial performance and fully mediates the relationship between customer integration and financial performance. Consistent with organizational learning theory the study shows that internal integration is an enabler for external integration which suggests that companies need to progress from good internal practices and processes to effective management of external processes. In particular this study positions the benefits of integration as accruing from learning and financial performance being correlated to information flows. This study suggests that integration is the mechanism whereby information is transmitted and subsequently synthesized. The contextualization and organization afforded through internal integration facilitates determining what information to bring in from outside the organization and knowing what to do with the information when it arrives. Hence a contribution of this study is to tie supply chain integration to the literature and principles of organizational learning theory thereby opening a new perspective on the topic.
Increasingly complex supply chains and heightened disruption risks are bringing risk management to the forefront of managerial and research efforts. We examine how country disruption risks are ...related to the adoption of combined risk management and external supply chain integration practices, and how these combinations in turn are related to operational performance. We frame our propositions using information processing theory and complementarity theory. We combine primary data from the 6th International Manufacturing Strategy Survey on 21 countries, and secondary data on country level disruption risks to study these links. Our results indicate that companies in riskier countries, characterized by high operational contingencies risk, natural hazard and terrorism and political instability, use combined arcs of external supply chain integration and risk management practices. Such a combined approach is also related to higher operational performance. The findings suggest to managers that companies adopting risk management practices in combination with external integration achieve best operational results. We extend the arcs of integration concept to include also risk management practices thus showing that holistic risk management approaches along supply chains are positively related to operational performance. The combination of primary and secondary data, as well as the focus on exogenous risks distinguishes our approach from previous, mostly conceptual, studies on risks.
•Uses survey and secondary data to study disruption risks, risk management and integration.•Companies in high risk countries adopt more integration and risk management.•We extend the arcs of integration to include risk management practices.
Purpose: The purpose of this study was to assess the direct effect of supply chain integration on operational performance and the mediating effects of external integration on the relationship between ...internal integration and operational performance among manufacturing firms. Design/methodology/approach: Quantitative survey research design was adopted. A total of thirty (30) manufacturing firms were sampled using cluster sampling. The data was collected using questionnaires from 317 employees in the procurement, account and administration units of the 30 manufacturing firms. Structural Equation Modeling was used to analyze the direct and mediation relationships. Findings: The results showed that the relationship between internal integration and operational performance was significantly mediated by external integration. It was established that operational performance could only be achieved when manufacturing firms' managers pay critical attention to internal and external integration. A Significant positive relationship also exists between supplier integration and operational performance as well as customer integration and operational performance. Originality/value: The unique contribution of the current study is the assessment of the mediating effect of external integration constructs (customer integration and supplier integration) as the mediating variable on internal integration and operational performance.
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