The Impact of Supply Chain Integration on Operation Performance: The Moderating Role of IT Competence

Li NI

Abstract


This paper aims to provide empirical evidence of the effectiveness of various supply chain integration (SCI) under different IT competence in terms of IT human resource and IT strategy. Survey methodology was used to collect data from 191 manufacturers of ten countries. Hierarchical linear regression was used to analyze the moderating effects. The results showed that IT competence significantly influences the effectiveness of SCI practices, including internal integration, process integration and product integration. More specifically, internal integration significantly affected the operation performance of IT strategy, while product integration significantly affected the operation performance of IT strategy. The findings clarify the alignment of SCI with IT competence for practitioners, so that they can allocate their limited resources to improve the organization operation performance by the IT competence.


Keywords


IT competence; Supply chain integration; Firm operation performance; Moderating effect

Full Text:

PDF

References


Bagchi, P., & Skjoeitt-Larsen, T. (1995). Integration of information technology and organizations in a supply chain. The International Journal of Logistics Management, 14(1), 89-108.

Bharadwaj, A. S. (2000). A resource－based perspective on information technology capability and firm performance: An empirical investigation. MIS Quarterly, 24(1), 16-196.

Bowersox, D. J., & Morash, E. A. (1989). The integration of marketing flows in channels of distribution. European Journal of Marketing, 23(20), 58 -67.

Cagliano, R., Canniato, F., & Spinga, G. (q20030). E-business strategy: How companies are shaping their supply chain through the internet. International Journal of Operations & Production Management, 10(23), 1142-1162.

Cao, M. (2007). Research on enterprises information technology capability. Beijing: Beijing University of Posts and Telecommunications.

Droge, C., Jayaram, J., & Vickery, S. K. (2004). The effects of internal versus external integration practices on time-based performance and overall firm performance. Journal of Operations Management, 22(6), 557-573.

Flynn, B., Huo, B., & Zhao, X. (2010). The impact of supply chain integration on performance: A contingency and configuration approach. Journal of Operations Management, 28, 58-71．

Frohlich, M. T. (2002). E-integration in the supply chain: Barriers and performance. Decision Sciences, 33(4), 537 -556.

Gilbert, N. N., Judith, M. W., & Lynch, D. F. (2009). Examining supply chain relationships: Do buyer and supplier perspectives on collaborative relations hips differ. Journal of Operation Management.

Grant, R. M. (1996). Prospering in dynamically－competitive environments: Organizational knowledge as knowledge integration. Organization Science, 7(4), 375-387.

Huo, B., Qi, Y., Wang, Z., & Zhao, X. (2014). The impact of supply chain integration on firm performance: The moderating role of competitive strategy. Supply Chain Management: An International Journal, 19(4), 369-384.

Huo, J., Sui, M., & Liu, Z. (2002). Integrated supply chain and the status quo of research. Industrial Engineering and Management, 1, 20- 24.

Koufteros, X. A., Cheng, T. C. E., & Lai, K. H. (2007). Black-box and gray-box supplier integration in product development: Antecedent, consequences and the moderating role of firm size. Journal of Operation Management, 25(4), 847-880.

Li, G., & Yang, H. (2009). The impact of IT implementation on supply chain integration and performance. Production Economics, 120, 125-138.

Mandal, P., & Gunasekaran, A. (2003). Issues in implementing ERP: A case study. European Journal of Operational Research, 146(2), 274-283.

Mukhopadhyay, T., & Kekre, S. (2002). Strategic and Operational Benefits of Electronic integration in B2B Procurement Processes. Management Science, 48(10), 1301-1313.

Patnayakuni, R, & Seth, N. (2006). Firm performance impacts of digital enabled supply chain integration capabilities. MIS Quarterly, 30(2), 225- 246.

Petersen, K. J., Handfield, R. B., & Ragatz, G. L. (2005). Supplier integration into new product development: coordinating product, process and supply chain design. Journal of Operation Management, 23(3/4), 371-388.

Rosenzweig, E. D., Roth, A. V., & Dean, Jr. J. W. (2003). The influence of an integration strategy on competitive capabilities and business performance: An exploratory study of consumer products manufacturer. Journal of Operations Management, 21(4), 437-456.

Ross, J. W., Beath, C. M., & Goodhue, D. L. (1996). Develop long－term competitiveness through IT assets. Sloan Management Review, 38(1), 31-42.

Stank, T. P., Keller, S. B., & Closs, D. J. (2001). Performance benefits of supply chain integration. Transportation Journal, 41(2), 31- 46.

Swink, M., Narasimhan R., & Wang, C. (2007). Managing beyond the factory walls: Effects of four types of strategic integration on manufacturing plant performance. Journal of Operations Management, 25(1), 148-

164.

Swink, M., & Song, M. (2007). Effects of marketing-manufacturing integration on new product development time and competitive advantage. Journal of Operation Management, 25(1), 203-217.

Tan, K. C. (2001). A framework of supply chain management literature. European Journal of Purchasing and Supply Management, 1(1), 39-48.

Vikery, S. K. (1991). A theory of production competence revisited. Decision Science, 22(3), 635-643.

Wheelwright, S. C. (1984). Manufacturing strategy: Define the missing link. Strategy Manufacturing Journal, 5(1), 77-91.




DOI: http://dx.doi.org/10.3968/n

Refbacks

  • There are currently no refbacks.


Copyright (c) 2015 Management Science and Engineering



Share us to:   

Reminder

  • We are currently accepting submissions via email only.

    The registration and online submission functions have been disabled.

    Please send your manuscripts to mse@cscanada.net，or mse@cscanada.org  for consideration.

    We look forward to receiving your work.

 


We only use three mailboxes as follows to deal with issues about paper acceptance, payment and submission of electronic versions of our journals to databases:
caooc@hotmail.com; mse@cscanada.net; mse@cscanada.org

 Articles published in Management Science and Engineering are licensed under Creative Commons Attribution 4.0 (CC-BY).

 MANAGEMENT SCIENCE AND ENGINEERING Editorial Office

Address:1055 Rue Lucien-L'Allier, Unit #772, Montreal, QC H3G 3C4, Canada.

Telephone: 1-514-558 6138
Http://www.cscanada.net Http://www.cscanada.org

Copyright © 2010 Canadian Research & Development Centre of Sciences and Cultures