The effect of IT and relationship commitment on supply chain coordination: A contingency and configuration approach

Digital technology deployment and firm resilience: Evidence from the COVID-19 pandemic

Although many firms are aggressively deploying diverse digital technologies (DTs) at inter- and intra-organizational levels, not all firms have achieved the anticipated resilience, especially in the face of supply chain disruptions caused by “black swan” events such as the COVID-19 pandemic. To demystify this phenomenon, we draw on the asset orchestration perspective to investigate how breadth (i.e., the scope) and depth (i.e., the scale) of DT deployment influence a firm's resilience to supply chain disruptions. Survey data from 162 Chinese manufacturing firms show that the depth of DT deployment exerts a positive effect on firm resilience. Interestingly, the breadth has a non-significant effect on firm resilience. Moreover, while the breadth and depth of DT deployment both enhance supply chain coordination, supply chain coordination mediates only the relationship between DT deployment depth and firm resilience. Finally, market acuity positively moderates the relationship between supply chain coordination and firm resilience. We contribute to the literature by providing new theoretical explanations for the inconsistency in the reported relationship between technology deployment and resilience. Our study also helps firms reevaluate their DT deployment.

Investigating the relationship between digital technologies, supply chain integration and firm resilience in the context of COVID-19

The outbreak of the COVID-19 pandemic has significantly augmented the complexity of information, adding to the challenges that firms face in effectively processing and grasping accurate information. As a result, the production uncertainty of firms has been seriously intensified during the pandemic, disrupting the normal operation of firms and their supply chains. Digital technologies serve as salient tools that help firms to process and analyse information, consequently enhancing firm resilience in the face of supply chain disruptions. This study aims to examine how digital technologies affect firm resilience in the context of COVID-19 through the lens of information processing theory and a large-scale survey conducted among Chinese manufacturers. Specifically, our study evaluates the mediating effect of supply chain integration (internal integration, customer integration and supplier integration) and the moderating effect of information complexity. The results show that supply chain integration plays a mediating role in the effect of digital technologies on firm resilience, and the mediation effect is particularly significant for customer integration. Furthermore, digital technologies have a stronger impact on firm resilience when information complexity is high. The findings advance our understanding and recognition of the resilience implications of digital technologies and provide important managerial implications for improving firm resilience in the context of COVID-19.

Digitalization of the supply chain: transformation factors

Purpose

There is an increasing interest in the supply chain’s digitalization, yet the topic is still in the preliminary stages of academic research. The academic literature has no consensus and is still limited to research assessing the supply chain’s digitalization of organizations. This study aims to explore the supply chain digitalization drivers to understand the emerging phenomena. More specifically, the authors devised from the literature the most common factors in assessing the readiness in scaling supply chain digitalization.

Design/methodology/approach

This study followed a five-phased systematic literature review (SLR) methodology in this research: designing, analyzing, conducting, writing and assessing the quality of the review. The SLR is beneficial for justifying future research regardless of the complex process that requires dealing with high-level databases, information filtering and relevancies of the content. Through analysis of 347 titles and abstracts and 40 full papers, the authors showed and discussed the supply chain digitalization: transformation factors.

Findings

The results generated three main themes: technology, people and processes. The study also generated ten subthemes/primary drivers for assessing the readiness for supply chain digitalization in organizations: IT infrastructure, cybersecurity systems, digitalization reskilling and upskilling, digitalization culture, top management support, digitalization and innovation strategy, integrated supply chain, digital innovation management, big data management and data analytics and government regulations. The importance of each factor was discussed, and future research agenda was presented.

Research limitations/implications

While the key drivers of the supply chain digitalization were identified, there is still a need to study the statistical correlation to confirm the interrelationships among factors. This study is also limited by the articles available in the databases and content extraction.

Practical implications

This study supports decision-makers in understanding the critical drivers in digitalizing the supply chain. Once these factors are studied and comprehended, managers and decision-makers could better anticipate and allocate the proper resources to embark on the digitalization journey and make informed decisions.

Originality/value

The digitalization of the supply chain is more critical nowadays due to the global disruptions caused by the Coronavirus (COVID-19) pandemic and the surge of organizations moving toward the digital economy. There is a gap between the digital transformation pilot studies and implementation. The themes and factors unearthed in this study will serve as a foundation and guidelines for further theoretical research and practical implications.

The coordination effect of B2B digital process capabilities on competitive performance: balancing or complementing

Purpose

The purpose of this paper is to investigate the consequences of two strategies of coordinating the online procurement capability and the online channel management capability on competitive performance.

Design/methodology/approach

A research model is presented to examine the performance impacts of these two coordination strategies, namely the balancing strategy (achieving a close match relationship) and the complementing strategy (maintaining the synergy effect), and tested using firm-level data collected from 196 manufacturing firms in China. Garen's two-stage econometric technique was used to identify the impacts of two coordination strategies on competitive performance.

Findings

Our study discusses and compares two different coordination strategies of mitigating the operational tensions across processes and deploying resource configurations for improving competitive performance. Our results show that while the balancing strategy can mitigate the risks resulted, the complementing strategy does not create synergistic effects on the focal firms' competitive performance.

Originality/value

The results extend our understanding of the nature of B2B digital process coordination both in IS management and supply chain operations.

The impact of information sharing on supply chain adaptability and operational performance

Purpose

This study looks beyond firm boundaries to depict supply chain (SC) adaptability and classifies it into internal, customer and supplier dimensions to investigate their performance implications, respectively. This study also examines the enablers of SC adaptability based on information processing theory.

Design/methodology/approach

This study applies the structural equation modeling method to investigate relationships among SC information sharing, SC adaptability and operational performance using data collected from 216 manufacturers in China.

Findings

Internal information sharing has a positive impact on three dimensions of SC adaptability, whereas supplier and customer information sharing only have a positive impact on supplier adaptability. Customer and supplier information sharing interact to positively influence the three dimensions of SC adaptability, while internal and customer information sharing interact to negatively affect customer adaptability. We also find that all the three dimensions of SC adaptability can enhance operational performance.

Originality/value

This study contributes to providing a holistic definition of SC adaptability and classifies it into three dimensions. It also investigates antecedents and performance outcomes of SC adaptability.

Evaluating Supply Chain Collaboration Barriers in Small- and Medium-Sized Enterprises

The disruption has a significant impact on supply chain collaboration (SCC) which is an important task to improve performance for many enterprises. This is especially critical for small- and medium-sized enterprises (SMEs). We developed a decision-modeling framework for analyzing SCC barriers in SMEs for the emerging economy in Bangladesh. Through literature review and expert opinion survey, we have identified a comprehensive list of SCC barriers under four main categories, namely, information-related, communication-related, intra-organizational, and inter-organizational barriers. Then we applied the Grey DEMATEL and Fuzzy Best-Worst methods to evaluate these SCC barriers and compared the results. We also conducted a sensitivity analysis to assess the robustness of the proposed approach. The study reveals that lack of communication is the most crucial barrier in SCC, providing a model for assessing barriers in other emerging economies. This study contributes to the literature by analyzing SCC barriers and by comparing the results obtained from two different MCDM methods. The findings of this study can help decision-makers to plan for overcoming the most prioritized SCC barriers which ultimately contribute to improving the resilience and sustainability performances of SMEs.

Understanding the link between IS capabilities and cost performance in services: the mediating role of supplier integration

Purpose

The purpose of this study is to explore the link between information systems (IS) capabilities, supplier integration and cost performance in the service context. Specifically, it empirically investigates how supplier integration meditates the relationship between three dimensions of IS capabilities and cost performance in service firms.

Design/methodology/approach

A survey of 156 UK service firms was conducted and the data analyzed to determine the role of supplier integration in mediating the effects of IS capabilities on firms' cost performance. The research model was tested using structural equation modeling (SEM), and the neural network model was used to rank the relative influence of significant predictors obtained from SEM.

Findings

The results confirmed that supplier integration fully mediates the effects of information technology (IT) for supply chain activities and flexible IT infrastructure on cost performance and partially mediates the effect of operations manager's IT knowledge on cost performance. The results showed that operations manager's IT knowledge is the strongest predictor of supplier integration.

Originality/value

This study takes a step toward quelling concerns about the business value of IS, contributing to the development and validation of the measurement of IS capabilities in the service operations context. Additionally, it adds to the emerging body of literature linking supplier integration to the operational performance of service firms.

The impact of information technology usage on supply chain resilience and performance: An ambidexterous view

Scholars and practitioners have recognized the importance of supply chain (SC) resilience. However, it remains unclear how to build SC resilience and whether SC resilience can enhance firm performance and bring values to customers. By analyzing data collected from 206 manufacturers in China, this study empirically examines how firms implement different information technology (IT) patterns (exploitative versus explorative) with SC partners to achieve supplier and customer resilience from information processing theory, and examines the performance implications of these two dimensions of SC resilience. In addition, this study also investigates how IT ambidexterity reconciles the paradox between IT exploitation and IT exploration in enhancing SC resilience. The results show that both supplier and customer resilience could improve SC performance. To achieve the two aspects of SC resilience, only explorative use of IT with suppliers and customers have significant effects. The results also show that the ambidextrous use of IT on the customer side takes effect. The exploitative and explorative use of IT complement each other to improve customer resilience. The findings of this study contribute to IT and SC resilience literature.

Impact of information technology on supply chain integration and company performance: evidence from cross-border e-commerce companies in China

Purpose

Based on the resource-based view and organizational capability theory, we examine the effect of information technology (IT) on company performance through supply chain integration (SCI) from the upstream and downstream perspective of the whole supply chain.

Design/methodology/approach

Based on data collected from 296 cross-border e-commerce (CBE) companies in China, we used structural equation modeling with LISREL to test the conceptual model.

Findings

The results show that supplier and customer IT significantly promote supplier and customer system and process integration. Supplier system and process integration enhance operational performance. Meanwhile, IT indirectly affects financial performance through operational performance. Customer system integration has positive effects on operational and financial performance, with an indirect effect on financial performance through operational performance. However, customer process integration only improves financial performance.

Research limitations/implications

We only use cross-sectional data from Zhejiang province of China to investigate relationships of related constructs. Future studies can also use longitudinal data in combination with secondary data from other provinces, regions and countries.

Practical implications

The results provide important managerial insights for CBE companies to sustain their competitive advantages by improving their performances through IT and SCI practices throughout the upstream and downstream data-driven supply chain.

Originality/value

This study contributes to the IT and SCI literature by exploring the effectiveness of IT in improving SCI and company performance from the upstream and downstream perspective and the perspective of IT.

The emerging role of coopetition within inter-firm relationships

Purpose

Increasing environmental uncertainty, more demanding customers, rapid technological growth and rising capital costs have all forced firms to evolve from collaborating with buyers and suppliers to collaborating with their competitors and that is called coopetition. The purpose of this paper is to better understand the antecedents and outcomes associated with coopetition.

Design/methodology/approach

Building from the existing literature and three theoretical foundations, resource-based theory, resource dependence theory and game theory, the authors develop a model showing the antecedents and outcomes of coopetition and associated propositions of coopetition. Using a semi-structured interview process of 21 industry executives, the authors offer empirical support for the proposed coopetition model and propositions.

Findings

Firms are increasingly dependent on the knowledge and expertise in external organizations to innovate, solve problems and improve supply chain performance. This research suggests that there is a value for firms to consider coopetition as a part of their inter-firm strategies.

Research limitations/implications

The semi-structured interview process used in this research provided a wealth of information and executive experiences in coopetition. The interviews, however, only provide a single perspective of collaborative engagements with competitors. Multiple perspectives of each project would add value to this research.

Originality/value

Collaboration among buyers and suppliers have been well researched; however, there has not been as much research on coopetition. This research provides a new area for future research for academics and offers suggestions for managers to improve the effectiveness and efficiency of their coopetition projects.

The mediating role of supply chain collaboration on the relationship between information technology and innovation

Purpose

The high level of competition in the globalized business environment forces companies to innovate to remain competitive. Previous literature often cites information technology (IT) and supply chain collaboration as direct contributors to product innovation and IT as a direct enabler of supply chain collaboration. This suggests that IT could have an indirect effect on product innovation through supply chain collaboration, although this relationship has not been addressed yet. This paper aims to analyze empirically the direct impacts of IT and supply chain collaboration on incremental and radical product innovation and the indirect effect of IT on both types of product innovation through supply chain collaboration by using data collected from a sample of 200 manufacturing firms.

Design/methodology/approach

Structural equation modeling was used to check the research hypotheses with a sample of 200 manufacturing companies.

Findings

The results show supply chain collaboration has a positive effect on technological innovation, showing that the collaboration with external agents foster both incremental and radical innovations. Furthermore, results show that IT directly enhances both types of product innovation (incremental and radical) indirectly through supply chain collaboration.

Research limitations/implications

This article supports the pursuit of open innovation that suggests the need to acquire external knowledge to be able to develop innovation projects. The use of tools that facilitate this transmission of knowledge becomes indispensable in environments in which companies must be involved in supply chains in which different external agents intervene and in which collaboration can promote the creation of synergies and superior competitive advantages.

Practical implications

Innovation requires more and more the use of knowledge management practices that capture external information to be used in the creation of new products. In this case, collaboration within a supply chain facilitates incremental and radical innovations. However, to strengthen this transfer of information and the adoption of behaviors that stimulate innovation, the company must use ITs.

Originality/value

This paper focus on the indirect effect of IT on product innovation through the creation of the collaborations with external agents. In spite of the importance of this relation, it has been poorly studied by previous literature. The paper’s greatest interest lies in the fact that ITs not only facilitate the transmission of knowledge but also facilitate other types of behavior among supply chain agents that invite collaboration and generate innovations.