Supply chain integration and firm performance: the moderating role of demand uncertainty

Supply chain integration (SCI) has become increasingly important among firms. Several studies have addressed SCI’s effect on firm performance. However, many moderating factors such as demand uncertainty can influence its effect. In this study, we empirically examined the moderating effect of demand...

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Autores principales: Rosa Hendijani, Reza Saeidi Saei
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Lenguaje:EN
Publicado: Taylor & Francis Group 2020
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Acceso en línea:https://doaj.org/article/a89e70b90f7f4944a2c4b5d096e899ca
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spelling oai:doaj.org-article:a89e70b90f7f4944a2c4b5d096e899ca2021-12-02T14:41:51ZSupply chain integration and firm performance: the moderating role of demand uncertainty2331-197510.1080/23311975.2020.1760477https://doaj.org/article/a89e70b90f7f4944a2c4b5d096e899ca2020-01-01T00:00:00Zhttp://dx.doi.org/10.1080/23311975.2020.1760477https://doaj.org/toc/2331-1975Supply chain integration (SCI) has become increasingly important among firms. Several studies have addressed SCI’s effect on firm performance. However, many moderating factors such as demand uncertainty can influence its effect. In this study, we empirically examined the moderating effect of demand uncertainty on the relationship between SCI and firm performance. We developed a series of hypotheses to address these relationships. SCI was categorized into internal and external integration, with external integration divided into product and process integration. Rather than categorizing external integration into integration with suppliers and customers which was commonly used in previous studies, we used product and process integration as the categories for external integration. This allows us to have an integrated approach to all parties in the supply chain instead of separating the relationship with suppliers from that with customers. Study sample consists of firms active in automotive parts and steel industries in Iran. In total, 84 firms completed the survey. Hierarchical regression analysis was used to test research hypotheses. Industry type was considered as a control variable. Research findings showed that internal and process dimensions of integration had a positive effect on operational performance. In addition, internal and process dimensions had a positive effect on financial performance. In the face of high demand uncertainty, process integration improved financial performance. Moreover, industry type did not affect the results.Rosa HendijaniReza Saeidi SaeiTaylor & Francis Grouparticlesupply chain integrationdemand uncertaintyperformanceBusinessHF5001-6182Management. Industrial managementHD28-70ENCogent Business & Management, Vol 7, Iss 1 (2020)
institution DOAJ
collection DOAJ
language EN
topic supply chain integration
demand uncertainty
performance
Business
HF5001-6182
Management. Industrial management
HD28-70
spellingShingle supply chain integration
demand uncertainty
performance
Business
HF5001-6182
Management. Industrial management
HD28-70
Rosa Hendijani
Reza Saeidi Saei
Supply chain integration and firm performance: the moderating role of demand uncertainty
description Supply chain integration (SCI) has become increasingly important among firms. Several studies have addressed SCI’s effect on firm performance. However, many moderating factors such as demand uncertainty can influence its effect. In this study, we empirically examined the moderating effect of demand uncertainty on the relationship between SCI and firm performance. We developed a series of hypotheses to address these relationships. SCI was categorized into internal and external integration, with external integration divided into product and process integration. Rather than categorizing external integration into integration with suppliers and customers which was commonly used in previous studies, we used product and process integration as the categories for external integration. This allows us to have an integrated approach to all parties in the supply chain instead of separating the relationship with suppliers from that with customers. Study sample consists of firms active in automotive parts and steel industries in Iran. In total, 84 firms completed the survey. Hierarchical regression analysis was used to test research hypotheses. Industry type was considered as a control variable. Research findings showed that internal and process dimensions of integration had a positive effect on operational performance. In addition, internal and process dimensions had a positive effect on financial performance. In the face of high demand uncertainty, process integration improved financial performance. Moreover, industry type did not affect the results.
format article
author Rosa Hendijani
Reza Saeidi Saei
author_facet Rosa Hendijani
Reza Saeidi Saei
author_sort Rosa Hendijani
title Supply chain integration and firm performance: the moderating role of demand uncertainty
title_short Supply chain integration and firm performance: the moderating role of demand uncertainty
title_full Supply chain integration and firm performance: the moderating role of demand uncertainty
title_fullStr Supply chain integration and firm performance: the moderating role of demand uncertainty
title_full_unstemmed Supply chain integration and firm performance: the moderating role of demand uncertainty
title_sort supply chain integration and firm performance: the moderating role of demand uncertainty
publisher Taylor & Francis Group
publishDate 2020
url https://doaj.org/article/a89e70b90f7f4944a2c4b5d096e899ca
work_keys_str_mv AT rosahendijani supplychainintegrationandfirmperformancethemoderatingroleofdemanduncertainty
AT rezasaeidisaei supplychainintegrationandfirmperformancethemoderatingroleofdemanduncertainty
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