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The impact of operations and supply chain strategies on integration and performance

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  • Qi, Yinan
  • Huo, Baofeng
  • Wang, Zhiqiang
  • Yeung, Hoi Yan Jeff

Abstract

This study aims to develop a comprehensive model that facilitates an understanding of relationships among operations strategies (OSs), supply chain strategies (SCSs), supply chain integration (SCI), and firm performance. It is a start to understand the role of operations strategies in supply chain design. We adopt structural equation modelling to test the relationships based on data collected from 604 Chinese manufacturers. The results show that a lean supply chain is appropriate for firms placing higher priorities on cost, quality and delivery strategies, while an agile supply chain is appropriate for firms competing on the flexibility strategy. Furthermore, both lean and agile SCSs require higher levels of SCI in terms of internal and external integration, but lean SCSs have a significantly higher impact on external integration than agile SCSs. The study refreshes the links between order winner/qualifier and supply chain strategies. Clear-cut differences exist concerning the role of operations strategy in supply chain management, indicating that appropriate supply chain design is very important for firms to achieve their operations objectives. This study contributes to a better understanding of the match between operations strategies and supply chain strategies, and offer a practical insights on investments in the development of supply chain integration.

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  • Qi, Yinan & Huo, Baofeng & Wang, Zhiqiang & Yeung, Hoi Yan Jeff, 2017. "The impact of operations and supply chain strategies on integration and performance," International Journal of Production Economics, Elsevier, vol. 185(C), pages 162-174.
    • Handle: RePEc:eee:proeco:v:185:y:2017:i:c:p:162-174
    DOI: 10.1016/j.ijpe.2016.12.028
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    18. Antonio Oswaldo Ortega-Reyes & Eva Selene Hernández Gress & Carlos Robles-Acosta, 2018. "Case Study Based Model to Propose the Integration of Suppliers in a Central State in Mexico," Administrative Sciences, MDPI, vol. 8(2), pages 1-20, April.
    19. Dayal S. Prasad & Rudra P. Pradhan & Kunal Gaurav & Partha P. Chatterjee & Inderpal Kaur & Saurav Dash & Sagar Nayak, 2018. "Analysing the critical success factors for implementation of sustainable supply chain management: an Indian case study," DECISION: Official Journal of the Indian Institute of Management Calcutta, Springer;Indian Institute of Management Calcutta, vol. 45(1), pages 3-25, March.
    20. Morita, Michiya & Machuca, Jose A.D. & Pérez Díez de los Ríos, José L., 2018. "Integration of product development capability and supply chain capability: The driver for high performance adaptation," International Journal of Production Economics, Elsevier, vol. 200(C), pages 68-82.
    21. Zhu, Wenwen & Ng, Stephen C.H. & Wang, Zhiqiang & Zhao, Xiande, 2017. "The role of outsourcing management process in improving the effectiveness of logistics outsourcing," International Journal of Production Economics, Elsevier, vol. 188(C), pages 29-40.
    22. Ghazi M. Magableh & Mahmoud Z. Mistarihi, 2023. "Global Supply Chain Nervousness (GSCN)," Sustainability, MDPI, vol. 15(16), pages 1-24, August.
    23. Muhammad Usman Ahmed & Mark Pagell & Mehmet Murat Kristal & Thomas F. Gattiker, 2019. "Micro-Foundations of Supply Chain Integration: An Activity-Based Analysis," Logistics, MDPI, vol. 3(2), pages 1-17, March.
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    25. ur Rehman, Attique & Shakeel Sadiq Jajja, Muhammad & Farooq, Sami, 2022. "Manufacturing planning and control driven supply chain risk management: A dynamic capability perspective," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 167(C).

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