This paper examines factors that encourage firms in Thai automotive and electronics industries to enter into supply chain collaborations (SCCs) and relationships between SCCs and supply chain performance (SCP) using a questionnaire survey in 2012. The results of ordinary least squares regression show that firms that established a supplier evaluation and audit system, a system of rewards for high-performance suppliers and long-term transactions, with their supply chain partners under competitive pressure cooperate more closely with their partners along the supply chain with respect to sharing information and synchronizing decisions. Our two-stage least squares regressions indicate that SCCs that arise from competitive pressure, supplier evaluation and audit, and a system of rewards for high-performance suppliers and long-term relationships influence SCP, including on-time delivery, responsiveness to fast procurement, flexibility to customers' needs, and profit. These findings indicate that Thailand machinery industries have learned globally adopted SCM practices, and invested in tangible and intangible assets to realize potential benefits from costly SCC.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.