Causal Relationship between Supply Chain Dynamic Capabilities, Technological Innovation, and Operational Performance

Abstract

Accepted: 28 July 2016The aim of this study is to empirically examine the impact of supply chain dynamic capabilities on operational performance, and the mediating effect of technological innovation between dynamic capabilities and operational performance. This study is based on empirical data collected from a survey of 206 small-and medium-size firms in Korea. Structural equation modeling is used to test the research questions. The results show that supply chain dynamic capabilities positively influence technological innovation and operational performance of an enterprise. Additionally, structural equation analyses reveal that technological innovation plays a role as a partial mediator of the relationship between supply chain dynamic capabilities and operational performance. In a dynamic and ever-changing environment, the enforcement of dynamic capabilities in a sustainable supply chain is important for the innovation of technology and the improvement of operational performance. Further investigation is required to understand the differences by industries, characteristics of enterprises, and positions in a supply chain.Keywords supply chain management, dynamic capabilities, supply chain dynamic capabilities, technological innovation, operational performance. IntroductionDue to the acceleration of the global economy, the rapid progress of information technology, and the various expectations of customers, today's business environment is rapidly changing and competition among enterprises has intensified. In the past the technology transfer from one industry to another did not occur or was a slow process. Due to the rapid growth of technological innovation and globalization, a technology developed for one industry is quickly transferred to another. This creates a great ripple effect throughout the industry. This ever-changing business environment prevents enterprises from sustaining their competitive positions as well as from allowing for the time necessary to diagnose changes in the business environment, discover opportunities and risks, and to deal with them in a timely manner.Therefore, the dynamic capabilities theory has been implemented in business environments where dynamic capability is required in order for an organization to remain sustainable. Dynamic capability refers to the capability of an organization to integrate and reorganize its internal and external resources [1][2][3][4]. By implementing the dynamic capabilities theory, an organization is given the opportunity to create enterprise values such as management innovation, sus- Management and Production Engineering Reviewtainable competitive advantage, and operational performance through dynamic capability. The dynamic capabilities theory is based on the resource-based view [5, 6] and the core competency theory [7,8]. According to the resource-based view, organizational performance is created from the capability and differences in resources an organization holds, which are valuable, rare, imperfectly imitable, and nonsubstitutable [6]. The...

The Impact of Supply Chain Dynamic Capabilities on Operational Performance

“…The use of dynamic capabilities in the supply chain is becoming increasingly important (Witcher et al, 2008& Allred et al, 2011. The emergence of dynamic capabilities in the supply chain are due to the changes in the long and short-term supply and demand, market structure and customer requirements (Ju et al, 2016). Therefore, firms must have dynamic supply chain capabilities to address these changes.…”

“…Therefore, the key to survival in such situations requires the firms to develop capabilities that enable them to distinguish their processes over competitors. Thus, the sustainable competitive advantages and superior operational performance of a firm rely on its dynamic supply chain capability (Ju et al, 2016). In a rapidly changing environ-ment where uncertainty is high, ordinary efficiency-oriented supply chains are not appropriate enough to cope with the shifts in the business environment.…”

“…There has been rather limited research on supply chain dynamic capabilities, and how they can impact on firm performance in a dynamic business environment. Ju et al (2016) argue that dynamic supply chain capabilities (information sharing, collaboration, integration, and agility) have a significant and positive relationship with technological innovation and operational performance of the organization. Namusonge (2017) argues that supply chain capabilities influence firm performance.…”

Uso da IoT, Big Data e inteligência artificial nas capacidades dinâmicas

“…Também existe um consenso com relação a origem da CD, que é a visão baseada em recursos -VBR (resourcebased view -RBV) (Alvarenga, Leite, Freitas, & Ruas, 2016;Barreto, 2010;Gallardo, 2009;Giniuniene & Jurksiene, 2015;Guedes, Araújo, & Ornellas, 2012;Ju, Park, & Kim, 2016;Michailova & Zhan, 2015;Panizzon, Milan, Perin, & Sampaio, 2015;D. J. Teece, 2007; D. J.…”

Transferencia de operación de manufactura de EE. UU. a México. Estudio de caso

“…Most of the models propose an approach to innovation in processes, products, services, speed, and quality (Chong, Chan, Ooi and Sim, 2011;Z. Wang and N. Wang, 2012;Mejía-Trejo et al, 2015, andJu, Park &Kim, 2016), and analyze them according to the company's performance.…”