The role of cognitive proximity on supply chain collaboration for radical and incremental innovation: a study of a transition economy

2019 ◽  
Vol 34 (3) ◽  
pp. 591-604 ◽  
Author(s):  
Mai Anh Thi Nguyen ◽  
Hui Lei ◽  
Khoa Dinh Vu ◽  
Phong Ba Le

PurposeThe purpose of this paper is to investigate the role of cognitive proximity on supply chain collaboration and how it relates to radical and incremental innovation.Design/methodology/approachThe paper is based on quantitative approach to analyze the data of 218 firms in a developing and transition economy. The proposal model is tested with exploratory factor analysis (EFA), confirmatory factor analysis (CFA) and structural equation modeling (SEM).FindingsThe authors’ findings show that cognitive proximity facilitates decision synchronization and incentive alignment in the supply chain. Furthermore, the authors’ results indicate that information sharing and decision synchronization are determinants of radical innovation while incentive alignment is a determinant of incremental innovation.Research limitations/implicationsThis study was cross-sectional, so the authors could not consider the control variable such as sectors or firms’ size. It is hard to control the specific features of cognitive proximity in one single industry when using cross-sectional data. In future investigations, it may be possible to use a different dimension of proximity to explain the implementation of collaboration for innovation.Originality/valueThis study attempted to explore the role of cognitive proximity on supply chain implementation process in the context of a transition economy. Moreover, the authors’ findings provide the clearer understanding of the relationship between collaboration and innovation.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hina Baig ◽  
Waqar Ahmed ◽  
Arsalan Najmi 

Purpose In today’s world, supply chain collaboration becomes an essential source of attaining competitive advantage to make the position in the global market in terms of information, expertise and risk-sharing abilities. Hence the purpose of this study is to highlight the understanding of the value and importance of collaboration in innovation and to strategically implement such steps to achieve supply chain collaboration capabilities. Design/methodology/approach The data of 269 respondents were collected from supply chain professionals belong to the different industrial sectors in Karachi, Pakistan. The data was analyzed by using structural equation modeling. Findings This study finds that supplier collaboration brings radical as well as incremental innovation. In contrast, internal collaboration brings incremental innovation, whereas collaboration with customers has an insignificant impact on incremental innovation. Furthermore, both types of innovations have a positive and significant influence on market performance. Research limitations/implications This study's outcome improves the understanding of the types of innovation enhanced by each construct of collaboration. Supply chain experts or managers are motivated to implement innovation to improve the firm's overall market performance. Originality/value This research will contribute to the literature by sharing the understanding of the relationship among supply chain members as they collaborate for innovation purposes. All supply chains develop a sustainable competitive advantage in market performance.


2018 ◽  
Vol 30 (1) ◽  
pp. 62-83 ◽  
Author(s):  
Muhammad Sabbir Rahman ◽  
Fadi Abdel Muniem Abdel Fattah ◽  
Mahmud Zaman ◽  
Hasliza Hassan

Purpose The purpose of this paper is to examine the influence of service quality, customer’s satisfaction and religiosity on customer’s patronage decision toward health insurance products. The paper also assesses the influence of religiosity on customer’s patronage decision. The influence of customers’ satisfaction as mediation between service quality and customer’s patronage decision was also measured. Design/methodology/approach A structured questionnaire was developed and administered to a sample of 200 respondents. This research applied the exploratory factor analysis, the confirmatory factor analysis and the structural equation modeling to test the proposed hypotheses. Findings The findings indicate that customers’ religiosity behavior has a significant influence on customer’s patronage decision for selecting health insurance products. The results also indicated that the role of customer’s satisfaction as a mediator in between the relationship of service quality and customer’s patronage decision is significant. Research limitations/implications This research is a cross-sectional study consisting of 200 respondents. In addition, the elements of the sample were Malaysian customers using health insurance products and services. Practical implications This study suggests that customers of health insurance products are more concerned with perceived service quality and perceived satisfaction. The role of religiosity also plays a dominant role. As a result, managers of the health insurance service providers need to focus more on benefits of service varieties centered toward their target customers in order to gain higher patronage decision of health insurance products. Originality/value The study sought to address the gap of religiosity aspects in health insurance products through intensive literature and offer a conceptual framework that tested service quality, customer’s satisfaction and religiosity in one integrated model under the perspective of health insurance industry. More importantly, it also examines the influence of religiosity on patronage behavior, thus shedding insights into the opportunities for understanding consumers in detail.


2017 ◽  
Vol 24 (2) ◽  
pp. 298-317 ◽  
Author(s):  
Mohammad Asif Salam

Purpose The purpose of this paper is to understand the link between trust, technology and supply chain collaboration and their impact on firms’ operational performances. Design/methodology/approach Based on extant literature, a hypothesized model was developed and tested using structural equation modelling (i.e. AMOS). A survey was conducted to collect data from the supply chain managers of fast-moving consumer goods (FMCG) companies (more precisely in the food and beverage sector) in Thailand. Findings The study findings suggest that through an ongoing relationship, trust evolves and is shaped over time and can form a competitive capability that may not be easy for competitors to replicate. Both trust and technology are found to have significant impact on supply chain collaboration and on firms’ operational performances. Research limitations/implications One of the major limitations of the study is that the data were obtained from one single economy, which restricts its generalizability across other economies. The study was a cross-sectional and descriptive sample of the FMCG industry at a given point in time. A more stringent test of the relationships between trust, technology, supply chain collaboration and operational performance requires an in-depth case study or longitudinal study. Practical implications The findings will enable supply chain managers in the FMCG industry to understand the strategic role of trust and technology in building supply chain collaboration that leads to superior operational performance. Originality/value The paper clearly confirms that trust and technological capabilities are significantly associated with supply chain collaboration and operational performance. Most of the earlier supply chain collaboration research streams are based on developed economies where supply chain collaboration challenges are predictable, while the current study conducted is based on a developing economy setting. This study facilitates the author’s understanding of the challenges in managing supply chain collaboration within a developing economy.


2019 ◽  
Vol 31 (4) ◽  
pp. 1076-1094 ◽  
Author(s):  
Nguyen Thi Mai Anh ◽  
Lei Hui ◽  
Vu Dinh Khoa ◽  
Sultan Mehmood

PurposeThe purpose of this paper is to investigate the relationship between relational capital and supply chain collaboration (SCC) and how this relationship relates to innovation. The authors propose a theoretical framework to illustrate the effect of relational capital on three dimensions of collaboration and radical and incremental innovation.Design/methodology/approachThe paper has a quantitative approach. The authors conducted the survey to collect the data from 225 suppliers in the Hunan province of China. The proposed model is tested with exploratory factor analysis, confirmatory factor analysis and structural equation modelling.FindingsThe findings show that relational capital can facilitate information sharing and benefit/risk sharing when firms work together to achieve innovation. Furthermore, the results indicate that relational capital leads to radical innovation through facilitating information sharing among firms and helps in generating incremental innovation by encouraging firms to share risks and benefits with their partners.Practical implicationsThe findings of this study give some suggestions for managers of the firms in terms of building their collaborative strategies. Managers should exploit relational capital to build successful and long-term collaboration. Also, through relational capital, managers can share information to create radical innovation or pool risks and share benefits with their customers to achieve incremental innovation.Originality/valueThis study provides a nuanced understanding of the relationship between relational capital, different dimensions of SCC and innovation in the context of a developing economy. Moreover, the findings provide a clearer understanding of the collaborative mechanism of relational capital and collaboration to achieve radical and incremental innovation.


2018 ◽  
Vol 10 (3) ◽  
pp. 350-370 ◽  
Author(s):  
Erlinda N. Yunus

PurposeThe purpose of this study is to examine the relationship between supply chain collaboration and innovation. It particularly investigates the effect of collaboration on radical innovation and highlights the positive impact of innovation, both radical and incremental, on business performance.Design/methodology/approachA survey of 230 Indonesian firms was conducted and the instrument was tested for reliability and validity to warrant its psychometric properties. The data were analyzed using structural equation modeling.FindingsThis study reveals that collaboration with suppliers brings radical innovation, while collaboration with customers brings incremental innovation. Contrary to this study’s conjecture, albeit interesting, collaboration with customers negatively affects radical innovation. Both radical and incremental innovations further exert a positive influence over firm performance.Research limitations/implicationsThis study focuses on the relationships between supply chain collaboration, innovation and firm performance. The results enhance our understanding of types of innovation that are promoted by each dimension of collaboration. Further studies could extend the research by using a more elaborate measure of innovation or perform a longitudinal examination.Practical implicationsManagers are encouraged to pursue innovation as it improves firm performance. They could exploit their current partnership with customers to generate incremental innovation or leverage their supplier network to develop radical innovation.Originality/valueStudies that specifically investigate the impact of firms’ collaboration with their supply chain partners on radical innovation are quite scarce. This empirical study is among the very few to fill this void by providing an integrative assessment of customer, supplier and internal collaborations and their impact on both radical and incremental innovation.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shampy Kamboj ◽  
Shruti Rana

PurposeThe main objective of this paper is to study the role of supply chain performance (SCP) as a mediator between big data-driven supply chain (BDDSC) and firm sustainable performance. In addition, the role of firm age as a moderator between BDDSC and SCP as well as between SCP and firm sustainable performance has also been explored.Design/methodology/approachThe 200 managers of medium or senior level positions in micro, small and medium enterprises (MSMEs) located at Delhi-NCR have been contacted. Further, collected data have been confirmed with confirmatory factor analysis (CFA). In this paper, structure equation modeling (SEM) has been employed to empirically check the proposed hypotheses and their relationships.FindingsThe findings confirmed that SCP mediates the link between BDDSC and firm sustainable performance. Additionally, firm age moderates the association between BDDSC and SCP as well as between SCP and firm sustainable performance.Research limitations/implicationsThe role of SCP and firm age between BDDSC and sustainable performance have been examined in the context of MSMEs in Delhi-NCR and thereby limit the generalization of results to other industries and country contexts.Originality/valueThe present study adds to the existing literature via recognizing the blackbox using SCP and firm age to comprehend BDDSC and firm sustainable performance relationship.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Shih-Jung Juan ◽  
Eldon Y. Li ◽  
Wei-Hsi Hung

PurposeThis study aims to explore the relationships among the five components of supply chain (SC) resilience (SCRES): visibility, velocity, flexibility, robustness and collaboration and their impacts on the SC performance under disruption (SCPUD).Design/methodology/approachFive SCRES components are identified from the literature review and data are collected using an web survey from 113 manufacturing companies in Taiwan. The data are analyzed by structured equation modeling with the partial least square solution. Two-stage least-squares (2SLS) regression was used to test the potential endogeneity of SC collaboration (SCC).FindingsThe results reveal that SCC is an exogenous driver of SCRES; it directly affects visibility, velocity, flexibility, robustness and SCPUD. Furthermore, SC flexibility is the only component of SC agility that directly affects SCPUD; it is influenced directly by SC velocity and indirectly by SC visibility through SC velocity. SC visibility is a vital agility component that positively influences SC velocity and SC robustness.Research limitations/implicationsThe data in this study are cross-sectional and the sample size of 113 is relatively small. The relationship between SC robustness and SCPUD needs a longer observation period to reveal. The logistic issue in the shortage of carriers caused by the pandemic has been overlooked.Practical implicationsA firm should enhance its collaboration and flexibility in the SC as they both are the critical antecedents of SC performance (SCP) during the disruption period.Originality/valueThis study integrates visibility, velocity, flexibility, robustness and collaboration into a complete framework of SCRES. The dependent variable, SCPUD, measures SC performance (SCP) under the disruption caused by the COVID-19 pandemic. It is the first study to investigate the associations of the six constructs in a research model.


Kybernetes ◽  
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tu Ngoc Nguyen ◽  
Chao Hong Shen ◽  
Phong Ba Le

PurposeThe purpose of this study is to explore the influence of transformational leadership (TL) on a firm's radical and incremental innovation. It also deepens the understanding of appropriate mechanisms and conditions to improve specific aspects of innovation by examining the mediating role of knowledge management capability (KMC) and moderating mechanism of collaborative culture.Design/methodology/approachThis study utilized structural equation modeling (SEM) and cross-sectional design to test hypotheses in the proposed research model using survey data collected from 365 participants in 86 manufacturing and service firms.FindingsThe findings indicate that TL induces greater effect on radical innovation compared to its effect on incremental innovation. The mediating role of KMC between TL and aspects of innovation capability is also supported. Especially, the influences of KMC on specific aspects of innovation capability are different and depend on the degree of collaborative culture in an organization.Research limitations/implicationsFuture research should examine the mediating mechanisms of knowledge acquisition, knowledge sharing and knowledge application to provide deeper insight into specific roles of knowledge management's constituents in linking TL and innovation capability.Practical implicationsThe paper significantly contributes to increasing the understanding of the link between TL and specific aspects of innovation capability by highlighting the important role of KMC and positive effects of collaborative climate in an organization.Originality/valueThe paper is unique in the attempts to provide a prospective solution for firms to pursue and improve innovation based on the meaningful insights into the mediating role of KMC and moderating effect of collaborative culture in the relationship between TL and specific dimensions of innovation capability.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rahul Priyadarshi ◽  
Srikanta Routroy ◽  
Girish Kant

Purpose The purpose of this study is to analyze the post-harvest supply chain enablers (PHSCEs) for vertical integration to enhance rural employability, farmer profitability and rural produce marketability (i.e. market prospects) in the post-harvest supply chain (PHSC). The impact of vertical integration is also explored for various commercial produces. Design/methodology/approach A structural equation modeling (SEM) of PHSCEs for vertical integration was developed to enhance market prospects, rural employability and farmer profitability. The impact of business-to-business (B2B) and business-to-customer market prospects are explored in various dimensions for stakeholders such as farmers, manufacturers (processors), distributors and retailers. The fuzzy technique for order of preference by similarity to ideal solution (F-TOPSIS) was used to prioritize these PHSCEs to improve market prospects and rural employability. Findings The PHSCEs are clustered into three groups, namely, initiatives at the strategic frontier, initiatives at the tactical frontier and concerns for rural employability via vertical integration using exploratory factor analysis, confirmatory factor analysis and SEM to prove the null hypothesis. With F-TOPSIS results, the availability of warehousing was found to be the most crucial enabler when observing the PHSCEs from the initiatives’ perspective. The technology adaptability and availability, institute for training and research and information infrastructure and information visibility were found to be the key PHSCEs when observed from PHSC stakeholders’ perspectives. Research limitations/implications The implementation of this study will improve the rural produce marketability, rural employability, B2B marketing (i.e. effective distribution) and subsequent value chains with the practice of vertical integration for fresh produce at the rural level. Practical implications The outcomes of this study have a key role in developing the rural regions and improving rural livelihoods via value addition. The awareness of commercial cultivation and value addition in rural areas needs to be improved. This will help farmers to earn better revenues with improved market prospects in comparison to the revenues obtained from the cultivation of staple/conventional crops. Originality/value In an era of cold chains and food processing, this study aims to disseminate awareness about value addition for commercial and fresh produces at the rural level. The implication of this study will improve rural produce marketability, rural employability and farmer profitability at the rural level with the level of vertical integration.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Dindayal Agrawal ◽  
Jitender Madaan

PurposeThe purpose of this study is to examine the barriers to the implementation of big data (BD) in the healthcare supply chain (HSC).Design/methodology/approachFirst, the barriers concerning BD adoption in the HSC were found by conducting a detailed literature survey and with the expert's opinion. Then the exploratory factor analysis (EFA) was employed to categorize the barriers. The obtained results are verified using the confirmatory factor analysis (CFA). Structural equation modeling (SEM) analysis gives the path diagram representing the interrelationship between latent variables and observed variables.FindingsThe segregation of 13 barriers into three categories, namely “data governance perspective,” “technological and expertise perspective,” and “organizational and social perspective,” is performed using EFA. Three hypotheses are tested, and all are accepted. It can be concluded that the “data governance perspective” is positively related to “technological and expertise perspective” and “organizational and social perspective” factors. Also, the “technological and expertise perspective” is positively related to “organizational and social perspective.”Research limitations/implicationsIn literature, very few studies have been performed on finding the barriers to BD adoption in the HSC. The systematic methodology and statistical verification applied in this study empowers the healthcare organizations and policymakers in further decision-making.Originality/valueThis paper is first of its kind to adopt an approach to classify barriers to BD implementation in the HSC into three distinct perspectives.


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