The impact of supply chain relationships and integration on innovative capabilities and manufacturing performance: the perspective of rapidly developing countries

Dotun Adebanjo, Pei Lee Teh, Pervaiz K. Ahmed

Research output: Contribution to journalArticleResearchpeer-review

44 Citations (Scopus)

Abstract

The purpose of this research is to investigate the relationships between supply chain relationships/integration, innovative capabilities and manufacturing performance. The study adopts Institutional Theory and Resource-Based View Theory to assess relationships in 171 organisations drawn from three rapidly developing countries–Brazil, India and China. Data were collected using the International Manufacturing Strategy Survey (IMSS VI) and analysed using structural equation modelling. The study found that supply chain relationships and integration relate positively to both product and process innovative capabilities. The study also found that both product and process innovative capabilities relate positively to manufacturing performance. Furthermore, there was a positive relationship between product innovative capabilities and process innovative capabilities. The findings provide new insights into manufacturers in the three countries and show that the relationships they build with their customers have encouraged them to develop new innovative capabilities. These new capabilities, in turn, have enabled them to reap benefits of improved manufacturing performance.

Original languageEnglish
Pages (from-to)1708-1721
Number of pages14
JournalInternational Journal of Production Research
Volume56
Issue number4
DOIs
Publication statusPublished - 2018

Keywords

  • developing countries
  • innovation
  • innovative capabilities
  • manufacturing performance
  • supply chain management

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