Impact of Information Exchange and Supply Chain Integration on Supply Chain Performance

Abstract

Supply chain integration is widely used by both practitioners and researchers, because of an essential role to enhance competitive advantage in supply chain. Organizational competences, such as relational competence(RC) and information technology (IT) competence, have been recognized as influencing factors to promote supply chain integration (SCI) for obtaining supply chain performance. In this paper, we intend to extend the stream of research in supply chain management (SCM) by systematically identifying the antecedents and consequences of supply chain integration between supply chain partners. We empirically tested the research model using data collected from senior managers of 122 manufacturing firms in South Korea. The results indicate that relational competence and IT competence in supply chain are positively related to supply chain integration. Information exchange is directly related to supply chain performance, Also, it has the positive impact between organizational competences and supply chain performance through its positive effect on supply chain integration. Our results provide strong support for the notion of information exchange and supply chain integration to enhance supply chain performance. Implications for future research and practice are offered.