Abstract
This paper presents a structural equation model for analyzing the relationship between four latent variables: infrastructure, production processes, transport benefits, and economic benefits within the supply chain for wine from La Rioja, Spain, by incorporating 12 observed variables. The model proposes six hypothesis that were tested using information gathered from 64 surveys completed by managers of several wineries in the region. The WarpPLS v.5® software (Version 5.0, Script Warp Systems, Laredo, TX, USA) was used to execute the model and analyze the direct, indirect, and total effects among latent variables. The results show that the control of production processes is a direct source of economic and transport benefits because of its higher explanatory power of those variables. Similarly, infrastructure is a direct source of transport and production benefits, and some of them are given indirectly. In addition, infrastructure does not have a direct effect on economic benefits; however, there were indirect effects given through production process and transport benefits. Infrastructure is a very important variable because of its influence in the final performance, but also because of its high environmental impact. Finally, economic benefits were explained in 43.8%, 19.1% belonging to production process, 21.1% coming from transport benefits, and 3.7% from infrastructure.
Highlights
In the global market, getting the right goods at the right time and place is as important as reducing costs, but to achieve it there must exist an efficient supply chain (SC)
Six hypotheses were proposed to analyse the relationship between Production Processes, Infrastructure, Transport Benefits and Economic Benefits
Based on the direct effect (0.393) of Infrastructure on Production Processes, it can be stated that in the wine SC, Production Processes depend on a level of 15.5% on the information and communication technologies (ICT) in each SC
Summary
In the global market, getting the right goods at the right time and place is as important as reducing costs, but to achieve it there must exist an efficient supply chain (SC). When the complexity of the SC is increased, a set of activities is required to ensure coordination among partners, generating the concept of SC management. This aims to effectively integrate suppliers, manufacturers, warehouses, and retailers in such a way that the appropriate amount of the product is produced and distributed at the correct time [2]. A good performance of the supply chain in the wine sector implies good economic and environmental behaviour [8] and, nowadays, in a globalized and customized environment, the real competence between companies is in supply chain efficiency and its impact on the environment [9] and in this way, the partner’s integration is required
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