Linking corporate strategy and supply chain management

Abstract

PurposeThe purpose of this paper is to research the nature of supply chain strategy (SCS). It represents one stage of an on‐going research initiative aimed at providing a framework for systematic understanding of the linkages between corporate strategy (CS) making and supply chain management (SCM).Design/methodology/approachThe paper explored the theory and literature related to strategic management and SCM. Four generic levels of strategy were linked to SCM, and synthesized into an explanatory SCS‐framework. Propositions for future research were presented based on the framework.FindingsThe paper shows that most of the literature on SCS relates to the functional level. Largely undiscovered are the links between corporate and business unit strategies with supply chain strategies and capabilities, especially on the network level (NL).Practical implicationsA fit between CS and SCM positively impacts the performance of a firm. The framework developed can be used by managers to assist in thinking through possibilities to link supply chain capabilities with the CS making processes.Originality/valueBy distinguishing between functional, business, corporate, and NLs, the paper provides a framework for future research to enhance knowledge related to supply chain strategies and capabilities.