Linking supply chain practices to competitive advantage

Abstract

PurposeThe purpose of this paper is to present an integrated modelling framework that links management action to supply chain processes and then to competitive advantage.Design/methodology/approachUsing survey responses about supply chain management in the Australian beef processing industry, regression analysis was used to develop a model simultaneously explaining the links from management action to supply chain processes and on to competitive advantage.FindingsA relatively simple regression model was established that should be widely applicable in agri‐food processing industries. In the context of our example industry, the results suggest that there is a strong link from some supply chain practices to competitive advantage, with trust and information quality being important drivers of the process.Research limitations/implicationsBeing based on a survey approach, a limitation is that that the results show managers' perceived influences on supply chain performance, not the influences observed by the researchers.Practical implicationsThe regression method provides an easy way of summarising the links between supply chain practices and competitive advantage. This method may be generally applicable across agri‐food industries, particularly those with many small and medium‐size food enterprises.Originality/valueThis research provides a new method of integrating various aspects of supply chain management and competitive advantage. The method has the great advantage of parsimony.