Supply chain dynamism and ambidexterity for sustainable performance

Abstract

Supply chains today operate in dynamic business environments and have options to exercise exploration to identify long-term opportunities and exploitation to maximise the current prospects towards sustainable performance. Hence, this study investigates how supply chain dynamism influences SC (supply chain) ambidexterity as supply chain capabilities to ensure sustainable performance under uncertain environmental conditions. The study tested sixteen hypotheses from extant literature through 361 surveys gathered from various industries and types of organisations. Data is analysed using variance-driven structural equation modelling. The findings illustrate supply chain dynamism’s positive influence on SC ambidexterity and sustainable performance indicators. Supply chain dynamism and environmental uncertainty do not benefit supply chain exploitation. Supply chain exploitation contributes more towards sustainable performance than supply chain exploration. Supply chain exploitation contributes more towards environmental performance than other indicators (social and economic) of sustainable performance. The study presents the implications for theory and practice, along with the scope for future research and concludes with key highlights.