The Effect of Facility Management in Supply Chain Security Operational Performance and Firm in Malaysia

Abstract

Purpose - The security issue in supply chains is among the most pressing concerns that firms are currently facing. As a preliminary attempt to address this lack of empirical research, the primary purpose of this paper is to explore the relationship between security practices and the security operational performance with respect to security culture as a moderator. Design/methodology/approach – Data were collected through a survey questionnaire responded by 100 senior executives in the industry in Malaysia. The relationships proposed in the developed theoretical framework were represented through three hypotheses: H1- there is a significant relationship between professionalism and contract compliance. H2- There is a significant relationship between processing and contract compliance. H3- there is a significant relationship between specification and contract compliance. Linear regression, ANOVA and Pearson correlation were used to test the hypotheses. Findings – Strong evidence was found of a positive relationship between regulatory measures, customer pressures with the green purchasing supply chain. Green purchasing was most strongly influenced by regulatory measures and customer pressures, whilst social-cultural responsibility was most strongly influenced by green purchasing supply chain. Practical implications – This study will assist supply chain managers and logisticians to re-examine their existing supply chain security model by considering the selected supply chain security practices, which have a significant impact on supply chain security operational performance. Individual firms need to strategize their business model with the inclusion of security aspects, which will surely create a competitive advantage over other players in the logistics industry. Firms can develop the best appropriate supply chain security model that will benefit the firm, customers, and business partners, such as suppliers and local authorities. Originality/value - The study highlights is the important role of the supply chain security practices to deliver high quality of service in terms of supply chain security operational performance in emerging countries. In addition, it offers an empirical analysis of the moderating role of security culture on the relationship between supply chain security practices and security operational performance.