The effect of supply chain responsiveness on customer development

Abstract

PurposeThe study examines how supply chain responsiveness (logistics process responsiveness, operations systems responsiveness and supplier network responsiveness) impacts the ability of firms to attract, satisfy and retain customers.Design/methodology/approachUsing a quantitative approach, a total of 250 questionnaires were distributed to firms in the Kumasi metropolis in the Ashanti Region of Ghana, with 100 useable responses retrieved. The effect of supply chain responsiveness on customer development was analysed using partial least squares structural equation modelling.FindingsThe findings showed that operations systems responsiveness and supplier network responsiveness drive the logistics systems responsiveness of firms as hypothesized. It was also revealed that operations systems responsiveness and logistics process responsiveness enhanced customer development, but supplier network responsiveness did not. Logistics process responsiveness additionally partially mediated the effect of operations systems responsiveness on customer development.Originality/valueTo the best of the researchers' knowledge, no previous studies have empirically examined interrelationships between the dimensions of supply chain responsiveness. Additionally, no previous study has examined the effect of supply chain responsiveness on customer development.