THE MODERATING EFFECT OF COLLABORATIVE CULTURE ON SUPPLY CHAIN COLLAB-ORATION TOWARDS COMPETITIVE ADVANTAGE: THE CONCEPTUAL MODEL

Abstract

In the current challenging business environment, firms find it difficult to be exclusively. Not only do the firms continue to leverage their internal sources for competitive advantage but also collaborate with partners along the supply chain vertically and horizontally. The collaboration results in revenue enhancements, cost reductions, and operational flexibility, especially, in managing an uncertain demand. Many previous studies have relatively emphasized on the conditions or factors affecting supply chain collaboration but still lacked one of the main supporting elements, known as collaborative culture. Thus, the role of collaborative culture on supply chain collaboration is unclear. The aim of this research is to investigate the moderating effect of the collaborative culture on the relationship between supply chain collaboration and competitive advantages.This paper is proposing a conceptual model to explore the role of collaborative culture. Reviewing literature from the preceding research is employed as the research methodology to construct a conceptual model. Measurement of each latent variable is performed by supply chain collaboration, competitive advantages, and collaborative culture. Supply chain collaboration is analyzed by resource sharing, decision synchronization, and incentive alignment. Competitive advantage is investigated in terms of process efficiency, offering flexibility, business synergy, quality, and innovation. Lastly, the collaborative culture is examined by four factors, namely, collectivism, long-term orientation, power symmetry, and uncertainty avoidance. The implication of this research is to create a better understanding of the role of collaborative culture in order to enhance and sustain supply chain collaboration. Moreover, the results will help in resolving the obstacles of supply chain collaboration and in promoting the positive collaborative culture element(s) to strengthen the collaboration along the supply chain.