Unfolding the Linkage Between SCM Practices and Customer Responsiveness in Indian Automotive and Aerospace Manufacturing Firms

Abstract

The study examines how the supply chain management (SCM) practices impact customer responsiveness, and the same has been tested empirically with the help of a conceptual framework based on a literature review. Previous studies on the relationship between supply chain variables and competitive advantage have been presented earlier with variables including customer satisfaction, quality and flexibility. Still, there is a shortage of literature on customer responsiveness. This study attempts to conduct a structured study well supported by the existing literature to establish the mentioned linkage. The study sample includes 433 employees from 10 Indian automobile and aerospace manufacturing organizations, and the responses have been analysed with structural equation modelling (SEM) and bivariate regression. The study establishes the linkage between SCM practices and customer responsiveness. The results infer that supply chain practices are antecedents to customer responsiveness. The study has also scrutinized the specific items of SCM practices construct that highly influences customer responsiveness. This study also highlights and identifies the research on the linkage between SCM practices and customer responsiveness in the Indian context. For practitioners, this study offers advice for effective policymaking to have more excellent customer responsiveness by concentrating on the specific elements of each SCM practice.