Performance Of Supply Chain System Research Articles

Evaluating Performance Measurement Metrics for Lean and Agile Supply Chain Strategies in Large Enterprises

Previous research has identified metrics that are applicable to both lean and agile strategies and has hypothesised that financial and efficiency metrics are more relevant to the lean supply chain strategy, while customer service and flexibility metrics are more relevant to the agile supply chain strategy. These metrics need to be assessed empirically to confirm their relevance and validate these hypotheses. Drawing upon contingency theory, which mandates that supply chain performance metrics should vary based on the supply chain strategy, the research methodology resulted in developing a survey instrument that has been subsequently tested in 45 large enterprises and analysed by Partial Least Square-Path Modelling using XLSTAT software v.2020.4. The results support the existing beliefs and suggest that financial and efficiency indicator sets are more applicable to the lean supply chain strategy, whereas customer service and flexibility indicator sets are more pertinent to the agile supply chain strategy. This research distinguishes itself, through its novelty, in validating an adaptable framework for supply chain performance metrics, acknowledging the necessity of developing a suitable supply chain performance system. Ultimately, the findings of this research might serve as an initial foundation for practitioners in shaping the design of supply chain performance systems since the strong relationship between SC strategies and specific metrics may serve as a strategic approach to evaluate and improve performance.

The Impact of Proactive Resilience Strategies on Organizational Performance: Role of Ambidextrous and Dynamic Capabilities of SMEs in Manufacturing Sector

The challenges of the global business environment foster small medium-sized enterprises (SMEs) to continuously improve their performance in the level of vulnerability to possible impacts and interruptions in their operations that may affect their sustainability. Resilience strategies and ambidextrous capabilities have become important determinants of organizational performance, which has developed as an emerging area of interest in supply chain management in recent years. SMEs are one of the major contributing sectors to the Malaysian economy. Therefore, SMEs have been forced to survive in the current market situation to ensure higher economic growth and competitiveness. The resilience strategies and ambidexterity capabilities are important determinants of SMEs’ performance. As such, this study aims to examine the relationship between proactive resilience strategies, ambidextrous capabilities, and the performance of SMEs in the manufacturing sector, drawing on the dynamic capabilities perspective. A quantitative research design is adopted, a structured survey questionnaire is used, and data are collected from 351 SMEs in the manufacturing sector. Partial least squares structural equation modeling (PLS-SEM), Smart PLS 3.0 is used to test both direct and mediating results. The findings of this study suggested that proactive resilience strategies may have a significant influence on organizational performance of SMEs. Ambidextrous capabilities also act as a strong mediator between proactive resilience strategies and organizational performance. These findings contribute to the dynamic capabilities literature by highlighting the importance of proactive resilience strategies and ambidextrous capabilities in enhancing the positive impact on organizational performance in SMEs. This study provides a plausible explanation of two important management mechanisms for enhancing organizational performance sustainability. The relationships between proactive resilience strategies, ambidextrous capabilities, and organizational performance are malleable. This study also suggests that fostering formal and informal relationships might hold the key to the sustainable performance of SMEs in the long term. This study’s practical contributions are improving the knowledge and performance of supply chain systems for SMEs in the manufacturing sector and enhancing their competitive power in domestic and international markets.

Exploitation, exploration and ambidextrous strategies of SMES in accelerating organisational effectiveness

PurposeThis study aims to analyse the resilience strategy utilized by small and medium-sized enterprises (SMEs), enabling these businesses to effectively adapt their operations in response to varying conditions by providing them with essential resources. SMEs operate in marketplaces that are both dynamic and frequently tumultuous. These markets provide SMEs with a variety of obstacles, including economic ups and downs, advances in technology, evolving customer tastes and new regulatory requirements. SMEs need to create a strategic strategy to survive and grow in such situations. This strategy ought to help strengthen their resiliency and make it possible for them to make the most of emerging opportunities while simultaneously lowering the dangers.Design/methodology/approachThe questionnaires adopted and adapted from previous research served as the basis for gathering the data. The manufacturing industry was polled through the use of questionnaires. To test the hypothesis, the data were analysed using Smart PLS. Through the use of closed-ended questions directed to the proprietors, managers or senior executives of SMEs, data were collected from each and every institution in the sample. Following the examination of the data by means of descriptive analysis and the presentation of several scenarios using information relating to SMEs, the findings were presented.FindingsThe ambidextrous strategies that are used by SMEs have a propensity to offer a constructive contribution to SMEs. In this study, it was discovered that ambidexterity, which is defined as the capacity to both seek and capitalise on possibilities, has a significant bearing on the organisational effectiveness of SMEs. The results showed that ambidextrous strategies have a propensity to work as mediators in interactions involving proactive resilience tactics and performance.Research limitations/implicationsThe research expands our understanding of how SMEs in the manufacturing sector may improve their performance by concentrating on growing their ambidextrous strategies.Practical implicationsThis study provides a plausible explanation of two crucial management mechanisms for enhancing the sustainability of organisational effectiveness. The relationships between ambidextrous capabilities and firm effectiveness are malleable, and this study suggests that nurturing formal and informal relationships may be the key to SMEs' long-term sustainable performance. Improving the knowledge and performance of supply chain systems for SMEs in the manufacturing sector and boosting their competitiveness in domestic and international markets are the practical contributions of this study.Social implicationsOur comprehension of monitoring, cooperation and innovation within social management was deepened as a result of these facts. In addition, the study conducted in the sector uncovered four essential connections that outline how managers should actively work towards lowering social risks, developing new possibilities and increasing business performance. These capacities and links, when taken as a whole, provide the foundation upon which an integrated framework and five research propositions are built.Originality/valueThis research offers a convincing explanation of fundamental management processes for enhancing the sustainability of organisational effectiveness. This research implies that developing formal and informal interactions may be the key to the sustainable performance of SMEs over the long run. The relationships between ambidextrous capabilities, methods and organisational effectiveness are flexible, and this study also suggests that these relationships may be shaped. The practical contributions made by this research include boosting the understanding and performance of supply chain systems for SMEs as well as the competitive power of these businesses in both local and international markets.

Mathematical depiction of costing perspectives allied with the dynamics of processed food supply chain

PurposeThis study aims to ground the assessment of the various costing perspectives associated with the dynamics of processed food supply chains (FSCs), for questing the avenues of profitability within a food processing enterprise.Design/methodology/approachThis study underpins the development of the relation hierarchical model, binding the cluster of the key costing enactors, with the various incurred costs in the food supply chain performance system. The developed model is seeded by the inputs gathered from the case enterprises under consideration, which is further contemplated by extending the fundamentals of bipolar fuzzy sets with the methodology of ELECTRE-II.FindingsSecured primacies owing to the mutual correspondence between the costing cluster reveal the impact of procurement cost in the dynamics of FSC. Furthermore, an inference is grounded relative to the other entities of total costs like investment, production, transportation, distribution and retailing by considering the perspective of a case enterprise. It yields that procurement costing procedurals need to be deliberated supremely, considering the vitality of the costing perspective associated with the other procedurals of the case enterprise.Originality/valueThe framework developed in the presented work clusters the various costing enactors along with the costings in processed FSCs, binding its holistic perspective rather than the discrete approach. The present research work provides an origin to explore the various miniatures more precisely succeeding to secure primacies for upscaling the profit-cost notions. As costing determines the avenues bundled with the production and consumption of various food commodities.

Valuation of inter-boundary inefficiencies accounting IoT based monitoring system in processed food supply chain

Nowadays, demand for processed food items is escalating towards the record consumption volume, which resulted in the surging of the Food Supply Chain (FSCs) network. But, the flow of the commodities through the various channels of the FSC is hampered by the various inefficiencies, which persist due to a lack of monitoring. This results in the widening of the gap between the supply and demand patterns allied with it. To tackle the same, and cater to the upwelling shares of the consumer demand, the dynamics of the Food Supply Chain Performance System (FSCPS) need to be tuned with the avenues of Industry 4.0 practices. Presented work clusters the various attributes of the inefficiencies, which hampers the processed FSCs dynamics and maintenance-related activities, elaborated by their sub-attributes based upon their events of occurrences. A model comprising the various attributes and sub-attributes of inefficiencies constrained outside the organizational boundaries of a firm’s FSC is rendered in this study. For effective handling of the mutual interdependencies persisting between the attributes, the methodology of the Graph Theory and Matrix Approach (GTMA) is exercised for the analysis of the developed model. Outcomes of the presented work felicitate the managers of industries, its allied corporates and numerous stakeholders of the FSC to ground a robust decisional framework, governing policies and managing the process permutations.

Effect of Connected and Autonomous Vehicles on Supply Chain Performance

This paper proposes a simulation framework that quantitatively assesses the direct and indirect effects of connected and autonomous vehicles (CAVs) on a supply chain system by varying the levels of CAV market penetration and driverless truck adoption. To quantify CAV effects on transportation network, this paper first collects secondary data and adopts simulation parameters and equations from existing literature. The results from transportation analysis are then incorporated into supply chain analysis to evaluate how CAVs would change supply chain performance measured by total travel time, greenhouse gas emissions, and supply chain cost. As the performance of supply chain systems involving perishable or semi-perishable products is highly sensitive to CAV market penetration rate and driverless truck adoption rate mainly because of reduced travel time, this paper uses fresh potato supply chain systems as an illustrative example. The case study results indicate that CAVs can greatly improve supply chain performance directly and indirectly by decreasing total travel time and supply chain costs, whereas emissions are reduced primarily through the adoption of driverless trucks in the supply chain system. The effect of CAVs on supply chain performance becomes even greater when commodities travel longer distances. This study will allow supply chain managers (and grocery delivery companies) to better understand how supply chain design and operation could be transformed and reoptimized in response to the introduction of CAV technologies. The research outcomes would help them better utilize the opportunities and address possible challenges that may arise as a result of CAVs.

Research on Supply Chain Quality Decision Model Considering Reference Effect and Competition under Different Decision-Making Modes

The reference effect of consumers’ product quality and service quality is an important behavioral factor that affects consumers’ purchase decisions. In this paper, considering the inherent dynamics of the operation mode, the two were combined into a product-service supply chain composed of a manufacturer and two competitive retailers, and the service reference effect was further divided into horizontal and vertical service reference effects. Differential game models between the manufacturer and the retailers were constructed. Using the continuous dynamic programming theory, the manufacturer’s quality level strategy, retailer’s service level strategy and supply chain system performance under the modes of no cost sharing decision, cost sharing decision and centralized decision were analyzed and compared. Main findings: The optimal strategy of product quality under centralized decision is greater than the corresponding value under cost sharing contract decision. Compared with decentralized decision making of no cost sharing, cost sharing contract cannot promote the manufacturer to improve product quality. Different from previous studies, the service quality under centralized decision making is not higher than other decisions. When the horizontal reference effect of service quality meets a certain condition, the supply chain profit under centralized decision making is lower than the corresponding value under decentralized decision making.

Performance Optimization of Industrial Supply Chain Using Artificial Intelligence.

Nowadays, organized retailing has witnessed a newer trend in the upcoming generations. Globally, these changes are attributed to growing family income, increased female participation, the transformation from joint to nuclear family structure, and technological advancements. Moreover, other variables such as lower supply chain costs, growing sales, rising consumer demands, changing market structure, and increasing competition also influenced supply chain networks. It is observed that the organizational nonlivestock supply chain performance is affected by strategic, operational, and environmental aspects. AI is helping to deliver powerful optimization capabilities, which are required for more accurate capacity planning, improved productivity, high quality, lower costs, and greater output, all while fostering safer working conditions. These benefits are all made possible thanks to the introduction of AI in supply chains. By conducting a comprehensive analysis of the relevant previous research, the purpose of this work is to determine the specific contributions that artificial intelligence (AI) has made to supply chain management. This research attempted to discover the present as well as possible AI strategies that may increase both the study of Supply Chain Management as well as the practice of it. This was done in order to solve the current scientific gap of AI in Supply Chain Management. It was also found that there are holes in the existing study that need to be filled by more scientific investigation. To be more exact, the following four facets were discussed: (1) the AI approaches that are most often used in Supply Chain Management; (2) the AI techniques that have the potential to be used in Supply Chain Management; (3) the Supply Chain Management subfields that have benefited from the application of AI so far; and (4) the subfields that have a high potential to be improved by AI. Identifying and evaluating articles from the four supply chain management domains of logistics, marketing, supply chain management, and manufacturing require the use of a predetermined set of inclusion and exclusion criteria. In this study, insights are provided via the use of methodical analysis and synthesis. A better understanding of these parameters not only improves the nonlivestock supply chain processes but also ensures competitive advantage. The present research aims to test the following elements that including supply chain speed, customer retention, supply chain management integration, and various management. The proposed work categorizes the performance of the supply chain using the Improved Feed Forward Network with Particle Swarm Optimization technique. Results indicate that inventory management, customer happiness, profitability, and client base identification are listed as competitive advantage elements. On the other hand, stakeholder satisfaction, innovation and learning, market performance, customer satisfaction, and financial success are the six recognized organizational performance criteria. Resultantly, the overall performance metrics of the proposed work is 94.12%, while accuracy rate, specificity, and sensitivity rate are found to be 94.12%, 92.15%, and 89.14%, respectively. The research can be helpful for industrial managers to optimize the performance of supply chain systems using artificial intelligence.

Demand Forecasting Application with Regression and IoT Based Inventory Management System: A Case Study of a Semiconductor Manufacturing Company

The accuracy of demand forecasting has a significant impact on the supply chain system's performance, which in turn has a major effect on company performance. Accurate forecasting will allow the organization to make the best use of its resources. The synchronization of customer orders to support production is critical for on-time order fulfillment. However, In fact many organizations report that their forecasting method is not working as effectively as they had hoped because orders regularly alter due to client demands. The purpose of this paper is to present an Internet of Things (IoT)-based inventory management system (IMS) that combines a causal method of multiple linear regressions (MLR) with genetic algorithms (GA) to improve the accuracy of demand forecasting in the future period by the customer as closely as feasible and enable smart inventory for Industry 4.0. Based on the data gathered from a semiconductor company that specializes in low-volume, high-mix contract manufacturing equipment and services integration, the suggested IoT-based IMS indicates that inventory productivity and efficiency could be enhanced, and it is resilient to order fluctuation.

Supply Chain Management Performance Factors Evaluation with Analytical Hierarchy Process (AHP) and SWARA

In today’s increasingly globalized world, supply chains are of great importance. The success of companies depends on the performance of the supply chain. A raw material or the entire supply chain of activity and information flow of the service from the supplier to the customer it is the management. Supply chain management is a very wide range of processes that cover many activities occurs. Due to the complex structure of the supply chain, performance measurement can be challenging. When evaluating supply chain performance, each a member should not be evaluated individually, but should be looked at throughout the chain. While designing the supply chain performance system, criteria covering all processes of the chain should be selected. In this study, using the Analytical Hierarchy Process (AHP) and SWARA methods, some critical factors of supply chain performance have been identified by consulting experts. The most important criteria selected as a result of the applications were determined, and then the most important main and sub-criteria affecting the supply chain performance were selected. While using the supply chain performance model, other criteria were listed in order of importance, interpreted and necessary suggestions were made.

Online-Retail Supply Chain Optimization with Credit Period and Selling Price-Dependent Demand

Credit payment strategies have been implemented widely in the online retail industry. This work studies an online-retail supply chain involving credit period and selling price-dependent demands. The participants of the supply chain form a Stackelberg game where the supplier as a follower sells products to the customers through an online platform provider, who as a leader provides a credit period to customers and charges the supplier based on the quantity of goods sold. We study and compare the supply chains when the online platform provider adopts the cash payment and credit payment strategies, respectively, to investigate the effects of the credit period, the selling price and the default risk on supply chain system performance. We also investigate these supply chains under both the centralized and decentralized settings and provide an example to illustrate a simple allocation mechanism to coordinate the decentralized supply chain. Finally, an extension of the supply chain with credit payment is given.

Depiction of possible solutions to improve the cold supply chain performance system

PurposeA poor performance of the cold supply chain (CSC) may increase the loss of quality and potency of perishables and temperature-sensitive products that deteriorate the financial and environmental aspects of the same. The purpose of the current research work is to identify the critical performance factors (criteria) and their co-factors (sub-criteria) that are responsible for the performance measurement of CSC and suggest the best possible solutions (alternatives) to improve the same.Design/methodology/approachTo achieve the objective of the research, a hierarchical model has been developed and analyzed using Analytic Hierarchy Process (AHP)-Fuzzy TOPSIS as a hybrid approach to obtain the severity weights of the identified criteria and prioritization toward their relative importance for the best possible alternatives.FindingsAnalysis reveals that the criteria “energy consumption” comes out to be the most critical criteria, and alternative “application of passive cold devices” is the most effective solution for improving the performance of CSC. Higher energy consumption leads to a higher rate of greenhouse gas (GHG) emissions increasing the global warming phenomenon, high operational cost and degradation of natural energy resources. The Application of Passive Cold Devices (PCDs) utilizes solar energy to operate the refrigeration units reducing the energy consumption, environmental and operating cost of CSC.Research limitations/implicationsThe research work provides several insights into the critical issues related to the CSC and suggests significant findings that enable the management and decision-makers to adopt these practices for performance evaluation and improvement of the same. The key findings of the work, such as “application of passive cold devices” and “application of IoT in cold chain logistics”, facilitate an improved platform to improve the CSC performance and proposed several directions that will enhance the merit of future research.Originality/valueThe presented study consolidates the various perspectives associated with CSC performance, explores the most critical criteria and proposes the best suitable cold chain practices for organizational growth. The work also provides an analytical analysis with the essence of practicalities and sensitivity analysis to support the robustness of the results. By enriching the literature and quantitative analysis of the new proposed model, this paper forms vast managerial and research implications in the field of CSC.

Designing supply chain performance system: a strategic study on Indian manufacturing sector

PurposeA well-designed supply chain performance measurement system, should account for not only the capabilities and performance attributes of the focal firm but also its supply chain partners. The purpose of this paper is to help design a system that strikes a balance between the strategic objectives of the focal firm and its supply partners vis-à-vis the requirements of supply chain performance (cost, quality, speed and customer taste).Design/methodology/approachA theoretical framework on the strategic supply chain performance measurement system is developed based on existing literature and subsequently tested using a survey on 136 successful manufacturing organizations in India. The organizations were clustered into three strategy types and compared using analysis of variance on ranks to look for differences in preference for performance parameters.FindingsThe study examined the five dimensions of the supply chain practices, namely, strategic supply/distribution network, customer relationship, internal operations, information sharing and social and environmental responsiveness. The empirical results demonstrate the inclusion of business strategy orientation in designing today’s supply chain and hence its performance measurement system. Not supported hypotheses were addressed in the light of contextual factors.Research limitations/implicationsThe study is confined to finding preferences of non-financial aspects of supply chain performance and tier-1 suppliers. The research helps better design and benchmark supply chain performance metrics, based on the strategic choice of the firm.Originality/valueThis paper highlights the shortcomings in the existing performance measurement and gaps in the existing literature in the supply chain context. Further, it gives a holistic view of strategic supply chain performance measurement design.

Effects of supply chain competition on firms’ product sustainability strategy

The competition between supply chains becomes increasingly popular with the development of economic globalization. Sustainable development is an important issue and attracts considerable attention from industrial and academic communities, especially under the competitive environment, because of the huge and rapid assumption of natural resources and global warming. In this study, we consider a setting with two competitive supply chains, and each chain is consisted of an upstream firm and a downstream firm. The two downstream firms compete with each other only at the product sustainability level. Using a theoretical game model, we explore how supply chain competition affects firms’ strategy on product sustainability and profits by considering four cases in which the supply chains can be integrated either vertically or horizontally. Results show that the existence of horizontal competition, vertical competition, and competition between sustainable products play important roles in determining firms’ decisions. In particular, the existence of horizontal competition can stimulate firms to increase the level of product sustainability and improve the supply chain system’s profit under some conditions. However, the presence of vertical competition will stop firms from improving the product sustainability level but increase the performance of supply chain system under certain conditions. Depending on the degree of competition between sustainable products, the supply chain can strategically decide whether or not to integrate the system either vertically or horizontally.

PENINGKATAN KINERJA, MITIGASI RISIKO DAN ANALISIS KELEMBAGAAN PADA RANTAI PASOK CABAI MERAH DI KABUPATEN GARUT

Supply chain of red chilli has not integrated and involves all actor like farmers, collectors, traders, suppliers and industry. This condition creates instability in the quality of red chilli on the market, supply availability and price fluctuations. The purpose of this research was to study the mechanisms, performance, risk mitigation and institusional analysis of the supply chain using the Van de Vorst method, SCOR-AHP method, House of Risk (HOR) and Interpretative Structural Modeling (ISM). The location of this study was in Garut District, the highest production of red chili in West Java. The supply chain mechanism was approached through four elements, namely a) supply chain structure, b) chain business processes, c) network management and chain coordination, and d) chain resources used. The supply chain performance system has five levels of hierarchy, namely goals, business processes, criteria, attribute, and performance metrices. Results showed that the supply chain performances of the red chilli at farmers, collector, suppliers, and small medium enterprise (SME) were 74.6%, 76.8 %, 82.5%, 81.9%, respectively. Risk priorities showed there were 10 at the farmer, 9 at the traders, 11 at the supplier, and 10 at the industrial stage. Information on supply chain performance is expected to enable actors in the red chili supply chain to improve coordination, integration between actors, fulfillment of production facilities, proper implementation of Good Agricultural Practices (GAP), and distribution mechanisms, so that can optimally fullfil the consumer demand and minimize yield loss to improve competitiveness in the red chili industry. Keywords : Supply chain, performance, risk mitigation, institutional analysis

Coordination and Enhancement Schemes for Quick Response Mass Customization Supply Chains With Consumer Returns and Salvage Value Considerations

Mass customization (MC) programs are commonly seen in the real world. Many companies offer consumer returns and quick delivery for their MC products to the market. Thus, the quick response (QR) strategy is crucial for MC supply chains. Prior studies in related areas only examine MC supply chains with limited features and topics, such as measures for win-win coordination or profit risk analysis, but without a comprehensive consideration of these aspects together. Besides, the systems enhancement schemes are not yet explored. This paper aims to fill these gaps and generate novel insights. Among the findings, we show that a higher salvage value of the consumer returned items and a higher salvage value of the unused inventories both can reduce the value of QR for the supplier. We illustrate how a simple two-part tariff contract and a sophisticated hybrid contract can achieve win-win coordination with different levels of flexibility. We also conduct a profit risk analysis on the MC supply chain. Finally, we demonstrate how three practical measures, namely technology investment, product design improvement, standardization of component, can further improve the MC supply chain system's performance.

Modelling performance of supply chain system and its antecedents: an empirical study

Modelling performance of supply chain system and its antecedents: an empirical study

Investigation on How VMI affects Ongoing Performance of Supply Chain System

Investigation on How VMI affects Ongoing Performance of Supply Chain System

Factors contributing to medicines wastage in public health facilities of South West Shoa Zone, Oromia Regional State, Ethiopia: a qualitative study

BackgroundMedicines wastage is one of the challenges of health supply chain management in developing countries including Ethiopia. However, there is lack of objective evidence on the detailed underlying causes of medicines wastage. Therefore, the aim of this study is to explore factors contributing for medicines wastage in selected public health facilities of South West Shoa Zone, Oromia Regional State, Ethiopia.MethodsA qualitative study was conducted in 10 public health facilities (1 General hospital and 9 health centers). An in-depth interview with flexible probing techniques was employed to collect the data from 20 key informants from May 2, 2016 to May 27, 2016. A semi structured interview guide was prepared to explore key informants’ idea about current situation of contributing factors and efforts made to reduce medicines wastage in public health facilities. A thematic analysis was then used to analyze the data.ResultsAlmost all key informants felt that medicines wastage is increasing from time to time in their health facility due to supplier’s issuing of medicines without health facilities’ needs and request, failure to follow first expired first out principle in issuing medicines from stores to different dispensing units, lack of communication between supplier and health facilities, inadequate number of pharmacy personnel and weak monitoring system of supply chain in the health facilities. They also revealed budget constraint, stock out of medicines and congested store are of the major challenge that are compromising their service provision.ConclusionMedicine wastage is an ever-increasing problem in public health facilities of South West Shoa Zone. The problem is exacerbated due to absence of mechanisms to minimize the wastage. Health facilities, therefore, should place a mechanism to exchange medicines from overstocked facilities to under stocked ones; has to improve store management capacity by employing competent professionals, equipping the store with necessary technology and introducing a monitoring and evaluating health supply chain performance system in the health facilities.

Modelling Performance of Supply Chain System and its Antecedents: An Empirical Study

Rapidly changing global business environment makes the supply chain to face numerous challenges and sets rigorous target requirements for continuing the operations. To sustain in this unpredictable environment firm needs strategy on supply chain flexibility (SCF). We intend to empirically examine the impact of supply chain flexibility on supply chain performance (SCP) and also to identify the antecedent variables to SCF. This study includes 249 samples from manufacturing industry. We used structural equation model with a partial least square (PLS-SEM) approach for examining the model and SmartPLS 2.0 software was used for analysis. The result indicates that the SCF significantly contributes to the supply chain performance namely demand management, supply chain reliability (SCR) and supply chain knowledge development. The mediation analysis shows that SCF partially mediates the relationships between supply chain capabilities and supply chain performance. The findings contribute to the existing literature and also provide direction for further research in SCF.