RELATIONSHIP ORIENTED SUPPLY CHAIN: INTERNATIONAL EVIDENCE

Abstract

Measuring Supply chain performance is vitally essential for gauging the efficiency of modern supply chains. There are many methods of measuring supply chain performance that rely mainly on financial indicators, which are used for benchmarking to draw comparisons among organizations. The performance of a supply chain is significantly influenced by various factors, with a primary emphasis on the firm’s financial performance indicators. Additionally, literature suggests that management styles vary between eastern and western companies, potentially impacting supply chain performance, although empirical evidence supporting this notion is lacking. This research aims to address the inquiry of whether distinct management styles across companies affect supply chain performance. The investigation involves analyzing the financial indicators of sample firms and their investments in suppliers, establishing a correlation between management approach and supply chain efficiency. The research is conducted on the automotive industries of 6 major eastern and western countries and regression analysis is performed on the collected dataset of automobile manufacturers from Capital IQ. The results show that integration of supplier in sample firm and investment of sample firm in the supplier have no statistically significant effect on the performance of sample firm.