Does supply chain complexity drive supply chain integration?

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Date
2023
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KNUST
Abstract
Due to the competitive advantage of enterprises’ performance, the sustainable supply chain environment is drawing more and more attention from supply chain (SC) management. One of the major dangers in reaching the organizational objective is believed to be growing supply chain complexity (SCC), which can have a negative effect on cost, on-time delivery, profitability, operational effectiveness and customer satisfaction. Supply chains are incredibly complicated due to increased globalization, fluctuating client demands, expanded product lines, uncertainty over supplier performance and several other associated variables. The literature is conflicting, despite prior studies suggesting that supply chain complexity is a key factor in determining performance results. Consequently, a more detailed analysis is needed. The study aimed at examining the relationship between supply chain complexity and supply chain integration. The study adopts a quantitative research design. A structured questionnaire was developed which was used in the collection of data from 80 respondents. The data was analyzed using both descriptive and inferential analysis. From the analysis, it was realized that there is a positive and statistically significant relationship between supply chain complexity and supplier integration. The study further shows that there is a positive and statistically significant relationship between supply chain complexity internal integration. The model showed a positive and statistically significant relationship between supply chain complexity and customer integration. Based on the study’s findings, management was advised to have an in-depth understanding of supply chain complexity and supplier integration to avoid potential delays in receiving goods from their suppliers and to enhance supply chain performance. The findings imply that when the number and diversity of suppliers rise along with the degree of uncertainty and volatility in both downstream and upstream linkages, supply chain managers should pay attention to the integration process to protect operational performance.
Description
A thesis submitted to the department of supply chain and information systems in partial fulfilment of requirements for the award of the degree of master of science (logistics and supply chain management)
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