Unleashing supply chain agility: Leveraging data network effects for digital transformation

Wu, Lin; Huang, Jimmy; Wang, Miao; Kumar, Ajay

Abstract

The global manufacturing supply chain is undergoing a digital transformation (DT) powered by various digital technologies. In both stable and turbulent environments, DT helps safeguard supply chain performance by enhancing supply chain agility. While research on the use of digital technologies and their impacts on supply chains is growing, there is a lack of an overarching theoretical lens to synthesize their diverse functionalities, effects, and benefits. To address this gap, we adapt the concept of the data network effect to the supply chain context and propose that DT improves supply chain performance by enhancing supply chain resilience (SCRes) and robustness (SCRob) capabilities. To validate our hypotheses, we conducted a large-scale survey for data collection and performed Partial Least Squares Structural Equation Modelling (PLS-SEM) for data analysis. The results confirm the positive effect of DT on supply chain performance and the mediating roles of SCRob and SCRes. Our study contributes to the ongoing discussion on DT in the context of supply chains by introducing a novel theoretical perspective on the supply chain data network effect.

Citation

Wu, L., Huang, J., Wang, M., & Kumar, A. (2024). Unleashing supply chain agility: Leveraging data network effects for digital transformation. International Journal of Production Economics, 277, Article 109402. https://doi.org/10.1016/j.ijpe.2024.109402

• Journal Article Type: Article
• Acceptance Date: Sep 5, 2024
• Online Publication Date: Sep 12, 2024
• Publication Date: 2024-11
• Deposit Date: Sep 25, 2024
• Publicly Available Date: Sep 13, 2027
• Journal: International Journal of Production Economics
• Print ISSN: 0925-5273
• Electronic ISSN: 0925-5273
• Publisher: Elsevier
• Peer Reviewed: Peer Reviewed
• Volume: 277
• Article Number: 109402
• DOI: https://doi.org/10.1016/j.ijpe.2024.109402
• Keywords: data-driven digital transformation; data network effect; supply chain resilience; supply chain robustness; supply chain performance
• Public URL: https://nottingham-repository.worktribe.com/output/39990029
• Publisher URL: https://www.sciencedirect.com/science/article/pii/S0925527324002597
• Additional Information: This article is maintained by: Elsevier; Article Title: Unleashing supply chain agility: Leveraging data network effects for digital transformation; Journal Title: International Journal of Production Economics; CrossRef DOI link to publisher maintained version: https://doi.org/10.1016/j.ijpe.2024.109402; Content Type: article; Copyright: © 2024 The Authors. Published by Elsevier B.V.