SUPPLY CHAIN MANAGEMENT PRACTICES AND FIRM'S PERFORMANCE. ANALYSIS THE MEDIATING IMPACT OF COMPETITIVE ADVANTAGE IN AUTOMOBILE INDUSTRY

Abstract

Purpose: The purpose of this research is to provide empirical evidence among the supply chain management practices, competitive advantage and organizational performance. Methodology & Design: Based on a broad literature analysis, a set of SCM practices has been recognized and elected to develop a conceptual model as well as to established the relationship among those practices to the organizational performance and competitive advantage of the automobile industry. The sample size of 88 was collected from the executive and managerial level employee of well recognized automobile organizations in Karachi. Collected data was analyzed by using SPSS software where the regression analysis is used to analyze the model. PLS software was also used in this research to construct reliability and discriminate validity and to analyze the mediating impact of competitive advantage on organizational performance. Findings: The finding of the study shows that there is a significant and positive impact of SCM practices on organizational performance and competitive advantage of automobile industry. Moreover, competitive advantage as a mediator mediates the impact of SCM practices towards the Organizational performance. Limitations: There are some limitations in the research which includes that this study is only limited to only three well recognized automobile organizations. Due to busy schedule of employees, they might not give correct responses to the questionnaire. Recommendations: Researchers should consider 2 3 different types of industries to better evaluate the impact of SCMPs on the organizational performance and how to achieve competitive advantage through the implementations of those practices