Impact of Manufacturing And Sustainability Performance on Firm’s Supply Chain Performance: Empirical Study From Manufacturing Industry of Pakistan

Abstract

Supply chain is playing a significant role in almost all the organizations. Especially when we talk about Pakistan as the emerging economy supply chain becomes more important than it was before. Now this idea has become very much prominent that without optimization of supply chain network there would be bigger flaws that could come out as the end result. The studies that were carried out before reflected the buyer’s perspective and it was carried out in limited area of manufacturing. Sample size was very specific in the previous studies. and specially when it comes to sustainability and its effect on supply chain performance, Pakistan manufacturing industry is the most untapped and untouched area. In this study we will try to find the relation between suitability and other supply chain functions with supply chain performance. The data was collected through a five-point Liker questionnaire, from which 350 samples of 266 responses from Pakistan's manufacturing industry are obtained. Regression equation modeling was used to analyze data. In this paper, we first proposed a comprehensive conceptual framework to investigate the factors that affect the SCP in the Pakistan manufacturing sectors and then explored the relationships of these factors with the SCP. Based on the main SCPs suggested in the literature— sourcing performance, manufacturing performance, delivery performance, and sustainability performance, a scale was developed to measure the SCP. We developed five hypotheses of delivery and sourcing performance to test the direct relation with supply chain performances. In which we are rejecting the null hypothesis by accepting the alternative hypothesis as their P Values were less than 0.05 which implies that there is a positive relation of both delivery and sourcing performances with supply chain performances. Researcher also tested the mediating effects of sustainability performances between sourcing performances and supply chain performances; and delivery performances and supply chain performances, which states that we are accepting our null hypothesis that sustainability performances mediates the relation between both variables with supply chain performances.