Response strategy to environment context factors using a lean and agile approach: Implications for firm performance

Mahesh Srinivasan, Prashant Srivastava and Karthik N.S. Iyer

European Management Journal, 2020, vol. 38, issue 6, 900-913

Abstract: Based on the environment-strategy performance perspective and dynamic capabilities framework, we develop a theoretical model and hypotheses specifying how supply chain collaboration as a response to environment context factors – competitive intensity, supply uncertainty, technological turbulence and market turbulence, using a lean and agile strategy may influence firm performance. We test the model using partial least square structural equation modelling on data collected from a field survey with responses from 152 manufacturing firms representing a variety of industries. Empirical findings generally support the relationship between collaboration and firm performance using a lean and agile strategy. Also, for firms in industries that face environments characterised by high supply uncertainty and competitive intensity with, technological turbulence, the study finds evidence of a direct relationship between these environmental factors and supply chain collaboration. The findings provide an initial strategic response framework for appropriately aligning a lean and agile supply chain strategy through collaboration with environment context factors to achieve firm performance improvements.

Keywords: Competitive intensity; Supply uncertainty; Technological turbulence; Market turbulence; Supply chain collaboration; Dynamic capabilities; Firm performance (search for similar items in EconPapers)
Date: 2020
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Citations: View citations in EconPapers (10)

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DOI: 10.1016/j.emj.2020.04.003

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