Digital Technologies for Firms’ Competitive Advantage and Improved Supply Chain Performance

M M Hussain Shahadat, Abu Hena Mohammed Yeaseen Chowdhury, Robert Jeyakumar Nathan and Maria Fekete-Farkas ()
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M M Hussain Shahadat: Doctoral School of Economics and Regional Sciences, Hungarian University of Agriculture and Life Sciences, Páter Károly u. 1, 2100 Godollo, Hungary
Abu Hena Mohammed Yeaseen Chowdhury: Centre for Higher Studies and Research, Bangladesh University of Professionals, Dhaka 1216, Bangladesh
Robert Jeyakumar Nathan: Faculty of Business, Multimedia University, Melaka 75450, Malaysia
Maria Fekete-Farkas: Institute of Agricultural and Food Economics, Hungarian University of Agriculture and Life Sciences, Páter Károly u. 1, 2100 Godollo, Hungary

JRFM, 2023, vol. 16, issue 2, 1-17

Abstract: Supply chain operation is more competitive in a dynamic business environment. Developing supply chain capability is, hence, important for gaining a competitive advantage and overall improved supply chain performance. The purpose of this study is to explore the potential of digital technologies to enhance supply chain performance and for firms to gain competitive advantage through improved supply chain capabilities. This study, through a survey questionnaire, gathered a total of 150 sample data from supply chain executives and managers in the ready-made garments (RMG) industry in Bangladesh. Findings of the study demonstrate that the digital supply chain is a significant contributor to improving the supply chain capabilities of RMG firms, and it subsequently leads to competitive advantage with a direct positive effect on firms’ supply chain performance. The findings also indicate that digital technology has a direct effect on supply chain capability and supply chain performance in RMG firms. Based on these empirical findings, the study draws conclusion that digital technology integration in the supply chain would have a positive contribution to supply chain agility and flexibility, which would enable firms to effectively engage supply chain partners in dealing with unexpected situations in business operations. This study contributes to the current literature on digital supply chain capabilities, and it also provides insights for supply chain managers, policymakers, and practitioners in the fields of supply chains, logistics, and business performance.

Keywords: ready-made garments; Bangladesh; textile industry; supply chain agility; supply chain flexibility; supply chain capability; digitalization (search for similar items in EconPapers)
JEL-codes: C E F2 F3 G (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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