Study Examines Role of Collaboration-Enhancing Factors in Supply Chain

Author(s):

  • Soohyo Kim1 (Sogang University, South Korea)
  • Changjoon Lee1 (University of Ulsan, South Korea)

Abstract:
In a dynamic business landscape, competition is increasingly shifting from individual entities to the competitive strength of the entire supply chain. Therefore, it is imperative to ensure and enhance supply chain competitiveness. Accordingly, our study explores the crucial role of collaboration-enhancing elements within supply chains, focusing on how trust, collaboration, and affective commitment—integral aspects of supply chain management—affect logistics performance, a key performance indicator in this domain. The study introduces two distinct dimensions of trust as precursors to fostering collaboration and enhancing affective commitment. Additionally, it scrutinizes the intricate interplay between supply chain collaboration, affective commitment, and logistics performance. For empirical evidence, we surveyed employees in supply chain-related departments in Korean manufacturing companies, analyzing 281 questionnaires. A structural equation model was employed to rigorously test hypotheses. Within regard to trust, cognitive trust has been identified as a significant catalyst for promoting supply chain collaboration, while both affective and cognitive trust contribute positively to cultivating affective commitment. Conversely, affective commitment is considered a pertinent precursor to fostering supply chain collaboration. Significantly, both supply chain collaboration and affective commitment exhibit a substantial and positive influence on enhancing logistics performance. These findings underscore the pivotal roles of supply chain collaboration and affective commitment in establishing enduring partnerships within supply chains, with trust, in its multifaceted form, emerging as the keystone facilitating these crucial relationships.

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