Assessment of Product Supply Chain for Market Competitiveness

Effective supply chain management (SCM) has become a potentially valuable way of securing competitive advantage through enhancing operational and improving organizational performances since competition is no longer between organizations, but among supply chains. This research conceptualizes and develops five dimensions of SCM practice (strategic supplier partnership, customer relationship, level of information sharing, quality of information sharing, and internal lean practices) and tests the relationships between SCM practices, operational performance, and organizational performance. The data for the study was collected from 80 employees of Yes Natural Spring Water. The relationships proposed in the framework were tested using Pearson correlation, and the causal relations were analyzed using regression analysis. From the result of the analysis it is concluded that there is strong relationship between SCM practices, operational performance and organizational performance. Besides, SCM practices have an influence both on operational performance and organizational performance. On the other hand, operational performance has also an influence on organizational performance.