The Impact of Supply Chain Integration on Mass Customization Capability: An Extended Resource-Based View

This study investigates two key issues: 1) how internal integration, customer integration, supplier integration, and the interplay among them jointly influence the development of mass customization capability (MCC), and 2) how environmental conditions (i.e., demand uncertainty and competitive intens...

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Published inIEEE transactions on engineering management Vol. 59; no. 3; pp. 443 - 456
Main Authors Fujun Lai, Min Zhang, Lee, D. M. S., Xiande Zhao
Format Journal Article
LanguageEnglish
Published New York IEEE 01.08.2012
The Institute of Electrical and Electronics Engineers, Inc. (IEEE)
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ISSN0018-9391
1558-0040
DOI10.1109/TEM.2012.2189009

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Abstract This study investigates two key issues: 1) how internal integration, customer integration, supplier integration, and the interplay among them jointly influence the development of mass customization capability (MCC), and 2) how environmental conditions (i.e., demand uncertainty and competitive intensity) moderate the impacts of supply chain integration on this development. Based on the extended resource-based view (ERBV) of the firm and contingency theory, we build a conditional indirect model and test it using a dataset of 289 manufacturers from nine countries. Our results are consistent with the ERBV, showing that internal integration not only has a significant direct effect on MCC, but also plays a central and strategic role in building customer and supplier integration. However, although customer integration is found to improve MCC directly, supplier integration appears to have no significant impact. Finally, internal integration has a positive indirect effect on MCC through customer integration, and this indirect effect is amplified when demand is uncertain and competition is intense.
AbstractList This study investigates two key issues: 1) how internal integration, customer integration, supplier integration, and the interplay among them jointly influence the development of mass customization capability (MCC), and 2) how environmental conditions (i.e., demand uncertainty and competitive intensity) moderate the impacts of supply chain integration on this development. Based on the extended resource-based view (ERBV) of the firm and contingency theory, we build a conditional indirect model and test it using a dataset of 289 manufacturers from nine countries. Our results are consistent with the ERBV, showing that internal integration not only has a significant direct effect on MCC, but also plays a central and strategic role in building customer and supplier integration. However, although customer integration is found to improve MCC directly, supplier integration appears to have no significant impact. Finally, internal integration has a positive indirect effect on MCC through customer integration, and this indirect effect is amplified when demand is uncertain and competition is intense.
This study investigates two key issues: 1) how internal integration, customer integration, supplier integration, and the interplay among them jointly influence the development of mass customization capability (MCC), and 2) how environmental conditions (i.e., demand uncertainty and competitive intensity) moderate the impacts of supply chain integration on this development. Based on the extended resource-based view (ERBV) of the firm and contingency theory, we build a conditional indirect model and test it using a dataset of 289 manufacturers from nine countries. Our results are consistent with the ERBV, showing that internal integration not only has a significant direct effect on MCC, but also plays a central and strategic role in building customer and supplier integration. However, although customer integration is found to improve MCC directly, supplier integration appears to have no significant impact. Finally, internal integration has a positive indirect effect on MCC through customer integration, and this indirect effect is amplified when demand is uncertain and competition is intense. [PUBLICATION ABSTRACT]
Author Min Zhang
Fujun Lai
Lee, D. M. S.
Xiande Zhao
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  surname: Fujun Lai
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  surname: Lee
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  surname: Xiande Zhao
  fullname: Xiande Zhao
  email: xiande@baf.msmail.cuhk.edu.hk
  organization: Dept. of Decision Sci. & Manage. Econ., Chinese Univ. of Hong Kong, Hong Kong, China
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Snippet This study investigates two key issues: 1) how internal integration, customer integration, supplier integration, and the interplay among them jointly influence...
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SubjectTerms Collaboration
Competitive intensity
Customization
demand uncertainty
extended resource-based view (ERBV)
Lieferkette
Manufacturers
Manycountries
Mass Customization
mass customization capability (MCC)
Organizations
Resource management
Ressourcenorientierter Ansatz
Studies
Suppliers
supply chain integration (SCI)
Supply chain management
Supply chains
Uncertainty
Wettbewerb
Title The Impact of Supply Chain Integration on Mass Customization Capability: An Extended Resource-Based View
URI https://ieeexplore.ieee.org/document/6198325
http://www.econis.eu/PPNSET?PPN=722490232
https://www.proquest.com/docview/1026560644
Volume 59
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