118 2022, XXV, 4
Business Adminis a ion and Managemen
10.15240/ ul/001/2022-4-008
MODERATING ROLES OF INFORMATION
TECHNOLOGY LINK AND INFORMATION
SHARING IN DRIVING SUPPLY CHAIN
PERFORMANCE THROUGH SUPPLIER
DEVELOPMENT AND KNOWLEDGE
ABSORPTION: EMPIRICAL EVIDENCE
FROM MANUFACTURING FIRMS ACROSS
COUNTRIES
Anh Chi Phan1, Ha Thu Nguyen2, Hao Anh Nguyen3, Yoshiki Ma sui4
1 Vie nam Na ional Uni e si y – Uni e si y o Economics and Business, School o Business Adminis a ion, Vie nam,
ORCID: 0000-0002-0153-1845, [email p o ec ed];
2 Vie nam Na ional Uni e si y – Uni e si y o Economics and Business, School o Business Adminis a ion, Vie nam,
ORCID: 0000-0001-6739-6378, [email p o ec ed] (co esponding au ho );
3 Yokohama Na ional Uni e si y, Depa men o Business Adminis a ion, Japan, ORCID: 0000-0002-2669-1538,
[email p o ec ed];
4 The Open Uni e si y o Japan, Facul y o Libe al A s, Japan, ORCID: 0000-0002-5475-5199, y[email p o ec ed].
Abs ac : Along wi h in o ma ion echnology adop ion, supply chain coo dina ion h ough
in o ma ion sha ing ac i i ies has become essen ial o achie e supply chain e ec i eness and
esilience. This pape p esen s he esul s o an empi ical s udy in es iga ing he mode a ing
oles o in o ma ion echnology link and in o ma ion sha ing on he ela ionship be ween supplie
de elopmen , knowledge abso p ion om cus ome s, and supply chain pe o mance. S a is ical
echniques such as measu emen es , co ela ion analysis, and eg ession analysis a e applied
o analyze he da a collec ed du ing he Round 4 o he High Pe o mance Manu ac u ing (HPM)
P ojec . The da a sample includes 304 manu ac u ing plan s ope a ing in 13 coun ies including
B azil, China, Finland, Ge man, I aly, Is ael, Japan, Ko ea, Spain, Sweden, Taiwan, Uni ed Kingdom,
and Vie nam. Analy ical esul s indica e ha a supply chain would pe o m be e when ocal
i ms in es hei e o in supplie de elopmen and knowledge abso p ion ac i i ies and de elop
a s ong link wi h supplie s and cus ome s h ough in o ma ion echnology sys ems. In o ma ion
echnology links wi h supplie s and cus ome s ha e signi ican mode a ing oles in s eng hening
he ela ionship be ween supplie de elopmen , knowledge abso p ion om cus ome s, and supply
chain pe o mance. Mo eo e , in o ma ion sha ing exchange wi h supplie s we e ound o make
he associa ion be ween supplie de elopmen and supply chain pe o mance becomes mo e
p onounced. The empi ical esul s con ibu e o he exis ing li e a u e o in o ma ion sha ing and
supply chain coo dina ion in supply chain managemen . In addi ion, his s udy p o ides se e al
p ac ical implica ions, such ha in o ma ion echnology linkage and in o ma ion sha ing ac i i ies
should be conside ed as he pla o ms o o ganiza ions o in e ac wi h di e en supply chain
pa ne s o achie ing high supply chain pe o mance.
Keywo ds: In o ma ion echnology link, in o ma ion sha ing, supplie de elopmen , knowledge
abso p ion, supply chain pe o mance.
JEL Classi ica ion: M10, M11, M15.
EM_4_2022.indd 118 9.1.2023 10:32:56
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Business Adminis a ion and Managemen
APA S yle Ci a ion: Phan, A. C., Nguyen, H. T., Nguyen, H. A., & Ma sui, Y. (2022). Mode a ing
Roles o In o ma ion Technology Link and In o ma ion Sha ing in D i ing Supply Chain
Pe o mance h ough Supplie De elopmen and Knowledge Abso p ion: Empi ical E idence
om Manu ac u ing Fi ms ac oss Coun ies. E&M Economics and Managemen , 25(4),
118–136. h ps://doi.o g/10.15240/ ul/001/2022-4-008
In oduc ion
The COVID-19 pandemic has caused
u bulence ha signi ican ly shocks supply
chain managemen . Rega dless o he indus y,
we ha e seen he supply chain dis up ion
due o ac o ies shu down, social dis ancing,
es ic ions in anspo a ion, aw ma e ials
shipping, and bo de closu e (Sa kis, 2020; an
Hoek, 2020). Consequen ly, a esea ch end
eme ged o imp o e supply chain sus ainabili y,
esilience, and pe o mance (e.g., I ano
& Das, 2020; Shen & Sun, 2021), which aised
he impo ance o close communica ion and
collabo a ion among supply chain pa ne s. Fo
example, manu ac u ing i ms can imp o e supply
chain lea ning h ough supplie de elopmen
ac i i ies and cus ome knowledge abso p ion
(Huo e al., 2020). Supplie de elopmen e e s
o ups eam supply chain coo dina ion, which
is he e o o ocal i ms o imp o e supplie s’
pe o mance and capabili ies o ensu e long- and
sho - e m supply needs (K ause e al., 2007).
Mo eo e , knowledge abso p ion om cus ome s
is a necessa y downs eam ac i i y, which
desc ibes a p ocess ha i ms communica e wi h
e aile s o achie e in o ma ion o help ealize
demand and cus ome p e e ences (B aojos
e al., 2020). Bo h supplie de elopmen and
knowledge abso p ion a e c i ical de e minan s
o supply chain pe o mance (e.g., Luo e al.,
2010; Robe s & G o e , 2014). Howe e , we
ha e seen a signi ican challenge owa ds
supply chain coo dina ion unde en i onmen s
o high wo kplace u bulence, unce ain y, and
agili y. Wi hou a su icien communica ion
be ween i ms and hei pa ne s, he bene i s
o supply chain coo dina ion migh no be
ensu ed. Fo example, li e a u e ela ed o he
da k side o business- o-business ela ionships
shows ha supplie de elopmen ini ia i es can
cause oppo unis ic beha iou , o i can ha m
ope a ional e ec i eness due o un ealis ic goals
and misma ch be ween challenges and supplie s’
cu en capaci y (Sucky & Du s , 2013; T an
e al., 2021). In addi ion, elying on knowledge
om a speci ic g oup o cus ome s and
lacking o close in o ma ion sha ing back and
o h can cause isks o ma ke myopia and
loss o know-how (Gassmann e al., 2010).
The e o e, he e is a need o es ablish an
e ec i e in o ma ion echnology (IT) link sys em
and a high le el o in o ma ion sha ing o g ea e
in o ma ion a ailabili y in he supply chain (Sa kis,
2020; an Hoek, 2020). IT link is he in eg a ion
in using o elec onic ools o communica e wi h
key supplie s and cus ome s, hus acili a ing
in o ma ion sha ing in ensi y and speed, leading o
be e buye -supplie ela ionship and ope a ional
pe o mance (Baihaqi & Sohal, 2013).
This s udy has wo main objec i es. Fi s ,
he au ho s would like o e i y he impac
o supplie de elopmen and knowledge
abso p ion om cus ome s ac i i ies on supply
chain pe o mance. Ra he han es ing he
e ec o hose p ac ices sepa a ely (Ca
& Kaynak, 2007; K ause e al., 2007; S o ey
& La big, 2017), we in eg a e hem in o a single
model o p o ide a holis ic iew o how ocal
i ms imp o e supply chain pe o mance by
in e ac ing wi h bo h ups eam and downs eam
pa ne s. Second, we p opose ha IT link
and le el o in o ma ion sha ing should be
signi ican ounda ions o s eng hening he
ela ionship be ween supply chain coo dina ion
and supply chain pe o mance. Al hough
p e ious s udies ha e indica ed he c i ical ole
o IT capaci y on supply chain pe o mance
(e.g., P ajogo & Olhage , 2012), he unde lying
mechanism is mo e complica ed since i
migh depend on how compa ible in o ma ion
sys ems a e among chain membe s and how
a i m de elops capabili ies o p ocess sha ed
in o ma ion e ec i ely. Thus, a emp s o ill
he esea ch gaps by answe ing he esea ch
ques ion: could IT link and in o ma ion sha ing
wi h/by supplie s and cus ome s acili a e he
e ec o supplie de elopmen and knowledge
abso p ion on supply chain pe o mance?
The emainde o his s udy is as ollows.
The ollowing sec ion p o ides a li e a u e
e iew on supply chain pe o mance, supplie
de elopmen , knowledge abso p ion, IT link,
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and in o ma ion sha ing. Subsequen ly, he
hypo hesis de elopmen and concep ual model
a e p esen ed, ollowed by he me hodology
sec ion includes da a collec ion, measu es,
and analysis p ocedu e. Then, we p o ide he
analysis esul o alida e hypo heses. Based
on he indings, discussion and implica ions a e
d awn. Finally, we discuss se e al limi a ions
and u u e esea ch di ec ions.
1. Li e a u e Re iew
1.1 Supply Chain Pe o mance
Supply chain pe o mance e e s o he
e ec i eness and e iciency o a supply
chain, which is s ongly in luenced by supplie
pe o mance in quali y, deli e y, esponsi eness,
cos , and echnical suppo (Wu e al., 2014).
Supplie s ha e become essen ial pa ne s o
manu ac u e s in echnical inno a ion, p oduc
de elopmen , quali y imp o emen , a he han
me ely ma e ial deli e e s (K ause e al., 2007).
A low-pe o mance o dissa is ied supplie would
in luence he pe o mance o all supply chain
membe s by c ea ing a bullwhip e ec . Speci ically,
supplie s who p o ide low-quali y ma e ials
cause a highe de ec a e in buye s’ p oduc ion,
leading o lowe sales and cus ome sa is ac ion.
Mo eo e , unsa is ied pa ne s end o exi he
exis ing ela ionship, hence incu ing a highe cos
o ocal i ms o ind o he sui able supplie s. Thus,
well-pe o ming supplie is a key o main aining
supply chain sus ainabili y and sa is ac ion.
De e minan s o supply chain pe o mance
ha e been s udied in ensi ely in he li e a u e.
The e is a consensus ha supply chain
in eg a ion should be a key o enabling
a cen alized managemen app oach ac oss
he alue ne wo k, hus imp o ing in o ma ion
sha ing and supply chain pe o mance (Koçoğlu
e al., 2011; Shee e al., 2018). Chau e al.
(2021) indica ed ha supply chain collabo a ion,
p ocess in eg a ion, cus ome ocus oge he
wi h an e ec i e in o ma ion echnology
sys em a e c i ical success ac o s o supply
chain quali y. Unde an unce ain and dynamic
business en i onmen ha equi es collabo a ion
and inno a ion, supplie de elopmen is a co e
p ac ice helping ocal i ms communica e and
con inually enhance hei supplie s’ capabili ies
(Saghi i & Wilding, 2021). Mo eo e , knowledge
om cus ome s (e.g., demand, ma ke
in o ma ion, e c.) is also essen ial o i ms in
s a egic decision-making, he eby coo dina ing
wi h ups eam pa ne s o adjus s a egic goals,
hus leading o be e supply chain pe o mance
(Huo e al., 2020; S o ey & La big, 2017).
1.2 Supplie De elopmen : Concep s
and Ou comes
The concep o supplie de elopmen has been
discussed in supply chain managemen li e a u e
o indica e manu ac u e s’ e o o es ablish
a iable ne wo k o supplie s and enhance
supplie s’ pe o mance. I eme ged in esponse
o a need o de elop a coope a i e buye -
supplie ela ionship o bene i supply chain
ac i i ies and c ea e o ganiza ional compe i i e
ad an age (Lee e al., 2018). Speci ically, he
ecip ocal in e dependence among componen s
p o ide s and inal assemble s in indus ies
ha p oduce complex p oduc s became c ucial.
Some examples o he indus y, o name bu
a ew, include au omobiles, elec onics, and
machine y indus y (K ause e al., 2007), which
a e he a ge indus ies in his s udy.
The p ac ice o supplie de elopmen has
been s a ed in Japanese companies such as
Toyo a and Honda, hen sp ead ou o o he
coun ies as a s a egic weapon o buying
i ms (Gla ee-Geo, 2019). In mo e de ail,
when he i ms in es in de eloping supplie
capabili ies, in ol ed in knowledge exchange,
implemen ing go e nance mechanisms, bo h
buye and supplie can gain supe no mal p o i
(K ause e al., 2007). Li e a u e sugges s ha
supplie de elopmen is a way o achie e
long- e m supplie s’ ela ionships; he e o e,
a supply chain can be bene icial o lowe
cos , be e quali y and lexibili y, and eliable
deli e y (K ause e al., 2007; Lee e al., 2018).
Mo eo e , e icien supplie de elopmen
ini ia i es can lead o highe supplie sa is ac ion
and supplie pe o mance and acili a e new
p oduc de elopmen p ocesses (Gla ee-
Geo, 2019; Modi & Mabe , 2007). Howe e ,
se e al s udies e en ound nega i e impac
o supplie de elopmen such as oppo unism
(T an e al., 2021) and ope a ional de iciency
(Sucky & Du s , 2013) due o lacking o
app op ia e mechanism and pla o m o close
communica ion (K ause e al., 2007).
1.3 Knowledge Abso p ion om
Cus ome s: Concep s and
Ou comes
Knowledge abso p ion om cus ome s is how
a manu ac u ing i m lea ns om i s cus ome s
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Business Adminis a ion and Managemen
du ing he new p oduc de elopmen p ocess,
in e ms o p oduc knowledge, echnology,
demands, pu chasing his o y, and o he s
(Salojä i e al., 2010). To ul il cus ome s’
needs and be mo e esponsi e o he ma ke ,
exploi ing cus ome s’ knowledge o acili a e
in e nal lea ning has become a po en ial sou ce
o compe i i e ad an age. A ocal i m can
abso b cus ome s’ knowledge by in ol ing
cus ome s in i s ope a ions (e.g., designing
p ocess) a he han jus ga he ing eedback
by adi ional ma ke esea ch (S o ey & La big,
2017). Nguyen and Ha ison (2018) used he
e m “cus ome le e age” o desc ibe a i m’s
capabili y o ob ain and u ilize knowledge om
cus ome s in de eloping new p oduc s and
se ices. O he e ms a e used o desc ibe he
cus ome knowledge managemen p ocess,
such as cus ome ela ionship managemen ,
cus ome in imacy, and cus ome e e ences.
Su p isingly, o some ex en , he e is an
inconsis ency among p e ious s udies ega ding
he ou comes o cus ome in ol emen ,
collabo a ion, and in eg a ion. Many wo ks ha e
con i med he posi i e e ec o he acquisi ion
o cus ome s’ knowledge (e.g., Huo e al., 2020;
Nguyen & Ha ison, 2018; Phan e al., 2020).
Howe e , se e al s udies e en poin ed ou he
opposing sides o cus ome in eg a ion in he
p ocess o de eloping and comme cializing
new p oduc s (e.g., Gassmann e al., 2010).
Speci ically, elying on knowledge and in o ma ion
om a pa icula g oup o cus ome s can make
i ms oo dependen on speci ic cus ome s’
in e es s, leading o se ing a niche ma ke only.
Gassmann e al. (2010) no ed ha cus ome
in eg a ion causes a isk o loss o know-how,
as some knowledgeable cus ome s migh use
he o ganiza ion’s in ellec ual p ope ies o hei
pe sonal pu poses. The e o e, he inconsis en
indings emphasize he impo ance o mode a ing
ac o s in he ela ionship be ween cus ome s’
knowledge abso p ion and pe o mance, such
as de eloping an in eg a ed IT in as uc u e and
equen ly sha ing in o ma ion (B aojos e al.,
2020).
1.4 IT Link and In o ma ion Sha ing
as Pla o ms o Supply Chain
Coo dina ion
The highly compe i i e and unce ain
business en i onmen leads o he necessi y
o collabo a ion wi h ex e nal pa ne s o
ensu e supply chain pe o mance. Howe e ,
communica ion ac oss he supply chain,
also managing knowledge abso bed om
supply chain pa ne s, equi es o ganiza ional
capabili ies o linking IT sys ems and sha ing
in o ma ion wi h i s pa ne s (B aojos e al.,
2020; an Hoek, 2020).
IT is de ined as he applica ion o simila
au oma ed sys ems o compu e - o-compu e
links wi hin o be ween i ms and supply
chain pa ne s (P ajogo & Olhage , 2012).
I has become a c ucial pa o supply chain
managemen (SCM) o pa icipa e in knowledge
and capabili ies sha ing. In e nally, IT in eg a ion
p o ides se e al bene i s such as agili y,
ansac ion managemen e iciency, and as
decision-making, leading o highe e iciency in
R&D and new p oduc de elopmen . Ex e nally,
IT c ea es a unique alue chain, helping ocal
i ms o collabo a e wi h supplie s o on- ime
deli e y o communica e in o ma ion om
cus ome s o become mo e esponsi e. I he
IT is linked ac oss he supply chain ega ding
simila i y, connec i i y, and compa ibili y, i
will enhance supply chain e iciency because
o collabo a ion h ough in o ma ion sha ing,
coo dina ion, moni o ing, and join decision
making (Ye & Wang, 2013).
While IT link is a pla o m o communica ion,
he ype o in o ma ion sha ed ac oss he supply
chain also plays an essen ial ole. Supply chain
in o ma ion sha ing e e s o he ac ions ha make
in o ma ion a ailable o o he chain membe s
(Li e al., 2019). This is an ine i able p ac ice
o mi iga e supply chain unce ain y, including
deli e y delays, machine b eakdowns, and o de
luc ua ions (Jeong & Hong, 2017). In o ma ion
sha ing be ween manu ac u e , supplie , and
cus ome can be ac ical (e.g., pu chasing and
logis ics) o s a egic (e.g., long- e m ela ionship
objec i es and cus ome in o ma ion). In o ma ion
sha ing has been p o ed o be signi ican in
d i ing se e al ypes o pe o mance. I enables
ocal i ms o access a ious in o ma ion such
as sales, p oduc ion, and logis ics, hence
imp o ing isibili y, as well as educing cos and
imp o ing inancial pe o mance (Şahin & Topal,
2018). Mo eo e , in o ma ion sha ing allows
i ms o collabo a e closely wi h hei supplie s
and cus ome s, he eby de eloping us and
a be e long- e m ela ionship. This long- e m
ela ionship leads o a sho e lead ime and
o de ul ilmen cycle, a as e and high-quali y
new p oduc de elopmen p ocess (B aojos
e al., 2020).
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Business Adminis a ion and Managemen
Au ho IT link concep ualiza ion In o ma ion sha ing concep-
ualiza ion Da a collec ion and sample Da a analysis Main indings
Phung e al. (2021) IT link wi h supplie s In o ma ion sha ing wi h
supplie s
304 manu ac u ing i ms om
13 coun ies
Se ial-mul iple media ion
analysis
IT link wi h supplie s and in o ma ion sha ing
wi h supplie s media e he ela ionship be ween
supply chain p ocess in eg a ion and upwa d
supply chain pe o mance
Sund am e al. (2020)
IT applica ions (e.g., online
ansac ion, websi e sys em, CRM,
e c.) adop ion
In o ma ion sha ing wi h and by
ading pa ne s
112 manu ac u ing i ms in
Malaysia S uc u al equa ion modeling
IT imp o es in o ma ion sha ing, leading o
a highe le el o supply chain in eg a ion and
supply chain pe o mance
Maskey e al. (2019) Elec onic linkages be ween ading
pa ne s
Ope a ional in o ma ion sha ing
and s a egic in o ma ion
sha ing
131 supply chain pa icipan s
in Nepal
Explo a o y ac o analysis
and pa h analysis
Se e al ac o s a e con i med as de e minan s
o supply chain in o ma ion sha ing, o
example, supply ne wo k con igu a ion,
o ganiza ional capabili y, commi men
Pham e al. (2019)
In-house and logis ics sys ems,
a sys em o cus ome s o book
online, ack shipmen , and make
paymen
In o ma ion sha ing, including
ope a ional, capabili y- ela ed,
s a egic plan, and compe i i e
in o ma ion
14 pa icipan s om 11 small-
o-medium local se ice
p o ide s and Vie nam
Logis ics Associa ion
Da a analysis o in-dep h
in e iews
Mos i ms sha e ope a ional in o ma ion
h ough adi ional communica ion channels and
lack an in eg a ed sys em
Vanpoucke e al.
(2017)
Using o elec onic ools o connec
wi h supplie s and cus ome s
In o ma ion exchange in
e ms o in en o y, p oduc ion
planning, demand o ecas wi h
key supplie s and cus ome s
563 companies in
20 coun ies
Cons ained non-linea
eg ession analysis
IT use mode a es he impac o in o ma ion
exchange on ope a ional in eg a ion; he use o
IT is s onge o ups eam in eg a ion
Baihaqi and Sohal
(2013)
In eg a ed IT sys em including
da abase, p oduc ion planning, and
in e ne
In o ma ion sha ing wi h/by
supplie s and cus ome s
150 Aus alian manu ac u ing
companies
Reg ession analysis by
using s uc u al equa ion
modeling (SEM)
In eg a ed IT posi i ely impac s in o ma ion
sha ing in ensi y, leading o be e buye -
supplie ela ionships and ope a ional
pe o mance
Ye and Wang (2013)
How IT in as uc u e is aligned wi h
supply chain pa ne s ega ding
simila i y, connec i i y, and
compa ibili y
In o ma ion sha ing wi h
supplie s, including o de
p ocessing, in en o y,
p oduc ion capaci y planning,
and o de o ecas ing
141 Chinese manu ac u e s
- es , psychome ic es ,
eg ession analysis using
SEM
In o ma ion sha ing media es he ela ionship
be ween IT alignmen and ope a ional
pe o mance
P ajogo and Olhage
(2012)
Elec onic links wi h supplie s, which
include IT-enabled ansac ion
p ocessing, acking shipmen s,
elec onic ans e o o de s, unds,
and in oices
In o ma ion sha ing wi h
supplie s and in o ma ion
sha ing by supplie s
232 Aus alian i ms Reg ession analysis using
SEM
In o ma ion echnology and in o ma ion sha ing
signi ican ly imp o e logis ic in eg a ion,
imp o ing ope a ional pe o mance
Koçoğlu e al. (2011)
A common IT in as uc u e o
acili a e ansac ions, communica ion
wi hin o ganiza ions and among
supply chain pa ne s
In o ma ion sha ing wi h
cus ome s and supplie s, and
in o ma ion sha ing be ween
unc ions o he o ganiza ion
158 manu ac u ing i ms in
Tu key
Explo a o y ac o analysis,
eg ession analysis using
Pa ial Leas -Squa es (PLS)
– based SEM
Supply chain in eg a ion acili a es in o ma ion
sha ing by p o iding connec edness and
collabo a ion among membe s; be e
in o ma ion sha ing imp o es supply chain
pe o mance
Sou ce: own
Tab. 1: Recen li e a u e o IT link and in o ma ion sha ing in supply chain
EM_4_2022.indd 122 9.1.2023 10:32:58

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Business Adminis a ion and Managemen
The empi ical e idence ela ed o he e ec o
in o ma ion echnology and in o ma ion sha ing
in supply chain managemen is summa ized in
Tab. 1.
The abo e li e a u e e iew shows ha i
is essen ial o conside IT link and in o ma ion
sha ing as echnological bases o ensu e supply
chain coope a ion and in eg a ion. Howe e ,
di ec e ec o IT and in o ma ion sha ing
migh ail o explain why he e is a di e ence
in pe o mance imp o emen among i ms
when he e is a simila adop ion o IT and
in o ma ion sha ing. We p opose ha supply
chain coo dina ion, which includes supplie
de elopmen and knowledge abso p ion om
cus ome s, would play di ec in luence oles,
while IT and in o ma ion sha ing a e necessa y
mode a o s o s eng hen hose in luences.
2. Hypo heses De elopmen and
Concep ual Model
2.1 Role o Supplie De elopmen and
Knowledge Abso p ion in Supply
Chain Pe o mance
Since supplie de elopmen ac i i ies enhance
he coo dina ion be ween buye s and supplie s,
a posi i e impac on bo h sides can be
expec ed. Speci ically, collabo a i e ac i i ies,
including gi ing eedback, aining om
buye s, can assis supplie s in imp o ing
hei pe o mance (K ause e al., 2007).
When supplie pe o mance is imp o ed,
ocal i ms will be bene icial om high-quali y
ma e ials, on- ime deli e y, and be e in en o y
managemen . P e ious s udies showed ha
supplie de elopmen helps he i m educe
he supply base, hen imp o es inancial
pe o mance such as cos and e enue, and
non- inancial pe o mance such as p oduc
quali y, collabo a i e p oduc de elopmen ,
and cus ome se ice (Luo e al., 2010).
The e o e, supplie capabili ies imp o emen
ega ding echnical, quali y, deli e y, and cos
pe o mance is one o he equi emen s o
build a compe i i e ad an age in he supply
chain, i.e., o mee he uns able ma ke demand
(Ca & Kaynak, 2007). Mo e impo an ly, close
in e ac ion wi h supplie s ensu es good supplie
ela ionships and de elops supply chain agili y
in case ups eam ac i i ies ha e o be adap ed
o any change om downs eam (T ipa hy
e al., 2016). The e o e, we p opose he i s
hypo hesis as ollow:
H1: Supplie de elopmen is posi i ely
ela ed o supply chain pe o mance.
Cus ome ela ionship was a gued as a key
o s a egic decision-making, p o iding new
oppo uni ies o alue c ea ion and imp o ing
supply chain compe i i e ad an age (Salojä i
e al., 2010; T ipa hy e al., 2016). As such,
i ms should collec imely and eliable cus ome
in o ma ion (Chau e al., 2021). G o e and Kohli
(2012) indica ed ha knowledge abso p ion
om e aile s (e.g., analy ical planning, o e-
cas ing, eplenishmen ) would help i ms ealize
cyclical luc ua ion in cus ome s’ demand and
p e e ences so ha hey can adjus and p o ide
be e cus ome se ices. Knowledge abso p ion
om cus ome s also helps ups eam i ms
o de elop cus ome agili y o be e sensing
ma ke oppo uni ies (Robe s & G o e ,
2014). Thus, building an IT in e ac ion pla o m
o cus ome s such as web-based cus ome
in as uc u e oge he wi h he i m’s analy ical
abili y will acili a e knowledge-c ea ing, he e o e
enhancing he i m’s compe i i e ad an age.
Lead use s who a e p oduc -sa y may e en
in ol e in he idea gene a ion s age o he
new p oduc de elopmen p ocess o p o ide
cus ome knowledge, con ibu ing o he
lexibili y and success o new p oduc launches
(S o ey & La big, 2017). In gene al, cus ome
knowledge imp o es sensing and imp o ising
capabili ies, educes unce ain y, and enhances
supply chain pe o mance. The e o e, he
second hypo hesis is s a ed as:
H2: Knowledge abso p ion om cus ome s
is posi i ely ela ed o supply chain pe o mance.
2.2 Mode a ing Role o IT Link and
In o ma ion Sha ing
Supply chain coo dina ion equi es an in eg a ed
IT sys em o ob ain be e eal- ime in o ma ion
in ensi y and quali y (Baihaqi & Sohal, 2013;
P ajogo & Olhage , 2012). Speci ically,
IT alignmen allows coo dina ing ac i i ies wi h
supply chain pa ne s, such as o ecas ing
and scheduling ope a ions, ega dless o ime
and spa ial dis ance. Fo supplie s, i ms can
seamlessly sha e o de in o ma ion, ope a ional
in o ma ion, s a egies, and compe i ion in o -
ma ion. In u n, hey can ask supplie s o
cos in o ma ion, deli e y in o ma ion, o any
change in enginee ing in o ma ion (P ajogo
& Olhage , 2012). I he e is supplie in eg a ion,
i ms a e mo e willing o implemen supplie
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124 2022, XXV, 4
Business Adminis a ion and Managemen
de elopmen ac i i ies (Jin e al., 2019). Fo
cus ome s, he IT link helps i ms con inuously
unde s and cus ome demand (Fawce e al.,
2007). Mo eo e , cus ome s wi h echnical
knowledge can moni o he p oduc ion o hei
o de s (Ye & Wang, 2013). In gene al, IT link
wi h supplie s and cus ome s leads o be e
connec i i y, acili a ing coo dina ing ac i i ies
among supply membe s so ha manage s
ac oss o ganiza ional bounda ies can decide in
a as e and mo e collabo a i e way. I leads us
o he ollowing wo hypo heses:
H3a: IT link wi h supplie s s eng hens he
ela ionship be ween supplie de elopmen and
supply chain pe o mance.
H4a: IT link wi h cus ome s s eng hens he
ela ionship be ween knowledge abso p ion
om cus ome s and supply chain pe o mance.
Willingness and abili y o de elop
supplie s depend signi ican ly on he us and
commi men o ocal i ms in he ela ionship wi h
speci ic supplie s. The e o e, manu ac u e s
a e mo e likely o selec and de elop supplie s
wi h a highe willingness o sha e in o ma ion
because i inc eases unde s anding o
supplie s’ si ua ions (Ca & Kaynak, 2007).
As long- e m o ien a ion is de eloped, i
acili a es di ec in e ac ion (e.g., on-si e isi ,
join p oblem sol ing) ha c ea es alue o
bo h buye s and supplie s whene e p oblems
occu . In o ma ion sha ing can be conside ed
a pla o m o knowledge ans e , which
dissemina es implici knowledge o help bo h
pa ies ackle p oblems in he p oduc ion
p ocess (Lee e al., 2018; Modi & Mabe ,
2007). Chen e al. (2018) a gued ha supplie
de elopmen and knowledge managemen
ac i i ies a e in e dependen and need o be
implemen ed simul aneously o achie e desi ed
ou comes. Thus, highe in o ma ion sha ing
wi h and by supplie s suppo s he supplie
de elopmen ac i i ies, imp o ing supplie
capabili ies and pe o mance in e ms o high-
quali y ma e ials, lowe -cos o e ing, on- ime
deli e y. We p opose he ollowing hypo heses:
H3b: In o ma ion sha ing by supplie s
s eng hens he ela ionship be ween supplie
de elopmen and supply chain pe o mance.
H3c: In o ma ion sha ing wi h supplie s
s eng hens he ela ionship be ween supplie
de elopmen and supply chain pe o mance.
The knowledge-based iew sugges s ha
knowledge is a c i ical asse o an o ganiza ion o
c ea e alue, aising he impo ance o how ocal
i ms acqui e ex e nal knowledge and gene a e
new alues o cus ome s (Nguyen & Ha ison,
2018). In o ma ion sha ing by cus ome s p o ides
insigh s o cus ome beha iou ; he e o e, hey
Fig. 1: Analy ical amewo k
Sou ce: own
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Business Adminis a ion and Managemen
can imp o e he p oduc de elopmen p ocess
and enhance cus ome sa is ac ion. Acqui ing
in o ma ion sha ing om he cus ome is an
ini ial s age o c ea ing a lea ning o ganiza ion,
in which he acqui ed in o ma ion is assimila ed
o comme cial exploi a ions (Huo e al., 2020).
Mo eo e , equen sha ing wi h cus ome s and
ecei ing in o ma ion om hem encou age
discussion among agen s and expe s, making
i easie o i ms o compa e hen in eg a e new
knowledge in o an exis ing knowledge base,
as well as ensu ing in o ma ion anspa ency
(B aojos e al., 2020). As a esul , lexibili y
pe o mance is imp o ed as he decision-making
p ocess can be adjus ed quickly ac oss he supply
chain. Final hypo heses a e a gued as ollow:
H4b: In o ma ion sha ing by cus ome s
s eng hens he ela ionship be ween knowledge
abso p ion and supply chain pe o mance.
H4c: In o ma ion sha ing wi h cus ome s
s eng hens he ela ionship be ween knowledge
abso p ion and supply chain pe o mance.
All hypo heses a e illus a ed in he ana ly-
ical amewo k p esen ed in Fig. 1.
3. Me hodology
3.1 Da a Collec ion
Da a in his s udy a e u ilized om a ques ionnai e
su ey o High Pe o mance Manu ac u ing
(HPM) p ojec . This p ojec was ini ia ed as join
esea ch in he 1980s by g oup o academicians
in he Uni ed S a es, ocusing on manu ac u ing
i ms in 3 indus ies: elec ical & elec onics,
machine y, and au omobile. HPM p ojec aims
o de e mine bes p ac ices in he manu ac u ing
indus y o achie e high pe o mance in a global
compe i ion (Sch oede & Flynn, 2001). Du ing
1990s–2010s, he e was a g ea in ol emen o
in e na ional expe s and esea che s o de elop
a heo e ical backg ound and ques ionnai e
su ey. The HPM P ojec collec ed in o ma ion
in a ious aspec s such as manu ac u ing
s a egy, supply chain managemen , quali y
managemen , human esou ce managemen ,
knowledge managemen , and so on. Based
on business and ade jou nals and inancial
in o ma ion, he esea che s iden i ied and
selec ed manu ac u e s o be su eyed in each
coun y. While he i s su ey conduc ed in
1980s ocused on 46 manu ac u ing plan s
in he US, he second su ey was ex ended
o 146 manu ac u ing plan s in Ge man, I aly,
Japan, he UK, and he US in 1990s. The hi d
su ey in 2000s in ol ed o he coun ies such
as Aus ia, Finland, Ko ea, Spain, and Sweden
o join he p ojec wi h o al 266 plan s. Based
on his HPM da abase, a la ge numbe o
in e na ional publica ions was made o highligh
he impac s o manu ac u ing pe o mance
on pe o mance o manu ac u ing plan s om
di e en aspec s (Flynn e al., 2016; Phan e al.,
2020). This s udy analyses da a in Round 4 o
he HPM p ojec , which we e collec ed du ing
2013–2015. The sample includes 304 plan s in
13 coun ies: B azil (24), China (30), Finland
(17), Ge man (28), I aly (29), Is ael (26), Japan
(22), Ko ea (26), Spain (25), Sweden (9),
Taiwan (30), Uni ed Kingdom (13), and Vie nam
(25). The HPM su ey asked pa icipan s om
12 posi ions in each plan , including plan
supe in enden s, manage s, supe iso s, engi-
nee s, e c. Da a use in his s udy collec ed
om 2 posi ions: ques ion i ems ela ed wi h
cus ome s we e e alua ed by downs eam
supply chain manage s and ques ion i ems
ela ed wi h supplie s we e e alua ed by
ups eam supply chain manage s. By collec ing
da a om mul iple sou ces, we could educe
he pe cep ual bias, ensu e he independence
among a iables he eliabili y o causal
ela ionships by linea eg ession analysis a
bo h downs eam and ups eam le el. Mo eo e ,
his s udy uses scales ela ed o supply chain
coo dina ion, in o ma ion echnology link and
in o ma ion sha ing, in which we p ima ily es
he mode a ing oles o bo h downs eam and
ups eam IT link and in o ma ion sha ing on
he ela ionship be ween supplie de elopmen
and knowledge abso p ion om cus ome s on
supply chain pe o mance.
3.2 Measu emen
The measu emen scales we e de eloped
based on heo e ical e iew and adap ed om
p e ious esea ch in supply chain managemen
(e.g., Li e al., 2019; Paul aj & Chen, 2007;
Vanpoucke e al., 2017), which ensu e he
con en alidi y o he measu emen . Re iewing
and adap ing measu emen scales om
p e ious li e a u e helps o consolida e he
linea i y o ela ionships be ween a iables used
in he concep ual model, which s eng hens he
eliabili y o using linea eg ession analysis.
A i e-poin Like scale was used o measu e
he esponden ’s judgmen by sco ing each i em
om 1 o 5. The esponden s a e manu ac u ing
plan ep esen a i es wo king in he ields
EM_4_2022.indd 125 9.1.2023 10:33:01
126 2022, XXV, 4
Business Adminis a ion and Managemen
o Ups eam Supply Chain Managemen
( o answe ques ions ela ed o supplie s),
Downs eam Supply Chain Managemen
( o answe ques ions ela ed o cus ome s).
The measu emen i ems a e p o ided in he
Appendix (Tab. A1).
3.3 Da a Analysis P ocedu e
Da a a e analysed by using he SPSS 22.0
so wa e. Fi s , measu emen es is execu ed
o check he scale eliabili y and alidi y. Also,
he da a we e checked o make ce ain ha i
mee s all condi ions o pe o m linea eg ession
analysis. Second, we implemen co ela ion
analysis o obse e he bi a ia e associa ion
be ween a iables. Subsequen ly, di ec
ela ion ships a e es ed by pe o ming linea
eg ession, and mode a ing e ec is es ed
by using he PROCESS mac o de eloped by
Hayes (2017). Finally, we use - es o assess
he di e ence be ween coun ies ega ding
adop ing IT link, in o ma ion sha ing, supplie
de elopmen , and knowledge abso p ion.
4. Resul
4.1 Measu emen Tes
Ini ially, each a iable in he da a sample
was checked o ensu e ha linea eg ession
analysis can be conduc ed. Fo example, using
echniques such as Du bin-Wa son es , no mali y
es and sca e plo , he ou lie condi ion,
e o s independence, homoscedas ici y among
a iables, as well as no mal dis ibu ed
condi ion a e checked o be sa is ac o y o
u he analysis. Then, measu emen es was
implemen ed o ensu e eliabili y and alidi y o
collec ed da a as ollows:
 Reliabili y es : C onbach’s alpha indices
o all scales ha e o be g ea e han 0.6 o
sa is y he in e nal consis ency be ween
i ems wi hin cons uc s.
 Con en alidi y: Ex ensi e li e a u e
e iew has been done o ensu e ha all
concep s ha e a solid scien i ic ounda ion.
 Cons uc alidi y: Fac o analysis
is pe o med o es he alidi y wi hin
a cons uc . In o he wo ds, i is o ensu e
wi hin-cons uc i ems a e one-dimensional.
Se e al c i e ia should be sa is ied,
including pe cen age o a iance is g ea e
han 0.5, Eigen alues a e la ge 1, and
ac o loadings a e g ea e han 0.5. The
ac o loadings o all i ems a e p o ided in
he Appendix (Tab. A1).
The esul o he measu emen es is
p o ided in Tab. 2 indica ing ha all es s a e
sa is ied, and he da a a e eliable and alida ed.
Fac o Min Max Mean S anda d
de ia ion
C onbach’s
alpha Eigen alues Pe cen age
o a iance
Supplie de elopmen 2.33 5.00 3.89 0.61 0.801 3.031 50.522
Knowledge abso p ion
om cus ome s 1.00 5.00 3.63 0.74 0.869 3.295 65.902
IT link wi h supplie s 1.00 5.00 3.37 1.01 0.839 2.716 67.902
In o ma ion sha ing
by supplie s 1.00 5.00 3.40 0.88 0.886 3.888 64.802
In o ma ion sha ing
wi h supplie s 1.00 5.00 3.21 0.99 0.920 5.138 64.229
IT link wi h cus ome s 1.00 5.00 3.03 1.04 0.858 2.820 70.509
In o ma ion sha ing
by cus ome s 1.00 5.00 2.94 0.94 0.858 3.189 63.784
In o ma ion sha ing
wi h cus ome s 1.00 5.00 3.15 0.95 0.911 4.955 61.939
Supply chain
pe o mance 1.88 5.00 3.86 0.54 0.873 4.299 53.738
Sou ce: own
Tab. 2: Measu emen es esul s
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In e na ional Logis ics and T ade, 18(1), 15–31.
h ps://doi.o g/10.24006/jil .2020.18.1.015
T an, P. N. T., Go on, M., & Lemke, F.
(2021). When supplie de elopmen ini ia i es
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and unexpec ed ou comes. Jou nal o
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& Lee, G. M. (2016). In o ma ion echnology
is an enabling ac o a ec ing supply chain
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APPENDIX
Tab. A1 p esen s scale measu emen and ac o analysis esul in alidi y es . The ac o loading o
each i em is also p o ided.
Scale Sou ces I ems Fac o loading
Supplie
de elopmen
Ca and Kaynak
(2007); K ause
e al. (2007)
1. We p o ide ou supplie s wi h su icien echnical assis ance 0.66
2. We hold egula mee ings o exchange imp o emen ideas wi h ou
supplie s 0.62
3. We encou age ou supplie s o con inuously imp o e hei p oduc ion
p ocesses 0.72
4. I necessa y, we ask ou supplie s o in es in signi ican p ocess
imp o emen 0.64
5. We o e he necessa y aining o ou supplie s 0.75
6. We sha e ou ision and supply chain policy wi h ou key supplie s 0.72
7. As ou supplie s s i e o imp o e hei p ocesses, we p o ide
assis ance 0.72
In o ma ion
echnology
links
wi h supplie s
Vanpoucke e al.
(2017); Paul aj
and Chen (2007)
1. Ou in o ma ion sys em is elec onically connec ed wi h hose o ou
key supplie s 0.84
2. We use in o ma ion echnology enabled ansac ion p ocessing wi h ou
key supplie s 0.90
3. We use elec onic ans e o pu chase o de s, in oices and/o unds o
ou key supplie s 0.80
4. We use in o ma ion echnology ( o example, RFID o PIDT) o ack
and/o expedi e shipmen s o ou key supplie s 0.75
In o ma ion
sha ing
by supplie s
Vanpoucke e al.
(2017); Baihaqi
and Sohal (2013)
Ou plan has access o he ollowing in o ma ion abou ou key supplie s:
1. Cos in o ma ion This i em was excluded
2. Deli e y in o ma ion 0.80
3. Demand change in o ma ion 0.91
4. Demand o ecas in o ma ion 0.90
5. In en o y in o ma ion This i em was excluded
6. P oduc ion capaci y in o ma ion 0.79
7. P oduc i i y in o ma ion This i em was excluded
8. Quali y in o ma ion This i em was excluded
9. Schedule in o ma ion 0.80
10. Sensi i e in o ma ion (e.g., inancial in o ma ion, p op ie a y p ocess
in o ma ion, e c.) 0.61
Tab. A1: Scale measu emen and ac o loading – Pa 1
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Scale Sou ces I ems Fac o loading
In o ma ion
sha ing
wi h supplie s
P ajogo and
Olhage (2012);
Ye and Wang
(2013); Baihaqi
and Sohal (2013)
Ou key supplie s ha e access o he ollowing in o ma ion abou ou plan :
1. Cos in o ma ion This i em was excluded
2. Deli e y in o ma ion 0.80
3. Demand change in o ma ion 0.73
4. Demand o ecas in o ma ion This i em was excluded
5. In o ma ion abou plan manu ac u ing capabili ies 0.81
6. In en o y in o ma ion 0.82
7. P oduc ion capaci y in o ma ion 0.87
8. P oduc i i y in o ma ion 0.80
9. Quali y in o ma ion 0.82
10. Schedule in o ma ion 0.75
11. Sensi i e in o ma ion (e.g., inancial in o ma ion, p op ie a y p ocess
in o ma ion, e c.) This i em was excluded
Knowledge
abso p ion
om
cus ome s
S o ey and La big
(2017); Salojä i
e al. (2010)
1. We ob ain a g ea amoun o ou p oduc knowledge om ou cus ome s 0.81
2. Ou cus ome s p o ide us wi h aluable in o ma ion on p oduc
inno a ion 0.81
3. We ha e lea ned a lo om ou cus ome s as pa o ou p oduc
de elopmen p ocess 0.86
4. We quickly adop new echnologies by applying wha we lea n om ou
cus ome s 0.80
5. We sys ema ically check whe he we ha e applied he knowledge we
acqui e om ou cus ome s ega ding ou p oduc s 0.76
In o ma ion
echnology
links wi h
cus ome s
Vanpoucke e al.
(2017); Paul aj
and Chen (2007)
1. Ou in o ma ion sys em is elec onically connec ed wi h hose o ou
cus ome s 0.86
2. Ou cus ome s use in o ma ion echnology enabled ansac ion
p ocessing wi h ou plan 0.90
3. Ou cus ome s use elec onic ans e o pu chase o de s, in oices and/
o unds o us 0.83
4. Ou cus ome s use in o ma ion echnology (e.g., RFID o PIDT) o ack
and/o expedi e shipmen s o ou plan 0.76
In o ma ion
sha ing
by cus ome s
Li e al. (2019);
Vanpoucke e al.
(2017); Paul aj
and Chen (2007)
Ou plan has access o he ollowing in o ma ion abou ou key cus ome s:
1. Demand change in o ma ion 0.71
2. Demand o ecas in o ma ion This i em was excluded
3. In en o y in o ma ion 0.85
4. P oduc ion schedule in o ma ion 0.79
5. P oduc i i y in o ma ion 0.86
6. Sensi i e in o ma ion (e.g., inancial in o ma ion, p op ie a y p ocess
in o ma ion, e c.) 0.77
Tab. A1: Scale measu emen and ac o loading – Pa 2
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Scale Sou ces I ems Fac o loading
In o ma ion
sha ing wi h
cus ome s
Koçoğlu e al.
(2011); Baihaqi
and Sohal (2013)
Ou key cus ome s ha e access o he ollowing in o ma ion abou ou plan :
1. Cos in o ma ion 0.75
2. Deli e y in o ma ion This i em was excluded
3. Demand change in o ma ion 0.84
4. Demand o ecas in o ma ion 0.82
5. In o ma ion abou plan manu ac u ing capabili ies 0.78
6. In en o y in o ma ion 0.75
7. P oduc ion capaci y in o ma ion 0.84
8. P oduc i i y in o ma ion 0.78
9. Quali y in o ma ion This i em was excluded
10. Schedule in o ma ion 0.72
11. Sensi i e in o ma ion (e.g., inancial in o ma ion, p op ie a y p ocess
in o ma ion, e c.) This i em was excluded
Supply chain
pe o mance
Wu e al. (2014);
K ause e al.
(2007)
We a e sa is ied wi h he pe o mance o ou key supplie s on he ollowing c i e ia:
1. Con o mance wi h speci ica ions 0.69
2. Design capabili y 0.67
3. On- ime deli e y 0.78
4. P ice 0.69
5. P oduc liabili y 0.79
6. Quick esponse on sho no ice 0.69
7. Se ice le el 0.79
8. Technical skill 0.77
Sou ce: own
Tab. A1: Scale measu emen and ac o loading – Pa 3
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