The moderating role of supply network structure on the customer integration‐efficiency relationship

Purpose – The purpose of this paper is to study whether a fast supply network structure interacts with customer integration (CI) by positively moderating the relationship between CI and efficiency performance.Design/methodology/approach – The authors developed two hypotheses, incorporating dimensions of CI, fast supply network structure and efficiency performance. The hypotheses are tested through a hierarchical regression analysis using data from a sample of 200 manufacturing plants.Findings – CI alone is not enough to guarantee cost reductions because a fast supply network structure acts as a moderator of the CI‐efficiency relationship. The role of this moderator is twofold. On the one hand, it interacts with CI, strengthening the positive impact of CI on efficiency through a positive complementary effect. On the other hand, if the supply network structure is not intended to support fast lead times, the impact of CI on efficiency can be hindered and, in extreme cases, CI can even make efficiency worse.P...

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