The Impact of Supply Chain Responsiveness on Competitive

Advantage of Beverage Industry of Pakistan

Submitted By: Fazal Mabood

Class: MBA-04 (2.5Yrs)

Roll No: EMB (3)-S14-250062

Specialization: Supply Chain Management

ARMY PUBLIC COLLEGE OF MANAGEMENT & SCIENCES

RAWALPINDI

UNIVERSITY OF ENGINEERING & TECHNOLOGY TAXILA,

2021
 THESIS BRIEF
Thesis Title: The Impact of Supply Chain Responsiveness
on Competitive Advantage of Beverage
Industry of Pakistan

Student’s name: Fazal Mabood

Supervisor name: Mr. Shahid Mehmood

Starting Date : 15th September, 2020

Ending Date : 15th January, 2021

ii
 DEPARTMENT OF MANAGEMENT SCIENCES
ARMY PUBLIC COLLEGE OF MANAGEMENT SCIENCES
FINAL APPROVAL

It is certified that we have read the thesis submitted by following student (Fazal
Mabood). It is our judgment that this report is of sufficient standard to warrant its
acceptance by Army Public College of Management Sciences, Rawalpindi for the
MBA degree of Business Administration.

COMMITTEE

1. Supervisor/Internal examiner Signature ………………………..

2. External Examiner Signature…………………………………….

3. HOD (R & D) Signature …………………………………………

4. DEAN (MS) Signature…………………………………………….

iii
A DISSERTATION SUBMITTED TO THE DEPARTMENT OF
MANAGEMENT SCIENCES, ARMY PUBLIC COLLEGE OF
MANAGEMENT SCIENCES AS A PARTIAL FULFILLMENT OF THE
DEGREE OF MBA- BUSINESS ADMINISTRATION

DECLARATION

It is hereby declared that this thesis, neither as a whole nor as a part thereof
has been copied out from any source. It is further declared that I have
developed this report entirely on the basis of my personal efforts made under
the sincere guidance of my Supervisor Mr. Shahid Mehmood.

Students Name

Fazal Mabood

iv
 Abstract
In this era of competition, there is a strong need of streamline the supply chain and gain
competitive advantage. This ultimately brings higher performance. Supply chain management is
the latest trend to be discussed in the theory of operation management. This study aimed to
analyze the effect of supply chain management practice i.e. supply chain responsiveness on
competitive advantage of beverages industry of Pakistan. Supply chain responsiveness included
logistic process responsiveness, information system responsiveness, and supplier network
responsiveness which were independent variables of study whereas competitive advantage was
dependent variable of study. This study presented a model of supply chain management and
practices to achieve the competitive advantage. Sample data was collected from 225 employees
of beverage industry of Pakistan. The method used to conduct the research was quantitative. Data
was collected using questionnaires and the technique of data analysis was descriptive and
statistics regression analysis and correlation Analysis. Findings indicated that competitive
advantage is directly related to logistic process responsiveness, information system
responsiveness and supplier network responsiveness.

Keywords: Supply Chain Management, Supply Chain Responsiveness, Logistic Process

Responsiveness, Information System Responsiveness, Supplier Network Responsiveness,
Competitive Advantage, Beverages Industry, Pakistan.

v
Contents
Abstract............................................................................................................................................v

1. Introduction..............................................................................................................................1

1.1. Background of Study........................................................................................................1

1.2. Problem Statement............................................................................................................3

1.3. Gap Analysis.....................................................................................................................4

1.4. Significance of the Study..................................................................................................5

1.5. Scope of the Study............................................................................................................5

1.6. Research Questions...........................................................................................................5

1.7. Study Objectives...............................................................................................................6

1.8. Delimitations of the Study................................................................................................6

2. Literature Review.....................................................................................................................7

2.1. Competitive Advantage.....................................................................................................7

2.2. Supply Chain Responsiveness & Competitive Advantage...............................................9

2.3. Relationship between Operation System Responsiveness & Competitive Advantage...12

2.4. Relationship between Logistics Process Responsiveness & Competitive Advantage....14

2.5. Relationship between Supplier Network Responsiveness & Competitive Advantage...17

2.6. Theoretical Framework...................................................................................................19

2.7. Hypothesis of Study........................................................................................................20

3. Research Methodology..............................................................................................................22

3.1. Design of Study...............................................................................................................22

3.2. Research Philosophy.......................................................................................................22

3.3. Population.......................................................................................................................22

3.4. Sample Size.....................................................................................................................23

3.5. Sampling Technique.......................................................................................................23

vi
 3.6. Unit of Analysis..............................................................................................................23

3.7. Data Collection Techniques............................................................................................24

3.8. Research Instruments......................................................................................................24

3.9. Time Horizon..................................................................................................................24

4. Results & Discussion..............................................................................................................25

4.1. Demographic Characteristics of Respondents................................................................25

4.2. Descriptive Statistics.......................................................................................................27

4.3. Reliability Analysis.........................................................................................................27

4.4. Correlation......................................................................................................................28

4.5. Regression Analysis........................................................................................................29

4.6. Hypotheses Testing Decision..........................................................................................31

5. Conclusion..............................................................................................................................32

5.1. Discussion on Results.....................................................................................................32

5.2. Conclusion......................................................................................................................33

5.3. Recommendations...........................................................................................................35

5.4. Future Direction..............................................................................................................36

References......................................................................................................................................38

Questionnaire.................................................................................................................................47

vii
 1. Introduction
1.1. Background of Study
In the emerging era of businesses and rapid technology, it is not possible to compete
solely on the basis of a single entity. If businesses are to increase or get rapid advancement then
they need to include all the business departments with them. Effective management of supply
chain management is a way of improving businesses and getting competitive advantage. The
objective of supply chain is not only to store and process information but to communicate
effectively among all departments (Childhouse, 2003). There is no one exact definition of supply
chain but it includes a vast range in it including relationship with partners, relationship with
customers, sharing of information effectively all over the departments in order to ensure
continuity and perfection in the manufacturing process etc. Supply chain management actually
starts from supplier, distributer, manufacturer, retailer, and those involved in information sharing
and it is not possible to avoid any of them to succeed. Each supply chain management dimension
is of extreme importance in strategic and in functional aspect. The strategic processes are
important as they align the activities, provide a guideline and integrates the activities of one area
with another (Lambert, 2008).

Modularity based manufacturing practices are described as set of practices implemented

on a single process or are used to standardized the process, production of units, and designing the
product etc. (Tu, 2004). Modules are actually the large systems which are working independently
but are related to each other internally. In the same way MBMP are a set of practices which firms
use in order to achieve innovation in their products, modify the design of product, and
production process, but the functional hierarchy is same. Modularity could also be defined as a
way of being independent but at the same time they are combined or joined functionally.
Systems will have a greater degree of modularity in case they are segregated and then combined
again with a bearable loss in functionality. Modularization is efficiently organizing job in such a
way that a simple task is split into parts, those parts work independently but efficiently and
complete the assigned task (Mikkola, 2004).

MBMP provides the organizations with certain benefits such as economies of scale,
increased availability of products, extended variety, and product repair (Coronado, 2004). This

1
concept is gaining more attention from the researchers as the businesses are changing from their
previous tracks to the modified ones and this method provides ability to confront the speedily
changing environment of manufacturing. It is even expected that in future the performance of
factories will be based on some limited concepts and one of those will be MBMP. It gives a
promise to achieve the advantages of standardization of a process. Modularization in a product
family could be used to increase the variety, reduce cost, reduce time, and increase availability
according to changing trends (Evans, 1963).

Supply chain responsiveness is the ability to respond quickly, to solve the problems,
changes either in the demand of customers, operation network or logistics (Holweg, 2005).
Businesses need to respond timely to changing demands, shifting trends of customers, more
efficient operational methods in order to adjust in the environment. As the scenarios of business
are changing so organizations need to develop their existing supply chain strategies to more
flexible, advanced and more efficient ones (Gould, 1997). Supply chain responsiveness
correlates with supply chain flexibility. SCR is rapid focus to the changes or request put on by
someone from market. The current study has taken three sub construct of SCR within
manufacturing industry including operation system responsiveness, logistics process
responsiveness, and supplier network responsiveness. Operation system responsiveness is the
ability of a company that how its manufacturing system cope up with the changes in demand of
customer (Lummus, 2003).

As the demand of customer goes on increasing or changing with the passage of time due
to more awareness, variety of items available, changing trends. Logistic process responsiveness
is how the organizations transport, distribution, and warehouse deals with the changes in demand
of customer (Doherty, 1998). To deal with the changes of market is not solely the duty of one
department rather it is a combined effort of all the departments. Thus distribution channels,
transportation, and warehouse combine to face the changes of market. Supplier network
responsiveness is the third sub construct of supply chain responsiveness. To deal with any
coming challenge, to make some innovation suppliers are the inevitable part of the supply chain
network. It deals with the ability of a firms network of suppliers that how they address the
changes in the demand of a firm or market (Choi & Hartley, 1996).

2
 Competitive advantage consist of setting such practices which lead the organization
toward a competitive position over its competitors in the market. Competitive advantage benefits
are actually result of some critical management decisions. Competitive advantage includes
making choices in such a way so that a company may be able to compete upon price, quality, and
product features, and delivery time in order to achieve a ling run competitive advantage,
organizations should make strategies by proper analysis, revise them accordingly, and invest
upon the implementation of strategies in the market. Competitive advantage is how an
organization takes steps to become defensive over its competitors (Li, 2006).

Sub constructs of competitive advantage used in this study includes price or cost and it
means the strength of some organization to face its competitors by offering low price (Koufteros,
1995). It is the simplest and easiest strategy used to achieve competitive advantage over others.
Quality is the other aspect for gaining competitive advantage as it is actually that power of an
organization which it uses to create high customer value (Rondeau, 2000). Delivery
dependability is the strength of organization in provision of the product demanded by customer.
Time to market is the timely delivery or supply of the product to the market as compared to its
competitors (Vesey, 1991). Gaining competitive advantage is the wish of any organization and
they opt different methods for it depending upon their culture, buying habits. Product innovation
is another sub construct of competitive advantage and is defined as the ability of the organization
to launch new things, products with greater or enhanced features (Hall, 1993).

1.2. Problem Statement

The current study focused on the supply chain responsiveness and competitive advantage
of beverage companies in Pakistan. Responsiveness of a company plays a great role in helping
the company to provide great and unique products and services to customers eventually leading
to company gaining competitive advantage. If the company is unable to respond to their
customers and suppliers it can influence the offering of company as well as its capacity to gain
competitive advantage in market. Supply chain responsiveness involves operation system
responsiveness, logistic process responsiveness, supplier network responsiveness. The operation
system responsiveness focuses on how better the company’s operating system responds to the
changing consumer demand. Logistic process responsiveness reveals the ability of company to
provide products and services to customers based on changing consumer demand.

3
 The supplier network responsiveness reveals the ability of company to deal with its
suppliers and cope with challenges related to them. This paves path to certain questions that does
the competitive advantage of company changes due to change in operating system
responsiveness? Does the competitive advantage changes due to changes in logistics process
responsiveness? Do changes in supplier network responsiveness brings changes in competitive
advantage? Thus the current study focused on answering these questions by evaluating effect of
operating system responsiveness, logistics process responsiveness, and supplier network
responsiveness on competitive advantage of beverage industry in Pakistan.

1.3. Gap Analysis

Supply chain responsiveness influences the strategies of business as it is enabler of
business and this area should be focused by executives at corporate level (Vencataya, et al.,
2015). Previously, SME’s were studied to examine the impact of supply chain integration and
responsiveness on competitive advantage, but the larger organizations were not examined which
revealed the population gap. As the study conducted by Omoruyi & Dhurup (2016) in Southern
Gauteng of South Africa cannot be generalized to other regions of the world this reveals the
contextual gap. There was need to study all dimensions of the supply chain responsiveness
(supply side). There was also a need of down streaming for total responsiveness of the supply
chain with in an organization.

Supply chain responsiveness is not well defined and it has a high degree of variability in
the mind of researchers as well as general public. This degree of variability ranges from agility to
flexibility (Sukati et al., 2012). Previous literature lacked the issue of logistics process
responsiveness on competitive advantage. So, the effect of logistic process responsiveness on the
competitive advantage was needed to be examined. The country specific approach was also
missing in the previous literature so the current study incorporated geographical conditions and
conducted study in Pakistan beverages industry. The study was also needed in the beverages
industry as same study has been conducted in US textile, apparel, furniture and transportation
industry.

Thus the study evaluated the effect of operating system responsiveness, logistics process
responsiveness, and supplier network responsiveness on competitive advantage of beverage
companies in Pakistan.

4
 1.4. Significance of the Study
Beverage industry plays an important role in life of customers due to which its
importance has increase and its performance and unique offerings are of more worth to
customers. The most customers demand from companies is better responsiveness towards
offerings. The current study focused on influence of supply chain responsiveness on competitive
advantage of beverage companies thus the study will add to existing literature by providing data
on influence of operating system responsiveness, logistics process responsiveness, and supplier
network responsiveness on competitive advantage.

Likewise the current study will help the students who are focused on influence of supply
chain responsiveness on competitive advantage of beverage companies by providing results of
quantitative data. Similarly the current study will help the managers in understanding the
importance of supply chain responsiveness elements in increasing the competitive advantage.
The current study will help the companies in improving the products and service responsiveness.

1.5. Scope of the Study

The focus of current study was on supply chain responsiveness and competitive
advantage of beverage companies in Pakistan. The target population selected for study was
Beverage industry. As this industry is a type of those industries having frequent, direct and wide
interaction with its customers. It comprises of customers of every type and age, social status etc.
thus to gain competitive advantage in this sector and to meet the benchmark is easy but demand
attention, proper analysis and timely responses.

The current study was focused on 225 responses from beverage industry employees and
focused only on operating system responsiveness, logistics process responsiveness, and supplier
network responsiveness influence on competitive advantage while many other factors including
information sharing, supplier buyer relationship and many others were not included in current
study.

1.6. Research Questions

The study poses some questions such as:

i. What is the impact of Operations system responsiveness on competitive advantage of

beverage companies in Pakistan?

5
 ii. What is the impact of Logistics process responsiveness on competitive advantage of
beverage companies in Pakistan?
iii. What is the impact of supplier network responsiveness on competitive advantage of
beverage companies in Pakistan?

1.7. Study Objectives

Objective of current study is to evaluate:

i. Influence of operating system responsiveness on competitive advantage of beverage

companies.
ii. Influence of logistics process responsiveness on competitive advantage of beverage
companies.
iii. Influence of supplier network responsiveness on competitive advantage of beverage
companies.

1.8. Delimitations of the Study

The main limitation of this study was context, mostly respondents filled the questionnaire as they
had the first hand information about the industrial processes and techniques that result in either
cutting edge or poor performance. Results were totally based on the respondent’s opinions and
their sincerity in filling the questionnaire can’t be assessed. The study only covered one sector,
there was no comparison with other sectors in the same region, where the results could be
different. It was a cross-sectional study and results were concluded based on cross-sectional data.

6
 2. Literature Review
In the contemporary business era of competition, supply chain responsiveness is the most
essential need of the organizations. It helps to cope up with the rapid product innovations, short
life-cycle of the products and sophisticated and well-informed empowered customers. Strategic
integration of the business processes is needed nowadays because of the competitive challenges.
Supply chain responsiveness can affect the competitive advantage of organizations because it can
help the business to grow and to create the customer value. A responsive supply chain can help
in cost reduction and increasing the customer services efficiency (Martinsen & Bjorklund, 2012).
If the modern supply chains are not responsive to changing demands, it can affect the business
and revenues in the long-run (Thatte, 2007). Most of the research has been done on the
organizational level flexibility and agility but nowadays, it is mandatory to study the
responsiveness of supply-chains. Supply chain responsiveness has a significant impact on the
competitive advantage of the organization or firm and the bottom line can be improved through
supply chain responsiveness.

2.1. Competitive Advantage

Competitive advantage has two main dimensions on basis of the theory of competitive
advantage; low-cost advantage and differentiation advantage (Porter, 1980). It requires
marketing capabilities to gain the differentiation advantage so that products of a firm are better
known to customers as compared to competitor’s products (Tan & Sousa, 2015). If a company
have competitive advantage over competitors then their chances of survival and sustainability
increases. Firms can easily expand profits and business performance (Nuryakin, Aryanto &
Setiawan, 2018). If a company wants to determine the perceptions of the market to achieve the
success, it must manufacture products/services that have superior value. Superior value is the
subjective concept and it is in the minds of customers (Wulandari, Djastuti & Nuryakin, 2017).
Companies can also achieve competitive advantage through innovations (Darroch &
McNaughton, 2002).

Today’s highly competitive environment in which the manufacturing firms operations is

characterized by growing world competition and increasingly demanding customers (Rich,
1997). Sparks and Fernie (1998) and Jones (2002) stated that these dynamics are especially
observed in the fashion and clothing retail industry. Furthermore, as the new competitive
7
environment changes to more global, technologically oriented and customer driven, as product
life cycles shrink and new products get introduced rapidly, as customers continually demand
higher quality, faster response, and greater reliability of products and services, the new world
market demands a more customer responsive behavior by companies. Womack and Jones (1996)
argued that these pressures have fueled a continuous change process within organizations,
impacting all the areas of a business, from rapid technological changes, to a much shortened
product life cycle. They further state that since the late 1990s change and uncertainty
surrounding manufacturing organizations and their supply chains grew. Firms have responded
with innovative products and improved manufacturing processes to manufacture products.
Sabath (1998) illustrated that supply chains need to be managed in a way that enables quick
response, so as to cope with volatile demand. The underlying factor is required to focus on time,
flexibility, and speed of response of supply chain to succeed in this increasingly global
marketplace thereby creating competitive advantage for a company.

There are some factors or a single factor that can impact the growth and stability of the
organization. These factors are competitive advantage. The stability and growth can be achieved
by actively participating in impact and the utilizing the resources optimally (Kon, 2012).
Competitive advantage can be referred to as the how good a business can satisfy the needs of
customers. These needs may be regarding the product quality or services. Not only the
customers, but meeting the needs of employees and increasing the ROIC (Return on invested
Capital) is also the competitive advantage of the business (Anik, Nadjadji & Suwignjo, 2010).
Basically, the competitive advantage can be defined as the superiority of an organization over its
competitors by using different sources. Competitive advantage is a source of increased market
share of the organization and it also helps to boost the strategic goals of the organization. There
are different dimensions of the competitive advantage; flexibility, creativity, quality, cost, and
differentiation (Najjar, 2016).

Flexibility can be defined as the capacity of any organization to respond to changes

related to the product, customer’s demand or diversity of demand (William, 2007). Creativity
refers to the ability of any organization to find unique solutions for the existing problems.
Producing new ideas which are not common however, they are also no unusual is known as
creativity (Urbancova, 2013). Ideas are usually generated by the human resource and hence

8
competitive advantage can be gained through creativity (Najjar, 2016). Quality is defined as
providing the low cost and non-defected products to the customers (Gupta, Garg & Kumar,
2014). The organizations that focus on cost differentiation gain the cost competitive advantage
over their competitors (Wheelen & Hunger, 2010). Producing a unique service or product so that
customers can receive superior value is the differentiation dimension of the competitive
advantage (Beckham, 2008).

2.2. Supply Chain Responsiveness & Competitive Advantage

Competitive advantage is no doubt hard to achieve without SCR, timely and efficient
responses (Upton, 1997). When the suppliers’ network would be efficient, better equipped to
meet the change in demand of market, changing demands of customers, competitive advantage
would be easier to achieve. There are various methods organizations use to have a benchmark
position in the market, and these ways are cost, quality control, timely delivery, in time market
etc. a better channel of suppliers thus considered to be more favorable in having a competitive
edge over others. When products are manufactured and are not delivered timely, they would be
of no use. So not only manufacturing but transportation, storage of materials, maintenance of the
stored material etc also hold importance. And Logistic system responsiveness tends to increase
the competitive advantage of the organizations. Responsiveness to the demands of customer is a
way to get competitive advantage (Williamson, 1991)

In this dynamic and speedy environment of business, operations need to be smooth,

continuous, and flawless. There should be some side plans in case of any sudden change, change
in demand, the management must have some ways to come out of the sudden phase. A flawless
operation system increases the competitive advantage of organization. Supply chain
responsiveness is a vast subject covering all the fields of Supply Chain and as the supply chain is
base of manufacturing industry so proper adoption of supply chain management practices can
lead a company’s to get the benefits of supply chain.

There is very little empirical research on the supply chain responsiveness. Supply chain
integration is the most important area of the study. There are different supply chain management
practices that can result in responsiveness in the contemporary era of competition (Sukati et al.,
2012). Supply chain integration can be defined as the effectiveness of communication among all
the members of supply chain (Turner, 1993; Holweg, 2005). The supply chain integration helps

9
to achieve competitive advantage of a company. Integration basically defines the degree of
relationship among different departments of a single organization or relationship among different
organizations. Integration is the source of knowledge (Sukati et al., 2012). The supply chain
management theories posit that there are different critical factors that play a very important role
to achieve responsiveness. These factors are communication, cooperation, information and trust
(Russell & Taylor, 2009). A study suggested that in this era of tough competition in the supply
chain, there is also a need for the organizations to sustain the competitive advantage (Li et al.,
2006). Another study related supply chain to competitive advantage and revealed that if there is a
strong link between performance of supply chain process and financial strategic goals, the
organization can achieve the competitive advantage. This can also help the organization in
formulating strategies for supply chain management (Elgazzar, et al., 2012).

Barney & Hesterly (2010) studied that strategy is considered to be a good strategy if it is
advantageous and it results in gaining the competitive advantage. If an organization needs to gain
competitive advantage, it must be responsive towards the customers (Ellinger, 2000) and towards
the supply chain. In order to respond to the customers, organizations must also understand the
supply chain responsiveness (Lummus, et al., 2003). This understanding will help the
organization to attain the competitive advantage (Lau & Hurley, 2001). The organizations that
are more responsive towards supply chain can easily handle the demand fluctuations (Randall, et
al., 2003) and hence can gain competitive advantage.

In the last three decades, the use of information technology (IT) has enhanced the
communication practices. Consumer electronic industry has extremely competitive and volatile
environment. Every manufacturer must be a distinguishing player so that responding to
customer’s changing demands is not difficult. In order to enhance competitive advantage,
electronic industry is also developing the supply chain constructs and working to enhance supply
chain responsiveness. Market position can also be strengthened using different supply chain
strategies. Responsive supply chain can be developed with help of supply chain structure with
the main focus on flexibility, cost, quality and speed. With all these factors, responsive supply
chain can help the electronic industry to gain competitive advantage over competitors (Leenders,
2010).

10
 Also for growth and survival of SME’s, the supply chain responsiveness is the crucial
aspect that can contribute to competitive advantage and organizational performance. A study was
conducted by Wijetunge (2016) in Colombo, Sri Lanka which examined the data collected from
managers/owners working in SME’s. SME for this study was defined as any organization in
which the number of employees ranges from 5-100. Questionnaires were distributed to the
managers or owners of 548 SME’s however only 155 were used for data analysis. List of SME’s
was given by the annual industrial survey. The relationship of supply chain with competitive
advantage was analyzed using correlation. Results indicated that better the supply chain, better
are the chances to gain competitive advantage over competitors.

Supply chain is an organized network in which suppliers, wholesalers, distributors,

transporters and retailers are engaged in the activities like material transfer, sale, flow and
delivery of goods to final consumers (Maqbool, et al., 2014). Another researcher studied the
impact of supply chain practices and strategies on gaining the competitive advantage. A case
study methodology was used to examine the relationship. Sample data was collected from Indian
leaf tobacco and mosquito coil manufacturer. Semi-structured interviews were conducted from
the supply chain managers. Findings suggested that to make supply chain more responsive and
agile, the managers must design policies and practices to make suppliers flexible and ready to
adapt the changing market demands.

In this way, companies can achieve the competitive advantage by streamlining the
supply chain. Collaboration, IT and structure for cost reduction must be used for implementation
of responsive supply chain (Datta, 2016). Supply chain responsiveness is the tool that different
firms use to gain competitive advantage. A study was conducted using Fuzzy Delphi Method and
indicated flexibility effects the supply chain responsiveness. Process integration also affects the
competitive advantage and innovation of a company along with the flexibility (Wu, et al., 2016).

A study conducted on a National Media Group also suggested that supply chain
responsiveness has an impact on the competitive advantage of a company’s. Data was collected
from company’s executives through interviews and content data analysis was main tool used to
analyze data because the study was qualitative in nature. Results has indicated that there is a
strong evidence of positive relationship between supply chain responsiveness and competitive
advantage of NMG. Organizations must streamline the supply chain partners through policy

11
formulations. Adopting the procurement strategies that are flexible will also help to achieve
competitive advantage (Kyengo, 2012).

The oil sector also needs to enhance supply chain responsiveness in order to gain
competitive advantage. This is because the global oil industry is exposed to many risks. These
risks can be reduced with the help of efficient supply chain so that changing demands of the
industry can be met. Study suggested a contingency plan and centralized supply chain to enhance
the supply chain responsiveness. New technology and innovations must also be welcomed so that
gaining the competitive advantage becomes easy (Choudhary, et al., 2014).

2.3. Relationship between Operation System Responsiveness & Competitive

Advantage
Operational system responsiveness can be defined as how good a business process and
system can respond to the changing demands of market and customers. This can help in risk
reduction, achieving greater efficiencies and capitalize on opportunities. Whenever a business is
operationally responsive, it has enough information and is also flexible so that changes can be
incorporated easily. Business information that is needed to bring and assess the change is the
vital part of operationally responsive business plans. Responding to customer interactions is not
only accepting their orders or solving their problems. Businesses that are operationally
responsive are working on exploring new opportunities from existing and potential customers.
This helps in identification of needs and demands of the customers (Pam, 2010)

Firms are achieving variability and are becoming more responsive using practices of
SCM (Narasimhan, 1999). When the SCM practices is successful, there is more quick response
to the changes in the market, more sensitive to product change or for market. Thus, those
organization who want to have cost leadership, quick response to the external stimulus, they are
all focusing on the practices of SCM (Porter, 1985). Collaboration is a vital element in gaining
responsive attitude from the team. Collaborative efforts if made by the partners of supply chain
may tend to increase the responsive attitude of the people to any slight change in the demand of
product. Regardless of the type of SCM practices, if information is properly handled and
processed then it would be a great benefit to the organization in seeking responsiveness. Market
is full of options for the customer, they have an easy access to the items, and they can switch
easily without having a switching cost even if they are not responded timely. There should be a

12
close coordination of suppliers and customers as the demands of customer vary quickly and
timely response is required to save the repo of the organization (Mentzer, 2001).

If the organizations have a good relationship with partners then it would be easier to
respond to the market changes. Involvement of supplier in the start of process, in designing, in
manufacturing helps to increase the responsiveness to the request put on by the customer
(Martin, 2003). When the relationship between the suppliers and organizers or management will
be good then result would be there in the form of timely deliveries, innovation, reduced time, etc.
integration of suppliers, manufacturers, customers, distributors, retailers etc is greatly
emphasized by many researchers. So, a high degree of correlation exists between supplier
partnership practices and responsiveness of the organization. Selection of potential suppliers,
their development, and relation building are critical factors to the efficient performance of the
organization. SCR could be achieved by working in collaboration with the suppliers, designers in
order to have a check and balance on the product, to solve the problems and to make the backup
plans etc (A.:, 1997).

Organizations nowadays are putting more focus on customer value and designing the
products or services that are more valuable than their competitors. Operational responsiveness
can be defined as how good a business process or IT solution can respond to the changes in
conditions and interactions of customers. If a business has the ability to respond to the changes in
business events, that business is said to be operationally responsive. For a business to become
operationally responsive, actionable insight and the sense of responding quickly to the events
that can impact the business are two major elements (Responsive Process Management). The
supply chain management (SCM) has a major impact on the competitive advantage of the
organization. It can also affect the operational performance. A study in Mauritius hotel industry
indicated that Supply chain management practices can lead to competitive advantage and
operational performance (Vencataya et al., 2015). Operational responsiveness is a progressing
quality that is why its scope is growing over time. All of the leading organizations tends to
pursue the operational responsiveness to gain competitive advantage (Pam, 2010). If a business
is responsive, it means it has the capability to react purposefully in the given time period so that
customer’s changing demands can be fulfilled and competitive advantage can be gained
(Holweg, 2005). Fischer have argued that the product characteristics and the life cycle of the

13
product must be connected to the functions and layout of supply chain. He gave a matrix in
which the supply chain characteristics were plotted against the product characteristics (Fischer,
1997). A business that is operationally responsive is capable of operating securely and reliably. It
can effectively use situational awareness and it also includes monitoring and support to gain
competitive advantage (Pam, 2010).

A study conducted in Kenya analysed fifty-four employees from procurement department

of Kakamega County. Stratified and simple random sampling was used as sampling technique.
Questionnaires were distributed among the employee to collect data. According to results, the
supplier network responsiveness has a positive relationship with the competitive advantage. It
helps to boost the procurement performance that increases the chances to gain competitiveness.
Governments and organizations must focus on the supplier who responds to changing
environments with in no time (Rajab & Muchelule, 2016). A study conducted in China showed
that supplier network responsiveness is directly related to the sustainable competitive advantage.
122 respondents from different supplier and distributor networks were chosen from paper
industry of China. This study shows that trust is the moderator that positively enhances the
relationship of supplier network and competitive advantage of a company (Wang et al., 2018).

There can be challenges like changing demands of the customers, unexpected natural
calamities, technological up-gradation and compatible supplier’s needs for the supply chain.
These issues can affect the efficiency of the supply chain responsiveness. Hence, to achieve the
competitive advantage, the companies must use emerging technologies for enhancing supply
chain responsiveness. A cost-efficient solution is needed so that responsiveness of supply chain
can be facilitated. Internal and external integration can be used for operating closely with other
markets. A mathematical model proposed also help the organizations to develop a Key
Performance Indicator (KPI) to check the responsive supply chain design (Sinha, 2015).

2.4. Relationship between Logistics Process Responsiveness & Competitive

Advantage
Logistics process responsiveness can help to reduce costs and increase the economic
wealth. Therefore, logistics process responsiveness has been professionalized. Logistics process
responsiveness importance has rose in this era of competition hence, the organizations are
working on innovative and up-to-date methods of logistic management (Berghaus, 2015). The

14
concept of logistics saw an advancement in 1950’s and after industrialization, globalization and
nationalization in recent decades, the logistic process responsiveness has become a very
important factor to gain competitive advantage. It helps a company to optimize the production
and improve the distribution processes. A study conducted by Alessandro Vitale (2014) focused
on the influence of logistics process responsiveness on competitive advantage and revealed that
there is sufficiently great influence of logistics process responsiveness on competitive advantage
and firm performance. Logistics process can be made responsive by accommodating the delivery
requests of the customers. Logistic process is considered to be responsive when a company is
able to deliver the goods when needed at the reasonable costs (Zelbst et al., 2008).

The logistics process responsiveness can be achieved with a strong and fast transportation
system. Transportation system joins the separate activities of logistics. Transportation is the key
element of logistic process and it acquires one-third costs of logistics. Hence, the transportation
can affect the logistic system responsiveness hugely. Transportation is required from production
to delivery to final consumers. Positive and significant influence of logistics process
responsiveness on competitive advantage and firm performance was revealed in a research
conducted by Erik Svanes (2010). The study further revealed that in order to get competitive
edge in market the companies need to pay attention to the quality of their responsiveness of their
logistic process. If the transportation systems are not fully-developed, it can affect the logistic
process responsiveness and firm cannot get full benefits. Transport system can help the logistics
to improve via reduction in operational costs, promoting the service quality and providing better
efficiency in logistics (Klosster, 2009).

There is an uncertainty in the demand of the customer due to rapidly changing

environment, more choices available to the customers. In order to cope up with these changes,
companies are opting modular products or they are moving toward such practices with which
they can cope up with the changing demands of customers (Storey, 2005). Feitzinger & Lee
(1997) stressed on the use of SCM practices and usage of MBMP in order to achieve the desired
level of outcome. Designing of product is an important feature of supply chain and it is argued
that Modular Product Designing is essential for having quick responsiveness. It is thus wish of
many organizations to explore such ways to respond timely and constantly to the changing
demands. When the organizations include MBMP, then the flexibility of a company to meet the

15
demands of customer, rate of responsiveness, product related issues, are resolved to a greater
extent (Lee, 1993).

Due to changing business conditions, many researchers have addressed the issue of
product, process modularity. Now number of products manufactured on the average is increased
as compared to the past using modular processes. All those industries who want to excel are
operating efficiently using MBMP. One of the example is Toyota car as they deliver the order
within 5 days of the placement of order (Simison, 1999). In the same way many other
manufacturing industries have started working on the same pattern in order to delight their
customer and to increase their market share. Motorola, a cell manufacturing company is also
using these advanced and efficient processes of business and they deliver the cell phone very
next day of the request of customer to anywhere in the describes locality. The businesses
carefully analyze the products first and then launch them in the market. This is due to the fact
that they understand the changing scenarios and want to respond effectively to the shift in trend.
When MBMP are implemented, the ability of customer responsiveness enhances and efforts are
made to make the products close to the consumers demand. Organizations using MBMP,
observed increase in responsiveness, delivery time reduction, overall increase in efficiency.

The logistics of an organization refers to the transportation and distribution of the

organization. It the logistic process is responsive with in any organization, it can help them to
introduce the new products faster as compared to the competitors. This will also enable a
company/organization to respond to customer’s changing needs of the product (type and
volume). It also increases the delivery dependability. Logistics is a very important stage of the
supply chain. A typical supply chain consists of the manufacturer, supplier, transport agents,
ware houses, retailers, logistics and finally the customer. Sukati, et al. (2012) evaluated the effect
of supply chain responsiveness on competitive advantage using logistics process responsiveness
and revealed that with increase in the logistics process responsiveness the competitive advantage
of company also increases.

Responsiveness of logistics can be achieved through supply chain integration and it can
result in gaining competitive advantage. If there is free sharing of the information between
different partners of the supply chain, integration can be achieved (Sturim, 1999). A study
suggested that integration with supplier is positively associated with the competitive advantage

16
and the logistic process responsiveness is also directly related to the competitive advantage. A
study puts emphasis on integration of logistic capabilities with the supply chain so that supply
chain agility can be developed. It also suggests that how logistic responsiveness can affect a
company’s performance and helps to gain competitive advantage (Mandal, 2015).

The logistic services can help in value creation and gaining competitiveness. It is not only
the optimization of costs. Improving supply chain responsiveness and anticipating the consumer
behavior changes is the fundamental value proposition to gain competitive advantage (Kasarda,
2017). A study conducted in transportation sector of Egypt examined the 460 customers that
were using logistic services. Probability sampling was used. Correlation and Regression analysis
were used to analyze the data. Results have indicated that logistic performance of the company is
directly related to the competitive advantage. Managers must focus on the logistic performance
practices they need to achieve the competitive advantage (Helmy et al., 2018). The logistic
service providers can help the company to achieve competitive advantage. This is based on the
Resource-Base view theory (RBV).

A study conducted by Wong & Karia (2010) which collected the data from top fifteen
global LSP’s examined the relationship between logistic services responsiveness and competitive
advantage. Content analysis was used. The logistic system responsiveness was measured using
resource restructuring, access and bundling. All these are main stages of the resource-based
competitive advantage. This study also focused on user’s perspective as well as provider’s
resource perspective to understand the competitive advantage. The results of study revealed
positive and significant influence of logistics process responsiveness on competitive advantage.
Logistics process responsiveness is a key factor to evaluate competitiveness in the automotive
industry as well. This is because with each passing day, there is model variations and options in
this industry. Logistic responsiveness can help to achieve competitive advantage and for this
logistic process management needs to streamline itself with the latest concepts and practices.
Studying the German automotive industry revealed that logistic management and responsiveness
can lead to gain the competitive advantage and for this the logistic chain has to be monitored
holistically (Do¨rnho¨fer et al., 2016).

17
 2.5. Relationship between Supplier Network Responsiveness & Competitive
Advantage
Effective SCM produces competitive advantage for a firm in that it is said to reduce
costs. SCM practices have been found to be positively related to competitive advantage (price,
quality, delivery dependability, product innovation, and time to market) in prior literature. It has
been pointed out that practicing SCM has become an essential requirement to staying
competitive and growing profitably in today’s global race (Power, 2001). Larson and Kulchitsky
(1998), in an empirical study found that developing strategic supplier partnerships also lead to
cost effectiveness of the focal firm.

Christopher (1992) states that, the greater the collaboration, at all levels, between supplier
and customer, the greater the likelihood that competitive advantage can be gained by
organizations. Extensively coordination with suppliers and involving them in new product
development process has been found to enhance the ability of organizations to develop
successful new products, and thus gain competitive advantage in the marketplace found that
supplier integration can reduce material costs and quality, product development time and cost,
and manufacturing cost while improving functionality. Advantages of supplier participation in
new product development include reduced project cost, and improved perceived product quality.
A long-term relationship with the supplier will have a lasting effect on the competitiveness of the
entire supply chain (Kotabe, 2003).

By developing the ability to produce a wide variety of products through assembling

standardized modules, manufacturers can expect to cut product development time (and thus
improve time to market new products), and lower overall costs. Drucker (1990) had predicted
that the factory of 1999 will be highly modular with product being built from standard
component modules and processes, which shall allow low cost production of ‘options’ or ‘special
products’ in fairly small batches. Modularity results in better-integrated designs with more value
to the customer, an integrated quality focus, and reduced piece cost and investment. Use of
existing standard components can lower the complexity and cost of products (due to no
development resources needed) (Ulrich, 1995).

As customers become more demanding, managers must understand how to use

modularity principles to design, and operate production systems that can meet the specific needs

18
of the customers with speed, in large volumes so economies of scope are achieved, and at a cost
that is close to mass produced goods. Designing products and processes into modules, is cost
effective due to the use of standard base units and product customization when customer orders
are received. The computer industry has dramatically increased its rate of innovation through the
widespread adoption of modular designs (Baldwin, 2000). Baldwin and Clark (1997) further
contend that modularity and responsiveness are both instrumental in the heightened rate of
innovation.

Supplier network responsiveness is the capability of an organization’s supply chain to

respond timely towards the changing demands of its customers and to maintain the competitive
advantage (Rajab & Muchelule, 2016). A study found that supply chain responsiveness and
integration with suppliers affect the competitive advantage of a company. It proposed that if the
supplier network is responsive, then it will help a company to introduce and deliver the new
products in markets quickly. Firm can compete easily on the basis of innovation of the product. It
also helps in in-time delivery of the products or services. Delivery dependability is increased
with the supplier network responsiveness because of the endowment of the responsive suppliers.
This study concluded that supplier network responsiveness is directly related to the competitive
advantage (Sukati, 2012).

Another study by Li (2006) proposed that a responsive supplier network and supply chain
helps to gain competitive advantage in terms of quality and in-time delivery. If the supplier
network is single sourced then there can be delays in the flow of material and a single supplier
cannot respond well to the changes in demand (Leenders, 2010). Single sourcing can be defined
as when the organizations fulfils all the corporate requirements from a single selected supplier. It
has some benefits like cost saving but at the same time, some risks are also associated with it like
delay in delivery (Costantino and Pellegrino, 2010). If the markets are volatile and turbulent,
then the single sourced suppliers can affect the competitive advantage negatively (Leenders,
2010). Another study used supplier network responsiveness and procurement performance to
help in gaining the competitive advantage. Study suggests that supplier network responsiveness
increases the procurement performance and helps to attain the competitive advantage through
responsive supply chain (Rajab & Muchelule, 2016).

19
 2.6. Theoretical Framework
There has been a little theoretical research on the supply chain management in the
literature. The concept of supply chain management is based on the theories of firm, Porter’s
value chain and some other useful theories; Transaction cost economies, Agency theory,
Resource-based view, Resource-dependency theory, network theory and Relational exchange
theory (Pohja, 2004). The key assumptions for the transaction cost economics are bounded
rationality and opportunism and primary domain of interest is exchange and transaction. The key
assumptions for resource-based view and network theory are bounded rationality and trust.
However, the primary domain of interest for these two theories are production and firm resources
and relationship with heterogeneous and homogenous actors respectively.

Relational exchange theory assumes embeddedness and trust as primary assumptions and
area of focus is social exchange between companies. Agency theory however assumes that
bounded rationality, asymmetric information and goal conflicts as key assumptions. The main
area focused in agency theory is alignment of incentives in dyads. The key assumptions for
resource-dependency theory are existence of coalitions and uncertainty (complexity and
variability in acquiring resources). This theory focus on maximizing organizational power. The
relational exchange theory focuses on social exchange between firms and its key assumptions are
embeddedness and trust. The agency theory, transaction cost economics and resource-
dependency theory are static in nature while the resource-based view, network theory and
relational exchange theory are dynamic/static in nature (Arlnjorn & Halldorsson, 2002;
Halldorsson et al., 2007; Mc Carthy & Golicic, 2005).

The current study is based on resource based view as the focus of current study is on
influence of supply chain responsiveness on competitive advantage while considering the
research conducted by Ashish (2007) on competitive advantage of a firm through supply chain
responsiveness and supply chain management practices whose framework was based on resource
based view which stated that when the company efficiently uses its resources in order to meet the
needs and requirements of its customers as well as its suppliers it eventually helps the company
in getting a sufficiently great increase in its performance thus letting company gaining
competitive edge in market. Based on resource based view below is the framework of current
study.

20
 IND DV

Operations System
Responsiveness

Logistics Process
Competitive Advantage
Responsiveness

Supplier Network
Responsiveness

2.7. Hypothesis of Study

H1: There is a positive and significant impact of operating system responsiveness on
competitive advantage of beverage companies in Pakistan.

H2: There is a positive and significant impact of logistics process responsiveness on

competitive advantage of beverage companies in Pakistan.

H3: There is a positive and significant impact of supplier network responsiveness on

competitive advantage of beverage companies in Pakistan.

21
 3. Research Methodology
3.1. Design of Study
The collection, analysis and interpretation of the data to understand a specific
phenomenon is known as research (Leedy & Ormrod, 2001). The very first step is defining the
objective, then data is managed, after analysis, the results are communicated according to the
guidelines that already exist. There are basically two categories of the research approaches;
Quantitative and Qualitative. Researchers usually select the quantitative research if the data
involved is numerical. Quantitative research is not dependent on the researcher and it is objective
in nature (Williams, 2007). The study used an adopted questionnaire as questionnaire surveys
help researchers in gaining valuable information adequately. As the study involved a description
of connection among variables thus the study was explanatory while evaluating supply chain
responsiveness and competitive advantage. The data was collected from a sample population at
one point in time due to time limitations thus the study used a cross-sectional research setting.

3.2. Research Philosophy

According to researchers, for quantitative researches, positivism and naturalism are the
philosophies (Steen & Roberts, 2011). Research philosophy demonstrates the overall perspective
which leads to a research study. The current study focused on an adoptive questionnaire which
was distributed among the target population sample to evaluate the connection among supply
chain responsiveness and competitive advantage using SPSS. As the study is a questionnaire
based and measures the variables objectively thus it is based on a positivist philosophical
paradigm which states that social fact can be evaluated independently and objectively (Mkansi &
Acheampong, 2001; Saunders, et al., 2009).

3.3. Population
Population might be consisted of total quantity of anything or cases that are subject of the
research (Tailor, 2005; Walliman, 2011). Target population includes all the members that are
meeting the criterion that is set for the particular research problem. In any given population, any
single entity that cannot be further decomposed is known as element of the population. Element
can be a market place, an individual, a factory etc. Populations can be homogeneous or
heterogeneous and it depends on the elements of the population (Alvi, 2016). The population of

22
current study comprised of the employees of beverages industry of Pakistan. Beverage
companies include Nestle Pakistan, Murree Brewery, Omore, Shezan International, Coca Cola
and Haidri Beverages.

3.4. Sample Size

Due to limited time and resources, 225 employees from beverage industry of Pakistan
were selected as respondents. It was assumed with the fair degree of confidence that these 225
selected respondents would enable the researcher to draw inference of the whole population. Any
portion of population or universe is considered as sample. For conducting an ethical research, the
determination of correct and accurate sample size is the most important aspect. It can be done
with help of formula, software, nomograms or use of power (Zhi, 2014). The current study
focused on non-probability sampling as the target of current study was only on beverage
industry. In non-probability sampling the study used convenience sampling due to limited time
and resources.

3.5. Sampling Technique

Probability sampling is the technique in which each and every participant of the research
has equal probability of selection (Fink, 1995). While in non-probability sampling, the
participants do not have an equal chance of being selected. In this technique, randomization is
not adopted in selecting the sample. It uses non-probability convenience sampling method. This
technique is used when the researcher lacks time or resources or in cases where population is not
well defined (Battaglia, 2008). As the current study was only focused on the beverage industry
thus it used non-probability sampling technique where the study focused on convenient sampling
technique in order to get response from employees of beverage industry regarding influence of
supply chain responsiveness on competitive advantage.

3.6. Unit of Analysis

The most important ideas in a research study is unit of analysis. The unit of analysis is
used to analyze our study. The unit of analysis is a research may include individuals, groups,
organizations, artifacts (books, photos, newspapers), geographical units (town, census tract,
state), and social interactions (divorces, arrests).

23
 The current study followed the hierarchy of Beverage Industry and collected the data
from all the concerned departments through their General Managers. The unit of analysis
consisted of all supervisors/executive and employees working at Beverage Industries of Pakistan.
The sampling (225) employees were selected to complete the questionnaire.

3.7. Data Collection Techniques

Data is basically the information that is supplied by the respondent or participant of any
research (Murgan, 2015). If the data collection techniques are poor, it will affect the findings of
the research. Data collection is the most important part of the research. Methodology and
analytical approach determine the explanations that are generated by the information (Paradis et
al., 2016). For a quantitative study, there are different data collection methods that might include,
surveys, interviews, and questionnaires. The data for current research was collected by
distributing the questionnaires to the employees of beverage companies in Pakistan using Likert
scale.

3.8. Research Instruments

The table below shows the sources of items of all the variables which were adopted in
order to evaluate the influence of supply chain responsiveness on competitive advantage.

Variables Sources Items

Operations System Responsiveness Prater et al., 2001 7

Logistic System Responsiveness Prater et al., 2001 5

Supplier Network Responsiveness Prater et al., 2001 6

Competitive Advantage Li et al., 2005 5

3.9. Time Horizon

There are studies in which the researcher gathers the data only once. This time period can
be some period of days, weeks or months. Research question is then answered at the end of this
period. This is one-shot or cross-sectional research. If the researcher studies the specific research
problem at more than one point in time, this is longitudinal study which requires more time. The

24
current study was cross sectional in nature as the data was collected at one time by distributing
number of questionnaires to employees.

25
 4. Results & Discussion
4.1. Demographic Characteristics of Respondents
Gender
Frequency Percent Valid Percent Cumulative Percent

Male 167 74.2 74.2 74.2

Female 58 25.8 25.8 100.0
Total 225 100.0 100.0
Table 01: Gender

The data was conducted on beverage industry and from the total 225 respondents 167
were male which 74.2% of total respondents were while 58 were females which were 25.8% of
total respondents.

Age
Frequency Percent Valid Percent Cumulative Percent

Below
35 15.6 15.6 15.6
25
25-35 139 61.8 61.8 77.3
36-45 45 20.0 20.0 97.3
46-55 6 2.7 2.7 100.0
Total 225 100.0 100.0
Table 02: Age

The table 02 shows that 25 respondents were of age below 25 which is 15.6%, 139 were
between 25-35 years which is 61.8%, 45 between 36-45 which is 20.0%, and 6 were in age of
45-55. The above table reveals that more respondents were in age group of 25 to 35.

26
 Qualification
Frequency Percent Valid Percent Cumulative Percent
FA/FSc/A-Levels 11 4.9 4.9 4.9
Graduation 125 55.6 55.6 60.4
Masters 77 34.2 34.2 94.7
M Phil/MS 12 5.3 5.3 100.0
Total 225 100.0 100.0
Table 03: Qualification

Table 03 shows that 11 respondents were in Fsc/a-levels qualified with 4.9%, 125 were
graduate with 55.6%, 77 had done masters which is 34.2%, and 12 were M.Phil/MS qualified
with 5.3 percentage which reveals that majority of respondents were graduate.

Experience
Frequency Percent Valid Percent Cumulative Percent

1-3 Years 30 13.3 13.3 13.3

4-6 Years 86 38.2 38.2 51.6
7-10 Years 82 36.4 36.4 88.0
11-15 Years 25 11.1 11.1 99.1
Above 15
2 .9 .9 100.0
Years
Total 225 100.0 100.0
Table 04: Experience

Table 04 reveals that 30 respondents were having 1-3 years’ experience which is13.3% of
total respondents, 86 respondents i.e. 38.2% had 4-6 years of relevant experience, 82 respondents
i.e. 36.4% had 7-10 years’ experience, 25 respondents i.e. 11.1% had 11-15 years of relevant
experience and only 2 respondents i.e. 0.90% had above 15 years of relevant experience.

27
 4.2. Descriptive Statistics
Variables Mean Std. Deviation

1 4.174
Competitive Advantage .60491
. 0

2 4.024
Operations System Responsiveness .60877
. 4

3 3.997
Logistic System Responsiveness .51241
. 5

4 4.044
Supplier Network Responsiveness .57074
. 5

Table 05: Descriptive Statistics

Table 05 shows that mean value for competitive advantage is 4.1740 while Std. Deviation
is .60491, for operations system responsiveness is 4.0244 and Std. Deviation is .60877. Likewise
the value of mean is 3.9975 for logistic system responsiveness and Std. Deviation value
is .51241. Value of mean is 4.0445 for supplier network responsiveness with Std. Deviation
value.51241. Table 05 shows that all the mean values are close to 4 which shows that
respondents basically agreed with questionnaire statements.

4.3. Reliability Analysis

Variables Items Cronbach’s Alpha

1 .816
Competitive Advantage 5
.

2 Operations System .893

7
. Responsiveness

3 .792
Logistic Process Responsiveness 5
.

28
 4 .827
Supplier Network Responsiveness 6
.

Table 06: Reliability Analysis

The cronbach alpha reveals the reliability of items of questionnaires whose value ranges
from 0-1 where value of cronbach alpha less than 0.5 shows that questionnaires are not reliable
while the value above 0.6 shows that questionnaire is reliable. As the table 06 above shows that
cronbach alpha for competitive advantage is 0.816, operating system responsiveness is .893,
logistics process responsiveness is .792 and for supplier network responsiveness is .827 which
shows that all items of questionnaire are reliable.

4.4. Correlation
Competitive advantage

Operations System Responsiveness Pearson Correlation .653**

Significance .000
Total
Logistic Process Responsiveness Pearson Correlation .641**
Significance .000
Total
Supplier Network Responsiveness Pearson Correlation .561**
Significance .000
Total
Competitive advantage Pearson Correlation 1
Significance
Total
Table 07: Correlation

Pearson Correlation analysis is used to determine whether or not a relationship existed

between independent and dependent variables or not. The values of correlations lies between +1
to -1 where value of Pearson correlation close to 0 shows no relation and close to 1 shows
connection between variables. As table 07 shows that value correlation for operating system
responsiveness is .653** which is close to 1 at significance level of .000 thus showing that there

29
is positively significant connection among operating system responsiveness and competitive
advantage.

Table 07 shows that value of Pearson correlation for logistics process responsiveness
is .641** which is significant at .000 which shows that there is positive and significant
connection between logistics process responsiveness and competitive advantage. Similarly the
value of Pearson correlation for supplier network responsiveness is .561** at significance of .000
which reveals positive and significant connection among supplier network responsiveness and
competitive advantage.

4.5. Regression Analysis

Model Summary
Model R R Square Adjusted R Square Std. Error of the
Estimate
1 .783a .614 .609 .37846
a. Predictors: (Constant), Supplier Network Responsiveness, Logistic System
Responsiveness, Operations System Responsiveness

Table 08: Model Summary

The table 08 shows that value of r is .783 which shows the joint effect of independent variables
i.e. operating system responsiveness, logistics process responsiveness, and supplier network
responsiveness on dependent variable i.e. competitive advantage is 78.3%. Likewise the value of
r square is .614 which shows that the contribution of operating system responsiveness, logistics
process responsiveness, and supplier network responsiveness in change in competitive advantage
is 61.4% and remaining 38.6% is unexplained.

Anova
Sum of Mean
Model df F Sig.
Squares Square
50.311 3 16.770 117.084 .000b
1 Regression

30
 Residual 31.655 221 .143

Total 81.966 224

Table 09: Anova

The table 09 shows that the value of F is 117.084 which is greater than 4.41 at a significance of
0.000 thus showing that the model is overall fit.  

Coefficients Statistics
Un-standardized Standardized
Model Coefficients Coefficients t p
B Std. Error Beta
(Constant) -.014 .231 -.062 .951
OSR .361 .049 .363 7.343 .000

LPR .267 .058 .226 4.609 .000

SNR .413 .052 .390 7.952 .000

Table 10: Coefficient

Table 10 shows that value of t-stats for operating system responsiveness is 7.343 which is
greater than 2 with p value 0.000<.01 which shows that there is positive and significant
connection among operating system responsiveness and competitive advantage. The beta value
shows the change in dependent variable due to change in independent variable. The value of beta
= .361 for operating system responsiveness reveals that one unit change in operating system
responsiveness brings a change of .361 units in competitive advantage. Thus hypothesis 1 is
accepted.

For logistics process responsiveness the value of t=4.609 which is greater than 2 at
significance of .000<.01 thus showing that there is positive and significant impact of logistics

31
process responsiveness on competitive advantage. Hence, 1 unit change in logistics process
responsiveness brings a positive change of .267 units in competitive advantage. Hypothesis 2 of
study is accepted. Similarly, for supplier network responsiveness the value of t-stats is 7.952
which is greater than 2 with p value of .000 which is less than .01 thus showing highly
significant impact of supplier network responsiveness on competitive advantage. Thus, 1 unit
change in supplier network responsiveness brings a change of .413 units in competitive
advantage. Hypothesis 3 of study is accepted.

4.6. Hypotheses Testing Decision

H Paths Decision

H Operations System Responsiveness ® Competitive Accepted

1 Advantage

H Accepted
Logistic System Responsiveness ® Competitive Advantage
2

H Supplier Network Responsiveness ® Competitive Accepted

3 Advantage

Table 11: Hypothesis Testing Decision

Table above table 11 shows that as per the results of current study all the three hypothesis
of study which stated the positive and significant impact of operating system responsiveness,
logistics process responsiveness, and supplier network responsiveness on competitive advantage
are accepted.

32
 5. Conclusion
5.1. Discussion on Results
The aim of this research was to add knowledge to the supply chain management practices
that can affect a company’s competitive advantage. We developed a framework of logistic
responsiveness, operations system responsiveness and supplier-network responsiveness to check
the effect on competitive advantage. We conducted the research with valid and reliable
instruments and collected the data from beverages industry of Pakistan. Every organization has
the concern of gaining competitive advantage by offering the products/services that can add
more value to their customer’s life. There is a strong competition between firms producing same
products/services. So, better supply chain can be the mandatory element to gain competitive
advantage over rival firms. This can only be achieved with more responsive supply chain and
integration of supply chain with the supply chain management practices (Sukati et al., 2012).

According to the results, competitive advantage is directly related to the supply chain
responsiveness. This implies that if the supply chain is improved then there are more chances for
the beverages industry to gain competitive advantage. Competitive advantage is the main goal
for any firm because it can create a strong relationship with business models. For striking the
competitive advantage, business models are used that comprises of alignment of resources or
capabilities. A business model which is effective can be the good source of gaining competitive
advantage over competitors. If firms have multiple business models, then it is more likely to gain
competitive advantage (Ranjith, 2016).

As per results of current study, improvement in logistic system, operation system and
supplier network responsiveness also improve the industry’s position in the market. So, firms
nowadays check the supplier responsiveness and works on how quickly the supplier can respond
to the changing needs. In product development, the responsiveness of supplier network always
plays a key role because it can directly affect the time-to-market of the organization. According
to research, if the supplier network responsiveness is poor, then the supply chain management is
said to be vulnerable. If the client fulfilment is high and business sector execution is upgraded,
then this phenomenon may be identified as high supplier network responsiveness (Rajab &
Muchelule, 2016).

33
 A strong supplier network in beverages industry will result in gaining more competitive
advantage as per the correlation and regression results. If the operational responsiveness of a
company is high, then this is also a key to gain competitive advantage. As per the results, the
operational responsiveness of beverages sector is directly associated with the competitive
advantage hence the speedy delivery and accuracy are some factors that can provide better
supply chain management and services to the customers. Customer relationship management is
also an important factor of operations system that should be kept in mind while designing the
supply chain management strategies (Vencataya et al., 2016). The logistic system responsiveness
is also an important element of the supply chain management activities and hence forms should
be working on enhancing the logistic system responsiveness by increasing the logistic
capabilities and integrating them with supply chain. This surely helps a company’s to gain
competitive advantage (Mandal, 2015).

Regression results shows that independent variables like supplier network

responsiveness, operational system responsiveness and logistic system responsiveness can be
source of gaining competitive advantage and each one of them causes a significant change in
competitive advantage of beverages industry. The effective supply chain management practices
can lead the beverage industry towards gaining a competitive advantage through different
channels of supply chain. Results indicates that strong supplier network, effective logistics and
enhanced operations system responsiveness can help a company to get a significant and visible
change in competitive advantage. This study also creates a theoretical framework that if the
supply chain is better, it can create visible and enhanced competitive advantage for the beverage
industry through strong supplier integration with changing market and customer’s demands. The
sound and effective operations system management along with the enhanced logistic system
responsiveness can also become a source of competitive advantage because any change in
operations system causes a significant change in competitive advantage.

5.2. Conclusion
The current study was focused on influence of supply chain responsiveness on
competitive advantage of beverage industry in Pakistan. The study focused on operating system
responsiveness, logistics process responsiveness, and supplier network responsiveness on
competitive advantage using 225 questionnaire responses and found positive and significant

34
influence of supply chain responsiveness elements operating system responsiveness, logistics
process responsiveness, and supplier network responsiveness on competitive advantage.
Concluding the study, we can say that a responsive supply chain is particularly what a beverage
industry needs to operate in today’s competitive markets. This is because, suppliers and
customers (internal and external) are a very important part of the supply chain and improving the
responsiveness of supplier-network can help the beverage industry in manufacturing process and
in joint development work. The internal customers i.e. employees can also help to achieve
effective supply chain because they can help to increase the operations system responsiveness. If
there is any complication during the procurement process, the employees as well as suppliers can
help the beverage industry by taking the responsibility if supply chain management practices are
sound.

Findings suggests that Pakistani beverages industry can gain competitive advantage by
making its logistics, supplier and operations system stronger and effective. As the results of
study reveal that there is positive and significant impact of operating system responsiveness on
competitive advantage of beverage industry of Pakistan thus, it can work on the customer
relationship management to enhance the operational responsiveness and hence gaining the
competitive advantage. In this era of competitive markets and changing customer’s demands, if
the supply chain is not responsive, it can hurt the competitive advantage and supply chain
management practices. This research gives a theoretical model for Beverages industry of
Pakistan in which the effective and responsive supply chain because due to globalization, logistic
component of supply chain needs greater attention (Storey et al., 2006).

The result of current study reveals that there is positive and significant impact of logistics
process responsiveness on competitive advantage of beverage industry of Pakistan. The supply
chain responsiveness can also help the businesses in finding new opportunities in freight
handling or third-party logistic providers. In this era of changing customers demand, heightened
competition, volatile customer and short product life-cycle, a sound and responsive supply chain
management is really necessary to gain competitive advantage. Firms are aware of the fact that
business processes integrated with the supply chain can be source of success in market. Main
objective of a company is to produce the value for a company, whole supply chain network and
customers as well.

35
 As the results of study reveals that there is positive and significant impact of supplier
network responsiveness on competitive advantage thus the supply chain network will be having
direct relationship with each and every member/partner of the chain. These members can add
value to the market offering hence it is important to take into account logistics, suppliers and
operation team as well. The beverage industry that is engaged in complex relationships with
suppliers, customers and other stake holders are influenced by economic actions. The beverage
industry can achieve cost effectiveness like reduced transportation costs, and decreased
administrative costs with the help of responsive supply chain management (Pohja, 2004).

Overall the study concluded that there is positive and significant impact of supply chain
responsiveness on competitive advantage as there positive and significant impact of operating
system responsiveness, logistics process responsiveness, and supplier network responsiveness on
competitive advantage at significance level of 0.01 thus showing that increase in operating
system responsiveness, logistics process responsiveness, and supplier network responsiveness
will bring positive and significant increase in competitive advantage of beverage industry of
Pakistan.

5.3. Recommendations
 Beverage industry must go for the suppliers that respond timely and can serve the customers
with in the given time frame. These suppliers can help the beverage industry to increase the
purchase performance.
 This study also recommends that suppliers must take responsibility of any complication
during procurement process so that final consumers do not suffer losses.
 This study provides the supply chain managers a valid set of measurements that can be used
to check the responsiveness of supply chain at different nodes like logistics, supplier network
and operations systems.
 This study recommends the managers to check the immediate effects of supply chain
responsiveness and also the long run effects on organizational performance. The supply
chain responsiveness on supply side, internal employee’s side and downstream can be well
studied through this research and hence managers can be recommended to measure the
responsiveness of supply chain in all dimensions.

36
 For practitioners in beverage industry, this research has an important implication because in
today’s competitive markets, firms need to have integration in supply chain activities like
logistics, supplier network and operations. If there is integration and effectiveness in these
activities, there are more chances for a company to gain competitive advantage.
 If the operations system management is responsive, then there are chances for the managers
to go for automatic purchasing and hence save the time that is wasted on continuous
monitoring of the inventory.
 This research also recommends the managers that supplier network responsiveness and
logistic responsiveness can increase the transparency, and real time inventory management.
 The logistic responsiveness can also help to monitor the performance of vendor and helps in
cost reduction.

5.4. Future Direction

This study specifically addressed the supply chain responsiveness and competitive
advantage in context of Pakistani beverage industry. This makes the study’s results less
transferable to other cultures, regions and countries.

 Future researchers can take the research to different cultural backgrounds with the
change in location. Different geography can result in diversification and more
generalizability of the research.
 Sample size can also be increased in order to get the more generalized results which
take into account a larger portion of the population. Larger samples also help in
generalization of the causal relationship between the variables of the study.
 Random sampling techniques can be used in future studies so that each and every
respondent can get a chance to participate in the study. This study can also be
replicated in different industries of Pakistan or beverages industry of some other
country having same geographical and economic conditions.
 It can also take into account some other dimensions of supply chain management like
micro and macro agility, technology management and role of information technology
in enhancing the supply chain responsiveness.
 Future studies can also focus on the customer’s satisfaction with the supply chain
performance through traditional customer relationship management practices.

37
 Different domains of suppliers can also be studied in future like raw material supplier,
component supplier, assembler, sub-assembler, manufacturer, distributor, wholesaler,
and retailer. This will help the researchers and managers to sort out the supply chain
dimension that needs most attention.
 The supply chain management practices can also be studied so that supply chain
responsiveness can be achieved and enhanced at beverages industry. Supply chain
management practices can also help the beverage industry to gain competitive
advantage and hence it can be studied by future researchers.

38
 References
Alessandro Vitale, D. C. (2014). A Decision Support System Based on Smart Phone Probes as a
Tool to Promote Public Transport. Social and Behavioral Sciences, 224-231.

Alvi, M. (2016). A Manual for Selecting Sampling Techniques in Research.

Anik, R., Nadjadji, A., & Suwignjo, P. (2010). Analysis of internal and external factors for
competitive advantage of Indonesian contractors. Journal of Economics and Engineering,
4, 51-62.

Arlbjørn, J. S., & Halldórsson, A. (2002). Logistics knowledge creation: Reflections on content,
context and processes. International Journal of Physical Distribution & Logistics
Management, 32(1), 22-40.

Ashton, A. S. (2017). How human resources management best practice influence employee
satisfaction and job retention in the Thai hotel industry. Journal of Human Resources in
Hospitality & Tourism.

Baldwin, C. Y. (2000). Design Rules: The Power of Modularity. Boston: MIT Press.

Barney & Hesterly (2008), Competitive Advantage Strategic Management, Concept and Cases.
Pearson Prentice Hall.

Battaglia, M. P. (2008). Non-Probability Sampling. Encyclopedia of Survey Research Methods.

2008. SAGE Publications, 1-4.

Beckham, H. (2008). Competitive strategy. Journal of Strategic Management. EBSCO Research

Starters, 1-8.

Berghaus, S. B. (2015). Requirements elicitation and utilization scenarios for in car cause of
wearable devices. Hawaii International Conference on System Services, 1028-1037.

Childhouse, P. A. (2003). Simplified Material Flow Holds the Key to Supply Chain Integration.
OMEGA, 1(31).

Choi, T. Y., & Hartley, J. L. (1996). An exploration of supplier selection practices across the
supply chain. Journal of operations management, 14(4), 333-343.

39
Choudhary, A. I., Ansari, H., Ahmed, A., & Hammayun, A. A. (2014). Supply Chain
Management: A Competitive Advantage Evaluation. Asian Journal of Business and
Management, 2(6).

Coronado, A. E. (2004). Enabling Mass Customization: Extending Build-To-Order Concepts to

Supply Chains. Production Planning & Control, 4(15).

Costantino, N. and Pellegrino, R., (2010). Choosing between single and multiple sourcing based
on supplier default risk: A real options approach. Journal of Purchasing and Supply
Management, 16(1), 27-40.

Darroch, J. & McNaughton, R. (2002). Examining the link between knowledge management
practices and types of innovation. Journal of Intellectual Capital, 3(3), 210-222.

Datta, P. P. (2016). Enhancing competitive advantage by constructing supply chains to achieve

superior performance. Production Planning & Control, 1–18.

Do¨rnho¨fer, M., Schro¨der, F., & Gu¨nthner, W. A. (2016). Logistics performance measurement
system for the automotive industry. Logistics Res, 9(11).

Doherty, K. (1998). “The Faster Freight Moves the Better off We Are”. Food Logistics, October.

Elgazzar, S. H., Tipi, N. S., Hubbard, N. J., & Leach, D. Z. (2012). Linking supply chain
processes’ performance to a company’s financial strategic objectives. European Journal of
Operational Research, 223(1), 276-289.

Ellinger, A. E. (2000). Improving Marketing/Logistics Cross-Functional Collaboration in Supply

Chain. Industrial Marketing Management, 29, 85-96.

Erik Svanes, M. V. (2010). Sustainable Transportation development. Technology Science, 23,

161- 175.

Evans, D. H. (1963). Modular Design: A Special Case in Nonlinear Programming. Operations

Research.

Fink, A. (1995). How to Sample in Surveys. London: Sage Publications, 6.

Fisher, M. L. (1997). What is the right supply chain for your product? Harvard Business Review,
75(2), 105-16.
40
Pam, G. (2010). Operational Responsiveness. Progress Software Corporation.

Gould, P. (1997). What is Agility”, Manufacturing Engineer, (1 ed., Vol. 76).

Gupta, V., Garg, D., & Kumar, R. (2014). Depiction of total quality management during a span
of 2003- 2013. Journal of Engineering & Technology, 4(2), 81-86.

Hall, R. W. (1993). A Framework for Linking Intangible Resources and Capabilities to

Sustainable Competitive advantage. Strategic Management Journal, 8 (14).

Halldórsson, Á. Kotzab, H., Mikkola, J. H., & Skjøtt-Larsen, T. (2007). Complementary theories
to supply chain management. Supply Chain Management: An International Journal,
12(4), 284-296.

Hazra, A., & Gogtay, N. (2016). Biostatistics Series Module 5: Determining Sample Size. Indian
Journal of Dermatology.

Helmy, K. A., ElMokadem, M. Y., Bary, A. A., & El-Sayeh, M. (2018). The Impact of Logistics
Performance on Competitive Advantage: The Case of Freight Transportation in Egypt.
Journal of WEI Business and Economics, 7(1).

Holweg, M. (2005). An Investigation into Supplier Responsiveness, 1(16). International Journal

of Logistics Management.

Holweg, M. (2005). The three dimensions of Responsiveness. International Journal of

Operations & Production Management, 25(7), 603-622.

Kasarda, J. D. (2017). Logistics Is about Competitiveness and More. Logistics, 1(1).

Klosster, R. T. (2009). Transportation Industry and Dilemmas in Digital Development. Tecno

and Innovation Journal, 223-237.

Kon, E. (2012). Model of competitive advantages in controlling concept. Herald Pnu, 1(24),
207- 212.

Kotabe, M. M. (2003). Gaining from Vertical Partnerships Knowledge Transfer, Relationship

Duration, and Supplier Performance Improvement in the U.S. And Japanese Automotive
Industries. Strategic Management Journal, 24.

41
Koufteros, X. A. (1995). Time-Based Manufacturing: Developing a Nomological Network of
Constructs and Instrument Development. Doctoral Dissertation. Toledo.

Kyengo, E. N. (2012). Supply Chain Strategy and Competitive Advantage of Nation Media
Group Ltd.

Lambert, D. M. (2008). The Eight Essential Supply Chain Management Processes (6 ed., Vol. 8).

Lau, R. S. M. and Hurley, N. M. (2001). Creating Agile Supply Chains for Competitive
Advantage. Business Review, 60(1), 1-5

Lee, H. L. (1993). Hewlett-Packard Gains Control of Inventory and Service through Design for
Localization” (4 ed., Vol. 23).

Leedy, P. & Ormrod, J. (2001). Practical research: Planning and design (7th Ed.). Upper Saddle
River, NJ: Merrill Prentice Hall. Thousand Oaks: SAGE Publications.

Leenders, R. (2010). The Responsive Supply Chain: A new road to competitive advantage?

Li, S., Ragu-Nathan, B., Ragu-Nathan, T. S., & Rao, S. S. (2006). The impact of supply chain
management practices on competitive advantage and organizational performance.
Omega, 34(2), 107-124.

Lummus, R. R., Duclos, L. K., and Vokurka, R. J. (2003). Supply Chain Flexibility: Building a
New Model. Global Journal of Flexible Systems Management, 4(4), 1-13.

Mandal, S. (2015). Supply chain responsiveness: A logistics integration perspective and impact
on firm performance. International Journal of Applied Management Science, 7(3), 244-268.

Maqbool, S., Rafiq, M., Imran, M., Qadeer, A., & Abbas, T. (2014). Creating Competitive
Advantage Through Supply Chain Management (Role of Information & Communication
Technology in Supply Chain Management to Create Competitive Advantage: A
Literature Base Study). International Journal of Research in Commerce, IT & Management,
4(2).

Martin, J. H. (2003). Using supply chain management to leverage a firm's market orientation.
Industrial Marketing Management, 1(32).

42
Martinsen, U. & Bjorklund, M. (2012). Matches and gaps in the green logistics market.
International Journal of Physical Distribution & Logistics Management, 42(6), 562-583.

McCarthy, T., & Golicic, S. (2005). A proposal for case study methodology in supply chain
integration research. In H. Kotzab, S. Seuring, M. Müller & G. Reiner (Eds.), Research
Methodologies in Supply Chain Management (251-266). Heidelberg, Germany: Physica-
Verlag.

Mentzer, J. T. (2001). Defining Supply Chain Management. Journal of Business Logistics, 2(22)

Mikkola, J. H. (2004). Supply-Chain Integration: Implications for Mass Customization.

Modularization and Postponement Strategies, 4(15).

Mkansi, M., & Acheampong, E. A. (2012). Research Philosophy Debates and Classifications:
Students’ Dilemma. Electronic Journal of Business Research Methods, 10(2).

Murgan, M. G. (2015). A Critical Analysis of the Techniques for Data Gathering in Legal
Research. Journal of Social Sciences and Humanities, 1(3), 266-274.

Najjar, F. J. (2016). Social Responsibility and its Impact on Competitive Advantage

Narasimhan, R. D. (1999). An Empirical Investigation of The Contribution of strategic Sourcing

to Manufacturing Flexibilities and Performance" (3 ed., Vol. 30).

Nuryakin, N., Aryanto, V.D.W. & Setiawan, M.B. (2018). Mediating effect of value creation in
the relationship between relational capabilities on business performance. Contaduría y
Administration, 63(1), 1-21.

Omoruyi, O., & Dhurup, M. (2016). The Influence of Supply Chain Networks, Flexibility and
Integration on the Performance of Small and Medium Enterprises in the Southern
Gauteng, South Africa. International Journal of Business and Management Studies, 8(2).

Paradis, E., O'Brien, B., Nimmon, L., Bandiera, G., & Martimianakis, M. A. (2016). Design:
Selection of Data Collection Methods. Journal of graduate medical education, 8(2), 263–
264.

Pohja. T. L. (2004). Some theoretical foundations of Supply Chain Management and Supply
Networks: the role of social networks in selecting partners.

43
Porter, M. E. (1985). Competitive Advantage: Creating and Sustaining Superior performance.
New York: The Free Press.

Porter, M.E. (1980). Competitive strategy. The Free Press, New York.

Power, D. J. (2001). Critical Success Factors in Agile Supply Chain Management: An Empirical
Study (4 ed., Vol. 31). International Journal of Physical Distribution and Logistics
Management.

Quynh, D. V. X., & Huy, N. H. (2018). Supply Chain Management Practices, Competitive
Advantages and Firm Performance: A Case of Small and Medium Enterprises (SMEs) in
Vietnam. Journal of Modern Accounting and Auditing, 14(3), 136-146.

Rajab, N. F., & Muchelule, Y. (2016). Effect of Supplier Responsiveness on Procurement

Performance in County Governments, Kenya. IOSR Journal of Business and
Management, 18(3), 54-59.

Randall, T. R., Morgan, R. M., and Morton, A. R. (2003). Efficient versus Responsive Supply
Chain Choice: An Empirical Examination of Influential Factors. Journal of Product
Innovation Management, 20(6), 430-443.

Ranjith, V. K. (2016). Business Models and Competitive Advantage. Procedia Economics and
Finance, 37, 203 – 207.

Rich, N. (1997). Supply-Chain Management and Time-Based Competition: The Role of the
Supplier Association”, (3 ed., Vol. 27). The International Journal of Physical
Distribution and Logistics Management.

Rondeau, P. J.-N. (2000). Exploring Work System Practices for Time-Based Manufacturers:
Their Impact on Competitive advantage (Vol. 18). Journal of Operations Management.

Russell, R. S., & Taylor, B. W. (2009). Operations management: Creating value along the supply
chain. John Wiley & Sons.

Saunders, M., Lewis, P., & Thornhill, A. (2009). Research Methods for Business Students.
Pearson Education Limited, 5th Ed.

44
Simison, R. L. (1999). Toyota Develops a Way to Make a Car within Five Days of a Customer
order. The Wall Street Journal.

Sinhaa, A. K., Swatib, P., & Ananda, A. (2015). Responsive supply chain: modeling and
simulation. Management Science Letters, 5, 639–650.

Steen, M. and Roberts, T. (2011). The Handbook of Midwifery Research. Wiley-Blackwell.

Storey, J. E. (2005). The Barriers to Customer Responsive Supply Chain Management (3 ed.,
Vol. 25). International Journal of Operations & Production Management.

Storey, J., Emberson, C., Godsell, J., & Harrison, A. (2006). Supply chain management: theory,
practice and future challenges. International Journal of Operations & Production
Management, 26(7), 754-774.

Sturim, R. (1999). Achieving Competitive advantage through supply chain integration. Vitria
Technology Inc.

Sukati, I., Hamid, A. B., Baharun, R., Alifiah, M. N., Anuar, M. A. (2012). Competitive
Advantage through Supply Chain Responsiveness and Supply Chain Integration.
International Journal of Business and Commerce, 1(7).

Tailor, G. R. (Ed.). (2005). Integrating quantitative and qualitative methods in research.

Maryland: University Press of America Inc.

Tan, Q. & Sousa, C.M.P. (2015). Leveraging marketing capabilities into competitive advantage
and export performance. International Marketing Review, 32(1), 78-102.

Thatte, A. A. (2007). Competitive Advantage of a Firm through Supply Chain Responsiveness

and SCM Practices.

Tu, Q. V.-N.-N. (2004). Measuring Modularity-Based Manufacturing Practices and Their Impact
on Mass (2 ed., Vol. 35). Decision sciences.

Turner, J. R. (1993). Integrated Supply Chain Management: What's Wrong with This Picture?
Industrial Engineering, 25(12), 52-55.

Ulrich, K. (1995). The Role of Product Architecture in the Manufacturing Firm”, (3 ed., Vol.
24).
45
Upton, D. M. (1997). “Process Range in Manufacturing: An Empirical Study of Flexibility”, (8
ed., Vol. 43). Management Science.

Urbancova, H. (2013). Competitive advantage achievement through innovation and knowledge.

Journal of Competitiveness, 5(1), 82-96.

Vencataya, L., Seebaluck, A. K., & Doorga, D. (2016). Assessing the Impact of Supply Chain
Management on Competitive Advantage and Operational Performance: A Case of Four-
Star Hotels of Mauritius. International Review of Management and Marketing, 6(4), 61-
69.

Vesey, J. T. (1991). “The New Competitors: They Think in Terms of Speed-To-Market”, (2 ed.,
Vol. 5). Academy of Management Executive.

Walliman, N. (2011). Research methods: The basics. New York: Rout ledge.

Wang, H., Han, P., & Liu, W. (2018). How to Improve Sustainable Competitive Advantage from
the Distributor and the Supplier Networks: Evidence from the Paper-Making Industry in
China. Sustainability, 10.

Wheelen, T. L., & Hunger J. D. (2010). Strategic Management and Business Policy
(International Ed.). New York, NY: Prentice Hall Inc.

Wijetunge, W.A.D.S. (2016). The Role of Supply Chain Management Practices in Achieving
Organizational Performance Through Competitive Advantage in Sri Lankan SME’s.
Proceedings of 54th ISERD International Conference Singapore.

William, H. (2007). The competitive advantage of weak patents. Boston College Law Review,
(54), 1909- 1965.

Williams, C. (2007). Research Methods. Journal of Business & Economic Research, 5(3).

Williamson, P. J. (1991). Supplier strategy and customer responsiveness: Managing the links (2
ed., Vol. 2). Business Strategy Review.

Wong, C. Y., & Karia, N. (2010). Explaining the competitive advantage of logistics service
providers: A resource-based view approach. International Journal of Production and
Economics, 128, 51-67.

46
Wu, K., Tseng, M., Chiu, A. S. F., & Lim, M. K. (2016). Achieving competitive advantage
through supply chain agility under uncertainty: A novel multi-criteria decision-making
structure. Journal of Production economics.

Wulandari, F., Djastuti, I. & Nuryakin (2017). Reassessment of the entrepreneurial motivation
among female business owners to enhance SMEs business performance in Indonesia.
European Research Studies Journal, 20(4A), 18-34.

Zelbst, P. J., Green, K. W. Jr, Sower, V. E. and Reyes, R. (2008). The impact of RFID utilization
on manufacturing effectiveness and efficiency within a supply chain context. Working
Paper 08-03 MGT, Center for Business and Economic Development at Sam Houston
State University, Huntsville, TX.

Zhi, H. L. (2014). A comparison of convenience sampling and purposive sampling. PubMed,

105- 11.

47
 Questionnaire

Dear Participant

You are requested to participate in this academic survey. Your responses will be kept strictly
confidential.

Name of Company/Firm --------------

Gender --------------

Age --------------

Qualification-------------

Experience --------------

Scale Strongly Disagree Disagree Neutral Agree Strongly Agree

1 2 3 4 5

Statement 1 2 3 4 5

Operational Responsiveness

1. Our operations system responds rapidly to changes in

product volume demanded by customers

2. Our operations system responds rapidly to changes in

product mix demanded by customers

3. Our operations system effectively expedites

emergency customer orders

4. Our operations system rapidly reconfigures equipment

48
 Statement 1 2 3 4 5

to address demand changes

5. Our operations system rapidly reallocates people to

address demand changes

6. Our operations system rapidly changes manufacturing

processes to address demand changes

7. Our operations system rapidly adjusts capacity to

address demand changes

Logistics Process Responsiveness

8. Our logistics system responds rapidly to unexpected

demand change

9. Our logistics system rapidly adjusts warehouse

capacity to address demand changes

10. Our logistics system rapidly varies transportation

carriers to address demand changes

11. Our logistics system rapidly accommodates special or

non-routine customer requests

12. Our logistics system effectively delivers expedited

shipments

Supplier Network Responsiveness

13. Our major suppliers change product volume in a

relatively short time

14. Our major suppliers change product mix in a relatively

short time

49
 Statement 1 2 3 4 5

15. Our major suppliers consistently accommodate our

requests

16. Our major suppliers provide quick inbound logistics to

us

17. Our major suppliers have outstanding on-time delivery

record with us

18. Our major suppliers effectively expedite our

emergency orders

Competitive Advantage

19. We are able to offer prices as low or lower than our

competitors

20. We are able to compete based on quality

21. We deliver customer orders on time

22. We have time-to-market lower than industry average

23. We have fast product development

50