Supply chain strategy, flexibility, and performance

Abstract

Purpose – The purpose of this paper is to compare the supply chain strategy, flexibility, and performance relationships in the context of SMEs in Canada and Pakistan. Design/methodology/approach – The research is based on a quantitative approach using a questionnaire survey from a total of 170 small and medium-sized Pakistani manufacturing companies. The current study draws upon the earlier work of Fantazy et al. (2009) for comparative purpose and employs path analysis technique. Findings – The results partially confirm the findings of previous study on Canadian SMEs with regard to the relationships among strategy, flexibility, and performance in the context of supply chain. The survey results revealed that SMEs in Pakistan adopt followers strategy in order to achieve financial and non-financial performance. Whereas in the previous study, Canadian SMEs adopted innovative strategy and customer-oriented strategy in order to enhance their performance. Originality/value – The literature did not reveal any study which attempted to compare supply chain strategy, flexibility, and performance of SMEs in developed and developing countries. The current study fills this important gap in the literature.