Product variety management and supply chain performance : A capability perspective on their relationships and competitiveness implications

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info:eu-repo/semantics/altIdentifier/doi/10.1016/j.ijpe.2017.02.005

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Juneho Um et al., « Product variety management and supply chain performance : A capability perspective on their relationships and competitiveness implications », HAL-SHS : droit et gestion, ID : 10.1016/j.ijpe.2017.02.005


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We study 363 manufacturing businesses to investigate the relationships between product variety management and supply chain performance. Applying the dynamic capabilities view of how businesses cope with changing environments, we develop a conceptual model that links product variety management strategies with supply chain responsiveness, and relates supply chain responsiveness to cost and customer service in high- and low-customization environments. We find that a product variety management strategy influences both supply chain cost and customer service performance only when mediated by internal and external responsiveness capabilities. In addition, a product variety management strategy has different impacts on performance depending on the level of product customization. Specifically, in a low-customization environment, both supply chain flexibility and agility acting as dynamic capabilities have a significant influence on cost efficiency while in a high-customization environment, these dynamic capabilities have a significant influence on customer service.

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