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Aligning supply chain strategy with corporate environmental strategy: A contingency approach

Author

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  • Wu, Tienhua
  • Jim Wu, Yen-Chun
  • Chen, Yenming J.
  • Goh, Mark

Abstract

Environmental sustainability is driving firms to extend their green effort across their supply chain. However, the literature has not thoroughly examined the multiple relationships among supply chain (SC) strategy, corporate environmental (CE) strategy, and firm performance. As such, this paper, adopts an alignment perspective to empirically examine the complex links between four SC strategies and four CE strategies on 172 manufacturing firms in Taiwan. Using profile deviation analysis, it is found that overall an SC strategy when properly aligned with a CE strategy leads to improved firm performance. Specifically, a risk-hedging SC strategy should be aligned with a defensive CE strategy to yield improved firm performance. Likewise, a responsive SC strategy should be aligned with an accommodative CE strategy, and an agile SC strategy with a proactive CE strategy.

Suggested Citation

  • Wu, Tienhua & Jim Wu, Yen-Chun & Chen, Yenming J. & Goh, Mark, 2014. "Aligning supply chain strategy with corporate environmental strategy: A contingency approach," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 220-229.
  • Handle: RePEc:eee:proeco:v:147:y:2014:i:pb:p:220-229
    DOI: 10.1016/j.ijpe.2013.02.027
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    References listed on IDEAS

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    Cited by:

    1. Perez-Franco, R. & Phadnis, S. & Caplice, C. & Sheffi, Y., 2016. "Rethinking supply chain strategy as a conceptual system," International Journal of Production Economics, Elsevier, vol. 182(C), pages 384-396.
    2. Geng, Ruoqi & Mansouri, S. Afshin & Aktas, Emel, 2017. "The relationship between green supply chain management and performance: A meta-analysis of empirical evidences in Asian emerging economies," International Journal of Production Economics, Elsevier, vol. 183(PA), pages 245-258.
    3. Hussain, Safdar & Ahmed, Wasim & Rabnawaz, Ambar & Jafar, Rana Muhammad Sohail & Akhtar, Haseeb & GuangJu, Wang & Ullah, Sana & JianZhou, Yang, 2015. "Integration and Effective Supply Chain Management: A Review of Agriculture in Pakistan and China," MPRA Paper 70380, University Library of Munich, Germany.
    4. repec:eee:proeco:v:193:y:2017:i:c:p:272-280 is not listed on IDEAS
    5. repec:eee:proeco:v:193:y:2017:i:c:p:332-342 is not listed on IDEAS
    6. Bai, Chunguang & Dhavale, Dileep & Sarkis, Joseph, 2016. "Complex investment decisions using rough set and fuzzy c-means: An example of investment in green supply chains," European Journal of Operational Research, Elsevier, vol. 248(2), pages 507-521.
    7. Luzzini, Davide & Brandon-Jones, Emma & Brandon-Jones, Alistair & Spina, Gianluca, 2015. "From sustainability commitment to performance: The role of intra- and inter-firm collaborative capabilities in the upstream supply chain," International Journal of Production Economics, Elsevier, vol. 165(C), pages 51-63.

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