Supply Chain Management Competency and Firm Financial Success | Academic Article individual record
abstract

Supply chain management (SCM) plays a major role in creating (or destroying) shareholder value by influencing the three major drivers of firm financial performance: revenue, operating costs, and working capital. Yet, the relationship between SCM competency and firm financial performance is not well-established. Drawing on the resource-based view of the firm, this study assesses this relationship using Delphi-style opinion data from AMR Research's Supply Chain Top 25 rankings to assess SCM competency and Altman's (1968) Z-score statistic as the measure of financial success. The study findings show that firms recognized by industry experts for SCM competency have significantly higher Z-scores than their close competitors and industry averages. © Council of Supply Chain Management Professionals.

author list (cited authors)
Effinger, A. E., Natarajarathinam, M., Adams, F. G., Gray, J. B., Hofman, D., & O'Marah, K.
publication date
2011
publisher
Wiley Publisher
published in
keywords
  • Financial-scm Connection
  • Altman Z-score
  • Scm Competency
  • Delphi Method
  • Financial Performance
  • Supply Chain Management
citation count

57