The Impact Of Build-To-Order Supply Chain On The Energy Efficiency And Low Carbon Footprint: Mediating Effect Of Supply Chain Responsiveness

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Date
2014
Authors
Chowdhury, Arkyadeep
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Publisher
Universiti Sains Malaysia
Abstract
The importance of incorporating Energy Efficient and Low Carbon Footprint practices in Malaysia is a topic which cannot be neglected. The implementation of Build-To-Order Supply Chain Management is of vital importance in order to achieve the Energy Efficient and Low Carbon Footprint standards. This study was developed in order to test the impact of Build-To-Order Supply Chain on the Energy Efficiency and the Low Carbon Footprint initiatives taking Supply Chain Responsiveness as the mediating variable for this study. After careful study on the literature and previous work, the driver of Build-To-Order Supply Chain were taken to be as Production Systems, Process Modularity, Supplier Integration and IT/ IS Integration in this study. Similarly, the drivers of Supply Chain Responsiveness are Operations System Responsiveness, Logistics Process Responsiveness and Supplier Network Responsiveness. This framework was tested using the Partial Least Squares Structural Equation Modelling (PLS – SEM). The major theory used to guide and support this framework is the knowledge-based theory. This study was aided by conducting a survey on 152 organizations in Malaysia which were strictly from the manufacturing industry. It was also essential to this study that these organizations had already adopted the Build-To-Order Supply Chain in their operations. The results obtained after testing the raw data inferred that IT/ IS Integration was the most significant driver amongst the other drivers of Build-To-Order Supply Chain as it had the most significant effect on the mediating and the dependent variables. Logistics Process Responsiveness and the Supplier Network Responsiveness were the most important drivers of the Supply Chain Responsiveness in having a significant effect on the dependent variables. Considering the limitations in this study, this study manages to provide the practitioners with the important guidelines in order for them to improve their Energy Efficiency and Low Carbon Footprint initiatives. This study concludes with some future recommendations for research in this area.
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Keywords
The impact of build-to-order supply chain , energy efficiency and low carbon footprint
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