A Correlation Study between the Dimensions of Supply Chain Efficiency & Organizational Performance

Dr.PDD Dominic, Universiti Teknologi Petronas
Sarit Maitra, Universiti Teknologi Petronas

Abstract

An inclusive set of performance measurement dimensions of supply chain linked to organization performance is reported in this study. Measuring and monitoring supply chain efficiency and organizational performance are imperative for any organization. To measure the performance, organizations need to select the relevant dimensions to evaluate the different aspects of supply chain and organization performance. This study is based on inductive approach and expanded to spearman rank correlation and canonical correlation to determine the associations between the dimensions of supply chain efficiency and organization performance. Canonical correlation analysis was conducted to investigate the relationships between the multivariate sets of dimensions. Results show that FLX, SCC, FFE and OTD are positively correlated to supply chain efficiency and variables such as SGT, COM, PMR and MKS are positively correlated to organization performance.