The Impact of Information and Communications Technology (ICT) and Technology Intelligence (TI) on the Performance of the Lean, Agile and Leagile Supply Chains: A Comparative Study

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Date

2015-01

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Article

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Cairo university

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Doctor of Philosophy (PhD) Thesis, Business Administration Department, Faculty of Commerce, Cairo University.;

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Abstract

The focus of this thesis is on higher education-industry supply chain management in Egypt. The purpose of this study was to investigate the direct and indirect effect of information and communication technology (ICT) on hybrid supply chain performance (HSCP) in terms of leanness, agility and leagility of the higher education institutions (HEIs) and automotive companies (ACs) in Egypt. A conceptual framework developed based on the literature was proposed and tested using questionnaires, which were filled through face-to-face in-depth interviews. A mixed methods approach (triangulation) was used to obtain greater insights and better understanding of the research relationships. The researcher in this thesis developed and used a multi-item measurement scale to assess, and then suggest for improvement, the hybridized performance ‒in terms of leanness, agility and leagility– of the automotive and higher education supply chains (HESC) in Egypt as two examples of manufacturing and service industries. The target population of the automotive sector was 101 organizations in the Egyptian automotive industry throughout its three main sub-sectors (multiple nodes); namely manufacturers of auto-feeding and automotive industries and CBU distributors. A sample of 84 was obtained using probability random sampling technique (i.e., 83.16% response rate). Regarding the higher education sector, a total of 63 HEIs (universities and academies) were contacted, of which 41 accepted to participate (i.e., 65.08% response rate) also through using probability random sampling technique. Structural Equation Modeling was used to examine the proposed relationships. Different software packages (AMOS, SmartPLS, LISREL, and SPSS software) were used in conducting the research quantitative analysis. In addition to the 125 questionnaires (quantitative), 160 direct depth interviews (qualitative) were conducted with subject-matter-experts (SMEs) working in 129 organizations (86 (84 ACs + 2 stakeholders) + 43 (41 HEIs + 2 stakeholders)) from both sectors at 15 different governorates in Egypt. In regard to the automotive industry, results showed that ICT employment positively and significantly affects both supply chain integration (SCI) and hybrid SCP, SCI positively and significantly affects supply chain information sharing (SCIS), and SCIS positively and significantly affects HSCP in terms of mass-customization and postponement. The three automotive sub-sectors are using a blended supply- chain strategy that hybridizes different attributes of each approach according to the position of the SC node. For the higher education sector, results indicated that ICT employment has a positive and significant effect on SCI, SCI has a positive and significant effect on SCIS, and ICT employment has a positive and significant effect on education HSCP. Regarding the moderation effect of technology intelligence (TI) on the ICT-SCI relationship, after adding the university-industry partnership (UIP) dimension to SCI, results revealed that TI positively and significantly affects SCI. Furthermore, the - interaction between ICT and TI is also significant, suggesting that the effect of ICT on SCI depends on the level of TI. Compared to automotive supply chain (ASC) results, conversely, there is a positive and significant effect of SCIS on HSCP. However, regarding the other aforementioned research relationships, there are insignificant differences among their coefficients between the two sectors. Therefore, it can be concluded that the empirical investigation of the research model relationships in the two sectors (serving as two examples of manufacturing and service industries in Egypt) yield very close measurement results. Thus, it can be further concluded that these results support the new hybridized strategy of SCP (leanness, agility and leagility) in both sectors as two examples of MFG/service industries in Egypt. This thesis conceptually and empirically contributes to the literature of contemporary supply chain management (SCM) in many interdependent ways. First, it conceptually adds to the active debate on the applicability of the blended lean-agile SC strategy by integrating two main streamlines of prior MGT research; namely the leagility approach and the hybridized lean-agile MFG system, into one new hybridized SCM approach (leanness, agility and leagility). Second, to the best of the researcher’s knowledge, this is the first research that empirically investigates the direct and indirect (via SCM and TI) impact of ICT on hybrid lean-agile SCP of multiple nodes in the automotive and higher education markets. Third, it is the first study that maps the Egyptian higher education SC integrated with the automotive industry SC as example of attractive yet unexplored contexts of SCM research. Fourth, it adds to the few detected attempts in the contemporary SCM research literature, which considers education management (EMgt) and SCM as interdependent fields. Furthermore, it is the first study in Egypt that developed a new higher education-industry SCM model suggested by the findings of this research to bridge the detected gap between HR/research supply and demand (academia-industry partnership). Fifth, it contributes to the contemporary management research literature that considers ICT and SCM as interdependent fields. The results of this research give different ASC and HESC members in Egypt greater insights on how they can effectively/efficiently compete and maintain sustainable development in a dynamic globalized environment. Furthermore, this thesis highlights the importance of investing in ICT, which facilitates end- to-end SCI and SCIS, in addition to choosing the appropriate aspects of hybridized SC strategy (leanness, agility and leagility) based on the organization's position across its SC. Moreover, its findings have different implications for HEIs that help them in bridging the gap between HR/research supply and demand (Higher education-industry supply chain management in Egypt). Based on the research qualitative and quantitative data analysis, the researcher recommends applying the hybrid SCM approach (concept/philosophy of education supply chain) to the Egyptian higher education sector for improving the SCP of HEIs integrated with other industries in Egypt.

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Keywords

Supply Chain Management, Information Communication Technology, ICT in Education, Lean Manufacturing, Supply Chain Integration, Educational Supply Chain Management, Information Sharing, Agile Manufacturing, Automotive Supply Chain, Leagile, Supply Chain Performance, Technology Intelligence

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