Does supply chain coordination impact supply chain performance? Evidence from dairy industry

Abstract

The objective of this study is to identify extent of coordination among the supply stakeholders; measure supply chain performance and to study the impact of supply chain coordination on supply chain performance. The study is based on primary data collected from dairy supply chain stakeholders namely farmer-producers, bulk milk coolers (BMC), processing unit, wholesalers and retailers. The data was collected through combination of personal interviews, telephonic interviews and e-mail. The total sample size of this study is 420 spread across 28 firms with each firm representing a total of 15 respondents. Linear regression was performed to study the impact of supply chain coordination on supply chain performance. The results of this study reveal that supply chain coordination positively impacts all the supply chain performance metrics namely efficiency, responsiveness, flexibility and quality. Supply chain coordination has highest impact on supply chain responsiveness followed by supply chain quality, supply chain flexibility and supply chain efficiency. In case of impact of supply chain coordination on overall supply chain performance, there is an evidence of strong impact of supply chain coordination on supply chain performance.