An Assessment of Strategic Management on Supply Chain Management and Logistics - A Path Analysis

Abstract

An efficient supply chain management is essential for the survival of organizations in the present competitive business world. Without effectual supply chain management strategies, the performance of organizations deteriorates. To examine different strategies such as customer orientation, innovating strategy and technological innovation in the financial and non-financial performance of pharmaceutical firms. A path analysis study was conducted in which a questionnaire with regard to strategic management on supply chain and logistics was distributed amongst 10 pharmaceutical companies in Jordan. The results have revealed a positive and significant influence of customer-oriented strategies on the financial performance of companies. In contrast, the results show no significant impact of technological innovation on financial and non-financial performance of the pharmaceutical firms. However, there has been a significant correlation found between innovating strategies and the performance of the organizations. The study has asserted companies to focus and attempt more efforts to enhance their supply chain management strategies to upgrade their performance.