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Abstract

In today's highly competitive markets, firms have realized they no longer compete as independent entities but as business networks. This study contributes to the evolution of supply chain integration knowledge. It also raises awareness among practitioners of using a new generation of networked supply chain management systems (networked-SCMS) combined with information management. This combination allows firms to join multi-enterprise supply chain business networks and build more robust supply chains for their businesses. The research model uses organizational information processing theory to match information needs and leverage lateral relationships inside and outside the organization, to reduce uncertainty among firms. It develops hypotheses to identify the moderation effects of information management and networked-SCMS on supply chain integration, testing for a positive impact on improving operational performance. The research tested the hypotheses using a sample of 245 responses from supply chain professionals to determine how their supply chain processes impact production flexibility, customer services, and operational performance. The findings provided evidence and relevance to studying and adopting networked-SCMS as the next important milestone in the evolution of supply chain integration. The results revealed the positive effects of networked-SCMS and information management in the relationship between supply chain integration and operational performance. These findings provide a more theoretical and grounded explanation for firms that want to join multi-enterprise supply chain business networks, thus entering the era of network competition, delivering superior value in the marketplace and prevailing over their competitors.

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