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Media type:
E-Article
Title:
The Impact of Digital Transformation on Supply Chain Procurement for Creating Competitive Advantage: An Empirical Study
Contributor:
Alabdali, Mahmoud Abdulhadi;
Salam, Mohammad Asif
Published:
MDPI AG, 2022
Published in:
Sustainability, 14 (2022) 19, Seite 12269
Language:
English
DOI:
10.3390/su141912269
ISSN:
2071-1050
Origination:
Footnote:
Description:
This study examined the impact of digital transformation (DT) on supply chain procurement (SCP) for the creation of competitive advantage (CAD). This study adopted a quantitative approach using a survey administered to 221 supply chain (SC) professionals through the professional networking website LinkedIn. The conceptual model was evaluated with the partial least squares-based structural equation model (PLS-SEM) using SmartPLS. The findings showed that DT has significant positive impacts on SCP and CAD, and that SCP has a significant positive impact on CAD. Supply chain procurement plays a significant mediating role in the relationship between DT and CAD. The findings are useful for decision-makers investing in digitally modernising their SC processes. The study recommends starting the DT of an SC with procurement, as procurement is a complex process involving a wide range of internal and external stakeholders. The results show that digital procurement may be an SC game changer in a competitive market. The study provides initial guidelines for a transition from traditional to smart procurement (procurement 4.0). Despite the prevalence of studies on SCP, there is a lack of empirical evidence on how DT of procurement functions can lead to sustainable CAD.