The Influence of IT Infrastructure and Supply Chain Flexibility on Supply Chain Performance in the Apparel Manufacturing Sector

Abstract

In a developing country, the apparel manufacturing sector needs to improve their performance, reduce costs, and satisfy the demands of a highly competitive global market. Thus, Supply Chain Management (SCM), particularly the influence of IT Infrastructure (ITI) and Supply Chain Flexibility (SCF) in driving Supply Chain Performance (SCP), focuses on their combine within the Sri Lankan apparel manufacturing sector. These relationships were evaluated using a quantitative research approach, with data gathered from Supply Chain (SC) professionals in apparel manufacturing companies. The study reveals that SCF mediates the relationship between ITI and SCP, indicating the importance of a flexible SC in moving ITI investments into functional performance improvements. Considering the current environment, apparel manufacturers should apply methods that relate ITI capabilities to the SC ability to respond to changing demands. Technological foundation influences SCF, enabling organizations to respond effectively to market demand and operational challenges. Consequently, SCF significantly contributes to SCP by improving flexibility, reducing costs and enhancing customer satisfaction. Some of the practical implication include the usage of advanced IT systems including prophetic analytics and enterprise resource planning tools to enhance SC responsiveness. In addition, development of collaborative relationship with suppliers and partners can enhance the effect of SCF and SCP, making Sri Lanka apparel manufacturers more competent to perform international standard. Future studies are encouraged to take these findings to other sectors and regions to explore the influence of new technologies and other external factors. In this way, it would be possible to achieve more advancements in the SCM practices in response to the current global market challenges.