Investigating the Impact of Supply Chain Innovation on Competitive Advantage through the Mediating Role of Robustness & Resilience Capabilities

Abstract

In the current highly uncertain external environment for businesses, maintaining a single competitive advantage in the supply chain is difficult in the long run to remain competitive and sustainable in this era, organizations need resilience and innovation capability. The purpose of this study is to propose and validate a theoretical model to investigate the mediating role of risk management capabilities (Robustness Capability and Resilience Capability) on the relationship between Supply Chain Innovation and competitive advantage. Research population consists of 127 companies involved in the Rasht Industrial City. Structural equation modeling and LISREL software were used to test the hypotheses. The results showed that there is a positive and significant relationship between supply chain innovation and competitive advantage. Moreover, it was found that Robustness Capability and Resilience Capability variables play a mediating role on the relationship between supply chain innovation and competitive advantage. Our study contributes to the empirical research on SCI and validates a model that links it to CA through the robustness and resilience capabilities of firms in the construction sector. Our study also provides insights for managerial decisions on investment in technology.