| Peer-Reviewed

The Roles of Cloud-Based Supply Chain Integration on Firm Performances and Competitiveness

Received: 9 September 2021     Accepted: 19 October 2021     Published: 30 October 2021
Views:       Downloads:
Abstract

Cloud computing systems have emerged as a useful technology that contributes to this optimization SCI process by providing infrastructure, platform, and software solutions for the whole supply chain via the internet. But in developing regions like Ethiopia, there's a weak traditional, fragmental, non-integrated, weak, and underdeveloped supply chain process. There’s still space for research on real industrial applications where Ethiopian firms strive for cloud-based integration and implement new models and integration strategies practices in their supply chains. Thus, this study is designed to investigate the impacts of cloud computing technology on the supply chain integration process to improve the performance and comparative advantage of manufacturing industries in general, and the Ethiopian basic metal industry in particular. Using primary and literature survey data, the study has been carried-out through SPSS correlation and regression analysis methods. The study shows that the adoption and utilization of cloud-based services in supply chain integration leads to improvements in both the performance and competitiveness of the firm at regional and global levels. In particular, the cloud-based supply chain integration strategies provide enhanced resource utilization, reduce the constraints on information flow in the firm, increase product and service visibility, and create flexibility within systems within supply chain partners, and manufacturing industries as a whole. According to these investigations, cloud computing has a great impact on supply chain integrations so as to improve the performance and comparative advantage of the firm. Thus, effective and efficient utilization of cloud-based supply chain integrations has a higher positive impact on firm performance and competitiveness. Furthermore, this study demonstrates that data privacy, information risk, security issues, cloud architecture, process customization, and trust among collaborators must be prioritized for long-term supply chain systems and joint ventures in cloud-based supply chain integration.

Published in International Journal of Industrial and Manufacturing Systems Engineering (Volume 6, Issue 3)
DOI 10.11648/j.ijimse.20210603.12
Page(s) 49-58
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2021. Published by Science Publishing Group

Keywords

Supply Chain Integration, Cloud Computing, Comparative Advantage, Supply Chain Security, Manufacturing Performance

References
[1] Agorasti Toka, E. A.-D. (2013). Cloud Computing in Supply Chain Management: An Overview. Aristotle University of Thessaloniki, Greece: IGI Global.
[2] Alie Wube Dametew, B. B. (2016). Study Supply Chain Integration to basic Metal Industry. Industrial Engineering, 16 (2).
[3] Alie Wube, D., & Frank, E. (2017). Technological Innovations as a Potential Vehicle for Supply Chain Integration on Basic Metal Industries. International Journal of Swarm Intelligence and EvolutionaryComputation, 6 (2).
[4] Alie Wube, D., Frank, E., & Birhanu Beshah, A. (2016). Supply Chain Integration for Improving Performance on Manufacturing Industries. Journal of General Engineering, 16 (4).
[5] Al-jawazneh, B. E. (2016). The Prospects of Cloud Computing in Supply Chain Management (A Theoretical Perspective). Journal of Management Research, 8 (4).
[6] Attaran, M. (2017). Cloud Computing Technology: Leveraging the Power of the Internet to Improve Business Performance,. Journal of International Technology and Information Management, 26 (1).
[7] Aviles, M. E. (2015). The Impact of Cloud Computing in Supply Chain Collaborative Relationships, Collaborative Advantage and Relational Outcomes. Electronic Theses & Dissertations. 1244. Georgia Southern University.
[8] Berkha jain, R. D. (2015). Implementation of Cloud Computing In Supply Chain Management. International Journal for Research in Applied Science & Engineering Technology (IJRASET), 3 (7).
[9] Bete Georgise, F., Klaus-Dieter, T., & Marcus. (2014). Identifying the Characteristics of the Supply Chain Processes in Developing Country: A Manufacturing Industry Perspective. WSEAS TRANSACTIONS on BUSINESS and ECONOMICS, 11.
[10] Dagne Birhanu, D.-I. D. (2009). Small Scale Metalworking Industries Cluster (Case Study on Towns of Oromia Special Zone). Addis Ababa: Un-published work.
[11] Distefano, M. (2015). Cloud Computing and the Internet of Things: Service Architectures for Data Analysis and Management. University Of Pisa Department Of Computer Science (Ph.D. Thesis Proposal).
[12] Grubor, G. (2015). Introducing the Information Security Management System in Cloud Computing Environment. Introducing the Information Security Managment System in Cloud Computing Environment.
[13] Han, Z. (2015). Cloud computing contribution to manufacturing industry. UNIVERSITY OF TURKU, Department of Management and Entrepreneurship, Turku School of Economics.
[14] Huotari, J. T. (2013). ADOPTING CLOUD COMPUTING AND HOSTED SERVICES IN PHARMACEUTICAL INDUSTRY. Degree Programme in Information Technology Technology and transportation.
[15] James Macaulay, L. B. (2015). INTERNET OF THINGS IN LOGISTICS. 53844 Troisdorf, Germany: DHL Customer Solutions & Innovation.
[16] Kari Korpela, J. H. (2017). Digital Supply Chain Transformation toward Blockchain Integration. Proceedings of the 50th Hawaii International Conference on System Sciences.
[17] Katarina Grolinger, W. A. (2013). Data management in cloud environments: NoSQL and NewSQL data stores. Grolinger et al. Journal of Cloud Computing: Advances, Systems and Applications, 2 (22).
[18] Martin Raa, B. G.-C. (2011). Digital Transformation of Supply Chains; Creating Value – When Digital Meets Physical. Capgemini.
[19] Miller, D. (2016). The Role of the Internet in Supply Chain Management Management. Online Business Articles.
[20] Muhammad Abedi, M. S. (2013). The Impact of Cloud Computing Technology to Precast Supply Chain Management. International Journal of Construction Engineering and Management, 13-16.
[21] NilsUrbach, P. D., & Jeanne, R. (2017). Digital Business Transformation and the Changing Role of the IT Function. MIS Quarterly Executive, 6.
[22] O’Hea, K. (2011). Digital Capability How to Understand, Measure, Improve and Get Value from it. IVI Inovative value institute.
[23] Pieriegud, J. (2018). DIGITAL TRANSFORMATION OF RAILWAYS. Siemens Sp. z o. o., Poland: Department of Transport SGH Warsaw School of Economics, ProKolej Foundation.
[24] Prepletaný, D. (2013). The Impact of Digital Technologies on Innovations in Retail Business Models. AALBORG UNIVERSITY, International Marketing.
[25] R. Arokia Paul Rajan, S. S. (2012). Evolution of Cloud Storage as Cloud Computing Infrastructure Service. IOSR Journal of Computer Engineering (IOSRJCE), 38-45.
[26] Rahman, Z. (2004). Use of Internet in supply chain management: a study of Indian companies. Industrial Management & Data Systems, 104 (1), 31-41.
[27] Rajleen Kaur, A. K. (2014). A Review Paper on Evolution of Cloud Computing, its Approaches and Comparison with Grid Computing. International Journal of Computer Science and Information Technologies, 6060-6063.
[28] Ratlif, D. D. (2016). Digital Connectivity and the Future of Supply Chains & Logistics. Gorgiya Intitute of Technology the logistics research center.
[29] S. M. Khalid Jamal, A. O. (2013). Cloud Computing Solution and Services for RFID BasedSupply Chain Management. Advances in Internet of Things, 3, 79-85.
[30] Saideep Raj, A. S. (2014). Supply chain management in the cloud. Accenture.
[31] Sanket Thakare, A. P. (2016). The Internet of Things – Emerging Technologies, Challenges and Applications. International Journal of Computer Applications, 149 (10).
[32] Schrauf, S. (2016). www.strategyand.pwc.com. Retrieved from www.strategyand.pwc.com.
[33] Shalini Gupta, E. C. (2014). Optimizing Supply Chain Distribution usingCloud based Autonomous Information. Int. J Sup. Chain. Mgt, 3 (4), 79-90.
[34] Simon Ellis, K. K. (2017). Digital Transformation Drives Supply Chain Restructuring Imperative. Digital Transformation Drives Supply Chain Restructuring Imperative.
[35] Stephen Ezell, B. S. (2017). How Cloud Computing Enables Modern Manufacturing. ASI.
[36] Tinankoria Diaby, B. B. (2017). Cloud Computing: A review of the Concepts and Deployment Models Deployment Models. I. J. Information Technology and Computer Science, 6, 50-58.
[37] Truong, D. (2014). CLOUD-BASED SOLUTIONS FOR SUPPLY CHAIN MANAGEMENT: A POST-ADOPTION STUDY. ASBBS Annual Conference: Las Vegas, Volume 21 Number 1. Las Vegas.
[38] Yared Lemma, D. K. (2014). The Impact Of Foreign Direct Investment On Technology Transfer In The Ethiopian Metal And Engineering Industries. INTERNATIONAL JOURNAL OF SCIENTIFIC & TECHNOLOGY RESEARCH, 3 (4).
[39] Zhuming Bi, L. D. (2014). Internet of Things for Enterprise Systems of Modern Manufacturing. IEEE TRANSACTIONS ON INDUSTRIAL INFORMATICS, 10 (2).
[40] Alie Wube Dametewa*, Birehanu Beshah b, Frank Ebingerc, The Challenges and Practice of Metal Industries into Global Supply Chain Integration: A Literature Review, Tailor and fancies, Cogent Engineering, journal of Production & Manufacturing, Volume 7, Issue 01, 2020, https://doi.org/10.1080/23311916.2020.1762523
Cite This Article
  • APA Style

    Alie Wube Damtew, Tafesse Borena, Yitagesyu Yilma. (2021). The Roles of Cloud-Based Supply Chain Integration on Firm Performances and Competitiveness. International Journal of Industrial and Manufacturing Systems Engineering, 6(3), 49-58. https://doi.org/10.11648/j.ijimse.20210603.12

    Copy | Download

    ACS Style

    Alie Wube Damtew; Tafesse Borena; Yitagesyu Yilma. The Roles of Cloud-Based Supply Chain Integration on Firm Performances and Competitiveness. Int. J. Ind. Manuf. Syst. Eng. 2021, 6(3), 49-58. doi: 10.11648/j.ijimse.20210603.12

    Copy | Download

    AMA Style

    Alie Wube Damtew, Tafesse Borena, Yitagesyu Yilma. The Roles of Cloud-Based Supply Chain Integration on Firm Performances and Competitiveness. Int J Ind Manuf Syst Eng. 2021;6(3):49-58. doi: 10.11648/j.ijimse.20210603.12

    Copy | Download

  • @article{10.11648/j.ijimse.20210603.12,
      author = {Alie Wube Damtew and Tafesse Borena and Yitagesyu Yilma},
      title = {The Roles of Cloud-Based Supply Chain Integration on Firm Performances and Competitiveness},
      journal = {International Journal of Industrial and Manufacturing Systems Engineering},
      volume = {6},
      number = {3},
      pages = {49-58},
      doi = {10.11648/j.ijimse.20210603.12},
      url = {https://doi.org/10.11648/j.ijimse.20210603.12},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijimse.20210603.12},
      abstract = {Cloud computing systems have emerged as a useful technology that contributes to this optimization SCI process by providing infrastructure, platform, and software solutions for the whole supply chain via the internet. But in developing regions like Ethiopia, there's a weak traditional, fragmental, non-integrated, weak, and underdeveloped supply chain process. There’s still space for research on real industrial applications where Ethiopian firms strive for cloud-based integration and implement new models and integration strategies practices in their supply chains. Thus, this study is designed to investigate the impacts of cloud computing technology on the supply chain integration process to improve the performance and comparative advantage of manufacturing industries in general, and the Ethiopian basic metal industry in particular. Using primary and literature survey data, the study has been carried-out through SPSS correlation and regression analysis methods. The study shows that the adoption and utilization of cloud-based services in supply chain integration leads to improvements in both the performance and competitiveness of the firm at regional and global levels. In particular, the cloud-based supply chain integration strategies provide enhanced resource utilization, reduce the constraints on information flow in the firm, increase product and service visibility, and create flexibility within systems within supply chain partners, and manufacturing industries as a whole. According to these investigations, cloud computing has a great impact on supply chain integrations so as to improve the performance and comparative advantage of the firm. Thus, effective and efficient utilization of cloud-based supply chain integrations has a higher positive impact on firm performance and competitiveness. Furthermore, this study demonstrates that data privacy, information risk, security issues, cloud architecture, process customization, and trust among collaborators must be prioritized for long-term supply chain systems and joint ventures in cloud-based supply chain integration.},
     year = {2021}
    }
    

    Copy | Download

  • TY  - JOUR
    T1  - The Roles of Cloud-Based Supply Chain Integration on Firm Performances and Competitiveness
    AU  - Alie Wube Damtew
    AU  - Tafesse Borena
    AU  - Yitagesyu Yilma
    Y1  - 2021/10/30
    PY  - 2021
    N1  - https://doi.org/10.11648/j.ijimse.20210603.12
    DO  - 10.11648/j.ijimse.20210603.12
    T2  - International Journal of Industrial and Manufacturing Systems Engineering
    JF  - International Journal of Industrial and Manufacturing Systems Engineering
    JO  - International Journal of Industrial and Manufacturing Systems Engineering
    SP  - 49
    EP  - 58
    PB  - Science Publishing Group
    SN  - 2575-3142
    UR  - https://doi.org/10.11648/j.ijimse.20210603.12
    AB  - Cloud computing systems have emerged as a useful technology that contributes to this optimization SCI process by providing infrastructure, platform, and software solutions for the whole supply chain via the internet. But in developing regions like Ethiopia, there's a weak traditional, fragmental, non-integrated, weak, and underdeveloped supply chain process. There’s still space for research on real industrial applications where Ethiopian firms strive for cloud-based integration and implement new models and integration strategies practices in their supply chains. Thus, this study is designed to investigate the impacts of cloud computing technology on the supply chain integration process to improve the performance and comparative advantage of manufacturing industries in general, and the Ethiopian basic metal industry in particular. Using primary and literature survey data, the study has been carried-out through SPSS correlation and regression analysis methods. The study shows that the adoption and utilization of cloud-based services in supply chain integration leads to improvements in both the performance and competitiveness of the firm at regional and global levels. In particular, the cloud-based supply chain integration strategies provide enhanced resource utilization, reduce the constraints on information flow in the firm, increase product and service visibility, and create flexibility within systems within supply chain partners, and manufacturing industries as a whole. According to these investigations, cloud computing has a great impact on supply chain integrations so as to improve the performance and comparative advantage of the firm. Thus, effective and efficient utilization of cloud-based supply chain integrations has a higher positive impact on firm performance and competitiveness. Furthermore, this study demonstrates that data privacy, information risk, security issues, cloud architecture, process customization, and trust among collaborators must be prioritized for long-term supply chain systems and joint ventures in cloud-based supply chain integration.
    VL  - 6
    IS  - 3
    ER  - 

    Copy | Download

Author Information
  • School of Mechanical and Industrial Engineering, Kombolcha Institute of Technology (KIOT), Wollo University, Dessie, Ethiopia

  • Industrial Engineering, Saint Mary’s University, San Antonio, USA

  • Industrial Engineering, Addis Ababa Science and Technology University, Addis Ababa, Ethiopia

  • Sections