Deployment of Supply Chain Security Practices: Antecedents and Consequences

Despite the importance of supply chain security (SCS), there is significant variance regarding the level of deployment of SCS practices across firms and little is known about the efficacy of these practices. This study examines the role of external (coercive pressure) and internal (top management involvement) factors that potentially explain SCS practice deployment and its effect on SCS performance. It also examines the moderating role of organizational culture. In essence, this inquiry examines the role of external and internal forces in a context where organizational action is perhaps effectively mobilized only when both external and internal pressures are salient. Using data from 166 U.S. manufacturing firms, we found that the effects of coercive forces on SCS practice deployment are transmitted via top management involvement. In addition, the effect of top management involvement on SCS practice deployment is more salient for firms with high security‐oriented organizational culture, although a diminishing return was detected. SCS practice deployment was found to be strongly related to SCS performance. We discuss the theoretical contributions and managerial implications based on our findings.