University Research Report: SCM's Effect on Customer Satisfaction

This report delves into the effect of supply chain management (SCM) on customer satisfaction, exploring research objectives, questions, and methodology. It examines the impact of SCM on sales, customer service, and overall business development. The report includes a literature review of relevant research papers, discussing key business theories and frameworks related to SCM, such as the Supply Chain Management Framework and various models for partner selection. It also analyzes qualitative and quantitative research approaches, providing insights into how businesses can leverage SCM to enhance customer satisfaction and gain a competitive advantage. The report also covers the importance of maintaining long-term relationships with suppliers, and using negotiation, partnership and cooperation to improve processes.

Running head: BUSINESS RESEARCH METHODOLOGY
Business research methodology
Name of the Student:
Name of the University:
Author Note:

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Table of Contents
Research topic..................................................................................................................................2
Summary of different cases.............................................................................................................2
Research objectives and research questions....................................................................................2
Research objectives.....................................................................................................................3
Research questions.......................................................................................................................3
Literature review..............................................................................................................................5
Main business theories.....................................................................................................................6
Research methodology...................................................................................................................10
Qualitative or quantitative.........................................................................................................10
Exploratory descriptive or causal..............................................................................................11
Evaluating the sampling design.....................................................................................................12
Probability or non-probability sampling....................................................................................12
Combination of sampling methods............................................................................................12
Sampling size.............................................................................................................................13
Choice of research instruments used.........................................................................................13
Reference List................................................................................................................................14

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Research topic
Effect of Supply Chain Management on Customer Satisfaction
Summary of different cases
By reading all the 5 research papers on supply chain management, it was clear to
understand that Supply chain management explain the process of planning, procuring as well as
sourcing and controlling the movement of raw materials to finished goods (Zhu, Sarkis & Lai,
2013). The administration of the company in supply chain need proper set of objectives that gets
involved as well as leads to maximizing products and services from prospective customers. The
main objective of supply chain management is divided into two goals that constantly identify the
needs as well as desire of customers and the factor that affect the needs, desires and preferences.
In addition, flexible communication systems properly help with the information flow from one
business to other. It help in developing systems and implementing request from customers where
the company has the ability to produce, deal out and transfer products at the right place and right
time to the clientele. To summarize each of the cases in detail, it is important to gather facts and
data from reliable sources that are about Supply Chain Management and how far it is linked with
customer satisfaction (Yu et al., 2013).
Research objectives and research questions
The segment properly highlights about research questions and research objectives and
points out how the research have been designed as well as whether it can match with the
objectives in the most appropriate way (Xu & Gursoy, 2015). The segment even discuss about

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the way on how the research objectives are used to link with the given research topic on Effect of
Supply Chain Management on Customer Satisfaction.
Research objectives
To provide information as well as data about supply chain management and impact on
improving sales and customer service
To highlight the effect of supply chain management on customer satisfaction
To improve sales management as well as customer service for achieving comprehensive
development
To improve the quality of their supply chain management for gaining preferences with
customers after enhancing the value provided (Zhu, Sarkis & Lai, 2013)
Research questions
1. How far information can be gathered from supply chain management and the impact on
improving sales and customer service?
2. What is the effect of supply chain management on customer satisfaction?
3. How to improve sales management and customer service for achieving comprehensive
development?
4. How to improve the quality of supply chain management for gaining preferences with
customers after value enhancement?
5. Who are the key supply chain members with whom to link the process?
6. What level of incorporation and administration need to be applied for each of the process
link?
7. What process needs to be linked with each of the supply chain members?

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Literature review
This segment explain about literature review after properly reading 5 research paper that
links with the research topic on Effect of Supply Chain Management on Customer Satisfaction
(Wu et al., 2015). The segment critically analyzes the literature individually where each of the
new aspects has the potential to inform the reader some of the aspects that are not known before.
The sources of data that are cited in the review of literature are peer-reviewed journal articles
that are published after 2012 and are recent at the same time. The literature review had been
properly evaluated and published by experts who deal or work practically in these areas that
being more authentic information before the reader who is going to refer the study in the near
future (Zhu, Sarkis & Lai, 2013).
As rightly put forward by Golicic & Smith (2013), Supply Chain concept is a new
concept that starts from 1980 and used by companies that operates in commercial sector and
industrial activities. In addition, supply chain is a stage and very complex task due to its actual
actuality. Furthermore, supply chain management seeks to improve control as well as
competence especially in manufacturing and allocation as it shows strong relationship between
suppliers and distributors (Zhu, Sarkis & Lai, 2013). The mechanism used in this system will
help in enhancing the level of competitiveness as well as achieving customer satisfaction at the
same time.
The Supply Chain Management system of any company is largely influences the
customer satisfaction and that give rise to profitability of the business enterprise. Nowadays, the
manufacturers understood that the Supply Chain Management can be easily leveraged in offering

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customer satisfaction and value after removing the barricades between suppliers and customers.
In addition, the decision is taken by the management as it links with the Supply Chain
Management as it is detrimental to the effectiveness as well as profitability of the entire chain.
Good Supply Chain Management ads up to customer satisfaction as it deliver the products in
fastest time as well as without errors and reduce the lead time to the orders (Wisner, Tan &
Leong, 2014).
Main business theories
The present segment explains about theories used in Supply Chain Management with
proper justification and pictorial representation of the frameworks. With the help of these
theories, it is easy to gather facts about supply chain management framework and link with
customer satisfaction aspects as far as possible (Bustinza, Parry & Vendrell-Herrero, 2013).
Christopher (2016) identifies three dimensions of involvement that affect outcomes in
supplier relationships where the activities are carried out and can be tightly coordinated at the
same time.

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Supply chain business processes
Supply chain management components Supply chain network structure
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Figure: Supply Chain Management Framework
(Source: Waters & Rinsler, 2014)

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Actors:
Organization Structure
Activities:
Performance measures
Resources:
Skills technology
Partnership
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Figure: Supply Chain Framework and ARA-model in partner selection
(Source: Stevens & Johnson, 2016)
Traditional Supply Chain Management applications in actual falls short as it help
manufacturers for managing one of the critical elements by understanding the relationships with
the suppliers. The above model explain supply chain management framework for improving the
cooperation that are required in the partner selection (Dubey, Gunasekaran & Ali, 2015).
Interpretive structural modeling is one of the interactive learning processes into a
comprehensive systematic model (Zhu, Sarkis & Lai, 2013). Even the model highlights the
structure of a complex issue or problem as it designs the pattern that implies graphics and words.
Interpretive structural model methodology actually helps in imposing order as well as direction

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on the complexity of relationships among elements of a system. There are several steps that is
included in interpretive structural modeling for identifying variables as it is relevant to
significant problem or issue. It mainly establishes contextual relationship with the other
variables. It is important to understand the fact that the structural model generates from the final
reach ability matrix as it removes the transitivities (Rushton, Croucher & Baker, 2014).
Most of the companies have a tendency to maintain long-term relationships with the
suppliers that is purely based upon precision and balance that follows the form of negotiation,
partnership and cooperation (Alfalla-Luque, Marin-Garcia & Medina-Lopez, 2015). On analysis,
it is noted that with cooperation, it help companies to visit supplier factories and try out some of
the innovative methods for bringing improvement in the procurement process and giving
freedom to work upon the product at the same time. Negotiation, on the other hand is one of the
essential stage or process used for selecting any of the supplier who will deal with negotiations
and relies upon certain practices (Zhu, Sarkis & Lai, 2013). These activities or practices further
take into three other forms such as price based on market or price based on cost or competitive
bidding. In case of partnership, it means proper convergence relationship between the company
as well as supplier that include various trends and share common trust and success. Companies
aim at maintaining long-term relationships to get the partnership as well as determining the
extent of relationship with the suppliers in an effective way (Ahi & Searcy, 2013).

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Research methodology
Qualitative or quantitative
The present segment explains about choice of type research that should be evaluated by
the researcher at the time of conducting the research (Zhu, Sarkis & Lai, 2013). It is for this
reason both qualitative and quantitative data collection methods are explained in the study and
provided with justification for the same as to which or both the methods should be used as it
links with the research topic in the most appropriate way. In the next segment, research design is
also mentioned that include descriptive, exploratory or causal research design as it need to be
understood and decided by the researcher before planning for the given research study (Peng et
al., 2016).
Both qualitative and quantitative literature had been used by the researcher for this
research study as it will help in providing more insights of information about the research topic
on Supply Chain Management (Wisner, Tan & Leong, 2014). Qualitative research is used in the
study as it helps in uncovering the trends in thoughts and opinions that is used for solving the
problem or issue. The data collection methods mainly vary upon using unstructured as well as
semi-structured techniques. Qualitative research takes into account non-numerical data
(Monczka et al., 2015). On the other hand, quantitative research generates mainly numerical data
or information as it is converted into numbers.
From the information gathered, it is clear to understand that modern business are looking
ways for generating customers as well as establishing a positive relationship. In addition, even
the modern companies are looking at customers as a true partner as well as aims at working with

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them in order to develop positive long-term relationships. This relationship will help the
company to achieve further competitive advantage as it cannot be imitated by any of the closest
competitors. The companies even have to plan out a strategy where they can attract as well as
retain existing customers and plan to acquire new customers as well. The main focus of these
companies is to maintain close and long-term relationships with the customers as well as
providing high class and deluxe products and services for satisfying needs of customers and
desire to reach high level of satisfaction at the end. The business enterprise relies mainly upon
formulating as well as building relationship with the customers by using simple strategies and
conducting market research where information can be gathered about needs and preferences of
the customers (Zhu, Sarkis & Lai, 2013). Therefore, in order to achieve competitive advantage, it
is important or necessary for the business enterprise to plan out ways to add continuous value to
its customers as well as creates needed behaviors for generating and delivering superior value to
the customers in the most appropriate way. It is the process of supplying and selecting suppliers
that shows interdependent relationships as it begins with identifying and describing the supplier
needs of companies and also for determining the sources in an effective way (Wisner, Tan &
Leong, 2014).
Exploratory descriptive or causal
It is important for the researcher to evaluate whether to use exploratory research or
descriptive research or causal research design for this particular research study.
Exploratory research design helps in providing better understanding of a situation and
used for producing hypothesis. This means statement as it describes how two or more variables

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are related with each other (Jacobs, Yu & Chavez, 2016). Exploratory research design emphasis
mainly on gaining proper ideas as well as insights of information for present research study
Descriptive research design is used for describing the characteristics of population or
situation that is being studied. Descriptive research design emphasis upon determining the
frequency where covariance takes place between two variables
Causal research design properly used for testing the hypothesis for particular research
study and emphasis upon determining the cause as well as effect relationships (Wisner, Tan &
Leong, 2014)
Evaluating the sampling design
Probability or non-probability sampling
Probability sampling is one of the sampling techniques where the subjects of population
get an equal opportunity for getting selected as a representative sample. On the other hand, non-
probability sampling is one of the sampling techniques where the individual will be selected as a
sample (Heckmann, Comes & Nickel, 2015). Probability sampling is also known as random
sampling and non-probability sampling is also known non-random sampling. For probability
sampling, hypothesis is tested and for non-probability sampling, hypothesis is generated at the
same time. Method used for probability sampling is objective and for non-probability sampling is
subjective by nature. The result from probability sampling is unbiased but biased in case of non-
probability sampling (Zhu, Sarkis & Lai, 2013).

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Combination of sampling methods
For this particular research study, the researcher had conducted random sampling method
for selecting population and analyzing in case of quantitative data. On the other hand,
convenience sampling is used in case of qualitative data (Wisner, Tan & Leong, 2014).
Sampling size
For quantitative study, the researcher had distributed questionnaire on the target
population by targeting the majority of companies that operates in China. The questionnaires
were distributed to 56 professors and experts as it reflect assumptions and developed by
researcher as well as serve the research in an accurate way.
For qualitative study, the researcher had conducted interview with 4 managers who are
working under manufacturing companies in China (Wisner, Tan & Leong, 2014).
Choice of research instruments used
The research instruments used in the study is questionnaire, interview and secondary
sources of data that should be reliable and valid at the same time. There are different choice of
research that needs to be understood by the researcher that includes surveys, interviews,
experiments and secondary data. For this particular study, researcher had selected interview and
questionnaire research instrument for carrying out the research in the most appropriate way.

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Reference List
Ahi, P., & Searcy, C. (2013). A comparative literature analysis of definitions for green and
sustainable supply chain management. Journal of Cleaner Production, 52, 329-341.
Alfalla-Luque, R., Marin-Garcia, J. A., & Medina-Lopez, C. (2015). An analysis of the direct
and mediated effects of employee commitment and supply chain integration on
organisational performance. International Journal of Production Economics, 162, 242-
257.
Christopher, M. (2016). Logistics & supply chain management. Pearson UK.
Dubey, R., Gunasekaran, A., & Ali, S. S. (2015). Exploring the relationship between leadership,
operational practices, institutional pressures and environmental performance: A
framework for green supply chain. International Journal of Production Economics, 160,
120-132.
F. Bustinza, O., C. Parry, G., & Vendrell-Herrero, F. (2013). Supply and demand chain
management: The effect of adding services to product offerings. Supply Chain
Management: An International Journal, 18(6), 618-629.
Golicic, S. L., & Smith, C. D. (2013). A meta‐analysis of environmentally sustainable supply
chain management practices and firm performance. Journal of supply chain
management, 49(2), 78-95.
Heckmann, I., Comes, T., & Nickel, S. (2015). A critical review on supply chain risk–Definition,
measure and modeling. Omega, 52, 119-132.

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Jacobs, M. A., Yu, W., & Chavez, R. (2016). The effect of internal communication and
employee satisfaction on supply chain integration. International Journal of Production
Economics, 171, 60-70.
Monczka, R. M., Handfield, R. B., Giunipero, L. C., & Patterson, J. L. (2015). Purchasing and
supply chain management. Cengage Learning.
Peng, J., Quan, J., Zhang, G., & Dubinsky, A. J. (2016). Mediation effect of business process and
supply chain management capabilities on the impact of IT on firm performance: Evidence
from Chinese firms. International journal of information management, 36(1), 89-96.
Rushton, A., Croucher, P., & Baker, P. (2014). The handbook of logistics and distribution
management: Understanding the supply chain. Kogan Page Publishers.
Stevens, G. C., & Johnson, M. (2016). Integrating the supply chain… 25 years on. International
Journal of Physical Distribution & Logistics Management, 46(1), 19-42.
Waters, D., & Rinsler, S. (2014). Global logistics: New directions in supply chain management.
Kogan Page Publishers.
Wisner, J. D., Tan, K. C., & Leong, G. K. (2014). Principles of supply chain management: A
balanced approach. Cengage Learning.
Wu, K. J., Liao, C. J., Tseng, M. L., & Chiu, A. S. (2015). Exploring decisive factors in green
supply chain practices under uncertainty. International Journal of Production
Economics, 159, 147-157.

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Xu, X., & Gursoy, D. (2015). Influence of sustainable hospitality supply chain management on
customers’ attitudes and behaviors. International journal of hospitality management, 49,
105-116.
Yu, W., Jacobs, M. A., Salisbury, W. D., & Enns, H. (2013). The effects of supply chain
integration on customer satisfaction and financial performance: An organizational
learning perspective. International Journal of Production Economics, 146(1), 346-358.
Zhu, Q., Sarkis, J., & Lai, K. H. (2013). Institutional-based antecedents and performance
outcomes of internal and external green supply chain management practices. Journal of
Purchasing and Supply Management, 19(2), 106-117.