Operational capability as a mediator on the relationship between supply chain integration and operational performance

ABSTRACT Purpose: This article examines the role of operational capabilities as a mediator factor in the relationship between supply chain integration and operational performance. Originality/value: This is one of the first empirical studies to explore the relationship between elements of supply chain management—including strategy, structure, and operational capabilities—and performance. We imply that the strategy–structure supply chain management capabilities and performance (SS-M-CP) paradigm adopted was useful to understand the cumulative role of operational capabilities as well as supply chain management as an administrative department with authority to integrate organizational strategies and structures to influence the operational capabilities and leverage operational performance. Design/methodology/approach: Structural equation modeling was used to survey 138 strategic and operational supply chain managers of Brazilian and foreign companies headquartered in Brazil and associated with the capital goods industry. The hypotheses were validated, and the results showed the integration of organizational strategies and structures in supply chain management and a partial mediating factor of operational capabilities in the relationship between supply chain management and operational performance. Findings: The study validates the instrument that forms the strategies, structures, operational capabilities, and supply chain management for decision-making practices and analyses of potential mismatches in its implementation. The article contributes to the legacy of supply chain management research by providing theoretical understanding and empirical support for the SS-M-CP paradigm, which, when aligned, can improve and gain a competitive advantage.