Transforming Operations Management: How Smart Supply Chain and Smart Technologies Transform Operations Management Differently in Manufacturing and Service Industries

Abstract

The rapid diffusion of smart technologies is transforming supply chain and operations management; however, their effects may differ between manufacturing and service environments. This study examines how instrumented supply chain, effective supplier management, and intelligent supply chain influence operations management through smart technologies, while specifically comparing manufacturing and service organizations. Using a quantitative cross-sectional design, data were collected from 206 respondents, equally representing manufacturing and service organizations. The proposed relationships were assessed using partial least squares structural equation modeling and multi-group analysis. The findings indicate that intelligent supply chain and effective supplier management are important drivers of smart technology utilization, while smart technologies substantially strengthen operations management. The mediation results further demonstrate that smart technologies provide an important pathway through which supply chain capabilities contribute to operational outcomes. Most importantly, the comparative analysis reveals significant differences between manufacturing and service organizations across several structural and indirect relationships, with stronger effects observed in service organizations. The study highlights the importance of industry context when developing smart supply chain strategies and transforming operations management.