The Supply Chain Integration And Knowledge Development In Manufacturing Business In Thailand

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Nantachit Kochakasettrin and Preecha Wararatchai

Abstract

Manufacturing businessis important for the increase of the Gross Domestic Product (GDP). In the present day, there is
intense competition in terms of business. Consequently, entrepreneurs are seeking ways to reduce the investment cost
and increase the flow of the operation that still maintains the product quality. This research, therefore, aimed to
investigate the factors in supply chain integration and learning organization and their influences on the competitive
advantage and the performance of manufacturing business organizations in Thailand. Data were collected from 400
authorities who had purchasing/procuring powers in business organizations who worked on consumer goods in Bangkok
and Bangkok metropolitan areas. Data were analyzed by using Structural Equation Modeling (SEM). The results of the study
showed that the factors of supply chain integration and learning organization directly influenced the competitive
advantage and indirectly influenced the performance of manufacturing business via the competitive advantage. Internal
integration was the strong factor in the supply chain, whereas the consciousness of the employees was the strong factor in
learning organization. The results of the study were beneficial for manufacturing business development by working
together to enhance maximum competitive advantage and influence on the national higher GDP.

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