Leveraging Digital Twin-driven Flexible Supply Chain Practice in Achieving Supply Chain Resilience and Sustainable Supply Chain Performance

Abstract

In supply chain operations, coordinating flexible supply chain practices with agility has become a significant challenge. To mitigate this problem, digital twin-driven flexible supply chain practices (DT-FSCP) have become essential in achieving supply chain agility (SCA), which in turn helps achieve supply chain resilience (SCR) and sustainable supply chain performance (SSCP). The supply chain operation of a manufacturing firm is significantly influenced by the perceived political skills of top management, an issue that has not been previously examined in earlier studies. Based on the research gaps and scope, this study aims to propose a research framework grounded in the supply chain practice-based view (SCPBV). The study empirically tests the conceptual model using survey data gathered from 201 respondents from Indian manufacturing firms. Structural equation modelling was employed to examine the relationships among manifest and latent variables. The study’s findings indicate that DT-FSCP plays a significant role in generating SCA, which ultimately leads to a substantial increase in SCR and SSCP. The study also finds that the political skills of a supply chain manager play a moderating role between DT-FSCP and SCA. Moreover, the study also found a significant mediating role of SCA between DT-FSCP and the two outcome performances (SCR and SSCP). The study theoretically strengthens the SCPBV from the perspective of flexibility and agility. On the practical aspect, it shows the mechanism for achieving sustainability.