Supply chain planning and trust: two sides of the same coin

Abstract

Purpose - The purpose of this paper is to analyze the relationship between supply planning, trust and integration, and the influence of them on operational performance. Design/methodology/approach - The paper used a survey with 335 respondents from three different industries. The paper analyzed the data with structural equation modeling. Findings - The results suggest that supply planning and trust are positively related and both influence supply integration and operational performance. At the end the paper proposed a classification for supply integration based on planning use and trust. Research limitations/implications - The sample is composed by companies from only three industries (machinery, electronics and automobile), what does not allow generalization. Practical implications - Managers are challenged to develop simultaneously supply chain planning practices and trust-based relationship within buyers and suppliers. They must pay attention to different integration drivers and use them accordingly and in the context analyzed. The study suggests a 2 x 2 matrix that might help managers' decision making. Originality/value - Despite the importance of planning in supply and manufacturing management, few papers analyzed the role of supply planning integrated to trust. The combination between these aspects brings a more realistic and pragmatic view of the supply chain management.