The Effect of Digital Transformation on Supply Chain Management and Industrial Firm Performance of Small and Medium-Sized in the United Arab Emirates
List of Authors
Hashem Osama, Noura Khamis Sowaif
Keyword
Digital Transformation, Supply Chain Management, Firm Performance
Abstract
The industrial and production sector faces several problems and challenges, perhaps the most significant of which is the difficulty of maintaining the same efficient and accurate supply chain. Manufacturing firms in the United Arab Emirates (UAE) face inherent problems in supply chain management. Despite the growing interest of researchers in digital transformation and its potential impact on firm performance, there are still significant gaps in the literature when it comes to studying the impact of digital transformation on industrial firms from a supply chain management perspective. Most studies focus on the general benefits of digital transformation or examine its impact on specific industries or functions, with little in-depth research examining the mediating role of supply chain management. Therefore, this study aims to understand the effect of digital transformation on the performance of industrial firms in the UAE and supply chain management, as well as the mediating role of supply chain management. A descriptive analytical approach was used to verify the study's hypotheses. The current study population consists of employees and heads of supply and processing departments in industrial firms in the small and medium enterprises (SMEs) across the UAE. The questionnaire was used as the primary tool for collecting primary data from the study sample, and random distribution was used during the survey process in industrial firms. The result of the study showed significant relationships between digital transformation and the performance of industrial firms in the UAE and supply chain management, while supply chain management partially mediates this relationship. The study also recommends that decision-makers develop policies that support digital transformation, which would contribute to enhancing growth and sustainability in the industrial sector.