Supply chain risk (SCR) and supply chain finance (SCF) pose a significant impact on the performance of Indian SMEs, given their risky nature of business.
Authors
Prashant Sharma, Professor, Jindal School of Banking & Finance, O.P. Jindal Global University, Sonipat, Haryana, India
Dayanand Pandey, Professor, Jindal School of Banking & Finance, O.P. Jindal Global University, Sonipat, Haryana, India
Hemant Kumar Manuj, Professor, Jindal School of Banking & Finance, O.P. Jindal Global University, Sonipat, Haryana, India
Summary
Indian small and medium enterprises (SMEs) are facing various issues related to their supply chain during the post-COVID era. Due to the risky nature of business for SMEs, ensuring timely finances from lending firms becomes crucial and this has become even more difficult after the COVID pandemic. In view of this, the present chapter tries to assess the impact of supply chain risk (SCR) and supply chain finance (SCF) on the performance of Indian SMEs. The structured survey collects the responses from 140 sample SMEs from Delhi-NCR. The structural equation modeling is done to assess the impact of SCF and SCR on firm performance. The SCR is also considered as the mediator between the SCF and firm performance. After ensuring the reliability and validity of the measurement model, the structural model is tested using AMOS and PROCESS Macro. The results of the study show that SCF and SCR have a significant impact on the performance of Indian SMEs. The supply chain risk is also a significant mediator between the SCF and firm performance.
Published in: Risk, Reliability and Resilience in Operations Management
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