The Integration of Supply Chain and Digitalization: The Influence on SME’s Business Performance in Chengdu, Sichuan Province, China

Abstract

The scale of the enterprise organization industry has steadily grown in recent years as a result of the rapid development of the global economy; however, the situation additionally contends with obstacles such as natural catastrophes, policy changes, political situations, and other unforeseen factors that may also trigger threats in the supply chain. The objective of this research is to examine the impact of supply chain digitalization and internal integration, also referred to as Supply Chain 4.0, on the performance of small medium businesses. This research illuminates the advantages and prospects associated with the implementation of contemporary supply chain strategies. It accomplishes this by examining the impact of incorporating digital technologies and integrating supply chain processes on different dimensions of small business performance, including efficiency, cost-effectiveness, and customer satisfaction. The development of conceptual framework in this study will be able to contribute the digital transformation of supply chain theoretically through our framework and expansion of knowledge by examining the influence between digitalization, supply chain integration, and small business performance such as operational efficiency, cost reduction, customer satisfaction, and overall competitiveness.