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EMAC 2024 Annual


Smart Manufacturing and Supply Chain Resilience: Evidence from Emerging Markets
(A2024-119346)

Published: May 28, 2024

AUTHORS

Xuan Bai, Southwestern University of Finance and Economics; Kevin Zheng Zhou, the University of Hong Kong; Wei Jiang, Xiamen University; Xin Chen, Southwestern University of Finance and Economics

ABSTRACT

While prior research has recognized the significance of smart manufacturing for firm operations and performance, recent studies have raised concerns about its potential downsides. Building on the information processing perspective, we examine whether smart manufacturing facilitates or impedes supply chain resilience (SCR). Using a two-wave primary survey and a secondary dataset of 232 Chinese manufacturing firms, we found that smart manufacturing has an inverted U-shaped impact on SCR. The positive linear effect is more pronounced in the presence of high market disruption and for state-owned enterprises (SOEs). Meanwhile, the negative quadratic effect is intensified by high market disruption but decreases in SOEs. By revealing this non-linear effect, our study helps reconcile the inconsistent perspectives regarding the role of smart manufacturing and carries significant implications for enhancing SCR.