Digital Transformation, Supply Chain Resilience, and Product Development Performance: A Management Capability View
Authors
FARHAN IQBAL, AMMARAH AHMED, ANJUM PARVEZ, RIDA SAMAD, SABA UMER QASMI and MUHAMMAD YASIR
Abstract
This study examined how digital transformation, risk management capability, and product design adaptability shaped supply chain resilience and product development performance in disruption-prone manufacturing conditions. A quantitative, cross-sectional survey design was used, and data were collected from 183 respondents with exposure to business, operations, supply chain, or product development. Item-level missingness was minimal and was handled through mean substitution. Confirmatory factor analysis and structural equation modeling were conducted in AMOS to assess the measurement model, test the structural paths, and examine indirect effects using bootstrapping. The final measurement model demonstrated acceptable fit. Digital transformation had a strong positive effect on supply chain resilience, while risk management capability and product design adaptability were not significant predictors when digital transformation was included. Supply chain resilience strongly predicted both cost efficiency and product development cycle efficiency. Bootstrapping confirmed that supply chain resilience mediated the relationships between digital transformation and both performance outcomes. The findings suggest that firms facing disruption should prioritize digital visibility, information integration, and data-enabled coordination. Risk routines and adaptable product-design practices remain important managerial concerns, but their contribution to resilience may depend on the extent to which they are supported by integrated digital systems. The study contributes to the management literature by showing that digital transformation functions as a resilience-building capability rather than only a technology initiative. It also clarifies how supply chain resilience helps translate digital capability into cost and cycle-time performance benefits in product development.
Key Words: Digital Transformation, Supply Chain Resilience, Risk Management, Product Design Adaptability, Cost Efficiency, Product Development Cycle, SEM.
