Cultural interconnectedness in supply chain networks and change in performance: An internal efficiency perspective

We propose the conceptualization of cultural interconnectedness in a supply chain network. As multiplex network structure, refers to extent inter-linking organizational cultures members. Complementing ongoing research on networks, we and test effects interconnectedness—conditional production, inventory, marketing efficiencies—on next-period change performance. Our sample consists networks 3434 publicly traded firms representing an unbalanced panel 28,461 firm-year observations from 2001 2017. Controlling for current period performance (return assets) growth opportunities (Tobin's Q) opportunities, is not directly associated with return assets next period, however, it strengthens relationship between production efficiency or inventory but resource efficiency. Based recent advances social econometrics, our findings are robust controlling spatial autocorrelation endogeneity, spillovers among partners, also LASSO regressions. Lack direct interconnectedness, support moderation efficiencies, imply that necessary sufficient condition improve Production efficiencies perhaps represent circuitry efficacy chains. The inform operations managers role partners.