Factors affecting supply chain efficiency in commercial banks’ operations – Case in Vietnam

Figures & data

Table 1. Survey results

Criteria	Number of survey questionnaires	Percentage
Number of forms distributed	330	100%
Number of forms collected	309	93.63%
Number of valid forms	300	90.9%

Figure 1. Proposed model.

Table 2. Demographic information of respondents

Index	Frequency	Percentage (%)
(1)Gender
Female	153	51
Male	147	49
Total	300	100
(2)Age
18–22	31	10%
23–35	207	69%
36–55	53	18%
Over 55	9	3%
Total	300	100%

Table 3. Summary of scales

No.	Construct	Number of observations	Cronbach’s alpha	Evaluate
1	Information & Communication Technology (ICT)	5	0,942	Satisfactory
2	Knowledge and information sharing (CSTT)	3	0,971	Satisfactory
3	Quality trust (TT)	4	0,957	Satisfactory
4	Culture (VH)	3	0,974	Satisfactory
5	Joint Decision making (QD)	5	0,939	Satisfactory
6	Supply chain performance (HSC)	4	0,911	Satisfactory
7	Profitability (LN)	4	0,885	Satisfactory

Table 4. KMO and Bartlett’s test

Kaiser-Meyer-Olkin measure of sampling adequacy.		.903
Bartlett’s test of sphericity	Approx. chi-square	9177.929
	df	378
	Sig.	.000

Table 5. Total variance explained

Component	Initial eigenvalues			Extraction sums of squared loadings			Rotation sums of squared loadings
	Total	% of variance	Cumulative %	Total	% of variance	Cumulative %	Total	% of variance	Cumulative %
1	12.706	45.378	45.378	12.706	45.378	45.378	4.027	14.382	14.382
2	2.718	9.706	55.085	2.718	9.706	55.085	3.857	13.775	28.157
3	2.182	7.791	62.876	2.182	7.791	62.876	3.441	12.289	40.446
4	1.764	6.302	69.178	1.764	6.302	69.178	3.158	11.278	51.724
5	1.577	5.632	74.810	1.577	5.632	74.810	3.133	11.189	62.914
6	1.393	4.974	79.784	1.393	4.974	79.784	2.925	10.446	73.360
7	1.072	3.828	83.612	1.072	3.828	83.612	2.870	10.252	83.612
8	.558	1.991	85.603
9	.470	1.678	87.281
10	.421	1.504	88.785
11	.400	1.429	90.213
12	.320	1.142	91.356
13	.290	1.035	92.391
14	.281	1.005	93.395
15	.264	.943	94.338
16	.243	.869	95.206
17	.231	.826	96.032
18	.193	.689	96.721
19	.165	.588	97.309
20	.153	.547	97.856
21	.132	.472	98.328
22	.102	.363	98.691
23	.077	.274	98.965
24	.075	.266	99.231
25	.062	.223	99.454
26	.059	.211	99.666
27	.053	.191	99.856
28	.040	.144	100.000
Extraction Method: Principal Component Analysis.

Table 6. Rotated component matrix^a

	Component
	1	2	3	4	5	6	7
ICT4	.856
ICT3	.812
ICT5	.805
ICT2	.799
ICT1	.747
QD3		.802
QD2		.790
QD1		.765
QD4		.751
QD5		.738
TT4			.841
TT1			.818
TT3			.801
TT2			.779
HSC3				.806
HSC2				.792
HSC1				.769
HSC4				.764
LN2					.830
LN3					.778
LN1					.766
LN4					.715
CSTT1						.925
CSTT2						.924
CSTT3						.913
VH2							.905
VH3							.901
VH1							.893

Notes: Extraction method: principal component analysis.

Rotation method: Varimax with Kaiser normalization.

a. Rotation converged in 6 iterations.

Figure 2. Results of model fit assessment through CFA.

Figure 3. Hypothesis testing.

* Hypothesis testing: After the model is tested to be suitable, the results of hypothesis testing are shown in tables of Regression Weights and Standardized Regression Weights.

Table 7. Regression weights

					Estimate	S.E.		C.R.		P			Label
HSC	<—		ICT		.150	.032		4.651		***
HSC	<—		CSTT		.082	.025		3.224		.001
HSC	<—		VH		.092	.024		3.876		***
HSC	<—		QD		.068	.028		2.401		.016
HSC	<—		TT		.193	.029		6.693		***
LN	<—		HSC		.856	.124		6.902		***
ICT4	<—		ICT		1.000
ICT3	<—		ICT		.893	.050		17.999		***
ICT5	<—		ICT		.966	.050		19.407		***
ICT2	<—		ICT		.913	.047		19.269		***
ICT1	<—		ICT		.917	.047		19.308		***
QD3	<—		QD		1.000
QD2	<—		QD		.866	.043		20.336		***
QD1	<—		QD		.806	.046		17.637		***
QD4	<—		QD		.934	.039		23.828		***
QD5	<—		QD		.887	.042		20.892		***
TT4	<—		TT		1.000
TT1	<—		TT		.991	.028		34.950		***
TT3	<—		TT		.868	.033		26.696		***
TT2	<—		TT		.887	.032		27.510		***
HSC3	<—		HSC		1.000
HSC2	<—		HSC		1.060	.069		15.431		***
HSC1	<—		HSC		1.552	.115		13.470		***
HSC4	<—		HSC		1.551	.116		13.421		***
LN2	<—		LN		1.000
LN3	<—		LN		.878	.055		15.965		***
LN1	<—		LN		.805	.055		14.595		***
LN4	<—		LN		.831	.053		15.687		***
CSTT1	<—		CSTT		1.000
CSTT2	<—		CSTT		1.028	.025		41.508		***
CSTT3	<—		CSTT		.993	.024		40.671		***
VH2	<—		VH		1.000
VH3	<—		VH		.959	.020		47.573		***
VH1	<—		VH		.989	.025		39.302		***

Table 8. Standardized regression weights

			Estimate
HSC	<—	ICT	.263
HSC	<—	CSTT	.172
HSC	<—	VH	.208
HSC	<—	QD	.129
HSC	<—	TT	.393
LN	<—	HSC	.463
ICT4	<—	ICT	.886
ICT3	<—	ICT	.806
ICT5	<—	ICT	.840
ICT2	<—	ICT	.837
ICT1	<—	ICT	.837
QD3	<—	QD	.947
QD2	<—	QD	.814
QD1	<—	QD	.759
QD4	<—	QD	.869
QD5	<—	QD	.824
TT4	<—	TT	.945
TT1	<—	TT	.955
TT3	<—	TT	.886
TT2	<—	TT	.895
HSC3	<—	HSC	.667
HSC2	<—	HSC	.636
HSC1	<—	HSC	.919
HSC4	<—	HSC	.909
LN2	<—	LN	.872
LN3	<—	LN	.796
LN1	<—	LN	.746
LN4	<—	LN	.786
CSTT1	<—	CSTT	.972
CSTT2	<—	CSTT	.954
CSTT3	<—	CSTT	.951
VH2	<—	VH	.969
VH3	<—	VH	.975
VH1	<—	VH	.946

Table

No.	Observable variable	Code	Source
Information & Communication Technology
1	There is a system to arrange work and perform automated transactions effectively in the supply chain organization.	ICT1	Lysons and Farrington (2006)
2	Information exchange between suppliers and commercial banks in the supply chain is timely.	ICT2	Harps and Hansen (2000)
3	An appropriate information and communication technology system in the supply chain helps commercial banks operate more smoothly.	ICT3	Lysons and Farrington (2006)
4	Confidentiality will be maintained	ICT4	Harps and Hansen (2000)
5	The sources of information are accurate between suppliers and commercial banks	ICT5	Harps and Hansen (2000), Hong and Jeong (2006)
Knowledge and information sharing
1	Sharing information between suppliers and commercial banks	CSTT1	Min and Mentzer (2004)
2	Sharing information between inter-departments in commercial banks.	CSTT2	Min and Mentzer (2004)
3	Sharing knowledge and values within commercial banks.	CSTT3	Min and Mentzer (2004)
Quality trust
1	Quality trust motivates joiners (suppliers and commercial banks) in supply chain to work together better.	TT1	Moberg et al. (2003), Fawcett et al. (2012)
2	Joining the supply chain creates the quality trust of services provided by banks.	TT2	Fawcett et al. (2012), Hofmann and Belin (2011)
3	Supply chain success rates can be improved thanks to the trust of supply chain members.	TT3	Hofmann and Belin (2011)
4	The quality trust will create close cooperation among stakeholders in improving the operational efficiency of the supply chain of commercial banks.	TT4	Hofmann and Belin (2011)
Culture
1	Culture facilitates the flow of communication within an organization about the performance of commercial banks.	VH1	Melvor and Humphreys (2002)
2	The culture makes it easier for business partners by ensuring the continuity of the standards set by the bank.	VH2	Melvor and Humphreys (2002)
3	Cultural similarities also facilitate inter-organizational cooperation with commercial banks.	VH3	Melvor and Humphreys (2002)
Joint Decision making
1	There is an involvement of suppliers into decisions	QD1	Moberg et al. (2003), Yeung et al. (2009)
2	Suppliers and commercial banks collaborate in decision making and problem solving.	QD2	Moberg et al. (2003)
3	Avoid the situation of stock-out	QD3	Moberg et al. (2003)
4	Timely decisions create efficiency for all parties in the supply chain.	QD4	Moberg et al. (2003), Yeung et al. (2009)
5	Decisions that directly affect organizational performance improvement are related to supply chain performance in the operations of commercial banks.	QD5	Moberg et al. (2003)
Supply chain performance
1	Low operating costs during the operation of commercial banks.	HSC1	Fantazy, Kumar and Kumar (2010)
2	Accurately execute records, transactions in the chain securely.	HSC2	Fantazy, Kumar and Kumar (2010)
3	Faster supply chain response times, banks’ willingness to pay.	HSC3	Fantazy, Kumar and Kumar (2010)
4	There are products and services to meet the needs of customers in a timely manner.	HSC4	Fantazy, Kumar and Kumar (2010)
Profitability
1	Ability to achieve expected profitability	LN1	Mungai (2014)
2	There is added value on products and services provided by commercial banks.	LN2	Li and Lin (2006)
3	The supply chain in commercial banks’ activities helps suppliers and commercial banks keep track of the increase in revenue compared to expenses.	LN3	Li and Lin (2006)
4	Supply chain brings products and services at the lowest cost, creating the highest profit.	LN4	Li and Lin (2006)Mungai (2014)

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