Enhancing corporate sustainability in SMEs through smart technologies: supply chain flexibility and agility as mediator

Abstract

Purpose – This study aims to investigate the direct and indirect effects of smart technologies on the sustainability of Palestinian SMEs in the healthcare industry by using supply chain flexibility and agility as mediators. Design/methodology/approach – A cross-sectional design was adopted to gather data from the target population, which is limited to all employees, managers and owners responsible for the activities of the supply chain. The purposive sampling procedure was employed in this study. Findings – The result indicates that both supply chain flexibility (SCF) and supply chain agility (SCA) serve as mediators in the effects of smart technologies (ST) on corporate sustainability (CS) in Palestinian SMEs in the healthcare industry. While SCA does not mediate the effect of STon CS, SCF mediates this effect. Moreover, the results confirm that ST has a direct effect on CS, SCA and SCF, and SCA has a direct effect on CS whereas SCF has no direct effect on CS. Future studies should consider extending the conceptual model to incorporate manufacturing SMEs. Additionally, the study recommends incorporating other constructs that would support subsequent assessments in other countries with different values, beliefs, norms and expectations, which may also be investigated empirically at other research sites. Smart technologies revolutionize supply chain management by making it more flexible and agile. Originality/value – Our study is distinctive from previous studies in terms of context and method, being a pioneering study in the Palestinian context with respect to SMEs in the healthcare industry. It is the first study to investigate the role of supply chain flexibility and agility in mediating smart technologies’ effects on corporate sustainability. The adoption of these technologies can enable organizations to respond effectively to changes in the market, enhance decision-making and achieve sustainable competitive advantage.