Evaluating battery industry performance through novel supply chain practices using structural equation modeling

Purpose Supply chain practices play a major role in improving operational efficiency, enhancing resilience in industries and framing strategies for modern businesses. These practices are particularly crucial for the battery industry due to its complex supply chain network, stringent environmental compliance requirements and robust logistical operations required for effective distribution. Design/methodology/approach This study proposed 23 supply chain practices and investigated their relationship with the supply chain performance (SCP) of a selected battery industry. A structural equation modeling (SEM) approach is used to develop a structural measurement framework. Seven constructs and 23 latent variables are considered in this study. Hypotheses are formulated based on the conceptual framework, and the partial least squares-structural equation modeling (PLS-SEM) is employed to validate these hypotheses. Findings The results highlight significant interactions among supply chain integration (SCI), customer relationship management (CRM) and trust (TR), as well as their central roles in enhancing operational performance and other vital outcomes. CRM serves as the foundation for strong customer relationships and supports other operations. SCI acts as a central pillar; it ensures cohesive and efficient supply chain processes. TR functions as a catalyst, facilitating smoother interactions and cooperation among supply chain partners. Research limitations/implications The study equips battery consultants and managers with insights to refine processes efficiently, allocate resources effectively and establish strategic partnerships. Furthermore, it proposes a systematic framework to enhance the battery industry’s performance. Originality/value This study comprehensively evaluates the battery industry’s SCP through novel supply chain practices. It uniquely integrates supply chain metrics into the performance evaluation framework. Furthermore, this research proposes 23 novel supply chain practices tailored to the battery industry.