Dynamic supply chain capabilities: how market sensing, supply chain agility and adaptability affect supply chain ambidexterity

Purpose: This paper positions market sensing, supply chain agility and supply chain adaptability as a coherent cluster of dynamic supply chain capabilities. The purpose of the paper is to understand how dynamic supply chain capabilities interrelate and their effect on supply chain ambidexterity. Design/methodology/approach: Based on a survey of Pakistani manufacturing firms, a theoretically-derived model was tested in a structural equation model. Findings: The results of the study show that a market-sensing capability is an antecedent of supply chain agility and supply chain adaptability. Furthermore, supply chain agility, directly, and supply chain adaptability, indirectly, affect supply chain ambidexterity. Supply chain agility therefore mediates the relationship between supply chain adaptability and supply chain ambidexterity. Originality/value: The contribution of this study lies in: (1) identifying dynamic capability clusters relevant for achieving supply chain ambidexterity;(2) evaluating performance implications of dynamic capabilities in the supply chain, specifically supply chain agility and adaptability; and (3) proposing a unique measurement of supply chain ambidexterity in the light supply chain theory, and empirically evaluating the relationship between dynamic capabilities and supply chain ambidexterity.