IJRR

International Journal of Research and Review

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Year: 2025 | Month: May | Volume: 12 | Issue: 5 | Pages: 306-320

DOI: https://doi.org/10.52403/ijrr.20250534

The Impact of Digital Transformation in Supply Chain on Firm Performance: An Empirical Research in Vietnam

Mai Anh Thi Nguyen1, Ngat Thi Dao2, Ngoc Anh Nguyen3, Huong Giang Le4, Duc Chi Nguyen5, Nhat Quyen Do6

1,2,3,4,5,6Faculty of Digital Economics, School of Economics, Hanoi University of Industry, Hanoi, Vietnam

Corresponding Author: Mai Anh Thi Nguyen

ABSTRACT

Purpose: The purpose of this study is to investigate how supply chain digital transformation (DT) affects firm performance, specifically with regard to industrial manufacturing companies in developing nations.
Design/Methodology/Approach: A mixed research approach was adopted. Qualitative methods helped develop the theoretical model and measurement scales. Quantitative data were collected through surveys distributed to 166 industrial manufacturing companies in Hanoi. The final dataset consisted of 159 valid responses.  The assumptions were tested using structural equation modeling (SEM) with SPSS 25.0 and AMOS 24.0.
Findings: The results show that digital transformation enhances information exchange, coordination and responsiveness within supply chain. However, it does not directly improve firm performance. Coordination and responsiveness are two supply chain characteristics that have a good influence on firm performance, while information exchange has a negligible effect. Additionally, coordination plays a mediating role between digital transformation and firm performance, but the mediating role of information exchange is not supported.
Research limitations/Implications: The research is geographically limited to Hanoi and may not represent all industrial firms in Vietnam. Future research should expand the dataset across regions and industries.
Originality/value: This research fills a gap in the literature on digital supply chain transformation in developing economies. It also provides empirical evidence on how supply chain capabilities mediate the DT-firm performance relationship.

Keywords: Digital Transformation, Supply Chain Capability, Firm Performance, Information Exchange, Coordination, Responsiveness

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