International Journal of Business, Economics and Management

International Journal of Business, Economics and Management
2014 Vol. 1, No.12, pp. 382-396

ISSN(e): 2312-0916
ISSN(p): 2312-5772
© 2014 Conscientia Beam. All Rights Reserved.
THE INFLUENCE OF INFORMATION TECHNOLOGY AND

COMMUNICATION SUPPLY CHAIN MANAGEMENT PERFORMANCE FOR
GREATER SME MANUFACTURING IN AGUASCALIENTES
Octavio Hernández Castorena1* --- Luis Aguilera Enríquez2 --- Martha González Adame3
1,2,3
Human Resources Department and Department of Management,. University Autonomous of Aguascalientes. Aguascalientes, Mexico
ABSTRACT
In this research, it aims to show how the information technology and communication (ICT) have influence
on the supply chain management in manufacturing SMEs, likewise, analyze how it affects this relationship
to operational performance in these organizations, however, for these companies, not all ICT can be adapted
to any business, results of the statistical analysis indicate that employers in their interest to adopt ICTs
require taking into account the complexity the supply chain to ensure that adoption is not a bad investment
and especially the approach to maximize performance in these organizations. The research was conducted
with a random sample of 120 SMEs in the manufacturing sector in Aguascalientes during the months of
March and April 2012 through a survey designed under the technical fieldwork aimed at managers
responsible for coordinating operations Manufacturing of SMEs. The analysis in this study implies that
employers establish strategies to enable all workers to improve their skills in the subject of ICT and in this
sense, the results are to be useful for decision making and for the better Management of supply chain.
Keywords: Information technology and communication, Supply chain management, Performance.
1. INTRODUCTION
In recent years, advances in information technology and communication (ICT) have been
rapid and the proof is in the significant improvements that have occurred in activities such as the
supply chain management (SCM), where is to always have effective results in the management of
materials (Biniazi et al., 2011). The supply chain has in companies of significant importance since
it directly affects the economy and the achievement of the objectives of the companies (Biniazi et
al., 2011). It is also important to note that regardless of the current ways of managing a supply
chain, this has gradually changed (Rayati et al., 2009), and in this sense, there are still significant
delays in the strategies of how to coordinate logistics and material resources management in the
supply chain (Aguilera et al., 2012), and for this, the adoption of new technologies have allowed
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Corresponding author
International Journal of Business, Economics and Management, 2014, 1(12): 382-396
these businesses, have better performance and development as a function of supply (Aravindh and
Ganesan, 2011).
The impact to adapt ICT in any business up to now, has been a major topic of discussion in
business, especially for costs on enterprises to make such investments and avoid risks in the
financial performance of SMEs (Aravindh and Ganesan, 2011), however, recent empirical studies
have shown that this important decision has had a significant impact on the administrative and
operational dynamics in SMEs especially in the manufacturing sector (Rayati et al., 2009;
Gonzalvez et al., 2010). In this sense, and as part of the benefits the ICT adaptations have, its
integration in the management of the supply chain (Devaraj et al., 2007), will allow manufacturing
SMEs have better control of information to material resources are in the organization in a timely
manner to avoid damage to the operational activity due to lack of supply (Gonzalvez et al., 2010).
Supply Chain Management (SCM), is influenced directly by the integration of technological
systems to be more effective and reliable suppliers both in internal control how to be made with
materials (Devaraj et al., 2007). In this sense, the integration of ICT in the SCM aims to improve
the capacity deliveries whereas the control and data management (inventory, market demand and
production capacity), is accurate and reliable (Biniazi et al., 2011). Nowadays, the concept of SCM
and its associated activities continue to evolve as new ICTs emerge to facilitate system-wide
process integration (Wisner, 2003), in order to improve the flow of goods, services and
information of the original suppliers to final customers, with the goal of reducing the cost system
area and maintain required service levels (Ellram, 1990; Aitken, 2005).
Concerning the inherent interest in the SME manufacturing about increasing its
performance, it is important to note that any technological adoption that have in supply chain
management, should facilitate the management of information, reducing costs, compliance
objectives such as inventory control and finance, improving the relationship with suppliers and
with customers of course (Ayers, 2001; Hagel and Brown, 2005; Chun et al., 2011).
This study have an essential objective, measure and analyze the influence of the variable ICT
in the variable SCM and in turn, the influence of the variable SCM in the performance variable.
Nowadays, in the state of Aguascalientes, there is significant growth by the arrival of
manufacturing companies both local and external and the supply is an issue that should be a
priority for managers as this significantly affects to the manufacturing SMEs in the operational
and financial performance. That´s why in this research work aims to analyze the influence of ICT
on the SCM of manufacturing SMEs and whether this influence allows performance in these
businesses is greater. For this it´s important to question whether integration of ICT increases in
manufacturing SMEs increased SCM matter how complex it may be, and if a better GCS allows
manufacturing SMEs become more profitable. To do this, through fieldwork during the months
of March and April 2012, a survey of managers of manufacturing SMEs was applied using a
randomly selected sample of 120 companies.
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2. LITERATURE REVIEW
2.1. Information Technology and Communication and Supply Chain Management
Currently, the information of technology and communication (ICT) are a combination of
elements which enable the organization performing the activities of the company either
administrative or operational efficiently based on the processing, storage and exchange of data
relating to the supply of materials (Biniazi et al., 2011), using the software and network hardware
to create strategies and systems to handle automatically have the data to analyze the behavior of
these data (Neef, 2001). It´s also important to highlight that ICTs have in their application
objectives, analyze the data in order to improve the planning of market demand, the production
control management of purchasing, managing supply chain materials and type of transport
(Devaraj et al., 2007; Biniazi et al., 2011).
As already described, the resources that ICT's have such as hardware and software, are easy
to implement, but it is important to emphasize that this decision alone is not an advantage or an
improvement that impacts on the profitability of the firm (Devaraj et al., 2007; Ross and Buffa,
2009). However, for an implementation of ICT to be efficient and profitable companies like SME
manufacturing is important that previously the ability to receive this kind of technology
implementations is analyzed and that the investment is taken by these adoptions, allowing them
to these companies have better rates of productivity and better control of the supply of material
resources (Gonzalvez et al., 2010; Aravindh and Ganesan, 2011).
Concerning the SCM, integration of ICT is vital since its impact can improve the level of
service both in the same supply chain and with customers (Childer House et al., 2002). It is
therefore important that entrepreneurs have the vision that technology adoption in their
organizations, will enable organizational outcomes have improved performance and thus better
control of information (Devaraj et al., 2007; Mbang, 2012). For manufacturing SMEs, the use of
ICT allows managing the supply chain more efficient since no matter how complex it can be a
technological system, proper management of information will allow these organizations more
easily monitor forecasts of market demand for the customers do not have compliance risks (Choi
and Hartley, 1996), provided the availability of material resources have through proper control of
inventories and therefore a greater reliability in production processes (Mukhopadhyay and Kekre,
2002; Mahama, 2006). For manufacturing SMEs, the use and application of ICT in the supply
chain management has significant influence and which is focused on meeting the following
objectives: Provides availability and visibility of information, can make decisions based on the
interpretation of and allows data to be greater collaboration with partners involved in the supply
chain (Ellram, 1990; Devaraj et al., 2007). The contribution of ICT's more common in the SCM in
manufacturing SMEs is reflected in the handling of information that happens between suppliers
and buyers which allows the management of the supply chain more efficient (Lee and Klassen,
2008). In this sense, the use of ICT is critical to these businesses for their dynamism and
importance to have better management of material resources (Rayati et al., 2009), and this will
384
allow these businesses have greater competitive advantages and higher performance (Bowersox et
al., 1989).
The importance and purpose of ICT in the SCM is mainly to focus in strengthening trade
agreement that takes into business relationship with customers, streamline communication and
information management as well as to reduce costs and time in the transmission the information
needed in any business activity (Gonzalvez et al., 2010), and it is therefore important to meet the
following objectives: Having the information available, to enable the interface in order to obtain
data and have a close association with the supply chain so that information is always available
(Srinivasan et al., 1994).
2.2. Management of the Supply Chain and SME Manufacturing Performance

Overall, the SCM is formed by two or more organizations which have a close business
relationship among them, in order to streamline the management of materials, information and
business strategies that enable them to constantly have a growth in their respective performance
business (Biniazi et al., 2011). And it is important that employers have adequate monitoring and
recording on market demand and specific customer needs (Devaraj et al., 2007). For
manufacturing SMEs, it´s vital that internal operating systems allow domestic production
processes are effective and this requires that between suppliers and purchasers of material
resources with supply chain management organized and coordinated (Devaraj et al., 2007), so that
all information is handled between them allow inventory control, warehouse records, optimization
of space transportation and handling of materials that do not allow to be optimized quality
problems or supply (Tracey and Tan, 2001) it has. For this it is important to note that there are 5
features that improve the efficiency of the SCM (Biniazi et al., 2011):
1.-The design of the SCM is a function of the strategies required to implement the
company for its commitment to customer service, are not affected at any time, and this
requires having the vision to have an efficient control over the needs market, have a wide
range of products or services, have certified quality systems and have a capacity of reliable
operation.
2.-Any changes in the supply chain must be informed immediately involved: suppliers,
external support services or ancillary services, in order to have better management and
better performance in the company.
3.- Strategic factor, it´s important to constantly review the design of the SCM in order not
to affect the performance of the company and hereafter the strategy focuses on analyzing
the feasibility of integrating the SCM external service or Outsourcing .
4.- To analyze the impact of the integration of technological improvements and
innovations taking to support the use of software to significantly improve the operational
activities that are related to the management of material resources.
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5 .- Adopting strategies to reduce significantly the costs generated in the internal and
external SCM once the decision to adopt or improve ICT in the management of the
information required for manufacturing SMEs using any decision making.
According to the review of experts to study the SCM and its relation to performance in
manufacturing SMEs, it´s important to note that the SCM is defined as a management philosophy
that involves accurately manage the flow of material resources for production processes delays
have not jeopardize compliance with the commitments to the customer (Rayati et al., 2009), for
which it is important to note that it is also necessary to integrate with management, supplier
collaboration. It is also important to note that there are other definitions that describe the SCM as
a philosophy that allows the management of the flow of a distribution channel from the
commissary to the end customer, considering the quality of service management and ethical
management information through effective and reliable technology systems (Pearson and Ellram,
1995). On the other hand, the SCM is seen as a system in which coordination is an important
strategy for any activity that is integrated into the control and flow of material resources, will
allow manufacturing companies to improve their performance (Mentzer et al., 2001).
For manufacturing SMEs, it is important that the SCM will meet the following goals: Reduce
inventory costs, better inventory control, reduce total production costs, negotiate better deals
with the commissary on just in time, improve customer satisfaction and have better cooperation
with distributors and vendors (Mentzer et al., 2001; Aguilera et al., 2012). Furthermore, to meet
the total satisfaction of customers is important for organizations to be competitive, that market
demands are met without delay with the required quality, better variety of products and certainly
have a quality service that allows to SMEs among other things, avoid the maximum supply
problem keeping costs to a level that does not affect the performance of the company adopting
strategies of cooperation, mutual benefit with suppliers, distributors, retailers and companies
linked to the management of their supply chains (Wisner, 2003).
In this regard, Mentzer et al. (2001) has placed special emphasis on the importance of buyers
and suppliers to meet your line provider abilities in order to maximize product differentiation and
individual needs while minimizing costs. Logistics practices and supply chain management
together with its associated benefits (better customer service, lower cost, higher quality, and
improved competitive advantage) are closely related to existing theories of strategic supply
management (Wisner, 2003). That is why the activities of management by providers and the
implementation of strategies related to customer needs require effective linkages which allow
such strategies improve the supply chain management through good practice in purchasing and
logistics management of material resources (Wisner, 2003). Regarding the management of the
supply chain concept has gradually evolved, however, manufacturers have used the knowledge
and resources of key suppliers deemed to support new product development efforts (Mbang,
2012). In addition, many companies have reduced their supply controls in order to form a limited
number of highly trained providers for improvements in the quality of the product purchased and
386
the time (Handfield et al., 2005) set. For the SME manufacturing is necessary for the management
of material resources allow the GCS has a significant impact on these businesses to the business
relationship is reliable (Chun et al., 2011). These coupled with operational capabilities, resources
are the key source for business success, and the heterogeneity of organizational resources have
lead to greater competitive advantage and have higher performance (Ross and Buffa, 2009).
Therefore, with regard to matters relating to finance, cash flow returns which are often
uncertain economic activities related to the supply chain, companies implies that some uncertainty
is generated by the nature of their management financial (Handfield et al., 2005; Giunipero et al.,
2008). Therefore, in manufacturing SMEs, entrepreneurs need to pay special attention to the
financial control of their organizations. Generally strategic business alignment and SCM
practices are essential for the achievement of corporate results of organizations focused on
improving the financial performance of companies (Chun et al., 2011), and it is important to note
that in business, entrepreneurial skills, provide significant advantages to facilitate the operational
activities of the SCM, as the control of resources that lead to business performance, allow their
competencies are those that have an influence in the production processes of which always are
valuable and crucial to organizational performance (Tracey and Tan, 2001).
In this regard, the ability of companies to succeed and greater competitiveness depends
heavily on their internal operational and administrative (Chun et al., 2011) capabilities. Economic
theory delves into the superior ability of companies to the development of certain organizational
capabilities, which consist of critical skills within a supply chain, SMEs try to offer products with
a value that buyers perceive to exceed the value of alternative bids. As the life cycles of products
are rapidly reduced in the modern setting of the supply chain, therefore, companies must rely on
proprietary technology that exists today to achieve high quality products to market quickly and
efficiently ahead of the competition. As part of strengthening in business for greater efficiency, it
is important that the assumption of risk, the orientation of the characteristics of pro activity and
coordination ability, positively affect the SCM in SMEs (Tracey and Tan, 2001).
The management of the supply chain as already described, is a comprehensive management
philosophy designed to control the flow of material resources that are distributed from suppliers
to end customers. The SCM is a system designed to harmonize the flow of products and services
with the information that is being generated, and the values of individual customers in the market
and providing innovative solutions (Chun et al., 2011) . Counting in the SME manufacturing with
a business philosophy that guides organizations and their partners among distribution channels,
the flow of material resources and internal capabilities of production processes in the right
direction will allow these businesses to have more reliability to have better performance (Ross
and Buffa, 2009). And for that, Mbang (2012) defines the SCM as a collaborative strategy to
rebuild an organization with the influence of ICT in order to improve the efficiency of business
enterprises, making strategic alliances with customers and suppliers which guarantee competitive
advantage and higher performance.
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To this end, the SCM aims to achieve global optimization of internal processes to achieve
greater unity and efficiency in the control of material resources throughout the value chain
(Varma et al., 2006). Srinivasan et al. (1994) refer to the SCM as a set of methods used to
efficiently integrate suppliers, manufacturers, warehouses and stores, so that merchandise is
produced and distributed in the right quantities, to the right places at the right time, in order to
minimize the costs of the entire system and thereby to achieve better development smoothly and a
higher yield. For the SME manufacturing business today, it is important that the SCM designed
for sharing this information flows of goods and capital from production to final sales and avoid
unnecessary expenditure of time and costs across the supply Chain (Varma et al., 2006), especially,
it is important not to lose sight of all vulnerable points where excessive costs may arise.
Within manufacturing firms is important that the financial performance indicators are being
measured in not only financial performance but also non-financial performance (Mentzer et al.,
2001; Chun et al., 2011). To do this, financial performance include return on assets, annual sales
performance, the average market share, profit margin, and the rate of return of profits, while the
main non-financial performances are full satisfaction customer, customer retention, product
satisfaction and customer service satisfaction. In this sense, Varma et al. (2006) divided the
performance of the SCM in the financial and non-financial, stressing that the latter is the most
important in manufacturing SMEs. The financial information that are included in the process of
decision making, allows such companies in their business relationship with all stakeholders in the
SCM have significant and thus participation have higher performance in SMEs manufacturing
(Chun et al., 2011). That is why the implementation of ICT implemented properly, allows the
management of the supply chain more effective (Rayati et al., 2009; Gonzalvez et al., 2010; Biniazi
et al., 2011). Therefore, one can pose the following hypothesis:
H1: A greater integration and influence of information technology and communication, greater
supply chain management in manufacturing SMEs.
Finally, it is important to note that a company that has a suitable and better GCS allows to take
into manufacturing SMEs, a significant increase in performance (Shin et al., 2000; Varma et al.,
2006; Chun et al., 2011), and for this the following hypothesis is proposed:
H2: The higher supply chain management, improved performance in manufacturing SMEs.
3. METHODOLOGY
In this investigation, the influence of ICT in managing the supply chain for increased
performance of manufacturing SMEs with a quantitative approach are analyzed. For the
development of this work was taken from reference database featuring business directory
Aguascalientes (SIEM, 2010), which describes in Aguascalientes, there are 8661 registered
companies of which 584 are SMEs. Likewise, this is a field where a random sample of 120
companies from SME Manufacturing sector in Aguascalientes in which we applied a measuring
388
instrument type custom survey for managers or directly responsible for the operations used in
this type companies in a period between March and April 2012.
3.1. Development of Measures

For the preparation of the measuring instrument, Was integrated 3 Factors which were
evaluated with Likert scale 1-5 where it refers from full disagreement to full agreement. The
factors of this theorical model are: Factor Technology Information and Communication with 10
indicators identified how (TI01 to TI10) adaptation of Gonzalvez et al. (2010). The second factor
of Supply Chain Management with 20 indicators identified how (CS01 to CS20) obtained from
Wisner (2003). And finally, for the third factor, measuring performance with 18 indicators
identified how (RO01 to RO18), adapted from Raymond and St-Pierre (2005). In chart No. 1
theoretical model of this research is shown:
H1 H2
Information
Supply Chain
Technology and Performance
Comunication Management
Chart-No.1. Theorical Model

Source: Adaptation: (Wisner, 2003; Raymond and St-Pierre, 2005; Gonzalvez et al., 2010).
ɛ11 ɛ12 ɛ13 ɛ14 ɛ15 ɛ16 ɛ17 ɛ18 ɛ19 ɛ20
CS
01
CS
02
CS
03
CS
04
CS
05
CS
06
CS
07
CS
08
CS
09
CS
10 ɛ31 ɛ32 ɛ33 ɛ34
ɛ1 TI01
RO RO RO RO RO05 ɛ35
01 02 03 04
ɛ2 TI02 RO06 ɛ36
ɛ3 TI03 RO07 ɛ37
ɛ4 TI04 RO08 ɛ38
Information λ1 λ2 ɛ39
ɛ5 TI05 Supply Chain RO09
Technology and Performance ɛ40
ɛ6 TI06 Management RO10
Comunication
ɛɛ77 TI07 RO1 ɛ41
ɛ8 TI08 RO12 ɛ42
ɛ9 TI09 RO13 ɛ43
RO RO RO RO
ɛ10 TI10 18 17 16 15
RO14 ɛ44
CS CS CS CS
11 12 13 14
CS
15
CS
16
CS
17
CS
18
CS
19
CS
20 ɛ48 ɛ47 ɛ46 ɛ45
ɛ21 ɛ22 ɛ23 ɛ24 ɛ25 ɛ26 ɛ27 ɛ28 ɛ29 ɛ30
Graphic-No.2. Relationship of theoretical model for the analysis of structural equation

Source: Adaptation: Gonzalvez et al. (2010); Wisner (2003); Raymond and St-Pierre (2005).
4. RESULTS
In this research one confirmatory factor analysis (CFA) in order to evaluate the reliability
and validity of the scales of each of the blocks as shown in the chart No.2 was performed.
389
Likewise, a Structural Equation Model (SEM), in order to check whether the structure of the
model is properly designed, and it was used, the maximum likelihood method in the EQS version
6.1 software was used; for this, the reliability was evaluated considering the Cronbach's α and
composite reliability index (IFC) (Bagozzi and Yi, 1988).
Table-1. Internal consistency and convergent validity of the theoretical model

C F > 0 .6 C ha rge d C ha rge d a lpha IF C > a 0 .7 IV E > a 0 .5 ,
mean
F acto r indic a t o r t ro bus t f a c t o ria l f a c t o ria l f a c t o ria l E rro r c ro nba c h C o m po s it e V a ria nc e
e rro r
c ha rge d s qua re mean > a 0 .7 R e lia bilit y Inde x e xt ra c t e d inde x
TI01 1.000 0.768 0.590 0.410

TI02 24.345 0.774 0.599 0.401
TI03 19.120 0.835 0.697 0.303
TI04 17.058 0.823 0.677 0.323
Informa ti on
TI05 15.005 0.823 0.677 0.323
Techonol ogy a nd 0.814 0.337 0.958 0.952 0.929
TI06 17.680 0.826 0.682 0.318
Comuni ca ti on
(F1) TI07 15.568 0.796 0.634 0.366
TI08 17.980 0.840 0.706 0.294
TI09 17.220 0.841 0.707 0.293
TI10 16.576 0.813 0.661 0.339
Σ 8.139 6.631 3.369
CS01 1.000 0.696 0.484 0.516
CS02 10.146 0.701 0.491 0.509
CS03 10.141 0.710 0.504 0.496
CS04 8.201 0.693 0.480 0.520
CS05 7.435 0.691 0.477 0.523
CS06 9.891 0.693 0.480 0.520
CS07 10.770 0.710 0.504 0.496
CS08 10.386 0.717 0.514 0.486
Suppl y Cha i n CS09 8.515 0.711 0.506 0.494
0.707 0.500 0.949 0.947 0.900
Ma na gement CS10 9.955 0.721 0.520 0.480
(F2) CS11 10.604 0.696 0.484 0.516
CS14 8.502 0.693 0.480 0.520
CS15 11.663 0.752 0.566 0.434
CS16 10.138 0.719 0.517 0.483
CS17 11.145 0.720 0.518 0.482
CS18 7.394 0.697 0.486 0.514
CS19 9.687 0.707 0.500 0.500
CS20 8.610 0.698 0.487 0.513
Σ 12.725 9.000 9.000
RO04 1.000 0.666 0.444 0.556
RO05 8.239 0.629 0.396 0.604
RO06 7.599 0.638 0.407 0.593
RO07 8.640 0.741 0.549 0.451
RO08 8.578 0.769 0.591 0.721 0.409 0.478 0.903 0.907 0.837
Performa nce (F3)
RO09 8.531 0.776 0.602 0.398
RO10 7.727 0.746 0.557 0.443
RO11 7.883 0.750 0.563 0.438
RO12 6.948 0.771 0.594 0.406
Σ 6.486 4.702 4.298
S-BX2 (df = 625) = 1293.7869; p < 0.0000; NFI = 0.919; NNFI = 0.953; CFI = 0.956; RMSEA = 0.078
a
= Parameters for the value in the identification process.
*** = p < 0.001
Table No.1 shows that the values of the IFC in each indicator of the main factors (F1: ICT
from TI01 to TI10, GCS from CS01 to CS20 and RO01 to RO18 from RO), exceeds the
recommended level of 0.7 in the analysis of the factor loading of each indicator, which shows clear
evidence of the reliability of the constructs (Nunnally and Bernstein, 1994; Hair et al., 1995) and
thus allows to present a model adjusted to obtain the following data: (S -BX2 = 1293.7869, df =
625, p = 0.0000; NFI = 0.919, NNFI = 0.953, CFI = 0.956, RMSEA = 0.078 and). All indicators
390
related factors are significant (p <0.05), the size of all the factor loadings are greater than 0.6
(Bagozzi & Yi, 1988) and the index of the extracted variance (IVE) of each pair of constructs is
higher 0.5 recommended by Fornell and Larcker (1981).
Table 2 shows the results obtained that describe the discriminant validity across two test are
shown. First, the range of 95% confidence, none of the individual elements of the factors contains
the value 1.0 (Anderson and Gerbing, 1988). Second, the extracted variance between each pair of
constructs of the model is superior to its corresponding IVE (Fornell and Larcker, 1981).
Therefore, we can conclude that this research sample based on statistical analysis of their results
sufficient reliability and convergent evidence besides discriminant validity.
Table-2. Measurement discriminant validity of the theoretical model.

Information Technology and
Variables Supply Chain Management Performance
Comunication
Information (0.262)2 (0.243)2

Technology and 0.929
Comunication 0.069 0.810
0.262 0.049 (0.235)2

Supply Chain
0.900
Management
0.164 0.360 0.035
0.243 0.053 0.188 0.045

Performance 0.837
0.137 0.349 0.098 0.278
The diagonal represents the variance extracted index (EVI), while above the diagonal part of the variance (correlation
box) is shown. Below the diagonal, the estimate of the correlation of the factors with a confidence interval of 95% is
presented.
One SEM was performed to check the structure of the conceptual model and contrast
hypotheses, using the blocks contained in the evaluation instrument which are described as
follows: First block consisting of variables that measure the Information Technology and
Communication the second block with variables measuring the Supply Chain Management and
the last block, this is composed of the variables related to the performance of the company.
Table-3. Results of SEM Conceptual Model of Information Technology and Communication, Management and Supply
Chain Performance.
Standardized
Hypothesis Structural Relation t Robust FIT's Size
coefficient
H1: A greater integration and S-BX2 =
influence of information technology 1342.6722;
and communication, greater ITC's Supply Chain Management 0.477*** 17.5918 df = 621;
management of supply chain in p = 0.0000;
manufacturing SMEs NFI = 0.919;
H2: The higher management of the NNFI = 0.951;
supply chain, improved performance Supply Chain Management Performance 0.402*** 4.2373 CFI = 0.955;
in manufacturing SMEs. RMSEA =0.078
391
The nomological validity of the model was tested by performing the Chi square test, in which
the theoretical model was compared with the measurement model (Anderson and Gerbing, 1988;
Hatcher, 1994).
The assumptions made in the present investigation show in the table 3 favorable results that
reveal results that are described below: Regarding the first hypothesis H1, the results presented
in Table 3 (β = 0.477, p <0.001), indicating that ICTs have a positive influence on the supply
chain management in manufacturing SMEs. And regarding the second hypothesis H2 results (β =
0.402, p <0.001), indicating that the management of the supply chain has an important influence
in increasing the performance of manufacturing SMEs.
5. CONCLUSIONS
For the SME manufacturing in Aguascalientes (Mexico), better management of the supply
chain will have better results provided that the adoption of ICT is efficient and appropriate to the
specific needs of each organization, in this sense, it is important to note that impact between the
elements in this implementation is the exchange of information with suppliers, quickly and
efficiently perform applications provider, have better management and inventory control, control
of working hours and control all indicators related to production processes. Also, the
implementation of ICT allows the SME manufacturing have good results to have better control of
human resources, records management specific information with customers, management related
to control product quality indicators and any agreement which is carried out with the supplier.
Furthermore, the efficiency of the Supply Chain Management (SCM) can be improved if
employers focus on the immediate needs as well as forecasts of deliveries to customers, constantly
analyzing response times to meet any demand market, have a better level of confidence with the
support of the integration of systems of continuous improvement, provide supplies according to
the technique just in time and establish agreements and appropriate relationships with
proveeduría order to minimize delays in supply. It is also important to consider in the
management control of the business aspects of improvement in SCM improving communication
in all directions, ie suppliers, auxiliary supports (Outsourcing), customers and internal areas of the
company through sharing information to facilitate the work of each integrator of supply chain,
report on all clients on agreements and modifications required to make the supply channel when a
point for improvement is identified and have improvement teams where all stakeholders
participate in the SCM are involved.
Finally, it is important to note that currently, companies gradually with the conviction
managers have integrated various technology options for information and communication in
order to improve and streamline the operational and administrative activities in their
organizations to their time, managing the supply chain, can have a major impact on growth
performance in manufacturing SMEs, which means that employers need to consider in the first
392
instance once identified the needs of their companies to adapt ICT to be require in order to be
functional to the management and control of information.
5.1. Discussion, Limitations and Future Lines of Research

Regarding the vision that entrepreneurs on increasing profitability in their companies, it is
important to note that for this to be possible, it is necessary to increase steadily in the quality
management of products, improve deliveries inputs of both raw materials and finished product,
the equipment is always available without maintenance problems that standard settings optimal
production time, which are removed to maximize the "bottlenecks" or delays processes and the
flexibility of the equipment according to the market needs.
Also, it is important to know the nature of the distribution channel for the SCM is reliable,
adapted to the management of resources and materials attached to the system just in time, where
the entrepreneur strategy requires combining the vision of a business must be profitable
financially and for this they should be administered as managing and material resources with
professionalism, based on market needs and capabilities of the warehouse for inventory
management which does not allow operating costs affect so important to the profitability of the
company. Although the SCM and operability analysis is complex, it is also a reality that managers
and direct traders, always take the challenge to streamline the management of material resources
taking into account among other objectives, profitability and organizational development are
priority for managers and those involved in the growth of organizations.
The results obtained in this study show that the relationship between the main factors (ICT
SCM and Performance), have a strong influence which implies that entrepreneurs and owners of
manufacturing SMEs should focus their efforts on establishing strategies which develop the skills
in the management and optimization of ICT especially in control of everything that is related to
the supply as well as the management of information between the parties involved and it is
necessary to dig deeper on how best to optimize the management in the supply chain.
This study contributes to the existing literature, as it coincides with the results obtained in
the present study regarding the influence of the technologies of information and communication
as well as the supply chain management performance of manufacturing SMEs. This study uses
new estimation methodology, using a structural equation model to relate factors. This study
originates new formula through the design of a theoretical model obtained from three different
authors.
This study is one of the few studies, which have investigated because each factor has been studied
in a particular way or otherwise, related to issues of production and quality systems. The paper
contributes the first logical analysis, mainly on providing managers analysis that can influence
the decision making process regarding the provision of materials and information management
with agents related to the supply chain. The paper’s primary contribution is finding that
managers require greater care in handling information related to the provision and identify the
393
key elements that are efficient in managing the supply chain, especially the right time and proper
handling of supplies. This study documents an adequate theoretical analysis can establish both
statistical analysis based on the information provided by managers to be empowered to provide
options and strategies for improving operational activity and supply in manufacturing SMEs.
As limitations of this research it is emphasized that only worked with the built in blocks of
Information Technology and Communication with Supply Chain Management and Performance
in order to analyze their effects variables SME companies in the manufacturing sector. As future
lines of research aims in the short term as well as expanding the sample, analyzing the impact of
these related to the need for improvements in manufacturing SMEs blocks, and thus to offer the
employer of this important sector, proposals to allow them make decisions with greater empirical
support for that so they can get their organizations more performance and better development.
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2014 Vol. 1, No.12, pp. 382-396

THE INFLUENCE OF INFORMATION TECHNOLOGY AND

2.2. Management of the Supply Chain and SME Manufacturing Performance

3.1. Development of Measures

Chart-No.1. Theorical Model

Graphic-No.2. Relationship of theoretical model for the analysis of structural equation

Table-1. Internal consistency and convergent validity of the theoretical model

TI01 1.000 0.768 0.590 0.410

Table-2. Measurement discriminant validity of the theoretical model.

Information (0.262)2 (0.243)2

0.262 0.049 (0.235)2

0.243 0.053 0.188 0.045

5.1. Discussion, Limitations and Future Lines of Research

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