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Exploring the connection between supply network structure and financial performance: an empirical approach
Penina Orenstein

Last modified: 2020-06-17

Abstract


Supply chain networks are incredibly complex and proprietary, yet the structure of a company’s supply chain may contribute to its performance.  This research draws on the field of network science to explore the evolution, structure and topology of supply networks.  By harnessing the power of financial data with network visualization software, we are able (a) to create visual maps of key supply chains and (b) identify key structural parameters, which explains their evolution.

The purpose of this study is to examine the connection between supply network structural metrics and key financial performance metrics to determine if there are any factors in the supply network’s structure that drive financial performance. The study is unique in that it explores the evolution of a supply chain using a data-driven approach. The data is sourced from FACTSET, which, when coupled with network visualization software, enables a highly innovative perspective of the supply chain network to emerge.

 


Keywords


decision sciences