INVIGORATING SUPPLY CHAIN PERFORMANCE IN SMALL MEDIUM ENTERPRISES: EXPLORING KNOWLEDGE SHARING AS MODERATOR

Purpose - This research aimed to evaluate information sharing as a moderating component and examine supply chain performance, including collaboration, capabilities, and innovation. Particularly in the SME sector, since the significance of collaboration and opportu-nity in supply chains as an SCM trigger is still underdeveloped.Research methodology - To test the hypotheses, data were collected from 179 SMEs in In-donesia, involving 537 managers and assistant managers, and analyzed using partial least square modeling.Findings - The result of cooperation with supply chain partners has led to the gradual im-provement of capabilities and innovations, such as improved processes, more efficient oper-ations, better quality, and lower costs. It has also resulted in radical innovation, including in-troducing new technologies and a change in strategy; thus, it could develop and improve the ability to innovate. Finally, the results helped managers with strategic planning and prioritizing supply chain collaboration to improve capabilities, innovation, and performance.Research limitations - generalizability is limited because of sampling constraints.Practical implications - the results helped managers design strategic planning and prioritize supply chain collaboration to improve capabilities, innovation, and performance.Originality/Value - to the extent of our knowledge, this study is the pioneer investigation into the supply chain in SMEs value-chains in an emerging country from a holistic perspective.