Supply chain management and municipal service quality: The mediating influence of innovation

Abstract

Orientation: South African municipalities rely heavily on effective supply chains for public service delivery, making it vital to adopt models that foster innovation. Understanding innovation helps municipalities to make informed decisions to improve service quality.
Research purpose: This study examined the impact of Supply Chain Management (SCM) practices on service delivery quality in selected South African municipalities, focusing on the mediating role of innovation.
Motivation for the study: Persistent service delivery challenges highlight the need to explore the combined potential of SCM and innovation as strategic interventions. This study investigates whether their integration can offer a sustainable solution.
Research design, approach and method: A quantitative, cross-sectional survey was conducted among 315 SCM professionals drawn from municipalities in Gauteng and North West provinces. Partial least squares structural equation modelling was used to test the proposed hypotheses.
Main findings: The SCM practices, specifically strategic supplier partnerships, internal lean practices, and information sharing, significantly drive municipal innovation. Innovation, in turn, strongly enhances service delivery quality. The mediating role of innovation was confirmed through lean practices.
Practical/managerial implications: The study encourages municipalities to align SCM initiatives with strategic goals and strengthen innovation capacity to improve service performance.
Contribution/value-add: The findings underscore the importance of SCM and innovation in advancing municipal service delivery and support evidence-based policy and practice improvements.