Supply Chain Management and Firm Performance in Saudi Arabia: A Conceptual Model Based on Dynamic Capabilities

Abstract

This conceptual paper explores the role of supply chain management (SCM) in enhancing the performance of manufacturing firms in Saudi Arabia through the lens of the Dynamic Capability View (DCV). While traditional SCM practices have been widely acknowledged for improving operational efficiency, their strategic impact remains underexplored, particularly in dynamic and emerging economies. Drawing from recent literature, this study identifies core SCM practices both operational (e.g., logistics, procurement) and strategic (e.g., supplier collaboration, digital integration) and examines how these contribute to firm-level outcomes such as agility, efficiency, and profitability. The present study’s framework is contextually grounded in Saudi Arabia’s Vision 2030, which emphasizes industrial transformation, technological adoption, and economic diversification. By synthesizing SCM and DCV perspectives, the paper contributes to theoretical advancement in supply chain strategy and provides a foundation for future empirical testing. Practical implications are also discussed, offering guidance for manufacturing leaders aiming to build resilient and high-performing supply chains. The study highlights the necessity of dynamic capabilities in translating supply chain investments into sustainable competitive advantage in rapidly evolving industrial contexts.