The Effect of Supply Chain Management Practices on Financial Performance via Analytic Hierarchy Process

Over the past two decades, more managers have realized the strategic importance of supply chain management (SCM) and recognized the distinctive competitive advantages that a wellmanaged supply chain (SC) can bring to the organization. Then it is not surprising that SCM has attracted substantial investments across various industries. Accordingly, managers are requested not just to know whether SCM is able to make positive contributions to the firmlevel financial performance, but also to direct their SC investments for enhancing competitive advantages and optimizing financial outcomes. Therefore, managers are obliged to demonstrate the positive financial contributions of SCM and justify the relevant expenses (Shi & Yu, 2013).