Research paper Supply chain maturity and performance in Brazil Kevin McCormack North Carolina State University, Fuquay Varina, North Carolina, USA Marcelo Bronzo Ladeira CEPEAD/UFMG – NIPE-LOG/UFMG, Rua Curitiba, Centro, Belo Horizonte/MG, Brazil, and Marcos Paulo Valadares de Oliveira CEPEAD/UFMG, Rua Oliveira, Cruzeiro, Belo Horizonte/MG, Brazil Abstract Purpose – The purpose of the paper is to investigate the relationship between supply chain maturity and performance, with specific references both to the business process orientation maturity model and to the supply chain operation reference model. Design/methodology/approach – Quantitative, survey based research was carried out with 478 Brazilian companies. Statistical analysis combined the use of descriptive statistics and structural equation modeling. Findings – Empirical results indicate a strong and positive statistical relationship between supply chain maturity and performance. The results also suggest that the deliver process maturity has a higher impact on overall performance than the other supply chain processes. Research limitations/implications – Quantifying supply chain maturity and performance is an opportunity for a company to align its performance measurements and process improvement actions with its broader policies and strategies. The use of this approach has been validated in several previous research studies in organizational self-assessment and business management. Practical implications – Maturity models are valuable frameworks for corporate leadership. This study provides solid statistical evidence that a company that has achieved a higher maturity level and implemented the maturity factors also has achieved superior performance. It also validates the application of these specific maturity factors in South America, specifically Brazil. Originality/value – This paper confirms and expands upon earlier research suggesting higher levels of process maturity were related to superior performance. This paper also examines the evolution of performance measurement systems, moving from a traditional approach to a more process oriented perspective by reporting on the origins of maturity models and presenting the main empirical contributions through the use of the business process maturity model and supply chain operation reference model. Keywords Supply chain management, Performance management, Brazil Paper type Research paper Introduction In order to meet the performance levels demanded by today’s customers in terms of quantitative and qualitative flexibility of service in demand fulfillment, delivery consistency and reduction of lead times related to fulfilling orders, firms have developed repertoires of abilities and knowledge that are used in their organizational process (Day, 1994; Lockamy and McCormack, 2004). In the past two decades, supply chain (including logistical) processes have evolved because of these new demands from a departmental perspective, extremely functional and vertical, to an organic arrangement of integrated horizontal processes, oriented to providing value to intermediate and final customers (Mentzer et al., 2001). This new pattern of supply chain process management has focused on the development and application of different maturity models and performance metrics useful in helping define a strategy and face trade-offs as well as identifying items that are critical to improvement of supply chain processes. In recent years, a growing amount of research, much of which is anecdotal, has been dedicated to investigating maturity model development and performance measurements for the strategic management of supply chain processes (Chan and Qi, 2003; Gunasekaran et al., 2001; Coyle et al., 2003). The concept of process maturity, including supply chain processes, derives from the understanding that processes have life cycles or developmental stages that can be clearly defined, managed, measured and controlled throughout time. Higher levels of maturity in any business process result in: . better control of results; . improved forecasting of goals, costs and performance; . greater effectiveness in reaching defined goals; and The current issue and full text archive of this journal is available at www.emeraldinsight.com/1359-8546.htm Supply Chain Management: An International Journal 13/4 (2008) 272–282 q Emerald Group Publishing Limited [ISSN 1359-8546] [DOI 10.1108/13598540810882161] 272