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management that stress more on the issue of quick response, service response, and integrated logistic Recent emerging interest is based upon current business environment
which becoming globalize and highly competitive Chan and Qi 2003,Tonya Boone Ram Ganeshan 2002 p. 6, Wisner, Tan Leong 2012 p.12.
Participant of supply chain started from a simple supply chain of supplier and customer to more extended form that reminiscent of current local and global supply chain
component portray in figure 2 Scott et. al., 2011. Hugo 2011 also described in his paperback that services provider can also be refer to the whole other categories of
companies or organization that serve up the required services to other companies in the supply chains eg. transport, finance, forwarding,
Warehousing.
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FIGURE 1 : Port supply chain activities as integral part of supply chain : Supply Chain Flow Material, Information and Financial , International seaport related parties in supply chain, Port activities, and Regulatory pressure adapted from academic reading references .
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. FIGURE 2: Supply Chain Structure Participants-Scott et. al., 2011
1.3 Problem Statement
Recent studies-Highlighted SCM research in variety of demension e.g foods, logistic, Green , security, and port enviroment , which focusing several elements of
practices e.g. leaderschip, planning, technology,Communication ,partnership, adaptation and SCS outcome e.g. firmorganizational Performance, security
effectiveness.Grainger 2007 Whipple et. al. 2009, Autry Borbbit 2008, Voss et. al 2009. Yang 2010, Lee 2008 Martens et al. 2011Bichou and Gray 2004Salhieh
2011. Effect of institutional external preasure on organizational performance have been study in variety of field for example marketing, information technology, public
organization , supply chain and others Brignall and Modell , 2000,Luo et. al 2008Al- Busaidy and El-Haddadeh 2011Cai et al 2010Richey et al 2009Srinivisan et al
2011Zhang and Dhaliwal 2009Zhang and Dhaliwal 2009Liu et al 2010Yainuathet et al 2008. According to Pallis et. al. 2011 the research field on the role of port in
transport and supply chain figure 3
explained the previous scholar approach that widely left some important challenges it this study that potentially can be followed by future
researcher.. Firstly, a very strong focus on container flows has been developed without acknowledging the diverging logistics requirements such as commodity-wise approach of
cargo flows and strategies to fulfil the logistics needs would be a step forward. Secondly, the literature on ports and SC is mainly descriptive.
Surprisingly, limited findings about the moderating effect of external institutional factor on the relationships between SCM leadership practices and organizational performance.
A thorough review of green SC, manufacturing, automotive, textile and security supply chain management literature reveals that effect of Supply Chain Management practices
on performance of the organization is not consistent when regulatory pressure as institutional factors are present in organization Autry Borbbit 2008, Zhu Sarkis
2007,Wu et al 2012, Wong and Bong-itt 2008, Vijayasarathy 2010, Bello et al. 2003. . Findings of previous study not consistent and result remain inconclusive. This situation
encourages the researcher to further examine this gap. Thus, it motivates the researcher to
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fill in the gap of the related literature by exploring the moderating effect of regulatory practice in the relationship between leadership practices and organizational performance
in port supply chain activities. Furthermore, Storey et al. 2006 argue that operational apporach have dominated the attention in SCM research leaving tha organizational
behaviour demension little acknowledgement in SCM study. In Malayisa , supply chain management research is shown upward trend that includes operational research approach
Mustafa and Potter, 2009 and organizational approach Abu Bakar et. al. ,2009, Sukati et al, 2011, Khang et. al. 2010, Sundram et. al., 2011.
Figure 3: Studies on ports in transport and supply chains: widely used approaches
Pallis et. al. 2011
1.4 Context of the study Movement of cargo as the integral part of port supply chain in Port Klang, Malaysia
After 911security threat, global supply chain security requirement has been introduced in Port Klang namely; 1 to streamline customs process e.g. Authorized Economic
Operator AEO, 2 dedicate effort by border agency in respond to the current threat e.g. Container Security Initiative CSI, 3 international standard security program e.g.
WCO SAFE Framework of standard, and 4 private entity security program e.g. Business Alliance for Security Commerce BASCBanomyong, 2005. This risk
management based regulation approach is to leverage knowledge, experience, and practice in order to achieve regulatory objective. A research by Bennear 2007 suggest
that management based regulation lead business to make risk related behavioural changes that align with regulatory intention. Ensuring unobstructed legitimate flow of goods is a
common and collective benefit between business and regulatory agency in supply chain
