Intra-industry strategic alliances for managing sustainability-related supplier risks: Motivation and outcome
International Journal of Physical Distribution & Logistics Management
ISSN: 0960-0035
Article publication date: 5 June 2017
Abstract
Purpose
The purpose of this paper is to explore how intra-industry strategic alliances (SAs) seek to assess supplier risk related to sustainability, what motivation drives single members to form or join such an SA, and how such a joint endeavor affects supplier risk management.
Design/methodology/approach
An embedded single case study with multiple units of analysis was conducted. The main data were collected through semi-structured interviews with key respondents from seven leading chemical companies, three of which were founding members of the SA, while four were new members.
Findings
This paper shows that forming/joining an SA concerning sustainability-related supplier risk assessment, results in the reduction of task uncertainty and equivocality as well as the increase of information processing capacities. Based on the implemented sharing routines, a higher overall efficiency can be achieved. Moreover, the members benefit from an enhanced identification of varying stakeholder expectations, a facilitated capability building and a more comprehensive supplier risk assessment. In particular, the joint endeavors result in assessment processes of higher robustness, which provide outcomes of higher quality.
Originality/value
This paper is the first to investigate companies’ efforts toward improving their supplier risk management in the area of sustainability by establishing/joining an intra-industry SA. By providing insights into the motivation to form or join such a collaborative platform and illustrating the effects that arise from the SA’s work from an organizational information processing perspective, it provides a contribution to both academics and managerial practice.
Keywords
Citation
Canzaniello, A., Hartmann, E. and Fifka, M.S. (2017), "Intra-industry strategic alliances for managing sustainability-related supplier risks: Motivation and outcome", International Journal of Physical Distribution & Logistics Management, Vol. 47 No. 5, pp. 387-409. https://doi.org/10.1108/IJPDLM-01-2016-0034
Publisher
:Emerald Publishing Limited
Copyright © 2017, Emerald Publishing Limited