Search results

This study aims to examine decision factors for global sourcing, differentiated into transcontinental and continental sourcing to obtain insight into locational aspects of sourcing decisions and global trends. This study analyzed various country perceptions to reveal their influence on sourcing decisions. The country of origin (COO) theory explains why certain country perceptions and images influence purchasing experts in their selection of suppliers.

This study used a two-study approach. In Study 1, the authors conducted discrete choice card experiments with 71 purchasing experts located in Europe and the USA to examine the importance of essential decision factors for global sourcing. Given the clear evidence that location is a factor in sourcing decisions, in Study 2 the authors investigated purchasers’ perceptions and images of countries, adding country ranking experiments on various perceived characteristics such as quality, price and technology.

Study 1 provides evidence that the purchasers’ personal relationship with the supplier plays a decisive role in the supplier selection process. While product quality and location impact sourcing decisions, the attraction of the buying company and cultural barriers are less significant. Interestingly, however, these factors seem as important as price to respondents. This implies that a strong relationship with suppliers and good quality products are essential aspects of a reliable and robust supply chain in the post-COVID-19 era. Examining the locational aspect in detail, Study 2 linked the choice card experiments with country ranking experiments. In this study, the authors found that purchasing experts consider that transcontinental countries such as Japan and China offer significant advantages in terms of price and technology. China has enhanced its quality, which is recognizable in the country ranking experiments. Therefore, decisions on global sourcing are not just based on such high-impact factors as price and availability; country perceptions are also influential. Additionally, the significance of the locational aspect could be linked to certain country images of transcontinental suppliers, as the COO theory describes.

The new approach divides global sourcing into transcontinental and European sourcing to evaluate special decision factors and link these factors to the locational aspect of sourcing decisions. To deepen the clear evidence for the locational aspect and investigate the possible influence of country perceptions, the authors applied the COO theory. This approach enabled authors to show the strong influence of country perception on purchasing departments, which is represented by the locational effect. Hence, the success of transcontinental countries relies not only on factors such as their availability but also on the purchasers’ positive perceptions of these countries in terms of technology and price.

Despite its significance, research on how attribute framing affects ordering decisions in dual sourcing remains insufficient. Hence, this study investigated the effects of attribute framing in a sourcing task involving certain and uncertain qualities of two suppliers and analysed the role of attention with respect to suppliers' information in framing effects.

The impacts of attribute framing on sourcing decisions were demonstrated in two online between-subject (2 × 2 factorial) experimental studies involving professional samples. Study 2 was an eye-tracking experiment.

In Study 1 (N = 251), participants presented with a “high-quality” rather than a “low-quality” frame made different sourcing decisions, opting for larger percentage of order(s) from a supplier under the “high-quality” frame. This pattern holds true for suppliers who differ in risk. This finding was replicated in Study 2 (N = 129). Attention asymmetry related to the information on supplier quality contributes to this effect. Attention directed towards information regarding the supplier's quality under a positive frame mediated the relationship between attribute framing and sourcing decisions.

Highlighting the positive attributes of a risky supplier is essential when ordering from the risky supplier is an optimal decision. It is advantageous for suppliers to highlight positive rather than negative attributes when describing the quality of their components against others.

This is the first study to examine the effect of attention on the relationship between attribute framing and dual sourcing. This presents a new behavioural perspective wherein managers' attention to information plays a vital role.

The purpose of this paper is to enhance decision-making process for the procurement of facilities management (FM) services within aviation corporate organisation, where the FM services functions to support the business operation. It builds on considering the fundamental elements comprising the FM procurement process from the aviation perspective.

The paper investigates the characteristics of the different types of sourcing approaches and the underpinning factors affecting its selection for the procurement of FM services within the aviation industry. The decision-making framework for the procurement of FM services is developed based on the qualitative case study by interview and focus group discussion with the custodian department that is directly involved in the procurement of FM services.

The degree of outsourcing is increasing due to corporate organisation’s persona. Procurement of FM services is a complex process required detailed review, efforts and time in choosing the right sourcing approach. Off the shelf guidelines for the procurement of FM services suits property professional which directly involved with the procurement of FM services. However, decision-making process for the procurement of FM services specifically for aeronautical and non-aeronautical corporate organisation are rarely found. The case study findings signify that the respondents are familiar with the in-sourcing, outsourcing and right sourcing approaches. The underpinning factors affecting sourcing approaches were categorised according to the main reasons for the procurement of FM services, considerable factors during the procurement stage and value-adding criteria. The use of strategic management tools is not widely imposed, and intelligent client guideline is not available. Hence, the decision-making framework has been developed to fill the gap in this study.

The research is based on a study of aviation or airline corporate organisation, which limits the possibility of holistic view to the FM industry as a whole but highlights the research gap of FM procurement which is scarce within the case study of airline companies. The focus area is also bounded within the procurement of FM services designated for the office buildings.

The paper provides initial guideline for the airline company in sourcing the procurement of FM services that were developed based on established guidelines from accrediting bodies and scholars, as well as from the sampling feedback analysis. It is also among the firsts that examine the procurement of FM services in the context of aviation or airline industry. The outcome of this paper is a decision-making framework for the procurement of FM services that is specially designed for the airlines corporate organisations, which fills the gap that exists in the industry.

Sourcing decisions are one of the most crucial strategic decisions in companies and often confronted with inherent unexpected uncertainties and risks. This study aims to investigate the impact of ownership involvement on purchasing (PUR) supplier selection activities, including risk consideration in family firms (FFs).

The investigation is based on a structured literature review (SLR) of 83 studies to identify FF-specific supplier sourcing characteristics. To verify these propositions, the authors conducted a second SLR of non-FF behaviour research (179 papers) to generate a non-FF reference base for the respective behavioural characteristics. Following this analysis, the authors conducted 16 qualitative and explorative-oriented expert interviews (EIs).

Based on reviews, the authors deduce that PUR activities of family and non-FFs are different regarding the PUR decision processes and PUR risk behaviour, and that suppliers' selection criteria like sustainability, partnership and long-term orientation are prioritised in FFs. Additionally, several trends of family and non-FF behaviour approximation were identified. Besides these findings, it might be expected that the differentiating characteristics of family and non-FFs vary based on their region or industry sector. The EIs indicated that “the depth of added values” should be considered as a further potential differentiating influence factor.

The analysis encourages to execute further quantitative studies on FF sourcing activities and requests managers to strengthen the position of the PUR departments in FFs.

The authors study how cloud adoption decision making unfolds in organizations and present the dynamic process leading to a decision to adopt or reject cloud computing. The authors thus complement earlier literature on factors that influence cloud adoption.

The authors adopt an interpretive epistemology to understand the process of cloud adoption decision making. Following an empirical investigation drawing on interviews with senior managers who led the cloud adoption decision making in organizations from across Europe. The authors outline a framework that shows how cloud adoptions follow multiple cycles in three broad phases.

The study findings demonstrate that cloud adoption decision making is a recursive process of learning about cloud through three broad phases: building perception about cloud possibilities, contextualizing cloud possibilities in terms of current computing resources and exposing the cloud proposition to others involved in making the decision. Building on these findings, the authors construct a framework of this process which can inform practitioners in making decisions on cloud adoption.

This work contributes to authors understanding of how cloud adoption decisions unfold and provides a framework for cloud adoption decisions that has theoretical and practical value. The study further demonstrates the role of the decision-leader, typically the CIO, in this process and identifies how other internal and external stakeholders are involved. It sheds light on the relevance of the phases of the cloud adoption decision-making process to different cloud adoption factors identified in the extant literature.

The purpose of this article is to discuss how the mastery of resilience in operations and supply chains plays a significant role in the transition to a more sustainable future. Furthermore, it is supposed to propose avenues for future research on operational and supply chain resilience, interacting with the sustainability literature in our field.

A conceptual review of resilience and sustainability themes within operations and supply chain management research is conducted. Reflections on the topic are informed by relevant literature published over the last decade.

The major conceptual contributions are threefold: (1) This article elaborates on the understanding of operational resilience and supply chain resilience concepts and reviews their respective primary research streams. (2) It proposes resilience as the missing element in the pursuit of excellence in organizations that want to contribute to a more sustainable future. (3) The article offers a research framework that provides a future research agenda at the intersection of resilience and sustainability in operations and supply chain management research.

The article highlights gaps in current research and illustrates further areas of research that need to be addressed to maximize the contribution of operations and supply chain management research in supporting practitioners to achieve a more sustainable future.

Supplier codes of conduct are amongst the most widely used practices in sustainable procurement programs. While there are limitations and risks involved in using supplier codes of conduct (including the risk of greenwashing, a weak link to action and the inability of supplier to comply), there is only a modest amount of research on the topic, other than content analysis. We aim to contribute to research both lessons learned, over a two-decade period, about the implementation and use of a supplier code of conduct from a case study, as well as, to suggest further research that can support the industry and enrich insight into the effective adoption of supply codes of conduct.

Thanks to the support of our co-author from Bayer we are able to share lessons learned by the global procurement team of Bayer and use these as a basis for suggesting questions for further research. The approach of this paper centres on the adoption and implementation of the supplier code of conduct in an effort to complement existing research on supplier codes of conduct that is largely focused on code of conduct content, less on the implementation of codes of conduct. The collaboration with our co-author from Bayer enables direct access to experiences and managerial perspectives. By considering the two-decade journey towards more sustainable supply chain management at Bayer, we are able to achieve a longitudinal perspective on adoption and implementation aspects.

Bayer ensures personal and community engagement in its sustainable procurement program in order to drive action and improve decision making along the value chains. The company regularly updates its code of conduct to stay aligned with its maturity and complements the code of conduct with a continuous improvement focus, supported by both generic and industry-specific consortia. The company has not yet been able to establish direct visibility into the conduct of tier 2 and up suppliers.

This paper helps close a gap in the literature and provides input into industry efforts in one of the most widely used practices in sustainable procurement. We hope that the research questions that we developed based on the first 20+ years of Bayer’s learning journey towards sustainable procurement will inspire research that can impact industry efforts towards creating a more sustainable future.

The study aims to assess the sourcing approaches used in providing facilities management (FM) services in hotels. It further explores the factors that influence hotels' choice of sourcing approach and the challenges.

The study used a case study design. Simple random, census and purposive sampling techniques were used to select the hotels and respondents. Data were collected using interviews and analysed thematically. The data were presented in narration and direct quotes from the respondents. The critical factors influencing outsourcing decisions were ranked using the relative importance index. This study is based on a single case. Therefore, further research should be conducted to expand the scope of study nationwide as a step toward making the results more robust.

Both in-house and outsourcing sourcing approaches were used to provide FM services. In-house FM services mainly focused on cleaning, security and aspects of maintenance. Internet and information technology related services and other maintenance activities were also outsourced. Outsourcing decisions in the various hotel categories were mostly guided by the cost of outsourcing, core business, lack of in-house skills and hotel size.

FM strategy can be developed to guide the management of FM activities in hotels. An approach that adds value and enhances the activities of hotels and provides convenience to customers must be adopted by hotels. Further studies should be conducted on the cost implications of the two main sourcing approaches, as well as the impact of sourcing approaches on customer satisfaction. An additional study should focus on the driving factors influencing the cost and quality of outsourced FM services in hotels. This will help provide comprehensive information on effective FM sourcing approaches and the operations of hotels.

The study focused on the sourcing approaches used by hotels to provide FM services. It also explored the influencing factors and challenges of FM practices in hotels.

A key challenge for exporters and international marketing/purchasing managers is formulating strategic responses to deal with geopolitical disruptions during a trade war between superpowers. While past studies provide insightful analysis of the influence of changes in the institutional environment (regulatory pressures) on national and firm-level trade activities, they tend to ignore the association between inward (sourcing) or outward (export) international activities of firms during a trade war. In this study, we aim to explore various strategic options employed by third-party SME exporters in response to geopolitical disruptions, institutional pressures and constraints during a trade war.

We adopted a qualitative methodology and applied a hermeneutical approach in collecting, analysing and theorising interview findings. We conducted interviews with 15 owners or senior managers from 12 Australian and New Zealand exporters that exported or sourced significantly from at least one party of the trade war, the USA or China, between 2018 and 2020.

Our study developed a typology of fencing vs. balancing for explaining third-party SME exporters’ response strategies in terms of export market and international sourcing locations during a trade war. Fencing strategy centres on location choice decisions based on a fence or a secure buffer zone. Balancing strategy focuses on leveraging opportunities outside the conflict zone, i.e. third-party countries. Our study finds that exporters’ location choice decisions are influenced by a number of institutional factors during the trade war.

Firstly, our study examined only the early phase of the trade war under the “Trump” era. Future research may consider a longitudinal study design that examines exporters’ responses to global political uncertainty over a longer term. Secondly, we chose Australia and New Zealand as the focal context of this study. Future research could investigate exporters from other third-party countries that have different institutional conditions during the US-China trade war.

Firstly, an exporting firm should monitor and assess closely the wider changes in international relations between their home country’s major security partner and major trading partner, and the impact of these changes on the political risks of operating in international locations. Secondly, as the trade war intensifies, the fencing option needs to be given a greater weight than the balancing option in the strategic decision making of an exporter from a third-party country. Lastly, we encourage marketers and managers to reflect on and differentiate short-term and long-term benefits in strategic market-sourcing location decisions.

Our study makes a pioneering effort to theorise the linkages between institutional factors and the combined evaluation of export market selection and sourcing location selection choices under global political uncertainty based on the institution-based view. We present a conceptual framework highlighting the importance of institutional avoidance, embeddedness, comparative institutional advantages and multiple institutional logics for SME exporters’ international location selections during the trade war. Furthermore, we combine these institutional factors into two overarching constructs namely institutional buffer and institutional pluralism.

This study aims to identify and prioritize the key practices and strategies for effective global sourcing and supply chain management (SCM).

The study uses a combination of Pareto analysis and multi-objective optimization based on ratio analysis research methodology to analyze and establish the relationships among the identified key practices and strategies. Pareto analysis enables organization to prioritize organizational efforts and resources by focusing on the most critical factors.

The study shows that the “eco-friendly sourcing strategy”, “lean manufacturing” and “tool cost analysis” are the top critical practices and strategy variables for global sourcing and SCM, whereas the “risk management”, “procurement strategy” and “leverage digital solutions” are the critical practices and strategy variables.

The findings of this research can also assist organizations in making informed decisions to optimize their global sourcing and supply chain operations.

By using these methods, this research paper gives valuable insights into the critical practices and strategies that can enhance efficiency, mitigate risks and drive success in global sourcing and SCM. The subjects and elements this study identified will serve as a framework and suggestions for further theoretical investigation and real-world implementations.