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The purpose of this paper is to examine the automotive product recall risk in terms of social sustainability performance and to evaluate the role of buyer‒supplier relationships in improving social sustainability during product recall crises.

A multi-methodology approach is used to empirically analyse the interrelationship between the proposed constructs and enablers of the buyer‒supplier relationship. Structural equation modelling and interpretive structural modelling are followed to analyse the data gathered thorough a questionnaire survey of 204 executives and interviews with 15 managers from the automotive industry.

The results of the study provide evidence regarding the impact of the responsible buyer‒supplier relationship on customer recall concerns and the social sustainability performance of supply chains (SCs). This study also leads to the development of a conceptual model, providing a relationship between the three key concepts used in this study.

Following social sustainability principles, this study addresses the importance of developing strong, responsible relational ties with suppliers to reduce vehicle recalls or successfully recover from a product recall crisis.

This study contributes to the literature by providing theoretical and empirical insights for developing socially responsible SCs and confirming the role of the buyer‒supplier governance mechanism during product recalls in the context of the automotive industry.

The purpose of this paper is to formulate and test a theoretical model to explain inter-organizational cooperation behaviors among suppliers in automotive new product development (NPD) projects. This study aims to investigate the effects of cost and benefit factors on trust and inter-organizational cooperative behaviors among suppliers in automotive NPD projects from the perspective of social exchange theory (SET).

The structural equation modeling method is applied to test the proposed model, which is based on the analysis of survey data from 272 product managers of automotive part suppliers.

Knowledge sharing and coordination effort influence inter-organizational cooperation indirectly through trust. Specially, trust is negatively influenced by coordination effort but positively affected by knowledge sharing. Requirement uncertainty moderates the relationship between cost–benefit factors and trust differently. Specifically, requirement uncertainty increases the negative influence of coordination effort on trust but also strengthens the positive effect of knowledge sharing on trust.

This study provides a relatively comprehensive cost–benefit framework for further understanding the formation mechanism of inter-organizational cooperation among suppliers. It also contributes to SET by incorporating the contextual factor to explain the moderating effect of requirement uncertainty on the relationships between cost–benefit factors and trust in the context of automotive NPD projects.

To provide new roles of steel mills with desirable business strategies in the supply chain of automotive steel sheets.

The characteristics of the relationship between automakers and steel mills, which aim to provide different patterns according to regional markets, are classified into the customer‐supplier relations in the regions of North America and Japan. Extended roles of steel mills with expected responsibilities are considered in the automotive supply chain, not just raw material suppliers.

Provides new procurement programs of automakers, indicating what can be found there for new paradigm of steel suppliers and how new procurement programs can change. Emphasizes the necessity of developing more updated and functional business models of steel mills in the value chain.

Steel mills have to extend their conventional roles to downstream processing in the automotive steel supply chain, in order to maintain cooperative and interdependent relations with OEMs.

This paper fulfils extended roles of automotive steel suppliers in supply chain management and offers collaborative partnerships to steel mills and automakers.

The purpose of this paper is to present a study that evaluates the readiness level of the Turkish automotive suppliers industry (T-ASI) to provide a foundation for the successful implementation and/or sustainment of lean practices.

The paper adapts an assessment framework developed by Al-Najem et al. (2013) to conduct the evaluation of the lean readiness (LR) of the T-ASI. Thus, the LR assessment is based on six quality practices related to lean manufacturing (LM), namely: processes; planning and control; human resources; top management and leadership; customer relations; and supplier relations. One research question and three hypotheses were formulated and tested using a combination of descriptive statistics and t-test and Levene’s tests. Data were collected through a survey questionnaire responded by 48 manufacturing organisations members of the Association of Automotive Parts and Components Manufacturers (TAYSAD).

The results of the study revealed that the T-ASI has a high level of LR, especially in the areas of customer relations and top management and leadership while processes, planning and control and supplier relations still need to be enhanced. In addition, the study found that company size has no effect on the LR level of suppliers whereas supplier level and location of customers have.

As the LR level of the T-ASI is measured, this research study increases the awareness of supplier companies with respect to complementary quality practices that support the implementation and/or sustainment of LM. Thus, managers can use this study as a platform to take better decisions regarding what quality aspects of their operations need to be enhanced to successfully deploy or sustain a lean strategy.

This research is among the very few studies that have focused on evaluating how ready the T-ASI is to successfully implement or sustain lean practices. For this reason, this research expands the very limited existent body of knowledge of LM in the T-ASI.

The purpose of this paper is to identify the causal relationship between the independent variables such as process quality and product innovation in regard to the dependent variable of competitiveness, in the manufacturing sector of the automotive industry, specifically for Tier 1 auto parts manufacturing companies in the state of Nuevo León, México.

Based on a thorough review of the literature, an instrument was designed to measure the competitiveness of automotive industry manufacturing; it was applied to Tier 1 suppliers of automotive parts in the state of Nuevo León, México. Various statistical analysis tests were applied to the results; first, Cronbach's alpha to determine the reliability of the instrument, and next, a factor analysis to measure construct validity. In addition, a multiple linear regression analysis was carried out to identify the causal relationships between the variables analysed.

This study found that process quality as well as product innovation have independent and positive causal relationships with respect to competitiveness in automotive manufacturing.

The limitations of this paper are its focus on a single manufacturing sector, application in a single country and small sample size.

Companies that supply automotive parts will be able to invest in the key elements of quality and innovation while focusing their efforts on reinforcing their competitiveness.

Auto parts suppliers will be able to perform specific actions to improve their quality processes through lean manufacturing and quality assurance practices and by designing new and innovative products that will enhance their competitiveness.

In recent decades the automotive industry has established a variety of new forms of logistics integration between automobile assemblers and their suppliers, in particular those in the first tier. The purpose of this paper is to outline which form of logistics integration original equipment manufacturer (OEM) assembly plants use to link up with proximate suppliers, and to classify and compare different types of logistics supplier integration.

The data and insights for this paper come from a literature review of research and practitioner papers and studies to survey logistics integration models in theory and practice. In addition, data are collected through semi‐structured interviews and site visits.

The main findings are summarised in five conditions which characterise logistics supplier integration in the automotive industry. These conditions vary significantly between local dedicated supply as discussed in this paper and the traditional supply, which is distant and scattered around suppliers. These main conditions are “geographical proximity”, “delivery contents, volume and sequence”, “shared investment and asset specificity”, “information sharing and information technology system integration” as well as “transport system”. Although all of the five conditions were considered relevant for the description of existing integration forms, only the “geographical proximity” dimension is emerged as most suited for a formal typology. Therefore, a seven‐step integration model was developed which allows for a categorisation and comparison of existing logistics integration forms of proximate supply.

This research aims to support the academic study of cross‐company and inter‐organisational supplier integration by providing consistent criteria for cross‐site comparisons. A holistic and consistent understanding of different logistics integration types will be necessary, which will help in evaluating the actual integration forms such as supplier parks.

The majority of studies into the supplier integration phenomenon conclude that logistical concerns are the driving factor behind supplier co‐location. Therefore, the focus of this research is on the spectrum of vertical integration in logistics between the vehicle manufacturers and their suppliers.

The purpose of this paper is to discuss how the incentive from transaction cost can be beneficial due to the selection and implementation of the purchasing strategy under different scenarios in the value chain, including the automotive assembly sector and auto parts sector. Furthermore, it aims to investigate how to reach break even point between transaction cost and agency cost and to further achieve the goal of cost minimization.

This is empirical analysis of variables constructed from transaction cost theory and data obtained from two famous motor companies in Taiwan automotive industry. This study adopts the probit model and tobit regression model to test and discuss the parameters in the model to deeply realize the influence of transaction cost variables towards purchasing strategy.

The findings prove the situation of multiple sourcing in supplying auto parts and demonstrate that the dimensions in transaction cost are truly important factors to affect the purchasing strategies. In addition, the empirical results show the explanatory capabilities of variables are very significant in monopoly power, steering system, electro mechanism, and other parts systems.

The awareness on transaction cost are beneficial to partner selection of automotive companies in Taiwan. These findings also improve the quality of purchasing strategy in Taiwan automotive industry.

This study explores the variables of transaction cost influencing purchasing strategies. In addition, the knowledge on transaction cost towards purchasing strategy helps companies enhance the quality in future purchasing strategy and select their suppliers.

The purpose of this paper is to explore the impact of information technology (IT) on supply chain performance in the automotive industry. Prior studies that analyzed the impact of IT on supply chain performance report results representing the situation of the “average industry.” This research focuses on the automotive industry because of its major importance in many national economies and due to the fact that automotive supply chains do not represent the supply chain of the average industry.

A research model is proposed to examine the relationships between IT capabilities, supply chain capabilities, and supplier performance. The model divides IT capabilities into functional and data capabilities, and supply chain capabilities into internal process excellence and information sharing. Data have been collected from 343 automotive first-tier suppliers. Structural equation modeling with partial least squares is used to analyze the data.

The results suggest that functional capabilities have the greatest impact on internal process excellence, which in turn enhances supplier performance. However, frequent and adequate information sharing also contributes significantly to supplier performance. Data capabilities enable supply chain capabilities through their positive impact on functional capabilities.

The findings will help managers to understand the effect of IT implementation on company performance and to decide whether to invest in the expansion of IT capacities.

This research reports the impact of IT on supply chain performance in one of the most important industries in many industrialized countries, and it provides a new perspective on evaluating the contribution of IT on firm performance.

Recently, automotive manufacturers have sought to outsource part of their traditional territory in an attempt to gain competitive advantages by decreasing production costs and increasing the speed of the development of new products. In order to do this, the modular consortium model has been introduced as a new and revolutionary approach to outsourcing assembly in automotive manufacturing. In November 1996, VW and seven module suppliers inaugurated a new truck and bus plant in Resende, a greenfield site in Brazil, using a pioneering pure modular consortium. As a radical case of outsourcing in the supply chain, the factory has aroused great interest and become a “laboratory” for the entire automotive industry. This article provides a brief description of the factory and discusses some managerial challenges and new business opportunities which have been introduced on both sides of the partnership with the establishment of the new plant.

There is a great reliance on fiscal incentives to sustain the automotive industry competitiveness due to several structural problems, among them the inefficiency of the supply chain. This paper aims to compare the supply chain structure of traditional automotive industry with the supply chains from South Korea and China. Based on strategic decision and transaction cost theory, this comparison seeks to exploit the factors that led to the inefficiency of automotive supply chains.

The authors used a qualitative approach and applied a multi-method research. They conducted semi-structured interviews with six executives from automakers representing the selected countries, carried individual meetings during one workshop and used secondary data from several sources.

Concepts identified in the research such as reliability, supply chain governance and automaker competencies led the authors to propose that the traditional automakers have higher transaction costs when compared to the new automakers due to the horizontal structure of their supply chain. While new competitors have vertical upstream supply chains, which indicates better profitability, traditional automotive industry is horizontal, depends on fewer Tier 1 suppliers and is disconnected from Tier 2, impacting negatively in the transaction costs and supply chain management.

This study suggests that automotive executives rethink the current upstream supply chain model by identifying the competencies required for their current and future competitiveness and implementing a vertical integration of these competencies.

This research exploited the inefficiency of supply chain as one of the explanations for the low competitiveness of the national automotive industry.