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This study aims to examine the effect of supplier supply network (SSN) resources on buyer–supplier collaborative product innovation. The existing relevant studies from the network perspective are focused more horizontally on the mobilization of the firm’s entire supplier network resources and less vertically on the utilization of the individual supplier's supply network resources. Therefore, this paper takes a contingency perspective, regards the buyer as the receiver of a supplier’s supply network resources and, based on the theoretical motivation–opportunity–ability framework, explores the important motivation and ability factors that may weaken or enhance the product innovation value of the network resources.

This paper develops a new research model that assesses how the innovation utilization effectiveness of SSN resources is contingent on a buyer’s perception of the SSN effects and relative absorptive capacity on the SSN. A large sample questionnaire is designed and collected from 300 Chinese high-tech manufacturing firms and their suppliers. An empirical test is carried out in which multiple regression analysis is applied to 246 valid sample data.

The results show that SSN resources can significantly enhance buyer–supplier collaborative product innovation; however, the innovation utilization effectiveness is limited by the buyer’s relative absorptive capacity for the SSN and perception of the SSN effects. Specifically, if a buyer perceives that a greater innovation effect of a supplier’s supply network is correlated with an improved relative position in the SSN or with higher network structural equivalence and network cognitive congruence between the buyer and the supplier on the SSN, then the buyer will be more motivated and capable of transforming the SSN resources into actual product innovation value.

The research results provide useful guidance for firms to effectively mobilize their SSN resources to tap into the supplier innovation value for a sustainable competitive advantage.

This paper extends the research on supplier innovation value to the SSN field. Through linking dyadic and network levels of analysis, this paper reveals the value and uniqueness of product innovation utilization of a specific supplier’s supply network resources in the buyer–supplier relationship and provides a new research perspective for future studies on related issues.

This paper aims to seek to explain the influence of power asymmetry and the moderating role of an organization’s absorptive and desorptive capacity on enhancing supply chain competence from its orientation to open innovation with its supply network.

To perform this study, the authors use data collected from 262 European firms. They apply regression analysis to test the moderating role of an organization’s absorptive and desorptive capacity on enhancing its supply chain competence from its orientation to open innovation.

The results confirm both the influence of power asymmetry and absorptive capacity on obtaining benefits that derive from an organization’s orientation to open innovation. The results do not, however, support the moderating effect of an organization’s desorptive capacity. Subsequent analyses performed in the study show that organizations that achieve complementarity among their own absorptive capacity and the capacities of its supply network manage to obtain greater benefits from its orientation to open innovation.

This paper responds to the need to study innovation in the context of a supply network and respond to calls in the literature on open innovation and supply chain management for the need to study the moderating role of absorptive and desorptive capacity.

Buyer’s dependence on its key supplier for critical resources and capabilities is generally considered as creating a disadvantageous position for the buyer and undermining its business performance. This study aims to invoke arguments from resource dependence theory (RDT) to examine if this adverse effect of buyer’s dependence is moderated by the buyer’s absorptive capacity and a long-term relationship with the key supplier.

Using a data set drawn from 204 manufacturing firms in Australia, this study tested the proposed model using hierarchical moderated regression analysis.

The finding shows that buyer’s dependence on its key supplier by itself has no significant effect on the buyer’s business performance. However, the link between buyer’s dependence on its key supplier and performance is positively moderated by the level of the buyer’s absorptive capacity, as well as by the joint effect of buyer’s absorptive capacity and a long-term relationship with the key supplier.

As buyer’s dependence is often difficult to avoid, the finding of this study is instructive in showing managers how to strategically mitigate the effect of their firm’s dependence on a key supplier; indeed, turn it into a positive outcome.

This is the first study, which integrates the internal and external resources in mitigating the effect of buyer’s dependence on the supplier.

The purpose of this paper is to evaluate the effects of supplier development programs on the short‐term performance of suppliers and the more long‐term development of their capabilities given the relational learning context of the dyad.

Data were collected through a survey of strategic suppliers from original equipment manufacturers of the automotive industry located in Mexico.

Results suggest that basic and widely used forms of supplier development hardly lead to improved operational and financial performance of suppliers. More demanding and less frequently used forms of supplier development may lead to improved supplier performance given the suppliers have sufficient absorptive capacity and the presence of an adequate collaborative and relational learning context.

Only suppliers of firms in the automotive industry were surveyed; participant suppliers were referred by buying firms operating in Mexico.

When designing supplier development activities, buying firms need to take into consideration that high involvement and investment on supplier development activities is required when their goal is to improve the supplier base.

Governments organizing supplier development programs should consider the importance of promoting knowledge transfer activities above evaluation and feedback to assure the success of their efforts to develop the national supply industry.

The value of supplier development programs is explored in this paper, taking into account the efforts of the buying firms to transfer knowledge and the moderating effect of the relational and learning context. Relevant recommendations for the design of such programs to buyers, suppliers and government are discussed.

Organizational learning is a critical factor in generating firm innovation. While the firms are working with global business partners, not only does their absorptive learning capacity (ALC) with business partners play an important role in generating innovation from the inter-partner firm relationship, but their joint learning capacity (JLC) does as well. However, little research has simultaneously examined absorptive and JLC on innovation in global supply chain relationships. The paper aims to discuss this issue.

Drawing on the knowledge-based view, inter-partner learning theory and resource dependence theory, the current study investigates the effects of two organizational learning capacities on relationship-specific innovation: ALC (firm-level) and JLC (relationship level). In addition, a firm’s focus on exploitation/exploration strategy and supplier dependence is further incorporated into the study as moderators. Moreover, solutions to endogeneity issues are discussed and reported due to the usage of survey data. The model of this study was tested using data collected from 190 electronics firms in Taiwan as an emerging market.

The findings of this research reveal that JLC in the presence of absorptive capacity positively influences relationship-specific innovation. Furthermore, the exploitation focus of a firm positively moderates the effects of both absorptive and JLC on relationship-specific innovation. However, supplier dependence negatively moderates the effect of JLC.

The research provides some theoretical implications for learning and innovation generation in global supply chains.

The paper provides some managerial implications for how to manage innovations in the global supply chain relationships.

This paper fulfills an identified need to study how innovation generation can be better managed in global supply chain contexts.

The purpose of this paper is to explore the factors which determine the degree of knowledge transfer in inter‐firm new product development (NPD) projects. The authors test a theoretical model exploring how inter‐firm knowledge transfer is enabled or hindered by a buyer's learning intent, the degree of supplier protectiveness, inter‐firm knowledge ambiguity, and absorptive capacity.

A sample of 153 R&D intensive manufacturing firms in the UK automotive, aerospace, pharmaceutical, electrical, chemical, and general manufacturing industries was used to test the framework. To analyse the data, two‐step structural equation modeling in AMOS 7.0 was used.

The results indicate that a buyer's learning intent increases inter‐firm knowledge transfer, but also acts as an incentive for suppliers to protect their knowledge. Such defensive measures increase the degree of inter‐firm knowledge ambiguity, encouraging buyer firms to invest in absorptive capacity as a means to interpret supplier knowledge, but also increase the degree of knowledge transfer.

The paper illustrates the effects of focusing on acquisition, rather than accessing supplier technological knowledge. The paper shows that an overt learning strategy can be detrimental to knowledge transfer between buyer‐supplier, as suppliers react by restricting the flow of information. Organisations are encouraged to consider this dynamic when engaging in multi‐organisational, NPD projects.

The paper examines the dynamics of knowledge transfer within inter‐firm NPD projects, showing how transfer is influenced by the buyer firm's learning intention, supplier's response, characteristics of the relationship and knowledge to be transferred.

The importance of the supply network to firm performance is well documented. Until now, the firm and its suppliers have been conceptualized as single entities. Yet, multinational corporations (MNCs) are composed of a complex, geographically dispersed internal network of subsidiaries. The supply and internal networks are inherently linked. The purpose of this study is to investigate the impact of the interaction of these networks on firm-level financial performance.

Building on supply network, internal network and dual embeddedness research, the authors investigate the interaction of these networks using supply network data from FactSet and internal network data from Orbis. We assess the impact at the MNC level, using measures of firm-level financial performance, physical proximity between the two networks and geographic dispersion of the internal network.

The results show that the performance effect of physical proximity of the firm with its supply network is negatively moderated by the geographic dispersion of the firm's internal network. This effect can be traced back to the diminishing marginal profitability of a firm's assets. Moreover, the benefits of dual embeddedness to the individual subsidiary come at a cost at the firm-level due to the operational challenges of managing a complex subsidiary network.

This study is the first to investigate the supply and internal networks of MNCs simultaneously.

The paper extends supply network literature by considering the internal network of the focal firm and its suppliers. This paper is one of the first studies that offer an understanding of the interaction between supply and internal networks of a focal firm and the effect on financial performance.

Knowledge redundancy is a powerful concept in understanding supply chain performance including supply chain value creation and competitive advantage. This paper argues that knowledge redundancy is not about “redundancy” that might suggest a waste or duplication of knowledge. In contrast, knowledge redundancy between adjacent members of the supply chain is critical to superior supply chain performance. The paper examines the tacit and explicit nature of knowledge and knowledge redundancy in supply chains. It develops a conceptual model and a series of propositions that argue that managing knowledge redundancy in the context of supplier‐related factors, firm‐related factors, and interface‐related factors can bring positive supply chain performance outcomes.

The purpose of this paper is to explain how a buying organization’s desorptive capacity relative to its supply network enhances the organization’s supply chain competence. The research also analyzes the contingent role of the balanced and combined dimensions of ambidexterity in this relationship.

Empirical results are obtained through analysis of survey data from a sample of 270 European firms. Hierarchical regression analysis is used to test the hypotheses.

The results confirm, first, the positive and significant relationship between the buying organization’s desorptive capacity and supply chain competence; and, second, the key moderating role of organizational ambidexterity, especially in its combined dimension, in this relationship.

The study suggests that desorptive capacity is key to the organization’s contribution to supply chain competitiveness. The authors also provide practitioners with better understanding of the extent to which they should attempt to balance exploration and exploitation or/and to maximize both simultaneously when seeking greater benefit from desorptive capacity.

This study extends desorptive capacity research to supply chain management. It responds to calls in the desorptive capacity literature for deeper understanding of the benefits of desorptive capacity and of the role organizational ambidexterity plays in the success of desorptive capacity. By analyzing the independent effects of the combined and balanced dimensions of ambidexterity, the authors advance conceptual and operational understanding of the role of ambidexterity needed in the literature.

The purpose of this paper is to analyze the contribution of suppliers and the purchasing department in affecting a firm’s ability to innovate.

The paper develops a theoretical framework (tested through an international survey on a sample of 524 companies) grounded on the resource-based view theory, innovation management and operations management literature.

The results show that innovation is positively affected by supplier collaboration, which in turn is favored by purchasing absorptive capacity. Empirical evidence also shows that purchasing status and innovation objectives enable the development of greater absorptive capacity.

Because of the survey approach, the research results are limited to the data collected. Researchers are encouraged to verify propositions with complementary methodologies (e.g. case studies).

The findings confirm the relevant role of the purchasing interface in innovation as well as the positive impact of supplier collaboration, contributing both to existing literature and managerial practice in terms of successful collaborative new product development (NPD) processes.

The study integrates three different research fields (innovation, operations, and purchasing management), providing a synergistic vision on the topic and considering, as a unit of analysis, the purchasing category level (rather than the NPD project level).