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Open Access
Article
Publication date: 7 June 2022

Kati Marttinen and Anni-Kaisa Kähkönen

A firm's ability to cascade sustainability requirements further down to lower-tier suppliers might be affected by inter-firm power relations. This study aimed to identify the…

2561

Abstract

Purpose

A firm's ability to cascade sustainability requirements further down to lower-tier suppliers might be affected by inter-firm power relations. This study aimed to identify the power sources of focal firms and first- and lower-tier suppliers and to investigate how they may affect their ability to cascade sustainability requirements along multi-tier supply chains.

Design/methodology/approach

A multiple case study of 24 companies was conducted to investigate the sources of power in multi-tier supply chains. In total, 42 informants from five focal companies, ten first-tier suppliers and nine lower-tier suppliers were interviewed.

Findings

Differences were found between the sources from which focal firms and first- and lower-tier suppliers drew power. Findings revealed that firms' power sources may increase or impair their ability to cascade sustainability requirements to lower supply chain tiers. Furthermore, multi-tier supply chain-level power sources constitute a significant determinant of firms' ability to disseminate sustainability requirements to lower-tier suppliers.

Practical implications

The results can help companies and purchasing managers understand how their own and suppliers' power may affect their ability to cascade sustainability agendas to lower-tier suppliers. In particular, the results can be useful for supplier selection and the development of supplier relationship management strategies for fostering sustainability in multi-tier supply chains.

Originality/value

This study places traditional power perspectives in the context of multi-tier sustainable supply chain management, broadening the view beyond dyadic relationships that have traditionally been the focus of the supply management literature.

Details

International Journal of Operations & Production Management, vol. 42 no. 8
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 22 February 2018

Jan Meinlschmidt, Martin C. Schleper and Kai Foerstl

The purpose of this paper is to investigate how buying firms manage their lower tier sustainability management (LTSM) in their supply networks and what contextual factors…

2753

Abstract

Purpose

The purpose of this paper is to investigate how buying firms manage their lower tier sustainability management (LTSM) in their supply networks and what contextual factors influence the choice of approaches. As most of the environmental and social burden is caused in lower tiers, the authors use the iceberg analogy.

Design/methodology/approach

Findings from 12 case studies and 53 interviews, publicly available and internal firm data are presented. In an abductive research approach, transaction cost economics (TCE) conceptually guides the analytical iteration processes between theory and data.

Findings

This study provides eight LTSM approaches grouped into three categories: direct (holistic, product-, region-, and event-specific) indirect (multiplier-, alliance- and compliance-based) and neglect (tier-1-based). Focal firms choose between these approaches depending on the strength of observed contextual factors (stakeholder salience, structural supply network complexity, product and industry salience, past supply network incidents, socio-economic and cultural distance and lower tier supplier dependency), leading to perceived sustainability risk (PSR).

Research limitations/implications

By depicting TCE’s theoretical boundaries in predicting LTSM governance modes, the theory is elevated to the supply network level of analysis. Future research should investigate LTSM at the purchasing category level of analysis to compare and contrast PSR profiles for different purchase tasks and to validate and extend the framework.

Practical implications

This study serves as a blueprint for the development of firms’ LTSM capabilities that suit their unique PSR profiles. It offers knowledge regarding what factors influence these profiles and presents a model that links the effectiveness of different LTSM approaches to resource intensity.

Originality/value

This study extends the application of TCE and adds empirically to the literature on multi-tier and sustainable supply chain management.

Details

International Journal of Operations & Production Management, vol. 38 no. 10
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 7 July 2022

Thomas E. Johnsen, Federico Caniato, Osama Meqdadi and Toloue Miandar

This paper aims to investigate the bridging role of first-tier suppliers in diffusing sustainability in supply networks and how this role is facilitated by the procurement…

Abstract

Purpose

This paper aims to investigate the bridging role of first-tier suppliers in diffusing sustainability in supply networks and how this role is facilitated by the procurement function.

Design/methodology/approach

The paper is based on an embedded case study of two supply networks of a coffee beans roasting company. The embedded cases focus on coffee beans and packaging supply networks.

Findings

The findings reveal less than expected involvement of the focal company and its procurement function in sustainability implementation with first-tier suppliers. Instead, sustainability diffuses upstream to lower-tier suppliers but also downstream, against the tide, as a result of the various bridging roles performed by first-tier suppliers.

Research limitations/implications

This paper provides two theoretical contributions. First, it contributes to the sustainable supply network management literature by providing rich insights on sustainability diffusion to lower-tier suppliers and the role of first-tier suppliers in this process. Second, the paper contributes to structural hole theory by revealing a typology of bridging roles that actors, such as suppliers, undertake in the sustainability context.

Practical implications

The paper provides managers with practical insights on how sustainability can be diffused in the supply network and the different roles that first-tier suppliers can play in this direction.

Originality/value

This paper shows that sustainability diffusion to lower-tier suppliers is possible in the absence of focal company procurement involvement when bridging roles are undertaken by first-tier suppliers and their procurement functions are involved in the implementation process. These bridging roles facilitate sustainability diffusion both upstream and downstream.

Details

International Journal of Operations & Production Management, vol. 42 no. 10
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 15 July 2021

Shobod Deba Nath and Gabriel Eweje

The purpose of this study is to examine how multi-tier suppliers respond to the institutional pressures for the implementation of sustainable supply management (SSM) practices in…

Abstract

Purpose

The purpose of this study is to examine how multi-tier suppliers respond to the institutional pressures for the implementation of sustainable supply management (SSM) practices in supply chains, and what institutional logics allow them to do so.

Design/methodology/approach

This study employs a qualitative research design, drawing on data from semi-structured interviews with 46 owners and managers of multi-tier suppliers and 18 key informants of diverse stakeholders. Following an abductive approach, institutional theory conceptually guides the analytical iteration processes between theory and interview data.

Findings

The findings demonstrate two kinds of thematic responses to institutional pressures – coupling (good side) and decoupling (dark side) of the supply chain – used by the factory management of multi-tier suppliers. This paper also identifies multiple institutional logics – market-led logic, values-led logic and holistic sustainability logic – that are perceived to conflict (trade-offs) and complement (synergies) the SSM implementation.

Research limitations/implications

By investigating the perspectives of the factory management of upstream apparel suppliers, this study enhances the understanding of the connection between (de)coupling responses and institutional logics inside the multi-tier supplier firms. Further research would be required to include more downstream tiers including the ultimate users.

Practical implications

The findings may be of particular attention to brand-owning apparel retailers, industry leaders and policymakers who are seeking to understand multi-tier suppliers' challenges, conflicts and (de)coupling responses, and become aware of how they can be dealt with.

Originality/value

This study contributes to and expands the embryonic research stream of sustainable multi-tier supply chain management by connecting it to the wider application of institutional theory.

Details

International Journal of Operations & Production Management, vol. 41 no. 6
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 28 October 2020

Leila Alinaghian, Jilin Qiu and Kamran Razmdoost

The purpose of this paper is to systematically review and assess the current status of research on supply chain sustainability from a network structural perspective and provide an…

1750

Abstract

Purpose

The purpose of this paper is to systematically review and assess the current status of research on supply chain sustainability from a network structural perspective and provide an organising framework for future scholarship in this area.

Design/methodology/approach

By adopting an evidence-based approach, this study conducts a systematic review of 73 articles from 18 peer-reviewed journals published between 2000 and 2020.

Findings

Adopting a social network analysis approach, the review identifies specific node-level (i.e. degree centrality, closeness centrality and betweenness centrality) and network-level (i.e. network density, network sub-groups and network diversity) structural properties that play a role in supply chain sustainability. The results reveal that structural properties determine the extent of perception of sustainability risks, the diffusion of sustainability targets, introduction of sustainable innovations, development of sustainability capabilities, adoption of sustainability initiatives and the monitoring of sustainability performance throughout the supply chain.

Originality/value

By distinguishing between supply network and sustainable supply network types, this study extends the existing understandings of the role of network connectivity patterns in supply chain sustainability through synthesising and evaluating the extant literature. This study further clarifies the role of these network structural properties in supply chain sustainability by describing their impact on a set of sustainable supply chain management practices through which firms achieve sustainability goals across their supply chains.

Details

Supply Chain Management: An International Journal, vol. 26 no. 2
Type: Research Article
ISSN: 1359-8546

Keywords

Article
Publication date: 8 April 2019

Sangho Chae, Benn Lawson, Thomas J. Kull and Thomas Choi

The purpose of this paper is to investigate the behavioral tendencies of supply managers when they are faced with uncertainty in making multi-tier sourcing decisions.

1397

Abstract

Purpose

The purpose of this paper is to investigate the behavioral tendencies of supply managers when they are faced with uncertainty in making multi-tier sourcing decisions.

Design/methodology/approach

This paper uses the literature on multi-tier supply chains and behavioral decision making to develop a theoretical framework for examining factors influencing a supply manager’s decision to retain control over sourcing in the multi-tier context. An experimental vignette methodology is used to gather data from 259 supply managers.

Findings

Results suggest that supply managers choose to exert less multi-tier control when they have high levels of interpersonal trust in the tier-1 supplier’s sales representative. This effect is accentuated by a high level of familiarity with potential lower-tier suppliers. Under high levels of familiarity with potential lower-tier suppliers, supply managers will exert greater levels of multi-tier sourcing control as the behavioral uncertainty of the tier-1 supplier increases.

Practical implications

Buying firms can enhance their understanding of supply managers’ multi-tier sourcing decision making and the potential biases associated with it. Suggestions for a more effective use of multi-tier sourcing are provided in the Discussion section.

Originality/value

Multi-tier sourcing is an increasingly important area of research, and this paper is the first to examine individual supply managers’ behavioral decision making in the multi-tier context. This paper also contributes to the outsourcing literature by investigating behavioral factors influencing the outsourcing of sourcing activities.

Details

International Journal of Operations & Production Management, vol. 39 no. 3
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 7 July 2020

Shobod Deba Nath, Gabriel Eweje and Aymen Sajjad

The purpose of this paper is to investigate how sub-suppliers decouple the implementation of sustainable supply management practices in supply chains, and what institutional…

1220

Abstract

Purpose

The purpose of this paper is to investigate how sub-suppliers decouple the implementation of sustainable supply management practices in supply chains, and what institutional logics permit these suppliers to do so.

Design/methodology/approach

Following a qualitative design, we conducted 23 in-depth semi-structured interviews with owners and managers of apparel sub-suppliers. To corroborate research findings, the views of owners and managers were triangulated by further interviewing 18 key representatives of wide-ranging institutional actors.

Findings

The findings suggest that owners and managers of sub-suppliers use two decoupling responses: (1) consensual strategy to compromise sustainability requirements (2) concealment strategy. In addition, this paper identifies multiple institutional types of conflicting logics: instrumental logic, legitimacy logic complexity and gaps in normative logic, which interplay amongst sub-suppliers whereby permit to decouple the implementation of supply management practices.

Research limitations/implications

While the current paper provides an early contribution from the perspectives of second-tier and third-tier suppliers, future research could be extended to include further upstream sub-suppliers and downstream tiers including the end consumers.

Practical implications

It is important for brand-owning retailers and first-tier suppliers to predict sub-suppliers' decoupling behaviour and conflicts for supply management practices implementation since they may present potential vulnerability for buyers and lead suppliers.

Originality/value

This study extends the application of institutional theory and contributes to the literature on extended suppliers' supply management practices in a developing country context, which is an under-researched area.

Details

International Journal of Operations & Production Management, vol. 40 no. 12
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 15 November 2023

Shobod Deba Nath, Gabriel Eweje and Suborna Barua

The purpose of this paper is to investigate why multi-tier apparel suppliers integrate social sustainability practices into their supply chains and what barriers these suppliers…

Abstract

Purpose

The purpose of this paper is to investigate why multi-tier apparel suppliers integrate social sustainability practices into their supply chains and what barriers these suppliers encounter while embedding social sustainability practices.

Design/methodology/approach

This study employs a qualitative research design, drawing on data from semi-structured interviews with 46 owners and managers from 33 multi-tier apparel suppliers in Bangladesh, an important outsourcing hub for the global apparel industry. To corroborate research findings, the views of owners and managers were triangulated by further interviewing 11 key representatives of institutional actors such as third-party auditors, a donor agency, industry associations, regulatory agencies and a non-governmental organisation (NGO).

Findings

The authors' findings suggest a range of divergent institutional drivers and barriers – coercive, mimetic and normative – that determine the implementation of multi-tier suppliers' social sustainability practices. The key reported drivers were buyers' requirements, external stakeholders' expectations, top management commitment and competition. Conversely, cost and resource concerns and gaps in the regulatory framework were identified as key social sustainability implementation barriers. In particular, owners and managers of second-tier and third-tier supplier firms experienced more internal barriers such as cost and resource concerns than external barriers such as gaps in values, learning and commitment (i.e. compromise for mutual benefit and non-disclosure of non-compliance) that impeded effective social sustainability implementation.

Research limitations/implications

Social sustainability in supply chain management has received significant attention from academics, business practitioners, governments, NGOs and supranational organisations. However, limited attention has been paid to investigating the drivers and barriers for social sustainability implementation from a developing country's multi-tier supplier perspective. The authors' research has addressed this knowledge gap.

Practical implications

The evidence from the authors' study provides robust support for key assumptions of institutional theory and has useful implications for both managers and policy-makers.

Originality/value

The authors' study contributes to the embryonic research stream of socially sustainable multi-tier supply chain management by connecting it to the application of institutional theory in a challenging institutional context.

Details

The International Journal of Logistics Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 4 April 2023

Karina A. Santos, Minelle E. Silva and Susana Carla Farias Pereira

Although the number of studies that investigate supply chain sustainability learning has increased, little is known about the way sub-suppliers build knowledge and learn…

Abstract

Purpose

Although the number of studies that investigate supply chain sustainability learning has increased, little is known about the way sub-suppliers build knowledge and learn sustainability practices. Thus, moving beyond merely investigating the accumulation of knowledge, this research explores sub-suppliers’ knowing that supports the learning of sustainability practices in a multi-tiered food supply chain.

Design/methodology/approach

In the conduct of this interpretive research in South Brazil, two ethnographies were completed during 74 days of observations to understand similarities and differences between certified and non-certified sub-suppliers with respect to sustainability practices. As part of our research conducted in the context of poultry production, secondary data and data gathered through semi-structured interviews with representatives of the buyer and first-tier supplier firms were used to provide a better comprehension of the multi-tiered supply chain context. Then, we executed an interpretive textual analysis.

Findings

Our investigation explored six vignettes to reveal ways of learning sustainability practices in terms of waste management, biosecurity and animal welfare. Although the buyer firm requested these practices, we noted that the first-tier supplier was responsible for translating the practices to sub-suppliers. Moreover, we found that sustainability learning was shaped by the sub-supplier context embodied in knowledge through knowing. The ways of learning were related to sharing knowledge between experts and novices with the support of material practices; however, knowledge was also gained by unlearning some knowledge shared by the supplier. Sustainability practice learning, thus, was performed in a space of learning via knowledge creation among practitioners.

Practical implications

Recognising how sustainability learning happens in a multi-tiered supply chain context can help managers to develop plans to implement sustainability practices that will broaden their sustainability knowledge.

Originality/value

Unlike previous studies on supply chain sustainability learning, we reveal ways that sustainability practices emerge from knowledge that results from sub-suppliers’ knowing. We also explain how unlearning can consciously occur in several situations of sustainability learning.

Details

International Journal of Operations & Production Management, vol. 43 no. 8
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 22 May 2020

Osama Meqdadi, Thomas E. Johnsen, Rhona E. Johnsen and Asta Salmi

This paper aims to investigate the impact of monitoring and mentoring strategies on sustainability diffusion within supply networks through focal companies and how suppliers…

1074

Abstract

Purpose

This paper aims to investigate the impact of monitoring and mentoring strategies on sustainability diffusion within supply networks through focal companies and how suppliers engage in implementing these strategies.

Design/methodology/approach

The paper reports on three in-depth case studies conducted with focal companies and their suppliers. An interaction approach was adopted to guide the analysis of focal companies’ strategies for implementing and diffusing sustainability in supply networks.

Findings

The monitoring strategy impacts sustainability diffusion at the dyadic level, while the mentoring strategy is a prerequisite for the diffusion of sustainability at the supply network level. The findings suggest that coupling monitoring with mentoring can lead to diffusion beyond first-tier suppliers. Interaction intensity, supplier proactiveness and mindset change facilitate sustainability diffusion in supply networks.

Research limitations/implications

The authors suggest more research be conducted on specific practices within monitoring and mentoring, as some of these imply very different levels of commitment and interaction.

Practical implications

The paper suggests that in the future, companies will be increasingly called upon to adopt cooperative initiatives to enable the diffusion of sustainability in supply networks.

Originality/value

The contribution of the paper lies in its identification of the impacts of monitoring and mentoring strategies on the diffusion of sustainability in networks, revealing different supplier engagement in these strategies, which may foster or hinder sustainability diffusion.

Details

Supply Chain Management: An International Journal, vol. 25 no. 6
Type: Research Article
ISSN: 1359-8546

Keywords

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