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Article
Publication date: 3 December 2018

Britta Søgaard, Heather Dawn Skipworth, Michael Bourlakis, Carlos Mena and Richard Wilding

This paper aims to explore how purchasing could respond to disruptive technologies by examining the assumptions underlying purchasing strategic alignment and purchasing maturity…

1301

Abstract

Purpose

This paper aims to explore how purchasing could respond to disruptive technologies by examining the assumptions underlying purchasing strategic alignment and purchasing maturity through a contingency lens.

Design/methodology/approach

This study uses a systematic review across purchasing maturity and purchasing strategic alignment literature. This is supplemented with exploratory case studies to include practitioners’ views.

Findings

This research demonstrates that neither purchasing maturity nor purchasing strategic alignment are suitable approaches to respond to disruptive technologies. Purchasing maturity does not allow purchasing managers to select relevant practices. It also shows no consideration of any contingencies, which practitioners highlight as important for the selection of practices. Purchasing strategic alignment includes the company strategy as a contingency but does not provide any practices to choose from. It does not include any other contextual contingencies considered important by practitioners. The findings indicate that linking the two research streams may provide a more suitable approach to responding to disruptive technologies.

Research limitations/implications

This research demonstrates the requirement to develop a new approach to responding to disruptive technologies, by linking purchasing maturity and purchasing strategic alignment to contextual contingencies. This is a currently unexplored approach in academic literature, which refutes the generally accepted premise that higher maturity unilaterally supports a better positioning towards technological disruption. This research also highlights a requirement for practitioners to shift their approach to “best practices”.

Originality/value

This is the first research to systematically review the relationships between purchasing maturity and purchasing strategic alignment. It adds to contingency theory by suggesting that purchasing maturity models can support the achievement of strategic alignment. Also, future research directions are suggested to explore these relationships.

Details

Supply Chain Management: An International Journal, vol. 24 no. 1
Type: Research Article
ISSN: 1359-8546

Keywords

Article
Publication date: 11 May 2015

Patrick Mikalef, Adamantia Pateli, Ronald S. Batenburg and Rogier van de Wetering

Strategic alignment is a theory-based state that is considered as crucial for organizations in order to realize performance gains from information technology (IT) investments and…

1926

Abstract

Purpose

Strategic alignment is a theory-based state that is considered as crucial for organizations in order to realize performance gains from information technology (IT) investments and deployments. Within the domain of purchasing and supply chain management there has been a growing interest on how purchasing strategy can be effectively aligned with IT and what conditions facilitate this state. The purpose of this paper is to investigate complex causal relationships of contingency elements that are key in enabling the “fit” between purchasing strategy and IT.

Design/methodology/approach

The paper employs a configuration theory approach and propose that purchasing alignment is dependent upon patterns of multiple contingencies. In adherence with contingency theory, the authors group these elements as relating to strategic orientation, organizational factors, and purchasing decisions. On a sample of 172 international companies the authors then apply the novel methodology of fuzzy set qualitative comparative analysis (fsQCA).

Findings

The paper empirically demonstrates that depending on the strategic orientation that a company follows, there are alternative combinations of elements that lead to high purchasing alignment. For companies following an operational excellence strategic orientation, a high contract binding scheme, or a small firm size facilitates purchasing alignment. Enabling elements for product leadership companies include a decentralized purchasing structure, a broad supplier base, and a large firm size. Purchasing alignment for customer intimacy companies is supported by a centralized purchasing structure, loose contract binding, and a large supplier base.

Practical implications

The findings of this study suggest that practitioners aiming to attain a state of purchasing alignment should consider a number of contingency elements in the process. The paper shows that there is equifinality in the configurations that lead to purchasing alignment. This means that attaining purchasing alignment is dependent upon various clusters of contingency elements which must be taken into account when formulating a purchasing strategy.

Originality/value

In contrast with past studies examining purchasing alignment as a result of the isolated impact of several antecedents, we applied a configuration theory approach to demonstrate that it is facilitated by the combined impact of a set of cause-effect relationships. In cases were non-linear and synergistic relationships exist between independent variables, this type of research may be a viable alternative.

Details

Industrial Management & Data Systems, vol. 115 no. 4
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 20 November 2017

Javier Alfonso Rodríguez-Escobar and Javier González-Benito

This research aims to establish the role of the purchasing function’s strategic alignment in the relationship between well-established practices and performance in that function…

1245

Abstract

Purpose

This research aims to establish the role of the purchasing function’s strategic alignment in the relationship between well-established practices and performance in that function. It is argued that the strategic alignment of purchasing may have effects (direct, mediating and moderating effects) on the purchasing function’s operating performance.

Design/methodology/approach

The hypotheses derived from key studies about strategic and advanced purchasing practices are tested with data from 156 industrial companies using structural equation modelling methodology.

Findings

The results suggest that the effect of strategic alignment on the role of purchasing consists of mediated effects on purchasing performance through implementation of certain advanced practices. It was also concluded that strategic alignment – as well as the implementation of these advanced purchasing practices – fosters the implementation of differentiation strategies based on quality, dependability and flexibility rather than on the implementation of cost leadership strategies.

Research limitations/implications

Although it is a common practice in operations management research, the use of perceptual measures obtained from a single informant constitutes a noteworthy limitation. Future research should make an effort to combine different sources of information and to identify and use more objective indicators.

Practical implications

Top managers should take into account the need to involve the purchasing function in the firm’s strategic planning process.

Originality/value

The results not only confirm findings from previous literature as to the purchasing function’s strategic relevance but also help clarify the mechanisms that make this integration important.

Article
Publication date: 2 March 2015

Chiara Gobbi and Juliana Hsuan

– The purpose of this paper is to investigate how buyers and the vendors pursue alignment in collaborative purchasing (CP) of complex medical technologies.

2365

Abstract

Purpose

The purpose of this paper is to investigate how buyers and the vendors pursue alignment in collaborative purchasing (CP) of complex medical technologies.

Design/methodology/approach

Through a literature review in CP, the paper identify factors for shareholder alignment (i.e. aligning the needs of the buyers within the purchasing group) and customer alignment (i.e. aligning buyers’ needs with the vendors offering strategies) and investigate how they manifest in the case of CP of complex technology in the Danish National Healthcare System.

Findings

Shareholder alignment requires appropriate management of the relationships, expertise and guidance in simplifying procedures and effective management of the purchasing group. Customer alignment is facilitated by buyers’ understating of the vendor’s design options, which are moderated by the vendor’s design strategies.

Research limitations/implications

The findings and generalizations from a single case study are limited to the complexity of the purchased technology and the specific cultural context. However the paper represents the first explorative study that poses the attention on the relevance of shareholder and customer alignment in CP.

Practical implications

The study can offer hospitals, vendors, governmental and regional institutions a better understanding about the alignment mechanisms for successful implementation of CP and how to avoid pitfalls.

Originality/value

Literature on CP is scarce as there are virtually no contributions that debate the key elements and tradeoffs that need to be considered for strategic alignment. The study addresses this gap.

Details

International Journal of Operations & Production Management, vol. 35 no. 3
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 30 May 2023

Andrea S. Patrucco, Davide Luzzini, Daniel Krause and Antonella Maria Moretto

The authors empirically examine purchasing strategy typologies based on strategic intent (i.e. competitive priorities) and practices used to achieve these priorities. The authors…

1051

Abstract

Purpose

The authors empirically examine purchasing strategy typologies based on strategic intent (i.e. competitive priorities) and practices used to achieve these priorities. The authors further investigate the implementation conditions of such strategies based on perceived uncertainty and strategic purchasing.

Design/methodology/approach

The authors utilize case study data from 11 international service and manufacturing firms with global supply chains. Each company was profiled based on the level of perceived environmental uncertainty, the characteristics of strategic purchasing, the use of relevant purchasing practices and its ability to create value through purchasing.

Findings

The study findings show that four purchasing strategy types exist: Purchasing Rationalization, Supply Base Optimization, Purchasing as a Service and World-Class Supply Base Management. Lower levels of perceived environmental uncertainty favor the adoption of rationalization strategies (i.e. Purchasing Rationalization and Supply Base Optimization), while increased uncertainty leads companies to switch to relationship-focused strategies (i.e. Purchasing as a Service and World-Class Supply Base Management). Further, that specific components of strategic purchasing (i.e. strategic planning, maturity, status and report level) enable the successful implementation of different strategy types.

Originality/value

This research contributes to the existing literature by outlining the different types of purchasing strategies and the external and internal factors that need to be considered to achieve strategic alignment and value creation in purchasing, and by classifying purchasing strategy types at the functional level based on empirical evidence.

Details

International Journal of Physical Distribution & Logistics Management, vol. 53 no. 9
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 14 July 2023

Loay Salhieh, Ala'a Mehiar, Ismail Abushaikha, Hendrik Reefke and Loay Bani-Ismail

The aim of this study is to investigate and examine the impact of strategic purchasing practices (SPP) on strategic-fit (SF) by analyzing the influence of SPP on purchasing

Abstract

Purpose

The aim of this study is to investigate and examine the impact of strategic purchasing practices (SPP) on strategic-fit (SF) by analyzing the influence of SPP on purchasing involvement in business strategy formulation with path-goal theory leadership styles as moderators.

Design/methodology/approach

Using survey data from 320 respondents representing 64 manufacturing firms in the Middle East, the authors measure SPP, purchasing involvement, leadership styles and SF of the purchasing function with business strategy.

Findings

Building on the path-goal approach to leadership, results suggest that participative, supportive and achievement-oriented leadership (AOL) styles are pure moderators, while directive leadership style (DLS) is a quasi-moderator in boosting the relationship between SPP and strategic purchasing involvement (SPI).

Research limitations/implications

Limitations of the sampling methodology and sample size restricts the scope for generalizing the hypotheses. Further, data were collected only from manufacturing companies. The paper provides managerial implications on purchasing involvement in business strategy formulation and the different roles of leadership styles.

Originality/value

This is the first scholarly work to examine the different leadership styles as a moderator that affects the strategic involvement and status of strategic purchasing.

Details

International Journal of Quality & Reliability Management, vol. 41 no. 2
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 13 March 2009

Cristóbal Sánchez‐Rodríguez

This purpose of this paper is to introduce strategic purchasing (SP) and supplier development (SD) as constructs that could have the potential to contribute to the success of…

4556

Abstract

Purpose

This purpose of this paper is to introduce strategic purchasing (SP) and supplier development (SD) as constructs that could have the potential to contribute to the success of relationship marketing efforts. Based on the relational view of the firm, the authors propose that SP is an antecedent of SD practices and can create value for the buying firm in terms of better purchasing performance.

Design/methodology/approach

Hypotheses derived from the key features of SP and SD practices are tested using structural equation modeling through field research on a sample of 306 manufacturing companies in Spain.

Findings

Findings from this study indicate that there is significant evidence to support the hypothesized model in which SP exerts a direct influence on SD practices and purchasing performance, as well as an indirect impact on purchasing performance mediated through SD.

Research limitations/implications

Further research is necessary to increase our understanding of a buyer's strategic purchasing and supplier development practices and more specifically how suppliers could develop a supporting environment to facilitate the strategic alignment of these two concepts. The limitations of the survey are also discussed.

Practical implications

The findings from this study provide supplying firms with an understanding of how buying firms use SD to deploy their SP initiatives in order to achieve improvements in purchasing performance.

Originality/value

While there is some literature analyzing SP and the implications for buyer‐supplier relationships, the relationship between SP and SD practices and their effect on purchasing performance has not been yet analyzed.

Details

Journal of Business & Industrial Marketing, vol. 24 no. 3/4
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 10 August 2015

Heather Skipworth, Janet Godsell, Chee Yew Wong, Soroosh Saghiri and Denyse Julien

This study aims to explain how supply chain alignment, which remains a major challenge for supply chains, can be achieved and its implications for business performance (BP) by…

7071

Abstract

Purpose

This study aims to explain how supply chain alignment, which remains a major challenge for supply chains, can be achieved and its implications for business performance (BP) by testing the strengths of the relationships between previously identified enablers, supply chain alignment and BP.

Design/methodology/approach

A literature review develops hypotheses on the relationships between enablers, alignment and BP. A survey of medium-to-large UK manufacturing companies was conducted where the sample comprised 151 randomly selected companies, and the response rate was 56 per cent. Partial least square regression was used to test the hypothesis.

Findings

Two types of supply chain alignment are defined – shareholder and customer – but only customer alignment (CA) has a direct positive impact on BP, while shareholder alignment (SA) is its antecedent. Top management support was shown to be an enabler of both shareholder and CA, while organisation structure, information sharing and performance measurement system enabled SA, while internal relational behaviour enabled CA.

Research limitations/implications

Supply chain management research lacks knowledge on exactly how supply chain alignment can be achieved and what BP implications it has. This research provides a tested conceptual model to address this gap.

Practical implications

The refined conceptual model provides precise guidance to practitioners on how to improve BP through supply chain alignment.

Originality/value

Whilst the strategic management literature emphasizes the importance of SA, this study reveals another crucial alignment – CA – and shows its direct positive impact on BP.

Details

Supply Chain Management: An International Journal, vol. 20 no. 5
Type: Research Article
ISSN: 1359-8546

Keywords

Article
Publication date: 8 June 2012

Dieter Kerkfeld and Evi Hartmann

The purpose of this paper is to empirically evaluate the effect of resources and capabilities in purchasing and supply management (PSM) on operational performance. Specifically…

2021

Abstract

Purpose

The purpose of this paper is to empirically evaluate the effect of resources and capabilities in purchasing and supply management (PSM) on operational performance. Specifically, to examine whether managers who neglect investments into key knowledge‐driven PSM resources will be foregoing the opportunity for a higher performance return from their core supplier‐related capabilities.

Design/methodology/approach

Based on an international cross‐industry survey of 273 major companies, two conceptual models grounded in the resource‐based view (RBV) theory are analyzed for moderation and mediation effects, and provide both researchers and practitioners with means of determining targets for investment prioritization. The models are tested using multiple regression techniques and structural equation modeling.

Findings

The authors' findings suggest that the impact of supply base practices on operational performance is stronger in firms where more advanced PSM resources are deployed; and that these improvements can be explained by a higher leverage of supply base practices on advanced PSM resources.

Research limitations/implications

The paper documents the combined positive effect of knowledge‐driven resources and supplier‐related capabilities on operational performance. Additional resources and capabilities, e.g. PSM integration, deserve further research. A longitudinal survey of relationships would help us to gain a better understanding of sequential relationships between the examined constructs.

Practical implications

This paper will help to guide senior management in balancing investment decisions for PSM development. The applied measurement model can be used to identify specific potential of improvement in individual organizations that can lead to increased operational performance.

Originality/value

The simultaneous consideration of moderation and mediation based on the RBV's conceptualization of resources versus capabilities provided a contribution in PSM. The results support management in maximizing the return of investments into PSM.

Details

International Journal of Physical Distribution & Logistics Management, vol. 42 no. 5
Type: Research Article
ISSN: 0960-0035

Keywords

Content available
Article
Publication date: 4 March 2019

Richard Wilding and Beverly Wagner

1530

Abstract

Details

Supply Chain Management: An International Journal, vol. 24 no. 1
Type: Research Article
ISSN: 1359-8546

1 – 10 of over 11000