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1 – 10 of over 1000This paper examines the role of purchasing in facilitating early supplier involvement in new product development (NPD) in contexts of technological uncertainty (TU). Taking a…
Abstract
Purpose
This paper examines the role of purchasing in facilitating early supplier involvement in new product development (NPD) in contexts of technological uncertainty (TU). Taking a purchasing perspective, it develops a moderate model to explain the effects of supplier involvement on NPD performance and whether and how knowledge orchestration capability (KOC) and TU affect these relationships. Additionally, KOC drivers are defined.
Design/methodology/approach
A total of 317 usable questionnaires from Chinese high-technology firms were collected. Moderated multiple regression (MMR) was used to test all hypotheses. Resource orchestration theory (ROT) was the adopted theoretical lens.
Findings
Two forms of supplier involvement (as knowledge source and co-creator) were found to distinctly affect NPD performance and have potential substitutive relationships. Purchasing KOC positively moderates the relationships between forms of supplier involvement on NPD performance. TU strengthens the moderating role of purchasing KOC. Furthermore, purchasing status and supply complexity are important antecedents for purchasing KOC.
Practical implications
These findings serve as a blueprint for involving purchasing in technologically uncertain NPD projects and improve supplier NPD integration. Additionally, management should recognize the purchasing function's role and empower it to identify ideas, knowledge and solutions within supply networks.
Originality/value
This research contributes to the ROT by examining the role of purchasing KOC on supplier involvement in NPD performance, especially under TU. Moreover, it demonstrates significant and positive relations between purchasing department status and external supply complexity on its KOC.
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Caillin Zhang, Suicheng Li, Xinmeng Liu and Jing Li
Based on the resource orchestration perspective, this study aims to explore whether and how strategic supply management (SSM) affects firms’ operational performance (OP) and…
Abstract
Purpose
Based on the resource orchestration perspective, this study aims to explore whether and how strategic supply management (SSM) affects firms’ operational performance (OP) and innovation performance (IP).
Design/methodology/approach
Survey data comprising 404 valid responses are collected from traditional manufacturing firms in China. Confirmatory factor analysis confirms the reliability and validity of the measures. Structural equation modeling and bootstrapping are used to test all hypotheses.
Findings
SSM improves firms’ OP and IP. Furthermore, supply base resource mobilization (SBRM) and supply market resource mobilization (SMRM) have partial mediating effects on the relationships. SBRM has a greater effect on OP, while SMRM has a greater effect on IP. In addition, these two types of resource mobilization form different mediating paths between SSM and firm performance, and environmental uncertainty positively moderates this relationship.
Originality/value
With the development of national innovation strategies such as the “Made in China 2025” plan, the Chinese manufacturing industry aims to move from low-cost manufacturing to innovative and high-quality manufacturing. The study’s findings further emphasize the role of purchasing and supply management in external resource management. In addition to demonstrating the differential effects of heterogeneous resource mobilization on OP and IP, different mediation pathways through external resources mobilization are identified in the relationship between SSM and firm performance.
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David Asamoah, Ishmael Nanaba Acquah, Dorcas Nuertey, Benjamin Agyei-Owusu and Caleb Amankwaa Kumi
This study examines green absorptive capacity as an important intervening variable that elucidates the relationship between green supply chain management (GSCM) practices…
Abstract
Purpose
This study examines green absorptive capacity as an important intervening variable that elucidates the relationship between green supply chain management (GSCM) practices (specifically, green purchasing, customer cooperation and investment recovery) and firm performance.
Design/methodology/approach
Drawing from the theoretical underpinnings of the natural-resource-based view theory and information processing theory, a research model is developed and tested using data obtained from 368 manufacturing firms in Ghana. Data analysis was conducted using structural equation modeling.
Findings
The results indicate that green purchasing, customer cooperation and investment recovery have a direct positive and significant effect on firm performance. Additionally, green purchasing and customer cooperation have a positive and significant effect on green absorptive capacity but investment recovery does not. Further, the results show that the paths from green purchasing and customer cooperation to firm performance are positively mediated by green absorptive capacity.
Practical implications
The study reveals to supply chain managers that green absorptive capacity is an important conduit through which firms can achieve enhanced firm performance from GSCM initiatives.
Originality/value
This study makes a contribution by integrating the absorptive capacity literature and green management literature and establishes green absorptive capacity as a mechanism through which GSCM practices enhance firm performance.
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Mohamed Syazwan Ab Talib and Mohd Hafiz Zulfakar
There is limited knowledge of the sustainable halal food supply management in Brunei Darussalam (Brunei), although it is reputable in the halal economy and advocates the United…
Abstract
Purpose
There is limited knowledge of the sustainable halal food supply management in Brunei Darussalam (Brunei), although it is reputable in the halal economy and advocates the United Nations (UN) Sustainable Development Goals (SDGs). Therefore, this paper highlights issues faced in a small, rentier halal market and proposes sustainable supply chain management (SSCM) initiatives for halal-certified food companies in Brunei.
Design/methodology/approach
This paper draws data from published academic research and employs a normative and narrative assessment of SSCM and halal supply chain literature.
Findings
Four normative SSCM initiatives and propositions that could be implemented by Brunei halal-certified food businesses in achieving the SDGs are highlighted: responsible sourcing, environmental purchasing, sustainable packaging and green transportation.
Practical implications
This viewpoint paper provides a basis for achieving the “Brunei Vision 2035” through a sustainable supply chain lens that may increase well-being and develop a productive and sustainable economy. It also lays a foundation for realising the SDGs, specifically Goal 12 of Sustainable Consumption and Production.
Originality/value
The dedicated attention to smaller halal markets, such as Brunei, would enrich the literature, reveal unforeseen issues or address gaps in the domains of SSCM and halal food supply chains.
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Juliano Afonso Tessaro, Rainer Harms and Holger Schiele
This study aims to analyze how startups organize their purchasing activities to improve operative excellence and become attractive customers.
Abstract
Purpose
This study aims to analyze how startups organize their purchasing activities to improve operative excellence and become attractive customers.
Design/methodology/approach
The authors use a two-phase exploratory approach with semistructured interviews and a World Café. In total, 20 startup purchasers and suppliers participated. It is an international study with participants from eight countries (Belgium, Brazil, France, Germany, Hungary, The Netherlands, the UK and the USA).
Findings
The authors find that startups organize the purchasing function in five ways: partial outsourcing, transactional-oriented, strategic only, outsourced purchasing and full department. Each type has advantages and disadvantages regarding operative excellence. The authors identify type-specific antecedents to operative excellence: forecasting, payment habits, ordering process, contact accessibility and quick decision-making.
Research limitations/implications
The value of this paper is that it offers entrepreneurs a framework to organize startup purchasing activities, including outsourcing options. Furthermore, it provides theoretical contributions that expand the topic of purchasing and supply organization and operative excellence to the startup context.
Originality/value
The value of this paper is that, to the best of the authors’ knowledge, it is the first to explore purchasing organization and operative excellence in startups.
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Yu Han, Anna Yumiao Tian, Woon Kian Chong, Alain Yee Loong Chong and Antony Paulraj
The purpose of this paper is to provide small and medium-sized enterprises (SMEs) in emerging markets with an updated Purchasing Portfolio Matrix (PPM) specifically for…
Abstract
Purpose
The purpose of this paper is to provide small and medium-sized enterprises (SMEs) in emerging markets with an updated Purchasing Portfolio Matrix (PPM) specifically for international sourcing. This data-driven PPM matrix is designed to provide a dynamic and process perspective that can help SMEs survive the disruptions caused by emergency situations such as the global COVID-19 pandemic.
Design/methodology/approach
This research reports on qualitative interviews with experienced informants from 15 SMEs in the manufacturing industry. The authors follow process-based research using a combination of retrospective and real-time case study approaches to gradually unveil the dynamics in segmentation and sourcing strategies in the international sourcing context during the COVID-19 pandemic.
Findings
The findings reveal the dynamics of segmentation and international sourcing strategies during global disruptions and unpack the underlying logic behind the dynamics that is specific to SMEs in emerging economies.
Originality/value
Existing literature on PPM predominantly focuses on static and normal sourcing circumstances. This paper addresses this gap by adopting a dynamic approach to study how sourcing strategies of SMEs from emerging economies evolve in a highly volatile environment from an international sourcing perspective.
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Ulrich Schmelzle, Daniel A. Pellathy, Wendy L. Tate and Junhong Min
Organizations increasingly manage innovation projects jointly with suppliers to use external resources to fill internal competencies. However, little is known about the practices…
Abstract
Purpose
Organizations increasingly manage innovation projects jointly with suppliers to use external resources to fill internal competencies. However, little is known about the practices of how companies configure internal and external resources to enhance competitiveness. Drawing on resource orchestration theory, this study aims to propose a novel approach to explain organizational performance using purchasing orchestration (PO) as an antecedent. The paper then tests an empirical model to assess the impact of PO practices on innovation and financial performance.
Design/methodology/approach
Cross-sectional survey data from 247 supply chain managers are used to test hypotheses relating PO to performance. SPSS PROCESS is applied to test conditional direct and indirect effects.
Findings
The positive impact of PO practices on innovation and financial performance is confirmed. Results indicate an organization’s entrepreneurial orientation (EO) can strengthen the positive relationship between PO and financial performance. Structuring, bundling and leveraging external resources are introduced as new organizational capabilities.
Research limitations/implications
This research is based on cross-sectional data, and unidimensional constructs are used.
Practical implications
This research guides managers on the innovation process in light of the growing importance of external resources. The manuscript highlights the role of strategic purchasing in establishing new resource capabilities as a competitive advantage.
Originality/value
This research provides new insights into the relationship between purchasing practices and organizational performance and helps better understand the implications of orchestrating supply chain resources. A novel construct, PO, is introduced as a theoretical basis for studying supply chain-enabled innovation.
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Ahmet Selcuk Yalcin, Huseyin Selcuk Kilic and Emre Cevikcan
The purpose of this article is to develop a new model called strategy segmentation methodology (SSM) by combining the Kraljic portfolio matrix (KPM) and the supplier relationship…
Abstract
Purpose
The purpose of this article is to develop a new model called strategy segmentation methodology (SSM) by combining the Kraljic portfolio matrix (KPM) and the supplier relationship model (SRM) so that the buyer company can effectively conduct its relations with its suppliers.
Design/methodology/approach
The importance weights of the criteria defining the dimensions of each model are calculated with the single-valued neutrosophic analytical hierarchy process (SVN-AHP) method. Subsequently, the derived importance weights are employed in the single-valued neutrosophic technique for order preference by similarity to ideal solution (SVN-TOPSIS) method to obtain the scores of the suppliers and their supplied items. In order to illustrate the feasibility of the proposed methodology, a case study in the machinery industry is performed with the related comparative analysis.
Findings
The implementation of SSM enables to formulate various strategies to manage suppliers taking into account the items they procure, their capabilities and performance and the supplier–buyer relationship strength. Based on the proposed strategies, it is concluded that the firm in the case study should terminate its relationship with six of its suppliers.
Originality/value
Although KPM has become the basis of purchasing strategies for various businesses, it neglects the characteristics of suppliers and the buyer–supplier relationship. In this study, KPM is integrated with the SRM approach presented by Olsen and Ellram (1997) to overcome these disadvantages of KPM. The novel integration of the two approaches enables the realization of a robust and reliable supplier classification model.
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Aluisius Hery Pratono and Asri Maharani
This paper aims to understand how the global supply chain in the medical device industry embraces resilience by adopting agility approach following COVID-19.
Abstract
Purpose
This paper aims to understand how the global supply chain in the medical device industry embraces resilience by adopting agility approach following COVID-19.
Design/methodology/approach
This study adopts an interpretative approach to examine the qualitative data drawn from interviews and observation under dynamic capability theory. The data collection concerned multiple stakeholders involved in purchasing and supply management in the medical device market: manufacturing suppliers, channel partners, hospital management and end-users. The coding analysis uses an application that helps the researchers categorise the nodes and extend the existing literature.
Findings
The findings show that global supply chain leaders leverage the dynamic capability by centralising the business process decision to respond to the shifting demand from the local governments to the national health ministry, shaping the partnership style from the area- to the funnel-based agreement, even though it exposes a risk of product acceptability from the end-users, encouraging the distributor to convert just-in-time approach into holding safety stock to avoid penalty from missing the procurement target even and restructuring the local partners’ debts to manage long-term performance.
Originality/value
This study extends the emerging literature in international business by underpinning dynamic capability theory.
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Prajakta Chandrakant Kandarkar and V. Ravi
Industry 4.0 has put forward a smart perspective on managing supply chain networks and their operations. The current manufacturing system is primarily data-driven. Industries are…
Abstract
Purpose
Industry 4.0 has put forward a smart perspective on managing supply chain networks and their operations. The current manufacturing system is primarily data-driven. Industries are deploying new emerging technologies in their operations to build a competitive edge in the business environment; however, the true potential of smart manufacturing has not yet been fully unveiled. This research aims to extensively analyse emerging technologies and their interconnection with smart manufacturing in developing smarter supply chains.
Design/methodology/approach
This research endeavours to establish a conceptual framework for a smart supply chain. A real case study on a smart factory is conducted to demonstrate the validity of this framework for building smarter supply chains. A comparative analysis is carried out between conventional and smart supply chains to ascertain the advantages of smart supply chains. In addition, a thorough investigation of the several factors needed to transition from smart to smarter supply chains is undertaken.
Findings
The integration of smart technology exemplifies the ability to improve the efficiency of supply chain operations. Research findings indicate that transitioning to a smart factory radically enhances productivity, quality assurance, data privacy and labour efficiency. The outcomes of this research will help academic and industrial sectors critically comprehend technological breakthroughs and their applications in smart supply chains.
Originality/value
This study highlights the implications of incorporating smart technologies into supply chain operations, specifically in smart purchasing, smart factory operations, smart warehousing and smart customer performance. A paradigm transition from conventional, smart to smarter supply chains offers a comprehensive perspective on the evolving dynamics in automation, optimisation and manufacturing technology domains, ultimately leading to the emergence of Industry 5.0.
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