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1 – 10 of 12Aysu Göçer, Sebastian Brockhaus, Stanley E. Fawcett, Ceren Altuntas Vural and A. Michael Knemeyer
Sustainability continues to be put forth as a strategic priority. However, sustainability efforts are often deemphasized for short-term profitability. This study explores the…
Abstract
Purpose
Sustainability continues to be put forth as a strategic priority. However, sustainability efforts are often deemphasized for short-term profitability. This study explores the nuances in managerial decision-making related to adopting sustainability initiatives within food supply chains in an emerging economy. We identify a complex interaction between sustainability efforts and risk mitigation. We derive a model to explain conflicting company goals, managerial decisions and system design.
Design/methodology/approach
We followed an exploratory research design with an inductive approach. We analyzed data from semi-structured interviews with 29 companies representing different tiers in Turkish food supply chains. We refined and validated the interview findings through a focus group with nine senior managers. We conducted open, focused and theoretical coding in an iterative and reflective manner to analyze the data and derive our results.
Findings
From the data, three themes emerged, indicating that managers are pursuing different, often conflicting, goals concerning value creation, risk management and sustainability performance. Managers identified and commented on new risks brought on by sustainability initiatives. These sustainability-induced risks were seen as a threat to operational performance, a driver of increased costs and a negative impact on product quality and delivery performance. Trade-offs across operating, sustainability and risk management systems create transformational tension that confounds the sustainability adoption decision-making process.
Originality/value
The data from the study was contrasted with a theoretical framework derived from systems theory, goal-setting theory of motivation and the theory of planned behavior. We identified four distinct decision paths that managers pursue. Increased awareness of transformational tension and how it influences managerial decision-making can enhance strategic sustainability system design and initiative success.
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Sebastian Brockhaus, Stanley E. Fawcett, Sammuel Hobbs and Adoley Simone Schwarze
Supplier codes of conduct (CoC) are the primary mechanism companies use to drive corporate social responsibility (CSR) upstream in their supply chains. Companies have…
Abstract
Purpose
Supplier codes of conduct (CoC) are the primary mechanism companies use to drive corporate social responsibility (CSR) upstream in their supply chains. Companies have traditionally used CoC to tackle systemic social issues (e.g. forced labor, wages and working conditions). More recently, CoC have included environmental concerns (e.g. waste treatment, toxic chemicals and pollution). The purpose of this paper is to analyze how companies have evolved their CoC across four points in time between 1999 and 2017. By evaluating changes in the scope, depth and possible regime of sanctions included in CoC, the authors consider whether companies use CoC as either a leveling or a differentiating mechanism.
Design/methodology/approach
The authors employ a competing-theories approach to examine how companies have employed CoC. Specifically, the authors examine the content of CoC between four data points: 1999, 2005, 2010 and 2017 to determine whether CoC are used to maintain comparative parity (institutional theory) or to achieve a distinctive market presence (awareness–motivation–capability (AMC) framework). The sample includes 36 transnational companies. To enable replication, the authors maintained consistent sampling and coding procedures across the four time periods.
Findings
The authors find a significant harmonization and standardization of CoC over time. Alignment occurs at the lower end of acceptable norms – i.e. a lowest-common-denominator approach. Companies have not chosen to take a more aspirational approach that involves raising the bar on social and environmental performance. That is, companies have not attempted to use CoC to differentiate themselves as CSR standard bearers. Provision specificity dropped for the 2010 sample before rebounding in 2017.
Originality/value
The authors juxtapose the findings with a theoretical framework based on the tenets of institutional theory and the AMC framework. The authors conclude that changes in CoC are largely driven by coercive, normative and mimetic isomorphism as opposed to attempts to leverage CoC to create a distinctive image that could be used for competitive advantage. This finding provides context for how the public, investors and managers should view these documents.
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Sebastian Brockhaus, Daniel Taylor, A. Michael Knemeyer and Paul R. Murphy
This research explores the concept of omnichannel fulfillment steering (OFS) and demonstrates how retailers can influence a consumer’s fulfillment decisions through commonly used…
Abstract
Purpose
This research explores the concept of omnichannel fulfillment steering (OFS) and demonstrates how retailers can influence a consumer’s fulfillment decisions through commonly used financial incentives such as discounts, credits and the opportunity to avoid home delivery fees.
Design/methodology/approach
We present insights from two theoretically grounded experiments to examine how different types of financial incentives can be used by omnichannel retailers to steer consumers from home delivery toward three alternative order fulfillment methods (AOFM) – buy-online-pickup-in-store, curbside-pickup and ship-to-locker.
Findings
Our analysis suggests that an opportunity to avoid shipping fees (penalty-avoidance) is a more effective OFS nudge than offering discounts or store credits (rewards). No difference was observed between offering discounts or credits as steering mechanisms; further, no omnichannel steering benefits were observed among the tested AOFMs. Collectively, these findings provide possible justification for retailers’ prioritization of credits to foster customer in-store visits, thus encouraging greater customer engagement and facilitating cross-selling opportunities. Finally, we uncover a penalty-avoidance endowment effect for “free shipping” of purchases over the current industry-standard free shipping threshold.
Practical implications
Retailers might prioritize store credits over discounts as nudges to steer customers toward an AOFM, with buy-online-pickup-in-store offering the greatest benefits for most retailers. Furthermore, using penalty-avoidance OFS incentives over a typical free shipping threshold may increase AOFM selection rates but engender adverse customer reactions.
Originality/value
Advancing the concept of OFS, this study directly informs retailers’ omnichannel incentive programs to nudge customers back into the store. Countering intertemporal choice theory, we could not demonstrate that delayed incentives are less effective than immediate ones. Based on prospect theory, we identify a free shipping endowment effect at a specific reference point along a purchase amount continuum.
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Clinton Amos, Sebastian Brockhaus, Amydee M. Fawcett, Stanley E. Fawcett and A. Michael Knemeyer
The purpose of this paper is to evaluate how service perceptions influence customer views of the authenticity of corporate sustainability claims. The goal of this paper is to help…
Abstract
Purpose
The purpose of this paper is to evaluate how service perceptions influence customer views of the authenticity of corporate sustainability claims. The goal of this paper is to help supply chain decision-makers better understand boundary conditions in order to design more enduring and impactful sustainability programs.
Design/methodology/approach
The authors employ behavioral experiments, subjecting two theoretically derived hypotheses to verification across five diverse industries and two distinct sustainability vignettes.
Findings
Customer service perceptions emerge as a significant boundary condition to the perceived authenticity of sustainability efforts. Subjects attributed significantly higher authenticity toward sustainability efforts in above average vs below average service quality contexts. Further, respondents attributed deceptive motivations to sustainability efforts at companies with below average service.
Research limitations/implications
The authors confirm the underlying tenet of social judgment theory, which suggests that a priori perceptions create a zone of acceptability or rejection. Ultimately, investing in sustainability can lead to counterproductive cynicism.
Practical implications
The authors infer that customers’ willingness to give companies credit for sustainability initiatives extends beyond service issues to any practice that influences a priori perceptions. Supply chain managers must rethink their role in designing both customer service and sustainability systems to achieve positive returns from sustainability investments.
Originality/value
The authors challenge the assumption that customers universally positively view sustainability efforts. If customers hold a priori negative service perceptions, otherwise well-designed sustainability programs may invoke cynical reactions. Thus, sustainability programs may not inoculate firm reputations from adverse incidents. Given they touch both service and sustainability systems, supply chain managers are positioned to holistically influence their design for competitive advantage.
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Daniel Taylor, Sebastian Brockhaus, A. Michael Knemeyer and Paul Murphy
Since the emergence of e-commerce uprooted traditional brick-and-mortar retail in the early 2000s, many retailers have reacted by first independently servicing both the online and…
Abstract
Purpose
Since the emergence of e-commerce uprooted traditional brick-and-mortar retail in the early 2000s, many retailers have reacted by first independently servicing both the online and in-store channels (multichannel retailing) and subsequently integrating both channels to provide a seamless front-end customer interface (omnichannel retailing). Accordingly, firms had to adjust their logistics and supply chain management (SCM) processes from fulfilling orders for each channel separately to integrating channels on the back-end (omnichannel fulfillment). This development is mirrored by an emerging stream of academic publications. The purpose of this paper is to provide a snapshot of the current state of omnichannel fulfillment research via a systematic literature review (SLR) in order to identify omnichannel fulfillment strategies and to establish an agenda for future inquiry.
Design/methodology/approach
This SLR is based on 104 papers published in peer-reviewed journals through December 2018. It employs a six-step process, from research question to the presentation of the insights.
Findings
All selected manuscripts are categorized based on demographics such as publication date, outlet, methodology, etc. Analysis of the manuscripts suggests that the integration of fulfillment channel inventory and resources is becoming an important objective of fulfillment management. Appropriate omnichannel strategies based on retailer attributes are not well understood. Industry specific research has been conducted necessitating generalized extension for retailers. These findings provide a clear opportunity for the academic community to take more of the lead in terms of knowledge creation by proposing paths for industry pursuit of channel integration to successfully implement omnichannel fulfillment. Opportunities for future inquiry are highlighted.
Originality/value
This manuscript proposes a definition of omnichannel fulfillment strategies and identifies fulfillment links that are used interchangeably across channels as the key delimiter between omnichannel fulfillment strategies and related concepts. Six omnichannel fulfillment strategies from the extant literature are identified and conceptualized. Future research opportunities around omnichannel fulfillment, potential interdependencies between the established strategies and their impact on related SCM issues such as distribution and reverse logistics are detailed.
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Sebastian Brockhaus, Moritz Petersen and A. Michael Knemeyer
The purpose of this paper is to explore how big-picture sustainability strategies are translated into tangible product development efforts. The authors assert that most…
Abstract
Purpose
The purpose of this paper is to explore how big-picture sustainability strategies are translated into tangible product development efforts. The authors assert that most sustainable products currently remain confined to niche markets and do not permeate the mainstream. The authors propose that there is a missing link between strategic sustainability goals and operational product development initiatives. The authors establish a path to bridging this gap.
Design/methodology/approach
The manuscript is based on a qualitative research design with a sample of 32 companies. Data were collected from semi-structured interviews with product developers as well as secondary data analysis.
Findings
The authors delineate three empirically derived approaches firms from the sample pursue to develop sustainable products. The authors identify a phenomenon that the authors’ call the fallacy of trickle-down product sustainability. The authors find that only one of the three approaches – codification – is equipped to successfully turn strategic sustainability targets into authentic sustainable products.
Practical implications
This study provides an actionable guide to executives and product developers with respect to bridging the gap between often elusive sustainability aspirations and tangible product improvements via the process of rigorous codification.
Originality/value
This study provides a novel and unique perspective into strategy, sustainability and product development. The authors synthesize the extant literature on sustainable product development, juxtapose the emergent structure with primary interview data, and elaborate the resource-based view (RBV) to provide theoretical and practical implications. The authors establish scalability as the missing RBV capability of many attempts toward mass–market compatibility of more sustainable products.
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Stanley E. Fawcett, Amydee M. Fawcett, August Michael Knemeyer, Sebastian Brockhaus and G. Scott Webb
Despite over 30 years of focus on supply chain collaboration, companies continue to struggle to achieve collaborative advantage. To better understand why some companies are able…
Abstract
Purpose
Despite over 30 years of focus on supply chain collaboration, companies continue to struggle to achieve collaborative advantage. To better understand why some companies are able to collaborate for competitive advantage and others can't, the authors explore how managerial commitment enables collaborative capabilities.
Design/methodology/approach
The authors employed a longitudinal inductive study, interviewing companies with reputations for intense supply chain collaboration at four different times over 20 years.
Findings
The authors identified managerial commitment as a super-ordinate enabler. They describe the dynamics of commitment development and explore three types of commitment: instrumental, normative and transformative. The authors document key antecedents and outcomes of each type of commitment.
Research limitations/implications
Theory regarding the antecedents to commitment to collaborative capability is underdeveloped. The authors elaborate these antecedents and the dynamics that enable or undermine the commitment necessary to build effective collaboration capabilities.
Practical implications
The authors provide insight (i.e. a practical and actionable roadmap) into the process companies use to cultivate commitment to collaboration and value co-creation.
Originality/value
Collaboration is critical to value co-creation, including effective supply chain risk mitigation and lasting sustainability efforts. The authors elaborate a theory of commitment dynamics that explains why most companies never go beyond basic levels of collaboration. At the same time, the authors provide a roadmap for deep, transformative collaboration.
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Sebastian Brockhaus, Stan Fawcett, Wolfgang Kersten and Michael Knemeyer
Regulatory pressure, consumer awareness, and the quest for competitive advantage place sustainable products in today’s decision-making spotlight. The purpose of this paper is to…
Abstract
Purpose
Regulatory pressure, consumer awareness, and the quest for competitive advantage place sustainable products in today’s decision-making spotlight. The purpose of this paper is to explore supply chain dynamics as they relate to sustainable product programs and to empirically develop a framework to align efforts across the supply chain to bring sustainable products to market.
Design/methodology/approach
Grounded in systems design, stakeholder theory, and the theory of planned behavior, the authors conduct an inductive empirical study of 28 European and US companies.
Findings
The authors make three contributions. First, the authors identify six dimensions of product sustainability, which map to the Greenhouse Gas Protocol’s sustainability scope model. Second, the authors model relational dynamics using systems diagrams to provide a framework that: first, communicates a common understanding of product sustainability; and second, facilitates tradeoff analysis. Third, the authors elaborate behaviors needed to reduce ambiguity and compliance costs.
Practical implications
Managers can use the framework to assess product sustainability and evaluate tradeoffs across product dimensions and supply chain participants. Using this insight, managers can design sustainable product programs that engage supply chain participants.
Social implications
By identifying dimensions, defining costs, and uncovering tradeoffs, managers can more effectively implement sustainable product programs.
Originality/value
The framework provides a much needed source of clarity to mitigate role ambiguity, reduce compliance costs, and promote collaborative behavior in bringing sustainable products to market.
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Gunnar Stefánsson, Heidi Dreyer, Gyöngyi Kovács, Henrik Pålsson and Jan Stentoft
Lena Schneider, Carl Marcus Wallenburg and Sebastian Fabel
The purpose of this paper is to identify contingencies that are inherently linked to sustainability and that influence its implementation in companies. Further, to identify which…
Abstract
Purpose
The purpose of this paper is to identify contingencies that are inherently linked to sustainability and that influence its implementation in companies. Further, to identify which coordination mechanisms (organic or mechanistic) are most effective for the implementation on the corporate and on the functional level.
Design/methodology/approach
Inductive case-study based upon a cross-industry sample of five cases that applies a contingency approach. The case companies differ with respect to the degree of sustainability implementation, the underlying internal coordination and structural factors like ownership, size, and industry.
Findings
The data revealed six contingency factors inherent to the implementation of sustainability that influence the effectiveness of organic or mechanistic coordination mechanisms according to the specific implementation context. Further, the implementation of corporate sustainability requires more internal coordination than implementing sustainability on the functional level.
Research limitations/implications
The identified contingencies relevant for the internal coordination to implement sustainability and insights into the relevance of such coordination provide a sound basis for future research. Further, various research avenues are identified to advance the discipline's understanding of this so far under-researched field.
Practical implications
This paper shows that a one-size-fits-all approach to sustainability implementation is not effective. Rather, companies need to consider specific contingencies and adapt their internal coordination efforts accordingly.
Originality/value
This paper is the first to address internal coordination for implementing sustainability on the corporate and functional level. By providing insights on the context-specific effectiveness of different types of internal coordination for the implementation of corporate sustainability, sustainable sourcing, and sustainable marketing it provides a contribution to both academia and industry practice.
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