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Managers and academics alike focus on value creation in business relationships. This paper adds to existing literature by analyzing functions of business relationships and their impact on value perception. Applying a customer perspective, direct relationship functions are concerned about payment, quality, and volume. Indirect functions include innovation, access, and scouting. Furthermore, trust and number of alternative suppliers are included in the study. The empirical results illustrate the important role of direct and indirect functions for value creation. Understanding these functions is instrumental for driving customer value, both for the supplier and the seller. Direct functions do have a much stronger impact on value than indirect functions that still do have a significant impact. Thus, increasing direct function fulfillment is much more effective in order to gain key supplier status than relying only on indirect functions. But indirect functions may offer ample differentiation opportunities. Being a strong driver of relationship value, trust is also driven by function fulfillment. Thus, relationship value depends on rational elements (functions) and social elements (trust). Availability of alternative suppliers increases the importance of relationship function fulfillment on customer value and customer trust. In highly competitive markets, suppliers need clear understanding and communication of relationship value in order to succeed.

Supplier diversity has roots in US supply chains going back 50  years. Unfortunately, supplier diversity programs have been hindered by less than wholehearted buyer adoption and stakeholder engagement. The original scoping of supplier diversity also holds limitations when comparing to the multidimensionality of the diversity and inclusion concept. The purpose of this article is to share lessons learned from the development of an innovative supplier diversity program by Moet Hennessy aimed at more sustainably scoping, scaling and stimulating supplier diversity programs.

The development and the design of Moet Hennessy’s supplier diversity program is presented. The design was informed, and partially supported by, a collaboration with the author. Critical reflections on pitfalls and outstanding questions are developed based upon the program design.

Moet Hennessy developed a supplier diversity program that is more comprehensively defined, targets a more global scale and includes innovative stakeholder engagement techniques such as the development of supplier diversity champions in the business. The program also is embedded in existing environmental social and governance initiatives.

Moet Hennessy’s supplier diversity program was not mandated by one of its customers but sourced from an academic collaboration and stimulated by competitive opportunity. The program was designed bottoms up, not top down. The program is sponsored outside of procurement and has champions throughout the business. The program expands beyond the traditional scoping of supplier diversity programs. Pathways and pitfalls for managers are identified based upon insights from Moet Hennessy’s experience. These inform suggestions for further research.

This study aims to empirically test the effects of key characteristics of performance-based contracting (PBC) (i.e. reward/payment scheme, increased supplier autonomy and transfer of responsibilities) on supplier goal commitment.

This study developed a conceptual model applying goal-setting theory (GST), expectancy theory (ET) and job characteristics theory (JCT). Survey data were collected and analyzed using structural equation modeling (SEM) to establish a validated measurement instrument for testing the hypotheses.

The findings revealed that PBC positively affects supplier goal commitment due to its unique characteristics, which translates into improved supplier performance. Furthermore, this study validated the mediating role of goal alignment and felt accountability operating between PBC characteristics and supplier goal commitment.

This study explored the buyer–supplier relationship from the supplier's standpoint. Using a more inclusive data set, future research may involve a dyadic analysis and focus on the effects of the following factors on the supplier goal commitment: relational aspects (e.g. trust and collaboration), the risk transfer from the buyer to the supplier, different incentive schemes and successful PBC implementation factors.

This study presents new, validated insights for contract selection, design and management. It underlines the importance of choosing the proper contract, having the appropriate contract design based on the desired outcomes and effective contract management by exhibiting the psychological/behavioral effect of fundamental PBC characteristics.

PBC represents an active research stream, but its psychological/behavioral implications are understudied. Therefore, this research puts forth a conceptual framework with multiple testable hypotheses illustrating the relationship between PBC and supplier goal commitment.

In product modular design tasks, especially in the high-tech manufacturing industry, buyers and supplies play distinct roles, which may have different impacts on product architectural and modular innovation. Prior research has tended to view product innovation as a holistic concept, overlooking the importance of this differentiated influence. This study, from a modular design perspective, aims to clarify the impact of black-box supplier involvement on product architectural and modular innovation, as well as the influence of product modularity on these relationships.

Based on the theory of product modular design, this study decomposes product innovation into architectural and modular innovation from the perspective of the product internal structure to conduct in-depth theoretical analysis and model construction. A total of 276 valid questionnaires are collected from typical Chinese high-tech manufacturing firms and used to empirically test the constructed theoretical model using multiple hierarchical regression analysis.

The results show that black-box supplier involvement positively affects modular innovation and takes an inverted U-shape, as moderated by product modularity. However, the impact of black-box supplier involvement on architectural innovation shows contradictory differences at different modularity levels. Under a low level of product modular design, black-box supplier involvement has a negative impact on architectural innovation, but under a moderate level of modular design, it has a positive impact. After the degree of modular design exceeds a certain threshold, the impact gradually weakens.

The results provide valuable insights for managers, highlighting the need to avoid oversimplifying the innovation impact of black-box suppliers solely based on overall product innovation. Instead, a more accurate assessment of the innovation contributions of both the buyer and supplier should be based on the degree of architectural and modular innovation. Additionally, the findings suggest that managers should consider the alignment between their company's product modular design features and innovation priorities (i.e. modular innovation or architectural innovation) when determining an appropriate supplier collaborative development strategy.

This study not only reveals the different impacts of black-box supplier involvement on architectural and modular innovation, but also proves the significant synergistic innovation effect of the relationship between black-box supplier involvement and product modularization. It constitutes an enriched and deepened exploration in the existing research on supplier involvement in product innovation.

This paper aims to minimize the mean-risk cost of sustainable and resilient supplier selection, order allocation and production scheduling (SS,OA&PS) problem under uncertainty of disruptions. The authors use conditional value at risk (CVaR) as a risk measure in optimizing the combined objective function of the total expected value and CVaR cost. A sustainable supply chain can create significant competitive advantages for companies through social justice, human rights and environmental progress. To control disruptions, the authors applied (proactive and reactive) resilient strategies. In this study, the authors combine resilience and social responsibility issues that lead to synergy in supply chain activities.

The present paper proposes a risk-averse two-stage mixed-integer stochastic programming model for sustainable and resilient SS,OA&PS problem under supply disruptions. In this decision-making process, determining the primary supplier portfolio according to the minimum sustainable-resilient score establishes the first-stage decisions. The recourse or second-stage decisions are: determining the amount of order allocation and scheduling of parts by each supplier, determining the reactive risk management strategies, determining the amount of order allocation and scheduling by each of reaction strategies and determining the number of products and scheduling of products on the planning time horizon. Uncertain parameters of this study are the start time of disruption, remaining capacity rate of suppliers and lead times associated with each reactive strategy.

In this paper, several numerical examples along with different sensitivity analyses (on risk parameters, minimum sustainable-resilience score of suppliers and shortage costs) were presented to evaluate the applicability of the proposed model. The results showed that the two-stage risk-averse stochastic mixed-integer programming model for designing the SS,OA&PS problem by considering economic and social aspects and resilience strategies is an effective and flexible tool and leads to optimal decisions with the least cost. In addition, the managerial insights obtained from this study are extracted and stated in Section 4.6.

This work proposes a risk-averse stochastic programming approach for a new multi-product sustainable and resilient SS,OA&PS problem. The planning horizon includes three periods before the disruption, during the disruption period and the recovery period. Other contributions of this work are: selecting the main supply portfolio based on the minimum score of sustainable-resilient criteria of suppliers, allocating and scheduling suppliers orders before and after disruptions, considering the balance constraint in receiving parts and using proactive and reactive risk management strategies simultaneously. Also, the scheduling of reactive strategies in different investment modes is applied to this problem.

As buyers and suppliers seek to create value, they face the challenge of creating an environment that promotes coordination and information sharing and discourages opportunism. While the literature suggested dyadic mechanisms to create such an environment, this study focuses on ties beyond the buyer–supplier dyad. Specifically, close connections to one's partner's partners (CPP) are crucial in the realization of benefits for buyers and suppliers.

Drawing from embeddedness theory and governance theory, the authors developed a contingency framework to examine when CPP are beneficial or counterproductive considering two dyadic attributes – relational capital (RC) and partner dependence. Analyses were conducted using data from a dyadic survey complemented with archival data on 106 buyer–supplier relationships (BSRs).

The study reveals that CPP both help and hurt in the realization of benefits. Stark asymmetries exist between the impact of CPP on the buyer and supplier sides. For buyers, CPP exert a direct positive effect on operational and innovation benefits. For suppliers, the effect of CPP on operational and innovation benefits is contingent on buyer dependence and RC – CPP serves as a substitute for buyer dependence and RC. There are no such contingency effects for buyers. Further analysis identifies situations for suppliers when CPP hurt the realization of benefits.

The study highlights the importance of CPP to foster efficiency and innovation within BSRs and illustrates how their impact varies across contingency conditions and across the parties within a dyad.

This study aims to examine small-firm shifts in behavior during major supply chain disruptions that change supply chains permanently. The study focuses on small to mid-sized enterprise (SME) responses to suppliers’ opportunistic behaviors within a larger disruptive environment. The study addresses two broad research questions: how do small businesses adapt to supply chain disruptions, and under what conditions are such adoptions warranted?

This study used mixed methods, a qualitative netnography and a quantitative analysis of survey data. It tested a model based on responses from members of an online business-to-business community. The model development was driven by the findings from netnography and two theoretical lenses.

The responses suggested a strong relationship between the two theoretical approaches. The conditions described by the resource-based view (RBV) of the firm led to many real options. Supply chain disruptions and deceptive suppliers triggered rapid adaptation through traditional marketing tactics and strategies. Changes in the supply chain, and place, led to responses in price, promotion and product. Respondents hoarded, developed relationships with new, nonopportunistic suppliers and changed prices, products and product mixes. They developed cooperative relationships – coopetition – to deal with shared problems.

This study interprets supply chain disruptions through the lens of marketing in SMEs; it combines qualitative and quantitative methods to better understand supply chain disruptions in a marketing context; it applies the real options theory and the RBV of the firm to marketing in the context of supply chain disruptions, and it reflects real-time small-firm behavior in a crisis.

There is sufficient literature on green knowledge regarding supplier selections. Notwithstanding, there are hardly any empirical studies that analyze green knowledge toward supplier selection through the lenses of green intellectual capital (GIC). This paper aims to analyze green knowledge development toward supplier selection through the lenses of GIC.

This study uses an exploratory case study approach involving seven public universities in Ghana. A purposive sampling technique was used in selecting respondents who were interviewed through face-to-face and focus group discussions with a semistructured interview guide. Atlas ti software was used to generate themes for discussion.

The findings of this study attribute the nonapplication of green criteria to supplier selection to low knowledge among practitioners. Training, collaboration, opportunities for further studies and affiliation with professional bodies were identified as means to enhance green knowledge. Green human capital factors that support knowledge enhancement include commitment, capability, skills and ease of understanding.

Green procurement practitioners in public universities in developing countries stand little chance of integrating green criteria into supplier selection if they do not develop their level of knowledge.

Selecting green suppliers is a complex issue for public organizations, particularly universities. This study would therefore help equip managers of public universities and procurement practitioners with the relevant GIC knowledge for the successful integration of green credentials into supplier selection.

This paper highlights the importance of knowledge in green supplier selection. To the best of the authors’ knowledge, analyzing the role of GIC in knowledge development is considered the first of this kind of study.

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.

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.

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.

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.

This research study aims to investigate supplier integration's (SI) impact on supply-side resilience (SSR) while considering the intervening role of supplier sustainability and supplier flexibility (SF).

Grounded in the dynamic capabilities view (DCV), the study posits that integration of the focal firm with firm's suppliers leads to sustainability on the supplier's side, which makes the firms more flexible to work with during disruptive circumstances, resulting in resilience on the supply side. The hypotheses are tested on the data of 181 manufacturing firm supply chain managers from a developing country.

The research findings confirmed the hypothesized model suggesting that SI positively impacts SSR. The results also confirm the existence of sequential mediation of supplier sustainability and SF between the SI–SSR relationship.

The results of this study show that SI is the primary capability for organizations seeking SSR. Furthermore, the supply-side capabilities, to be effective, are developed in a specific order.

This research advances the body of knowledge by identifying the underlying mechanisms through which SI augments SSR.