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Article
Publication date: 23 May 2023

Moh'd Anwer Al-Shboul

Due to the current volatile environment and fierce competition, manufacturing firms (MFs) must improve their performance to survive. In this regard, checking and monitoring the…

Abstract

Purpose

Due to the current volatile environment and fierce competition, manufacturing firms (MFs) must improve their performance to survive. In this regard, checking and monitoring the suppliers' risk should significantly improve the performance of MFs. In addition, a relation based on not being an opportunist, confidence and reliance are influential factors in reducing the supplier defaults on his/her supply obligations and improving supply chain performance (SCP). Besides, the moderator function of supplier involvement (SI) in the relationship between quality of the relationship (QoR) and supply risk mitigation (SRM) is undeniable.

Design/methodology/approach

Based on the survey of 148 samples from small to large-sized MFs in Jordan, Turkey and Egypt, empirical evidence has been conducted to support a majority of the authors’ hypotheses. This paper provides a theoretical review of buyer–supplier relationships and supply risk. Hypotheses were tested by using structural equation modeling (SEM)/Smart PLS-4.

Findings

According to the results, confidence and reliance have statistically significant and positive impacts on SRM, resulting in better SCP. Moreover, the findings show that SI positively affects and moderates the relationship between confidence (C) and SRM, while it has no statistically significant influence on the relationship between reliance (R) and SRM.

Practical implications

This study provides necessary material for managers and decision-makers in MFs to confirm the importance and understanding of the QoR in building relationships and business dealings with partners in the SC, in addition to limiting and mitigating the risks of an interruption in supply in particular. Therefore, building a high-quality relationship as a practice based on trust and reliability with suppliers positively affects the performance of the SCs of MFs.

Originality/value

This research paper offers empirical evidence for using QoR within SRM resources of MFs' context for enhancing their supply chain performance. This study is one of few studies that examine the QoR and SRM that contribute to enhancing SCP in MFs in developing countries, which also can serve as a reference for many SC managers and practitioners.

Details

The TQM Journal, vol. 36 no. 4
Type: Research Article
ISSN: 1754-2731

Keywords

Article
Publication date: 19 April 2024

Xiaohong Chen, Qi Shi, Zhifang Zhou and Xu Cheng

Digital transformation misalignment refers to disparities in digital transformation levels between suppliers and buyers across the production and operation process. It has…

Abstract

Purpose

Digital transformation misalignment refers to disparities in digital transformation levels between suppliers and buyers across the production and operation process. It has negatively affected supply chain stability. However, the existing research concerning the economic consequences has not been adequately addressed. Therefore, this paper aims to investigate whether such digital transformation misalignment increases supplier financial risk and to identify the factors influencing this relationship.

Design/methodology/approach

This paper examines binary combinations of suppliers and buyers listed on China’s A-share market between 2011 and 2021. This group constitutes a sample to empirically test the influence of digital transformation misalignment on the supplier’s financial risk, as well as the moderating effect of the geographical and organizational distances.

Findings

The paper’s findings demonstrate that digital transformation misalignment has indeed a significant increase in the supplier’s financial risk. Moreover, the impact is more intense when the geographical or organizational distance between the supplier and the buyer is relatively large.

Originality/value

The existing literature rarely explores the potential risks arising from digital transformation misalignment between supply chain partners. Therefore, this paper fills a notable gap as it is the first to study the impact of digital transformation misalignment on the supplier’s financial risk and the specific applied mechanisms. The contribution significantly improves the field of corporate digital transformation, particularly, within the context of supply chain management.

Details

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

Keywords

Article
Publication date: 13 September 2023

Veronica H. Villena, Li Cheng and Stefan Wuyts

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…

Abstract

Purpose

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.

Design/methodology/approach

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).

Findings

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.

Originality/value

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.

Details

International Journal of Operations & Production Management, vol. 44 no. 4
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 7 September 2023

Chi Zhang, Mani Venkatesh and Marc Ohana

Drawing on institutional theory, this study investigates the role of individual cultural values on the adoption of socially sustainable supply chain management (socially SSCM) for…

Abstract

Purpose

Drawing on institutional theory, this study investigates the role of individual cultural values on the adoption of socially sustainable supply chain management (socially SSCM) for Chinese suppliers facing the normative institutional pressures of guanxi (interpersonal relationships).

Design/methodology/approach

Using empirical data collected in three waves from 205 Chinese manufacturers supplying international markets, the proposed theoretical model is tested through partial least squares structural equation modeling (PLS-SEM).

Findings

The results indicate that guanxi has a positive impact on socially SSCM, and this positive effect is strengthened when the individual cultural values of the supplier's representative embody high collectivism and low uncertainty avoidance.

Research limitations/implications

This study highlights the leading role of guanxi in improving socially SSCM practices due to its normative institutional force. In addition, the findings suggest that future studies should consider individual differences in supply chain partners, which may lead to distinct reactions when facing normative institutional pressures.

Practical implications

This study suggests international buyers should adopt guanxi management with their Chinese suppliers to encourage them to adopt socially SSCM. In addition, managers should note that the guanxi strategy is more effective when the supplier's representative collectivism is high and uncertainty avoidance is low.

Originality/value

This study contributes to socially SSCM research in emerging economies by unveiling the role of guanxi as a key driver of socially SSCM in the Chinese market and providing empirical evidence of the moderating effect of individual culture on the guanxi normative institutionalization process.

Details

International Journal of Operations & Production Management, vol. 44 no. 4
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 30 January 2023

Xiaoxi Zhu, Juan Liu, Meifei Gu and Changhui Yang

To examine how shareholding affects optimal profits, R&D innovation, NEV market scale and social welfare in two supply chain models with partial and cross ownership patterns.

Abstract

Purpose

To examine how shareholding affects optimal profits, R&D innovation, NEV market scale and social welfare in two supply chain models with partial and cross ownership patterns.

Design/methodology/approach

The gradual retreat of government subsidies has directly weakened the financial support available to the stakeholders of new energy vehicles (NEVs). In this context, upstream and downstream enterprises of NEV are constantly seeking new business models of cooperation to achieve possible win-wins. NEV supply chain shareholding is an emerging new practice for such explorations. However, its performance in the NEV supply chain is seldom investigated. In this paper, we employ a Stackelberg game model to investigate how partial and cross-ownership affect the optimal decisions in a NEV supply chain.

Findings

Results showed that: (1) Compared with the unilateral shareholding model, the battery supplier will benefit from cross-ownership in the supply chain, while the NEV manufacturer will not necessarily benefit from it. At the same time, cross-ownership will bring the greatest incentive for battery R&D (2) Supply chain downstream competition will not necessarily lead to the improvement of the total consumption of NEVs or the level of battery design. Pareto improvement can be brought only when one of the manufacturers holds less than a certain equity threshold. In addition, downstream competition will also not necessarily bring more benefits to the battery supplier.

Originality/value

At present, NEV supply chain management has attracted widespread attention from scholars from all walks of life. Previous studies have been carried out that covers topics such as pricing strategies and optimal profits and the role of NEV in the sustainable development of the automotive industry supply chain, or disparate impacts of government subsidies and carbon emission regulation on supply chain members. However, as far as the authors know, compared with the new emerging NEV corporate practice, the shareholding phenomenon between upstream and downstream in the supply chain of NEV has not been studied in the existing studies.

Details

Kybernetes, vol. 53 no. 4
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 22 April 2024

Hua Liu and Shaobo Wei

Drawing upon resource dependence theory, this study aims to examine how a firm’s information technology (IT) capabilities (i.e. IT integration and IT reconfiguration) influence…

Abstract

Purpose

Drawing upon resource dependence theory, this study aims to examine how a firm’s information technology (IT) capabilities (i.e. IT integration and IT reconfiguration) influence its responses to disruptions – bridging with a current supplier and buffering with an alternative supplier. We further examine how such relationships are moderated by the firm–supplier relative dependence (i.e. firm dependence advantage and supplier dependence advantage).

Design/methodology/approach

Based on data from 141 match-paired surveys of firms in China, we test our model.

Findings

Our study finds that IT integration positively influences bridging and IT reconfiguration positively influences buffering. Furthermore, our findings indicate that the positive impact of IT integration on bridging is negatively influenced by the firm’s dependence (FD) advantage but positively moderated by the supplier’s dependence advantage. By contrast, the positive impact of IT reconfiguration on buffering is negatively influenced by the FD advantage.

Originality/value

Our study provides a more nuanced insight into the effects of IT capabilities on disruption responses and a better understanding of the buyer–supplier dependence boundary conditions under which these effects vary.

Details

Industrial Management & Data Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 25 March 2024

Kristin B. Munksgaard, Morten H. Abrahamsen and Kirsten Frandsen

This study aims to investigate how companies’ understanding of the business network influences the creation of value in business-to-business relationships. The authors do this by…

Abstract

Purpose

This study aims to investigate how companies’ understanding of the business network influences the creation of value in business-to-business relationships. The authors do this by analysing dimensions in actors’ “network pictures” and illustrating how value perception and network understanding influence actors’ mutual effort to create value. Approaching relationship value from the point of actors’ cognitive understanding of their business network has so far been largely overlooked in relationship value research.

Design/methodology/approach

This study applies a qualitative case study methodology whereby dyadic data from a well-established business-to-business relationship is collected from 18 company representatives through personal interviews and group interviews supplemented by participant observations and company data.

Findings

The findings contribute with new insight into how companies’ understanding of their surrounding network influence (facilitates or limits) relationship value creation. The authors find that companies continuously reflect on changes in their networks and the related changes in partners’ value perceptions. Through value articulations, companies seek to explicitly express their value perception. Value reflections and value articulations create a dynamic process formed not only by the individual actor but also through their relationship and engagement in their network environment. This requires companies to develop their networking capabilities.

Research limitations/implications

This paper presents findings, insights and contributions limited to a case study of a particular business relationship within an industrial setting. Although the findings and contributions are valid and in line with the criteria for rigorous qualitative research, the authors advocate and call for additional studies that investigate relationships value creation and address the interplay between actors’ network understanding and their actions and behaviour. One way to approach this would be to test the four propositions derived and presented as part of the present study.

Practical implications

The findings imply that management needs to be aware not only of the value created and delivered to a specific partner but also of how the partner’s understanding of the wider network will influence the value delivering and capturing process.

Originality/value

This study contributes to the growing literature on relationship value creation by outlining a dynamic process where relationship partners reflect upon and articulate value. Such activities are influenced by the partners’ network understanding and form the basis of the mutual relationship value creation effort. The findings also contribute to the network pictures literature by emphasizing insights into the formation of value perceptions through actors’ understanding of their surrounding networks.

Details

European Journal of Marketing, vol. 58 no. 4
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 3 April 2024

Rui Zheng, Sheng Ang and Feng Yang

Research on the relationship between customer bargaining power and supplier performance in supplier–customer relationships has flourished in recent decades. This study aims to…

Abstract

Purpose

Research on the relationship between customer bargaining power and supplier performance in supplier–customer relationships has flourished in recent decades. This study aims to empirically investigate whether product market overlap (PMO) in a supply chain moderates the effect of customer bargaining power on supplier profitability.

Design/methodology/approach

This study uses large-scale secondary data from multiple databases. Econometric panel data techniques are used to test the hypotheses.

Findings

The results show that PMO in a supplier–customer relationship and PMO in supplier–supplier relationships both exacerbate the negative effect of the bargaining power of customers on supplier profitability.

Originality/value

This study contributes to the field of supply chain management. This study brings new insights into the ongoing debate surrounding the relationship between customer bargaining power and supplier profitability. The study also contributes to the literature on supply chain networks by showing the impact of indirect supply chain relationships.

Details

Journal of Business & Industrial Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 23 February 2024

Poonam Oberoi and Fatiha Naoui-Outini

This study aims to investigate purchasing manager’s core competencies during supplier collaboration and explain the mechanism through which these competencies can affect…

Abstract

Purpose

This study aims to investigate purchasing manager’s core competencies during supplier collaboration and explain the mechanism through which these competencies can affect purchasing firm’s innovative performance.

Design/methodology/approach

The authors conducted 22 semidirective interviews with managers in diverse functions such as purchasing, supply-chain management and product development across industries and across nations (mostly India and France), which allow to formulate the propositions.

Findings

Through open coding, the authors identify three path-dependent, causally ambiguous and socially complex core competencies of purchasing managers: relational and emotional, communicational and creative and cognitive competencies; and through axial coding, the authors explain how these intangible core competencies support implementation of market orientation. To provide supporting arguments for the propositions, the authors use the resource-based view of the firm and dynamic capability theory.

Research limitations/implications

The first theoretical contribution of this study is focusing on the impact of competency–capability dyad in terms of performance. The second theoretical contribution of this study is to identify market orientation as a flexible and dynamic managerial capability.

Practical implications

The first managerial contribution is that the authors have identified and described three sets of a purchasing manager’s core competencies during supplier collaboration that affect the firm’s performance: relational and emotional, communicational and creative and cognitive competencies. The second managerial contribution relates to the mechanism through which purchasing managers’ core competencies during supplier collaboration affect firms’ outcomes.

Originality/value

The value of the results is in the explanation of the mechanism, i.e. market orientation dynamic capability, through which the competencies of purchasing managers can affect purchasing firm’s innovative performance.

Details

Journal of Asia Business Studies, vol. 18 no. 2
Type: Research Article
ISSN: 1558-7894

Keywords

Article
Publication date: 16 April 2024

Chenchen Weng, Martin J. Liu, Jun Luo and Natalia Yannopoulou

Drawing on the social presence theory, this study aims to explore how supplier–customer social media interactions influence supplier observers’ trust in the customers and what…

Abstract

Purpose

Drawing on the social presence theory, this study aims to explore how supplier–customer social media interactions influence supplier observers’ trust in the customers and what mechanisms contribute to variation in trust experience.

Design/methodology/approach

A total of 36 semi-structured interviews were conducted with Chinese suppliers using WeChat for business-to-business interactions. Data were analyzed in three steps: open coding, axial coding and selective coding.

Findings

Findings reveal that varied trust is based not only on the categories of social presence of interaction – whether social presence is embedded in informative interactions – but also on the perceived selectivity in social presence. Observer suppliers who experience selectivity during social and affective interactions create a perception of hidden information and an unhealthy relationship atmosphere, and report a sense of emotional vulnerability, thus eroding cognitive and affective trust.

Originality/value

The findings contribute new understandings to social presence theory by exploring the social presence of interactions in a supplier–supplier–customer triad and offer valuable insights into business-to-business social media literature by adopting a suppliers’ viewpoint to unpack the mechanisms of how social presence of interaction positively and negatively influences suppliers’ trust and behavioral responses.

Details

Industrial Management & Data Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0263-5577

Keywords

1 – 10 of 66