Search results

The complexity of supplier-partner networks in the information technology (IT) sector where large suppliers utilize thousands of authorized partners requires that organizations reconsider their approach to governing and managing the relationships involved. Traditional dyadic approaches to governance are likely to prove inadequate. The purpose of this paper is to investigate the relationship between network governance mechanisms and relationship performance. Specifically, the authors examine the contingent effect of certification of partners and the use of partner communities (as formal and informal mechanisms of network governance, respectively), on complex and embedded networks of relationships.

A model examining the effect of formal and informal network governance on the relationship between embeddedness (structural and relational) and relationship performance is developed. Data were collected from a sample of partners of leading IT suppliers in the UK and Ireland. Three-way interactions assess the contingent effect of certification and partner communities on the relationship between embeddedness and relational performance.

Results support the use of a combination of certification and partner communities to strengthen the link between network structure (structural embeddedness) and relational embeddedness, as well as relationship performance. Certification requires the sharing of explicit knowledge with partners whereas partner communities aid the creation and dissemination of more tacit, contextual knowledge. Furthermore, partner communities reinforce positive perceptions of fairness in suppliers’ network management practices, overcoming any perceptions of lock-in or coercive control that certification may suggest.

Certification, despite all its procedural and reputational benefits, damages partner relationships and needs to be supported by partner communities, which themselves show particularly strong benefits in enhancing network relationships.

Despite the emerging prevalence of certification and partner communities in business-to-business relationships, to date there is a paucity of research on their effects on partner relationships and performance. Organizations with an extensive network of similar partners may suffer network overload. This research shows that such organizations can manage their partner network more effectively through network governance mechanisms, thereby addressing the challenge of overload.

The purpose of this paper is to investigate the effects of a commercial partnership in a project‐type supply chain. The research focuses on the performance of suppliers who develop a partnering mechanism for procurement of complex manufacturing projects. In total, four supply chain metrics are evaluated: project scope change, ratio of actual‐to‐estimated project costs, gross profit margin, and delay in deliverable shipments. Hypotheses are formulated to contrast partnerships and arms‐length relationships for industrial procurement. Statistical results support the conclusion that supplier performances improve under partnership.

Four supply chain metrics were generated through review of literature and in‐depth field study. The authors utilized the supply chain management, project management, and principal‐agent theory literature to develop hypotheses to examine effects of instituting a partnership agreement. A case study approach was employed to collect financial and operational data from 167 projects among a manufacturing supplier and a group of customers that purchase industrial analyzer systems. Statistical techniques were employed for hypothesis testing.

The findings from the authors' empirical work support the prediction in partnership literature that suppliers' operational and financial performances improve after they and manufacturing customers jointly implement partnerships. A supplementary finding also suggests that a manufacturer should develop partnering mechanisms with suppliers to achieve higher performance for both the individual firms and the entire supply chain.

This study, like other “before and after” analyses, encounters limitations on causality. Advanced techniques, e.g. cause‐effect investigation with richer data, are hence necessary to validate the causal relationships between performance metrics and their drivers. This study focuses only on the supplier's side of the supply chain and its partnership in a specific industrial setting. Future research may consider studying the joint performance by supplier‐customer dyads in commercial partnerships with variations of partnering agreements.

Partnerships motivate trading partners to engage in higher level of coordination. Transactional hazards can be reduced and performance may improve under the partnering mechanism. The manufacturer may design the procurement partnership as a collaborative mechanism, thus helping a partnering supplier and itself to obtain increased mutual gains.

The paper provides detailed information of a unique case study of the partnership in a project‐type supply chain, which is relatively new in the literature. Research streams on supply chain management, project management, and principal‐agent theory are integrated to evaluate supplier performance. Empirical results confirm partnership impacts on suppliers' business performance.

To advance research on channel relationship management, this study aims to test for the impacts of a channel member’s perception of exclusion from a supplier’s distribution channel networks (i.e. out-of-the-channel-loop perceptions [OCLP]) on supplier–channel partner relationships. The authors also systematically develop and empirically validate a scale to measure OCLP.

This paper reports two empirical studies. The first develops a new scale for OCLP, following established approaches. The second tests the hypotheses. Survey data from a sample of channel firms operating in four industries were subjected to partial least squares modelling in the test of the hypothesized main and moderating effects.

The authors developed the new scale, including eight items, that capture OCLP from both social and economic perspectives. The results also show that OCLP has negative impacts on channel members’ psychological and behavioural outcomes (satisfaction, information sharing, positive word of mouth), after controlling for the effect of perceived unfairness. Channel partner perceived peer support emerges as a boundary condition of the impact; perceived informational support attenuates, whereas emotional support amplifies, the impact of OCLP.

This study suggests new research opportunities for explaining business-to-business marketing relationships using newly conceptualized OCLP.

This study highlights that suppliers must recognize the potential for negative consequences of OCLP and manage these perceptions to minimize the negative implications. For suppliers, this study also offers several tools for managing OCLP.

This study introduces ostracism concepts to marketing channel literature to study a potential detriment to channel relationships. The proposed scale captures channel partners’ sense of exclusion from supplier relationships. It provides initial insights into the direct impacts on channel relational outcomes and associated boundary conditions.

Partnering has been at the top of the management agenda in the construction industry for many years as a means of improving performance. Previous research shows that partnering has not reached the desired level of strategic partnering, but stopped at project partnering. The purpose of this paper is to provide an analytical framing for transformation from project partnering towards strategic partnering with suppliers.

The framework is based on two building blocks: a case study of a contractor involved in implementing strategic partnering with four of its suppliers and a literature review dealing with partnering in construction; and models for close and long-term buyer-supplier collaboration in other contexts.

Transformation towards strategic partnering should preferably be based on extension of project partnering in two dimensions: extension in time through relationship development with suppliers and extension in space through increasing network orientation across projects.

Succeeding with relationship development and network orientation requires contractors to abandon two significant aspects of established construction logic that serve as significant implementation barriers. Competitive bidding in single projects needs to be replaced by collaboration over series of projects. The decentralisation of authority to the project level needs to be supplemented with increasing centralised decision making.

Previous research showed that despite the considerable interest in partnering there is a lack of systematic theorizing of the phenomenon. This paper contributes to theoretical anchoring through the combining of the case study and the literature review in the abductive approach applied.

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 provides a comprehensive framework of adaptation in triadic business relationship settings in the service sector. The framework is based on the industrial network approach (see, e.g., Axelsson & Easton, 1992; Håkansson & Snehota, 1995a). The study describes how adaptations initiate, how they progress, and what the outcomes of these adaptations are. Furthermore, the framework takes into account how adaptations spread in triadic relationship settings. The empirical context is corporate travel management, which is a chain of activities where an industrial enterprise, and its preferred travel agency and service supplier partners combine their resources. The scientific philosophy, on which the knowledge creation is based, is realist ontology. Epistemologically, the study relies on constructionist processes and interpretation. Case studies with in-depth interviews are the main source of data.

Companies are expected to achieve a high level of customer satisfaction in order to outperform their competitors. Many companies focus on how they themselves can do better to meet their customers’ needs. However, they may not be aware that they can best satisfy their customers by teaming up with their suppliers. This study suggests that a company can sustain its performance by extending TQM principles beyond its internal boundaries, i.e. it should partner with its suppliers. This paper studies the factors that lead to successful partnering with suppliers and how supplier partnering can help a company improve its performance. This paper proposes that companies can improve suppliers’ satisfaction and solicit their contribution through satisfying their needs, developing cooperative goals, and interacting constructively with suppliers. Moreover, it argues that supplier satisfaction and contribution will lead to customer satisfaction. Results from 139 supply chain managers show that partnering with suppliers can help companies achieve higher customer satisfaction.

Supply chain partnering (SCP) in internationally operating companies is still not adequately addressed in the literature. The purpose of this paper is to examine the factors towards effective SCP across two organizations of different origins (Company A and Company B).

The central issue is to investigate how information flow, organizational linkage, supply chain infrastructure, and resource sharing exhibit themselves in the SCP through a case study method.

The interviews reveal that Company B tends to be a reluctant player and is far more skeptical about the benefits afforded through such a relationship. It can also be concluded that Company B is less interested in the benefits gained and is more likely to highlight the risks associated with heightened dependence on a smaller number of suppliers. On the one hand, it can be stated that Company B thinks about the gains afforded by partnering supply chains but is more easily swayed by traditional purchasing metrics related to cost or initial purchase prices. On another level, Company A seems to fully participate in SCP efforts and sees the benefit from such a relationship.

The interviews are necessary for developing basis understanding on how companies implement SCP, especially to examine the factors that contribute to its successful. The study suggests that larger number of sample need be used.

From the case study, it is believed that firms appear to confirm a positive and significant relationship between the degree of resource sharing and organizational linkage, if they see that scalable partnering efforts as hypothesized are workable.

The case study highlights is the important role of the partnering to support supply chain process and to deliver high‐quality service. This is important because the profitability and survival of the chains depend on how well partnering concept been implemented.

The purpose of this paper is to develop a meta-model that systematically aggregates and organizes research on “partner selection” in interorganizational relationships (IORs), which is scattered across several disciplines, to help future researchers explore various aspects of this control mechanism in a more consistent manner. This paper also aims at critically reviewing each aspect of this control mechanism examined in the prior literature and identifying important research trends.

This paper conducts a comprehensive review and in-depth analysis of the key theoretical and empirical research findings on partner selection in IORs by identifying 172 papers across 46 journals that specifically discuss this control mechanism. A meta-model approach is adopted to review and identify the shortcomings in extant research and provide guidance to future researchers on exploring unanswered research questions. Moreover, maps are constructed using the Luft and Shields’s (2003) approach to graphically present the causal-model forms examined in this topic area.

This meta-model shows how the research on partner selection in IORs is scattered across different disciplines, resulting in its inconsistent evolution with researchers, in many cases, not being able to effectively synthesize contributions from fields that are not their own or not closely allied. The causal-model forms also enable rapid tracing of what has been researched.

There has been considerable research on control mechanisms in IORs till date. However, “partner selection,” which is an important control mechanism, has received little attention and is often neglected. To the best of the author’s knowledge, this paper is the first to develop a meta-model to consolidate knowledge on this topic that is important for further advancement of research.

Based on a review of the Chinese ethic of bao (reciprocity), this paper aims to study the issue of reciprocity of trust at firm level by analyzing multiple-source data while controlling for the effects of several contextual variables.

The authors collected data from the supplier–buyer partnerships in China’s automotive industry. Hierarchical linear regression approach is adopted to test the hypotheses.

The data show that reciprocity of trust between parties involved has a significantly positive effect on the stability of the supplier–buyer partnership, and that this reciprocity also moderates the relationship between trust itself and stability. In addition, several contextual variables, i.e. the suppliers’ sensitiveness to their buyer’s need, personal contact of top managers, motivation to develop symbiotic partnership and firm location, can also have significant and positive effects on the stability of the supplier–buyer partnership.

This study presents empirical evidence on how the Chinese ethic of bao may influence the stability of the supplier–buyer partnerships, suggesting that examining this Chinese cultural element is a useful exercise. Related to this issue, the data show that the level of trust between the parties in business transactions differs, and that this difference influences the stability of the partnership. In addition, the study suggests that several other factors have significant and positive effects on the stability of the partnership. Interestingly, the data suggest that these effects are more likely to be observed when the reciprocity of trust or bao between the partners is taken into account. By demonstrating empirically the significant direct and moderating effect of bao or reciprocal trust, this study makes an important contribution to the literature on trust and the stability of the supplier–buyer partnership.