Building high performance supply-chain relationships for dynamic environments

2019 ◽  
Vol 26 (1) ◽  
pp. 80-101 ◽  
Author(s):  
Muhammad Usman Ahmed ◽  
Mehmet Murat Kristal ◽  
Mark Pagell ◽  
Thomas F. Gattiker

Purpose The purpose of this paper is to explore how different forms of integration interact with environmental dynamism to influence the outcomes of a buyer–supplier relationship (BSR). Specifically, the authors assess the impact of communication, operational process integration (OPI) and joint knowledge exploration (JKE) on the economic value and competitive differentiation generated by the BSR. Furthermore, the authors assess the moderating role of environmental dynamism in changing the performance implications of these different forms of integration. Design/methodology/approach The authors empirically test the theoretical model using survey data collected from North America. The authors apply techniques such as confirmatory factor analysis, regression and a variety of robustness checks to ensure the validity of the findings. Findings The results indicate that OPI and JKE are useful in generating higher value from key supply chain relationships. However, communication does not directly influence performance outcomes, rather it assists in the implementation of other forms of integration. In stable environments, better returns can be obtained from focusing on OPI, while in dynamic environments JKE becomes far more important. Originality/value This study shows that different aspects of integration have very different performance implications and that selective integration can outperform broad-based integration in some conditions. More importantly, the performance implications depend on environmental dynamism in unique ways, where greater integration is not always the best response to dynamic business conditions. The results allow managers to make better decisions regarding what forms of integration to establish in key supply chain relationships.

2019 ◽  
Vol 32 (2) ◽  
pp. 519-547 ◽  
Author(s):  
Muhammad Irfan ◽  
Mingzheng Wang ◽  
Naeem Akhtar

Purpose The purpose of this paper is to emphasize the underlying mechanism through which firms can achieve supply chain agility and augment business performance from the vendor’s perspective. Design/methodology/approach Drawing on dynamic capability view and contingency theory, the study conceptualizes a moderated mediation model to investigate the underlying influence of process integration (PI), supply flexibility and product-related complexity on supply chain agility and the subsequent effect of supply chain agility on firm’s business performance. Survey data from a sample of 148 firms, in the garment manufacturing industry, in Pakistan were analyzed using partial least square methods. Findings The results revealed that supply flexibility (i.e. volume and mix) mediates the effect of PI on supply chain agility. Supply chain agility, in turn, influences a firm’s business performance. Furthermore, the competence‒capability framework is not consistent across the varying degrees of product complexity such as product complexity hinders the effect of supply flexibility on supply chain agility, whereas it amplifies the impact of PI on supply chain agility. The conditional indirect effects suggest that the indirect effect of PI on supply chain agility through supply flexibility becomes stronger when product complexity is high. Originality/value The study is novel in the context of an emerging economy to educate fashion vendors to tune their competencies and capabilities to regain the market share in the global market place.


Author(s):  
Tyler R. Morgan ◽  
Robert Glenn Richey Jr ◽  
Chad W. Autry

Purpose – The purpose of this paper is to explore the influence of collaboration and information technology (IT) on the reverse logistics competency of firms. Through collaboration firms can improve their ability to handle returns, but this research introduces IT as providing a moderating influence over the impact of collaboration in the advancement of a reverse logistics competency. Design/methodology/approach – A survey was administered to employees involved with supply chain relationships. Empirical evidence from 267 respondents is analyzed with structural equation modeling. Findings – Support is found for the positive moderating influence of an IT competency on the relationship between collaboration and a reverse logistics competency. Additional benefits for logistics performance are also realized. Research limitations/implications – This research provides theoretical implications for the development of a reverse logistics competency through an application of resource-based theory/resource-based view of the firm. The study is limited to the selected research questions and sample of predominantly US firms. Practical implications – This research assists managers as they attempt to develop a reverse logistics competency to address the growing problem of returns through collaboration with supply chain members and the development of an IT competency. Originality/value – The framework developed in this research provides insights regarding the handling of product returns. Specifically, the moderating influence of an IT competency is addressed as it enhances the impact of collaboration on the development of a reverse logistics competency.


2018 ◽  
Vol 38 (3) ◽  
pp. 636-666 ◽  
Author(s):  
Araceli Rojo ◽  
Mark Stevenson ◽  
Francisco Javier Lloréns Montes ◽  
Maria Nieves Perez-Arostegui

Purpose The purpose of this paper is to analyse the relationship between environmental dynamism and supply chain flexibility (SCF) and to evaluate if two dynamic capabilities, i.e. operational absorptive capacity (OAC) and organisational learning (OL), are necessary competences for firms to develop such a responsive supply chain strategy as flexibility. Design/methodology/approach Hypothesised relationships are tested with survey data from 302 Spanish manufacturing firms using structural equations modelling. Findings Environmental dynamism is positively associated with both OAC and OL, and both dynamic capabilities enable SCF. The authors also find that the relationship between environmental dynamism and SCF is partially mediated by both dynamic capabilities. Research limitations/implications The study contributes to the literature, for example, by determining when it is advantageous to develop SCF, by specifying what capabilities a firm needs to develop to align SCF with the environment, and by opening the black box that is the relationship between the environment and SCF. Practical implications Managers should develop SCF via OAC and OL when they detect a high degree of environmental dynamism. Knowing when this is necessary relies on a good understanding of the environment. OAC is found to be a stronger enabler of SCF than OL. The findings provide managers with an insight into why some firms are able to develop more effective responses to dynamic environments than others. Originality/value This study is one of only a limited number of studies that adopt a dynamic capabilities approach to supply chain management. Prior literature has shown that dynamic capabilities can aid in developing strategic, structural, and operational flexibility. The authors extend this literature by showing that OAC and OL have an effect on SCF.


2017 ◽  
Vol 22 (2) ◽  
pp. 122-144 ◽  
Author(s):  
Anabela Soares ◽  
Ebrahim Soltani ◽  
Ying-Ying Liao

Purpose The extant literature highlights the notable lack of a consensus among operations and supply chain management scholars regarding the theoretical underpinnings and associated empirical evidence for the performance impact of supply chain quality management (SCQM) practices on quality. The purpose of this paper is to redress this imbalance in the literature through empirical examination of the relationship between SCQM practices and quality performance outcomes. Design/methodology/approach In accordance with the research aim, a quantitative approach was adopted, and a multi-item scale Web-based survey was designed to collect primary data. A total number of 325 questionnaires were collected from a sample of UK-based manufacturing companies. Factor analysis, internal consistency and multivariate regressions were used to validate the multi-item scale and test the hypotheses. Findings The findings confirm the proposed hypotheses and reveal statistically significant results for the performance impact of SCQM practices on quality at an aggregate level. However, the results of the individual level analysis of SCQM practices appear to vary from practice to practice. Of various SCQM practices, customer focus with the highest beta value (i.e. ß = 0.303; t-value = 6.120; p = 0.000) was found to have the greatest impact on quality performance. Practical implications The findings encourage managers to place high priority on both inter-firm and intra-firm relationships as prerequisites for achieving superior quality performance. The propositions and the results of the study provide managers with some guidelines about effective management of upstream, midstream and downstream supply chain networks and awareness of the potential synergies arising from the combined effects of SCQM practices that could bring about desired quality performance outcomes across the entire supply chain network. Originality/value Real and sustainable quality performance often requires an equal focus on both intra- and inter-firm relationships among supply chain partners. Therefore, effective management of quality across the entire supply chain is deemed essential if a firm is to smoothly supply high-quality products and services to customers. But little research has been devoted to understanding conceptual underpinnings of SCQM as well as empirical support and validation for the conceptualisation and measurement of SCQM practices. Based on the insights gained from social network theory, this paper makes an attempt to address this gap and examine the impact of SCQM practices on quality performance.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mauro Fracarolli Nunes ◽  
Camila Lee Park ◽  
Ely Paiva

PurposeThe study investigates supply chain leaders’ initiatives to support their partners in the early stages of the coronavirus disease-2019 (COVID-19) pandemic, identifying measures taken to increase supply chain resilience and their impact on the quality of supply chain relationships.Design/methodology/approachTwo complementary phases are employed. First, an exploratory approach is adopted, with the method of discourse analysis being employed in the identification of the supplier crisis response strategies by S&P500’s top 30 firms. Second, two scenario-based experiments with 983 participants evaluated the impact of such strategies in two dimensions of supply chain relationships’ quality (supplier satisfaction and supplier commitment).FindingsPhase one revealed five initiatives’ groups adopted: safety measures, innovative tools, information and knowledge sharing, supply chain finance and supply chain continuity. Phase two results indicate that supplier crisis response strategies have positive effects on both supplier satisfaction and commitment. Data also suggest that safety measures, innovative tools, and information and knowledge sharing strategies negatively impacted supplier satisfaction and commitment, when compared with strategies adopted by other buying firms competing for the same supplier. Supply chain continuity was negatively associated with both dimensions when other buying firms implemented innovative tools and information and knowledge sharing strategies with their suppliers, while supply chain finance yielded in no differences in comparison to strategies adopted by competing buying firms.Originality/valueThe authors offer a theoretical typology for supply chain resilience (i.e. natural and artificial), providing support for buying firms’ decisions regarding supplier crisis response strategies through the strengthening of artificial supply chain resilience to increase the likelihood of vulnerable key suppliers’ survival.


2016 ◽  
Vol 23 (7) ◽  
pp. 1658-1676 ◽  
Author(s):  
Muhammad Shakeel Sadiq Jajja ◽  
Vijay R. Kannan ◽  
Shaukat Ali Brah ◽  
Syed Zahoor Hassan

Purpose Supply chain strategy is widely recognized as being a crucial component of a broader corporate strategy. However, the relationships between a firm’s strategic supply chain focus, the tactical orientation of its suppliers, and the firm’s performance, are less well understood. Much of what is known is also based on developed country contexts. The purpose of this paper is to empirically examine relationships between a buying firm’s supply chain strategy and operational dimensions of its suppliers in a developing country context. Design/methodology/approach A structural equation model is developed and tested using empirical data drawn from 296 organizations in India and Pakistan. Findings The results demonstrate a positive relationship between a firm’s strategic supply chain focus (lean and responsiveness) and key supplier practices (quality, cost effectiveness, delivery, and flexibility), which in turn have a positive impact on firm performance (operational, quality and market, and financial). Practical implications The study paper offers supply chain managers in developing markets with insights that can shape effective supplier selection and management and lead to positive performance outcomes. Originality/value The results provide insights into supply chain strategy, and empirically validate the importance of the alignment between strategy and the ability of suppliers to execute in a corresponding manner. It also offers evidence of the impact of the buyer-supplier interface in a developing market context.


2016 ◽  
Vol 38 (3) ◽  
pp. 438-462 ◽  
Author(s):  
Margaret Heffernan ◽  
Brian Harney ◽  
Kenneth Cafferkey ◽  
Tony Dundon

Purpose – While an established stream of research evidence has demonstrated that human resource management (HRM) is positively related to organisational performance, explanations of this relationship remain underdeveloped, while performance has been considered in a narrow fashion. Exploring the relevant but often neglected impact of creativity climate, the purpose of this paper is to examine key processes (mediation and moderation) linking high-performance human resource practices with a broad range of organisational performance measures, including employee performance and HR performance. Design/methodology/approach – The paper draws on a People Management Survey of 169 HR managers from top performing firms in the Republic of Ireland. Findings – The findings provide general support for the role of creativity climate as a key mediator in the HRM-performance relationship. The impact of HPWS on performance is judged universal with little evidence of variation by strategic orientation. Practical implications – Sophisticated HRM is found to directly impact a range of organisational performance outcomes. Creativity climate provides an understanding of the mechanisms through which such impact takes effect. Organisations should develop a clear and consistent HR philosophy to realise HR, employee and organisational performance. Originality/value – The paper offers a more intricate understanding of the key factors shaping both the operation and impact of the HRM-performance relationship. Creativity climate offers an important vehicle to better understand how the HRM-performance relationship actually operates. The paper also highlights the potential of examining multiple organisational performance outcomes to offer more nuanced and considered insights.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lu Yang ◽  
Baofeng Huo ◽  
Minhao Gu

PurposeThis study looks beyond firm boundaries to depict supply chain (SC) adaptability and classifies it into internal, customer and supplier dimensions to investigate their performance implications, respectively. This study also examines the enablers of SC adaptability based on information processing theory.Design/methodology/approachThis study applies the structural equation modeling method to investigate relationships among SC information sharing, SC adaptability and operational performance using data collected from 216 manufacturers in China.FindingsInternal information sharing has a positive impact on three dimensions of SC adaptability, whereas supplier and customer information sharing only have a positive impact on supplier adaptability. Customer and supplier information sharing interact to positively influence the three dimensions of SC adaptability, while internal and customer information sharing interact to negatively affect customer adaptability. We also find that all the three dimensions of SC adaptability can enhance operational performance.Originality/valueThis study contributes to providing a holistic definition of SC adaptability and classifies it into three dimensions. It also investigates antecedents and performance outcomes of SC adaptability.


2016 ◽  
Vol 21 (1) ◽  
pp. 125-139 ◽  
Author(s):  
Amin Maghsoudi ◽  
Ala Pazirandeh

Purpose – This paper aims to, by connecting to the ongoing conversation on the importance of supply chain visibility, empirically examine the impact of visibility in supply chain relationships, on resource sharing among and on the performance of humanitarian organizations. Design/methodology/approach – Survey data were collected from 101 humanitarian organizations in Southeast Asia. The organizations all experienced being interconnected within the supply chain relationships formed in humanitarian response settings. Data are used to test the conceptually developed model, using the structural equation modeling-partial least square (SEM-PLS) approach. Findings – Results show that visibility has a significant impact on resource sharing and the performance of the organizations, especially in terms of the willingness to share resources, resources used and flexibility of organizations. The results also show that, in situations of high uncertainty, the association between resource sharing and performance becomes weaker. Research limitations/implications – The study is limited to the method used. Practical implications – Findings of this research provide insights for humanitarian practitioners on the need to increase visibility of the scarce resources available within the relationships formed during a disaster relief operation to improve overall disaster response. The level of uncertainty in terms of needs assessment, number of affected people, location of a disaster and so forth, is also taken into account in the recommendations made. Originality/value – This study is among the first to empirically test the link between visibility, resource sharing and performance, specifically in a humanitarian context, which is among the critical success factors for better interorganizational coordination and better aid delivery.


2019 ◽  
Vol 32 (5) ◽  
pp. 983-1002 ◽  
Author(s):  
John F. Kros ◽  
Mauro Falasca ◽  
Scott Dellana ◽  
William J. Rowe

Purpose The purpose of this paper is to adopt a contingency theory from a quality perspective to develop a model for assessing the impact of counterfeit prevention efforts on supply chain (SC) performance. Design/methodology/approach Based on the participation of 140 managers across ten industry sectors, a theoretical model is proposed and structural equation modeling is used to examine the relationships among SC risk management integration, SC counterfeit risk orientation (CRO), SC counterfeit risk mitigation (CRM), SC metric consistency (MC) and SC performance (service and cost benefits). Findings Findings suggest that firms with greater SC risk management integration have a stronger orientation toward counterfeit risk, greater maturity in CRM, more consistent SC metrics and better SC performance outcomes. CRO alone was not found to significantly improve SC MC. Research limitations/implications Results are based on managerial perceptions of SC counterfeit risk and performance metrics. Survey respondents were predominantly from the same country (the USA). Practical implications The paper represents a potential quality management framework for SC risk management, in the context of counterfeiting that includes a contingency perspective. Originality/value The study advances knowledge of how firms may address the challenging issue of counterfeiting in the SC. Empirical findings offer a firm-level quality management framework for managerial decision making in the context of counterfeiting.


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