Perspective-taking and cooperation in customer–supplier relationships

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Albert Caruana ◽  
Saviour Chircop ◽  
Jirka Konietzny
Keyword(s):  
Problem Solving ◽  
Perspective Taking ◽  
Effective Interaction ◽  
Relationship Building ◽  
Business Relationships ◽  
Dyadic Relationship ◽  
Supplier Relationships ◽  
Content Type ◽  
Relational Competence ◽  
The Impact

Purpose Perspective-taking is an overlooked relational competence that matters to interaction, problem-solving and cooperation in inter-organizational buyer–seller relationships. This paper aims to distinguish perspective-taking from empathy with which it has often been associated. It uses aptitude theory to propose a conceptualization of perspective-taking consisting of perspective-taking ability and motivation components that are used to explore the scope of perspective-taking in customer–supplier relationships. Design/methodology/approach An experiment and survey, are conducted among customer managers to apply and test measures to capture the ability and motivation components of the perspective-taking aptitude. The two perspective-taking components are used to propose a 2 × 2 matrix that provides a four-type typology, labelled: “talented”, “ineffectual”, “fervent” and “indifferent”. Data are collected from a sample of senior managers of manufacturing firms responsible for the dyadic relationship with a business support agency. Findings The data supports the presence and distribution of the four typologies among customers in business relationships and regression analysis confirms the impact of the proposed perspective-taking typology types on customer–supplier cooperation. The different combinations of the perspective-taking dimensions of ability and motivation that make up the perspective-taking aptitude type result in different dispositions to cooperate. “Talented” and “ineffectual” members with high and low perspective-taking ability and motivation scores, respectively, provide the highest and lowest cooperation dispositions. “Fervent” and “indifferent” members occupy an intermediate perspective-taking aptitude on the typology, with the former impacting cooperation moderately and the latter not found to be significant. Practical implications Understanding counterparts, inferring their motives and anticipating reactions, is a critical capacity for mutual dyadic adjustments in customer–supplier relationships in business markets. Such an understanding of perspective-taking can prove useful to effective interaction, solution development and relationship building, as interacting managers belonging to different typology types exhibit different levels of cooperation. In addition, an understanding of perspective-taking can prove useful to identify the right talent that can foster effective interaction and solution development in customer–supplier relationships. It also raises the issue as to how best sellers can interact to influence the perspective-taking of buyers in their quest to achieve better solutions and cooperation. Originality/value Provides a useful supplement to theory by bringing perspective-taking, grounded in aptitude theory, as an essential relational competence in business marketing that can provide an additional explanation to cooperation and joint problem-solving in inter-organizational business relationships. The paper develops and proposes a typology of perspective-taking that brings together ability and motivation dimensions, operationalizes and assessed their measures and tests the impact of the proposed perspective-taking typology types on cooperation in customer–supplier interaction.

Strategic supplier relationships and supply chain resilience: Is digital transformation that precludes trust beneficial?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Murtaza Faruquee ◽  
Antony Paulraj ◽  
Chandra Ade Irawan
Keyword(s):  
Supply Chain ◽  
Problem Solving ◽  
Manufacturing Firms ◽  
Digital Transformation ◽  
Supplier Relationships ◽  
Content Type ◽  
Supply Chain Resilience ◽  
Joint Problem ◽  
The Right ◽  
Joint Problem Solving

PurposeThe purpose of this study is to investigate the role that communication, trust and digital transformation can play in the relationship between joint problem-solving and supply chain resilience. More specifically, the authors try to examine the possibility of digital transformation as a replacement for trust within a joint problem-solving context.Design/methodology/approachA survey instrument was developed and administrated to manufacturing firms within the United Kingdom and the United States. Based on data collected from 291 senior managers, multiple linear regressions were conducted through a customized process model to test the proposed hypotheses.FindingsThe results point to the actual impact of digital transformation being far more complicated than the initial benefits that it appears to bring within a supply chain. Thus, technology is only effective when applied within the right context. The authors showcase that the trio of digital transformation, trust and joint problem-solving can be highly valuable to establish supply chain resilience and that further investigation on the interrelationships between these concepts is warranted.Practical implicationsManufacturing firms that aim to adopt new technologies should not consider advanced digital technologies as an alternative to trust. While digital transformation can improve resource sharing and integration, governance mechanisms–such as trust–will remain the cornerstones of strategic supplier relationships. Therefore, supply chain partners must strive to achieve a balance between trust and the right type of digital technology.Originality/valueThis study contributes to the growing literature focusing on the role that digital transformation can play in developing supply chain capabilities. It adds an early empirical insight on the role of technology and governance in joint problem-solving and supply chain resilience.

scholarly journals Reading on and between the lines: risk identification in collaborative and adversarial buyer–supplier relationships

2018 ◽  
Vol 23 (4) ◽  
pp. 351-376 ◽  
Author(s):  
Yiyi Fan ◽  
Mark Stevenson
Keyword(s):  
Social Capital ◽  
Supply Chain ◽  
Risk Identification ◽  
Social Capital Theory ◽  
Future Research ◽  
Supplier Relationships ◽  
Content Type ◽  
Signalling Theory ◽  
Multi Level ◽  
The Impact

Purpose This paper aims to investigate how supply chain risks can be identified in both collaborative and adversarial buyer–supplier relationships (BSRs). Design/methodology/approach This research includes a multiple-case study involving ten Chinese manufacturers with two informants per organisation. Data have been interpreted from a multi-level social capital perspective (i.e. from both an individual and organisational level), supplemented by signalling theory. Findings Buyers use different risk identification strategies or apply the same strategy in different ways according to the BSR type. The impact of organisational social capital on risk identification is contingent upon the degree to which individual social capital is deployed in a way that benefits an individual’s own agenda versus that of the organisation. Signalling theory generally complements social capital theory and helps further understand how buyers can identify risks, especially in adversarial BSRs, e.g. by using indirect signals from suppliers or other supply chain actors to “read between the lines” and anticipate risks. Research limitations/implications Data collection is focussed on China and is from the buyer side only. Future research could explore other contexts and include the supplier perspective. Practical implications The types of relationships that are developed by buyers with their supply chain partners at an organisational and an individual level have implications for risk exposure and how risks can be identified. The multi-level analysis highlights how strategies such as employee rotation and retention can be deployed to support risk identification. Originality/value Much of the extant literature on supply chain risk management is focussed on risk mitigation, whereas risk identification is under-represented. A unique case-based insight is provided into risk identification in different types of BSRs by using a multi-level social capital approach complemented by signalling theory.

scholarly journals The use of Twitter for innovation in business markets

2020 ◽  
Vol 38 (5) ◽  
pp. 587-601
Author(s):  
Helen Cripps ◽  
Abhay Singh ◽  
Thomas Mejtoft ◽  
Jari Salo
Keyword(s):  
Social Media ◽  
Peer Interactions ◽  
Methodological Approach ◽  
Relationship Building ◽  
Business Relationships ◽  
Structured Interviews ◽  
Content Type ◽  
B2b Marketing ◽  
Individual Level ◽  
The Individual

PurposeThe purpose of this research is to investigate the use of Twitter in business as a medium for knowledge sharing and to crowdsource information to support innovation and enhance business relationships in the context of business-to-business (B2B) marketing.Design/methodology/approachThis study uses a combination of methodologies for gathering data in 52 face-to-face interviews across five countries and the downloaded posts from each of the interviewees' Twitter accounts. The tweets were analysed using structural topic modelling (STM), and then compared to the interview data. This method enabled triangulation between stated use of Twitter and respondent's actual tweets.FindingsThe research confirmed that individuals used Twitter as a source of information, ideas, promotion and innovation within their industry. Twitter facilitates building relevant business relationships through the exchange of new, expert and high-quality information within like-minded communities in real time, between companies and with their suppliers, customers and also their peers.Research limitations/implicationsAs this study covered five countries, further comparative research on the use of Twitter in the B2B context is called for. Further investigation of the formalisation of social media strategies and return on investment for social media marketing efforts is also warranted.Practical implicationsThis research highlights the business relationship building capacity of Twitter as it enables customer and peer conversations that eventually support the development of product and service innovations. Twitter has the capacity for marketers to inform and engage customers and peers in their networks on wider topics thereby building the brand of the individual users and their companies simultaneously.Originality/valueThis study focuses on interactions at the individual level illustrating that Twitter is used for both customer and peer interactions that can lead to the sourcing of ideas, knowledge and ultimately innovation. The study is novel in its methodological approach of combining structured interviews and text mining that found the topics of the interviewees' tweets aligned with their interview responses.

The Impact Of Power And Relationship Quality On Value Creation and Appropriation in Buyer–Supplier Relationships

2019 ◽  
Vol 17 (1) ◽  
pp. 47-80 ◽  
Author(s):  
Saâd Mdarhri Alaoui ◽  
Amine Noureddine
Keyword(s):  
Relationship Quality ◽  
Social Exchange ◽  
Value Creation ◽  
Business Relationships ◽  
Empirical Reality ◽  
Supplier Relationships ◽  
Main Driver ◽  
Partner Satisfaction ◽  
The Impact ◽  
The Relationship

Abstract Business relationships provide the means to create and appropriate superior value in business markets. However, despite the proliferation of research on the phenomenon, many questions remain unaddressed. Previous work focused almost exclusively on value after its creation and its sharing between the two exchange partners. Consequently, the appropriation of value as well as its interaction with value creation remains relatively unknown. Similarly, a few studies have examined the role of relational variables and power asymmetry in customer–supplier exchange relationships. To fill this gap, this study aims to examine the influence of relationship quality and power on value creation and appropriation and ultimately, on satisfaction and relationship continuity. Based on the theory of social exchange, this study proposes a conceptual model, which positions value creation and appropriation as central variables in the nomological network of business relationships. A quantitative study of 174 suppliers was carried out in order to compare the theoretical model with the empirical reality. The results obtained show that the relationship quality promotes greater value creation and appropriation in ongoing business relationships. As for power, its influence differs depending on how it is exercised within the relationship. Moreover, the appropriation of value remains the main driver of partner satisfaction, a sine qua non condition for the continuity of the relationship. This present research contributes to a better understanding of value creation-appropriation in ongoing business relationships. By strategically managing their customer–supplier relationships, managers can create and capture greater value and gain a competitive advantage.

Conflict handling in small firms’ foreign business relationships

2019 ◽  
Vol 34 (1) ◽  
pp. 240-252 ◽  
Author(s):  
Milena Ratajczak-Mrozek ◽  
Krzysztof Fonfara ◽  
Aleksandra Hauke-Lopes
Keyword(s):  
Small Firms ◽  
Point Of View ◽  
Business Relationships ◽  
Optimal Method ◽  
Content Type ◽  
Conflict Situations ◽  
Conflict Handling ◽  
Financial Consequences ◽  
The Impact ◽  
Depth Interviews

Purpose The purpose of this paper is to indicate how conflicts in foreign business relationships are handled by small firms from a relational point of view and how these conflicts can be used by small firms in a positive way. Design/methodology/approach The paper uses qualitative study and presents the results of in-depth interviews conducted with six small, Poland-based firms. Findings The paper indicates the nature of conflicts in foreign business relationships from the perspective of small firms, including the sources of conflict and its outcomes. The main sources of conflict indicated include service or product quality, financial aspects of cooperation and cultural differences. The study exposes the existence of both negative (e.g. financial consequences) and positive (e.g. gaining new experience) outcomes of conflicts. It shows that positive conflict handling often constitutes a significant challenge for small firms and that the authors cannot really speak of one optimal method of conflict handling. Regardless of the method adopted, the costs involved should be taken into detailed consideration. Practical implications The paper points to actions that could be taken by small firms to handle conflicts in a way that will produce positive outcomes. Originality/value Managing international relationships is a more challenging task compared with domestic ones, especially for smaller firms. The paper exposes the impact of two categories of conflict (called day-to-day problems and severe conflicts) in a foreign relationship on small firms and considers different methods of handling the conflict situations.

Construction of meanings in business relationships and networks

IMP Journal ◽  
2015 ◽  
Vol 9 (2) ◽  
pp. 163-176 ◽  
Author(s):  
Antonella La Rocca ◽  
Ivan Snehota ◽  
Carlotta Trabattoni
Keyword(s):  
Design Methodology ◽  
Business Relationships ◽  
Cognitive Perspective ◽  
Supplier Relationships ◽  
Business Markets ◽  
Content Type ◽  
Interaction Processes ◽  
Communication Processes

Purpose – The purpose of this paper is to address an issue related to the role of interaction processes in the development of customer-supplier relationships in business markets. Design/methodology/approach – Focusing on the role of cognition in interaction behaviours in business relationships, the authors examine two research streams that offer perspectives on interaction processes akin to the IMP – the socio-cognitive perspective and the practice-based approach to markets and marketing. Findings – The two research streams analysed contribute to understanding the link between cognition and interaction behaviours by pointing to the construction of meanings as an important factor in interaction behaviours and indicating storytelling as a tool to construct meanings among the actors. Originality/value – This paper is among the few studies that focus the attention on communication processes in business relationships and networks.

scholarly journals Tensions and territoriality: the dark side of servitization

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Scott Wagstaff ◽  
Jamie Burton ◽  
Judith Zolkiewski
Keyword(s):  
Negative Impact ◽  
Dark Side ◽  
Management Support ◽  
Structured Interviews ◽  
Supplier Relationships ◽  
Content Type ◽  
Strategic Intent ◽  
Management Commitment ◽  
The Impact ◽  
Practical Implications

Purpose This paper focusses on the darker side of the dynamics of servitization by exploring the tensions and territoriality that emerge between manufacturers and customers during the servitization process in the oil industry. Design/methodology/approach The Delphi method is used to explore the perspectives of three management tiers in oil organisations and the manufacturers who work with them. The views of these managers were synthesized over three iterations: semi-structured interviews, a questionnaire and resolution/explanation, where consensus was not obtained. Findings The findings of the study highlight perceptions of change, resulting tensions and territoriality and the impact of management commitment, resources and strategy. They reveal significant differences between customers and their suppliers and different management levels and highlight territorial behaviour and the negative impact this has on buyer supplier relationships during the implementation of servitization. Research limitations/implications Further research is required to explore why there is a variation in understanding and commitment at different managerial levels and the causes of tensions and territoriality. Practical implications Servitization is not a “quick fix” and management support is essential. A fundamental element of this planning is to anticipate and plan for tensions and territoriality caused by the disruption servitization creates. Originality/value The research provides empirical evidence of tensions and territoriality relating to servitization that potentially can damage supplier–buyer relationships and suggest that there is a darker side to servitization. It also shows that differences in strategic intent across organizations and between different managerial layers impedes to servitization efforts.

Sustainable development of micro firms: examining the effects of cooperation on handicraft firm's performance through innovation capability

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohsin Shafi
Keyword(s):  
Sustainable Development ◽  
Firm Performance ◽  
Measurement Errors ◽  
Equation Modeling ◽  
Innovation Capability ◽  
Supplier Relationships ◽  
Control Measurement ◽  
Content Type ◽  
Internal Development ◽  
The Impact

PurposeDespite their economic and cultural significance, the growth of handicraft micro firms is vulnerable, given their small size and resource limitations. By examining the impact of cooperation on firm performance via innovation capability, this study shows how micro firms can address constraints and achieve sustainable development by acquiring and utilizing external resources, complemented by innovation capability, through internal development.Design/methodology/approachData were collected from 164 handicraft micro firms in Pakistan via a questionnaire. Structural equation modeling was employed to estimate interrelations of various constructs simultaneously and control measurement errors.FindingsThe impact of cooperation with customers and suppliers on firm performance via innovation capability was positive and significant. Contrarily, competitor cooperation did not significantly affect innovation capability. Furthermore, there was a positive and significant interaction effect of customer and competitor cooperation on innovation capability. Thus, micro firms must reinforce their customer and supplier relationships through innovation capability and internal transformation for sustainable development. Moreover, a balance must exist between cooperation and competition to achieve optimal innovation returns for the sustainable development of firms.Originality/valueThis study emphasized that micro firms must strengthen their customer and supplier relationships via innovation capability and internal development to achieve higher performance. Moreover, the study introduced a new dimension for measuring firm performance.

The impact of implicit bias on business-to-business marketing

2020 ◽  
Vol 35 (10) ◽  
pp. 1517-1525
Author(s):  
Kim Stephens ◽  
Richard L. Baskerville
Keyword(s):  
Process Model ◽  
Minority Groups ◽  
Implicit Bias ◽  
Social Cues ◽  
Relationship Building ◽  
Content Type ◽  
B2b Marketing ◽  
Interactive Workshop ◽  
The Impact ◽  
Business To Business

Purpose Physical social cues can influence the buyer and seller in business-to-business (B2B) marketing. The current behavioural model does not account for the role of implicit bias. The purpose of this paper is to present that relationship and introduce a process model to weaken implicit bias through training with the employment of transformational conversation. Design/methodology/approach With social cues as the predecessor to inferences, there is the potential for implicit bias to derail relationship building in a B2B context. The author’s qualitative field study offers guidance for businesses to make informed decisions about implicit bias training. Findings The study findings show that an interactive workshop following a process model with the addition of transformational conversation can weaken implicit bias. Research limitations/implications The research was conducted with a small cohort of information technology professionals. More research should be done specifically with sellers and buyers in various industries over a longer period of time with periodic follow-up on sales performance and relationship building. Practical implications Minority groups had a combined buying power of $3.9tn in 2018. For sellers to succeed, they have to be able to modulate the implicit biases that interfere with good sales relationships. Originality/value This paper introduces implicit bias as a moderator into the conceptual framework of the behavioural response to social cues in the B2B context and offers a model of implicit bias training using a process model with transformational conversation.

Stock keeping unit rationalization: a cross-functional, cross-firm perspective

2019 ◽  
Vol 30 (4) ◽  
pp. 994-1015
Author(s):  
Matias G. Enz ◽  
Matthew A. Schwieterman ◽  
Douglas M. Lambert
Keyword(s):  
Single Case ◽  
Theoretical Perspective ◽  
Product Variety ◽  
Success Factor ◽  
Supplier Relationships ◽  
Content Type ◽  
Critical Success ◽  
Functional Involvement ◽  
The Impact

Purpose Although managers have struggled with SKU proliferation for decades, research has provided inconsistent guidance, and the cross-functional and cross-firm aspects of the problem were not considered. The purpose of this paper is to explore the factors that favor successful and sustainable SKU rationalization. Design/methodology/approach A single case study was used to investigate the implementation of an SKU rationalization project by a national restaurant chain in collaboration with its food distributor. Qualitative data analysis techniques were used to understand managers’ perceptions about the SKU rationalization problem and the financial results that were achieved. Findings The findings include seven propositions that begin to formalize theory for SKU rationalization. Cross-functional involvement was both a challenge and a critical success factor, and the supplier was an important resource for managing product variety and complexity. Research limitations/implications Seven propositions are provided that increase the likelihood of successfully dealing with SKU proliferation. Practical implications SKU proliferation increases supply chain complexity and leads to higher costs. The research reports on an SKU rationalization project that saved a company and its supplier $6.7m. Originality/value A previously unexplored theoretical perspective on SKU rationalization was employed that emphasizes cross-functional alignment, buyer–supplier relationships and the impact on financial performance of a firm.

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