An investigation of antecedents and consequences of supplier integration: a study in Indian context

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nikhat Afshan ◽  
Jaideep Motwani

Purpose The purpose of this study is to investigate the antecedents and outcomes of supplier integration. Based on an extensive literature review, the study has proposed a research model, which includes both the antecedents and consequences of supplier integration. The study has included contextual factors, namely, trust, relationship commitment to supplier and information technology (IT) for supplier as antecedents to supplier integration. The supplier-related performance outcome and financial performance of manufacturing firm has been modeled as outcome variables. Design/methodology/approach The proposed research model was tested on a sample of 166 manufacturing firms from India using structural equation modeling. Findings The results suggested that trust, relationship commitment to supplier and IT for supplier have a positive impact on supplier integration. The results further confirmed the positive impact of supplier integration on supplier-related performance outcome and supplier-related performance outcome on financial performance of the firm. Originality/value The study argues that the contextual factors (trust, relationship commitment to supplier and IT for supplier will facilitate the integration between manufacturing firms and their suppliers). Further, the study argues that the supplier integration would lead to specific performance outcome resulting from a high level of integration between manufacturer and their key suppliers and labeled it as supplier-related performance outcome (SRPO). The study conceptualizes and develops scale to measure SRPO and investigates the impact of SRPO on the financial performance of the manufacturing firm.

2018 ◽  
Vol 25 (7) ◽  
pp. 2184-2197 ◽  
Author(s):  
Nikhat Afshan ◽  
Jaideep Motwani

Purpose Even though supply chain integration (SCI) has been considered as a vital contributor to business performance, the research shows inconsistency in its finding. Accounting for these inconsistencies, researchers (Fabbe-Costes and Jahre, 2007; Van der Vaart and van Donk, 2008) have highlighted the need to relate the level of integration in a single relationship to the performance outcomes of that relationship. The purpose of this paper is to make an effort in this direction and investigate the impact of customer integration (an important dimension of SCI) on customer-related performance outcome (CRPO) and financial performance of the firm. Design/methodology/approach Based on an extensive literature review, a research model has been developed hypothesizing the relationships between customer integration, CRPO and financial performance. The research model is then tested using data collected from 214 Indian manufacturing companies. Structural equation modeling was used to test the hypothesized relationship between constructs of interest. Findings The result showed that there is no direct effect of customer integration on financial performance instead the relationship is fully mediated through CRPO. Originality/value This study conceptualizes and develops scale for the specific performance outcome resulting from a high level of integration between manufacturer and key customers and labels it as CRPOs. It further investigates the mediating role of this immediate performance outcome on the relationship between customer integration and firm performance.


2018 ◽  
Vol 25 (7) ◽  
pp. 2496-2511 ◽  
Author(s):  
Nikhat Afshan ◽  
Srabasti Chatterjee ◽  
Prerna Chhetri

Purpose The purpose of this paper is to investigate the impact of use of information technology (IT) and relational aspect on supply chain collaboration (SCC) in the context of developing country, in this case India. The study has considered two important components of use of IT namely, information sharing and information quality and further investigated their impact on SCC. Two important components of relational aspect, namely, trust and commitment have been considered, as identified from literature review, trust has been considered as an antecedent to commitment and the impact of commitment on SCC has been investigated. The research also investigates the impact of SCC on financial performance of the firm. Design/methodology/approach Based on extensive review of SCC literature a research model has been proposed hypothesizing the relationships between information sharing, information quality, trust, commitment, SCC and financial performance. The proposed research model is tested using data from 166 manufacturing firms across India. Structural equation modeling was used to test the hypothesized relationships between constructs. Findings The results showed that there is significant positive impact of information sharing and information quality on SCC. Consistent with earlier literature, trust was found to have a significant positive impact on commitment and commitment was found to have significant positive impact on SCC. Further, the findings confirmed the positive relationship between SCC and financial performance of the firm. Originality/value This is the first study to the best of our knowledge which has investigated the impact of SSC on financial performance in Indian context. This study has taken into account both use of IT and relational aspect simultaneously and investigated their impact on SCC.


2018 ◽  
Vol 15 (3) ◽  
pp. 321-336 ◽  
Author(s):  
Rafael Carlos ◽  
Daniel C. Amaral ◽  
Mauro Caetano

Purpose Roadmapping has been used as an approach to support market, product and technology-integrated planning, resulting in a document commonly known as a roadmap. Despite the gains made in relation to the technique, recent studies indicate that most users leave or have difficulties in sustaining the process (i.e. maintaining the updated roadmaps). This paper aims to present a framework for continuous roadmap updating that incorporates principles from agile management fields. Design/methodology/approach The framework was developed through action research in a manufacturing firm in the construction industry. Findings The results demonstrate a positive impact on the degree of continuous information monitoring, roadmap credibility and use of the roadmap during innovation strategy decisions. Originality/value The key contribution of this framework is the demonstration of a new strategy for carrying out the maps in which information is internalized by the organization itself, using agile teams, without commissioned specialists and as part of the work standards.


2018 ◽  
Vol 13 (6) ◽  
pp. 1475-1501 ◽  
Author(s):  
Varaporn Pangboonyanon ◽  
Kiattichai Kalasin

Purpose The purpose of this paper is to investigate how within-industry diversification affects the financial performance of small- and medium-sized enterprises (SMEs) in emerging markets (EMs). The authors draw on both the resource-based view and the institutional perspective and argue that within-industry diversification can enhance the financial performance of SMEs in EMs. Due to institutional voids in emerging economies, SMEs can gain additional benefits from scope economies, as well as from market returns, by filling product market voids and gaps in business ecosystems, while also enjoying low input and labor costs that reduce the coordination costs of diversification. This, in turn, enhances benefits of within-industry diversification, thereby resulting in higher financial profitability. Design/methodology/approach This study employs panel data econometrics to estimate the model. The authors test hypotheses on 195 firms, originating from five countries in Southeast Asia, during the period of 2009–2014. Findings The empirical results support the arguments. Within-industry diversification has a positive impact on the performance of SMEs in EMs. These effects become weaker when the institutional contexts are more developed. Nevertheless, such effects become stronger when SMEs in EMs are more efficient. Research limitations/implications The relationship between within-industry diversification and performance is a positive linear pattern, which differs from the pattern in advanced economies. In addition to unrelated diversification, the related diversification is preferable for firms in EMs. Practical implications The paper provides implications for SMEs that aim to enhance their performance by engaging in single product lines and within-industry diversification. Originality/value This paper examines the different ways within-industry diversification can enhance SMEs performance in EM contexts.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Taiwen Feng ◽  
Hongyan Sheng ◽  
Minghui Li

PurposeBased on resource dependence theory and transaction cost economics this study explores how green customer integration (GCI) affects financial performance via information sharing and opportunistic behavior, and the moderating effects of dependence and trust.Design/methodology/approachThis study develops a theoretical model and tests it using data from two-waved survey data of 206 Chinese manufacturers. The hypotheses were tested using hierarchical linear regression analysis.FindingsThe results show that GCI has a significant and positive impact on information sharing, but its impact on opportunistic behavior is insignificant. Notably, information sharing has a significant and positive impact on financial performance, while opportunistic behavior has an insignificant impact on financial performance. In addition, dependence negatively moderates the impact of GCI on information sharing and positively moderates the impact of GCI on opportunistic behavior. Trust negatively moderates the impact of GCI on opportunistic behavior.Originality/valueAlthough GCI has received widespread attention, how it affects a firm's performance remains unclear. Most previous studies have focused only on its bright side and ignored its dark side. This study highlights how GCI affects financial performance through information sharing and opportunistic behavior, and the moderating effects of dependence and trust. This enriches the understanding of how and under what conditions GCI affects a firm's performance.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Man Fung Lo ◽  
Feng Tian ◽  
Peggy Mei Lan Ng

Purpose Knowledge sharing, the most important process in knowledge management, enables knowledge-intensive organizations to foster innovations and to gain competitiveness. Universities, the best contemporary embodiments of knowledge-intensive organizations, nowadays face fiercer competition in the changing world. Knowledge sharing is the key for academic departments to gain competitive advantages through innovation. However, limited studies examined the relationships between top management support, knowledge sharing and affiliation and trust. Based on the literature review, this study developed a research model which aims to examine the relationship between top management support and knowledge sharing, and the mediating role played by affiliation and trust. Design/methodology/approach A questionnaire survey was conducted in eight universities in Hong Kong. Data gathered from 109 professoriate staff (including chairs, professors and [research] associate/assistant professors) were used to test the four hypotheses in the research model with partial least squares structural equation modeling. Findings The results showed that top management support has a positive impact on affiliation and trust, and that affiliation and trust also have a positive impact on knowledge sharing. However, this study showed an insignificant linkage between top management support and knowledge sharing. Therefore, this study confirmed the mediating role played by affiliation and trust. Practical implications Based on the results, this study provided recommendations on how academic management and knowledge management consultants increase the faculty members’ affiliation and trust, for instance, mentoring, performance appraisal system, social interactions and communication pathways. Originality/value The findings of this study contribute to the literature in two ways. First, affiliation and trust are two interplayed elements of team climate that should be considered together. Second, this study validates affiliation and trust as a full mediator between top management support and knowledge sharing.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Idrees Asghar ◽  
Haris Aslam ◽  
Amer Saeed

PurposeThis research aims to understand how competencies for supply chain professionals are developed and how they can affect the manager's performance, especially the manager's resilience in times of significant supply chain disruptions.Design/methodology/approachA research model was developed based on a comprehensive literature survey in the area of individual competencies grounded in the knowledge-based view of the firm. We tested our research model using a quantitative, survey-based study with a sample of 175 Pakistani supply chain managers. The hypotheses were tested using structural equation modelling (SEM).FindingsThe analysis identified corporate training and knowledge sharing as the main antecedents of supply chain professional's competencies. It also showed that these competencies result in higher performance in the form manager's resilience and job performance.Research limitations/implicationsThis study provides a valuable framework for organisations to focus on skill-developing training and promoting a knowledge-sharing culture among employees to achieve desired performance levels.Originality/valueThis study is unique as no prior research studied such a comprehensive model of antecedents and consequences of supply chain professionals' competencies.


2020 ◽  
Vol 20 (3) ◽  
pp. 401-427
Author(s):  
Babatunji Samuel Adedeji ◽  
Tze San Ong ◽  
Md Uzir Hossain Uzir ◽  
Abu Bakar Abdul Hamid

Purpose The non-existence of the corporate governance (CG) concept for practices by non-financial medium-sized firms (MSFs) in Nigeria informed. This study aims to determine whether CG practices influence firms’ performance and whether sustainability initiative (SI) mediates the relationship between CG and MSFs’ performance in Nigeria. Design/methodology/approach A total of 300 firms were selected on convenience sampling basis from South Western Nigeria using a structured questionnaire. The authors used Statistical Package for Social Sciences for exploratory data analysis and hypotheses were tested using covariance-based structural equation modelling. Findings The results show that CG has a significant positive effect on performance [financial performance (FNP) and non-financial performance (NFP)] and SI. SI has a mixed impact on performance, e.g. a significant positive impact on NFP but insignificant negative impact on FNP. Similarly, SI has a combined mediating effect in the relationship between CG and performance, e.g. fully mediates CG → NFP and does not mediate CG → FNP. Firms are to invest in social and environmental initiatives substantially. CG codes will complement the International Financial Reporting Standards for MSFs. Research limitations/implications This study supports the assumptions of theories (institutional, stakeholder and agency) as the basis for the usage of multiple approaches to determine the outcome of hypotheses, especially in developing climes. Practical implications The study contributes to CG and performance literature by examining the mediating effects of SI. The paper also shows the necessity to emphasise NFP aspect. Policymakers should evolve CG codes to encourage stakeholders to believe more in the corporate existence of MSFs for strengthening capital-base and quality personnel engagement. Originality/value To the best of the authors’ knowledge, this is one of the first empirical attempts showing the evidence on the relationship between CG and NFP in Nigeria.


2017 ◽  
Vol 28 (2) ◽  
pp. 699-718 ◽  
Author(s):  
Hsiu-Fen Lin

Purpose Grounded in the resource-based view and social exchange theory, the purpose of this paper is to develop a research model that offers a comprehensive understanding of the antecedents and consequences of electronic supply chain management (e-SCM) diffusion. Design/methodology/approach Survey data from 142 managers (in charge of e-SCM projects in their companies) of large Taiwanese firms were collected and used to test the hypotheses using hierarchical moderated regression analysis. Findings The results indicate that information technology deployment capability, operational capability, human resource capability, and knowledge sharing are important antecedents of e-SCM diffusion. In turn, higher levels of e-SCM diffusion lead to greater competitive performance. This study also finds that knowledge sharing plays a moderating role by strengthening the relationship between organizational capabilities (e.g. operational capability and human resource capability) and e-SCM diffusion. Practical implications Managers should recognize that human resource development activities (recruiting, training, and managing valuable e-SCM personnel) are an important source of e-SCM diffusion. Similarly, managers must establish the connection between human resource capabilities and e-SCM diffusion (i.e. “soft-side” e-SCM) such as hiring and retaining skilled e-SCM personnel, training and development for e-SCM personnel, and measuring e-SCM personnel’s global mindset over time. Originality/value Theoretically, this study aims to provide a research model that is capable of understanding the antecedents and consequences of e-SCM diffusion. From the managerial perspective, the findings of this study provide valuable decision guides for practitioners to help them identify and develop firm internal capabilities and social mechanisms that foster e-SCM diffusion.


2016 ◽  
Vol 26 (2) ◽  
pp. 166-183 ◽  
Author(s):  
A.N. Bany-Ariffin ◽  
Bolaji Tunde Matemilola ◽  
Liza Wahid ◽  
Siti Abdullah

Purpose This paper aims to evaluate the impact of international diversification, through the investment abroad activities of the Malaysian multinational corporations (MNCs), on their financial performance. Design/methodology/approach The paper applies the panel generalized method of moments (GMM) estimation technique that gives better results. Findings The empirical findings show that the move to invest abroad has brought a positive impact on Malaysian MNCs’ financial performance. However, in terms of a firm’s risk, the results contradict the general internationalization-risk hypothesis. Research limitations/implications The study focuses on the top 100 multinational firms; future researchers may extend the time period and use the entire sample of all the multinational firms. Practical implications Foreign investments offer rewarding returns due to cheaper labour and raw materials, competitive edge in terms of technological advancement and larger market opportunities. Originality/value The paper contributes to the literature using the panel GMM’s estimation that effectively control for reverse causality and serial correlation problem. The paper also contributes to the international diversification and performance relationship, in a fast-growing Malaysia.


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