Buyer’s dependence in value creating supplier relationships

2015 ◽  
Vol 20 (2) ◽  
pp. 151-162 ◽  
Author(s):  
Anni-Kaisa Kähkönen ◽  
Katrina Lintukangas ◽  
Jukka Hallikas
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Value Creation ◽  
Relationship Management ◽  
Supplier Relationship Management ◽  
Supplier Relationships ◽  
Content Type ◽  
Research Gap ◽  
Power And Dependence ◽  
Supplier Relationship

Purpose – The purpose of this paper is to examine what kind of supplier relationship management activities can be seen as value-creating activities and how those might affect the buyer’s dependence on its suppliers. Power and dependence provide specific insights into the supplier relationship management and value creation in supply chains. Design/methodology/approach – The study utilizes a survey data with 165 cases collected in Finland. The concepts are tested by means of regression analysis. Findings – The findings of the study indicate that the value-creating activities of inter-firm learning and early supplier involvement increase buyer’s dependence, but a supplier orientation does not have similar effects. Practical implications – The results have implications for supply chain managers and practitioners in terms of shedding light on the approaches of dependence and value creation at the same time. Managers need to understand the factors that create dependence, but which also have a substantial influence on value creation in supply chains and networks. Originality/value – The literature review reveals that the supply chain situations in which the supplier is strategically important and its role in the value-creation process is significant, and when the buyer is dependent on the supplier, have rarely been discussed. Moreover, by focusing on the supplier relationship management activities that can be seen as value-creating activities and by combining this to the dependence perspective, this study aims to narrow the research gap identified from the previous research.

scholarly journals The importance of key supplier relationship management in supply chains

2016 ◽  
Vol 44 (2) ◽  
pp. 109-123 ◽  
Author(s):  
Christoph Teller ◽  
Herbert Kotzab ◽  
David B. Grant ◽  
Christina Holweg
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Structural Equation ◽  
Business Processes ◽  
Relationship Management ◽  
Supplier Relationship Management ◽  
Content Type ◽  
Internal Resources ◽  
The Impact ◽  
Supplier Relationship

Purpose – The purpose of this paper is to investigate the impact of key supplier relationship management (KSRM) – understood as an aggregated supply chain management (SCM) process in the upstream direction – on the overall level of the execution of SCM within organizations. Design/methodology/approach – A conceptual model is developed from a theoretical framework and proposes the capability to do KSRM as a mediator between internal and external SCM resources and SCM execution. A survey of 174 managers representing different supply chain stages is used to test the model through variance-based structural equation modelling. Findings – The findings reveal that external SCM resources directly affect the capability to do KSRM. Nevertheless, internal resources show a considerable indirect impact through external resources and can thus be considered an indirect determinant. The capability to do KSRM in turn impacts upon the level of SCM execution, measured in terms of the integration of business processes, directly and substantially, as well as mediating the effect between SCM resources and the level of SCM execution. Originality/value – The main contribution of this paper is to empirically demonstrate the potential of KSRM for enhancing the level of SCM execution within organizations and consequently the level of integration in supply chains, leading to higher customer and shareholder value.

Hidden potentials in open-loop supply chains for remanufacturing

2018 ◽  
Vol 29 (4) ◽  
pp. 1125-1146 ◽  
Author(s):  
Matthias Kalverkamp
Keyword(s):  
Supply Chains ◽  
Relationship Management ◽  
Open Loop ◽  
Research Approach ◽  
Supplier Relationship Management ◽  
Content Type ◽  
Closed Loop Supply Chains ◽  
Reverse Supply Chains ◽  
Supply Potential ◽  
Supplier Relationship

Purpose The circular economy grows in popularity in sustainability-oriented environments. Remanufacturing contributes to circularity though it faces challenges regarding reverse supply chains (SCs). Literature focusses on closed-loop supply chains (CLSCs) for reverse flows of products. However, alternative SCs and different market actors provide used components (cores) for remanufacturing through “open-loops”. The purpose of this paper is to investigate the influence of independent actors on core supply and how especially middlemen implement supplier relationship management to address supply shortages in automotive remanufacturing. Design/methodology/approach The study follows a qualitative research approach to compare remanufacturing SCs in Europe and North America. The analysis aims to identify managerial leverage to reduce supply shortages. Findings Reduction of information asymmetries and transaction costs is crucial for “open-loop supply chains” to compete with more integrated CLSCs. The study identifies an e-procurement solution that addresses these issues and helps to increase the supply through “open-loops”. Furthermore, regulation may hinder or facilitate supply. Research limitations/implications It needs to be further investigated to what extent e-procurement and supplier relationship management can reduce shortages. Middlemen who can collaborate with the research would provide further research opportunities. Practical implications If supplier relationship management adapts to the requirements of remanufacturing, it can increase the supply potential through “open-loop” SCs. The e-procurement solution could serve SCs beyond automotive remanufacturing. Policy makers need to revise legislation hindering these SCs. Originality/value The study provides novel findings regarding independent actors, their supplier relationship management and their potential to reduce shortages in independent SCs for remanufacturing.

Supplier relationship management leverages intellectual capital for increased competitive advantage

2005 ◽  
Vol 5 (1) ◽  
Author(s):  
C. R. Van Zyl
Keyword(s):  
Supply Chain ◽  
Competitive Advantage ◽  
Intellectual Capital ◽  
Relationship Management ◽  
Successful Implementation ◽  
Supplier Relationship Management ◽  
Supplier Relationships ◽  
Supply Chain Efficiency ◽  
Business Cases ◽  
Supplier Relationship

The main purpose of this article is to demonstrate how supplier relationship management (SRM) enables the capture and creation of intellectual capital, thereby attaining and sustaining a strategic competitive advantage and increasing supply chain profitability. In order to achieve this purpose, a large part of the article is devoted to exploring the relatively new and unknown field of SRM. It is shown that an organisation must possess a thorough understanding of good supplier characteristics and of the drivers, benefits and requirements for the successful implementation of SRM, in order to enable that organisation to leverage their supplier relationships to ensure the capture of supplier expertise, patents, experiences etc. (i.e. their intellectual capital). The article then explores how the integration of technology in SRM applications can improve the efficiency of supplier collaboration and intellectual capital capture and creation. It is then demonstrated how efficient and collaborative supplier relationships improve supply chain profitability and competitiveness. Lastly, the article explores the implementation pitfalls and trends of SRM that must be constantly considered and monitored by an organisation in order to continually capture and create intellectual capital and reap the full benefits of SRM. This exploration involved an examination of contemporary literature, theories and business cases and subsequently revealed that SRM is a vital discipline/philosophy that must be implemented by any organisation wishing to achieve greater supply chain efficiency and competitiveness. This competitiveness can only be achieved through the mutual unlocking, sharing and leveraging of intellectual capital.

scholarly journals Building resilient relationships with suppliers in the B2B market

Management ◽  
2016 ◽  
Vol 20 (2) ◽  
pp. 307-321 ◽  
Author(s):  
Grażyna Wieteska
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Relationship Management ◽  
Business Environment ◽  
Supplier Relationship Management ◽  
Scientific Publications ◽  
Building Relationships ◽  
Purchasing Process ◽  
Supplier Relationship

Summary The growing uncertainty of business environment that negatively influences the contemporary supply chains is one of the major challenges for today’s managers. The literature recommends the development of resistant supply chains, defining them as adaptive and flexible. However, there are a few scientific publications that directly link to the area of Supplier Relationship Management in this regard. The article aims to answer the question what is the flexibility and adaptability and how to perceive these two characteristics in terms of an upstream supply chain. The observations indicate that building relationships resistant to these disruptions with suppliers includes the formulation of appropriate strategies towards both the suppliers and the purchasing process. Their choice depends on the source of uncertainty and the costs of switching the suppliers

The nature and role of different types of commitment in inter-firm relationship cooperation

2015 ◽  
Vol 30 (1) ◽  
pp. 45-59 ◽  
Author(s):  
Neeru Sharma ◽  
Louise C Young ◽  
Ian Wilkinson
Keyword(s):  
Value Creation ◽  
Management Practice ◽  
Relationship Management ◽  
Supplier Relationships ◽  
Content Type ◽  
Industrial Marketing ◽  
Effective Relationships ◽  
Relationship Processes ◽  
Business To Business

Purpose – This paper aims to consider the nature and role of commitment in delivering value in customer–supplier relationships by developing and testing a model of relationship cooperativeness. Design/methodology/approach – Data were collected using an extended version of the Industrial Marketing and Purchasing (IMP2) Group’s instrument. Pre-qualified managers largely self-completed the survey. Model associations were tested via regression and causal path analysis. Findings – Various aspects of commitment play differing roles in relationship development. The role of commitment was less than expected; the exception is value-based commitment which is strongly associated with value creation, conflict management, trust and cooperation. Research limitations/implications – Findings provide explanations for some inconsistencies in previous findings including reported relationships between trust, cooperation and commitment. The composition of the commitment construct(s) strongly influences relationship processes. Practical implications – There are various kinds of commitment to build and multiple pathways to levering this into more effective relationships. In addition, an important part of these findings is strong indications that illustrate what the nature of ineffective commitment-building paths is likely to be. This is extremely important for managers in guiding deployment of relationship management resources and developing relationship management practice. Social implications – The regulation of close business-to-business relationships remains an important issue, and the ways in which commitment can be appropriately extended are an important part of this. Originality/value – This work focuses on the components of commitment in ways that previous work has not. The centrality of commitment in relationship value creation – beyond increased sales and revenue and predictability – is highlighted, and there is considerable extension to the understanding of the nature of this process.

scholarly journals Influence of Information Quality on Retailer Satisfaction through Supply Chain Flexibility and Supplier Relationship Management in the Retail Industry

2020 ◽  
Vol 22 (2) ◽  
pp. 93-102
Author(s):  
Ardiono Putra ◽  
Zeplin Jiwa Husada Tarigan ◽  
Hotlan Siagian
Keyword(s):  
Supply Chain ◽  
Information Quality ◽  
Relationship Management ◽  
Supplier Relationship Management ◽  
Chain Flexibility ◽  
Building Relationships ◽  
Supply Chain Flexibility ◽  
South Sulawesi ◽  
Version 2.0 ◽  
Supplier Relationship

Businesses always compete to improve customer satisfaction. A firm engaged in as a distributor as well, always try to provide satisfaction to their customer, in this case, retailer and wholesales. The distributor can improve retailer satisfaction by providing such information that suits retailer requirements in the pursuit that the supply chain flow can move quickly, particularly on the flow of products from the manufacturing ordered by the distributors. This study aims to obtain a relationship between distributors and retailer companies. This study surveyed 100 retailers, and wholesale companies engaged in Fast Moving Consumer Goods (FMCG) and the supplier domiciled in the city of Makassar, South Sulawesi, with revenues of more than IDR 300,000,000. - / year. SmartPLS software version 2.0 was used to test the hypothesis. The results of the study found that information quality can provide a positive increase in improving supplier relationship management. Adequate information quality cannot significantly increase supply chain flexibility and retailer satisfaction. Supplier relationship management built by distributors can have an impact of 0.611 on supply chain flexibility in retail and retail satisfaction companies of 0.367. The stronger distributor and retailer relationship can increase distributor flexibility and retail satisfaction. Supply chain flexibility built by distributor companies can have a significant impact on retailer satisfaction of 0.463. This research provides an improvement in the development of supply chain management theory, in particular, building relationships with customers.

The interplay between the Internet of things and supply chain management: challenges and opportunities based on a systematic literature review

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rômulo Marcos Lardosa Rebelo ◽  
Susana Carla Farias Pereira ◽  
Maciel M. Queiroz
Keyword(s):  
Content Analysis ◽  
Supply Chain ◽  
Literature Review ◽  
Systematic Literature Review ◽  
Business Models ◽  
Relationship Management ◽  
Management Process ◽  
Supplier Relationship Management ◽  
Chain Management ◽  
Content Type

PurposeThis study aims to identify and analyze how Internet of things (IoT) technology affects supply chain management (SCM) performance.Design/methodology/approachA systematic literature review was conducted (using Scopus, JSTOR, Emerald, ProQuest, Science Direct and Web of Science) covering a 20-year timeframe (2000–2020). Out of 2,572 papers identified, 171 peer-reviewed papers from the most important journals were selected. Content analysis was used following the Global Supply Chain Forum (GSCF) SCM framework.FindingsRegarding the GSCF SCM framework processes, most IoT-based studies have addressed improving order fulfilment, manufacturing flow management and demand management processes. However, no studies addressing the Supplier relationship management process were identified, suggesting that IoT-based applications are perceived to add more value in downstream than upstream SCM processes. The importance of using enabling technologies to realize the potential of value generation of IoT was also revealed. Findings suggest new research avenues related to product development and commercialization process, the supplier relationship management process, the returns management process, servitization strategies, new SCM models and new business models.Research limitations/implicationsThe review encompasses only academic papers from journals considered the most relevant (retrieved from specific databases), using the impact factor as the quality criterion.Practical implicationsThe findings can help business managers better understand the potential of IoT technology, such as the main applications identified in the literature and their impacts on SCM processes. Their importance in enabling technologies to leverage SCM performance is identified and the emerging SCM models/business models that IoT deployment can enable are highlighted.Originality/valueThis study contributes to filling a gap in the literature using a systematic literature review of how IoT technology affects SCM performance through content analysis, using an SCM framework to clarify which SCM processes are affected. Academic articles from the most important journals from 2000 to 2020 are identified.

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