Performance implication of supplier relationship quality: a structural analysis

Enabling manufacturing firms' supply chain performance in the Middle East region through boosting the quality of multi-directional relationship, and supply chain risk dilution: A moderated-mediation model

Elasticity and dependability factors are considered fundamental elements that have a significant and direct impact on reducing waste in manufacturing companies' resources as well as their supply chains (SCs) in order to improve their overall performance, as well as improving the performance of these companies' supply chains. This is in addition to not overlooking the effective and important strategic relationship and the role of suppliers to manufacturing companies as a mediating factor in the relationship between the qualities of the multi-directional relationship and mitigating the risks that it may be exposed to during its operational and production process. 156 samples were included in this study out of 743 small to large manufacturing companies in the Middle East region, including Jordan, Turkey, Saudi Arabia, and Egypt, where an experimental examination was conducted of the companies targeted in this study to prove or reject the proposed hypotheses. Structural equation modeling was applied and used to examine the proposed hypotheses. The results of this study indicated that the elements of flexibility and dependability have positive, direct, and statistically significant effects on mitigating supply risks, and this therefore works to improve the performance of the supply chain of manufacturing companies, especially small and medium-sized companies. In addition, the results of this study showed that building strong strategic partnerships with dependable, certified, high-performance, and flexible suppliers has a positive impact on moderating the potential supply risks that manufacturing companies may face in their operational processes, while the results showed that there is no statistically significant effect on the relationship between dependability and mitigate supply risks. This research paper offers empirical evidence for using the quality of the multi-directional relationship within supply risk dilution of manufacturing firms' context in developing countries for enhancing their supply chain performance. This study provides a clear roadmap and basis for managers and decision-makers in manufacturing companies to focus on the importance of the quality of relationships with suppliers and business partners in their business dealings to limit and mitigate the risks that they may face, which may lead to interruption of the necessary supplies to them.

Does environmental information disclosure affect corporate cash flow? An analysis by taking media attentions into consideration

Continued conflict flare-up and lingering supply bottlenecks in recent years highlight the importance of corporate risk management. Based on stakeholder theory and legitimacy theory, this study investigates whether Environmental, Social, and Governance (ESG) disclosure, as well as its three pillars, helps hedge against the cash flow risk. Using the data of A-share listed firms in China over the period 2011-2021, our results show that ESG disclosure serves to tame the fluctuations in cash flow, especially in the long run. A one-point increase in the ESG disclosure score lowers the volatility of 1-year and 5-year cash flow rate by 0.014 and 0.020, respectively. In addition, we find that media attention, as an essential intermediary and external supervisor, strongly reverses the positive effect of environmental information disclosure on cash flow risk, while such an effect disappears for social and governance pillars. Further analysis indicates the weak performance of ESG disclosure for SOEs and SMEs.

Efficacy of supply chain relationships – differences in performance appraisals between buyers and suppliers

This paper examines the efficacy of three supply chain relationship factors: trust, commitment, and relationship specific investment (RSI) in affecting firms’ cooperation, innovation and financial performance, comparing buyers’ and suppliers’ perspectives. A questionnaire survey was conducted in mainland China. Two independent samples with 101 and 108 responses respectively from the Chinese business buyers and suppliers were collected by visiting nine large annual exhibitions. Both samples involved buyer–supplier business relationships across three business markets: textiles, food, and consumer electronics. The data was analysed using structural equation modelling and a two-groups invariance test. The results indicate that the efficacies of trust, commitment, and RSI influencing buyers’ and suppliers’ performance are different. The paths from the relationship factors leading to performance form patterns that differ between buyers and suppliers in the Chinese business context. While trust and RSI are the direct antecedents of buyers’ cooperation performance, commitment is the immediate precursor of suppliers’ cooperation performance. Trust and commitment lead to buyer’s innovation performance directly, while RSI is a direct driver of supplier’ innovation performance. In addition, RSI is not a significant factor for buyers’ financial performance, whereas it will generate financial return for suppliers. Based on these findings, we provide differentiated relationship management suggestions to managers of buying and supplying firms for helping them improve performance in the Chinese business market in particular. For example, trust and commitment are more important relationship factors than RSI for buying firms, while RSI is as significant as trust and commitment for supplying firms.

Lean manufacturing and firms’ financial performance: the role of strategic supplier partnership and information sharing

Purpose

The purpose of this paper is to examine the mediating role of strategic supplier partnership and moderating role of information sharing (IS), in the relationship between lean manufacturing and firms’ financial performance (FP).

Design/methodology/approach

Utilizing the contingency approach, this study develops a research model to validate the proposition that a proper integration of supply chain (SC) practices enhances the financial performance of the firm. The study uses data from one hundred and fifty-seven manufacturing firms. The results are generated on structural equation modeling (SEM) using AMOS software.

Findings

The study finds that strategic supplier partnership partially mediates the relationship between lean manufacturing and FP, whereas, empirically, it could not demonstrate that IS significantly moderates the relationship between lean manufacturing and FP.

Practical implications

The paper theoretically develops logic for and empirically shows that strategic supplier partnership is an appropriate practice for mediating the impact of lean manufacturing on FP.

Originality/value

This strategic supply chain integration contributes to theory and demonstrates that SC practices’ correct synchronization and orchestration may realize superior FP. In addition, this research provides a sustainable strategic SC model that creates value and provides a competitive advantage for firms in the long term.

The Influence of Participant Subject Factors on Collaboration Effects in the Protection of China’s ICH: The Mediating Role of Relationship Quality

Intangible cultural heritage (ICH) is a keystone of sustainable development which, in recent years, has received growing attention from scholars and governments. Previous studies on ICH collaborative protection have focused on ICH connotations and practice, but relatively few studies have focused on the interrelationships among the influencing factors of the collaboration effect. This study introduces a new variable, relationship quality, in an effort to describe the collaborative relationship among participants. The collaborative relationship consists of three dimensions: trust, communication, and fairness. Regarding relationship quality as an intermediary variable, we construct a research framework embracing participant subject factors (collaboration attitude and collaboration ability) and collaboration effects in a case study on collaborative protection of ICH in Regong Thangka, China. A structural equation model, for which data were collected via a questionnaire, is used to assess the strength of the relationships among variables. A total of 416 questionnaires were distributed, and 365 valid completed questionnaires were returned. The findings indicate that relationship quality has a significant influence on collaboration effects in the collaborative protection of ICH. Within the study’s context, collaboration attitude has a significantly positive impact on relationship quality, and it indirectly influences collaboration effects via relationship quality. Collaboration ability has a significantly positive impact on relationship quality and collaboration effects, and it could also impact collaboration effects indirectly via relationship quality. This paper is the first to introduce the concept of relationship quality into the ICH collaborative protection research field, and its findings may have valuable theoretical and practical implications.

Supply chain integration and economic performance: empirical evidence from a developing country

Purpose

This study seeks to investigate the impact of supply chain integration (SCI) practices on economic performance in Vietnamese enterprises.

Design/methodology/approach

Based on data collected from 144 Vietnamese enterprises, this study employs partial least squares path modeling to analyze the direct and indirect relationships among external integration, information integration, process integration and economic performance.

Findings

Analytical results indicate that of the three SCI practices, external integration has a significant and positive impact on economic performance. Process integration and information integration, on the one hand, reveal insignificant direct impact on economic performance, and on the other, show significant indirect effect on economic performance through external integration.

Originality/value

This study sheds new light on the contribution of SCI to economic performance in developing economies and offers suggestions for not only local management but also foreign investors on the efficient allocation of resources to achieve higher economic performance.