A Structural Analysis of the Effectiveness of Buying Firms' Strategies to Improve Supplier Performance

Green food supply chain management as a solution for the mitigation of food supply chain management risk for improving the environmental health level

Purpose

In the context of the food industry, this research investigates the impact of green supply chain management (GSCM) on environmental health. This helps the practitioners and policy makers in mitigation of the supply chain (SC) risks and enhance the environmental health level.

Design/methodology/approach

The study's model was structured using GSC risk factors of green purchasing, environmental cooperation, reverse logistics, eco design, internal environmental management, and investment recovery. A questionnaire-based survey was used to examine the proposed model; 102 data from the senior managers of food firms in Lebanon were collected. Using SPSS and AMOS statistical software, an exploratory factor analysis (EFA), a confirmatory factor analysis (CFA), and multiple regressions have been applied.

Findings

The outcome of structural equation modeling (SEM) revealed that four of six GSC risk factors were significantly related to environmental health. The study findings can be applied to the external level through many green practices in cooperation with suppliers and customers like the collaboration with them on environmentally friendly design, purchasing, production, packaging and using less energy. This can increase the level of environmental health by decreasing the impact of SCM risks. Regarding the internal level, many procedures and decisions may lead to an environmentally friendly ambience in the firms like the commitment of GSCM practices from the management and the implementation of internal eco-performance evaluation system. This may enhance the environmental health provisions by setting up an action plan to mitigate the GSC risk and address the sustainable health objectives.

Originality

The paper's distinctiveness comes from the fact that it fills a gap in the literature regarding the few numbers of studies that treat the green supply chain management GSCM as mitigation solution for the risks of SCM. In addition, there were no studies explain the relationship between GSCM and environmental health; this will be the first time the assess the impacts of GSCM practices on environmental health in the food industry.

Sustainable Supply Chain Management in the Food Industry: A Conceptual Model from a Literature Review and a Case Study

The purpose of this study is twofold: firstly, to provide a literature review of sustainable supply chain management (SSCM) critical factors, practices and performance; and secondly, to develop a comprehensive and testable model of SSCM in the food industry. The research conducted comprises a literature review and a case study. The literature review findings propose a theoretical framework linking SSCM critical factors, practices and performance. The case study comprises two sustainability leaders in the Greek food supply chain in order to investigate the three SSCM constructs. A new set of pioneering SSCM practices in the Greek food industry is identified, including daily conversation, local sourcing and HR investments. The end result of this research proposes a testable model that sheds light on SSCM in the food industry and is based on a set of propositions.

Knowledge transfer, buyer-supplier relationship and supplier performance in agricultural supply chain: an agency theory perspective

Purpose

This paper aims to examine the performance of marginalized farmers in supply relationships with agri-tech firms in emerging rural agricultural economies. The complex relationship among the suppliers, dual relationship and knowledge transfer (KT) was studied. This paper empirically investigates the relationship between KT and supplier’s performance improvement (SPI) via buyer–supplier relationship (BSR).

Design/methodology/approach

Grounded on agency theory, a conceptual framework has been proposed to identify the mediation effect of BSR. The context deals with suppliers who are farmers in developing nations. The hypotheses were tested using confirmatory factor analysis and structural equation with a sample of 121 marginalized farmers from Indian states. The data was collected using a survey instrument designed by adapting the well-cited and validated measures. These marginalized farmers worked in collaboration with the agri-tech firms facilitating them with the KT.

Findings

The relationships established from the results also indicate the fact that KT is a powerful tool to make connections with farmers that lead to their performance improvement. The KT was found as a driver to improve performance (SPI) and the BSR acted as a positive mediator in this study. The complex relationships among the KT, BSR and SPI hold.

Research limitations/implications

This paper can be subscribed to various nuanced understandings of the agricultural supply chain context in emerging economies, in the specialized cases where farmers belong to the marginalized communities. This study has the scope to replicate using a mixed-method approach in emerging economies beyond India. It also advances the agency theory literature in the supply chain discipline of emerging rural economies.

Practical implications

This study offers strategic implications for agri-tech practitioners, policymakers and academic debate. The marginalized farmers with KT and improved BSR can become a part of the mainstream value chain, their debts can be reduced, suicides can be prevented and the quality of their family life can be significantly improved.

Originality/value

This study makes a unique contribution by investigating how the agri-tech firms (non-traditional buyer) and supplier relationship and KT helps improve the economic sustainability of smallholder farmers in India. The authors immersed themselves in fieldwork by interacting and meeting in person with 121 farmers residing in the remotest of the remote rural areas across multiple states of India. This resulted in the collection of authentic data and capturing the ground realities from one of the fastest-growing and largest emerging economies.

Lean, sustainability and the triple bottom line performance: a systems perspective-based empirical examination

Purpose

This study draws on the systems perspective to study the individual and combined interaction effect of lean management (LM) and sustainability management (SM) on the organization's triple bottom line (TBL) performance.

Design/methodology/approach

The study employs structural equation modeling to test the proposed hypotheses using data from the sixth version of the International Manufacturing Strategy Survey (IMSS VI).

Findings

The study finds that LM is positively related to all dimensions of the TBL performance. In contrast, SM is positively related to social and environmental performance and negatively related to economic performance. Finally, by finding that the interaction between LM and (SM) is positive for social and environmental performance, this study not only confirms that LM is an enabler for sustainability, but it also supports that the two paradigms are mutually compatible and reinforcing.

Practical implications

The findings imply that practitioners pursuing both LM and SM should leverage their mutual positive effects and balance the unintended effects of implementing isolated bundles by implementing them together as a complete socio-technical system. Their combined impact on the TBL performance will outweigh the sum of their individual effects in the case of isolated implementations.

Originality/value

In contrast with the extant literature, this study proposes that LM and SM make parts of one system as opposed to one correlated with the other or having a positive causal effect on the other. Taking an integrated systems approach, the study empirically verifies the “mutual compatibility” of the lean and sustainability paradigms argument, with regard to their effect on the TBL performance.

Supplier development under cooperative and non-cooperative investment structures

Purpose

This study analyzes supplier development investment decisions under a triadic setting (two buyers and a common supplier). In a triadic setting, the supplier development investment decision of one buyer can have a spillover effect of the benefits on other buyer. Therefore, it is utmost important for the investing buyer to understand the impact of benefit spillover on other competing buyers'. Therefore, one of the purposes of this study to analyze the supplier development investment decision of buyers under two scenarios. First, under cooperative development structure where both buyers jointly invest in supplier and share equal benefits. Second, non-cooperative investment structure where both buyers individually invest in supplier development and share unequal benefits.

Design/methodology/approach

In order to assess the impact of supplier development investment decisions on the profitability of buyers and the common supplier, the authors used game-theoretic approach. The authors design a Stackelberg leader-follower game where the supplier acts as Stackelberg leader and buyers follow the supplier's pricing decision to maximize their profit level. Additionally, both buyers decide either to cooperate or non-cooperate while investing in supplier development.

Findings

The results show that the cooperative investment is always an optimal strategy for buyers and supplier. Interestingly, the efficient buyer's share of investment level is lower under non-cooperative investment structure and he is better-off due to its capability of taking advantage from the other buyer's investment. However, the inefficient buyer, on the other hand, is worse-off under non-cooperative investment. Furthermore, comparative analysis between the two shows that initially, the buyer who extracts more profit because of the other buyers' development investment tends to prefer the non-cooperative development investment set up. However, after a certain point, the same buyer is better-off under cooperative development investment through cooperation, and sharing equal benefit of the supplier's development, as the supplier in turn, starts charging a higher wholesale price under non-cooperative investment case.

Originality/value

To the best of authors’ knowledge, extant literature on supplier development has mostly focused on. One supplier-one buyer; thus, the learning spillover effect has almost been unexplored. In real-life, different buyers often purchase from the shared supplier. Therefore, it is important to analyze the spillover of supplier development benefits due to investment of one buyer on other buyer and deriving the condition under which buyers would be incentivized to invest jointly or individually.

Financially distressed suppliers: exit, neglect, voice or loyalty?

Purpose

Major crises such as the global financial crisis 2007–08 or the COVID-19 crisis increase the level and likelihood of supplier financial distress. This research expands the understanding of how cooperatively, respectively, uncooperatively buying firms might respond to suppliers who suffer from financial distress in the course of major crises.

Design/methodology/approach

The authors build on a collaborative project with a German automotive OEM, analyze OEM internal “financial quick check data”, questionnaire data and longitudinal supplier financial data and apply regression, mediation and difference-in-difference estimation analyses.

Findings

The results show that the stronger the dependence on the distressed supplier, the more cooperative the buying firm's response. Furthermore, a more cooperative response of the buying firm has a strong positive influence on the suppliers' financial performance and hence recovery from the distress situation. Insights from supplier financial distress in the course of the financial crisis 2007–2008 can serve as learnings for the COVID-19 crisis.

Research limitations/implications

The study fills a gap in the scholarly literature on “response to risk incidents” and response formation. Resource dependence theory and resource dependence dynamics offer a strong rationale for the type of response buying firms are likely to choose.

Practical implications

Besides offering the first menu of response options, this study can help practitioners in figuring out the most appropriate response to distressed suppliers. The findings can assist buying firms in their decisions how to deal with suppliers during major economic and financial crises.

Originality/value

This research is the first to conceptualize buying firms' response options to financially distressed suppliers, to investigate the influence of dependence on buying firm's response and to reveal the consequences of the buying firm's response for the supplier's financial recovery.

Reviewing and conceptualizing supplier development

Purpose

The literature on supplier development (SD) is mostly fragmented, and very little research offers insights on the interrelations of the critical elements of SD. This research aims to evaluate the significance of SD and reconceptualise it by identifying and linking the key constructs and items of SD.

Design/methodology/approach

A structured literature review of SD literature was performed, and it was followed by conducting a contingency analysis of defined constructs and the items of SD. Applying a literature review and contingency analysis allows assessing the degree to which core constructs and their operational items are addressed in the SD literature.

Findings

Our findings show that a high degree of interrelations exists among enablers, relationships and supplier development strategies (SDS), of which, only indirect SDS drives the performance outcomes. However, interrelations between the individual items of the main categories of SD remain unexplored.

Research limitations/implications

The proposed revised framework reveals significant research gaps in SD and calls for a thorough examination of the topic.

Originality/value

The key contribution of the paper is reconceptualising SD and contributing to the theoretical development of SD.

Multivariable Supplier Segmentation in Sustainable Supply Chain Management

Pressure from stakeholders for sustainable development is forcing top management to reconsider its supply chain management. This form of sustainability must consider the risks, insecurities, and lack of proximity caused by any event on the global economy. Organizations must identify and manage the risks of every link in the chain, while pursuing sustainable development. Corporate social responsibility (CSR) and sustainable development must be the result of a deliberate and coordinated response by the entire organization. A suitable segmentation of suppliers allows development strategies to be prioritized. This article presents the steps that should be followed in supply chain management, the identification of risks, and the new leadership of purchasing management to develop a sustainable supply chain. To this end, some of the key industrial actions reported in the literature are outlined, and two case studies are presented to identify the steps for the segmentation and dynamic development of suppliers. This article provides reflections on the responsibilities of senior management in the new era of sustainable development and presents guidance on how to coordinate sustainable development in the supply chain.

Promoting firm innovativeness through servant leadership and corporate social responsibility to employees

Purpose

Based on the upper echelons and organisational identification theories, this paper focuses on the relationship between servant leadership and firm innovativeness, as well as the underlying mechanisms that explain this relationship. More specifically, we analyse the relationship between servant leadership, firm innovativeness and corporate social responsibility to employees (CSRE).

Design/methodology/approach

A total of 285 Spanish firms took part in the study, and 570 questionnaires were gathered. Structural equation modelling was used to validate the proposed hypotheses.

Findings

Results suggest that servant leadership has a positive relationship with firm innovativeness, and this relationship is fully mediated by CSRE.

Research limitations/implications

HR managers have an overall view of their company and of the behaviour of other leaders. However, future research should also consider employees perceptions. The present study is cross-sectional, and it would be interesting to study the development of the interaction between leaders and followers, which calls for longitudinal and multilevel studies.

Practical implications

According to our results, managers could foster firm innovativeness if they select and promote leaders who display the different leadership behaviours related to servant leadership: empowerment, servitude, accountability, courage, authenticity, humility and stewardship. Moreover, training programmes should also foster these behaviours.

Originality/value

Few empirical studies analyse the relationship between servant leadership and innovation. The main contribution of the present research is to further the current knowledge of this relationship by disentangling the mediating role of corporate social responsibility to employees.

Understanding the impact of supply-side decisions and practices on supply risk management

Purpose

In the era of market turbulence, sourcing specialists consistently face challenges to keep the availability of the material efficiently and effectively without any disruption. Sourcing strategies and planning have a huge impact on procurement performance. The purpose of this paper is to examine the relationships among different sourcing strategies and supply risk management and performance and additionally, the role of procurement practices in different strategic settings.

Design/methodology/approach

This is empirical research that collected data gathered from 223 procurement specialists working in various manufacturing firms through a structured questionnaire. Valid data is then analyzed through the structure equation modeling technique for hypotheses testing.

Findings

The findings of this study reveal that supplier development is a partial complementary mediator between multiple supplier strategy and supply-side risk management. While in a volatile business environment, strategic supplier strategy has a significant negative impact on supply-side risk management, and in this case supplier development acts as a competing partial mediator between the two. Contract management has resulted in an important mechanism to be deployed in a strategic sourcing strategy. It is also shown that supplier risk management is also associated with improved supply management performance.

Practical implications

This paper establishes an explanation of theoretical and practical understanding of sourcing strategies and empirically shows that supplier development is the appropriate mechanism to deal with supply-side risk management, which in turn positively impacts on supplier management performance.

Originality/value

This study contributes to supply chain risk management literature, especially in the context of strategic risk management and explains how a strategic decision can impact supply risk management. This provides a piece of empirical evidence regarding the use of well-established procurement practices to improve supply performance.

Process Innovation as a Moderator Linking Sustainable Supply Chain Management with Sustainable Performance in the Manufacturing Sector of Pakistan

Purpose: The aim of this research paper is to significantly contribute to empirical research on the impact of sustainable supply chain management (SSCM) practices on sustainable performances of firms, with the moderating effect of process innovation (PI), in the manufacturing sector in Pakistan. This paper also theorizes comprehensive SSCM practices and sustainable performance models of firms and evaluates them empirically. Two aspects of SSCM experiences have been integrated into the model: internal management and external management practices of a firm’s sustainability impact assessment. Research methodology: Using the data from 297 manufacturing firms in Pakistan, this research paper analyzes the influence of sustainable supply chain management practices on sustainable performances of firms with the moderation of process innovation in the said relationship. In this study, we used partial least-squares structural equation modelling (PLS-SEM) for data analysis. Results: The findings demonstrate that both internal management and external management SSCM practices have a positive and significant impact on a firm’s sustainable performance, thus supporting hypotheses (H1–H4). Moreover, process innovation as a moderator has a statistically significant relationship between hypotheses H5 and H5c. Originality: For Pakistani firms, comprehensive performance models of SSCM practices are proposed and empirically evaluated. The results of this study help to support the hypotheses that internal and external SSCM practices are necessary for the service sector. Process innovation plays an important role if managed and implemented properly. A number of internal and external SSCM approaches and implications are recommended, along with firm size as a moderator.

Lean meeting buyer's expectations, enhanced supplier productivity and compliance capabilities in garment industry

Purpose

Investigate the potential of using “lean” in garment supplier factories to enhance productivity and compliance capability, so as to fulfill a buyer's expectation of lower price, shorter lead time, and higher occupational health and safety (OHS) standards.

Design/methodology/approach

By means of an intervention, lean tools integrated with OHS elements were introduced in four Bangladeshi key garment suppliers of a Danish buyer. By employing a qualitative approach, both quantitative and qualitative techniques were used to collect data on productivity, OHS, and buyer–supplier efforts.

Findings

This study demonstrates that lean tools, integrated with OHS elements, can be used to improve the productivity and compliance capabilities of supplier firms, which meet a buyers' changing demands for lower prices, shorter lead times, and higher compliance standards. This study suggests that the improvement of productivity and OHS in supplier firms through lean implementation could be a better choice for buyers than switching to new suppliers with uncertainties in productivity and delivery, as well as OHS compliance problems.

Practical implications

The findings of this study suggest that garment suppliers can benefit from implementing lean, thereby improving their capacity to meet buyers' expectations. Therefore, both suppliers and buyers have a mutual interest in the application of lean in suppliers' production facilities.

Originality/value

By considering both buyer and supplier perspectives, this research is a unique attempt to investigate the possibilities of lean implementation at the shop-floor level to meet the market challenges in the context of a developing country.

Supplier performance assessment

Purpose

The discussion of supplier performance assessment and implementation challenges has been evidenced well in the academic literature. However, the analysis of supplier performance assessment has been limited in terms of inclusion of suppliers’ perspective, especially in terms of what key performance indicators they deem to be relevant and aligned with their goals. Therefore, the purpose of this paper is to shed light on supplier performance assessment, taking into account both manufacturing company’s and suppliers’ perspective, to evaluate to what extent the utilised performance measures are beneficial to all parties.

Design/methodology/approach

Based on literature review on supplier performance assessment, ten categories of performance measures were established and explored in a case study involving a UK manufacturing company and its suppliers. A questionnaire was distributed to the manufacturing company and their 30 suppliers, resulting with a total of 41 responses.

Findings

From the established ten categories only five categories were highly rated which were: net profits, flexibility and responsiveness, delivery performance and time and cycle time, product quality and availability, which were aligned to financial and internal business process categories.

Research limitations/implications

This study focused on a UK-based company and its relationship with its suppliers and how performance measures were assessed within this context. A further study needs to be conducted in terms of comparing the results of the study to other companies’ supplier performance assessment.

Originality/value

The research on the topic of supplier performance assessment often relates to measurement and highlights measures for assessing suppliers’ performance to a particular industry or area of performance measurement. Hence, this study embeds three distinctive angles including the academic literature on supplier performance assessment, suppliers’ and the manufacturing company’s perspectives.

The effect of motivators, supply, and lean management on sustainable supply chain management practices and performance

Purpose

The purpose of this paper is to conceptualize a model for sustainable supply chain management (SSCM) that integrates the antecedents, practices and performance measures of sustainability. It also examines if lean management (LM) and supply management (SM) are antecedents of SSCM.

Design/methodology/approach

A systematic review of literature was undertaken across multiple streams, including operations management, SCM, sustainability, business ethics and performance management. Articles relevant to SSCM published over a span of 31 years (1988–2018) were searched using keywords and specific selection criteria.

Findings

From the literature, three dependent constructs – motivators of sustainability, LM and SM – and three independent constructs – environmental practices in SCM, social practices in SCM and SSCM performance – are identified and defined. Linkages between these constructs are hypothesized to develop a theoretical framework called the “integrated lean/supply management with sustainability motivators, practices and performance model.”

Research limitations/implications

Built on the principles-practices-outcomes framework proposed earlier, this model is comprehensive in its coverage of sustainability antecedents, practices and performance. Further, it covers the SCM triad – the supplier, the focal firm and the customers – as well as the roles they play in sustainability performance.

Originality/value

By identifying LM and SM as additional antecedents of SSCM, this study suggests that sustainability may be realized through LM and SM principles. Further, the proposed model presents a novel integration of literature from diverse domains.

A dyadic perspective of socially responsible mechanisms for retailer-manufacturer relationship in an apparel industry

Purpose

The purpose of this paper is to identify and prioritise social responsible mechanisms in apparel supply chains to extend social responsibility from large retailers in developed countries to producers in developing nations.

Design/methodology/approach

A framework that consists of supplier qualification and supplier relational mechanisms as two socially responsible mechanisms, with five factors and 18 dimensions is proposed. To prioritise the dimensions, analytic hierarchy process is employed by using a case study methodology of a major Australian retailer sourcing from Bangladesh manufacturers.

Findings

Results indicate that at the mechanism level, both retailer and manufacturers perceive qualification of manufacturer as by far the most critical element compared to the relational mechanism. However, substantial differences exist at the factor level; namely, that the social factor is critical for the retailer, whereas the economic factor is critical for the manufacturer. Within the relational mechanism, evaluation helps retailers to enforce social responsibility, while manufacturers believe collaboration helps.

Research limitations/implications

The major limitation of this study is the generalisation of the findings. The results obtained by focusing on a particular context in the Australian retail sector importing from Bangladesh, may not be applicable to other nations.

Practical implications

By highlighting the difference of opinion, this study assists managers in developing guidelines to better understand the socially responsible mechanisms in the retailer-manufacturer dyadic relationship and to propose strategies to address the differences.

Originality/value

This study advances the literature on inter-organisational relationship to retailer-manufacturer dyad for the implementation of social responsibility by including supplier qualification along with supplier relational mechanism.

The adoption of sustainable practices: A supplier's perspective

Suppliers' adoption of sustainable practices plays a critical role for global companies to improve environmental performance. Based on the absorptive capacity theory, this study empirically explores how suppliers' knowledge bases and power relationships influence their adoption of sustainability practices. A longitudinal case study with eight suppliers has been conducted. We find that the adoption of leading sustainable practices requires a supplier's good knowledge base whereas a supplier can adopt imitating and toddling sustainable practices even if it has a limited knowledge base. Both the power of internal sustainability teams and external buyers enhance the effects of suppliers' knowledge bases on the adoption of sustainable practices. Suppliers choose the strategy used in adopting sustainable practices according to the configuration of internal and external power. The results enhance the current understandings of the mechanisms through which knowledge bases and power relationships affect the adoption of sustainable practices. The findings can also help global companies improve the effectiveness of their supplier development efforts and enhance the environmental performance of supply chains.

Measuring interdependencies of preferred supplier enablers

Purpose

The purpose of this paper is to analyze preferred supplier enablers (PSEs) and measure the interdependencies among themselves for enhancing preferred supplier relationship.

Design/methodology/approach

In the current study, an approach has been developed in which the significance of various PSEs was determined by applying Fuzzy Analytic Hierarchy Process (FAHP) and the prominent PSEs were screened out through Pareto analysis. Also, the interdependence among the prominent PSEs was measured by applying the Fuzzy Decision Making Trial and Evaluation Laboratory method in order to select the right PSEs in ascribing the Preferred Supplier Status. Finally, the weakest relationships among the PSEs were confirmed by applying the student’s t-test and then an impact relationship map of PSEs was developed.

Findings

The strength of relationships among the PSEs, grouping of PSEs into causes and effects on a causal diagram and a concise impact relationship map of PSEs were determined. Further, the PSEs that a manufacturer must primarily focus and monitor were also obtained.

Research limitations/implications

The study was conducted in an Indian electronic manufacturing environment. Therefore, the results obtained would be more relevant to the high end technology product manufacturers operating in the developing countries.

Practical implications

From the current study, a manufacturer can alleviate, favorably associate and integrate with the good suppliers and then eventually establish a strong supply base.

Originality/value

Manufacturers are looking for the closer and favored relationships by bringing in the concept of preferred supplier while dealing with their key suppliers. Thus, the results obtained from the current study would be of great assistance to a manufacturer in gaining an extra cutting-edge and, in turn, tackling the increased competitive pressures and reduced availability of resources.

Effect of supplier development activities on performance outcomes: an empirical study

Purpose

The purpose of this paper is to examine the role of supplier development activities (SDAs) in the context of three major performance outcomes (POs), i.e. supplier performance improvement (SPI), buyer’s competitive advantage improvement (BCAI) and buyer-supplier relationship improvement (BSRI).

Design/methodology/approach

A survey was conducted of 214 manufacturing organizations and the data were analyzed using factor analysis, correlation analysis and multiple hierarchical regression analysis.

Findings

This paper categorizes the identified 28 SDAs and 33 POs into five and three major categories of SDAs and POs, respectively. The results indicate a significant relationship between each aspect of SDAs and POs, except investment. The effect of each category of SDA is determined through a developed framework.

Research limitations/implications

This present study analyzes the SDAs and POs from the buyer’s point of view. A paired buyer and supplier data may provide some additional information about the relationship between SDAs and POs.

Practical implications

The outcome of this study will provide significant information for managers and academicians who are involved in outsourcing.

Originality/value

For the first time, the relationship and effect of each category of SDAs was analyzed in combination with three major POs, i.e. SPI, BSRI and BCAI.

Plurality in environmental supply chain mechanisms

Purpose

The environmental management of supply chains has become increasingly relevant in the recent era. Extant research proposes two main forms of mechanisms – collaboration and evaluation – for environmental supply chain management. Despite the wide use of these mechanisms and the empirical insight into the fact that they could be adopted simultaneously, it is unknown if, and, at which levels, environmental collaboration (EC) and environmental evaluation (EE) could be complementary or substitutionary in nature. Therefore, the purpose of this paper is to gain a clear understanding into the plural forms of these mechanisms.

Design/methodology/approach

The transaction cost economics and relational exchange theory are used to ground the research hypotheses. The results are based on survey data collected from 145 US manufacturing firms. The authors employ polynomial regression as well as the response surface methodology to test the proposed hypotheses.

Findings

The results suggest that EC and EE can have an intriguing effect depending on the outcome measure. Specifically, the authors find the effects in the economic and the environmental/social domains to be significantly different.

Originality/value

While scholars acknowledge that collaboration and evaluation could act as complements, extant research does not propose and test models that specifically capture complementary and substitutionary nature of these mechanisms. Accordingly, the study makes the first attempt to empirically test for the effects of the simultaneous pursuit of EC and EE.

To examine the relationships between supplier development practices and supplier-buyer relationship practices from the supplier’s perspective

Purpose

The purpose of this paper is to examine the relationships between supplier development practices (SDPs) and supplier-buyer relationship practices from the supplier’s perspective (SBRSP), and seek to understand how specific SDPs may impact a buyer’s operational performance as well as supplier-buyer relationship practices.

Design/methodology/approach

The authors conducted a survey of 512 respondents from the different manufacturing firms in India and applied structural equation modelling to test a structural model that proposes the impacts of various efforts of SDPs on a buyer’s performance as well as SBRSP.

Findings

The study concludes that SDPs and SBRSP together improve the relationship between a buyer and supplier, and this improved relationship leads to competitive advantages (CAs) followed by profitability. Results indicate that supplier perspective of buyer-supplier relationship can be improved under the condition of SDPs and SBRSP together. SDPs are driven by productive measure and competitive pressure, whereas customer uncertainty is found to be statistically insignificant.

Research limitations/implications

The study was carried out in North Maharashtra Industrial Zone of India, where the auto sector and machine/components manufacturing firms have been established for a considerable period of time. Results of the study are limited to manufacturing organizations predominantly focussing on the automobile sector and machine/components manufacturing firms.

Practical implications

This study provides significant insights into the specific impact of various SDPs and SBRSP for both academics and practitioners. SDPs along with SBRSP practices lead to improvement in the relationship leading to CAs. SBRSP suggests that trust, long-term commitments and the supplier’s perspective are important practices for relationship improvement.

Originality/value

The current study attempts to identify what are the success factors for the supplier-buyer relationship from the supplier’s perspective and SDPs and how the supplier-buyer relationship can be improved under the condition of SDPs and SBRSP. Hence, the aim is to develop a more thorough understanding of the outcomes of a supplier-buyer relationship improvement from both buyer’s and supplier’s perspective, under the conditions of supplier development to achieve CAs leading to profitability. Furthermore, the study analyses the effect of the improved supplier-buyer relationship for achieving CAs leading to profitability.

Impact of green supply chain management practices on firms' performance: an empirical study from the perspective of Pakistan

This article investigates the impact of five determinants of the green supply chain practices on organizational performance in the context of Pakistan manufacturing firms. A sample of 218 firms was collected from the manufacturing industry. The green supply chain practices were measured through five independent variables including green manufacturing, green purchasing, green information systems, cooperation with customers, and eco-design. By using exploratory factor and simultaneous regression analysis, the results indicate that except green purchasing, rests of the four independent variables have been found statistically significant to predict organizational performance. However, the eco-design of green practices followed by green information systems has revealed the greatest impact on organizational performance. Therefore, the managers of the manufacturing firms should not only implement eco-design in their supply chain but also concentrate on proper monitoring and implementation of green information systems to increase their firms' performance. A main contribution of this research from theoretical side is that it is possible to notice a negative effect of "green purchasing" towards organizational performance particularly in the scenario of Pakistan manufacturing industry. Another valuable result is that green purchasing is an important antecedent of firms economic performance in the US manufacturing firms (Green et al. 2012), although not significantly related to organizational performance in our study. In addition, we also discussed research limitations, areas for future research, and implications for practitioners.

Supplier perceptions of distributive justice in sustainable apparel sourcing

Purpose

The purpose of this paper is two-fold: first, it attempts to determine whether suppliers perceive distributive justice (equity) when their key customers implement sustainable sourcing initiatives based on assessment governance, composed of codes of conduct and auditing; second, it generates insights into specific costs, rewards, and investments and how these together result in perceived equity.

Design/methodology/approach

A qualitative research design was adopted for this study. A total of 30 executives from textile manufacturing suppliers in China, India, and Bangladesh were interviewed to determine their perceptions of distributive justice in relation to their key customers’ sustainable sourcing initiatives.

Findings

Most of the interviewees perceived that their customers’ assessment of governance initiatives was unfair. Four types of suppliers are identified based on their varying perceptions of the equity equation.

Research limitations/implications

The findings introduce distributive justice as an important mediating variable between assessment-based governance and compliance. They also provide insights into the various types of perceived costs, rewards, and investments related to sustainable sourcing, and how they form varieties of the equity equation. The findings rely on a limited number of respondents and should, therefore, be researched further.

Practical implications

Assessment based on codes of conduct and auditing is the most prevalent sustainable sourcing governance approach, but suppliers may perceive this as an injustice leading to non-compliance. Buying companies are therefore advised to consider supplier perceptions of costs, rewards, and investments and adapt their sustainable sourcing initiatives accordingly.

Social implications

Increased consideration of distributive justice in sustainable sourcing should increase the likelihood of supplier compliance, improving conditions for employees in global textile plants.

Originality/value

Extant research has studied the connection between assessment-based sustainability governance and compliance or overall performance. This paper contributes by suggesting that distributive justice might be a mediating variable helping to explain this connection.

Development of questionnaire to assess the supplier evaluation criteria and supplier selection benefits

Purpose

The purpose of this paper is to develop an instrument/questionnaire to assess the supplier evaluation (SE) criteria and supplier selection (SS) benefits with their level of importance.

Design/methodology/approach

This paper develops an instrument/questionnaire based on generally accepted principle of instrument design to assess the SE criteria and SS benefits through the responses collected from 34 automobile industries in India. The SE criteria and SS benefits were derived through extensive literature review and expert’s opinion.

Findings

The reliability, normality and validity of developed instrument/questionnaire were determined through the responses collected from the managers of 34 automobile industries in India and are found to be acceptable for most of the SE criteria and SS benefits. The criterion validity is also found to be fairly good for the developed instrument/questionnaire.

Research limitations/implications

While designing the instrument/questionnaire, SE criteria and SS benefits were considered for automobile sector in India through prequestionnaire sheet. Further, research may be required to corroborate these results from larger data sets.

Practical implications

Now a days, it is essential for organizations to rely on their suppliers for their survival and to gain competitive advantage. The well developed and validated instrument/questionnaire can be used for industry practitioners in Indian automobile industries to assess the SE criteria and SS benefits.

Originality/value

An empirically tested instrument/questionnaire is developed first time to assess the SE criteria and SS benefits for automobile sector in India.

An investigation of the relationship between supply chain management practices (SCMP) on supply chain performance measurement (SCPM) of Indian retail chain using SEM

Purpose

The purpose of this paper is to investigate the relationship between two major constructs (supply chain management practices (SCMP) and supply chain performance measures), which determines the efficiency and efficacy of retail-supply chain management, using a rigorous empirical method to validate the instrument scale for measuring the validity and reliability of the identified constructs. Additionally, the paper further tests the relationship between SCMP and supply chain performance measures using structural equation modeling (SEM).

Design/methodology/approach

Data were compiled and collected from 213 operations and supply chain (SC) heads from leading retail stores in India. Confirmatory factor analysis was used to test the validity of the proposed measurement scale and the relationship is tested using SEM.

Findings

The results of the research will help the decision makers in the SC/procurement field to understand the importance of the association between SCMP and supply chain performance measures. Statistical tests show that the implementation of SCMP are associated with supply chain performance measures, which leads to overall improvements; moreover, there is a statistically significant association between the five SCMP and eight SCPM.

Research limitations/implications

This research is also needed to provide more understanding about the SCMP along with the supply chain performance measures and the positive association among them. Overall, this research provides an additional insight into the growing field of the relationships between SCMP and SCPM. Clearly, the field has ample space to grow in terms of research and practice.

Originality/value

This research paper contributes to the literature on supply chain performance measurement.

Identifying and managing supply quality risk

Purpose

The purpose of this paper is to provide a framework for identifying and managing supply quality risk (SQR).

Design/methodology/approach

The research method began with a literature study to form a grounded model of how organizations identify and perceive SQR and associate various supplier quality management practices (SQMPs) with SQR sources. The second phase consisted of structured interviews at three companies in the food machinery industry in order to refine these concepts and examine causal relationships.

Findings

The findings from this study indicate that firms may be more likely to implement integrative supply chain practices when supplier or component sources of SQR are considered to be a significant threat. Conversely, market sources of SQR were generally not perceived as being significant, and therefore do not warrant as much direct intervention in their management.

Research limitations/implications

Most previous studies on supply chain risk focus on delivery disruptions. However, there is a lack of knowledge on identifying, assessing, and managing supply risk associated with quality. By addressing these issues and outlining future research directions the authors help provide a starting point for contributing to this line of study in supply risk theory and practice.

Practical implications

The framework developed in this paper can aid supply chain professionals in understanding what constitutes SQR and providing insight to approaches for managing this form of supply risk.

Originality/value

This is the first empirical study that the authors are aware of that links various sources of SQR to specific SQMPs.

The different impact of inter-organizational and intra-organizational ICT on supply chain performance

Purpose

– The purpose of this paper is to clarify the different roles of intra- and inter-organizational information and communication technology (ICT) in improving supply chain performance. It proposes different mechanisms to explain how intra- and inter-organizational ICT interact with supply chain integration, and contribute to supply chain performance. The main research question is: What are the distinctive roles of inter-organizational ICT and intra-organizational ICT in improving supply chain performance?

Design/methodology/approach

– The paper builds on original survey data of 320 Chinese manufacturing firms gathered in China.

Findings

– The paper shows that inter-organizational ICT has a positive direct relationship with supply chain performance and this relationship is mediated by supply chain integration. Intra-organizational ICT has no direct relationship with supply chain performance. However, intra-organizational ICT moderates the effect of the supply chain integration on supply chain performance.

Research limitations/implications

– The paper argues that more research into the specific roles and interaction of ICT with business processes is needed in order to better understand its role in improving supply chain performance.

Practical implications

– For managers the findings show that inter- and intra-organizational ICT play a different role in the improvement of supply chain performance: the first leading to more supply chain integration, which in turn improves performance, while the second needs additional investment in integrative practices to help improve supply chain performance.

Originality/value

– This paper adds to the debate on the role of ICT in improving supply chain performance and shows that a detailed investigation into underlying mechanisms, and the interaction of ICT with other business processes is valuable.

Supplier development for sustainability: contextual barriers in global supply chains

Purpose

– The purpose of this paper is to explore contextual barriers to supplier development for sustainability (SDS) in global supply chains and managerial remedies to mitigate such barriers.

Design/methodology/approach

– A dyadic case study design was adopted with a Western European buyer and six of its Chinese suppliers. The database consists of 41 interviews and 81 documents.

Findings

– Contextual barriers to SDS in global supply chains derive from complexities in the sustainability concept, socio-economic differences, spatial and linguistic distance, as well as cultural differences between buyers and suppliers. Partial remedies include effective joint communications, an open organizational culture, and the fostering of cross-contextual understanding.

Research limitations/implications

– The findings contribute to theory development at the intersection of sustainable and global supply chain management research. They help to explain why scarce sustainability-related progress in global supply chains has occurred in recent years.

Practical implications

– The identified barriers facilitate managerial decision making that will expedite SDS progress in global contexts.

Social implications

– By diffusing knowledge regarding available remedies, the study contributes to improving SDS effectiveness, thereby fostering sustainability capabilities and performance of suppliers.

Originality/value

– This research highlights the criticality of contextual barriers to SDS. The barrier effects that stem from differing real-world conceptions of sustainability may inform future sustainable supply chain management research within and beyond SDS.