Abstract
Abstract Focal companies (hereafter called buyers) adopt outsourcing practices from a supply chain management strategy to be competitive. Buyers face the bridge transfer after outsourcing contracts, and the monitoring practiceswould be the only control mechanism left to prevent losing control over the suppliers. This study suggests the setof monitoring practices (i.e., capability, activity and outcome monitoring) as the independent variables to enhance thebuyer-supplier collaboration and supplier’s performance. In addition the buyer’s efforts of monitoring are assumed toinfluence the buyer’s shop floor productivity mediated by the supplier’s performance and buyer-supplier collaboration.The results showed that the monitoring practices are meaningful antecedents to the supplier’s performance and buyer-supplier collaboration, which fully mediates between the monitoring practices and buyer’s shop floor productivity. The mediating role of the buyer-supplier collaboration between activity monitoring and shop floor productive has been rejected, because the negative effect of activity monitoring on buyer-supplier collaboration conflicts with the positive impact of buyer-supplier collaboration on shop floor productive. The theoretical contributionand managerial implications with limitations have been discussed.
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