Influence of stakeholders on supply chain social sustainability: New insights from small suppliers in the Indian manufacturing sector

Abstract

Due to intense pressure from multiple stakeholders, the integration of social sustainability in supply networks is steadily gaining momentum in developing countries. However, because this pressure does not necessarily drive the adoption of supply chain social sustainability (SCSS) at the suppliers' end, further investigation is imperative. Additionally, despite the increased academic attention to the supplier base concerning SCSS, small suppliers' perspectives have been insufficiently examined. The objectives of the current study are to explore the positive and negative influences of various small suppliers' stakeholders on SCSS adoption, small suppliers' perceptions regarding stakeholders' demands, and the mechanisms they employ in response to these influences. An exploratory qualitative approach involving semi-structured interviews is used to collect primary data from owners and managers of 28 companies in the Indian manufacturing sector. The findings reveal that positive and negative influences and pressures to espouse SCSS emerge from two categories of stakeholders: primary and secondary. Small suppliers perceive different stakeholders' SCSS expectations as complementary, contrasting, and not-so-essential, and they adopt three mechanisms to manage stakeholders' demands: compliance, trade-off, and avoidance. This study adds new insights to the existing SCSS literature by offering under-represented small suppliers' viewpoints and developing a conceptual model using stakeholder theory. It also provides some practical implications for various stakeholders, including owners of small enterprises.