Supply chain quality management and firm performance in China's food industry—the moderating role of social co-regulation

Abstract

PurposeThe purpose of this paper is to investigate the relationships between supply chain quality management (SCQM) and firm performance (including quality safety performance and sales performance) leveraging social co-regulation as a moderator.Design/methodology/approachUsing survey data collected from 203 food manufacturers in China, a series of hierarchical linear modeling analyses were conducted to test hypotheses on the relationships between SCQM and firm performance.FindingsThe findings are threefold. First, all three dimensions of food SCQM practices, i.e., supplier quality management, internal quality management, and customer quality management, have significant positive effects on an enterprise's quality safety performance and sales performance. Second, SCQM practices can also increase sales performance indirectly through quality safety performance as a mediator. Third, while social co-regulation has no significant effect on the relationship between supplier quality management and quality safety performance, it has a significant moderating effect on the relationship between internal quality management and quality safety performance, customer quality management and quality safety performance.Research limitations/implicationsThis study not only integrates SCQM with social co-regulation but also explores the regulating effect of social co-regulation through empirical analysis, thereby providing a theoretical base for future research. However, this research is confined to China and so the results are not necessarily generalizable to other countries.Practical implicationsThe findings inform managers of the importance in enhancing awareness of food quality and safety as well as in improving their sensitivity to salient quality demands of external stakeholders in order to achieve better SCQM practices. The findings can also inform policymakers of the significance in designing a systematic multi-agent cooperation mechanism for food SCQM as well as to build an effective information sharing mechanism for social co-regulation of food safety.Originality/valueThis study contributes to knowledge by empirically examining the relationships of SCQM practices with firm performance. It also expands the scope of SCQM research by incorporating social co-regulation in the study framework.