Innovative Supply Research Articles

Buyer’s market-oriented culture, strategic procurement capability, and customer performance in the public procurement of innovations

Abstract The public procurement of innovations is a demand-side policy instrument that harnesses supplier innovations to improve products and services delivered to the customers. This study analyses a nation-wide survey of Finnish public sector contracting authorities. A sequential mediation model suggests that the public sector buyer’s market-oriented culture is positively associated with the procurer’s strategic procurement capability, which in turn predicts the use of public procurement of innovations to create customer value for customers. These results are robust to a potentially biased perception of customer performance.

On the edge: a multilevel perspective on innovation complexities and dynamic attractors in the supply network

PurposeIn innovation management, the complexity inherited in the supply network may be necessary for success. This study aims to holistically examine innovation complexities and system attractors within a hierarchically nested supply network and explore how they dynamically interact and influence adaptive innovation processes.Design/methodology/approachTaking a complexity theory perspective, we employed a methodological bricolage approach using a single case study with multiple embedded units of analysis – namely, a supply network encompassing 36 firms. We drew upon primary data obtained from 42 interviewees and rich secondary data, and we employed a temporal exponential random graph model to examine the micro-foundations of the evolution of the sampled supply network over a decade.FindingsThis study presents a comprehensive overview of the innovation complexities—relational, temporal, dynamic, operational and structural – and how they manifest within a supply network. It also identifies three systemic attractors – point, periodic and strange – and elucidates their relationships with the complexities and their impact on innovative supply network dynamics. The resulting conceptual framework and working propositions provide a detailed perspective on the complex interplay between balanced order and chaos and the potentially unbalanced innovation states within a supply network.Originality/valueThis research offers an in-depth perspective on the innovation complexities and dynamic attractors within a supply network from a holistic, multilevel perspective. It advances complexity theory and deepens the understanding of supply networks as complex adaptive systems.

Research on Innovation of Food Logistics Supply Chain Management

In the context of globalization and constantly changing consumer demand, the management of food logistics supply chains has become increasingly complex and important. This paper mainly studies the problems and innovative methods in food logistics supply chain management, aiming to improve the efficiency and adaptability of the supply chain by optimizing management strategies. This paper adopts literature analysis and case analysis methods to analyze in detail the problems of information asymmetry, cost control, transportation efficiency, and inventory management in the food logistics supply chain. It proposes innovative supplier management models, digital management, modern supply chain management concepts, inter chain cooperation, and risk management solutions. Research has found that adopting information-sharing mechanisms and advanced information technology, as well as strengthening collaboration among various links in the supply chain, can effectively improve management efficiency and reduce operating costs. This study provides some useful references for food logistics enterprises in practical operation, helping them improve service quality and reduce operating costs in a fiercely competitive market environment, enhance market competitiveness, ensure food safety and freshness, and meet the growing needs of consumers.

Green innovation for a sustainable environment: Modeling the new green knowledge production function for OECD countries

AbstractThe world community faces serious challenges such as climate change, biological loss, and environmental degradation. Developing ecological technologies is vital for coping with these unreversible crises. This study proposed a modified green knowledge production function to achieve sustainable development goals and generate policies for promoting environmental technologies. It examined the impact of market demands, environmental research and development expenditures, human capital, and environmental protection policies on the production of green environment technologies. Panel data included 16 OECD countries from 1990 to 2019. Data analysis strategies included the Gengenbach, Urbain, and Westerlund panel co‐integration test, fully modified least squares, mean group dynamic least squares, and estimators such as feasible generalized least squares and panel‐corrected standard errors for robust checks. A novel panel causality test via a half‐panel jackknife estimator was also applied for causality analyses. The findings showed that human capital, market size, and environmental policy stringency played significant roles in producing environmental technologies and innovations. Although environmental expenditures made by the government positively affected the supply of green innovation, no statistically significant results were observed. The study highlights the importance of enhancing environmental innovation factors by promoting policies, including human capital development, environmental sanctions, and market demands for a sustainable environment.

The growing third mission of academia in China: evolution of technology innovation based on quadrant model

ABSTRACT Amid the prevalent paradigms of ‘mission-oriented' in contemporary scientific research, the supply of innovation by academia is becoming increasingly crucial in supporting socioeconomic development. Given the limited literature discussing technology transfer from a heterogeneous organisation perspective, grounded in the scientific research quadrant model applicable for patent analysis, this study establishes a dataset comprising nearly one hundred thousand patents transferred from ‘universities-research institutions’ to industries in China. It delineates the features of technological innovation evolution in China over the past two decades from three aspects: “patent transferred from academia” (PTA), “non-transferred patent in academia” (NTPA) and corporate-produced patent (CPP). The findings indicate that PTA patents in China have increased recently, and their scales correlate with economic development though early-developed regions don't always have higher PTA proportions. Meanwhile, PTA patents show a greater and more sustained economic impact compared to NTPA and CPP patents, with a moderating effect on the economic influence of other patents. Despite the growth in PTA's explanatory power regarding economic disparities, further enhancement is needed. This study, while unveiling the evolution of innovation in China from the perspective of technology transfer, underscores the importance of expanding academic knowledge diffusion to support economic growth.

Can Company Size and Region Shape the Sustainability Landscape?

This research investigates the status of green innovation within the supply chain context, emphasizing the roles of organizational support, competitive pressure, and relative advantage. A total of 286 valid samples collected from employees within the supply chain of the manufacturing industry in China were analyzed. Findings reveal significant impacts of organizational support, competitive pressure, and relative advantage on green supply chain innovation adoption, with nuances observed based on organizational characteristics and regional differences. Competitive pressure is a key driver for small organizations to adopt green supply chain innovations, whereas the relative advantage significantly influences larger organizations' adoption intentions. Organizations in different regions exhibit different adoption intentions of green supply chain innovations. Practical implications for managers in different contexts are discussed, emphasizing the importance of tailored strategies to leverage strengths and mitigate challenges in fostering sustainable and innovative supply chains.

Modernizing Procurement in Supply Chain with AI and Machine Learning Techniques

Public procurement in Europe represents, on average, 16.9% of the GDP and is the cornerstone of the European Single Market. Simplifying public procurement and reducing procurement administrative costs for the public and private sectors can deliver substantial benefits at the national and European levels. However, the complexity and diversity of public procurement processes, as well as the huge expenditure at hand, implement automatic systems tailored to specific procurement needs necessary. This paper shows how artificial intelligence, and in particular machine learning techniques, can be used to modernize public procurement. It presents implemented systems and showcases pilot projects. The results of an extensive evaluation are also reported. The paper also argues that public procurement should be used more strategically by public administrations. This means aligning procurement actions with overall business objectives and using procurement to leverage supplier innovation and create a competitive advantage. Such advanced objectives are seldom achieved through the lowest price model. The paper also contains several recommendations for both the supply and demand sides to help realize the full potential of public procurement. On the supply side, recommendations relate to a better understanding of how artificial intelligence can be used in procurement activities, working with AI systems, and creating AI systems. On the demand side, recommendations involve the careful planning of how and when to use AI in procurement activities.

A STUDY ON SUPPLIER EVALUATION PROCESS IN FOOTWEAR MANUFACTURING INDUSTRY

This study introduces an innovative supplier evaluation approach for footwear manufacturing by integrating the SCOR 4.0 model with machine learning techniques. The SCOR 4.0 model, combined with the Best Worst Method (BWM), provides a structured framework for evaluating suppliers across various dimensions. A Random Forest (RF) machine learning model is then used to classify and rank suppliers based on performance ratings. The results show that the RF algorithm effectively identifies suitable suppliers, with lower rejection scores indicating superior performance. This integration enhances supplier evaluation processes and offers valuable insights for supply chain management in the footwear industry. Key Words: Supplier evaluation, SCOR 4.0 model, Best-worst method (BWM), Random Forest (RF), Supplier Rejection score

Decoding Amazon’s innovation and partnerships in the Vendor Flex: meaningful alliances or imbalanced governance dynamics?

PurposeThis research delves into a comprehensive examination of Amazon’s Vendor Flex (VF) model, seeking to illuminate the intricacies of supply chain innovation through alliances between Amazon and its suppliers. Employing a multiple case study methodology, the study investigates the reduction of transaction costs, the establishment of strategic alliances for supply chain innovation and governance issues within these alliances.Design/methodology/approach A multiple case study methodology, incorporating personal interviews and triangulation with primary sources, was employed to unravel the dynamics of the VF model.Findings Results indicate that the VF model aligns with the reduction of transaction costs by leveraging Amazon’s specialized knowledge, although not necessarily through direct knowledge sharing. Amazon suppliers highlight competitive advantages gained through VF, showcasing efficient navigation of peak seasons and a focus on core activities with online retailing integration. The VF alliance represents a collaborative model where Amazon’s technological prowess enables a streamlined and innovative supply chain for online retailing, which resembles a vertical integration process.Originality/value This research underscores the potential of strategic alliances to drive innovation by incorporating industry-leading practices. The governance issues within the VF alliance reveal power imbalances, emphasizing the need for managers to govern dynamics, disclose information and build trust in large-scale alliances.

Digital transformation and resilience of supply chain in manufacture listed firms: A backward spillover effects in the vertical supply chain relationship

Enhancing supply chain resilience is crucial for promoting high-quality economic development, and the application and innovation of digital technologies play a significant role in achieving this resilience. Based on the vertical relationship theory of industrial organization, this paper investigates the impacts and transmission mechanism of corporate digital transformation on supply chain resilience, demonstrating that digital transformation facilitates the optimization of supply-demand alignment, stabilization of the supply-demand connection, provision of supplier innovation capabilities, and, ultimately, the enhancement of supply chain resilience. The primary impact is achieved by improving the firms' total factor productivity and reducing resource mismatch.

Like minds think alike: impacts of cultural and trust congruences on joint innovation

PurposeEngaging suppliers in joint innovation can be an effective means for buyer firms to overcome internal resource/capability limitations. The purpose of this research is to investigate the impacts of cultural and trust congruences between the supplier and buyer firms on joint innovation. In addition, we examine the relationship commitment as an antecedent of cultural and trust congruences.Design/methodology/approachThe study constructs a theoretical model based on social exchange theory (SET) and examines it using data from Chinese manufacturing firms.FindingsThe results suggest that cultural and trust congruences between suppliers and buyers positively influence joint processes and product innovations. Furthermore, we find that while normative relationship commitments of supplier firms promote cultural and trust congruences with buyers, instrumental relationship commitments only positively affect trust congruence.Originality/valueThis study enhances our understanding of social exchanges by adopting a dyadic view to examine the interconnectedness between relationship commitment, cultural and trust congruences, and joint innovation. These findings also offer practical managerial implications for managing collaborative innovation projects.

Innovative supply chain network design with two-step authentication and environmentally-friendly blockchain technology

AbstractBlockchain Technology (BT) has the potential to revolutionize supply chain management by providing transparency, but it also poses significant environmental and security challenges. BT consumes energy and emits carbon gases, affecting its adoption in Supply Chains (SCs). The substantial energy demand of blockchain networks contributes to carbon emissions and sustainability risks. Moreover, for secure and reliable transactions, mutual authentication needs to be established to address security concerns raised by SC managers. This paper proposes a tri-objective optimization model for the simultaneous design of the SC-BT network, considering a two-step authentication process. The model considers transparency caused by BT members, emissions of BT, and costs related to BT and SC design. It also takes into account uncertainty conditions for participating BT members in the SC and the range of transparency, cost, and emission targets. To solve the model, a Branch and Efficiency (B&E) algorithm equipped with BT-related criteria is developed. The algorithm is implemented in a three-level SC and produces cost-effective and environmentally friendly outcomes. However, the adoption of BT in the SC can be costly and harmful to the environment under uncertain conditions. It is worth mentioning that implementing the proposed algorithm from our article in a three-level SC case study can result in a significant cost reduction of over 16% and an emission reduction of over 13%. The iterative nature of this algorithm plays a vital role in achieving these positive outcomes.

Supply Chain Limitations in the South African Engineering Sector-Supply Chain Professionals Views

The engineering industry has several obstacles as the worldwide economy slows, including macroeconomic hardship, lack of resources, organizational deficiencies, and an overall incapacity to respond to major concerns. In the past few years, they have gotten increasingly intense and serious. Empirical supply chain administration studies identify impediments that hinder the engineering industry in emerging nations, such as South Africa. This research aims to investigate supply chain limitations in the South African engineering industry. The literature was evaluated as well as interviews that were semi-structured and were used to get thoughts from 15 senior supply chain professionals. To examine qualitative data, ATLAS.ti (version 7) software was used for content analysis. The conversations revealed six topics, such as a shortage of capital in supply chains, innovative supply chain process restrictions, supply chain administration changes, supply chain cooperation, supply chain administration, and scheduling administration. engineering companies should use systems to manage their supply chains, integrated options, and collaboration managing project techniques and technology. The findings reveal a shortage of expenditure in supply management processes and the fact that engineering companies are still lacking a strategic perspective on managing their supply chains. However, it seems that supply chain tactics may improve an organization's efficiency and business performance in engineering companies.

Leveraging supplier orientation for innovation: Exploring the impact of supply management innovativeness and innovation partnership

AbstractIndustry 4.0 has created new opportunities for enterprise innovation by leveraging emerging technologies. External innovation represents a valuable source of ideas and knowledge for internal innovation, and enterprises are increasingly leveraging their supplier relationships to gain a competitive advantage. Some researchers suggest that suppliers enhance the effectiveness and outcomes of lean innovation. To deepen our understanding of the relationship between supplier orientation and innovation outcomes, this study explores the mechanisms through which supplier orientation contributes to enhancing innovation performance, with a specific focus on the role of supplier orientation in improving supply management innovativeness and innovation partnerships. Survey data from 209 Chinese firms engaged in innovation practices was analyzed using a hierarchical regression based on resource dependency theory. Results reveal that supplier orientation positively influences supply management innovativeness and innovation partnerships. Supply management innovativeness and buyer–supplier innovation partnerships both contribute to improved innovation performance. Our findings suggest that the buyer–supplier innovation partnership plays a moderating role in the relationship between supply management innovativeness and innovation performance. These insights provide a valuable basis for developing innovative strategies and managing inter‐firm relationships, emphasizing the importance of supplier relationship management practices in enhancing firms' competitiveness and performance by leveraging external resources and knowledge.

Measurement and influencing factor analysis of the matching degree between agricultural scientific and technology innovation and rural industry integration under the sustainable background

Agricultural scientific and technological innovation and rural industry integration are the key contents of promoting agricultural and rural modernization in China. This study empirically analyzed the matching relationship between the two and its influencing factors, and found that the matching degree between agricultural scientific and technological innovation and rural industry integration in China showed a steady upward trend in the sample period. Both China as a whole and all regions completed the upgrading from moderate to high matching in the sample period, The performance of each region is also excellent. In 2020, the matching degree of 28 regions will enter a high matching range. The implementation of the rural revitalization policy will help to improve the matching degree between China’s agricultural scientific and technological innovation and rural industrial integration. The scale of rural financial development and the matching degree of lagging one period also have a significant positive impact on the improvement of the matching degree. This study further proposes relevant policy recommendations from improving the supply level of agricultural scientific and technology innovation, enhancing the adaptability between supply and demand of agricultural scientific and technology innovation, improving the policy support system, and optimizing the financial security system.

AGILE WORK CULTURES IN IT: A CONCEPTUAL ANALYSIS OF HR'S ROLE IN FOSTERING INNOVATION SUPPLY CHAIN

This study systematically examines the role of Human Resources (HR) in fostering agile work cultures within the Information Technology (IT) sector, with a focus on enhancing the innovation supply chain. Through a comprehensive literature review and content analysis, this research explores how HR practices can support and drive the adoption of agile methodologies, thereby contributing to organizational flexibility, innovation, and competitive advantage. The methodology involved sourcing data from academic databases and grey literature, employing a strategic search strategy, and applying strict inclusion and exclusion criteria to identify relevant literature. The analysis highlighted the critical role of HR in developing agile leadership, fostering a culture of continuous learning and psychological safety, and leveraging HR technologies to enhance workforce agility. Key findings reveal that HR's strategic interventions in leadership development, learning and development frameworks, and the promotion of agile team dynamics are essential in cultivating an agile work culture. Furthermore, the study anticipates future challenges and opportunities in agile work cultures, including the integration of remote work models, artificial intelligence, and ensuring diversity and inclusion. Strategic recommendations for HR leaders and IT executives emphasize the importance of investing in agile leadership, enhancing team dynamics, and promoting a culture of continuous improvement. Finally, the study underscores the pivotal role of HR in enabling agile transformations within IT sectors. Future research directions include exploring the impact of emerging technologies on agile methodologies and the role of HR in fostering inclusive and diverse agile teams. This research contributes to the understanding of how agile practices supported by HR innovations can drive organizational success in the rapidly evolving digital landscape.
 Keywords: Agile Work Cultures, Human Resources (HR), Information Technology (IT) Innovation, Agile Leadership Development.

AGRIBUSINESS CLINIC PLANNING STRATEGY IN JOMBANG REGENCY

Agribusiness clinics are institutions that act as suppliers of agricultural technology innovations so that they are more easily disseminated to farmers and business owners as end users. The concept of clinical agribusiness has been present in Jombang Regency in 2008 as part of Primatani. Currently, the Department of Agriculture has re-launched the agribusiness clinic as the main program in agricultural development in Jombang in 2022. The purpose of this research is to describe the transformation from the old agribusiness clinic concept to a new agribusiness clinic concept, find external and internal environmental support systems in implementing agribusiness clinics in Jombang, and knowing the right strategic planning in the implementation of agribusiness clinics in Jombang Regency. This research is ascriptive qualitative research (level of explanation). Data analysis used is qualitative analysis to describe the transformation of the old concept of agrobusiness clinic to new a concept. Analysis of EFE, IFE, SWOT matrix, IE matrix, and QSPM to determine external and internal environmental system support for clinical agribusiness implementation in Jombang and to find out the right agribusiness planning strategy clinic activities in Jombang. The results of this study are the agribusiness clinic in Jombang has undergone a transformation from the old concept in 2008 to a new concept in 2022. The new concept is the development of the old concept which has undergone adjustments due to changes affecting the agricultural sector. The main external environment support system in the implementation of agribusiness clinics in Jombang Regency the need for healthy and quality agricultural products is increasing. While the main support system of the internal environment is the existence of an extension institution at the district level, namely UPT Implementing Agricultural Extension, and efforts to increase the capacity of farmers and extension workers. The right planning strategy for implementing an agribusiness clinic in Jombang is an Strategy which means utilizing strengths to gain opportunities, namely through strengthening the duties and functions of BPP as the center for implementing agribusiness clinics.

Investigating social sustainability practices in global supply networks: A fuzzy-set qualitative comparative analysis

Given the paucity of research that examines the impact of Social Sustainability Practices (SSP) on performance outcomes, this study investigates the adoption and influence of these practices on firms' and suppliers’ overall performance, whilst also considering the level of complexity of operational environments of global supply networks. A Fuzzy-sets Qualitative Comparative Analysis (FsQCA) approach is adopted, based on eight primary case studies within the food, chemical and textile sectors, with data collected through semi-structured interviews conducted with representatives from each company.The research identified four key categories of SSP: informative, control, collaborative, and supply network redesign practices. The findings offer empirical support for the notion that SSP adoption yields improved performance outcomes for both the firm and its suppliers. These positive effects encompass enhanced firm profitability, increased supplier efficiency, and heightened supplier innovativeness. Nevertheless, the research uncovered that the relationship between adopting SSP and their impact on performance is not always straightforward. In certain instances, a combination of these practices may be necessary to achieve the desired performance level.In addition, a prudent consideration of the operational complexity present in global supply networks is crucial for informed decision-making pertaining to the selection and adoption of the most appropriate SSP. Driving profits in complex operational environments requires integrating both informative and collaborative practices, whilst tight control is necessary to improve supplier efficiency, regardless of the extent of complexity. Collaboration also emerged as a core factor of success in enhancing supplier innovation regarding social sustainability. Decision makers should also collaborate with external entities, particularly Non-Governmental-Organisations (NGOs) and industry associations/peers, to educate suppliers, thus creating an auspicious environment where suppliers are accountable for their own sustainability performance. This research carries significant practical implications. Managers should evaluate diverse combinations of SSP to confront global sustainability challenges through the utilization of customized strategies that can yield enhanced performance results. Expanding sustainability beyond primary suppliers can often be challenging in a global supply networks, given a firm's limited oversight, transparent knowledge and control over lower tier suppliers. Consequently, managers should seek to strengthen controls and oversight within the manageable segments of the supply network, all the while facilitating self-adaptation within the extended supply network with the adoption of informative and collaborative practices that extend reach, homogeneity, and improve overall governance.

Role of Startups in Entrepreneurship Development (Agri Based Sector)

An entrepreneurial mentality drives a thriving economy. Entrepreneurship improves quality of life, access to goods and services, and economic progress. Many company entrepreneurs improve their life and those of others by fighting poverty or creating eco-friendly products. Entrepreneurship is thought to boost economic growth by fostering innovation, market expansion, change, and wealth creation. Entrepreneurs are essential for inventing new products, ideas, and solutions. Innovative supply chain management, precision farming, and market connection solutions are coming from agritech firms. These changes may boost farmers’ income, expenditure, and productivity. Company expansion and riches boost tiny towns and hamlets. The cycle continues endlessly because growth and money inspire additional businesses, which boost growth and money. Startups help people support their families by providing jobs. Startups alleviate unemployment by creating new jobs. Jobs like this, which take a lot of education and expertise yet pay well, build the middle class. Technology and economic growth are rising.

Contributing to health system resilience during pandemics via purchasing and supply strategies: an exploratory system dynamics approach

BackgroundHealth systems worldwide struggled to obtain sufficient personal protective equipment (PPE) and ventilators during the COVID-19 pandemic due to global supply chain disruptions. Our study’s aim was to create a proof-of-concept model that would simulate the effects of supply strategies under various scenarios, to ultimately help decision-makers decide on alternative supply strategies for future similar health system related crises.MethodsWe developed a system dynamics model that linked a disease transmission model structure (susceptible, exposed, infectious, recovered (SEIR)) with a model for the availability of critical supplies in hospitals; thereby connecting care demand (patients’ critical care in hospitals), with care supply (available critical equipment and supplies). To inform the model structure, we used data on critical decisions and events taking place surrounding purchase, supply, and availability of PPE and ventilators during the first phase of the COVID-19 pandemic within the English national health system. We used exploratory modelling and analysis to assess the effects of uncertainties on different supply strategies in the English health system under different scenarios. Strategies analysed were: (i) purchasing from the world market or (ii) through direct tender, (iii) stockpiling, (iv) domestic production, (v) supporting innovative supply strategies, or (vi) loaning ventilators from the private sector.ResultsWe found through our exploratory analysis that a long-lasting shortage in PPE and ventilators is likely to be apparent in various scenarios. When considering the worst-case scenario, our proof-of-concept model shows that purchasing PPE and ventilators from the world market or through direct tender have the greatest influence on reducing supply shortages, compared to producing domestically or through supporting innovative supply strategies. However, these supply strategies are affected most by delays in their shipment time or set-up.ConclusionWe demonstrated that using a system dynamics and exploratory modelling approach can be helpful in identifying the purchasing and supply chain strategies that contribute to the preparedness and responsiveness of health systems during crises. Our results suggest that to improve health systems’ resilience during pandemics or similar resource-constrained situations, purchasing and supply chain decision-makers can develop crisis frameworks that propose a plan of action and consequently accelerate and improve procurement processes and other governance processes during health-related crises; implement diverse supplier frameworks; and (re)consider stockpiling. This proof-of-concept model demonstrates the importance of including critical supply chain strategies as part of the preparedness and response activities to contribute to health system resilience.