Performance In Buyer-supplier Relationships Research Articles

Social capital, joint knowledge creation and relationship performance in buyer-supplier relationships

ABSTRACT Extant studies have shown that despite the seemingly beneficial outcomes of social capital, its impact on buyer-supplier relationships could sometimes be detrimental. This study contributes to a scholarly understanding of the mechanism via which the positive outcome of social capital in realised in buyer-supplier relationships. Drawing on the knowledge-based view of the firm, we theorise and provide empirical support for our thesis that joint knowledge creation acts as a conduit through which social capital enhances relationship performance. We used survey data from 113 construction firms in Ghana to test our propositions using the partial least squares structural equations modelling algorithm. Our findings show that social capital, in all its three dimensions contributes to joint knowledge creation in buyer-supplier relationships. Additionally, the relationship between social capital and relationship performance is mediated by joint knowledge creation. The theoretical and practical implications of these findings are discussed in the paper.

How transaction-specific investments influence firm performance in buyer-supplier relationships: The mediating role of supply chain integration

Theoretical models and empirical works on the relationship between transaction-specific investments (TSIs) and firm performance have produced inconsistent results. Such results highlight a need for further investigation of long-debated questions concerning how TSIs enhance firm performance. In synthesizing transaction cost theory, a resource-based model, and relational exchange theory, this study presents a collective switching cost perspective and proposes the mediating role of supply chain integration (SCI) for reexamining TSI-performance relationships. A survey of 84 firms listed in the List of Taiwan Central Satellite Production Systems shows that TSIs positively affect firm performance and supply chain integration. Supply chain integration negatively affects firm performance relationships. This investigation confirms the mediating effect of SCI on the relationship between TSIs and firm performance.

The impact of buyer-supplier integration on supplier logistics performance in the hospital sector in Tanzania: the moderation effect of buyers' cross functional integration

Based on the resource-based view (RBV) theory, this study examines the association between buying firms' cross functional integration, buyer-supplier integration and supplier logistics performance in buyer-supplier relationships. RBV considers these two organisational dimensions of supply chain integration as strategic resources which play an important role in improving logistics performance. This research examines the effects of both intra-firm integration and inter-firm integration on supplier logistics performance with survey data from key informants in the public medicine supply system in Mainland, Tanzania. The unit of analysis is the purchasing relationships between public health facilities and focal suppliers acting as public agents of the national medical stores department (MSD). The empirical analysis is based on data reported by 166 purchasing managers, and demonstrates that stronger buyer-supplier integration improves supplier logistics performance significantly. There is no main effect of the buying firm's cross functional integration on supplier logistics performance, but more extensive cross functional integration in the buying firms enforces the effect of buyer-supplier integration on supplier logistics performance significantly, and these findings indicate that extensive cross functional integration in the buying firms provides an administrative infrastructure that enhance the effectivity of extensive supplier-buyer integration.

The impact of social capital on knowledge sharing and innovation product development performance in buyer-supplier relationships: The role of absorptive capacity and partnership

The impact of social capital on knowledge sharing and innovation product development performance in buyer-supplier relationships: The role of absorptive capacity and partnership

"Does It Matter If You Got It Wrong? Governance Misalignment, Opportunism and Performance"

Studies on the effect of governance misalignment on opportunism and performance in buyer-supplier relationships are rare and the findings inconsistent. Drawing on transaction cost economics, we test the relationships between too high and too low levels of contractual and relational governance on ex-post opportunism and supplier performance. Our findings based on primary data from the German banking industry show that both under- and over-governance create trade-offs. Under-governance (contractual or relational) leads to more opportunism but also to higher performance. Over-governance in either dimension reduces opportunism but at the cost of lower performance, especially for relational governance mechanisms. Implications for future research are discussed.

Capacity utilization of buyer-supplier relationships

The evaluation of performance in buyer-supplier relationships through the measurement of capacity utilization and profitability of information flows occurring between two or more members involved in a supply chain have been considered. Therefore, it introduces a modified slacks-based measure (MSBM) model for supply chain performance evaluation by regard intermediate production. The modified model shows the input excesses, output shortfalls and the efficiency or inefficiency supply chain simultaneously. Among the input resources for production, some are fixed and cannot be easily altered, while some are flexibly alterable. The paper concludes with an empirical illustration, involving data on 17 bank branches of China Construction Bank in Anhui province that is a typical buyer-supplier supply chain process.

Measuring satisfaction in buyer-supplier relationship from suppliers perspective

Supplier performance evaluation in buyer-supplier relationships from the buyer perspective is an important research issue among researchers and practitioners. Many studies have been conducted to measure the buyer’s satisfaction with the supplier’s performance in buyer-supplier relationships. However, very few studies present in the literature that deal with measurement of suppliers’ satisfaction in buyer-supplier relationships. The purpose of this study is to identify the factors that affect the suppliers’ satisfaction in buyer-supplier relationships and explore their relationships with suppliers’ satisfaction. A questionnaire survey was conducted among 300 suppliers organisation. Based on the influencing factors, four hypotheses were developed and tested in the framework of structural equation modelling.

Perceptions of technology uncertainty and the consequences for performance in buyer-supplier relationships

In this paper, we investigate how buyers’ and suppliers’ distinct perceptions of technology uncertainty affect the relationship between communication frequency and supplier performance. Information processing theory suggests that a fit is desirable between perceived environmental uncertainty and the communication processes between organisations. However, if partners in a buyer-supplier relationship do not concur on the high level of technology uncertainty, it is highly questionable whether increased communication will be effective in increasing supplier performance. Using dyadic data from 86 buyer-supplier relationships, involving 388 respondents, we found that communication frequency was positively related to supplier performance only when both suppliers and buyers perceived high levels of technology uncertainty. When buyers perceived greater technology uncertainty than their suppliers, communication frequency was negatively related to supplier performance. The findings in this study show that it is important to take the distinct perceptions of buyers and suppliers of technology uncertainty into account when assessing the effects of communication frequency. It appears that increased communication is only effective when both parties acknowledge the need to communicate, and can be unfavourable when only one party sees the benefits of it.