Supplier Relationships Research Articles

Green links: corporate networks and environmental performance

Abstract We investigate the propagation of environmental performance among competitors and in customer–supplier relationships. We find a significant causal effect among competitors, while the propagation from customers to suppliers and vice versa appears insignificant or does not survive identification tests. The effect is stronger among firms in highly concentrated competitor networks and toward firms with less market and bargaining power than their competitors. We also find significantly stronger propagation of environmental performance among competitors engaged in joint research and development activity. These results show that the propagation stems from both competitive pressure and technological spillover. Importantly, we find that propagation is strong when the competitor improves its environmental performance and when the firm’s own environmental performance is poor initially, alleviating concerns that improvements in performance are concentrated among firms, which are already green. Overall, network effects among competing firms are a significant force shaping environmental performance, and a force mostly for good.

Procurement with ERP

There are many advantages for the company when an ERP system is implemented in the procurement process. A brief summary of the main benefits and features of adopting ERP procurement is provided by procurement. In today's competitive corporate environment, efficient procurement is essential. ERP (Enterprise Resource Planning) solutions provide a way to optimize resource use, increase visibility, and streamline the procurement process. It examines the various ERP system components that have a direct impact on the procurement. These components, including Inventory Control, Financial Integration, Supplier Relationship Management, and Purchase Order Management, collaborate to automate and improve the procurement process. The important considerations for implementing ERP in procurement the crucial factors to consider while deploying ERP in procurement. It highlights the importance of selecting the best ERP vendor, designing the system in accordance with organizational goals, and effectively educating people. Data migration, change management, and continuing system maintenance are mentioned as important components of a successful ERP adoption. It cites technological developments like blockchain, machine learning, and artificial intelligence that could further change the procurement process. Describe ERP and the role it plays in the procurement process. It draws attention to typical problems faced by procurement departments, including disconnected systems and manual processes. The overview highlights the demand for an integrated ERP strategy to deal with these issues. It examines the various ERP system that have a direct impact on procurement. These modules, including Inventory, Supplier Relationship Management, and Purchase Order Management.

Interdependence in buyer–supplier relationships

Interdependence in buyer–supplier relationships

“If only we'd known”: Theory of supply failure under two‐sided information asymmetry

AbstractSupply failures are persistent and costly in contemporary supply chains. Viewed through the lens of agency theory, such failures are potentially caused by hidden actions of the supplier under information asymmetry and goal incongruence in the buyer–supplier relationship (as principal–agent). However, by reversing the direction of information asymmetry, an alternative cause arises: hidden expectations, where the supplier has good intentions but incomplete information regarding the buyer's true preferences and specifications. Further, following a failure, the buyer forms a causal attribution and takes subsequent action. Yet these attributions suffer from cognitive biases potentially causing buyers to misattribute supply failures, leading to costly conflict and even relationship termination. Combining agency and attribution theories, this article develops a theoretical framework to explain antecedents to a buyer's attribution process under conditions of two‐sided asymmetric information. It discusses the harmful relationship effects of misattribution. The framework can assist in identifying and minimizing cognitive biases causing misattribution, hence avoiding the unintentional deterioration of relationships that often follow a supply failure. A research agenda to examine hidden expectations and misattribution is also provided.

Climate Change and Adaptation in Global Supply-Chain Networks

Abstract This paper examines how physical climate exposure affects firm performance and global supply chains. We document that heat at supplier locations reduces the operating income of suppliers and their customers. Further, customers respond to perceived changes in suppliers’ exposure: when suppliers’ realized exposure exceeds ex ante expectations, customers are 7% more likely to terminate supplier relationships. Consistent with experience-based learning, this effect increases with signal strength and repetition and decreases with country-level climate adaptation. Subsequent replacement suppliers show a lower expected and realized but similar projected heat exposure. We find similar results for suppliers’ exposure to floods.

Mitigating the damage of a global pandemic on the international buyer-supplier relationship: Evidence from Chinese suppliers

The coronavirus disease 2019 (COVID-19) pandemic severely damaged the global supply chain, resulting in markdowns across the global economy. A growing body of research has explored the influence of this global pandemic on firm strategy and performance. However, despite the substantial impact of the pandemic on the global supply chain, no empirical studies have examined its impact on buyer–supplier relationships. Building on the literature on transaction cost economics (TCE) and interfirm governance, this study examines the effects of COVID-19 pandemic severity on interfirm conflict and opportunism in international exchange relationships, as well as the role of contractual and relational governance in shaping these effects. Based on data from a two-period survey of manufacturing firms in China and their foreign buyers with archival data, our findings reveal that pandemic severity increases interfirm conflict and buyers’ opportunism in international exchanges. Moreover, contractual governance aggravates the detrimental effect of pandemic severity on buyers’ opportunism, while relational governance weakens the detrimental effect of pandemic severity on interfirm conflict. When contractual and relational governance are implemented jointly, they can weaken the detrimental effect of pandemic severity on buyers’ opportunism.

Nash bargaining based integrated energy agent optimal operation strategy considering negotiation pricing for tradable green certificate

Reasonable tradable green certificate (TGC) price is the key to guiding the orderly transaction of market agents. However, there is little literature on the negotiation pricing of green certificates, especially the multi-agent cooperation optimization operation strategy for green certificate negotiation. To improve the enthusiasm for TGC transactions and the low-carbon economy of the system, this paper studies TGC negotiation and cooperative operation among multi-agents of integrated energy. Firstly, under the influence of the supply and demand relationship and renewable energy generation cost on TGC price, a variable TGC price limit model is constructed. Secondly, the TGC-carbon emissions transaction (CET) interaction mechanism is introduced to the endogenous motivation for TGC transactions. Then, a Nash bargaining theory is used to establish an integrated energy multi-agent cooperative game model based on TGC negotiation pricing. Finally, the non-convex nonlinear model is transformed into a subproblem of distributed solution by ADMM principle, and the AS-ADMM algorithm is used to solve it. The example shows that the model proposed in this paper effectively promotes the transaction volume of green certificates between the agents. Compared with the non-cooperative situation, the transaction volume increased by 20.83%, indicating that the agent's enthusiasm for TGC transactions was improved, and the number of transactions exceeded their liability quotas.

Barriers to An Efficient Logistics in Africa: A Direction for Further Studies

In the situation where the main credit supply of the country’s enterprises is done through the banking system, it is necessary to analyze and explore the defects of the financing and credit supply relationship between banks and enterprises. This study is considered a descriptive-applied research and the required data were collected through library studies, workplace observation, and interviews with process experts. In this research, 37 credit experts from 17 different bank branches were interviewed about the process of granting facilities. Work-Centered Analysis (WCA) framework and conducting audits through questionnaires and related checklists revealed that the structure of Iran’s credit supply chain network suffers from such problems as deviation in the appropriate use of allocated credit resources, structural faults of the banking system and lack of administrative health, high bureaucracy, directed facilities, etc. In the end, some suggestions are provided for redesign and optimization of the credit supply network.

Examining the credit supply chain network problems of Iran’s banking industry Using Work-Centered Analysis (WCA) framework

In the situation where the main credit supply of the country’s enterprises is done through the banking system, it is necessary to analyze and explore the defects of the financing and credit supply relationship between banks and enterprises. This study is considered a descriptive-applied research and the required data were collected through library studies, workplace observation, and interviews with process experts. In this research, 37 credit experts from 17 different bank branches were interviewed about the process of granting facilities. Work-Centered Analysis (WCA) framework and conducting audits through questionnaires and related checklists revealed that the structure of Iran’s credit supply chain network suffers from such problems as deviation in the appropriate use of allocated credit resources, structural faults of the banking system and lack of administrative health, high bureaucracy, directed facilities, etc. In the end, some suggestions are provided for redesign and optimization of the credit supply network.

Implementation of strategic alliance in developing supplier relationships for sustainable procurement

The relationship between economic development and environmental pollution has become a crucial global concern. In the last three decades, the manufacturing sector has witnessed a growing need for preserving resources, adopting renewable energy sources, enhancing water infrastructure, and minimizing the release of greenhouse gases due to its escalating environment impact. The ability of decision-makers to analyse complicated cause and effect linkages between criteria and take appropriate actions based on such analysis is critical to decision-making efficiency. This research integrates DEMATEL and ANP methods that support decision-making by evaluating 3 factors and 15 selected subfactors. First, the DEMATEL method is used to determine the interrelationships between the predetermined main criteria. The ANP methodology is then used to determine the local weights of the components and subfactors based on the cause-and-effect correlations derived via the DEMATEL method. The local weights are input into the ANP matrix, and the calculation is run to determine a supplier relationship management strategy. The ANP calculation resulted in the alliance strategy as the priority strategy. This study contributes to finding key factors in evaluating sustainable supplier criteria for supply chain sustainability in the leather products industry, including cost, quality, financial capability, labour practices, green competence, and green image. Strategy implementation is provided based on the selected strategy concept.

Imbalance Between Supply and Demand in Chinas Labor Market Facing by the Graduates

With the spread of higher education, the number of university graduates in China continues to increase. Nonetheless, the absence of social interest has truly impacted the work possibilities of college graduates. Moreover, the world economy has still not fully recovered from the impact of the epidemic. Chinas unemployment rate remains at a high level, and the hole among metropolitan and rustic regions in China is clearly as well. This paper analyzes the fact of the low employment rate among Chinese college graduates, focusing on the argument that it is not solely due to individual factors such as psychlogical reasons or city preferences for future employment. Behind this, there exists an imbalance in the supply and demand relationship within the current labor market in China. Finally, the paper puts forward suggestions to ensure Chinas labour supply from the aspects of career planning of college students, corresponding government policy reform, industrial structure adjustment, and active assistance of enterprises.

Supply-demand bundles and ecological function management of urban ecosystem services: Taking central urban area of Qiqihar as an example

The comprehensive management of multiple ecosystem services is the focus of current research in the field of ecosystem service. The ecological space in the central urban area is scarce, but ecological needs are diverse. How to scientifically use urban land while considering various ecological functions has gradually become an academic hotspot. Taking the central urban area of Qiqihar as an example, we applied the ecosystem service bundle theory to analyze the supply and demand relationship of five ecosystem services in the study area, including flood regulation, air purification, carbon storage and sequestration, biodiversity conservation, and cultural recreation. Based on the supply-demand ratio, we identified the supply-demand bundles of ecosystem services in the study area, completed the division of ecological functional areas, and proposed corresponding spatial control strategies. The results showed that the supply of those five services presented a spatial pattern of low in the city center and south side, while high in the northwest and southeast side, and that the demand for those five services presented a spatial pattern of high in the city center and low around the city. Air purification, biodiversity conservation, and cultural recreation ser-vices were in short supply, with a supply-demand ratio of -0.160, -0.071, and -0.008, respectively. The supply to demand ratios of flood regulation and carbon storage and sequestration services were in excess, with a supply to demand ratio of 0.089 and 0.008, respectively. The spatial imbalance between supply and demand of various services was significant. The research area could be divided into six types of ecosystem service bundles. After comprehensive analysis, the research area would be further divided into four types of zones: urban ecological restoration zone, urban ecological strengthening zone, urban development transition zone, and urban ecological conservation zone. We proposed targeted functional optimization strategies based on the spatial relationship, ecological background characteristics, and supply and demand ratios of various services within the zone.

Toward Intelligent Cross-Domain Resource Coordinate Scheduling for Satellite Networks

The new generation satellite network is a comprehensive service system that can provide communication, observation, navigation, and other functions. Typically, a system with a specific service function is defined as a domain and the supply and demand relationship of resources, such as communication, storage, and energy resources, are unbalanced among domains. Therefore, it is nontrivial to accurately characterize the cross-domain resource state and coordinate the data transmission policy of interrelated satellites from different domains to make full use of the resources in each domain aiming at improving the resource utilization ratio (RUR) of the whole network. To this end, this paper investigates the cross-domain resource scheduling (CDRS) problem in satellite networks aiming at maximizing the total amount of downloaded transmitted data. We start with the orbit motion law of satellites and construct the satellite orbit feature matrix of each domain to design a hierarchical sparse resource representation (HSRR) scheme to accurately characterize the resource state of each domain in real-time with low complexity. Further, based on the HSRR, we develop a cross-domain dynamic multi-resource scheduling algorithm to solve the CDRS problem by introducing the advantage factor and policy-oriented hyper-parameter. The algorithm can make full use of the resources in each domain to achieve efficient CDRS by dynamically adjusting the data transmission policy of satellites among domains. Simulation results show that the greater the service demand and resource difference among domains, the more significant the performance improvement brought by CDRS, and compared with the existing algorithms, the RUR and resource utilization efficiency have been significantly improved.

The Role of Digital Transformation in Reducing Financial and Administrative Corruption: By Application to One of The Local Government Units

The study aimed to Identify the role of digital transformation in reducing corruption in local administrative bodies and identify the level of development of local administrative bodies, Identify the challenges facing the role of digital transformation in developing local administrative bodies. Identify the causes of corruption in local administrative bodies., Develop proposals to activate the role of digital transformation in developing local administrative bodies, reach a proposed work plan to activate the role of digital transformation in developing local administrative bodies to reduce corruption. Moreover, the study relied on the following methods: A descriptive and analytical approach, using a questionnaire to collect data from employees of the local administration center in Mokattam, Cairo Governorate. A field study approach, using interviews with employees and the public benefiting from those services to reduce the appearance of corruption. The study reached several recommendations and proposals, the most important of which are: Linking the role of digital transformation to the local strategic plan. Developing more effective methods of management and organization to reduce direct interaction with citizens. Strengthening the competitive position of localities by creating an integrated system for collecting and storing data and the ability to update it continuously. Paying attention to creative ideas and working to achieve them. Building a new role for digital transformation that is directly related to reducing the appearance of any type of corruption. Benefiting from experts specialized in the field of digital transformation. Increasing cooperation and coordination between local authorities and other administrations. In addition, the study found that the level of development of local administrative bodies in Egypt is still relatively low. This is due to several factors, including: Lack of funding and resources. Lack of qualified staff. Lack of a clear vision and strategy for digital transformation. Keywords: Digital transformation – Financial corruption – Administrative corruption – Local government units

Risk Management Strategies for Chip Supply Chain Disruption: Case Study of R Automotive Manufacturing Company

This article addresses the chip supply chain problems faced by the global automobile industry, takes R automotive manufacturing company as a case study, and thoroughly researches the risk of the out-of-supply of the key raw material, chips, in the automobile manufacturing industry and its impact on the production of the enterprise. The article explains the importance of supply chain management in modern enterprises and points out supply chain risks. Taking the automotive manufacturing industry as the background, the article discusses in depth the importance of micro-control units as the electronic control units of automobiles, analyses the competitive advantages of R enterprises in the new energy vehicle market, analyses the risk characteristics of chip out-of-supply as well as the challenges faced by R enterprises under the influence of the global epidemic and market uncertainty, and proposes the strategies for R enterprises to cope with the risk of chip out-of-supply, including the strengthening of supply chain cooperation, formulating a reasonable procurement mechanism, establishing a good supplier relationship, and promoting independent research and development of chips. Finally, the findings of this paper are summarized, and relevant suggestions are provided for automotive manufacturing enterprises to avoid the risk of chip supply shortage.

The role of supplier relationship strategies, relationship with customer, and information sharing on firm performance

Purpose-This study examines the correlation between supplier relationship strategies, relationship with customer, and information sharing on firm performance. Design/Methodology/Approach-The study population consisted of employees of Bank in Asia. The data of this study was collected through questionnaires, and the study sample consisted of 100 respondents. Outer model and inner model analysis techniques were applied to this research data using an analysis application called Smart PLS version 3.0. Findings-The results showed that supplier relationship strategies and information sharing have a positive effect on firm performance. Then, the opposite results are shown by relationship with customer and firm performance which shows a negative influence. Research limitations/implications-Banking businesses need to improve or optimize supplier relationship strategies, relationship with customers, and information sharing to drive firm performance growth. In this study, it is necessary to emphasize or improve relationships with customers to improve firm performance, because this study actually shows a negative influence. Originality/value-Studies on the performance of companies in the banking business, especially Bank in Asia can still be said to be quite limited. Previous research has not discussed supplier relationship strategies, relationship with customers, and information sharing to analyze company performance in the banking business.

Fairness and trust in organic food supply chains

PurposeThe authors analysed fairness as an antecedent of trust to understand how trust building can be actively managed to facilitate collaboration in buyer–supplier relationships.Design/methodology/approachA case study was employed to buyer–supplier relationships of five organic food companies from three different sectors. The research was developed with data collected in 2022 through qualitative research interviews and analysed using a structured content analysis. A practitioner workshop served to complement findings and confirm the interpretation of data by discussing interview results from a managerial perspective.FindingsA conceptual model based on organisational trust and justice theory was developed to examine causal relations between fairness and trust. Findings show that perceived distributional, procedural and interactional fairness mutually interact with the perceived trustworthiness of business partners and that both contribute to building personal, organisational and institutional trust. Qualitative data support the conceptual model and show that trust is a valuable relational resource that affects relationship quality and the willingness to collaborate and to take risks in times of uncertainty.Practical implicationsHigh trust levels developed through positive fairness perceptions can lower risk perceptions whilst increasing the willingness to collaborate in supply chain relationships. This can help deal with market uncertainties.Originality/valueThrough the lens of organisational trust and justice theory, this study extends the literature on collaboration in supply chains by including a comprehensive view on the formation of trust in business-to-business (B2B) relationships.

Resource allocation and supplier relationship management towards the performance of the manufacturing industry: Evidence from the paint manufacturing firms in Harare, Zimbabwe

Resource allocation and supplier relationship management towards the performance of the manufacturing industry: Evidence from the paint manufacturing firms in Harare, Zimbabwe

How does China’s rural collective commercialized land market run? New evidence from 26 pilot areas, China

Rural land marketization has been an essential part of the process of deepening land system reform in China. Since 2015, 33 places in China have been chosen as pilots to build the collective-owned commercialized construction land market (CCCLM). However, little is yet known about how the market is operating and how the price of collective-owned commercialized construction land (CCCL) forms. This study analyzes the price formation mechanism of CCCL by developing a hedonic hierarchical model (HHM) with 4595 CCCL transaction cases from 2015 to 2020, basing on the establishment of a theoretical framework and exploration of the spatiotemporal differences in CCCL prices. The results suggest that the price of CCCL is shaped by the land attributes at the parcel level and the transaction environment at the county level, where transaction environment plays a stronger role in determining CCCL price. At the parcel level, the location, land use type, and land use life span contribute to the formation of the CCCL price. At the county level, the supply and demand relationship and the transaction cost determine the price. Price formation mechanisms of CCCL in western, central and eastern regions are proved to be heterogeneous and the regional differences are affected by the supply and demand relationship at county level. This study highlights the hierarchy of the determinants towards the price of CCCL and fills a gap in the understanding of the price formation mechanism of CCCL, which should help to promote the marketization of rural land and the development of an efficient land price evaluation system in China and in other transition economies worldwide.

Untangling the nexus between supplier relationship management and competitive advantage: insights on the role of procurement performance and supply chain responsiveness

PurposeThe study examines the intricate interplay between supplier relationship management (SRM), procurement performance, supply chain responsiveness (SCR) and competitive advantage. Additionally, the study examines the mediating role of procurement performance and SCR in the link between SRM and competitive advantage.Design/methodology/approachA research model grounded in the resource-based view and dynamic capabilities theory (DCT) was developed and tested using partial least squares structural equation modeling (PLS-SEM). Data were obtained from 122 firms in Ghana.FindingsThe study revealed that SRM has a positive and significant effect on procurement performance, SCR and competitive advantage. Additionally, SCR has a positive and significant effect on competitive advantage; however, procurement performance has a negative and insignificant effect on competitive advantage. It was also revealed that SCR partially mediates the relationship between SRM and competitive advantage but fully mediates the relationship between procurement performance and competitive advantage. Also, it was also revealed that procurement performance does not mediate the relationship between SRM and competitive advantage.Research limitations/implicationsThe study contributes to literature by highlighting the mediating role of SCR in influencing the effect of SRM and procurement performance on competitive advantage.Practical implicationsPractically, the study findings highlight the need for firms to seek, build and manage meaningful relationships with their suppliers in order to enhance their competency and capability to influence their competitive position in the marketplace.Originality/valueTo the best of the researchers' knowledge, no prior study has examined the effect of SRM on procurement performance and SCR. Additionally, no previous study has examined the mediating role of procurement performance and SCR on the link between SRM and competitive advantage.