Contribution of Supplier Relationship Management to Firm Performance
Main Article Content
Abstract
Supplier relationship management plays a crucial role in the firm’s development and success. This paper examines the impact of supplier relationship management on the operational performance of firms. The data was collected from 304 manufacturing plants in 4 Asian countries in the period 2013-2015. The results of statistical descriptive analysis, correlation analysis, and regression analysis indicate that supplier relationship management has a positive relationship with operational performance. The study also proposes some suggestions for researchers and managers in developing and applying measurement scales of supplier relationship management to improve supply chain management effectiveness.
Keywords:
Supplier relationship management; operational performance; manufacturing firms.
References
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[21] K.A. Gyampah, K.G. Boakyeb, E. Adakuc, S. Famiyeh, “Supplier relationship management and frm performance in developing economies: A moderated mediation analysis of flexibility capability and ownership structure”, International Journal of Production Economics 208 (2019) 160-170.
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[2] D. Prajogo, M. Chowdhury, A.C.L. Yeung, T.C.E. Cheng, “The relationship between supplier management and firm’s operational performance: A multi-dimensional perspective”, International Journal of Production Economics 136 (2012) 123-130.
[3] B.B. Flynn, R.G. Schroeder, S. Sakakibara, “A framework for quality management research and an associated measurement instrument”, Journal of Operations Management 11 (1994) 339-366.
[4] J. Hoyt, F. Huq, “From arms-length to collaborative relationships in supply chain”, International Journal of Physical Distribution & Logistics 30(9) (2000) 750-764.
[5] V.R. Kannan, K.C. Tan, “Buyer-supplier relationships - The impact of supplier selection and buyer-supplier engagement on relationship and firm performance”, International Journal of Physical Distribution & Logistics Management, 36(10) (2006) 755-775.
[6] C.W. Lee, I.G. Kwon, D. Severance, "Relationship between supply chain performance and degree of linkage among supplier, internal integration, and customer", Supply Chain Management: An International Journal 12(6) (2007) 444-452.
[7] H. Liu, S. Wei, W. Ke, K.K. Wei, Z. Hua, “The configuration between supply chain integration and information technology competency: A resource orchestration perspective”, Journal of Operations Management 44 (2016) 13-29.
[8] A.S. Carr, J.N. Pearson, “Strategically managed buyer-supplier relationships and performance outcomes”, Journal of Operations Management, 17(5) (1999) 497-519.
[9] J.H. Martin, B. Grbac, “Using supply chain management to leverage a firm’s market orientation”, Industrial Marketing Management, 32 (2003) 25-38.
[10] D.A. Johnston, D.M. McCutcheon, F.I. Stuart, H. Kerwood, “Effects of supplier trust on performance of cooperative supplier relationships”, Journal of Operations Management 22 (2004) 23-38.
[11] B.B. Flynn, B. Huo, X. Zhao, “The impact of supply chain integration on performance: A contingency and configuration approach”, Journal of Operations Management 28(1) (2010) 58-71.
[12] S. Devaraj, L. Krajewski, J.C. Wei, “Impact of eBusiness technologies on operational performance: The role of production information integration in the supply chain”, Journal of Operations Management 25 (2007) 1199-1216.
[13] A. Vereecke, S. Muylle, “Performance improvement through supply chain collaboration in Europe. International Journal of Operations & Production Management 26(11) (2006) 1176-1198.
[14] L.H. Horta, L.A. Brito, E.Z. Brito, “Cooperation with Customers and Suppliers and Firm Performance, Paper Presented at the POMS 20th Annual Conference, Orlando, Florida U.S.A, 2009.
[15] I.J. Chen, A. Paulraj, “Understanding supply chain management: critical research and a theoretical framework”, International Journal of Production Research 42(1) (2004) 131-163.
[16] S. Min, J.T. Mentzer, R.T. Ladd, “A market orientation in supply chain management”, Journal of the Academy of Marketing Science 35(4) (2007) 507-522.
[17] S. Narayanan, R. Narasimhan, T. Schoenherr, “Assessing the contingent effects of collaboration on agility performance in buyer-supplier relationships”, Journal of Operations Management 33-34 (2015) 140-154.
[18] M.H. Nguyen, A.C. Phan, Y. Matsui, “Supply chain management in developing countries: empirical evidence from Vietnamese manufacturing companies”, International Journal of Productivity and Quality Management 24(4) (2018) 566-584.
[19] S. Li, B.R. Nathan, T.S.R. Nathan, S.S. Rao, “The impact of supply chain management practices on competitive advantage and organizational performance”, Omega 34 (2006) 107-124.
[20] Y. Qi, B. Huo, Z. Wang, H.Y.J. Yeung, “The impact of operations and supply chain strategies on integration and performance”, International Journal of Production Economics 186 (2017) 162-174.
[21] K.A. Gyampah, K.G. Boakyeb, E. Adakuc, S. Famiyeh, “Supplier relationship management and frm performance in developing economies: A moderated mediation analysis of flexibility capability and ownership structure”, International Journal of Production Economics 208 (2019) 160-170.
[22] J. Hong, Y. Liao, Y. Zhang, Z. Yu, “The effect of supply chain quality management practices and capabilities on operational and innovation performance: Evidence from Chinese manufacturers”, International Journal of Production Economics 212 (2019) 227-235.
[23] S.M. Wagner, P.T.G. Ruyken, F. Erhun, “Determinants of sourcing flexibility and its impact on performance”, International Journal of Production Economics 205 (2018) 329-341.
[24] J.H. Dyer, Collaborative Advantage: Winning through Extended Enterprise Supplier Networks, New York: Oxford University Press, 1997.
[25] J. Cohen, “Statistical power analysis for the behavioral sciences” (2nd ed.), New York, NY: Psychology Press, 1988.
[26] D. Kumar, J. Singh, O.P. Singh, “Analysis of distribution system of supply chain and relationships between manufacturer and customers for Indian textile industry”, International Journal of Business Performance and Supply Chain Modelling 3(1) (2011) 66-85.
[27] S.K. Vickery, J. Jayaram, C. Droge, R. Calantone, “The effects of an integrative supply chain strategy on customer service and financial performance: an analysis of direct versus indirect relationships”, Journal of Operations Management 21 (2003) 523-539.