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Journal articles on the topic 'Information suppliers'
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Joensuu-Salo, Sanna, and Kirsti Sorama. "Information Sharing and Integration of Buyer-Supplier Relationship in Small Suppliers’ Performance." Journal of Enterprising Culture 27, no. 02 (June 2019): 177–99. http://dx.doi.org/10.1142/s0218495819500079.
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Despite a growing scholarly interest in performance measurement systems (PMS) for collaborative networks, the literature highlights the success of co-operation from the buyer’s perspective, with far less attention given to the supplier’s perspective (Yeniyurt et al., 2014). In addition, only limited empirical research has been conducted on PMS in small and medium-sized enterprise networks (Bititci et al., 2012). This study investigates how information sharing and supplier integration in a buyer-supplier relationship (BSR) affect suppliers’ performance in the context of small firms. Information sharing includes both providing information (to a buyer) and receiving information (from a buyer). According to the results, neither BSR integration nor information sharing are associated with suppliers’ overall or financial performance. However, BSR integration showed a positive association with suppliers’ non-financial performance. Moreover, information sharing (both providing and receiving) in the innovation perspective showed a positive association with suppliers’ non-financial performance.
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Kim, Kyunghee, Minhye Park, and Sungmin Ryu. "Do Buyer's Supporting Efforts For Sub-Supplier Make Prime Supplier's Performance Better?" Journal of Applied Business Research (JABR) 33, no. 1 (December 29, 2016): 195–206. http://dx.doi.org/10.19030/jabr.v33i1.9890.
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It is widely accepted that capable suppliers do important role for buyer's competitiveness in today's business environment. Moreover, not only the importance of supplier development but also the importance of sub-supplier development has been emphasized. This study examines how buyer's efforts of supporting sub-supplier development impacts on performance of prime supplier. The study results show that while buyer's effort of monitoring and information sharing to sub-suppliers improve the performance of prime supplier, buyer's effort of knowledge sharing do not improve prime supplier's performance.
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Li, Cuihong. "Supplier Competition and Cost Reduction with Endogenous Information Asymmetry." Manufacturing & Service Operations Management 22, no. 5 (September 2020): 996–1010. http://dx.doi.org/10.1287/msom.2019.0784.
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Problem definition: We consider a buyer sourcing from multiple competing suppliers who exert cost-reduction efforts before procurement contracts are awarded. Academic/practical relevance: The supply chain is subject to the classic hold-up problem—as the lack of a contract commitment hinders suppliers’ incentives to make investment upfront—complicated with supplier competition. Methodology: With deterministic cost-reduction outcomes, suppliers will not exert any effort if this effort is observable, and a pure-strategy equilibrium does not exist if the effort is unobservable. We analyze the mixed-strategy equilibrium with unobservable supplier effort, in which suppliers randomize their efforts and the buyer designs an optimal procurement mechanism. Results: We show that the optimal procurement mechanism can be implemented by a conventional single-price reverse auction with a random reserve price. The mixed strategy of supplier effort generates endogenous information asymmetry on supplier costs that provides suppliers with information rent, which sustains their efforts. The endogenous information asymmetry improves effort efficiency (by inducing positive supplier effort), yet introduces trade inefficiency (by causing the possible failure of trade between the parties). Although increasing supplier competition (measured by the number of suppliers) hurts the effort efficiency, it improves trade efficiency. As a result, the buyer is always better off introducing supplier competition by including more than one supplier in the supply base. However, the desired supply base size (number of suppliers) depends on the product revenue: For high-margin goods, the optimal size is achieved with two suppliers, whereas for low-margin goods, a larger supply base is better for the buyer. We show that the result based on deterministic cost reduction can be established as a limit of the case when uncertainty in cost reduction exists and shrinks to null. Managerial implications: Our study helps to understand the impact of supplier competition when supply-chain parties deliberately make their actions unpredictable to avoid being held up. The findings provide managerial guidance on procurement auction and supply base designs.
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White, Anthony S., and Michael Censlive. "Resilience to Supply Disruptions in a Non-Linear Two-Tier Supply Chain Model." International Journal of Information Systems and Supply Chain Management 13, no. 2 (April 2020): 1–26. http://dx.doi.org/10.4018/ijisscm.2020040101.
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This article describes using a nonlinear APVIOBPCS to model the resilience response to the failure of one of the suppliers of a two-tier supply chain comprising a retailer and two suppliers. The second supplier then supplies all the goods required by the retailer. The model is chosen as the simplest case to examine resilience. Time to recover from disruption to ship all goods required by customers is slightly worse when the order rate when it reaches capacity limits but is less than the delay in the system from supplier to final shipment. Just over one weeks' maximum shipments stock at each tier guarantees shipments impervious to the collapse of one supplier, controller type has little effect on the performance of the model. These results agree with other researchers in general trend but not in detail. The response does not match the ‘Resilience Triangle.'
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Hsu Liu, Feng. "OEM supplier impact on buyer competence development." Journal of Strategy and Management 7, no. 1 (February 11, 2014): 2–18. http://dx.doi.org/10.1108/jsma-10-2012-0056.
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Purpose – The purpose of this paper is to examine whether original equipment manufacturing (OEM) suppliers can affect the development of buyer competence by manipulating two environmental factors: the development of competence in OEM supplier's external business relationships and the competitive pressure of the OEM supplier environment. Design/methodology/approach – The sample population consisted of 1,000 OEM suppliers in the Taiwanese information technology (IT) industry. Partial least squares analysis was used to examine the causal relationships among the variables. Findings – The empirical results revealed that the pressure of the external environment pushes OEM suppliers to develop competence through external business relationships. This competence in turn affects the development of buyer competence. Furthermore, OEM supplier impact on buyer competence development is positively associated with the importance of OEM supplier in outsourcing relationship. Originality/value – The paper empirically examines whether the impacts of the OEM supplier derived from different sourced environments play distinct roles in the development of the OEM supplier's power.
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Kusrini, Elisa, and Alfanugrah Hi Usman. "Design for Supplier Performance Assessment Model of Information Technology Service Provider in Small Medium Enterprises in Indonesia." MATEC Web of Conferences 221 (2018): 02011. http://dx.doi.org/10.1051/matecconf/201822102011.
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This study aims to design a supplier performance assessment model for information technology services provider in small medium enterprises (SME) in Indonesia. Supplier performance assessment is important to improve supplier performance and maintain long-term relationships between SME (buyer) and their suppliers. This supplier Assessment models are developed based on the review literature and interviews with procurement staff in SMEs. Performance assessment criteria are identified and tested for validity by providing a questionnaire to procurement section in SMEs. In order to obtain importance weight of each criteria toward performance score, a questionnaire to weighed the criteria are distributed to procurement staff and analyzed the answers using the Analytical Hierarchy Process (AHP) method. The final performance score is calculated based on the standardized value of each criteria multiplied by its weight. Based on the implementation of this model in SMEs, it is known that the proposed model is suitable to assess the supplier’s performance and greatly help the SMEs in managing the performance of their suppliers.
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Aboul-Enein, Hassan Y. "Manufacturers and suppliers information." Biomedical Chromatography 18, no. 10 (2004): 877–82. http://dx.doi.org/10.1002/bmc.418.
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Bouhnik, Dan, Yahel Giat, and Issachar Zarruk. "Supplier Selection and Assessment by University Procurement Officers." International Journal of Information Systems and Supply Chain Management 10, no. 1 (January 2017): 1–15. http://dx.doi.org/10.4018/ijisscm.2017010101.
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Supplier selection and assessment is at the core of the procurement process. This study investigates how procurement officers in Israel's universities select and assess their suppliers. The authors explore which information channels officers use to assess suppliers and find that incidental and informal information sources are the most frequently used followed by official sources. The authors examine the criteria used by officers to select suppliers and identify quality and price as significantly more important than most other criteria. Finally, the authors do not find strong evidence that officers categorize suppliers to key and non-key suppliers according to the university's goals.
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Chao, Dong, and Yankang Chen. "The Impact of Cost Information Sharing on Procurement Contract Design." Journal of Finance Research 4, no. 2 (November 3, 2020): 34. http://dx.doi.org/10.26549/jfr.v4i2.4042.
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In this paper, we provides contract design mechanisms and analysis for manufacturers to manage decentralized supply chain. Suppose the manufacturer’s final product consists of components, each produced by a different supplier, and the manufacturer first purchases components from suppliers, then assembles them into final product and meet demands aftermarket realization. While supply chain’s internal cooperation always benefits both, suppliers are often reluctant to proactively share their own production cost structure, otherwise manufacturers may depress purchase prices, which may reduce supplier’s profit. Manufacturers on the other hand, prefers to be informed of true cost information in order to gain greater revenues. We takes manufacturer’s perspective and design the optimal contract menu for suppliers, both to enable suppliers to disclose private cost information and to maximize the benefits. We start by modeling the original problem and find that the original problem is a complex multidimensional optimization problem. We then examine the nature of the original problem solving and devise the solution algorithm to arrive at the optimal contract menu. This algorithm reduces the complexity of the original question from o(2 n ) to o(n). We further investigate the influence mechanism of model parameters on the results and find that when market demand increases or the selling price of the final product increases, value of private information increases significantly. However, if market demand uncertainty increases, the value of information may increase or decrease for both sides.
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Kumar, Manoj. "Sub-Supplier's Decision Affect Supply Chain Performance." International Journal of Applied Logistics 6, no. 2 (July 2016): 1–32. http://dx.doi.org/10.4018/ijal.2016070101.
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This paper studies how transfer pricing schemes interact with sub suppliers' opportunistic behaviors to affect supply chain performance. Effective supply chain management requires careful consideration of sub-suppliers', especially with respect to transfer pricing issues. Firms increasingly approach their sub-suppliers to drive compliance with firms' defined transfer pricing schemes. The paper models the supply chain incorporating asymmetric information among all the parties, supplier's innovation activities, sub suppliers' corruption possibility, and transfer pricing schemes. It examines the impact of various transfer pricing schemes on supply chain efficiency. Specifically, it conducts a performance comparison between the variable-cost transfer pricing scheme and the full-cost transfer pricing scheme. The paper finds that the sub supplier's choice of a transfer pricing scheme affects the supplier's sourcing decisions and the supply chain performance, and the variable-cost transfer pricing scheme performs better in achieving supply chain coordination. Therefore, the present research seeks to explore and increase one's understanding of critical factors that contribute to overcome aforementioned complexities and unique challenges of managing sub-suppliers for transfer pricing schemes. The present research expands on the theory of transfer pricing schemes and sub-supplier management context.
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Yang, Dongsheng, and Minghui Xu. "Information-sharing strategy for online platform: the impact of suppliers’ price and advertising competition." Journal of Contemporary Marketing Science 3, no. 3 (October 12, 2020): 365–84. http://dx.doi.org/10.1108/jcmars-08-2020-0032.
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PurposeIn recent years, with the rapid development of the Internet and e-commerce, the online retail business has grown rapidly. E-commerce platforms can track different click data to understand consumer behavior and demand preferences, so as to make better demand forecasts, and strategically share this information with upstream suppliers. When the platform charges a certain fee for the shared data, the suppliers face the question of whether to purchase demand information. This article aims to analyze the influence of price competition and advertising competition on the suppliers' decisions to purchase information and the online platform for data pricing.Design/methodology/approachBy using static game with incomplete information, this paper explores information-sharing strategies of an online platform with two competitive brand suppliers. The authors use Nash game to analyze the suppliers' purchasing information decision and then obtain the optimal information price of the online platform with information-sharing contract.FindingsThis paper shows that demand information sharing benefits both the platform and the suppliers. Without information contracts, the online platform is willing to share demand information with at least one supplier. Especially, when the consumer's sensitivity to advertising is larger and the commission fee charged by the online platform is small, the online platforms will share information with only one supplier. Based on the game outcomes between the suppliers, two pricing strategies for information are proposed under which at least one supplier purchases information. If the consumers are less (more) sensitive to advertising competition, pricing strategy of the online platform induces both suppliers (only one supplier) to purchase information.Originality/valueAt present, most of the information-sharing articles are based on the traditional purchase and sale mode. Based on the background of e-commerce, this paper examines the online platform's information-sharing strategies, which has certain innovation. In addition, the results show that the information-sharing strategy of the online platform is affected by both the price and advertising competitiveness, which provides a new expansion and supplement for the information-sharing literature.
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Kraft, Tim, León Valdés, and Yanchong Zheng. "Motivating Supplier Social Responsibility Under Incomplete Visibility." Manufacturing & Service Operations Management 22, no. 6 (November 2020): 1268–86. http://dx.doi.org/10.1287/msom.2019.0809.
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Problem definition: We examine how a profit-driven firm (she) can motivate better social responsibility (SR) practices by a supplier (he) when these practices cannot be perfectly observed by the firm. We focus on the firm’s investment in the supplier’s SR capabilities. To capture the influence of consumer demands, we incorporate the potential for SR information to be disclosed by the firm or revealed by a third party. Academic/practical relevance: Most firms have limited visibility into the SR practices of their suppliers. However, there is little research on how a firm under incomplete visibility should (i) invest to improve a supplier’s SR practices and (ii) disclose SR information to consumers. We address this gap. Methodology: We develop a game-theoretic model with asymmetric information to study a supply chain with one supplier and one firm. The firm makes her investment decision given incomplete information about the supplier’s current SR practices. We analyze and compare two settings: the firm does not disclose versus she discloses SR information to the consumers. Results: The firm should invest a high (low) amount in the supplier’s capabilities if the information she observes suggests the supplier’s current SR practices are poor (good). She should always be more aggressive with her investment when disclosing (versus not disclosing). This more aggressive strategy ensures better supplier SR practices under disclosure. When choosing between disclosing and not disclosing, the firm most likely prefers not to disclose when the supplier’s current SR practices seem to be average. Managerial implications: (i) Greater visibility helps the firm to better tailor her investment to the level of support needed. (ii) Better visibility also makes the firm more “truthful” in her disclosure, whereas increased third-party scrutiny makes her more “cautious.” (iii) Mandating disclosure is most beneficial for SR when the suppliers’ current practices seem to be average.
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Kumar, Manoj. "Eco-Labeling of Suppliers Using Green Production Techniques with Asymmetric Information." International Journal of Service Science, Management, Engineering, and Technology 7, no. 3 (July 2016): 38–54. http://dx.doi.org/10.4018/ijssmet.2016070103.
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Suppliers would like to capitalize on buyers' willingness to pay a premium for goods that use environmentally friendly (green) production techniques, but they face a problem of asymmetric information: buyers cannot determine if a supplier is environmentally friendly. Since the green technique is generally more costly than environmentally unfriendly (brown) techniques, suppliers would be disinclined to choose a green technique, yielding larger pollution flows. One possible remedy is “eco-labeling,” where a third party certifies suppliers' products. This paper models certification as a noisy test, with green suppliers more likely to pass than brown suppliers. Two models are considered, one where suppliers' production techniques are exogenous (a short-run setting), and one where they can choose their technique (a long-run setting). Results show that eco-labeling can either raise or lower the volume of green units, and raise or lower net social surplus; increases in social surplus are more likely in the long-run.
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Jitpaiboon, Thawatchai, Qiannong Gu, and Pankaj C. Patel. "The Study of Influential Adaptation of Information Technology between Buyers and Suppliers." International Journal of Business Analytics 2, no. 4 (October 2015): 45–63. http://dx.doi.org/10.4018/ijban.2015100103.
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This research explores the mechanism by which the buyers and suppliers adopt different information technologies (IT) as they enter into buyer-supplier relationships. It further studies how buyers' technology choices influence suppliers' technology adaptation in an Influential Adaptation model. Using empirical data collected from the Society of Manufacturing Engineer's executives, a confirmatory factor analysis was used to improve measurement rigors including convergent validity, discriminant validity, and reliability. The Planning IT use sub-construct is developed for this study. The structural model results show that suppliers' adoption of IT use is largely influenced by buyers' level of IT use; however, there is no clear relationship pattern relating to suppliers' IT use.
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Rezaei, Jafar, and Hamidreza Fallah Lajimi. "Segmenting supplies and suppliers: bringing together the purchasing portfolio matrix and the supplier potential matrix." International Journal of Logistics Research and Applications 22, no. 4 (October 16, 2018): 419–36. http://dx.doi.org/10.1080/13675567.2018.1535649.
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Liu, Yi, Jiaqi Xue, and Yuan Li. "Transaction-specific investments in a supplier-distributor-supplier triad in China: opportunism and cooperation." Journal of Business & Industrial Marketing 34, no. 6 (July 1, 2019): 1297–312. http://dx.doi.org/10.1108/jbim-01-2018-0057.
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Purpose Rather than focussing on dyadic distributor–supplier relationships, this study aims to examine whether the difference in transaction-specific investments (TSIs) between rival suppliers in a supplier–distributor–supplier triad influences whether distributors expropriate or maintain their supplier’s TSIs. Design/methodology/approach Drawing on triadic data from 276 questionnaires that address both the supplier–distributor relationship and the rival supplier–distributor relationship, a moderated regression analysis is used to test the hypotheses. Findings Five out of six hypotheses are supported by the empirical test. The results show that the supplier’s TSIs increase the distributor’s opportunistic behaviour and reduce cooperation when the distributor perceives that the supplier’s TSIs are lower than those of a rival supplier. In contrast, when the distributor perceives that the supplier’s TSIs are higher than those of a competitor, the supplier’s TSIs do not improve cooperation and can shift the link between the supplier’s TSIs and the distributor’s opportunism from being positive to negative. Practical implications The findings have implications for the top managers of supplier firms embedded in distribution networks. This study suggests that the competitor’s TSIs can be regarded as an indicator of the supplier’s relationship with the distributor. By keeping an eye on their competitors’ TSIs, the top managers of suppliers can predict the likelihood of distributors’ opportunistic and cooperative behaviour and make efforts to improve their position by adjusting their own firm’s TSIs. Furthermore, this information can help suppliers decide on their investment strategies and maintain stable and healthy relationships. Originality/value This study 1) examines the effect of TSIs using a triadic framework and triadic data and demonstrates that how a distributor responds to a supplier’s TSIs, with either opportunism or cooperation, depends on the relative level of those TSIs in focal and competitive relationships; and 2) reveals the expropriation effects and restraint effects of TSIs by drawing on prospect theory. This finding indicates the dynamics of TSIs in a triadic relationship.
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Xin-jun, Li, Zhang Lin-qi, and Liu Xing-hua. "Contingent Strategies for Mitigating Supply Disruptions With Backup Supplier and Information Acquirement." International Journal of Information Systems and Supply Chain Management 11, no. 2 (April 2018): 16–38. http://dx.doi.org/10.4018/ijisscm.2018040102.
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This article describes pervasive supply disruptions and their impacts on supply chain performance. The retailer sources from two suppliers, one supplier is subject to disruptions and the other supplier is perfectly reliable, but more expensive. According to availability of the disruption information, the authors present four information acquirement models. The research conclusions are as follows: The effect of backup supplier is reduced with the increases of reliability coefficient; The value of information is more sensitive to reliability coefficient but less sensitive to potential market capacity; The earlier the information is available, the higher the profit of vendor is; The value of information is lower when reliability coefficient is close to 0 or 1, while information value is significant when reliability coefficient is 0.5; predetermined amount of backup supplier has nothing to do with the cost of strategic supplier, and predetermined amount of strategic supplier is also no connection with backup supplier's predetermined cost and execution cost.
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Lee, Alfred Bo Shing, Felix T. S. Chan, and Xiaodie Pu. "Impact of supplier development on supplier’s performance." Industrial Management & Data Systems 118, no. 6 (July 9, 2018): 1192–208. http://dx.doi.org/10.1108/imds-05-2017-0229.
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Purpose The purpose of this paper is to explore the impact of supplier development (SD) on supplier’s performance by sharing implicit knowledge in mentorship under the influence of supplier’s organizational culture (OC). Design/methodology/approach A survey questionnaire was employed to collect data from 226 employees of participating suppliers after conducting mentorship training at the suppliers’ site. The data were analyzed by the partial least squares structural equation modeling with software SmartPLS Ver. 3.0. Findings The empirical analysis indicates that SD by mentorship partially mediates the total effects of OC – power distance and uncertainty avoidance – on performance. It completely mediates the collaborative culture on performance. Originality/value This study may confirm that the SD program by mentorship is a viable strategy to enhance the performance of supply chain partners and the selection of suppliers.
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Raharjana, Indra Kharisma, Ayundha Puspadini, and Eva Hariyanti. "Information Technology Supplier Management in Hospitals." Bulletin of Electrical Engineering and Informatics 7, no. 2 (June 1, 2018): 306–13. http://dx.doi.org/10.11591/eei.v7i2.694.
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In this study, we developed a document for managing Information Technology suppliers in hospitals. This document is used to ensure the proper management of IT suppliers in the hospital. Products and services in Information Technology have characteristics and specifications that are always up to date, making it difficult for non-IT people to understand. Hospitals whose main business in the health sector is often lack of human resources who understand IT. Observations and interviews were conducted in Indonesian hospital, to identify the characteristics and problems in supplier management. Control Objectives for Information and Related Technologies (COBIT), Information Technology Infrastructure Library (ITIL) and government regulations on supplier management were reviewed and combined as a benchmark and guidance on how supplier management activities are carried out. The result of the process is a Standard Operating Procedure (SOP) document. The parties involved in the supplier management process have evaluated the SOP document. From the results of the study, it is known that currently, the hospital is still focused on procedures procurement of goods and services that are government regulated. This study proposes some new activities that are not currently done by the hospital.
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GURNANI, HARESH, MEHMET GÜMÜŞ, SAIBAL RAY, and TRIDIP RAY. "OPTIMAL PROCUREMENT STRATEGY UNDER SUPPLY RISK." Asia-Pacific Journal of Operational Research 29, no. 01 (February 2012): 1240006. http://dx.doi.org/10.1142/s0217595912400064.
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With the rapid expansion of global business, newer suppliers with cheaper but possibly unreliable technologies have entered the marketplace to win orders from buyer firms by beating the price of their perfectly reliable (but expensive) competitors. We model the procurement problem as a Nash game where the buyer has to allocate its purchases between an expensive but reliable supplier, and a cheaper but unreliable supplier. The suppliers specify prices for different proportions of the order awarded to them. Our analysis shows that, when perfect information is available about the reliability level of the unreliable supplier, the Nash equilibrium is a sole-sourcing allocation and that the supplier selection decision depends on the reliability and cost differentials between the two suppliers. In addition, we model the case when the buyer and the reliable supplier have limited information about the reliability of the unreliable supplier. Even in such an asymmetric scenario, the buyer's equilibrium allocation is a sole-sourcing outcome, but depending on system conditions either a separating or a pooling equilibrium is possible. An interesting insight into the effect of information asymmetry is that it can result in higher or lower profits/costs for the channel partners (compared to the perfect information case). As such, the buyer may even benefit from information asymmetry regarding unreliable supplier due to its impact on the degree of competition between the two suppliers.
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Azadeh, Ali, Mansour Zarrin, and Nima Salehi. "Supplier selection in closed loop supply chain by an integrated simulation-Taguchi-DEA approach." Journal of Enterprise Information Management 29, no. 3 (April 11, 2016): 302–26. http://dx.doi.org/10.1108/jeim-09-2014-0089.
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Purpose – Reverse logistics refer to processes related to the reuse of products. The role of suppliers’ performance is crucial in achieving quality, cost, service and delivery aims of a supply chain. The selection of suppliers is regarded as one of the critical issues encountered by purchasing and operations managers in a supply chain to enhance organization’s global marketplace competitiveness. Most of the supply chain models are rather complex problems. Consequently, it is impossible to propose systematic models to handle them. Therefore, in this paper a new integrated approach based on experimental design and computer simulation is proposed for supplier selection. The paper aims to discuss these issues. Design/methodology/approach – In this study, a simulation approach is implemented to determine certain equivalent of parameters values in a CLSC network design which cannot be computed through mathematical model. Suppliers’ order quantities are investigated by Taguchi method for planning time horizon. Moreover, data envelopment analysis (DEA) is applied to assess suppliers based on quality, cost, delivery time, production capabilities, services and technology. Findings – In the numerical example, there are three suppliers for different regions. Purchase value of each supplier is measured in three years successively. According to the proposed method, the authors find the minimum level of costs together with the maximum number of high-quality products. Practical implications – The objective functions of model are minimizing the costs and maximizing number of high-quality products. The integrated approach introduced in this paper enables managers to select their suppliers effectively in their real system. Originality/value – Most supply chain models are complex and the identification of proper and optimal solutions in complex real-world systems often requires the solution of multi-objective problems involving multiple stochastic variables. Therefore, the paper introduces a new integrated approach for supplier selection in closed loop supply chain. To the best of the authors knowledge, this is the first study that integrates DEA, computer simulation and Taguchi method for supplier selection in closed loop supply chains.
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Saen, Reza, and Mark Gershon. "Supplier Selection by the Pair of AR-NF-IDEA Models." International Journal of Information Systems and Supply Chain Management 3, no. 4 (October 2010): 25–41. http://dx.doi.org/10.4018/jisscm.2010100102.
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Supplier selection is the process by which suppliers are reviewed, evaluated, and chosen to become part of a company’s supply chain. To select the best suppliers in the presence of cardinal data, ordinal data, nondiscretionary factors, and weight restrictions, this paper proposes a new model considering all of these assumptions. A numerical example demonstrates the application of the proposed method.
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Sacomano Neto, Mário, and Sílvio Roberto Pires. "Analysis of the Relationship between Automaker and Systemist in an Industrial Condominium of the Automotive Industry." Journal of Operations and Supply Chain Management 1, no. 2 (December 29, 2008): 41. http://dx.doi.org/10.12660/joscmv1n2p41-52.
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The implementation of industrial condominiums in Brazil's automotive industry introduced a new standard for the relationship between automakers and auto parts suppliers. High levels of outsourcing, long-term contracts, integrative agreements, coproduction of components, exchanges of specific resources, and intensive interchange of information characterize the automaker's relationship with suppliers in these new arrangements. This paper analyzes the relationship between an automaker, constituted in the form of an industrial condominium, and a systemist supplier operating inside the automaker's plant, exploring the impacts and innovations in the way production is organized and in how the supplier's performance is measured. The findings reveal the transfer of added value from the automaker to the systemist supplier and a high degree of integration of logistics and production between companies
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Yan, Zhijia, Wenting Yang, Xiaoling Huang, Xiangrong Shi, and Wenyu Zhang. "A Reputation-Enhanced Hybrid Approach for Supplier Selection with Intuitionistic Fuzzy Evaluation Information." Mathematics 7, no. 3 (March 24, 2019): 298. http://dx.doi.org/10.3390/math7030298.
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Selecting optimal suppliers in fuzzy environments has become a major challenge for enterprises. Reputation plays an important role in the process of supplier selection because of its fuzziness, dynamicity, and transitivity. In this study, we first present a novel intuitionistic fuzzy sets (IFS)-hyperlink-induced topic search (HITS) method that combines the intuitionistic fuzzy set with the hyperlink-induced topic search (HITS) algorithm to extend the ability of processing fuzzy information in order to obtain post-propagated reputation values of suppliers. Then, we employ the dynamic intuitionistic fuzzy weighted average operator to gain dynamic reputation values and other evaluation attribute values. After that, intuitionistic fuzzy entropy weight method is adopted to acquire more accurate weights for each evaluation attribute. Finally, we employ the Vlsekriterijumska Optimizacija I Kompromisno Resenje method to acquire comprehensive evaluation values of candidate supplier to select optimal suppliers. Two groups of experiments for supplier selection are given to explain feasibility and practicality of the proposed method.
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Krasyuk, O. P. "Suppliers management tactics as a concept of sustainable enterprise development." Litiyo i Metallurgiya (FOUNDRY PRODUCTION AND METALLURGY), no. 4 (January 20, 2020): 68–71. http://dx.doi.org/10.21122/1683-6065-2019-4-68-71.
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The article deals with issues related to the work of OJSC “BSW Management Company of the Holding “BMC” with suppliers. Information on the developed concept of stakeholders between supplier and consumer is given. The types and structure of the procurement process are described, the gradation of the material in the procurement process is carried out. The method of evaluating supplier, starting with the calculation of the quality index of the material supplied, depending on the ratio value of the type of inconsistencies discussed logistics, but also on the basis of partnership relations provides information on the assessment of loyalty of the supplier. The report is also based on the developed activities, 8D, i.e. 8 step-by-step actions to eliminate inconsistencies. Perception of the supplier-consumer relationship is evaluated.
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Dekker, Henri C., Takaharu Kawai, and Junya Sakaguchi. "The Interfirm Contracting Value of Management Accounting Information." Journal of Management Accounting Research 31, no. 2 (February 1, 2018): 59–74. http://dx.doi.org/10.2308/jmar-52058.
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ABSTRACT We examine how firms' management accounting information influences interfirm contract design. We theorize that comprehensive accounting information enables firms to design more complete contracts with suppliers, as indicated by increased issue inclusiveness and clause specificity. Survey data of Japanese manufacturing firms about the management of supplier relationships support the expectation that comprehensive management accounting information enables the development of more inclusive and specific contracts with suppliers. These contracts are also less subject to additional informal agreements between exchange partners. These results are consistent with the idea that better accounting information enables more complete contracting.
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Wu, Junjian, Haiyan Wang, and Henry Xu. "Vertical Cost-Information Sharing in a Food Supply Chain with Multiple Unreliable Suppliers and Two Manufacturers." Journal of Food Quality 2017 (2017): 1–14. http://dx.doi.org/10.1155/2017/6792545.
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This paper considers a food supply chain where multiple suppliers provide completely substitutable food products to two manufacturers. Meanwhile, the suppliers face yield uncertainty and the manufacturers face uncertain production costs that are private information. While the suppliers compete on price, the manufacturers compete on quantity. We build a stylized multistage game theoretic model to analyze the issue of vertical cost-information sharing (VCIS) within the supply chain by considering key parameters, including the level of yield uncertainty, two manufacturers’ cost correlation, the correlated coefficient of suppliers’ yield processes, and the number of suppliers. We study the suppliers’ optimal wholesale price and the manufacturers’ optimal order quantities under different VCIS strategies. Finally, through numerical analyses, we examine how key parameters affect the value of VCIS to each supplier and each manufacturer, respectively. We found that the manufacturers are willing to share cost information with suppliers only when the two manufacturers’ cost correlation is less than a threshold. While a high correlated coefficient of suppliers’ yield processes and a large number of suppliers promote complete information sharing, a high level of yield uncertainty hinders complete information sharing. All these findings have important implications to industry practices.
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Thakur, Vikas, and Ramesh Anbanandam. "Supplier selection using grey theory: a case study from Indian banking industry." Journal of Enterprise Information Management 28, no. 6 (October 12, 2015): 769–87. http://dx.doi.org/10.1108/jeim-07-2014-0075.
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Purpose – As the suppliers of any organization are considered as the strategic partners and taken as the integral part of the supply chain network, hence it is very crucial decision to select the suppliers in order to get the competitive edge. Whenever, any organization select its suppliers then organization evaluates every supplier with respect to certain criteria, which are already listed in the organization’s policies. Since supplier selection is based on the evaluation of various attributes of each alternative; therefore this problem is a multi-attribute decision-making (MADM) problem. The purpose of this paper is to propose a model for selecting the best supplier. Design/methodology/approach – This paper reports the implementation of grey theory to choose the appropriate supplier with uncertain information. Grey values have been used to give the ratings and weightage to various criteria which are being used to evaluate the different supplier alternatives. And finally the grey possibility degree has been calculated to rate the various alternatives. Findings – This paper proposed a MADM model based on grey theory to select the optimal supplier and finally, the proposed model has been applied to select the best supplier for “optimizing digital banking” in the Indian context. Research limitations/implications – The selection criteria selected here through literature review may not fit the whole industry and moreover this paper can be extended into the field where multiple-supplier selection is required, like in manufacturing sector where the authors cannot rely always on single supplier. So, in that case the authors need to pick more than one best alternatives. Practical implications – The grey theory approach can be applied almost all the services industries, where the exact information about the suppliers in quantitative terms is very difficult to find. So the authors can use the grey numbers to rate the suppliers. Social implications – Since, the coming generation is more dependent on the internet banking, so it becomes very much necessary for the banking sector to update the existing system. Due to lack in technical skills, outsourcing the information technology and software development is the best option. Hence, Grey theory based model can be used in selecting the best supplier under uncertain information. Originality/value – Very few studies have been done in India using grey theory approach for supplier selection and moreover, to the best knowledge of the authors’ this is the first study which employs grey theory for selecting the best supplier in banking industry. Moreover the digital banking system is the future of banking industry, so every player should provide the digital banking structure in order to survive in the market.
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Shi, Ning, Shaorui Zhou, Fan Wang, Shenghao Xu, and Shuping Xiong. "Horizontal cooperation and information sharing between suppliers in the manufacturer–supplier triad." International Journal of Production Research 52, no. 15 (December 20, 2013): 4526–47. http://dx.doi.org/10.1080/00207543.2013.869630.
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Chen, Ying-Ju, and Mingcherng Deng. "Information Sharing in a Manufacturer-Supplier Relationship: Suppliers' Incentive and Production Efficiency." Production and Operations Management 24, no. 4 (September 15, 2014): 619–33. http://dx.doi.org/10.1111/poms.12261.
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Mishra, Debi Prasad, Jan B. Heide, and Stanton G. Cort. "Information Asymmetry and Levels of Agency Relationships." Journal of Marketing Research 35, no. 3 (August 1998): 277–95. http://dx.doi.org/10.1177/002224379803500301.
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Many marketing exchanges are characterized by an information asymmetry between suppliers and customers. Specifically, customers are faced with both adverse selection and moral hazard problems that involve, respectively, uncertainty about supplier characteristics and the risk of quality cheating. Drawing on prior research, the authors propose that agency problems in a customer relationship can be resolved by means of customer bonds and price premiums, which serve as signals and supplier incentives, respectively. The authors also propose that adverse selection and moral hazard problems exist in relationships between suppliers and their employees. Similar to the customer relationship, these problems can be addressed with signals and incentives of various kinds. The authors present hypotheses regarding the agency problems in both of these relationships and test them empirically in the context of automotive service purchases. Data obtained from 287 service managers support the hypotheses. The data also suggest that institutional differences across service outlets (e.g., ownership structure and size) influence how the two types of agency problems are managed.
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Cannavacciuolo, Lorella, Luca Iandoli, Cristina Ponsiglione, and Giuseppe Zollo. "Knowledge elicitation and mapping in the design of a decision support system for the evaluation of suppliers’ competencies." VINE 45, no. 4 (November 9, 2015): 530–50. http://dx.doi.org/10.1108/vine-01-2015-0011.
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Purpose – This paper aims to present a methodology for the mapping and evaluation of suppliers’ competencies and know-how. The authors operationalize the concept of organizational competence and provide companies with a customized management tool to map suppliers’ critical competencies for screening strategic from non-strategic suppliers and providing inputs for suppliers’ development. Design/methodology/approach – Competencies assessment, carried out through a fuzzy knowledge management system (VINCI), is performed through the aggregation of indicators related to the control of critical resources, the degree of implementation of critical processes, the competitive positioning and the financial situation of a supplier. Competencies description and operationalization are based on the bottom-up elicitation of the subjective knowledge managers actually use to assess suppliers’ capability. Such subjective knowledge is then validated and formalized through a top-down approach based on strategic literature. Findings – The authors tested VINCI on a sample of 38 suppliers of a large company. The results show that the methodology provides its users with a highly customizable knowledge map and its associated decision support tool that keeps into account the peculiar strategic needs of the company in the management of an existing portfolio of suppliers. Practical implications – VINCI outcomes can be used to perform benchmarking analyses, define entry criteria and thresholds for suppliers’, identify improvement targets and service levels to be considered in the definition of supply contracts, supporting the alignment of supplier’s management with business strategy. Originality/value – The most important original contribution of this work resides in the operationalization and measurements of firms’ competencies based on the elicitation of subjective knowledge that managers use in the actual assessment. A further distinctive feature of this paper is that the method is applied to small and medium companies, whereas large part of the literature on core or organizational competencies assessment is focused on large companies.
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Puška, Adis, Miroslav Nedeljković, Sarfaraz Hashemkhani Zolfani, and Dragan Pamučar. "Application of Interval Fuzzy Logic in Selecting a Sustainable Supplier on the Example of Agricultural Production." Symmetry 13, no. 5 (April 29, 2021): 774. http://dx.doi.org/10.3390/sym13050774.
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The selection of sustainable suppliers (SSS) is the first step in applying a sustainable supply chain and sustainable production. Therefore, it is necessary to select the supplier that best meets the set sustainability criteria. However, the selection of suppliers cannot be done by applying symmetric information, because the company does not have complete information, so asymmetric information should be used when selecting suppliers. Since the SSS applies three main sustainability criteria, environmental, social, and economic criteria, this decision-making problem is solved by applying multi-criteria decision-making (MCDM). In order to solve the SSS for the needs of agricultural production, interval fuzzy logic was applied in this research, and six suppliers with whom agricultural pharmacies in Semberija work were taken into consideration. The application of interval fuzzy logic was performed using the methods PIPRECIA (Pivot pairwise relative criteria importance assessment) and MABAC (Multi-Attributive Border Approximation Area Comparison). Using the PIPRECIA method, the weights of criteria and sub-criteria were determined. Results of this method showed that the most significant are economic criteria, followed by the social criteria. The ecological criteria are the least important. The supplier ranking was performed using the MABAC method. The results showed that supplier A4 best meets the sustainability criteria, while supplier A6 is the worst. These results were confirmed using other MCDM methods, followed by the sensitivity analysis. According to the attained results, agricultural producers from Semberija should buy the most products from suppliers A4, in order to better apply sustainability in production. This paper showed how to decision make when there is asymmetric information about suppliers.
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Gelderman, Cees J., Janjaap Semeijn, Ferdi Ter Avest, and Ellen Peeters. "Social capital, power and information sharing – evidence from the Dutch meat processing industry." British Food Journal 122, no. 11 (July 30, 2020): 3343–60. http://dx.doi.org/10.1108/bfj-08-2019-0607.
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PurposeBuying companies in the food industry increasingly recognize the need to cultivate relationships with their suppliers. Social capital and power are important to understand buyer–supplier relationships. Maintaining these relationships appears highly dependent on the degree of information sharing.Design/methodology/approachThe study investigates how power and social capital dimensions are related to information sharing. A survey of first-tier suppliers in the Dutch meat processing industry was carried out. The data from 82 suppliers was analyzed using partial least squares.FindingsIt appears that expert power contributes to the cognitive and structural social capital. In contrast, coercive power showed no influence at all. Cognitive and structural social capital dimensions have a direct link to relational social capital, which significantly improves buyer–supplier information sharing in the food industry.Practical implicationsBuying companies can encourage supplier information sharing by building up their own expertise and cultivating social relationships. They should refrain from strong-handed practices.Originality/valueCompanies in the food and food processing industry are dependent on effective information exchange for their very survival. This study investigates the role of power and social capital in making such exchange possible and sustainable.
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Wang, Yingli, Jonathan Gosling, and Mohamed M. Naim. "Assessing supplier capabilities to exploit building information modelling." Construction Innovation 19, no. 3 (July 7, 2019): 491–510. http://dx.doi.org/10.1108/ci-10-2018-0087.
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Purpose A number of governments are making building information modeling (BIM) a mandatory requirement for all public works construction projects. While main contractors may be ready to comply with such requirements, the supply chain as whole may be vulnerable as lower-tier suppliers may not be able to adopt BIM. There is currently no objective approach to assessing BIM maturity; hence, this paper aims to develop a new approach to determine suppliers’ current vision and execution-based capabilities to exploit BIM and their capacity to reach a higher maturity level. Design/methodology/approach Based on UK Government BIM maturity levels, the authors exploit a unique data set made available by a main contractor, to determine a data-driven approach, using K-means, to assess the capabilities and vision of its supply base. Findings The authors find a direct comparison between our suggested K-means clusters and the UK Government’s BIM maturity levels. However, in interrogating specific cases, the authors find that using a subjective approach would have wrongly categorized certain companies. The authors also determine what capability and strategic developments are required for companies to move to a higher level. Research limitations/implications The method aligns with the existing UK BIM maturity model and enhances the model by determining the likelihood of a supplier in progressing to a higher level of maturity. The research was with a single case company, exploiting their existing survey instrument and data. A more comprehensive study could be adopted with a generic survey questionnaire. Practical implications The research may be exploited by companies to take a strategic approach to assess suppliers in BIM adoption and to establish supplier development mechanisms. Originality/value The data-driven approach avoids ambiguity of categories and mis-categorizing suppliers.
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Yazdani, Morteza, Prasenjit Chatterjee, Dragan Pamucar, and Manuel Doval Abad. "A risk-based integrated decision-making model for green supplier selection." Kybernetes 49, no. 4 (May 31, 2019): 1229–52. http://dx.doi.org/10.1108/k-09-2018-0509.
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Purpose Supply chain (SC) environment is surrounded by risk variables. This issue is regarded as an emerging and strategic problem which must be resolved by SC executives. The ability to measuring green supplier’s performance and affecting risk variables to demonstrating effective suppliers list has a potential contribution to be investigated. This paper aims to develop a decision-making model to assess green suppliers under legislation and risk factors. This leads to fewer disruptions in managing the SC and its impact to further improvement. It also presents research concepts forming a new approach for identification, prediction and understating relationship of supply risk. Design/methodology/approach At primal stage, different risk factors that influence green suppliers’ performance are indicated and their relationship is analyzed using decision-making trial and evaluation laboratory (DEMATEL) method. At the same time, failure mode and effect analysis is used to determine risk rating of each supplier. Finally, the evaluation based on distance from average solution (EDAS) method ranks suppliers and several comparisons and analysis are performed to test the stability of the results. The approaches include comparison to technique for order performance by similarity to ideal solution, multi-attributive border approximation area comparison, Vlse Kriterijumska Optimizacija I Kompromisno Resenje and complex proportional assessment methods, followed by analysis of rank reversal, weight sensitivity analysis and effect of dynamic metrics. Findings A real-time case study on green supplier selection (GSS) problem of a reputed construction company of Spain has been presented to demonstrate the practical aspects of the proposed method. In practice, though organizations are aware of various risks from local and global suppliers, it is difficult to incorporate these risk factors for ranking the suppliers. This real-case application shows the evaluation and incorporation of risk factors into the supplier selection model. Practical implications The proposed multi-criteria decision model quantitatively aids managers in selecting green suppliers considering risk factors. Originality/value A new model has been developed to present a sound mathematical model for solving GSS problems which considers the interaction between the supplier selection risk factors by proposing an integrated analytical approach for selecting green suppliers strategically consisting of DEMATEL, FMEA and EDAS methods.
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Sun, Yuling, Zehua Liu, and Hui Yang. "How Does Suppliers’ Fairness Affect the Relationship Quality of Agricultural Product Supply Chains?" Journal of Food Quality 2018 (2018): 1–15. http://dx.doi.org/10.1155/2018/9313068.
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Although many studies have suggested that the relationship between different supply chain members significantly affects agricultural product quality, suppliers’ perceptions of fairness, which greatly influence their decisions on building the relationship quality, are often overlooked. Particularly, the empirical evidence to investigate the impacts of suppliers’ fairness on the relationship quality and the factors that affect the suppliers’ fairness is missing, and therefore this knowledge gap needs to be filled by new research. Herein, we conducted a survey of 450 agricultural product suppliers and systemically analyzed the impact of antecedents on fairness perception and the impact of fairness perception on relationship quality. In addition, we developed a structural equation model and found that information sharing and price satisfaction had significantly positive effects on procedural fairness and distributive fairness, respectively. Furthermore, our studies demonstrated that procedural fairness is more important in improving the relationship quality than distributive fairness. However, supplier dependence is another important impact factor, and it greatly decreases the positive effects of suppliers’ fairness on relationship quality. In summary, the study results provide several managerial implications and extend our understanding of the importance of suppliers’ fairness in the relationship quality, which involves product development with respect to the supplier’s performance.
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Inemek, A., and O. Tuna. "Global supplier selection strategies and implications for supplier performance: Turkish suppliers’ perception." International Journal of Logistics Research and Applications 12, no. 5 (September 30, 2009): 381–406. http://dx.doi.org/10.1080/13675560903181543.
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Biraori Oteki, Evans. "E-Supplier Management Practices on Supply Chain Performance of Sugar Processing Firms in Kenya." International Journal of Managing Value and Supply Chains 12, no. 2 (June 30, 2021): 1–14. http://dx.doi.org/10.5121/ijmvsc.2021.12201.
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The purpose of this study was to establish the influence of electronic supplier management practices on supply chain performance of sugar processing firms. The target population is 7,584 employees of sugar processing firms in Kenya and Yamane Taro’s formula was applied to come up with a sample size of 379 respondents. Data was gathered by a questionnaire, interviews and observation. Correlation was used to determine the relationship between E-supplier management practices and Supply chain performance while regression analysis tested the hypothesis. The study established that E-supplier management practices enhances supply chain performance. Two kinds of supply chain are proposed; Managerial and demand. Managerial supply chain where as a result of electronic supplier management practice, flow of goods and services from the suppliers are properly managed through information sharing between the buyer-seller thus improved deliveries. Demand supply chain where as a result of electronic supplier management practice, buyers and suppliers tend to develop a single shared forecast of demand and a plan of supply in the sense that buyers issue order for only needed materials from the suppliers and that suppliers fulfills the orders as requested by the buyers. To ensure that the proposed supply chain under e-supplier management,it is recommended that Sugar processing firms’ management should ensure working Websites, working internal and external mail and also provide their suppliers with access credentials to company electronic procurement portal to increase buyer and supplier access to information to enhance E-supplier management practices.
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L. Tate, Wendy, Lisa M. Ellram, and Kevin J. Dooley. "The impact of transaction costs and institutional pressure on supplier environmental practices." International Journal of Physical Distribution & Logistics Management 44, no. 5 (May 27, 2014): 353–72. http://dx.doi.org/10.1108/ijpdlm-12-2012-0356.
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Purpose – Suppliers play a more significant role in the environmental footprint of supply chains than most final manufacturers. The purpose of this paper is to apply transaction costs and institutional theory to help understand why the more conservative, or reactive suppliers may or may not be likely to adopt environmental practices. Design/methodology/approach – This research builds on a prior conceptual paper and uses the results of a survey to test whether transaction costs and institutional theory can provide insight into supplier's adoption of environmental practices. Findings – This research finds that perceived transaction costs affect supplier cooperation in adopting environmental practices. Suppliers are more likely to adopt an environmental practice if information-seeking costs are low or the cost of adoption is considered necessary to maintain the relationship. Data did not support the hypotheses concerning institutional pressures. Originality/value – There is much research in the area of proactive adoption of environmental business practices. This research looks specifically at what influences the adoption of environmental business practices by suppliers that are more reactive or hesitant to be leaders in this area.
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van Scheers, Louise. "Factors Contributing to SMEs Failure in Meeting Supplier Performance Standards." Foundations of Management 8, no. 1 (January 1, 2016): 43–52. http://dx.doi.org/10.1515/fman-2016-0004.
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Abstract This study sought to determine the factors that contribute to the failure of small and medium enterprises (SMEs) in meeting supplier performance standards. Suppliers are faced with the challenge of SMEs failing to meet supplier performance standards because they rely on these providers of products and services, mainly SMEs, for their operations and to ultimately achieve their mandate. The researchers were able to establish the main factors contributing to SME failure in meeting supplier performance standards. These are as follows: unclear specifications and terms of references from suppliers; insufficient information provided to SME suppliers to ensure understanding of requirements; insufficient feedback and support; no support of SME suppliers based on their Black Economic Empowerment (BEE) status; limited or no use of business support programs by SME suppliers; and external factors such as access to finance, changes in the economy, and location.
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Li, Qiuzheng, Zuopeng (Justin) Zhang, Wei Rao, Wenwen Xu, and Lijia Jiang. "Green Investment Decisions in Supply Chains: A Game Model with Complete Information." Information 10, no. 6 (May 30, 2019): 185. http://dx.doi.org/10.3390/info10060185.
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Prior literature on a two-level supply chain has mainly focused on the game between one manufacturer and one supplier. Exploring group game behavior in a green supply chain (GSC), our research develops and studies a sequential GSC game model consisting of a single manufacturer and three suppliers based on the characteristics of the textile and apparel industry clusters. In our GSC model, the manufacturer is the leader of the supply chain and the suppliers are either homogeneous or complementary. Through equilibrium analysis, we identify critical conditions that influence the behavior of the manufacturer and suppliers to improve the green investment in the supply chain. Our study provides a theoretical basis and a decision-making reference for promoting the cooperation in GSCs and improving the performance of the government’s environmental policies.
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Sepadyati, Nova. "An Exploration of Risks Involved in Managing Supplier Portfolio in Multinational Companies Operating in Indonesia." Jurnal Teknik Industri 21, no. 2 (December 16, 2019): 79–90. http://dx.doi.org/10.9744/jti.21.2.79-90.
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Purpose -- The purpose of this qualitative study is to find out how companies manage their relationship with different suppliers to ensure their performance. The aim of the research is to understand how supplier portfolio affects companies’ decision both in selecting and managing the relationship with their suppliers.Design/methodology/approach -- A case study approach is employed to undertake the research, where data collected from semi-structure interviews and companies’ reports.Findings -- Presents indications from a study of three MNCs in FMCG sector in Indonesia regarding their practices in managing risks involved in supplier portfolio. Supplier evaluation criteria still limited on operational criteria, and supplier selection is influenced by politics and buyer’s previous experience. Key risks perceived by companies mainly regarding unperformed suppliers as expected and supplier’s opportunistic behavior, and unstable economic/political condition. Using portfolio model, current relationship with their suppliers is mapped. Most of the companies have not aligned the type of their relationship with the appropriate type of contract and performance measurement. Moreover, a formal supplier rating has not found in all companies, let alone supplier development initiativesResearch limitations -- There are several limitations of the research approach including researcher’s personal bias, limited access to companies and time constraints.Practical implications -- The research findings highlight the implications of applying relationship portfolio model in a practical setting. As well as identifying the key risks in the relationship, the research highlights strategies such as periodic bidding, gaining updated information about suppliers, and setting median price.Originality -- There have not been any studies regarding risk management in a buyer-supplier relationship in MNCs from developed countries operating in emerging country, particularly in Indonesia. The findings have given the first explanation of what companies perceived as key risks in managing their supplier portfolio in the specific context.
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Qian Li, Zi, Hai Chen Tan, Chimay Anumba, and Fah Choy Chia. "Development of a web-based system for managing suppliers’ performance and knowledge sharing in construction project." Built Environment Project and Asset Management 7, no. 2 (May 11, 2017): 117–29. http://dx.doi.org/10.1108/bepam-10-2015-0061.
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Purpose The purpose of this paper is to introduce a web-based system that provides an efficient means for managing suppliers’ performance which also facilitates the leveraging of suppliers’ knowledge for the benefit of the on-going projects. Design/methodology/approach Case study approach is adopted. In total, 12 semi-structured interviews are conducted with Malaysia-based public listed construction companies to study their current practice and the requirements for the development of an information and communication technology (ICT) aided system for the purpose. Subsequently, a web-based system for managing suppliers’ performance is developed using ASP.net and MSSQL database. Findings Most of the case study companies are found to have low levels of ICT adoption and still resort to handling the majority of the tasks involved in the selection and management of suppliers’ performance manually. An ICT-based system that can improve the recording of important information about the suppliers, provide a function for supplier selection and facilitate the capture of useful reusable knowledge of the suppliers is needed. Originality/value The paper has shown empirically that a web-based suppliers’ performance management system eases the supplier selection process and the monitoring of suppliers’ performance. In addition, it demonstrates how such systems can be designed to capture and facilitate the leveraging of suppliers’ knowledge, and how suppliers’ knowledge contribution can be recognised as part of their performance. The system adopts a novel two-way communication model which provides the suppliers the access to their own performance records to identify room for improvements.
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Kart, Firat, Louise E. Moser, and P. M. Melliar-Smith. "An Automated Supply Chain Management System and Its Performance Evaluation." International Journal of Information Systems and Supply Chain Management 3, no. 2 (April 2010): 84–107. http://dx.doi.org/10.4018/jisscm.2010040105.
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The MIDAS system is an automated supply chain management system that enables customers, manufacturers, and suppliers to cooperate over the Internet. MIDAS aims to achieve high customer satisfaction by supporting the build-to-order customization model and to reduce inventory carrying costs and logistics administration costs at the manufacturer by supporting the just-in-time manufacturing model. It allows a manufacturer to choose from the MIDAS Registry, suppliers of components, and negotiate based on the prices, availability, and delivery times of those components. The manufacturer can use one of several strategies to aggregate customers’ orders before processing them, and one of several strategies to accumulate suppliers’ quotes before deciding on a particular supplier. The paper presents an evaluation of these strategies in terms of the customer’s satisfaction, as measured by the customer response time, and the manufacturer’s gain, as measured by the number of orders aggregated or the best price ratio.
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Kalkanci, Basak, and Erica L. Plambeck. "Managing Supplier Social and Environmental Impacts with Voluntary Versus Mandatory Disclosure to Investors." Management Science 66, no. 8 (August 2020): 3311–28. http://dx.doi.org/10.1287/mnsc.2019.3382.
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A buying firm might in the future incur costs associated with a supplier’s carbon dioxide emissions, safety violations, or other social or environmental impacts. Learning about a supplier’s impacts requires costly effort, but it is necessary (and sometimes sufficient) to reduce those impacts. The capital market valuation of a buying firm reflects investors’ estimate of future costs associated with a supplier’s impacts, as well as any costs that the buying firm incurs in order to learn about and reduce a supplier’s impacts. This paper analyzes a game theoretic model in which a manager—with the objective of maximizing the capital market valuation of the buying firm—decides whether to learn about a supplier’s impacts, how much cost to incur to reduce the supplier’s impacts, and whether to disclose the supplier’s impacts to investors. The investors have rational expectations (e.g., that a manager might withhold bad news about the supplier’s impacts) and value the buying firm accordingly. The paper considers a mandate to disclose information learned about a supplier’s impacts. The paper shows that the disclosure mandate deters learning and thus, under plausible conditions, results in higher expected impacts. The disclosure mandate can result in lower expected impacts only if buying firms face moderately high future costs associated with suppliers’ impacts. In contrast, a disclosure mandate always increases a buying firm’s expected discounted profit and capital market valuation. A disclosure mandate can induce cooperation among buying firms with a shared supplier, yet result in higher expected impacts by the supplier. When a buying firm has alternative suppliers, the disclosure mandate favors commitment to a supplier to facilitate learning about that supplier’s impacts (instead of searching for a lower-impact supplier). This paper was accepted by Serguei Netessine, operations management.
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Shen, Mengru, Xiaoran Pang, Tong Chen, Lei Tang, and Hui Wan. "Research on Power Enterprise Supplier Management System Based on Supplier Deep Portrait." E3S Web of Conferences 257 (2021): 02007. http://dx.doi.org/10.1051/e3sconf/202125702007.
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In current supplier management business status of power enterprises, exists many common pain points, such as weak supplier data management, weak risk management awareness. With the intention of solving these problems, this research proposes a deep portrait system of suppliers of power enterprises by constructing full information database of suppliers, establishing a comprehensive evaluation index system of suppliers, and building a supplier label library. With the application of this system, this paper designs the business mechanism optimization scheme of the whole life cycle auxiliary management, which includes supplier qualification and performance verification, professional performance evaluation, market performance insight and risk control. This system proposed is of great significance to improve the lean level and informatization process of supplier management in power enterprises.
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Daghfous, Abdelkader, Omar Belkhodja, and Norita Ahmad. "Understanding and managing knowledge transfer for customers in IT adoption." Information Technology & People 31, no. 2 (April 3, 2018): 428–54. http://dx.doi.org/10.1108/itp-10-2016-0222.
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Purpose The purpose of this paper is to advance information technology (IT) adoption research and practice by investigating the process of knowledge transfer (KT) undertaken by suppliers of IT innovations. The authors expound the intricacies of formal and informal mechanisms of the KT initiative that aims at augmenting the absorptive capacity (ACAP) of potential IT adopters with the objective of increasing the likelihood of adoption of new IT products or services. Design/methodology/approach The authors draw on case studies of ten IT suppliers to build on the limited research on KT for customers in IT adoption. The authors focus on the for customer type of KT from the standpoint of the IT supplier firm. Findings The authors’ results show that complexity of the IT product or service increases the reliance on formal and systematic KT initiatives. This paper also shows that there is a required minimum threshold level of initial customers’ ACAP in order for the KT initiative to be worthwhile for the supplier, especially for those offering complex IT products and services. However, IT suppliers were found to limit their reliance on KT when they believed that customers that became too knowledgeable might threaten the innovation’s diffusion. Research limitations/implications Since the authors’ case firms represented innovation suppliers, future studies should investigate customer-supplier dyads to explore and integrate the customer’s perspective in the analysis of the KT process. To this end, longitudinal studies would also provide immense insights into the KT process and how it evolves over time. Originality/value The main contribution of this paper consists of illuminating the workings of KT initiatives aimed at existing and potential customers from the standpoint of the IT innovation supplier. By focusing on the for customers aspect of KT, this paper advances the authors’ understanding of why and how IT suppliers should resort to formal vs informal KT mechanisms. The authors’ proposed framework also integrates and shows the roles of customers’ ACAP, complexity of the IT innovation, and tacitness of the knowledge transferred to the customers.
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Koh, Christine, Soon Ang, and Detmar W. Straub. "IT Outsourcing Success: A Psychological Contract Perspective." Information Systems Research 15, no. 4 (December 2004): 356–73. http://dx.doi.org/10.1287/isre.1040.0035.
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Information technology (IT) outsourcing success requires careful management of customer-supplier relationships. However, there are few published studies on the ongoing relationships, and most of these adopt a customer perspective, de-emphasizing suppliers. In this study, we look at both customer and supplier perspectives, by means of the psychological contract of customer and supplier project managers. We apply the concept of psychological contract to perceived mutual obligations, and to how such fulfillment of obligations can predict success. Our research questions are (1) What are the critical customer-supplier obligations in an IT outsourcing relationship? and (2) What is the impact of fulfilling these obligations on success? We use a sequential, qualitative-quantitative approach to develop and test our model. In the qualitative study, we probe the nature of customer-supplier obligations using in-depth interviews. Content analysis of interview transcripts show that both customers and suppliers identify six obligations that are critical to success. Customers perceive supplier obligations to be accurate project scoping, clear authority structures, taking charge, effective human capital management, effective knowledge transfer, and effective interorganizational teams. Suppliers perceive customer obligations as clear specifications, prompt payment, close project monitoring, dedicated project staffing, knowledge sharing, and project ownership. In the second quantitative study, we assess the impact of fulfilling these obligations on success through a field study of 370 managers. Results show that fulfilled obligations predict success over and above the effects of contract type, duration, and size.
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Huang, Xiao Rong, Shun Sheng Guo, and Xiao Bing Yu. "Supplier Evaluation Based on Mobile Agent and Information Credibility." Advanced Materials Research 97-101 (March 2010): 3587–92. http://dx.doi.org/10.4028/www.scientific.net/amr.97-101.3587.
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Supplier evaluation is the most vital action of supplier selection. Supplier evaluation data is divided into two kinds: the qualitative and the quantitative. In this study, it proposes through using mobile agent to obtain quantitative data from suppliers and expert rating methods to get qualitative data. To deal with the inconsistency of time period about getting these two types data, a new method is proposed to process the qualitative data by the establishment of information credibility about evaluation data. The obtained results show that the proposed method is well suited for supplier evaluation to shorten the evaluation cycle and enhance the timeliness.