Junjun Liu, Yuan Chen and Qinghua Zhu
This study aims to develop a comprehensive green supplier governance (GSG) concept and explore whether specific GSG approaches (green supplier assessment, green supplier…
Abstract
Purpose
This study aims to develop a comprehensive green supplier governance (GSG) concept and explore whether specific GSG approaches (green supplier assessment, green supplier assistance and green strategic partnership with suppliers (GSPS)) bring environmental and economic performance. Moreover, this study aims to reveal a synergistic effect of three GSG approaches on performance improvement.
Design/methodology/approach
Using data collected from 200 Chinese manufacturing firms, regression analysis was employed to reveal the relationship between specific GSG approaches and firm performance. Further, cluster analysis was used to identify groupings of firms regarding implementation levels of three GSG approaches and compare the performance of the firm groups.
Findings
Green supplier assessment (GSA) can bring environmental performance, but GSA is not associated with economic performance. Green supplier assistance is positively associated with economic performance, while green supplier assistance cannot improve environmental performance. Only GSPS leads to improvement for both environmental and economic performance. Furthermore, firms with high implementation levels of GSA and GSPS (whether with high or low implementation levels of GSAS) can achieve the best environmental and financial performance.
Practical implications
This study provides implications for firms to more strategically and comprehensively implement GSG approaches, which can be more effective in bringing environmental and economic performance.
Originality/value
The authors' study extends the GSG concept with two approaches by subdividing the collaborative approach into green supplier assistance and GSPS based on the collaboration levels. This study also sheds light on how to improve firm performance by different GSG approaches and reveals a synergistic effect of three GSG approaches on performance.
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Ulla Normann, Chris Ellegaard and Morten Munkgaard Møller
The purpose of this paper is two-fold: first, it attempts to determine whether suppliers perceive distributive justice (equity) when their key customers implement sustainable…
Abstract
Purpose
The purpose of this paper is two-fold: first, it attempts to determine whether suppliers perceive distributive justice (equity) when their key customers implement sustainable sourcing initiatives based on assessment governance, composed of codes of conduct and auditing; second, it generates insights into specific costs, rewards, and investments and how these together result in perceived equity.
Design/methodology/approach
A qualitative research design was adopted for this study. A total of 30 executives from textile manufacturing suppliers in China, India, and Bangladesh were interviewed to determine their perceptions of distributive justice in relation to their key customers’ sustainable sourcing initiatives.
Findings
Most of the interviewees perceived that their customers’ assessment of governance initiatives was unfair. Four types of suppliers are identified based on their varying perceptions of the equity equation.
Research limitations/implications
The findings introduce distributive justice as an important mediating variable between assessment-based governance and compliance. They also provide insights into the various types of perceived costs, rewards, and investments related to sustainable sourcing, and how they form varieties of the equity equation. The findings rely on a limited number of respondents and should, therefore, be researched further.
Practical implications
Assessment based on codes of conduct and auditing is the most prevalent sustainable sourcing governance approach, but suppliers may perceive this as an injustice leading to non-compliance. Buying companies are therefore advised to consider supplier perceptions of costs, rewards, and investments and adapt their sustainable sourcing initiatives accordingly.
Social implications
Increased consideration of distributive justice in sustainable sourcing should increase the likelihood of supplier compliance, improving conditions for employees in global textile plants.
Originality/value
Extant research has studied the connection between assessment-based sustainability governance and compliance or overall performance. This paper contributes by suggesting that distributive justice might be a mediating variable helping to explain this connection.
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The study’s purpose was to analyse the use of supplier codes of conduct as a supply chain governance tool and show that such codes can contribute to transparency in supply chain…
Abstract
Purpose
The study’s purpose was to analyse the use of supplier codes of conduct as a supply chain governance tool and show that such codes can contribute to transparency in supply chain networks by helping define objectives and promote environmental, social and governance (ESG) developments.
Design/methodology/approach
The study involved examining 67 publicly available and randomly selected supplier codes of conduct of manufacturing companies from the electronics, vehicle manufacturing, healthcare and food sectors.
Findings
Supplier codes of conduct reflect the increasing complexity of social and environmental requirements while maintaining the ethical standards. Reactions to new challenges can be identified in the content of the codes. Many codes expect active development by suppliers and the communication of expectations to lower-tier suppliers. For setting environmental objectives, standards are important; the most influential reference point for the social elements of codes is recommendations from international organisations, while for ethical instruments, it is national legislation. Codes and related information can thus be an instrument for promoting ESG objectives and governance-related transparency in well-defined supply chains and a part of legitimacy-building efforts associated with a wider group of stakeholders. Industry-level differences are identified.
Originality/value
Recent literature does little to explore the role of codes of conduct in increasing transparency in supply chain governance and legitimacy efforts. This study contributes by constructing a research framework that helps investigate whether corporate codes of conduct make the activities of supply chain stakeholders more transparent and by providing evidence that companies are actively communicating with a wide range of stakeholders.
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Jianhua Yang, Yuying Liu and Moustafa Mohamed Nazief Haggag Kotb Kholaif
The purpose of this paper is to examine the impact of two typical relationship management approaches (trust relationship with suppliers and reciprocity) on manufacturer resilience…
Abstract
Purpose
The purpose of this paper is to examine the impact of two typical relationship management approaches (trust relationship with suppliers and reciprocity) on manufacturer resilience in the context of the COVID-19 crisis. Moreover, this paper aims to deepen the understanding of environmental uncertainty's moderating effect on the association between the trust relationship with suppliers (TRS) and reciprocity.
Design/methodology/approach
Structural equation modeling has been used to test the hypotheses on 361 Chinese manufacturing firms' managers and independent directors during the COVID-19 crisis.
Findings
The results reveal that reciprocity positively enhances three dimensions of manufacturer resilience, namely, preparedness, responsiveness and recovery capability. Reciprocity positively mediates the relationships between TRS and preparedness, responsiveness and recovery capability. Moreover, environmental uncertainty moderates the association between TRS and reciprocity.
Practical implications
This study highlights the critical role of reciprocity, the relational governance approach, in enhancing manufacturer resilience in practice. This paper suggests that during emergencies such as the COVID-19 pandemic, managers should adopt trust and reciprocity in supplier relationship governance to strengthen the resilience of manufacturing companies and adapt effective strategies according to the environment.
Originality/value
This study is unique in developing new scales of manufacturer resilience through interviews and surveys with Chinese manufacturers and theoretical research. Based on the social capital theory and social exchange theory, this study shed light on the role of trust and reciprocity. It also bridges relational governance theory with the literature on manufacturing firm resilience literature to help manufacturers better understand the transdisciplinary links between relationship management and resilient operations in emergencies.
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Jesus Diego and Maria J. Montes-Sancho
This paper investigates the role of nexus supplier transparency, which involves the collective information disclosure to the public by second-tier nexus suppliers, as an…
Abstract
Purpose
This paper investigates the role of nexus supplier transparency, which involves the collective information disclosure to the public by second-tier nexus suppliers, as an alternative mechanism for mitigating buyer environmental, social and governance (ESG) risk exposure. We also examine buyer supply network accessibility as a moderating factor that facilitates collecting detailed information and undertaking corrective actions accordingly.
Design/methodology/approach
We collected a sample of 428 focal buyer firms and their supply networks up to third-tier suppliers. Data were obtained from Bloomberg and RepRisk databases. We identified critical nexus suppliers using data envelopment analysis (DEA) and tested hypotheses using regression analysis.
Findings
The results show that the benefits of nexus supplier transparency, such as reducing buyer ESG risk exposure, differ depending on the type of nexus supplier disclosing information and buyer supply network accessibility. Informational nexus supplier transparency was found to be beneficial. However, the results revealed the double-edged sword of monopolistic nexus supplier transparency, which benefits buyers with higher levels of accessibility but increases risk exposure for buyers with lower accessibility.
Originality/value
This study demonstrates that the transparency of critical second-tier suppliers mitigates buyer ESG risk exposure by providing information about lower tiers in the supply network. Challenging the notion of the focal buyer as the main orchestrator of supply chain initiatives, our alternative perspective opens a new avenue for risk management in multi-tier supply chains.
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Larissa Statsenko, Alex Gorod and Vernon Ireland
This paper aims to propose an empirically grounded governance framework based on complex adaptive systems (CAS) principles to facilitate formation of well-connected regional…
Abstract
Purpose
This paper aims to propose an empirically grounded governance framework based on complex adaptive systems (CAS) principles to facilitate formation of well-connected regional supply chains that foster economic development, adaptability and resilience of mining regions.
Design/methodology/approach
This study is an exploratory case study of the South Australian (SA) mining industry that includes 38 semi-structured interviews with the key stakeholders and structural analysis of the regional supply network (RSN).
Findings
Findings demonstrate the applicability of the CAS framework as a structured approach to the governance of the mining industry regional supply chains. In particular, the findings exemplify the relationship between RSN governance, its structure and interconnectivity and their combined impact on the adaptability and resilience of mining regions.
Research limitations/implications
The data set analysed in the current study is static. Longitudinal data would permit a deeper insight into the evolution of the RSN structure and connectivity. The validity of the proposed framework could be further strengthened by being applied to other industrial domains and geographical contexts.
Practical/implications
The proposed framework offers a novel insight for regional policy-makers striving to create an environment that facilitates the formation of well-integrated regional supply chains in mining regions through more focussed policy and strategies.
Originality/value
The proposed framework is one of the first attempts to offer a holistic structured approach to governance of the regional supply chains based on CAS principles. With the current transformative changes in the global mining industry, policy-makers and supply chain practitioners have an urgent need to embrace CAS and network paradigms to remain competitive in the twenty-first century.
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Chris Storey, Canan Kocabasoglu-Hillmer, Sinéad Roden and Ko de Ruyter
The complexity of supplier-partner networks in the information technology (IT) sector where large suppliers utilize thousands of authorized partners requires that organizations…
Abstract
Purpose
The complexity of supplier-partner networks in the information technology (IT) sector where large suppliers utilize thousands of authorized partners requires that organizations reconsider their approach to governing and managing the relationships involved. Traditional dyadic approaches to governance are likely to prove inadequate. The purpose of this paper is to investigate the relationship between network governance mechanisms and relationship performance. Specifically, the authors examine the contingent effect of certification of partners and the use of partner communities (as formal and informal mechanisms of network governance, respectively), on complex and embedded networks of relationships.
Design/methodology/approach
A model examining the effect of formal and informal network governance on the relationship between embeddedness (structural and relational) and relationship performance is developed. Data were collected from a sample of partners of leading IT suppliers in the UK and Ireland. Three-way interactions assess the contingent effect of certification and partner communities on the relationship between embeddedness and relational performance.
Findings
Results support the use of a combination of certification and partner communities to strengthen the link between network structure (structural embeddedness) and relational embeddedness, as well as relationship performance. Certification requires the sharing of explicit knowledge with partners whereas partner communities aid the creation and dissemination of more tacit, contextual knowledge. Furthermore, partner communities reinforce positive perceptions of fairness in suppliers’ network management practices, overcoming any perceptions of lock-in or coercive control that certification may suggest.
Practical implications
Certification, despite all its procedural and reputational benefits, damages partner relationships and needs to be supported by partner communities, which themselves show particularly strong benefits in enhancing network relationships.
Originality/value
Despite the emerging prevalence of certification and partner communities in business-to-business relationships, to date there is a paucity of research on their effects on partner relationships and performance. Organizations with an extensive network of similar partners may suffer network overload. This research shows that such organizations can manage their partner network more effectively through network governance mechanisms, thereby addressing the challenge of overload.
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Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some…
Abstract
Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some legal aspects concerning MNEs, cyberspace and e‐commerce as the means of expression of the digital economy. The whole effort of the author is focused on the examination of various aspects of MNEs and their impact upon globalisation and vice versa and how and if we are moving towards a global digital economy.
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Rana Salman Anwar, Rizwan Raheem Ahmed, Dalia Streimikiene, Justas Streimikis and David Zamek
This study focuses on the complex dynamics of food supply chain safety, safety governance and security in Pakistan’s food industry. By delving into the connections between hygiene…
Abstract
Purpose
This study focuses on the complex dynamics of food supply chain safety, safety governance and security in Pakistan’s food industry. By delving into the connections between hygiene practices, safety governance, customer perceptions, supplier attitudes and food safety outcomes, this study aims to shed light on the elements that shape food safety governance in the region.
Design/methodology/approach
An analysis was conducted using self-administered questionnaires, with data collected from 352 individuals recruited from different departments within Pakistan’s food supply chain businesses. Using STATA software, we calculated important variables’ direct and indirect effects on the scales taken from previous studies by applying structural equation modeling (SEM) and path analysis.
Findings
The analysis found significant relationships between safety governance, hygiene practices, consumer perceptions, supplier attitudes and food safety outcomes. Violations of hygiene standards considerably impacted food safety and security; the relationship between these violations and food safety results was mediated by consumer psychological capital. Furthermore, the correlation between cleanliness procedures and food safety results was observed to be moderated by supplier attitudes.
Research limitations/implications
Even though the study has dramatically improved our understanding of food safety governance, we must acknowledge its limitations and consider future research. Researchers may expand knowledge in this critical area and promote evidence-based policies and practices to improve food safety and security by addressing these constraints and exploring new directions. Cooperation across disciplines and sectors can create a more robust, reliable and sustainable food system. This approach will protect public health and improve communities worldwide.
Practical implications
The results have practical implications, as analysis found significant relationships between safety governance, hygiene practices, consumer perceptions, supplier attitudes and food safety outcomes. Violations of hygiene standards considerably impacted food safety and security; the relationship between these violations and food safety results was mediated by consumer psychological capital. Furthermore, the correlation between cleanliness procedures and food safety results was observed to be moderated by supplier attitudes.
Social implications
For policymakers, regulatory agencies, industry stakeholders and consumers, the findings emphasize the importance of strict hygiene standards, consumer trust and engagement and supply chain partner collaboration to ensure food system safety and security.
Originality/value
This study illuminates the intricate interactions that shape food safety governance in Pakistan’s food supply chain business. For policymakers, regulatory agencies, industry stakeholders and consumers, the findings emphasize the importance of strict hygiene standards, consumer trust and engagement and supply chain partner collaboration to ensure food system safety and security.