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Based on a systematic review of SCF literature and the information processing theory, this paper builds an integrated conceptual framework to illustrate how SCF providers deal with uncertainties, develop capabilities and further achieve whole financial supply chain (SC) integration. It shows that uncertainties faced by SCF providers (including SCF task characteristics, SCF task environment and SCF task independence) delineate the information processing requirements. To meet these requirements, SCF providers could improve information processing capacity by enabling some mechanisms (i.e., organisation structure design, coordination and control, and information technology). The fit between SCF providers’ information processing requirements and capacity could further improve SCF capability, which would help to achieve integration of the whole financial SC. Building on this framework, seven future research directions are provided.

The COVID‐19 pandemic has disrupted global supply chains and exposed weak links in the chains far beyond what most people have witnessed in their living memory. The scale of disruption affects every nation and industry, and the sudden and dramatic changes in demand and supply that have occurred during the pandemic crisis clearly differentiate its impact from other crises. Using the dynamic capabilities view, we studied alliance management capability (AMC) and artificial intelligence (AI) driven supply chain analytics capability (AI-SCAC) as dynamic capabilities, under the moderating effect of environmental dynamism. We tested our four research hypotheses using survey data collected from the Indian auto components manufacturing industry. For data analysis we used Warp PLS 7.0 (a variance-based structural equation modelling tool). We found that alliance management capability under the mediating effect of artificial intelligence-powered supply chain analytics capability enhances the operational and financial performance of the organization. Moreover, we also observed that the alliance management capability has a significant effect on artificial intelligence-powered supply chain analytics capability under the moderating effect of environmental dynamism. The results of our study provide a nuanced understanding of the dynamic capabilities and the relational view of organization. Finally, we noted the limitations of our study and provide numerous research directions that may help answer some of the questions that arise from our study.

In recent years, there has been a proliferation of interest in resilience in the supply chain field. Even though literature has acknowledged the antecedents of resilient supply chains, such as supply chain visibility, cooperation, and information sharing, their confluence in creating resilient supply chains where other behavioural issues are prevailing (i.e. trust and behavioural uncertainty) has not been studied. To address this gap, we conceptualized a theoretical framework firmly grounded in the resource based view (RBV) and the relational view that is tested for 250 manufacturing firms using hierarchical moderated regression analysis. The study offers a nuanced understanding of supply chain resilience and implications of supply chain visibility, cooperation, trust and behavioural uncertainty. Implications and suggestions for further research are provided.

Purpose The environmental management of supply chains has become increasingly relevant in the recent era. Extant research proposes two main forms of mechanisms – collaboration and evaluation – for environmental supply chain management. Despite the wide use of these mechanisms and the empirical insight into the fact that they could be adopted simultaneously, it is unknown if, and, at which levels, environmental collaboration (EC) and environmental evaluation (EE) could be complementary or substitutionary in nature. Therefore, the purpose of this paper is to gain a clear understanding into the plural forms of these mechanisms. Design/methodology/approach The transaction cost economics and relational exchange theory are used to ground the research hypotheses. The results are based on survey data collected from 145 US manufacturing firms. The authors employ polynomial regression as well as the response surface methodology to test the proposed hypotheses. Findings The results suggest that EC and EE can have an intriguing effect depending on the outcome measure. Specifically, the authors find the effects in the economic and the environmental/social domains to be significantly different. Originality/value While scholars acknowledge that collaboration and evaluation could act as complements, extant research does not propose and test models that specifically capture complementary and substitutionary nature of these mechanisms. Accordingly, the study makes the first attempt to empirically test for the effects of the simultaneous pursuit of EC and EE.

Buying firms are increasingly confronted with compliance scandals in their upstream supply chain, for which they are held accountable by their stakeholders. Purely symbolic practices, typically referred to as greenwashing, as well as substantive practices, such as green supplier championing, are thus receiving widespread attention in business practices and academia alike. In this study, we reveal the impact of two opposing leadership dimensions following the concepts of ethical and transactional leadership as antecedents for green supplier championing and greenwashing. We particularly address whether these antecedents have a complementary or a counterproductive effect on green supplier championing and greenwashing. Furthermore, we investigate the complementary impact of incentives and the two leadership styles on achieving sustainability behavior. The resulting model is tested using a path analysis based on a data set of 118 firms located in Germany. We find support for the positive impact of ethical leadership on green supplier championing but also a non-significant negative impact on greenwashing. Greenwashing is significantly impacted by leadership styles reflecting obedience to authority, and further moderated by ethical incentives. Interestingly, ethical incentives do not moderate the impact of ethical leadership on green supplier championing. Finally, we discuss implications for theory and business practice.

This study explores the impact of supply chain collaboration on eco-innovations in the context of 220 Chinese manufacturing supplier firms involved in global supply chain networks. It investigates how supplier and customer collaborations help firms to enhance product eco-innovations, and/or process eco-innovations, and how the institutional context (i.e., regulatory, market, and community pressures) influences these relationships. The structural equation modeling approach is used to analyze the data captured from medium and large manufacturing enterprises in three major sectors: automotive, electronics, and textiles. The results show that community pressure has a positive effect on supplier collaboration, which further leads to enhanced process eco-innovation. On the other hand, the findings indicate that while market pressure enhances customer collaboration, this does not reinforce product eco-innovation. Contrary to our expectation, regulatory pressures do not impact supplier or customer collaboration for innovation. Overall, different institutional factors indicate divergent effects on supply chain collaboration and product/process eco-innovation. The importance of normative pressures, such as those applied through the local community and interest groups, for eco-innovations in production processes is further discussed as a typical feature of the institutional environment of Chinese supplier firms. © 2020 ERP Environment and John Wiley & Sons Ltd

Studying near-miss events – occasions when a company comes close to being negatively impacted – can help identify systemic issues and thereby enhance organizational resilience. However, what is not known is how firms learn from near-miss events, and how their learning is translated into response strategies in the face of supply chain disruptions. In this study, we address the following research questions - How does exposure to near-misses reflect in organizational response strategies to supply chain disruptions? Using single and double-loop learning from organizational learning theory, we examine how firms implement response strategies based on near-miss events. In addition, we examine the moderating effects of institutional pressures (from regulatory bodies and industry associations) into the model. We test the hypotheses using responses from 448 organizations in Germany, Switzerland and Sweden. Our results indicate that exposure to near-miss events leads firms to strengthen their focus on procedural response strategies and to lower their focus on flexible response strategies. Industry pressure furthers the effects of near-miss exposure in applying procedural strategies and limiting the application of flexible strategies. Regulatory pressure furthers the effects of near-miss exposure in limiting the application of flexible strategies. This study extends the body of supply chain disruption management to the concept of near-misses and explains how institutional context play a major role in learning of supply chain disruption responses.

This paper examines how organizations connect internal and external processes to enable an agile response to continuous change. Drawing on life cycle theory, a hypothetical model is developed regarding the independent and combinative effects of internal and external process connectivity on supply chain agility and the moderating effect of product and supply complexity. The model is tested using hierarchical regression analysis based on survey data from 143 managers at German manufacturing firms. Our findings suggest that internal and external process connectivity have a positive effect on supply chain agility independently and collectively, with complexity having a moderating effect in particular instances. The findings build on prior research regarding the process-related enablers of supply chain agility; research that has yet to clearly differentiate between internal and external processes or uses the terms interchangeably. The theoretical contribution of the paper rests on its extension of life cycle theory to the supply chain.

The competitive advantage purchasing provides has been debated for decades. For a novel perspective we derive a theoretical framework grounded in the knowledge-based view in order to examine how purchasing knowledge and purchasing integration impact cost and strategic performance. The derived hypotheses are tested based on extensive secondary data from a large European multinational utility company. The 179 studied ‘purchasing-internal client relationships’ contain real contracted savings data and internal client ratings of purchasing knowledge, purchasing integration and strategic purchasing performance. We show that purchasing knowledge is a major antecedent for both savings and strategic purchasing performance. This effect is further amplified by purchasing integration. With this study, we extend the understanding of the purchasing knowledge–performance link. We conclude that purchasing knowledge becomes particularly valuable when combined with other functions' processes through purchasing integration. This causal chain is also supported through general knowledge-based view theory. Moreover, we provide numerical evidence of the value of knowledge creation and integration processes to purchasing professionals in our managerial implications based on results obtained from actual purchasing savings data.

Purpose The purpose of this paper is to present a systematic review of the literature concerning the negative aspects of global sourcing (GS). It complements prior research on the positive aspects of GS, advances theoretical understanding of the phenomenon, and suggests an agenda for future research. Design/methodology/approach The sourcing, international business and supply chain management literature is systematically reviewed and findings from 83 previous studies are investigated. Findings Research on the downsides of GS has intensified over the last decade, but the related knowledge has been very fragmented and oftentimes latent. This literature review extracts knowledge around 28 antecedents to GS downsides from the literature and illustrates their potential harmful effects along operational and financial performance dimensions. Findings suggest that future research should focus more on the effects of decision-making biases and the effects of firm-internal barriers. The dynamic and hidden costs of GS should also be scrutinized in more depth. Originality/value This study is the first systematic literature review of the downsides of GS. It facilitates a more balanced and nuanced picture of GS to help managers make better-informed GS decisions. The review also offers a holistic research framework that opens up avenues for much-needed research into the “dark side” of GS.

New product development (NPD) speed is becoming an important weapon by which firms can gain market share in today's competitive and complex market environments, where consumer preferences change rapidly. Drawing on the information technology (IT)-enabled organizational capabilities perspective, this study proposes that IT ambidexterity—the simultaneous pursuit of IT exploitation and IT exploration, which has become imperative in modern industry to sustain the business value of IT—enhances NPD speed by facilitating operational agility. We examine the proposed relationship of IT ambidexterity with the potential moderating role of market complexity in a sample composed of 292 British high-tech firms. Our findings, based on a moderated-mediation analysis, suggest that the impact of IT ambidexterity on NPD speed is mediated by operational agility and that the mediation effect is especially pronounced in complex markets. The resulting theoretical arguments and empirical evidence yield further insights into the strategic impacts of IT.

The purpose of this paper is to extend operations management theory concerning efficiency and flexibility trade-offs to the emergent phenomenon of redistributed manufacturing (RDM). The study adopts a multiple case design including five small and five large pharmaceutical firms. By synthesising the research findings and extant literature we propose organisations can gain the efficiency benefits of centralised manufacturing and the flexibility advantages of RDM by building an ambidexterity capability. To build such a capability, large firms can structurally partition their manufacturing and supply management functions, with one sub-unit managing centralised production and the other RDM. Small and medium enterprises can build an ambidexterity capability by creating the right organisational context, one in which a multi-skilled workforce switches between efficient and flexible tasks. This paper contributes to theory by explaining the emergence of RDM using an organisational ambidexterity lens, laying the groundwork for new theory development in the field. The paper contributes to managerial thinking by providing practical examples of how managers can build an ambidexterity capability to realise flexibility and efficiency advantages.

PurposeThis paper aims to examine how supply chain integration capabilities inform green design strategy adoption and whether green design strategy can lead to higher levels of environmental and economic performance.Design/methodology/approachA survey-based approach was used to empirically test the study hypotheses. Based on 216 usable responses collected from automakers around the globe, the authors compared the results from two different data groups (i.e. Chinese firms vs Western firms) using the structural equation modeling approach.FindingsIn the Chinese context, both internal and external supply chain integration capabilities are significantly related to the successful adoption of a green design strategy. However, the relationships are not significant in Western context. Green design is found to positively impact environmental performance in both contexts; however, no significant relationship is revealed between green design and economic performance in either context. Finally, environmental performance was found to have a significant and positive impact on economic performance in both contexts.Research limitations/implicationsThe cross-sectional survey design that was focused only on the auto industry may affect the inferences of causality and generalizability of this study.Practical implicationsManagers should understand their specific organizational context first, and then strategically develop their external and internal supply chain integration capabilities to maximize their green design efforts for improved environmental performance. Companies can be certain that the more gains made in environmental management, the more economic returns can be expected.Originality/valueThis research contributes to the existing resource-based view literature by linking supply chain integration capabilities to green design strategy adoption in different organizational contexts. It also sheds a light on the association between green design and different performance dimensions and adds value to the current debate on the association between environmental performance and economic performance.

In light of the growing complexity of globally dispersed, multi‐tier supply chains, the involvement of first‐tier suppliers has become instrumental in the quest for achieving sustainability compliance along the supply chain. We describe this new responsibility as the double agency role. We employ agency and institutional theory arguments to explore the conditions under which first‐tier suppliers will act as agents who fulfill the lead firm's sustainability requirements (i.e., the primary agency role) and implement these requirements in their suppliers' operations (i.e., the secondary agency role). The findings from three in‐depth case studies embedded in different institutional contexts highlight the importance for lead firms to incentivize each agency role separately and to reduce information asymmetries, particularly at the second‐tier level. In addition, our inductive analysis reveals several contingency factors that influence the coupling of the secondary agency role of the first‐tier supplier. These factors include resource availability at the first‐tier supplier's firm, the lead firm's focus on the triple‐bottom‐line dimension (i.e., environmental or social), the lead firm's use of power, and the lead firm's internal alignment of the sustainability and purchasing function. We integrate our findings in a conceptual framework that advances the research agenda on multi‐tier sustainable supply chains, and we subsequently outline the practical implications of assigning the double agency role to first tier suppliers.

Many researchers believe the tremendous industrial development over the past two centuries is unsustainable because it has led to unintended ecological deterioration. Despite the ever-growing attention sustainable supply-chain management (SSCM) has received, most SSCM research and models look at the consequences, rather than the antecedents or motives of such responsible practices. The few studies that explore corporate motives have remained largely qualitative, and large-scale empirical analyses are scarce. Drawing on multiple theories and combining supply-chain and business ethics literature, we purport that instrumental, relational, and moral motives are behind a firm’s engagement in SSCM practices. Specifically, we examine the links between corporate motives, SSCM practices, and firm performance. Using a sample of 259 supply-chain firms in Germany, we empirically test five hypothesized relationships. Our results reveal that relational and moral motives are key drivers, and that firms exhibiting high levels of moral obligations tend to outperform those primarily driven by amoral considerations. Findings of this study contribute to multiple literatures espousing sustainability management and can help policy makers, stakeholder groups, and scholars develop more robust strategies for encouraging firms to practice SSCM.

PurposeThe purpose of this paper is to examine when and how organizations create agility, adaptability, and alignment as distinct supply chain properties to gain sustainable competitive advantage.Design/methodology/approachThe current study utilizes the resource-based view (RBV) under the moderating effect of top management commitment (TMC). To test the research hypotheses, the authors gathered 351 usable responses using a pre-tested questionnaire.FindingsThe statistical analyses suggest that information sharing and supply chain connectivity resources influence supply chain visibility capability, which, under the moderating effect of TMC, enhance supply chain agility, adaptability, and alignment (SCAAA).Originality/valueThe contribution lies in: providing a holistic study of the antecedents of agility, adaptability, and alignment; investigating the moderating role of TMC on SCAAA; following the RBV and addressing calls for investigating the role of resources in supply chain management, and for empirical studies with implications for supply chain design.

This study considers decision making beyond a dyadic buyer-supplier context to the network context. Decisions made by firms are shaped by behavioral norms within the supply network as perceived by the decision makers. Firms can perceive themselves to be part of a collaborative regime or one in which the potential for non-cooperation is high. Further, the ability to put sanctions on non-cooperating firms could shape the overall behavioral patterns in the network. To gain further insights into these aspects and their interactive effects on firm behavior, our study investigates decision-making in supply network by means of behavioral experiments. By organizing practicing managers in a supply network, the study investigates the role of structural embeddedness, incentive structure, and sanctioning mechanisms on the level of collaboration. The results of this study confirm that while sanctions are detrimental for collaborative behavior in a supply network, they play an important role when the underlying norms of governance of such a network are perturbed. The results show that structural embeddedness provides a context that aids adaptive collaborative behavior by firms that are part of the supply network. Once the incentive structure is altered such that there is a higher payoff from defection, the adaptive collaborative behavior is replaced by a behavior in which firms try to maximize their returns and forego collaborative decision-making behavior.

As recently stakeholders complain about the use of conflict minerals in consumer products that are often invisible to them in final products, firms across industries implement conflict mineral management practices. Conflict minerals are those, whose systemic exploitation and trade contribute to human right violations in the country of extraction and surrounding areas. Particularly, supply chain managers in the Western world are challenged taking reasonable steps to identify and prevent risks associated with these resources due to the globally dispersed nature of supply chains and the opacity of the origin of commodities. Supply chain due diligence (SCDD) represents a holistic concept to proactively manage supply chains reducing the likelihood of the use of conflict minerals effectively. Based on an exploratory study with 27 semi-structured interviews within five European industries, we provide insights into patterns of implementation, key motivational factors, barriers and enablers, and impacts of SCDD in mineral supply chains. Our results contribute to both theory and practice as we provide first insights to SCDD practices and make recommendations for an industry-wide implementation of SCDD. Altogether, this study provides the basis for future theory testing research in the context of SCDD and conflict mineral management.

Buying firms must pay increased attention to supply chain sustainability issues, as stakeholders might hold them responsible for non-sustainable supply chain activities. Frequently, sustainability problems occur upstream at the sub-supplier level. Building on the literature on multi-tier supply chains (MSCs), we investigated the sustainability management strategies of buying firms in the food, apparel, packaging, and consumer electronics with regard to second-tier suppliers and beyond. In particular, we analyzed seven cases of global MSCs and found four different characteristic MSC types-open, closed, third party, and "don't bother". We identified three main factors-supply chain complexity, the sustainability management capabilities of the first-tier supplier, and the type of sustainability in focus (i.e., environmental or social sustainability)-that determine when and how buying firms actually extend their sustainability strategies to their sub-suppliers.

Supply chain finance (SCF) can improve supply chain performance by facilitating longer payment terms for buyers and better access to financing for suppliers. In spite of these clear benefits, there is empirical evidence for some hesitation and resistance to SCF adoption, manifesting in an often substantial time lag between a buyer's introduction of SCF and its adoption by all targeted suppliers. Observed adoption processes often resemble the s-shaped Bass-curve suggesting that successful early adoptions support adoption decisions by other suppliers. Based on these observations, we consider supplier SCF adoption decisions within a diffusion model, to obtain insights regarding a buyer's optimal SCF introduction decisions in terms of timing and payment terms. We find that initial payment terms and procurement volume strongly affect the optimal timing of SCF introduction and optimal payment term extensions. The degree to which the buyer can influence suppliers in their adoption decisions affects the optimal introduction timing, but not optimal payment terms. Interestingly, our results suggest that, in spite of the clear benefits, many buyers might be well-advised to postpone their SCF implementations.

Purpose Supply chains evolve and change in size, shape and configuration, and in how they are coordinated, controlled and managed. Some supply chains are mature and relatively unchanging. Some are subject to significant change. New supply chains may emerge and evolve for a variety of reasons. The purpose of this paper is to examine the nature of supply chain evolution and address the question “What makes a supply chain like it is?” Design/methodology/approach The paper analyses and develops key aspects, concepts and principal themes concerning the emergence and evolution of supply chains over their lifecycle. Findings The paper defines the supply chain lifecycle and identifies six factors that interact and may affect a supply chain over its lifecycle – technology and innovation, economics, markets and competition, policy and regulation, procurement and sourcing, supply chain strategies and re-engineering. A number of emergent themes and propositions on factors affecting a supply chain’s characteristics over its lifecycle are presented. The paper argues that a new science is needed to investigate and understand the supply chain lifecycle. Practical implications Supply chains are critical for the world economy and essential for modern life. Understanding the supply chain lifecycle and how supply chains evolve provides new perspectives for contemporary supply chain design and management. Originality/value The paper presents detailed analysis, critique and reflections from leading researchers on emerging, evolving and mature supply chains.

The increasing importance of sustainable behaviour in business has enhanced its impact on supply chain management. Firms foster sustainability in their supplier base in reaction to growing sustainability requirements in various ways, including sustainable supplier co-operation. Knowledge about the effects of sustainable supplier co-operation on firm performance is limited; therefore, this study tests antecedents and implications of sustainable supplier co-operation according to the triple bottom line. A survey of Western European firms reveals that sustainable supplier co-operation has generally positive effects on firm performance across social, green and economic dimensions. However, only green practices have positive significant effects on economic performance, not social practices (e.g., child labour rules). In contrast to practitioner perceptions, investments in sustainability, for example through sustainable supplier co-operation does indeed result in sufficient returns.