Vol. 49, No. 3
The Relationships between External Integration and Plant Improvement and Innovation Capabilities: The Moderation Effect of Product Clockspeed
Product "clockspeed", as represented by the rate of product changes, has important implications for supply chain design. The literature suggests that external integration with customers and suppliers is associated with increased improvement and innovation capabilities of the focal firm. However, the way product clockspeed affects these relationships has seldom been subjected to empirical investigation. This study investigates whether product clockspeed moderates the relationship between external integration and the improvement and/or innovation capabilities of manufacturing plants. Analysis of survey data collected from 238 manufacturing plants indicates a positive moderation effect of product clockspeed on the relationship between customer integration and plant improvement and innovation capabilities. However, product clockspeed does not have a significant moderation effect on the relationship between supplier integration and either of the two plant capabilities. This study provides theoretical and managerial insights into aligning external integration with plant capabilities under the contingency of product clockspeed.
David X. Peng, Ph.D., is an assistant professor in the Information and Operations Management Department of Mays Business School at Texas A&M University in College Station, Texas,
Rachna Shah, Ph.D., is an associate professor of operations and management science in the Carlson School of Management at the University of Minnesota in Minneapolis, Minnesota,
Roger G. Schroeder, Ph.D., is the Donaldson Chair of Operations Management, Emeritus, in the Carlson School of Management at the University of Minnesota in Minneapolis, Minnesota;
Anto Verghese, M.S., is a doctoral student in the Mays School of Business at Texas A&M University in College Station, Texas.
Cloud Computing in Support of Supply Chain Information System Infrastructure: Understanding When to Go to the Cloud
Previous research within the domain of classical diffusion theory indicates that characteristics perceived to be specific to a particular technological innovation, such as cloud computing, might provide a basis for explaining a firm's decision as to whether or not to adopt the innovation. Recent research suggests that there are other, more granular factors within the domain of innovation diffusion theory that influence the adoption of technological innovations. In this study, the circumstances that affect a firm's intention to adopt cloud computing technologies in support of its supply chain operations are investigated by considering tenets of classical diffusion theory as framed within the context of the information processing view. We posit that various aspects of an organization and its respective environment represent both information processing requirements and capacity, which influence the firm's desire to adopt certain information technology innovations. We conducted an empirical study using a survey method and regression analysis to examine our theoretical model. The results suggest that business process complexity, entrepreneurial culture, and the degree to which existing information systems embody compatibility and application functionality significantly affect a firm's propensity to adopt cloud computing technologies. The findings support our theoretical development and suggest complementarities between innovation diffusion theory and the information processing view. We encourage other scholars to refine our model in future supply chain innovation diffusion research. The findings of this study might also be used by industry professionals to aid in making more informed adoption decisions in regard to cloud computing technologies in support of the supply chain.
Yun Wu, M.S., is a doctoral student in the Department of Aviation and Supply Chain Management at the College of Business at Auburn University in Auburn, Alabama,
Casey G. Cegielski, Ph.D., is an associate professor of information systems management in the Department of Aviation and Supply Chain Management at the College of Business at Auburn University in Auburn, Alabama,
Benjamin T. Hazen, Ph.D., is an active-duty US Air Force maintenance officer;
Dianne J. Hall, Ph.D., is an associate professor of management and information systems in the Department of Aviation and Supply Chain Management at the College of Business at Auburn University in Auburn, Alabama.
Power Asymmetry, Adaptation and Collaboration in Dyadic Relationships Involving a Powerful Partner
Buyer-supplier relationships involve dyadic interactions, but there is a dearth of empirical dyadic analysis of these relationships. While relationships with a power balance between partners do exist, relationships typically occur in the context of power asymmetry. This study examines how perceptions of power use and prevailing relationships quality in dyadic relationships characterized by substantial power asymmetry affect behavioral and operational outcomes. Hierarchical regression is used to analyze data from a dyadic survey of relationships of a brand-name buying organization and its suppliers. Results indicate that power use affects partner behavior and operational performance, but the nature of the relationship dictates which power sources are most appropriate. In addition, the mediation effect of power imbalance shows that both relational and transactional factors can play an important role in supply chain exchanges.
Gilbert Nyaga, Ph.D., is an associate professor of supply chain management, and the Joe Dichiacchio Faculty Fellow, at the D'Amore-McKim School of Business at Northeastern University in Boston, Massachusetts,
Daniel F. Lynch Ph.D., is an associate professor of marketing and supply chain management, and the Director of the Centre for International Trade & Transportation, at Dalhousie University in Halifax, Nova Scotia (Canada),
Donna Marshall, Ph.D., is a lecturer in the Quinn School of Business at University College in Dublin, Northern Ireland (United Kingdom);
Eamonn Ambrose, Ph.D., is a member of the faculty of the School of Mechanical and Materials Engineering in the Michael Smurfit Graduate Business School at University College in Dublin, Northern Ireland (United Kingdom).
Does Socially-Responsible Supplier Selection Pay Off for Customer Firms? A Cross-Cultural Comparison
Building on Carter and Jennings (2002a,b, 2004) seminal works on socially-responsible purchasing and logistics, this multinational study investigates the extent to which socially-responsible supplier selection (SRSS) is associated with customer firms' financial performance in three key world economic regions. We collect and utilize a unique dataset consisting of a total of 479 manufacturing, retail and service provider firms operation in three, distinct national cultures: China, the United Arab Emirates, and the United States of America. Based on an exploratory empirical analysis, we observe evidence that, overall, firms that consider social responsibility aspects during the supplier selection process enjoy financial performance advantages versus rivals. However, model comparisons across the studies countries reveal differential outcomes of SRSS by region. Our findings aid supply chain managers by linking SRSS to commonly-expected outcomes within these important national settings.
LaDonna M. Thornton, MBA, is a doctoral candidate in supply chain management at the University of Tennessee in Knoxville, Tennessee,
Anis Ben Brik, Ph.D., is a faculty member at the University of Wollongong in Dubai, United Arab Emirates,
Chad W. Autry, Ph.D., is an associate professor of supply chain management at the University of Tennessee in Knoxville, Tennessee;
David M. Gligor, MBA, is a doctoral candidate in supply chain management at the University of Tennessee in Knoxville, Tennessee.
Understanding the Supply Chain Outsourcing Cascade: When Does Procurement Follow Manufacturing Out the Door?
Does the outsourcing of manufacturing trigger a cascade of follow-on outsourcing, wherein related procurement activities are subsequently entrusted to one's outsourcing partner? We explored this question in a survey of US-based electronics manufacturers (OEMs) who have outsourced production to a contract manufacturer (CM). Transaction-cost economics and the resource-based view were used as theoretical lenses to assess six potential drivers of this decision, utilizing direct and indirect effects structural models across five phases of procurement activity. Results suggest that some sets of conditions appear to lend themselves to a wholesale outsourcing approach, wherein the CM is entrusted to both manufacture a product and engage in various procurement activities. Other conditions foster a more retail approach to procurement outsourcing, with limited or no follow-on outsourcing of procurement activities. In general, firms seem to more comfortable outsourcing tactical procurement activities, entrusting strategic activities to CMs only when the product is highly commoditized or when the CM controls access to international resources the OEM is unable to leverage on its own. Overall, the relationship between manufacturing and procurement outsourcing is complex and contingent on a variety of factors.
Barry L. Brewer, Ph.D., is an associate professor of decision science in the Department of Management and Marketing, College of Business, at the University of Wyoming in Laramie, Wyoming,
Bryan Ashenbaum, Ph.D., is an associate professor of supply chain management in the Department of Management, Farmer School of Business, at Miami University in Oxford, Ohio;
Joseph R. Carter, Ph.D., is the Avnet Professor of Supply Chain Management in the W. P. Carey School of Business at Arizona State University in Tempe, Arizona.