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Supplier collaboration practices: implications for focal firm innovation performance

Supplier collaboration practices: implications for focal firm innovation performance PurposeDue to the increasing complexity in supply chains and networks, several key practices have been highlighted as beneficial for supply chain performance. However, it is less known whether adopting such practices affects the innovation performance of the focal firm. This study hypothesises that supplier collaboration practices in four specific areas (green and ethical supply management, early supplier involvement, systemic purchasing and inter-firm learning) may lead to higher focal firm innovation performance, as they require the firm to adopt new business models, processes and product features.Design/methodology/approachThe hypotheses drawn from previous research are tested with a quantitative survey study of 165 Finnish firms and analysed by means of regression analysis.FindingsThe results show that two examined practices are positively related to focal firm innovation performance: systemic purchasing and green and ethical supply management. Interestingly, early supplier involvement and inter-firm learning did not influence innovation performance.Originality/valueLittle is known about whether adopting certain practices in supply management affects the innovation performance of the firm. In fact, among the performance indicators of supply management, innovation is rarely studied, and more studies using innovation as a performance indicator are called for. Thus, this study focuses on supplier collaboration practices and their relation to the focal firm’s innovation performance. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png European Business Review Emerald Publishing

Supplier collaboration practices: implications for focal firm innovation performance

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References (76)

Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
0955-534X
DOI
10.1108/EBR-04-2016-0058
Publisher site
See Article on Publisher Site

Abstract

PurposeDue to the increasing complexity in supply chains and networks, several key practices have been highlighted as beneficial for supply chain performance. However, it is less known whether adopting such practices affects the innovation performance of the focal firm. This study hypothesises that supplier collaboration practices in four specific areas (green and ethical supply management, early supplier involvement, systemic purchasing and inter-firm learning) may lead to higher focal firm innovation performance, as they require the firm to adopt new business models, processes and product features.Design/methodology/approachThe hypotheses drawn from previous research are tested with a quantitative survey study of 165 Finnish firms and analysed by means of regression analysis.FindingsThe results show that two examined practices are positively related to focal firm innovation performance: systemic purchasing and green and ethical supply management. Interestingly, early supplier involvement and inter-firm learning did not influence innovation performance.Originality/valueLittle is known about whether adopting certain practices in supply management affects the innovation performance of the firm. In fact, among the performance indicators of supply management, innovation is rarely studied, and more studies using innovation as a performance indicator are called for. Thus, this study focuses on supplier collaboration practices and their relation to the focal firm’s innovation performance.

Journal

European Business Review – Emerald Publishing

Published: Jun 12, 2017

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