The implementation of socially sustainable supply chain management (SSCM) practices (i.e., assessment and collaboration) to tackle suppliers' social deficiencies (e.g., the use of child labour) often requires a level of cooperation that can be difficult to establish. Despite this daunting challenge, scant scholarly attention has been paid to exploring how the implementation of socially SSCM practices can be effectively facilitated and enhanced. Drawing on social capital theory, this study examines the individual impact of assessment and collaboration practices on suppliers' social performance and explores whether and how these effects can be moderated (strengthened) by the level of social capital (i.e., relational, cognitive, and structural) embedded in the buyer-supplier relationship. Based on a survey of 119 manufacturing companies in the UK we found that assessment practices are less likely to influence suppliers to improve social performance compared to collaboration practices. However, when relational and structural capital are manifested in the relationship, assessment practices become significant in driving suppliers' social performance. We also found that the positive impact of collaboration practices is more pronounced when relational and cognitive capital are established in the relationship. This paper contributes to the growing socially SSCM literature by disentangling the vital and relative importance of social capital dimensions on the implementation of socially SSCM practices.
The concept of social capital advocates that the goodwill available from relations is a valuable resource that can facilitate collective actions. Although social capital has recently gained momentum in the buyer-supplier relationship (BSR) literature, there is a surprising lack of consensus about its antecedents, benefits, risks, and boundary conditions in such relationships. To address this void, a systematic literature review of seventy articles published in peer-reviewed journals between 2002 and 2018 was undertaken. The review identified and discusses two types of antecedents that can give rise to social capital in BSRs, namely intrafirm-level and relationship-level antecedents (i.e., structural and relational). It reveals that social capital can lead to a variety of benefits, in the form of direct performance improvements (e.g., operational) and relationship benefits (e.g., knowledge sharing), however that these benefits may vary depending on a number of boundary conditions in BSRs (e.g., contract specificity). The review also highlights that although social capital can generate benefits, it can also lead to risks that can undermine the performance and evolution of BSRs (e.g., reduced exploratory learning), suggesting a 'double-edged sword' effect. The paper concludes by summarizing current research gaps and outlining promising directions for future research.
A major challenge for supply chain managers is how to manage sourcing relationships to ensure reliable and predictable actions of distant suppliers. The extant research into sustainable supply chain management (SSCM) has traditionally focused on the transactional and collaboration approaches through which buyers encourage suppliers to act responsibly. However, little effort has been devoted to investigating the factors that underpin and enable effective implementation of these two approaches, or to exploring alternative approaches to help sustain an acceptable level of social performance from suppliers. Building on organisational justice theory, we developed a framework in which we propose that buyers' justice (i.e. distributive, procedural and interactional) as perceived by suppliers can serve as an alternative and complementary vehicle to the conventional sustainability governance approaches for driving the social justice exhibited by suppliers. The paper sheds new light on an alternative relational approach to help to restrain potentially harmful acts of suppliers. It provides a foundation for new research avenues in the SSCM context and supports more informed decision making by practitioners.
PurposeThis paper explores the strategies adopted by purchasing firms to streamline relationships with suppliers amid the COVID-19 outbreak.Design/methodology/approachThis study employed a multiple case study method and conducted 42 semi-structured interviews with procurement managers from six firms in the United Arab Emirates.FindingsThis study reveals six helpful strategies that purchasing firms can undertake to streamline supplier relationship management (SRM) in the wake of COVID-19. Precisely, purchasing firms are revising supply chain costs, planning orders in advance, sharing critical information with suppliers, planning major contingencies, developing a robust relationship with suppliers (e.g. partnership) and finally, improving the supplier's visibility.Research limitations/implicationsThis study comes with certain limitations. First, the results are based on a limited number of 42 interviewees. Hence, the study’s results cannot be generalized to a broader population. Second, the data were collected based on the cause and effect relationship.Practical implicationsThe findings of this study can help purchasing firms learn and use new appropriate strategies to manage the relationship with their suppliers in the midst of the COVID-19 outbreak.Originality/valueThis study contributes to SRM literature by unveiling six distinct strategies (such as revising supply chain costs, planning orders in advance, sharing critical information, etc.) that purchasing firms have employed to develop a robust and healthy working relationship with the suppliers in the midst of the COVID-19 outbreak.
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