The relationship between quality and governance mechanisms

Abstract

PurposeRecent literature has highlighted the importance of quality and governance in supply networks. Usually, the relationships between the actors are complex, comprising both formal and informal interactions. Despite recent advances in quality and governance in supply networks, extant literature highlights the lack of quality in healthcare supply-chain networks in relation to governance mechanisms. This paper aims to investigate the role of governance mechanisms and their influence on the quality of healthcare supply networks, and assumes that governance instruments can support quality performance.Design/methodology/approachA multiple-case research approach was employed. Six organisations in the Brazilian healthcare sector were analysed (four operate only with renal replacement therapy, one is a material supplier, and one operates with renal replacement therapy and collective procurement).FindingsFindings showed that there is no formalised supply network structure in these organisations. A possible consequence of this is that the supply-network governance is dominated by informal relationships. In the quality dimension, managers' awareness is limited, but there are mechanisms in place to control the quality of the materials.Practical implicationsHealthcare managers can actively invest in the social aspects of the relationship between buyer and supplier, such as trust and commitment, thus increasing responsiveness in patient care. However, this informal procedure can lead to problems with tracking and reliability, ultimately leading to quality problems. Therefore, it is recommended that formal and informal governance instruments be used jointly to improve service quality.Originality/valueThis study suggests that the integration of formal and informal mechanisms of governance can improve the quality of supply networks. Additionally, if the administrative process is purely formal, network relationships and their efficiency will be impaired.

The Expansion Mechanism of the Cooperative Networks of Supply Support Organizations in a Public Health Emergency

“…Martins et al used a multicase approach to study governance mechanisms and their impact on the quality of health care supply networks. For the organizations they studied, they did not find formal network structures and suggested that both formal and informal network structures are needed to avoid quality problems [26]. The design and integration of a well-functioning supply chain constitute important work, but there is also a shortcoming; that is, supply chain research mostly examines organizational cooperation from the perspective of production operations, but it is difficult to include the nonproduction nature of diversified organizations within the scope of research.…”

Influence of governance instruments on supply chain quality: a qualitative investigation in the dairy industry

“…Based on this premise, this work will use the terms supply chain (SC) and supply network (SN) interchangeably. Studies on supply chain network (SCN) governance have become more prevalent in recent supply chain research (Cardoso de Oliveira et al, 2019;Denolf et al, 2015;Eltantawy, 2016;Formentini and Taticchi, 2016;Gereffi and Lee, 2016;Martins et al, 2020;Soundararajan and Brown, 2016;Varoutsa and Scapens, 2015). These studies emphasize that through its instruments, governance can lead to desired outcomes (e.g.…”

“…Much attention has been paid to the investigation of supply chain management (SCM), on the one hand, and quality management, on the other hand (Dellana and Kros, 2014;Denolf et al, 2015;Gray and Handley, 2015;Machado et al, 2019;Soltani et al, 2011). Previous research has also shed light on formal and informal instruments' relevance for SC outcomes (Martins et al, 2020;Oliveira et al, 2019). However, research that seeks to investigate the influence of formal and informal instruments, specifically on SN quality, is limited and tangential.…”

“…, 2019; Denolf et al. , 2015; Eltantawy, 2016; Formentini and Taticchi, 2016; Gereffi and Lee, 2016; Martins et al. , 2020; Soundararajan and Brown, 2016; Varoutsa and Scapens, 2015).…”

“…, 2011). Previous research has also shed light on formal and informal instruments' relevance for SC outcomes (Martins et al. , 2020; Oliveira et al.…”