The role of transparency in procurement: Revealed versus concealed scoring rules in sealed bid A + B auctions

Quiroga, Bernardo F.; Moritz, Brent; Guide, V. Daniel R.

doi:10.1002/joom.1104

Cited by 12 publications

(17 citation statements)

References 46 publications

(64 reference statements)

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“…When a company makes its operations transparent, it reveals them not only to its customers but also to its competitors, making processes transparent makes the business easier to copy (Kirby, 2012). Furthermore, Quiroga et al (2021) find that, despite the benefits of transparency, excessive dimensions of the selection criteria empirically led to less supplier competition than predicted by theory.…”

Section: Outcomes: Benefitsmentioning

confidence: 74%

“…SCT refers to reporting to and communicating with stakeholders to provide traceability regarding the history of the products and visibility about current activities throughout the SC Baharmand et al (2021) SCT is communicating to stakeholders about the sustainability of the organization's products and underlying sourcing and manufacturing activities Duan et al (2021) SCT, in terms of collective environmental, social, and governance (ESG) disclosure, is broadly defined as the aggregate level of material ESG information that a focal firm's customers, suppliers, and subsuppliers (the extended SC) make available to the public. Transparency is a combination of visibility, meaning that the focal firm possesses material information about upstream and downstream operations, and the public disclosure of this information Gualandris et al (2021) SCT is the practice of disclosing detailed and accurate information about operations and products, such as their origin and sourcing, manufacturing processes, costs, and logistics Montecchi et al (2021) Buyer transparency is the public disclosure of the scoring rule to potential suppliers before they submit their offers Quiroga et al (2021) SCT refers to the communication and disclosure of SC information about a company's products and operations Gligor et al (2022) Operational transparency is the sharing of procedures governing buyer-supplier transactions such that they are known to all parties and administered consistently Mir et al (2022) Transparency and visibility comprise the ability to see through an SC, prepare for disruptions, and respond to and recover from a disruption Münch and Hartmann ( 2023)…”

Section: (Sc)t Definitions Sourcementioning

confidence: 99%

“…After visibility and traceability are adequately addressed in SCs, organizations must decide on the extent of the information to be made transparent (Kraft et al, 2018). Quiroga et al (2021) also find that sometimes the information needed to be made available might be unclear or unknown, even to the decision maker. For example, a buyer might not know how exactly a specific attribute should be evaluated while assessing various suppliers, leading to more inconsistent behavior.…”

Section: Antecedentsmentioning

confidence: 99%

See 2 more Smart Citations

A review of supply chain transparency research: Antecedents, technologies, types, and outcomes

Budler,

Quiroga,

Trkman

2023

J of Business Logistics

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The growing popularity of “Supply Chain Transparency” (SCT) as an idea has motivated its use as a “buzzword,” leading to a lack of terminological clarity. Terms like visibility, transparency, and traceability are used colloquially or as synonyms for one another, yet often without a proper conceptual basis. We argue that the absence of a clear understanding of SCT limits the ability of scholars and practitioners to fully understand the role played by transparency in supply chains and to study its antecedents, technologies, types, and outcomes. Therefore, transparency research is at the point where a scoping review of literature on SCT is particularly useful. Our review first provides a formal conceptualization of SCT, allowing us to identify how transparency has been understood, the building blocks of SCT, and what distinguishes SCT from other concepts. In the review, we initially identify relevant concepts underlying SCT with a view to establish a unifying and nuanced framework for SCT. Second, using that unified conceptualization as a basis, primary outcomes such as the benefits and risks of SCT are determined. Third, we systematically detect and classify future research opportunities arising from the building blocks of SCT.

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Section: Outcomes: Benefitsmentioning

confidence: 74%

Section: (Sc)t Definitions Sourcementioning

confidence: 99%

Section: Antecedentsmentioning

confidence: 99%

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A review of supply chain transparency research: Antecedents, technologies, types, and outcomes

Budler,

Quiroga,

Trkman

2023

J of Business Logistics

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“…Information dissemination is a type of information sharing that aims to reduce information asymmetry. The literature has extensively explored the role of information sharing in mitigating the bullwhip effect (Lee et al, 1997), reducing the inventory and capacity costs (Cachon & Fisher, 2000), enhancing bidding outcome (Quiroga et al, 2021), and improving online matching (Jiang et al, 2021). Readers can refer to Ha and Tang (2017) for a comprehensive review on the studies on information sharing in supply chains.…”

Section: Literature Reviewmentioning

confidence: 99%

Supplier bottleneck and information dissemination

Zhang

2023

J of Ops Management

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This paper investigates the capacity decisions of complementary suppliers who produce different components of a final product. The suppliers solicit private forecast information from a buyer who has more precise information regarding the market as compared to the suppliers. In this context, the lowest capacity built among suppliers—termed as effective capacity—represents the bottleneck of a supply chain, which in turn determines the throughput of the entire channel. The standard analysis based on full rationality posits that the capacity decisions of suppliers are based on their prior belief of demand, with no consideration of the buyer's information dissemination or the number of peer suppliers. We test the predictions experimentally, and our laboratory observations reject the prediction of rational model. Then, we develop a behavioral model based on suppliers' heterogeneity in the processing of demand information provided by the buyer. Our behavioral model indicates that suppliers lower their capacity levels when the number of suppliers increases, thereby exacerbating the supplier bottleneck. While the buyer may exaggerate the market demand to ensure abundant supply, interestingly, the inflation can benefit suppliers by increasing their capacity levels. In this manner, the inflation of the buyer can serve to mitigate the supplier bottleneck, thereby resulting in a win–win outcome for both the suppliers and the buyer.

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“…According to Ahmad and Rusdianto (2020), as transparency refers to confidence in information discovered, three elements need to be considered: disclosure, clarity, and accuracy. In addition, the Organization for Economic Co-operation and Development (OECD) has highlighted transparency as one of the 10 characteristics that underpin procurement integrity (Quiroga et al, 2021).…”

Section: Transparencymentioning

confidence: 99%

Transparency And Halal Procurement In The Hotel Industry

Shari¹

2022

The European Proceedings of Multidisciplinary Sciences

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The demand for the halal industry is increasing each year across the globe. Businesses are actively improving their understanding of halal products and practices in meeting this demand. As one of the highest contributors to the country's economic development, the hotel industry is not left to grab this opportunity. One of the broadest sections of the halal sector is food supply chains, focusing on halal risk management, halal integrity, halal logistics, and halal warehousing. However, the study on transparency in the halal supply chain is minimal, whereas the existing research mainly focuses on traceability. Even though transparency and traceability are intimately related, there is a major difference in properly executing halal procurement. This paper discusses the understanding of transparency, the impact of transparency in halal procurement, and management's role in practising transparency. This conceptual study was based on the comprehensive literature review of the most recent available research on transparency and halal procurement. The findings provide societal value by guiding the hotel industry or businesses to adequately implement the halal practices according to Shariah compliance, resulting in better overall services, thus recommending transparency practises in halal procurement policy. Further empirical research should be conducted in testing the relationship between transparency and halal procurement.

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The role of transparency in procurement: Revealed versus concealed scoring rules in sealed bid A + B auctions

Cited by 12 publications

References 46 publications

A review of supply chain transparency research: Antecedents, technologies, types, and outcomes

A review of supply chain transparency research: Antecedents, technologies, types, and outcomes

Supplier bottleneck and information dissemination

Transparency And Halal Procurement In The Hotel Industry

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