As firms increasingly emphasize cooperative relationships with critical suppliers, executives of buyer firms are using supplier evaluations to ensure that their performance objectives are met. Supplier evaluations, one type of supplier development program (SDP), are an attempt to meet current and future business needs by improving supplier performance and capabilities. The purpose of this study was to determine how suppliers perceive the buying firm's supplier evaluation communication process and its impact on suppliers' performance. Three communication strategies (indirect influence strategy, formality and feedback) were tested separately and one in unison (collaborative).Using structural equation modeling (SEM) and data collected from 139 first-tier North American automotive suppliers, the results of this research have shown that, contrary to the SDP literature from the buying firm's perspective, the supplier's perceptions of the buying firm's communication does not directly influence suppliers' performance. Specifically, the supplier evaluation communication process does not ensure improved supplier performance unless the supplier is committed to the buying firm. Buying firms can influence the supplier's commitment through increased efforts of cooperation and commitment. The results also indicate that when a buying firm utilizes collaborative communication, the supplier perceives a positive influence on the buyer-supplier relationship.
This paper explores managerial efforts in reverse supply chains (RSC), where the focus is on the capture and exploitation of used products and materials. The RSC can potentially reduce negative environmental impacts of extracting virgin raw materials and waste disposal. If so, investment in the reverse supply chain should not be made in isolation, but instead must be integrated with investments selected to improve the forward supply chain. After defining and operationalizing these constructs, a survey of plant managers was used to empirically assess the linkages between supply chain investments, organizational risk propensity (i.e., willingness to take risk) and business uncertainty. Reverse supply chain investment had two primary dimensions: reconditioning (i.e., high-value recovery) and recycling and waste management (i.e., low-or no-value recovery). Ongoing investment in the forward supply chain was significantly related to investment in recycling and waste management, but not to investment in reconditioning. Moreover, risk propensity was found to mediate the relationship between the external business uncertainty and investment in the forward and reverse supply chain. #
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