When managing a global supply chain, one critical challenge encountered by multinational enterprises (MNEs) is the extension of corporate social responsibility (CSR) practices to suppliers in emerging countries. In this study, we use a multi‐method approach to explore 1) the nature of suppliers’ CSR heterogeneity based on the various components of CSR in emerging countries, and 2) the choices of MNEs for extending CSR to different types of suppliers in dynamic environments. We begin with a survey of Chinese original equipment manufacturers (OEMs) servicing MNEs to examine how these suppliers vary in CSR implementation based on cluster analysis results. To understand the choices made by MNE buyers for extending CSR to their OEM suppliers, we conduct an agent‐based simulation study considering the dynamics of a system with multiple agents (i.e., MNE buyers, OEM suppliers, and the government). The cluster analysis results show that CSR practices implemented by Chinese OEMs differ significantly from one another and can be classified into three clusters (i.e., Leader, Follower, and Laggard). The simulation results provide insights into how the adaption costs (e.g., upgrade cost and cost saved by downgrading) and punitive (inspection with possible penalties) and supportive (subsidies) tactics adopted by the government affect the choices made by MNE buyers for extending CSR practices to suppliers in emerging countries. Moreover, we demonstrate when supportive tactics are more effective than punitive tactics under varying conditions and extend the model to investigate the consequences of switching between these two types of tactics in a sequential simulation.
Recently, there has been increasing attention on the speed versus quality paradox in operations and innovation management literature. This study examines the innovation speed-quality paradox on operational performance in small and medium-sized enterprises (SMEs) from high-tech industries. Specifically, we seek to understand how R&D investment with organizational risk influences the innovation speed-quality paradox and how this paradox further influences a firm's operational performance. Based on a panel data of 247 firms (1782 firm-year observations), the empirical results show that R&D investment positively affects innovation speed and quality, and organizational risk positively moderates the relationship between R&D investment and innovation quality. Also, both the innovation speed and quality are positively related to firm's operational performance, while the interaction of speed and quality is negatively related to firm's operational performance. The theoretical and practical implications of our research are also discussed.
Recently, companies in emerging markets have implemented green supply chain management (GSCM) practices to tackle environmental issues. Drawing upon socio-technical systems theory, this study develops a conceptual model suggesting a sequential effect between two distinct categories of GSCM practices, namely behavioral (human and soft aspects) and technical (tangible and hard aspects) practices, on performance. We employ structural equation modeling method to test hypotheses based on survey responses from 200 Chinese manufacturers. The categorization of behavioral and technical GSCM practices and research findings contribute to the GSCM literature. Statistical results demonstrate the complete mediation effect of technical GSCM practices (e.g., green design, green manufacturing and reverse logistics) on the relationship between behavioral GSCM practices (e.g., relationship with customers and suppliers) and organizational performance. Such results recommend that companies in emerging markets should highlight behavioral GSCM practices first and then implement necessary technical GSCM practices to reap economic, environmental and operational performance. IntroductionGreen supply chain management (GSCM) practices are management actions implemented by a company across a supply chain to reduce pollution and energy consumption and enhance sustainability in the long term (Zhu et al., 2008). In recent years, to balance economic gains and environmental protection, companies and governments in emerging markets, such as China, have implemented GSCM (
Corporate social responsibility (CSR) issues in suppliers can affect the reputation of buyers or even result in supply chain disruption. Thus, buyer and supplier firms are urged to comply with CSR codes in a coordinated manner. In other words, multinational buyers are expected to extend CSR practices to their suppliers in emerging countries. This is particularly crucial when suppliers' CSR performance is screened under a regulatory agency's inspection regime. To this end, this study formulates an analytical model to understand the effects of buying firms' supportive schemes, i.e., technical assistance programmes, on their partner suppliers' CSR performance. Specifically, we develop a multi-period behavioural model to simulate a system consisting of multiple buyers and suppliers where the government regularly conducts inspections on suppliers' CSR performance. The results from the agent-based simulation analysis shed light on (1) how the dyadic risk preferences of suppliers and buyers affect suppliers' CSR performance; (2) how the gap between the perceived and actual CSR levels in a supplier interacts with the regulatory agency's tactics to influence suppliers' CSR performance; (3) the extent to which the overall suppliers' CSR performance improvement is attributable to the buyers' technical assistance programmes under the regulatory agency's inspection regime. This research contributes to the socially responsible supply chain management literature and provides innovative managerial insights for policy makers (e.g., CSR regulators) to promote CSR practices among suppliers.
Environmental sustainability has received considerable attention in industry and academia. Many firms have begun to adopt sustainability practices, such as investing in cleaner technology and using organic or recyclable materials, to enhance sustainability in supply chains. Such sustainability practices affect corporate social responsibility and business performance. On the other hand, when consumers and supply chain managers make decisions, they may be constrained by behavioral concerns. Behavioral concerns can significantly influence optimization in supply chains. Thus, it is critical to consider the impacts of behavioral concerns on sustainability in supply chains. In this paper, we concisely examine studies in sustainability issues in supply chains with behavioral concerns and introduce the papers featured in this Special Issue.
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