Measuring interdependencies of preferred supplier enablers

Abstract

Purpose The purpose of this paper is to analyze preferred supplier enablers (PSEs) and measure the interdependencies among themselves for enhancing preferred supplier relationship. Design/methodology/approach In the current study, an approach has been developed in which the significance of various PSEs was determined by applying Fuzzy Analytic Hierarchy Process (FAHP) and the prominent PSEs were screened out through Pareto analysis. Also, the interdependence among the prominent PSEs was measured by applying the Fuzzy Decision Making Trial and Evaluation Laboratory method in order to select the right PSEs in ascribing the Preferred Supplier Status. Finally, the weakest relationships among the PSEs were confirmed by applying the student’s t-test and then an impact relationship map of PSEs was developed. Findings The strength of relationships among the PSEs, grouping of PSEs into causes and effects on a causal diagram and a concise impact relationship map of PSEs were determined. Further, the PSEs that a manufacturer must primarily focus and monitor were also obtained. Research limitations/implications The study was conducted in an Indian electronic manufacturing environment. Therefore, the results obtained would be more relevant to the high end technology product manufacturers operating in the developing countries. Practical implications From the current study, a manufacturer can alleviate, favorably associate and integrate with the good suppliers and then eventually establish a strong supply base. Originality/value Manufacturers are looking for the closer and favored relationships by bringing in the concept of preferred supplier while dealing with their key suppliers. Thus, the results obtained from the current study would be of great assistance to a manufacturer in gaining an extra cutting-edge and, in turn, tackling the increased competitive pressures and reduced availability of resources.

Investigating the quality of the relationship, supply risk mitigation on medium and large-sized manufacturing firms' supply chain performance in the developing countries: the moderating effect of supplier involvement

“…Therefore, confident, reliable and dependable suppliers bring a number of benefits to firms, including planning knowledge, as well as having a significant, effective and positive impact on delivery, the flexibility of operations and joint logistical activities. This will raise the level of confidence, reliance and cooperation for several functions and operations to reach a high level of sustainable performance (Routroy, 2018). Namagembe (2020) showed that suppliers' involvement with firms enhances firms' ability to compete by adopting and sharing different technologies such as keeping pace with technological development, applying better practices, developing new products together, The effect of supplier involvement reaching markets quickly, flexibility in responding to changing demands and finally, smoothing flows of materials with optimization of using resources.…”

“…Therefore, confident, reliable and dependable suppliers bring a number of benefits to firms, including planning knowledge, as well as having a significant, effective and positive impact on delivery, the flexibility of operations and joint logistical activities. This will raise the level of confidence, reliance and cooperation for several functions and operations to reach a high level of sustainable performance (Routroy, 2018).…”

Supplier involvement in NPD projects: the buyer's perspective on the complementary roles of social capital and social exchange for project performance

“…Similarly, from the buyer standpoint, SET suggests that the more a supplier is willing to share his technological competencies and preferentially allocate resources to his buyer, the more the latter is inclined to award him a preferred supplier status (Schiele, 2022). Buying firms award preferred supplier status to a partner based on the extent to which their interests are fulfilled and on the appropriateness of the suppliers' characteristics (C.V and Routroy, 2016, 2018). Preferred suppliers are strategic partners who are likely to offer buying firms a renewed product performance at an advantageous price, as well as privileged service support and resources (Halley and Nollet, 2002, Maestrini et al ., 2021).…”

The impact of customer and supplier collaboration on green supply chain performance

“…The challenge is the collaboration of the front end of the supply chain with its back end. Supply chain collaboration focuses on the communication of customers and suppliers (Routroy, 2018). According to stakeholder theory, customers and suppliers, as stakeholders, are able to influence the relationships along the supply chain.…”