Strategic purchasing,supply management practices and buyer performance improvement: an empirical study of UK manufacturing organisations

Purchasing is increasingly seen as an important strategic activity of the firm. However, there is little evidence examining the effects of strategic purchasing on a firm's inter-organisational supply management practices and performance. The purpose of this paper is to examine the effect of strategic purchasing on the supply management practices of socialisation, supplier integration and supplier responsiveness, together with relationship performance. Using empirical data collected from 111 United Kingdom purchasing executives, a structural equation model is used to test the theoretical framework. The results provide support for four of the six hypotheses developed. Strategic purchasing was found to have an indirect, significant effect on improving buyer performance, acting through supplier integration. Strategic purchasing also had a significant effect on the use of socialisation mechanisms, but not on supplier responsiveness. Our research indicates that close, long-term supplier relationships can lead to the creation of relational rents. Implications for future research and suggestions for improving the rigour of strategic purchasing research are made.     

Risk management in the automotive supply chain: an exploratory study in Brazil

The main objective of this study was to identify the main characteristics of risk management in the automotive supply chain in Brazil, considering companies in the first and second tiers. This objective was achieved through the proposition of three hypotheses that were tested based on a survey of 211 auto parts producers scattered throughout the country, from which 77 completed forms were received. This research enabled us to conclude that the risks perceived in tier 2 are higher than those observed in tier 1. Also, it was possible to verify that the performance of companies in tier 2 (higher risk) is lower than those in tier 1. Contrary to what was observed in the literature, this research could not find evidence to confirm that risk management tools are prioritized to reduce the risk of companies in the supply chain. Therefore, this research contributes to both theory and practice: this is the first study that performs an analysis of risk management in supply chains with tier 1 and 2 companies in the Brazilian automotive industry, becoming an important complement to recent studies on this topic. For practitioners and business executives who manage risks in automotive supply chains in Brazil, this paper shows the reality of the issue in first- and second-tier companies, which can provide them with important contexts for their decision making in the day-to-day business of the automotive sector.     

Integration of global manufacturing networks and supply chains: a cross case comparison of six global automotive manufacturers

Striving for new business opportunities automotive original equipment manufacturers established overseas plants in emerging markets and global manufacturing networks evolved. In this regard so-called knocked down supply chains have been the key for the establishment of successful overseas operations. Importing all parts required from the original plants in form of easy to be handled kits secures a high product quality and stable supply despite lacking qualification of local workforce and supplier bases. Over time the overseas plants and global manufacturing networks have matured by increasingly taking over value adding processes and integrating local suppliers. However, the supply chain structure and management have not been adapted accordingly and still comprise high inventory buffers and lead times. There is little research on the integrated design of global manufacturing networks and knocked down supply chains. This research aims to contribute to close this research gap by means of a cross-case study with six globally operating OEMs investigating the fit of knocked down supply chains and global manufacturing networks. On the basis of transaction cost theory, we develop an integrated framework to align global manufacturing networks and knocked down supply chain design that can serve as guideline to open logistics performance and cost potentials.     

Leveraging prototypes to generate value in the concept-to-production process: a qualitative study of the automotive industry

Prototypes are important tools in the development and production of new products. In the engineering design literature, prototypes are mainly perceived as tools for validating and verifying aspects of a design in the late stages of the design process. However, several studies have found that prototypes are important in the earlier design stages as well, and it is currently unknown how prototypes contribute to add value within the overall value chains of a business system. Using a case-study approach, we investigate this topic seeking to answer the question of how prototypes and rapid prototyping add value in the various stages of the new product development process in the automotive industry. Based on our findings, we propose that the value of prototypes can be divided into the following three categories: the artefact, i.e. the prototype; the process, i.e. prototyping; or the experiment, i.e. the data generated from experimenting with the artefact. Finally, we argue that prototypes add value to both the production and knowledge value stream.     

Amalgamation of mass customisation and agile manufacturing concepts: the theory and implementation study in an electronics switches manufacturing company

This paper reports a research which was pursued with the purpose of indicating the need of amalgamating mass customisation and agile manufacturing principles for achieving competitiveness in organisations. The research findings and observations on these principles were used to design a model named as agile customisation programme. The implementation study of this programme was conducted in an electronics switches manufacturing company situated in India. The practical implications of this programme were studied by gathering feedback from the executives of this company. The details of these works are briefly presented in this paper. Further, the practical implications were used to propose a roadmap. Future researchers may adopt this roadmap and implement this programme in various types and sizes of companies. The performance of this programme in those companies shall be measured using agile manufacturing metrics such as responsiveness, time compression, quality improvement and profitability.