Opportunism in supplier-buyer relationships


Book Description

Inhaltsangabe:Abstract: In 1996, managers of U.S. based automaker Ford Corporation realized that they had been fooled: The decision to allocate the company s seat construction to the single supplier Lear Corporation had turned out to be a disaster. Lear had made unrealistic promises concerning their engineering talent in order to get into business with the major carmaker. As Ford was locked-in with a supplier that was unable to keep deadlines and that produced parts that did not work, the production and on time launch of the 1996 version of Ford Taurus were severely put at risk. In this industry example, the supplier behaved opportunistically towards the buyer by misrepresenting the true skills of its employees. According to Transaction Cost Economics (TCE), opportunism is considered as an endogenous factor it forms an inherent part of business relationships. Following Williamson s explanation, opportunism is one of the rudimentary attributes of human nature . Whenever individuals will be given the chance to act opportunistically, they will do so. However, taking a look at current literature, the classical view of opportunism as a ubiquitous phenomenon becomes unsustainable. The emergence and degree of opportunistic behaviour is influenced by a variety of antecedent factors, such as institutional environment (e.g., competition, technology), or social determinants of behaviour (e.g., commitment, trust). Psychological research on this topic has shown that TCE lacks an explicit distinction between opportunism as an attitude and as a type of behaviour or action. Whether an agent behaves opportunistically or not does not only depend on his inclination towards carrying out unfair business practices, but also on the incentives that are given to him. Furthermore, recent approaches drawing on Agency Theory have replaced the traditional model of a self-serving man by an agent showing cooperative behaviours, as described in Stewardship Theory. In his original version of TCE, Williamson relied on vertical integration as an effective governance mechanism to attenuate opportunism and to safeguard specific investments. Transactions with high asset specificity should be governed by hierarchy mechanisms that are not accessible to markets, such as intensive monitoring or incentive structures. As a result, transaction costs would be minimized. In fact, hierarchical controls should not be treated as a universal remedy to curtail unfair business practices [...]




The Service Quality Handbook


Book Description

Service quality has emerged center stage as a global force. The Service Quality Handbook provides both a panoramic overview of the state of the art in service quality and an invaluable compendium of information on this critical topic. The list of contributors to this cutting-edge reference reads like a Who's Who in Service Quality - all movers and shakers in the business, academic, and government communities in the United States, Canada, Europe, and Japan. These leading experts provide global and multidisciplinary perspectives that will inspire and inform everyone who is working to achieve and sustain competitive advantage and superior organizational performance in a turbulent world. Topics covered range from the evolution of service quality and the growing impact of the Baldrige Award to process management and quality in government services. At the heart of The Handbook are time-tested concepts, strategies, methods, and tools that translate into guidelines and action ideas for creating the quality vision, developing service quality systems, enhancing the role of employees in service quality, understanding and managing customers, and measuring and reinforcing service quality. The 41 chapters of The Handbook add up to the most in-depth, up-to-the-minute information available on service quality today. Whether you're an executive, manager, or consultant in a service or manufacturing company, this visionary yet practical guide will help you teach service quality concepts and strategies; build quality awareness and commitment among employees at all levels; introduce benchmarking practices and processes; make effective use of self-managed teams; improve quality through strategic alliances; and reinforce service quality through service guarantees, recognition, and rewards. This unique collection has no competition. Use The Service Quality Handbook as your road map to enhanced customer satisfaction and greater profitability.




Supply Chain Governance for Social Sustainability


Book Description

This PhD thesis approaches the phenomenon of supply chain governance for social sustainability in the ready-made garment industry in Bangladesh. This research is based on a study of eight large multinational corporations (e.g. clothing brands and retailers) and their ready-made garment suppliers. The purpose of this research is to understand how supply chain governance mechanisms and governance structures improve social sustainability performance when stakeholders are engaged. The study identifies four main governance systems, namely, market-based, hierarchical controlbased, collaborative multi-stakeholder-based and relational cross-sectoral-based. These governance systems are employed in the supply chain by the multinational corporations in combination with different stakeholders, such as suppliers, multi-stakeholder-initiatives, and non-government organisations. The study focuses on the challenges faced by the multinational corporations to ensure social sustainability, whilst at the same time, incorporating suppliers’ viewpoints on the consequences of different governance systems for social sustainability. This research shows the choice of governance structures from market-based, hierarchy-based, collaboration-based and relational-based depend on the cost of managing relationships with the stakeholders and potential risks of governance in a given situation. An effective governance structure for a multinational corporation in a particular context is determined by how well the structure supports governance mechanisms to reduce associated transaction risks that results from potential opportunistic behaviour of the suppliers. In this research, it is argued that governance structure provides the platform for practicing a set of governance mechanisms. The study claims that social sustainability governance incorporates three mechanisms with separate outcomes: one consists of buyer-driven control-based mechanisms which include codes of conduct, supplier assessment and monitoring, and supplier training for regular social compliance; the second consists of multi-stakeholder-based governance mechanisms for structural compliance when unexpected problems occur, for example, building collapse, electrical and fire safety risks emerge; and the third comprises cross-sectoral governance mechanisms when the multinational corporations involve with non-government organisations for social development of the garment workers and community by facilitating drinking water, health-hygiene, education, and so on. This thesis contributes to the Sustainable Supply Chain Management literature by expanding knowledge of supply chain governance through bringing an understanding of governance mechanisms, governance structures and stakeholder engagements for social sustainability. As the demand for supply chain governance for social sustainability are growing, this thesis can help responsible corporate sourcing managers to develop a deeper understanding of how supply chain governance can affect social sustainability. Denna doktorsavhandling tar sig an fenomenet leverantörsstyrning för social hållbarhet i klädindustrin i Bangladesh. Forskningen baseras på en studie av åtta stora multinationella företag, tillika återförsäljare av kläder och välkända klädmärken. Syftet med studien är att förstå hur leverantörsstyrningsmekanismer och styrstrukturer kan förbättra socialt hållbarhetsarbete när flera aktörer är engagerade och samverkar. Resultatet av studien indikerar att multinationella företag de facto engagerar sig med andra aktörer för att förbättra sin förmåga att bedriva socialt hållbarhetsarbete. Studien identifierar fyra olika typer av leverantörsstyrsystem: ett marknadsbaserat, ett hierarkiskt kontrollbaserat, ett kollaborativt multi-intressentbaserat samt ett relationellt sektorsövergripande system. Dessa styrningssystem tillämpas i leverantörskedjan av de multinationella företagen i samarbete med andra aktörer såsom leverantörer, ‘multi-intressentinitiativ’ och icke-statliga organisationer. Studien fokuserar dels på de utmaningar som föreligger för de multinationella företagen när det gäller att säkerställa social hållbarhet, dels på hur leverantörer uppfattar konsekvenserna av de olika styrningssystemen för social hållbarhet. Denna forskning visar att valet av styrstruktur, från marknadsbaserad, hierarkibaserad, kollaborativ och relationell är beroende dels av kostnaden för att hantera och upprätthålla relationer med de olika aktörerna, dels av de potentiella riskerna som föreligger i en viss situation. Vad som utgör en effektiv styrstruktur för ett multinationellt företag i en viss given kontext avgörs av hur väl strukturen stödjer styrningsmekanismer för att reducera transaktionsrisker som bottnar i ett potentiellt opportunistiskt beteende hos leverantörerna. I denna forskning argumenteras det för att struktur ger en plattform för att tillämpa ett antal styrningsmekanismer. Studien visar att styrning av social hållbarhet omfattar tre typer av mekanismer med olika utgång. En består av köparstyrda styrningsmekanismer som omfattar uppförandekoder, leverantörskontroll och leverantörsutbildning. Den andra består av multi-initiativbaserade styrningsmekanismer av hur det strukturella arbetet för att hantera oväntade problem (t.ex. bygg-, el- och brandsäkerhetsrisker) efterföljs. Det tredje omfattar sektorsövergripande styrningsmekanismer där de multinationella företagen samverkar med lokala icke-statliga organisationer i projekt som syftar till social utveckling (tillgång till rent vatten, hälso- & utbildningsinsatser, etc.) för fabriksarbetarna och det omgivande samhället. Denna avhandling bidrar till Sustainable Supply Chain Management-litteraturen då den utvidgar kunskapen om leverantörsstyrning för social hållbarhet genom en den ger en ökad förståelse för styrningsmekanismer, styrstrukturer och olika aktörers engagemang för social hållbarhet. I takt med att behovet av leverantörsstyrning för social hållbarhet ökar kan denna avhandling hjälpa ansvariga ‘corporate sourcing managers’ att utveckla en fördjupad förståelse för hur leverantörsstyrning kan påverka social hållbarhet.




The Economics of Business Culture


Book Description

Mark Casson demonstrates how the economic effects of cultureDSsocial values such as honesty, dedication, and loyaltyDScan be analysed in a rigorous fashion. The author argues that gains from technology in modern society can be offset by high costs stemming from the missing moral dimension whichhas implications for economic competitiveness and for social and economic institutions. A strong culture reduces transaction costs and enhances performanceDSthe success of an economy thus depends on the quality of its culture.




The Relationship Marketer


Book Description




The Emerald Handbook of Multi-Stakeholder Communication


Book Description

The Emerald Handbook of Multi-Stakeholder Communication gathers an international, multidisciplinary team of experts to explore effective brand messaging for multiple stakeholders, utilizing a diverse array of theoretical and methodological approaches that cumulatively present an up-to-date overview of the whole field.




Sustainable Innovation


Book Description

In today’s ever-changing global world, there is a permanent need for anticipating new and evolving customer needs, resource supply constraints, and dynamically changing employee expectations. Sustainable innovation applies to products, services, and technologies as well as new business and organization models. This book provides insights into sustainable innovation trends in various marketing- and management-related fields. Authors critically investigate, amongst others, the sustainability impact of disruptive product design and innovative collaboration solutions within buyer-supplier relationships, along with innovative organizational processes to promote sustainable well-being-productivity synergy in a VUCA world. This volume is a uniquely positioned contribution of interrelated research articles on the sustainability-driven innovation needed for organizational health and future viability.




Construction Dispute Research


Book Description

There are three specific purposes of Construction Dispute Research. First, this volume aims to summarise studies on construction dispute. Second, apart from the theoretical constructs, where appropriate empirical tests are also included. This approach serves to go beyond the commonly used anecdotal approach for the subject matters. Third, it is the sincere hope of the authors that this book will help shaping research agenda of construction dispute. The studies are mostly framed from a management perspective drawing on methods and concepts in contract law, economics, psychology and management science. The book has twenty chapters that are arranged in four parts covering conceptualisation, avoidance, negotiation and mediation. Part 1 is devoted for dispute conceptualisation. A building is only as strong as its foundation. Thus it is no better start to study construction dispute by conceptualisation. The theme of Part 2 is dispute avoidance. The conventional wisdom of ‘prevention is better than cure’ seems can be applied to all problems. As far as construction dispute is concerned, equitable risk allocation and trust are the two most commonly accepted avoidance strategies. Part 3 focuses on negotiation that is the gateway to resolution as almost all disputes are negotiated first before the service of other mechanisms. Negotiation is sometimes described as an art because settlement may not be obtained solely from legal and rational approaches. Part 3 discusses the behavioral dimensions of construction dispute negotiation. Part 4 deals with Mediation- a form of assisted negotiation. Specially, the skill of the mediators in facilitating settlement, the interrelationships among dispute sources, mediator tactics and mediation outcomes are explored. The studies presented in Construction Dispute Research collectively demonstrate holistic approach in dispute management. Each chapter can be read as a study on its own. Practitioners will find the book a handy reference in dispute management and resolution. Students would find the book useful in explaining in details the causes of dispute, the processes to resolve them. The research design and empirical approaches are particularly useful to students in construction management, architectural, surveying and civil engineering programs.




The Crisis of Food Brands


Book Description

Food and agribusiness is one of the fastest changing global markets; change that is driven by technology, developments in manufacturing and supply, and a growing consumer engagement. The success of the agri-food industry and many of our household brand names will depend on how much you understand about these changes and the extent to which you can deliver secure and competitive products in the face of growing expectations about food safety and quality, as well as changing attitudes about the environment, human diet and nutrition, and animal welfare. The Crisis of Food Brands offers perspectives on many key aspects of these changes including the role of business, policy-makers, and the media in communicating with and engaging stakeholders about: o relevant and dynamic models of risk and crisis management; o the value of innovative and, sometimes controversial, food systems; o their buying behaviour and attitudes to movements such as organic and fair trade; o how and where we source and buy our food now (and in the future). The quality of the original research that underpins this book and the imagination and practicality with which the authors address its applications for the industry is first rate. Anyone with responsibility for marketing food, communicating about the food industry, or engaging with consumers will find this an important source of ideas and inspiration.




Management and Governance of Networks


Book Description

This book highlights cutting-edge research in the economics and management of networks as an interdisciplinary field, offering new theoretical, empirical and practical perspectives on the management, governance, ownership and control of cooperatives, franchising networks and strategic alliances. Further, it presents a strategic group perspective on franchisers and discusses both social entrepreneurship issues in franchising and franchising strategies for Indigenous entrepreneurship in Australia. Lastly, it offers a dynamic capabilities approach to alliance portfolio management and analyses the antecedents of the transitions taking place in the lifecycles of alliances.