Sign Up Submit Enquiry

Strategic management of the dyadic buyer–supplier relationship and supplier development practices with respect to industry 4.0: An empirical study

Home Strategic management of the dyadic buyer–supplier relationship and supplier development practices with respect to industry 4.0: An empirical study

Related Articles

Contact us

Article Content

Abstract

The present study investigates how supplier development practices (SDP) and buyer–supplier relationship practices augments buyer–supplier relationship improvement and impacts the supply chain performance (SCP) in the presence of industry 4.0 as the contextual factor. A questionnaire survey was conducted during the time period of 2018–2021, and the responses were collected from 512 manufacturing firms consisting of automobiles, gear manufacturing, etc. who have implemented Industry 4.0 (wholly or partially) and or are in the process of implementation. The study employed covariance based structural equation modelling approach to test the proposed hypotheses. It relied on SPSS-AMOS to test the measurement and structural model. The findings revealed that supplier development strategy, i.e., supplier incentives, direct involvements, and trust, influences buyer–supplier relationship (BSR). Industry 4.0 implementation supports the performance of SDP and buyer–supplier relationship practices, which enhances the BSR strongly, and robust implementation of SDP and buyer–supplier relationship practices that paved the way for deeper buyer–supplier relationship improvement and improved SCP. On the contrary, the organisations that did not implement the industry 4.0 technologies had to deal with the issues of customer uncertainty. Besides, the results show that the implementation of Industry 4.0 and related technologies helps to implement SDP more effectively and affects the agility speed of BSR. The findings of the study will enable the firms to explore and assess the positive and negative effects within the supply chain networks. Thus, it will assist supply chain managers in evaluating pathways to leverage its potential and apply suitable strategies throughout the BSR process to capitalise on current and future business opportunities. Finally, the study concludes that SDP and BSR practices in an industry 4.0 environment help fortify BSR leading to enhanced SCP, competitive advantage, and profitability.

Explore related subjects

Discover the latest articles and news from researchers in related subjects, suggested using machine learning.

  • Industrial Management
  • Industries
  • Industry 4.0
  • Industrial Organization
  • Procurement
  • Supply Chain Management

Data availability

Not applicable.

References

  • Abd Rahman A, Bennett D (2009) Advanced manufacturing technology adoption in developing countries: The role of buyer-supplier relationships. J Manuf Technol Manag 20(8):1099–1118

    Article Google Scholar

  • Abdel-Basset M, Manogaran G, Mohamed M (2018) Internet of Things (IoT) and its impact on supply chain: a framework for building smart, secure and efficient systems. Futur Gener Comput Syst 86(1):614–628

    Article Google Scholar

  • Afraz MF, Bhatti SH, Ferraris A, Couturier J (2021) The impact of supply chain innovation on competitive advantage in the construction industry: Evidence from a moderated multi-mediation model. Technol Forecast Soc Chang 162(1):120370

    Article Google Scholar

  • Aghazadeh, H. and Maleki, H. (2023) ‘Stages of Buyer-Supplier Relationship Evolution Concerning the Future of Relationships: A Systematic Review’, Journal of the Knowledge Economy, (In Press).

  • Akrout H (2015) A process perspective on trust in buyer–supplier relationships calculus: an intrinsic component of trust evolution. Eur Bus Rev 27(1):17–33

    Article Google Scholar

  • Ambrose E, Marshall D, Fynes B, Lynch D (2008) Communication media selection in buyer-supplier relationships. Int J Oper Prod Manag 28(4):360–379

    Article Google Scholar

  • Aoki K, Wilhelm M (2017) The role of ambidexterity in managing buyer-supplier relationships: The Toyota case. Organ Sci 28(6):1080–1097

    Article Google Scholar

  • Asare A, Brashear T, Yang J, Kang J (2013) The relationship between supplier development and firm performance: the mediating role of marketing process improvement. Journal of Business & Industrial Marketing 18(6):523–532

    Article Google Scholar

  • Aslan I, Sis E, Çinar O, Bektaş Ç (2011) Improving a short and long-lasting supplier’s development plan. Econ Manag 16(1):647–653

    Google Scholar

  • Azadegan A (2011) Benefiting from supplier operational innovativeness: the influence of supplier evaluations and absorptive capacity. J Supply Chain Manag 47(2):49–64

    Article Google Scholar

  • Bag, S., Telukdarie, A., Pretorius, J. H. C and Gupta, S. (2018) ‘Industry 4.0 and supply chain sustainability: framework and future research directions’, Benchmarking: An International Journal, Vol. 28, No. 5, pp. 1410–1450.

  • Baihaqi I, Sohal AS (2013) The Impact of Information Sharing in Supply Chains on Organisational Performance: An Empirical Study. Production Planning & Control 24(8–9):743–758

    Article Google Scholar

  • Baldwin J, Lin Z (2002) Impediments to advanced technology adoption for Canadian manufacturers. Res Policy 31(1):1–18

    Article Google Scholar

  • Bals L, Turkulainen V (2021) Integration of the buyer–supplier interface for Global sourcing. Oper Manag Res 14(3):293–317

    Article Google Scholar

  • Barbieri P, Dattée B, Mahapatra SK (2023) The paradox of supplier development in technology-based luxury supply chains. Int J Oper Prod Manag 43(11):1723–1756

    Article Google Scholar

  • Barreto L, Amaral A, Pereira T (2017) Industry 4.0 implications in logistics: an overview. Procedia Manufacturing 13(1):1245–1252

    Article Google Scholar

  • Ben-Daya M, Hassini E, Bahroun Z (2019) Internet of things and supply chain management: a literature review. Int J Prod Res 57(15/16):1–24

    Google Scholar

  • Benitez GB, Ayala NF, Frank AG (2020) Industry 4.0 innovation ecosystems: An evolutionary perspective on value cocreation. Int J Prod Econ 228(1):107735

    Article Google Scholar

  • Bensaou M, Anderson E (1999) ’Buyer-supplier relations in industrial markets: when do buyers risk making idiosyncratic investments? Organ Sci 10(4):460–481

    Article Google Scholar

  • Benton WC Jr, Prahinski C, Fan Y (2020) The influence of supplier development programs on supplier performance. Int J Prod Econ 230(1):107793

    Article Google Scholar

  • Bienhaus F, Haddud A (2018) Procurement 4.0: factors influencing the digitisation of procurement and supply chains. Bus Process Manag J 24(4):965–984

    Article Google Scholar

  • Blome C, Paulraj A, Preuss L, Roehrich JK (2023) Trust and opportunism as paradoxical tension: Implications for achieving sustainability in buyer-supplier relationships. Ind Mark Manage 108(1):94–107

    Article Google Scholar

  • Boffelli A, Fratocchi L, Kalchschmidt M (2021) Doing the right thing or doing things right: what is better for a successful manufacturing reshoring? Oper Manag Res 14(1):1–16

    Article Google Scholar

  • Bourlakis M, Maglaras G, Gallear D, Fotopoulos C (2014) Examining Sustainability Performance in the Supply Chain: The Case of the Greek Dairy Sector. Ind Mark Manage 43(1):56–66

    Article Google Scholar

  • Brint A, Genovese A, Piccolo C, Taboada-Perez GJ (2020) Reducing data requirements when selecting key performance indicators for supply chain management: The case of a multinational automotive component manufacturer. Int J Prod Econ 233(1):107967

    Google Scholar

  • Butt AS, Shah SHH, Ahmad AB (2023) Does knowledge hiding undermine buyer-supplier relationship performance in supply chains? A dyadic perspective. VINE Journal of Information and Knowledge Management Systems 53(1):142–165

    Article Google Scholar

  • Buyukozkan G, Goçer F (2018) Digital supply chain: literature review and a proposed framework for future research. Comput Ind 97(1):157–177

    Article Google Scholar

  • Calatayud A, Mangan J, Christopher M (2018) The self-thinking supply chain. Supply Chain Management: an International Journal 115(6):22–37

    Google Scholar

  • Charpin R, Powell EE, Roth AV (2020) The influence of perceived host country political risk on foreign subunits’ supplier development strategies. J Oper Manag 67(3):329–359

    Article Google Scholar

  • Charterina J, Landeta J (2010) The pool effect of dyad-based capabilities on seller firms’ innovativeness. Eur J Innov Manag 13(2):172–196

    Article Google Scholar

  • Chavez R, Yu W, M. A. MAcobs, and M. Feng. (2017) Data-Driven Supply Chains, Manufacturing Capability and Customer Satisfaction. Production Planning & Control 28(11–12):906–918

    Article Google Scholar

  • Chivaka R (2007) Cost management along the supply chain. SA Journal of Accounting Research 21(1):1–29

    Google Scholar

  • Churchill GA Jr (1979) A paradigm for developing better measures of marketing constructs. J Mark Res 1(1):64–73

    Article Google Scholar

  • Collis DJ (1994) ‘Research note: how valuable are organisational capabilities? Strateg Manag J 15(1):143–152

    Article Google Scholar

  • Culot G, Nassimbeni G, Orzes G, Sartor M (2020) Behind the definition of Industry 4.0: Analysis and open questions. Int J Prod Econ 226(1):107617

    Article Google Scholar

  • Daghar A, Alinaghian L, Turner N (2020) The role of collaborative interorganizational relationships in supply chain risks: a systematic review using a social capital perspective. Supply Chain Management: an International Journal 26(2):279–296

    Article Google Scholar

  • Dalvi MV, Kant R (2015) Benefits, criteria and activities of supplier development: a categorical literature review. Asia Pac J Mark Logist 27(4):653–675

    Article Google Scholar

  • Dedrick J, Xu SX, Zhu KX (2008) How does information technology shape supply-chain structure? Evidence on the number of suppliers. J Manag Inf Syst 25(2):41–72

    Article Google Scholar

  • Dreyer HC, Strandhagen JO, Hvolby HH, Romsdal A, Alfnes E (2016) Supply Chain Strategies for Specialty Foods: A Norwegian Case Study. Production Planning & Control 27(11):878–893

    Article Google Scholar

  • Duffy R, Fearne A, Hornibrook S, Hutchinson K, Reid A (2013) Engaging suppliers in CRM: the role of justice in buyer–supplier relationships. Int J Inf Manage 33(1):20–27

    Google Scholar

  • Dweekat AJ, Hwang G, Park J (2017) A supply chain performance measurement approach using the internet of things: toward more practical SCPMS. Ind Manag Data Syst 117(2):267–286

    Article Google Scholar

  • Eisto T, Hölttä V, Mahlamäki K, Kollanus J, Nieminen M (2010) Early supplier involvement in new product development: a casting-network collaboration model. World Academy of Science, Engineering and Technology 62(1):856–866

    Google Scholar

  • Fatorachian, H. and Kazemi, H. (2021) ‘Impact of Industry 4.0 on supply chain performance’, Production Planning & Control‘, Vol. 32, No. 1, pp. 63–81.

  • Fawcett SE, Magnan GM, McCarter MW (2008) Benefits, Barriers, and Bridges to Effective Supply Chain Management. Supply Chain Management: an International Journal 13(1):35–48

    Article Google Scholar

  • Ferrari, A., Mangano, G., Cagliano, A. C. and De Marco, A. (2023) ‘4.0 technologies in city logistics: an empirical investigation of contextual factors. Operations Management Research, Vol. 16, No. 1, pp. 345–362.

  • Feng T, Sun L, Zhang Y (2010) The effects of customer and supplier involvement on competitive advantage: An empirical study in China. Ind Mark Manage 39(8):1384–1394

    Article Google Scholar

  • Ghadge A, Kara ME, Moradlou H, Goswami M (2020) The impact of Industry 4.0 implementation on supply chains. J Manuf Technol Manag 31(4):669–686

    Article Google Scholar

  • Gottge S, Menzel T, Forslund H (2020) Industry 4.0 technologies in the purchasing process. Ind Manag Data Syst 120(4):730–748

    Article Google Scholar

  • Govindan K, Mangla SK, Luthra S (2017) Prioritising Indicators in Improving Supply Chain Performance Using Fuzzy AHP: Insights from the Case Example of Four Indian Manufacturing Companies. Production Planning & Control 28(6–8):552–573

    Article Google Scholar

  • Gullett J, Do L, Canuto-Carranco M, Brister M, Turner S, Caldwell C (2009) The buyer–supplier relationship: An integrative model of ethics and trust. J Bus Ethics 90(3):329–341

    Article Google Scholar

  • Haddud A, DeSouza A, Khare A, Lee H (2017) Examining potential benefits and challenges associated with the Internet of Things integration in supply chains. J Manuf Technol Manag 28(8):1055–1085

    Article Google Scholar

  • Hahn CK, Watts CA, Kim KY (1990) The supplier development program: a conceptual model. Journal of Purchasing and Materials Management 26(2):2–7

    Article Google Scholar

  • Hair J., Black W., Babin B. Y. A., Anderson R. and Tatham R. (2010) Multivariate Data Analysis: A Global Perspective, Pearson Prentice Hall, New York, USA.

  • Hald SK, Ellegaard C (2011) Supplier evaluation processes: the shaping and reshaping of supplier performance. Int J Oper Prod Manag 31(8):888–910

    Article Google Scholar

  • Hald KS, Cordón C, Vollmann TE (2009) Towards an understanding of attraction in buyer-supplier relationships. Ind Mark Manage 38(8):960–970

    Article Google Scholar

  • Hald KS, Mouritsen J (2018) The evolution of performance measurement systems in a supply chain: A longitudinal case study on the role of interorganisational factors. Int J Prod Econ 205(1):256–271

    Article Google Scholar

  • Hendricks KB, Singhal VR (2008) The effect of supply chain disruptions on shareholder value. Total Qual Manag 19(7–8):777–791

    Article Google Scholar

  • Hofmann E, Rusch M (2017) Industry 4.0 and the current status as well as future prospects on logistics. Comput Ind 89(1):23–34

    Article Google Scholar

  • Hosmer LT (2008) The Ethics of Management, 6th edn. McGraw-Hill, New York, USA

    Google Scholar

  • Humphreys P, Cadden T, Wen-Li L, McHugh M (2011) An investigation into supplier development activities and their influence on performance in the Chinese electronics industry. Production Planning and Control 22(2):137–156

    Article Google Scholar

  • Humphreys PK, Li WL, Chan LY (2004) The impact of supplier development on buyer-supplier performance. Omega 32(2):131–143

    Article Google Scholar

  • Jääskeläinen A (2021) The relational outcomes of performance management in buyer-supplier relationships. Int J Prod Econ 232(1):107933

    Article Google Scholar

  • Jin Y, Vonderembse M, Ragu-Nathan TS, Smith JT (2014) Exploring relationships among IT-enabled sharing capability, supply chain flexibility, and competitive performance. Int J Prod Econ 153(1):24–34

    Article Google Scholar

  • Kache F, Seuring S (2017) Challenges and Opportunities of Digital Information at the Intersection of Big Data Analytics and Supply Chain Management. Int J Oper Prod Manag 37(1):10–36

    Article Google Scholar

  • Kadir KA, Tam OK, Ali H (2011) Patterns of supplier learning: Case studies in the Malaysian automotive industry. Asian Academy of Management Journal 16(1):1–20

    Google Scholar

  • Kagermann, H., Wahlster, W. and Helbig, J. (2013) ‘Recommendations for Implementing the Strategic Initiative Industrie 4.0 – Final Report of the Industrie 4.0 Working Group, Industry-Science Research Alliance, Frankfurt am Main.

  • Kamble SS, Gunasekaran A, Gawankar SA (2018) Sustainable Industry 4.0 framework: A systematic literature review identifying the current trends and future perspectives. Process Saf Environ Prot 117(1):408–425

    Article Google Scholar

  • Kamble S, Gunasekaran A, Dhone NC (2020) Industry 4.0 and lean manufacturing practices for sustainable organisational performance in Indian manufacturing companies. Int J Prod Res 58(5):1319–1337

    Article Google Scholar

  • Kamp B, Gibaja JJ (2021) Adoption of digital technologies and backshoring decisions: is there a link? Oper Manag Res 14(3):380–402

    Article Google Scholar

  • Kannan G, Kannan DA, Noorul H (2010) Analysing Supplier Development Criteria for an Automobile Industry. Ind Manag Data Syst 110(1):43–62

    Article Google Scholar

  • Kaynak H, Hartley JL (2008) A replication and extension of quality management into the supply chain. J Oper Manag 26(4):468–489

    Article Google Scholar

  • Kauffman R, Pointer L (2022) Impact of digital technology on velocity of B2B buyer-supplier relationship development. Journal of Business & Industrial Marketing 37(7):1515–1529

    Article Google Scholar

  • Kiel, D., Muller, J. M., Arnold, C. and Voigt, K. I. (2017) ‘Sustainable industrial value creation: benefits and challenges of Industry 4.0’, International Journal of Innovation Management, Vol. 21, No. 8, pp. 1740015–1–1740015–34.

  • Kim Y, Choi TY, Skilton PF (2015) Buyer–supplier embeddedness and patterns of innovation. Int J Oper Prod Manag 35(3):318–345

    Article Google Scholar

  • Kim Y, Choi TY (2021) Supplier relationship strategies and outcome dualities: An empirical study of embeddedness perspective. Int J Prod Econ 232(1):107930

    Article Google Scholar

  • Koufteros X, Vonderembse M, Jayaram M, J. (2005) Internal and external integration for product development: the contingency effects of uncertainty, equivocality, and platform strategy. Decis Sci 36(1):97–133

    Article Google Scholar

  • Krause DR (1997) Supplier development: current practices and outcomes. Int J Purch Mater Manag 33(1):12–19

    Google Scholar

  • Krause DR (1999) The antecedents of buying firms’ efforts to improve suppliers. J Oper Manag 17(2):205–224

    Article Google Scholar

  • Krause DR, Handfield RB, Scannell TV (1998) An empirical investigation of supplier development: reactive and strategic processes. J Oper Manag 17(1):39–58

    Article Google Scholar

  • Kumar S, Clemens C, A. and W. Keller, E. (2014) Supplier management in a manufacturing environment: A strategically focussed performance scorecard. Int J Product Perform Manag 63(1):127–138

    Article Google Scholar

  • Lambert DM, Schwieterman MA (2012) Supplier relationship management as a macro business process. Supply Chain Management: an International Journal 17(3):337–352

    Article Google Scholar

  • Lau AK (2011) Supplier and customer involvement on new product performance: Contextual factors and an empirical test from manufacturer perspective. Ind Manag Data Syst 111(6):910–942

    Article Google Scholar

  • Lee E, Han S, Nam HU, Rho JJ (2013) Building capabilities via suppliers’ effective management of relationships. Ind Mark Manage 42(5):805–813

    Article Google Scholar

  • Lee HL, Padmanabhan V, Whang S (2004) Information distortion in a supply chain: the bullwhip effect. Manage Sci 50(12):1875–1886

    Article Google Scholar

  • Leenders, M. R. and Blenkhorn, D. L. (1988) Reverse marketing: The new buyer-supplier relationship, Free Press; London: Collier Macmillan, New York, USA.

  • Legenvre H, Henke M, Ruile H (2020) Making sense of the impact of the internet of things on purchasing and supply management: a tension perspective. J Purch Supply Manag 26(1):100596

    Article Google Scholar

  • Li W, Humphreys PK, Chan LY, Kumaraswamy M (2003) Predicting purchasing performance: the role of supplier development programs. J Mater Process Technol 138(1):243–249

    Google Scholar

  • Li W, Humphreys PK, Yeung AC, Cheng TE (2007) The impact of specific supplier development efforts on buyer competitive advantage: an empirical model. Int J Prod Econ 106(1):230–247

    Article Google Scholar

  • Li X, Wu Q, Goldsby TJ, Holsapple CW (2022) Enduring buyer-supplier relationship and buyer performance: the mediating role of buyer-supplier dyadic embeddedness and supplier external embeddedness. European Journal of Management Studies 27(3):291–316

    Article Google Scholar

  • Lintukangas K (2011) Supplier relationship management capability in global supply management. International Journal of Procurement Management 4(1):1–19

    Article Google Scholar

  • Miguel PL, Brito LA, Fernandes AR, Tescari FV, Martins GS (2014) Relational value creation and appropriation in buyer-supplier relationships. Int J Phys Distrib Logist Manag 44(7):559–576

    Article Google Scholar

  • Mack EP, Powers TL (2015) Managing strategic supplier relationships: antecedents and outcomes. Journal of Business & Industrial Marketing 30(2):129–138

    Article Google Scholar

  • Manavalan E, MAyakrishna, K. (2019) A review of Internet of Things (IoT) embedded sustainable supply chain for industry 4.0 requirements. Comput Ind Eng 127(1):925–953

    Article Google Scholar

  • Matthess M, Kunkel S, Xue B, Beier G (2022) Supplier sustainability assessment in the age of Industry 4.0–Insights from the electronics industry. Cleaner Logistics and Supply Chain 4(1):100038

    Article Google Scholar

  • Marzouk M, Moselhi O (2003) A decision support tool for construction bidding. Constr Innov 3(2):111–124

    Article Google Scholar

  • McIvor R, Humphreys P (2004) Early supplier involvement in the design process: lessons from the electronics industry. Omega 32(3):179–199

    Article Google Scholar

  • Modi SB, Mabert VA (2007) Supplier development: Improving supplier performance through knowledge transfer. J Oper Manag 25(1):42–64

    Article Google Scholar

  • Morgan RM, Hunt S (1999) Relationship-based competitive advantage: the role of relationship marketing in marketing strategy. J Bus Res 46(3):281–290

    Article Google Scholar

  • Moshtari M, Vanpoucke E (2020) Building Successful NGO–Business Relationships: A Social Capital Perspective. J Supply Chain Manag 57(3):104–129

    Article Google Scholar

  • Muller JM (2019) Business model innovation in small-and medium-sized enterprises: strategies for industry 4.0 providers and users. J Manuf Technol Manag 30(8):1127–1142

    Article Google Scholar

  • Muller JM, Buliga O, Voigt K-I (2018) Fortune favors the prepared: how SMEs approach business model innovations in industry 4.0. Technol Forecast Soc Chang 132(1):2–17

    Article Google Scholar

  • Muller JM, Buliga O, Voigt K-I (2020) The role of absorptive capacity and innovation strategy in the design of Industry 4.0 business models – a comparison between SMEs and large enterprises. Eur Manag J 39(3):333–343

    Article Google Scholar

  • Najmi A, Makui A (2012) A Conceptual Model for Measuring Supply Chain’s Performance. Production Planning & Control 23(9):694–706

    Article Google Scholar

  • Narain R, Singh A (2012) Role of buyer-supplier relationship and trust in organisational performance. Delhi Business Review 13(2):73–82

    Article Google Scholar

  • Nunnally J. C. (1978) Psychometric Theory, Tata McGraw-Hill Education.

  • Nyaga GN, Whipple JM, Lynch DF (2010) ’Examining supply chain relationships: do buyer and supplier perspectives on collaborative relationships differ? J Oper Manag 28(2):101–114

    Article Google Scholar

  • Obal M, Lancioni RA (2013) Maximising buyer-supplier relationships in the digital era: concept and research agenda. Ind Mark Manage 42(6):851–854

    Article Google Scholar

  • Osmonbekov T, Johnston WJ (2018) Adoption of the internet of things technologies in business procurement: impact on organisational buying behavior. Journal of Business and Industrial Marketing 33(6):781–791

    Article Google Scholar

  • Pathak P (2023) Understanding the Impact of Digitalization on Buyer Supplier Relationship: A Qualitative Approach. Operations and Supply Chain Management: an International Journal 16(1):121–132

    Article Google Scholar

  • Papert M, Pflaum A (2017) Development of an ecosystem model for the realisation of internet of things (IoT) services in supply chain management. Electron Mark 27(2):175–189

    Article Google Scholar

  • Parhi S, Joshi K, Akarte M (2021) Smart manufacturing: A framework for managing performance. Int J Comput Integr Manuf 34(3):227–256

    Article Google Scholar

  • Parhi S, Joshi K, Akarte M (2022a) Decision-making in smart manufacturing: A framework for performance measurement. Int J Comput Integr Manuf 36(2):190–218

    Article Google Scholar

  • Parhi S, Joshi K, Wuest T, Akarte M (2022b) Factors affecting Industry 4.0 adoption–A hybrid SEM-ANN approach. Comput Ind Eng 168(1):108062

    Article Google Scholar

  • Patrucco AS, Moretto A, Knight L (2020) Does relationship control hinder relationship commitment? The role of supplier performance measurement systems in construction infrastructure projects. Int J Prod Econ 233(1):108000

    Google Scholar

  • Porter ME, Heppelmann JE (2014) How smart connected products are transforming competition. Harv Bus Rev 92(1):64–88

    Google Scholar

  • Powell DJ, Coughlan P (2020) Rethinking lean supplier development as a learning system. Int J Oper Prod Manag 40(7/8):921–943

    Article Google Scholar

  • Pozzi R, Rossi T, Secchi R (2023) Industry 4.0 technologies: Critical success factors for implementation and improvements in manufacturing companies. Production Planning & Control 34(2):139–158

    Article Google Scholar

  • Pradhan KS, Routroy S (2014) Analysing the performance of supplier development: a case study. Int J Product Perform Manag 63(2):209–233

    Article Google Scholar

  • Prahinski C, Benton WC (2004) Supplier evaluations: communication strategies to improve supplier performance. J Oper Manag 22(1):39–62

    Article Google Scholar

  • Praxmarer-Carus S, Sucky E, Durst S (2013) The relationship between the perceived shares of costs and earnings in supplier development programs and supplier satisfaction. Ind Mark Manage 42(2):202–210

    Article Google Scholar

  • Prior DD (2012) The effects of buyer-supplier relationships on buyer competitiveness. Journal of Business & Industrial Marketing 27(2):100–114

    Article Google Scholar

  • Raj A, Dwivedi G, Sharma A, de Sousa Jabbour ABL, Rajak S (2020) Barriers to the adoption of industry 4.0 technologies in the manufacturing sector: An inter-country comparative perspective. Int J Prod Econ 224(1):107546

    Article Google Scholar

  • Rokkan AI, Heide JB, Wathne KH (2003) Specific investments in marketing relationships: expropriation and bonding effects. J Mark Res 40(2):210–224

    Article Google Scholar

  • Rosell DT, Lakemond N, Wasti SN (2014) Integrating knowledge with suppliers at the R&D-manufacturing interface. J Manuf Technol Manag 25(2):240–257

    Article Google Scholar

  • Routroy S, Kumar CS (2015) Strategy for supplier development program implementation: a case study. International Journal of Services and Operations Management 21(2):238–264

    Article Google Scholar

  • Routroy, S. and Pradhan, S. K. (2013) ‘Evaluating the critical success factors of supplier development: a case study’, Benchmarking: An International Journal, Vol. 20, No. 3, pp. 322–341.

  • Saghiri SS, Mirzabeiki V (2020) ‘Buyer-led environmental supplier development: Can suppliers really help it? Int J Prod Econ 233(1):107969

    Google Scholar

  • Sako M (2004) Supplier development at Honda, Nissan and Toyota: comparative case studies of organisational capability enhancement. Ind Corp Chang 13(2):281–308

    Article Google Scholar

  • Salimian H, Rashidirad M, Soltani E (2020) Supplier quality management and performance: the effect of supply chain oriented culture. Production Planning & Control 32(11):942–958

    Article Google Scholar

  • Sánchez-Rodríguez C, Hemsworth D, Martínez-Lorente ÁR (2005) The effect of supplier development initiatives on purchasing performance: a structural model. Supply Chain Management: an International Journal 10(4):289–301

    Article Google Scholar

  • Sanders NR, Autry CW, Gligor DM (2011) The impact of buyer firm information connectivity enablers on supplier firm performance: a relational view. The International Journal of Logistics Management 22(2):179–201

    Article Google Scholar

  • Schiele H, Veldman J, Hüttinger L (2011) Supplier innovativeness and supplier pricing: The role of preferred customer status. Int J Innov Manag 15(01):1–27

    Article Google Scholar

  • Schmidt MC, Veile JW, M€uller, J. M. and Voigt, K.-I. (2019) Kick-start for connectivity – how to implement digital platforms successfully in industry 4.0. Technol Innov Manag Rev 9(10):5–15

    Article Google Scholar

  • Schmidt MC, Veile JW, Müller JM, Voigt KI (2023) Industry 4.0 implementation in the supply chain: a review on the evolution of buyer-supplier relationships. Int J Prod Res 61(17):6063–6080

    Article Google Scholar

  • Shahzad K, Sillanpää I, Sillanpää E, Imeri S (2016) Benchmarking supplier development: An empirical case study of validating a framework to improve buyer-supplier relationship. Management and Production Engineering Review 7(1):56–70

    Article Google Scholar

  • Sadiq S, MAjMA, M., Ali Brah, S., Zahoor Hassan, S. and R. Kannan, V. (2014) An examination of product innovation and buyer-supplier relationship in Pakistani firms. Int J Product Perform Manag 63(8):1031–1045

    Article Google Scholar

  • Shrivastava P, Ivanaj S, Ivanaj V (2016) Strategic Technological Innovation for Sustainable Development. Int J Technol Manage 70(1):76–107

    Article Google Scholar

  • Sillanpää I, Shahzad K, Sillanpää E (2015) Supplier development and buyer-supplier relationship strategies–a literature review. International Journal of Procurement Management 8(1–2):227–250

    Article Google Scholar

  • Slack N, Lewis M, Bates H (2004) ’The two worlds of operations management research and practice: can they meet, should they meet? Int J Oper Prod Manag 24(4):372–387

    Article Google Scholar

  • Song M, Di Benedetto CA (2008) Supplier’s involvement and success of radical new product development in new ventures. J Oper Manag 26(1):1–22

    Article Google Scholar

  • Sun S, Zhang F, Liao K, Chang V (2021) Determine Factors of NFC Mobile Payment Continuous Adoption in Shopping Malls: Evidence from Indonesia. International Journal of Business Intelligence Research 12(2):1–20

    Article Google Scholar

  • Sundtoft Hald K, Ellegaard C (2011) Supplier evaluation processes: the shaping and reshaping of supplier performance. Int J Oper Prod Manag 31(8):888–910

    Article Google Scholar

  • Swift C, Guide VDR Jr, Muthulingam S (2019) Does Supply Chain Visibility Affect Operating Performance? Evidence from Conflict Minerals Disclosures. J Oper Manag 65(5):1–24

    Article Google Scholar

  • Talavera MGV (2004) Development and validation of TQM constructs: The Philippine experience. GadMAh Mada International Journal of Business 6(3):355–381

    Google Scholar

  • Tansakul N, Suanmali S, Chinda T (2022) Development of supply chain performance index in dynamic environment: structural equation model. International Journal of Business Performance and Supply Chain Modelling 13(3):306–330

    Article Google Scholar

  • Thatte AA, Rao SS, Ragu-Nathan TS (2013) Impact of SCM practices of a firm on supply chain responsiveness and competitive advantage of a firm. J Appl Bus Res 29(2):499–530

    Article Google Scholar

  • Thun JH (2010) Angles of integration: an empirical analysis of the alignment of internet-based information technology and global supply chain integration. J Supply Chain Manag 46(2):30–44

    Article Google Scholar

  • TMAhjono, B., Esplugues, C., Ares, E. and Pelaez, G. (2017) ‘What does industry 4.0 mean to supply chain? Procedia Manufacturing, Vol. 13, No. 1, pp. 1175–1182.

  • Tu M (2018) An exploratory study of Internet of Things (IoT) adoption intention in logistics and supply chain management: a mixed research approach. The International Journal of Logistics Management 29(1):131–151

    Article Google Scholar

  • Um KH, Oh JY (2020) The interplay of governance mechanisms in supply chain collaboration and performance in buyer–supplier dyads: substitutes or complements. Int J Oper Prod Manag 40(4):415–448

    Article Google Scholar

  • Veile, J. W., Schmidt, M.C., Müller, J. M. and Voigt, K. I. (2020)’ Relationship follows technology! How Industry 4.0 reshapes future buyer-supplier relationships’, Journal of Manufacturing Technology Management, Vol. 32, No. 6, pp. 1245–1266.

  • Veile JW (2023) Acting in concert leads to success: how to implement Industry 4.0 effectively across companies. The International Journal of Logistics Management 34(5):1245–1275

    Article Google Scholar

  • Villena VH, Choi TY, Revilla E (2020) Mitigating Mechanisms for the Dark Side of Collaborative Buyer-Supplier Relationships: A Mixed-Method Study. J Supply Chain Manag 57(4):86–116

    Article Google Scholar

  • Villena VH, Revilla E, Choi TY (2010) The dark side of buyer-supplier relationships: a social capital perspective. J Oper Manag 29(6):561–576

    Article Google Scholar

  • Vives X (2008) Innovation and Competitive Pressure. J Ind Econ 56(3):419–469

    Article Google Scholar

  • Wang CL, Ahmed PK (2004) ’The development and validation of the organisational innovativeness construct using confirmatory factor analysis. Eur J Innov Manag 7(4):303–313

    Article Google Scholar

  • Watts CA, Hahn CK (1993) Supplier development programs: an empirical analysis. Int J Purch Mater Manag 29(1):10–17

    Google Scholar

  • Wei Z, Ulziisukh S, Bao Y, Zuo P, Wang Y (2021) Outsourcers’ control mechanisms, vendors’ contract schemas, and project performance in cross-border IT outsourcing: A vendor’s perspective. Ind Mark Manage 92(1):202–214

    Article Google Scholar

  • Weking J, Stöcker M, Kowalkiewicz M, Böhm M, Krcmar H (2020) Leveraging industry 4.0–A business model pattern framework. Int J Prod Econ 225(1):107588

    Article Google Scholar

  • Wiengarten F, Humphreys P, Gimenez C, McIvor R (2016) Risk, risk management practices, and the success of supply chain integration. Int J Prod Econ 171(3):361–370

    Article Google Scholar

  • Wikner J, B€ackstrand, J. (2018) Triadic perspective on customisation and supplier inter-action in customer-driven manufacturing. Production and Manufacturing Research 6(1):3–25

    Article Google Scholar

  • Wu L, Yue X, Jin A, Yen DC (2016) Smart supply chain management: a review and implications for future research. The International Journal of Logistics Management 27(2):395–417

    Article Google Scholar

  • Yang Z, Zhang H, Xie E (2017) Relative buyer-supplier relational strength and supplier’s information sharing with the buyer. J Bus Res 78(1):303–313

    Article Google Scholar

  • Yeung AC (2008) ’Strategic supply management, quality initiatives, and organisational performance. J Oper Manag 26(4):490–502

    Article Google Scholar

  • Yu Y, Zhang JZ, Cao Y, Kazancoglu Y (2021) Intelligent transformation of the manufacturing industry for Industry 4.0: Seizing financial benefits from supply chain relationship capital through enterprise green management. Technol Forecast Soc Chang 172(1):120999

    Article Google Scholar

  • Zu X, Kaynak H (2011) An agency theory perspective on supply chain quality management. Int J Oper Prod Manag 32(4):423–446

    Article Google Scholar

Acknowledgements

The authors are grateful to the anonymous referees of the journal for their extremely useful suggestions to improve the quality of the paper. Usual disclaimers apply.

Funding

The authors received no financial support for the research, authorship, and/or publication of this article.

Author information

Authors and Affiliations

  1. Sinhgad Institute of Business Management (SIBM), Mumbai, India

    Manoj Govind Kharat

  2. Department of Marketing Management and Strategy, K J Somaiya Institute of Management (KJSOM), Mumbai, India

    Mukesh Govind Kharat

  3. Department of Operations Management and Quantitative Techniques, IMI Bhubaneswar, Bhubaneswar, India

    Shreyanshu Parhi

  4. Department of Business Administration, Pranveer Singh Institute of Technology (PSIT), Kanpur, India

    Samridhi Kapoor

  5. Imperial College of Engineering and Research, 412207, Pune, India

    Sarang Prakashrao Joshi

  6. Department of Mechanical Engineering, Malaviya National Institute of Technology, 302017, Jaipur, India

    Rajeev Agrawal

Corresponding author

Correspondence to Shreyanshu Parhi.

Ethics declarations

Conflicting interests

The authors declared no potential conflicts of interest concerning the research, authorship, and/or publication of this article.

Competing of interest

The authors have no competing interests to declare that are relevant to the content of this article.

Additional information

Supplementary Information

Below is the link to the electronic supplementary material.

About this article

Cite this article

Kharat, M.G., Kharat, M.G., Parhi, S. et al. Strategic management of the dyadic buyer–supplier relationship and supplier development practices with respect to industry 4.0: An empirical study. Oper Manag Res 18, 821–847 (2025). https://doi.org/10.1007/s12063-025-00554-z

  • Received
  • Revised
  • Accepted
  • Published
  • Issue Date
  • DOI https://doi.org/10.1007/s12063-025-00554-z

Keywords

  • Supply chain management
  • Buyer–supplier relationships
  • Industry 4.0
  • Disruptive technologies
  • Supplier development practices
  • Structural equation modelling
  • Internet of Things (IoT)
  • Information and Business Management

Copyright © All rights reserved Designed and Developed by Digital Flavers

WhatsApp