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Strategic purchasing, supply management, and firm performance
Abstract
Purchasing has increasingly assumed a pivotal strategic role in supply‐chain management. Yet, claims of the strategic role of purchasing have not been fully subjected to rigorous theoretical and empirical scrutiny. Extant research has remained largely anecdotal and theoretically under‐developed. In this paper, we examine the links among strategic purchasing, supply management, and firm performance. We argue that strategic purchasing can engender sustainable competitive advantage by enabling firms to: (a) foster close working relationships with a limited number of suppliers; (b) promote open communication among supply‐chain partners; and (c) develop long‐term strategic relationship orientation to achieve mutual gains. Using structural equation modeling, we empirically test a number of hypothesized relationships based on a sample of 221 United States manufacturing firms. Our results provide robust support for the links between strategic purchasing, supply management, customer responsiveness, and financial performance of the buying firm. Implications for future research and managerial practice in supply‐chain management are also offered.
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Metadata
- Authors
- Chen, I. J., Paulraj, A., & Lado, A. A.
- Venue
- Journal of Operations Management
- Publisher
- Wiley
- Published
- 2004-08-09
- Volume
- 22
- Issue
- 5
- Pages
- 505-523
- ISSN
- 0272-6963 (ISSN-L)
- 1873-1317
- OpenAlex
- W2106080643
- Cited by
- 940
- References
- 135
- FWCI
- 32.88
- Type
- journal article
- Language
- en
- Open access
- closed
About these checks
Registry, retraction, Cites and statistics results are computed, not judged, with one exception: a printed reference that no index lists is read once by a model before it counts as a citation error. Claims are extracted by a model and kept only when their quote appears verbatim in the text; each cited source is then checked, with a model’s help, for whether it says what the claim relies on. Those verdicts can be wrong — read the claim’s quote and the cited source before relying on one.
Statistics and arithmetic are recomputed, not judged.
Confidence bands are shown only for fields calibrated on our annotated test set. None is calibrated yet, so no band is shown.
What counts as a claim ›How we measure confidence ›How we check this ›
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Data sources
Bibliographic data: Semantic Scholar, OpenAlex, Crossref.
Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.