A contingency-configurational view of purchasing operations: The mediating role between supplier relationship and firm performance |
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| Affiliation: | 1. Production Economics Group (Núcleo de Economia da Produção – NECOP), Department of Industrial Engineering, Universidade Federal do Rio Grande do Sul, Brazil;2. Organizational Engineering Group (Núcleo de Engenharia Organizacional – NEO), Department of Industrial Engineering, Universidade Federal do Rio Grande do Sul, Brazil;3. Department of Management, Fundação Dom Cabral, Brazil;4. Industrial and Systems Engineering Graduate Program, Polytechnic School, Pontifical Catholic University of Parana (PUCPR), Curitiba, Brazil;1. Supply Chain Management, W. P. Carey School of Business, Arizona State University, USA;2. Department of Industrial Economics and Technology Management, Norwegian University of Science and Technology, Norway;1. Colorado State University, United States;2. Georgia State University, United States;3. Arizona State University, United States;1. G. Brint Ryan College of Business, University of North Texas, 1155 Union Circle, #311396, Denton, TX, 76203-5017, USA;2. Collat School of Business, The University of Alabama at Birmingham, Department of Marketing, Industrial Distribution, and Economics, CSB 257, 1720 2nd Avenue South, Birmingham, AL, 35294-1460, USA;3. Bryant University, 1150 Douglas Pike, Smithfield, RI, 02917, USA;4. U.S. Air Force Installation Contracting Center, San Antonio, TX, 78148, USA;1. Department of Supply Chain Management, Broad College of Business, Michigan State University, 632 Bogue Street, East Lansing, MI, 48824, USA;2. School of Business, Portland State University KMC 430K, 631 SW Harrison St., Portland, OR, 97201, USA;3. CEO & Founder, Resilinc, 1525 McCarthy Blvd., Suite 1000, Milpitas, CA 95035, USA;4. W. P. Carey School of Business, Arizona State University, Tempe, AZ, 85287-4706, USA |
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| Abstract: | ![]()
The literature has considered purchasing and supply management activities from a strategic perspective, but the tactical role of purchasing operations has yet to be explored. Purchasing operations represent the internal modus operandi for transactions with suppliers, comprising three main activities – purchasing transactions, purchasing document management, and purchasing assessment – and supportive activities like purchasing knowledge management. Following the contingency theory, we hypothesize that these internal activities mediate between external supplier relationship management and firm performance (financial, customer and delivery performance). Complementarily, we adopt the configurational theory to hypothesize that this link between external and internal activities can be combined to increase firm performance. To test this contingency-configurational view of purchasing operations, we conducted a quantitative survey with 234 companies. The regression results of the contingency analysis show that purchasing operations activities have a full mediation role in most relationships between supplier relationship management and firm performance, while knowledge management positively moderates the association between purchasing assessment and customer performance. Moreover, the cluster analysis for the configurational analysis shows that supplier relationship management and purchasing operations follow maturity levels of joint implementation of internal and external activities. Our findings shed light on the purchasing operations by defining the activities representing this concept and showing their role in supply management. We also contribute to practice by proposing an integrative system that helps managers organize the firm's purchasing and supply management activities. |
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| Keywords: | Purchasing operations Firm performance Contingency theory Configurational theory |
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