Financial benefits and risks of dependency in triadic supply chain relationships

The economic consequences of interdependent relationships with suppliers and customers have long been of interest to supply chain managers and academics alike. Whereas previous studies have focused on the benefits or risks of embedded relationships that accrue to buying firms, this study simultaneously investigates the effects of a supplier's and a customer's embeddedness, arising from resource dependency, on a focal firm's financial performance in triadic supply chain relationships. Using 1,144 unique focal firm-years for U.S. firms from Compustat, we find that a supplier's and a customer's dependency both increase the focal firm's performance in terms of return on assets (ROA) and return on sales (ROS) by increasing asset turnover (ATO). As levels of supplier and customer dependency on the focal firm increase, however, the economic benefits of customer dependency diminish beyond a certain point, while those of supplier dependency continue to increase above that threshold. Thus, our findings show the paradoxically differing risks of the supplier's versus the customer's dependency, while establishing the unequivocal economic benefits of supplier and customer relations for focal firms in the middle of concentrated triadic relationships.     

Supplier empowerment: Mediating situational factors and perceived performance

The understanding of the behavioral and cognitive factors that affect organizations' performance has attracted increasing attention of scholars and practitioners. Based on the literature of psychological empowerment at the individual and the team levels, this study develops the concept of supplier empowerment in the context of purchasing and supply management. Further, this study proposes a research model that explores the role of supplier empowerment as a cognitive concept in mediating the relationship between situational factors (a supplier's process modularity and the mutual trust with its customers/buyers) and the supplier's perceived performance in its operations and customer service. This model is tested with 208 responses from automotive industry suppliers. The findings highlight the importance of empowered suppliers in decreasing inventory levels and increasing order fulfillment performance.     

Unit-level linkages between employee commitment to the organization,customer service delivery and customer satisfaction

Service profit chain and service climate research identifies the importance of employee attitudes and employee service behavior as mediating between organizational practices and customer satisfaction. While the importance of employee attitudes and customer service performance are acknowledged, there are calls to more precisely specify proximal mediators between employee attitudes and customer satisfaction. We propose a model in which the relationship between unit-level organizational commitment and customer attitudes is not direct but mediated via employees' customer service delivery including queuing time, serving time and service quality. We conducted a longitudinal unit-level analysis (N = 39) aggregating employee (N over 893) organizational commitment and customer (N over 1248) satisfaction data, and customer service behavior drawn from organizational records. Our model received reasonable support from basic tests of the predictive associations between unit-level organizational commitment, customer-relevant employee behaviors and customer satisfaction; however, organizational commitment was not found to be an important predictor in more rigorous change analyses. The findings as a whole therefore suggest that organizational commitment is a feature of units delivering fast, quality service, but its causal role is as yet unclear.     

Supplier dependence asymmetry and investment in innovation: The role of psychological uncertainty

A key source of competitive advantage for large firms accrues from investments in innovative products and processes by their suppliers, incentivized by a positive relationship climate. A fundamental hindrance lies in a condition that commonly characterizes buyer-supplier relationships: asymmetric levels of dependence between business partners. Such asymmetry has been shown to be detrimental to the relationship, enhancing the likelihood of conflict, and negatively impacting the performance of the more dependent party. Considering that such dependence asymmetry is likely to persist, large buyers face the challenge of promoting a relationship environment that provides an incentive for suppliers to invest in innovation. In this study, we propose that large, dominant buyers can influence suppliers' intentions and behaviors by mitigating the effects of their perceived riskiness and ambiguity that emerge from a situation of dependence asymmetry. Specifically, using the lens of resource dependence theory, we investigate the effects of these two psychological dimensions of uncertainty on a supplier's trust, commitment, and willingness to invest in innovation, as well as the moderating effect of a buyer's information sharing in shaping a supplier's perceived uncertainty. The model is tested with a scenario-based experiment and results are corroborated by interviews with experienced managers of retail suppliers. Our findings indicate that a supplier's dependence on a large buyer increases its perception of ambiguity and riskiness in the relationship, negatively impacting its trust, commitment, and willingness to invest in innovation. However, a buyer who shares relevant and timely information with the supplier mitigates its perceived uncertainty, promoting the supplier's positive attitudes towards the buyer and incentivizing innovation. Sharing operational and strategic information such as point-of-sales data, sales forecasts, or strategic plans, becomes a valuable strategy to powerful buyers in the pursuit of becoming a preferred customer and enhancing a supplier's resource mobilization towards the relationship.     

Customers satisfaction in pediatric inpatient services: A multiple criteria satisfaction analysis

ObjectiveTo assess customer satisfaction determinants in a public pediatric inpatient service and propose some strategies to enhance the consumer and customer experience.MethodsWe applied a Multiple Criteria Customer Satisfaction Analysis to estimate the value functions associated with each satisfaction (sub)criterion and determine the corresponding weights. We characterized satisfaction criteria (according to the Kano's model), estimated the customers' demanding nature and the potential improvements, and proposed strategic priorities and opportunities to enhance customer satisfaction.Main findingsStrategies for satisfaction enhancement do not depend solely on the criteria with the lowest satisfaction levels and the estimated weights, each criterion's nature, the customers' demanding nature, and the technical margin for improvements.ConclusionsAreas deserving attention include clinical staff's communication skills, the non-clinical professionals' efficiency, availability, and kindness; food quality; visits' scheduling and quantity; and facilities' comfort.     

Learning by customers as co-producers in financial services: An empirical study of the effects of learning channels and customer characteristics

As customers become more involved in executing service tasks, service performance is increasingly reliant on the efficiency and effectiveness of this customer co-production. While organizational and employee learning have been extensively studied, learning by customers in their role as co-producers is largely unexplored. To explore how customers learn to be better co-producers, we examine whether learning channels and customer characteristics impact the customer learning rate. Using longitudinal panel data consisting of 954 customers who adopted and used a bank??s online banking product over a 12-month period, we find that service delivery channels can have dual effects on customer learning, acting as learning channels to accelerate customer learning and/or impeding learning through channel substitution. In addition, customers?? experiences working on related technology-mediated tasks and absorptive capacity increase their learning rate. Overall, our results suggest that customer learning can be designed into the service delivery system by encouraging the use of channels with complementary learning effects and discouraging channel substitution.     

Supplier satisfaction: Conceptual basics and explorative findings

In the past, supplier satisfaction has not been a major topic of interest within purchasing and industrial management from either a practitioner or an academic point of view. Yet, successfully managing buyer–supplier relationships is difficult without taking the supplier's satisfaction into account. Consequently, analysing supplier satisfaction should take into account interaction processes within buyer–supplier relationships (e.g., exchange of information) as well as the atmosphere within these relationships (e.g., power dependence). This paper aims to explore the construct of supplier satisfaction as a factor of buyer–supplier relationship quality. Supplier satisfaction is defined as a supplier's feeling of fairness with regard to buyer's incentives and supplier's contributions within an industrial buyer–seller relationship. Supplier satisfaction as a complex construct is operationalised through an index, and its determinants are measured using a survey.     

The impact of primary service and servicescape on customer satisfaction in a leisure service setting: an empirical investigation among theatregoers

• This paper investigates the effects of perceived primary service and perceived servicescape on customer satisfaction in theatres. According to a questionnaire study, among n = 2897 theatregoers in 12 German‐speaking theatres, factors pertaining to the perceived primary service are most influential on customer satisfaction (in particular, the perceived artistic quality, followed by visitors' emotional and cognitive response to the performance). Contrariwise, factors pertaining to the perceived servicescape (i.e. seating and view; other customers' behaviour) are only of minor relevance for customer satisfaction. Furthermore, the influence of both perceived primary service quality and perceived servicescape quality on customer satisfaction is subject to moderating individual factors, such as visitors' theatrical competence and their motivation for attending a theatre performance.

Copyright © 2015 John Wiley & Sons, Ltd.     

Customer concentration and analyst following: Evidence from China

This study explores the influence of customer concentration on analyst following based on Chinese listed companies. Companies with higher customer concentrations have lower degrees of analyst following. The suppression effect of customer concentration on analyst following is more significant in industries with fierce competition. In companies with a longer accounts payable turnover cycle, the suppression effect of customer concentration on analyst following is more significant. Overall, our results suggest that the concentration of a supplier's customers greatly influences the corresponding behavior of analysts.     

A gap model of purchasing's internal service quality: Concept,case study and internal survey

Traditionally, the monitoring of a purchasing department's performance is primarily focused on cost analysis and the evaluation of suppliers rather than on internal service aspects. Therefore, the main objective of this paper is to develop an instrument for the measurement of the internal service quality of purchasing departments. Based on the SERVQUAL and the general gap model of service quality, a specific gap model regarding purchasing's internal service quality was developed. Similar to previous research, both the perceptions of the actual service and the internal customers’ expectations of the service quality were included. In addition, the model contains a self-evaluation by contrasting the views (expectations and perceptions) of the internal customer with those of the purchaser. The application of this instrument in a large company demonstrates the general usefulness of this instrument. Statements of 145 internal customers and 36 purchasers were available for statistical analysis. The results of this analysis can be helpful in detecting weak points and sources of internal customers’ dissatisfaction.     

The impact of supplier dependence on suppliers' CSR: The moderating role of industrial dynamism and corporate transparency

To improve corporate social responsibility (CSR) in the supply chain, focal buyers may use supplier dependence to influence the supplier's resource strategy to promote the supplier's CSR initiatives. Thus, supplier dependence is particularly critical to the supplier's CSR, especially for Chinese suppliers with resource constraints. However, there is limited understanding and research on the degree to which a supplier depends on major buyers for the supplier's CSR from the supplier's perspective. Based on a sample of 284 Chinese listed companies, this study analyses the relationship between supplier dependence and suppliers' CSR through the lens of resource dependence theory (RDT). In addition, we investigate the moderating roles of industrial dynamism and corporate transparency in the relationship between supplier dependence and suppliers' CSR. The results indicate that supplier dependence has a negative impact on the Chinese supplier's CSR performance. Meanwhile, the negative impact of supplier dependence is mitigated for the supplier's more volatile industrial context, while improving corporate transparency enhances the negative impact of supplier dependence. This study verifies the applicability of RDT for the analysis of CSR in the supply chain in emerging markets such as China. Moreover, the study further extends research on the role of buyer-supplier relationships in CSR in the supply chain by extending the research perspective to the supplier side and adding the external and internal uncertainty of the supplier to the theoretical framework for analysis. We also provide managerial implications for implementing Chinese suppliers' CSR from the buyer's and supplier's perspectives.     

顾客参与对行为意向的影响研究

本文基于顾客参与理论及相关研究文献,以美发业为分析单位,建立顾客参与对行为意向影响的关系模型,在问卷调查的基础上得出数据,并运用SPSS15．0和LISREL软件进行结构方程模型等分析以验证假设检验。实证分析结果表明：顾客参与的信息分享维度对服务质量和行为意向的影响不显著;顾客参与的责任行为维度对服务质量和行为意向分别产生正向显著影响;顾客参与的人际互动维度对服务质量产生直接影响,并以服务质量为中介变量影响行为意向。因此,建议服务企业鼓励顾客参与服务传递过程、加强关系营销并不断提高服务质量。     

Understanding customer satisfaction in opera: first steps toward a model

• Despite the frequent call for a strengthened customer orientation in performing arts organizations, no efforts have been made to investigate customer satisfaction in opera so far. The paper aims at filling this gap by suggesting a first integrative model of customer satisfaction in opera. This model integrates insights from both services marketing literature (i.e., general services marketing and performing arts marketing) and performing arts literature (i.e., music perception and theater studies). The model is tested in a field study interviewing 116 visitors of a public German opera house. Results reveal visitors' level of appraisal to be the main antecedent of their satisfaction, followed by their perception of the artistic quality, empathy/identification with the actors on stage, and recall from memory. Furthermore, differences within the audience regarding the relative importance of the antecedents of customer satisfaction in opera are investigated. Using gender and attendance frequency as segmentation variables, only minor differences are found, though. Managerial implications for opera marketing are discussed in conclusion. First, efforts in opera marketing should rather concentrate on the core service quality instead of the peripheral service quality. Second, professional opera companies may attract broader audiences if they focus on the emotional satisfaction of their customers. Third, since only minor and mostly insignificant differences between men and women, and occasional compared to frequent visitors are found, a need for further research to explore alternative segmentation variables in the opera context is identified.

Copyright © 2010 John Wiley & Sons, Ltd.     

虚拟社区之BBS服务质量实证研究

基于PZB理论建立了一个6维度的BBS服务质量测评模型,并对此模型进行了实证检验,之后依据该模型对我国BBS当前服务质量与顾客满意度进行了实际测评。结果表明互动性是对BBS用户满意度影响最大的服务质量因素,而移情性对顾客满意度并无影响;互动性的提升是提高我国当前BBS服务质量的首要任务。     

Questioning the relevance of supplier satisfaction for preferred customer treatment: Antecedent effects of comparative alternatives and multi-dimensionality

Through the construct of supplier satisfaction, recent research explains the supplier's preferred treatment of a given customer. This cause-and-effect phenomenon is often not contrasted with other reasons or controlled for. This work addresses this issue and uses two tactics to elaborate upon social exchange theory, namely, construct splitting and construct contrasting, to analyse the development of preferential customer treatment. For this purpose, a structural equation model is used with data from the international automotive industry. The results extend the breadth of constructs explaining preferred customer treatment (PCT) and challenge the existing reasoning by questioning the relative importance of supplier satisfaction. While supplier satisfaction does affect PCT, the relative supplier satisfaction defined as a comparison of outcomes between the actual and the best alternative business relationships influences PCT much more.Furthermore, by distinguishing between the economic and non-economic dimensions of supplier satisfaction, the study indicate that economic satisfaction has a higher influence on the relative satisfaction whereas social satisfaction a higher one on absolute supplier satisfaction.These findings imply that despite the current debate about the importance of behavioural constructs such as supplier interaction and social capital, supplier resource allocation decisions are actually dominated by economic and relative aspects of satisfaction. This outcome calls for a more economically driven debate about behavioural supply management approaches.     

Supplier's involvement and success of radical new product development in new ventures

Supplier involvement is essential to a new venture seeking to develop a radical innovation. Despite this, prior literature has not adequately addressed supplier involvement in radical innovation, nor what the antecedents to increased supplier involvement are. We build and test a conceptual model of the antecedents and new product performance outcomes of supplier involvement in the development of radical innovation by new ventures. Antecedent variables (supplier's specific investments and the new venture's qualification of the supplier's abilities) are drawn from the transaction cost analysis literature. We include new venture's relative power and new venture's level of commitment to the supplier as contingency conditions. We develop a set of hypotheses relating supplier involvement to radical innovation performance, relating the antecedent variables to supplier involvement, and also testing the interaction effects of the two contingency conditions. We gather data from both new ventures and their major suppliers for 173 recent radical innovation projects, and use hierarchical regression analysis to test our hypotheses. We find that the contingency conditions moderate achieved levels of supplier involvement, and also find a direct relationship between achieved level of involvement and performance. We conclude with theoretical contributions and managerial implications.     

R&D Outsourcing and the Effectiveness of Intangible Investments: Is Proprietary Core Knowledge Walking out of the Door?

Intangible relationship‐specific investments can be double‐edged swords, as they facilitate not only the governance of business relationships but also undesired knowledge transfers. Building on transaction costs theory and the relational view of alliances, we analyse the effectiveness of these investments in R&D outsourcing agreements from the viewpoint of the client. We argue that, when outsourcing to business firms, the safeguards adopted by the clients to prevent spillovers may reduce the effectiveness of the supplier's specialized investments. Using original survey data from 170 European and US technology‐intensive firms, we find that the contribution of these investments to client performance decreases the more a client's core knowledge is required to perform the service, except when outsourcing to non‐profits. This suggests that as the appropriability hazards associated with outsourcing to business firms rise, the client is able to capture less value from the supplier's relationship‐specific investments.     

Supply chain finance: A three-party decision model with suppliers' guarantees for retailers

Under the premise that financing constraints frequently occur in the supply chain, this paper investigates the financing model of the supplier providing guarantee for the retailer under symmetric and asymmetric information. The optimal solutions of the retailer, the supplier, and the bank are studied by using the Stackelberg game. Results show that increasing the supplier's guarantee proportion can effectively improve the bank's reasonable margin rate and increase the supplier's profit. Under the condition of asymmetric information, the bank can increase the probability of credit loan in the supply chain by reducing the cost of spot check and setting up a reasonable fine limit.     

A case study on the application of Fuzzy QFD in TRIZ for service quality improvement

The improvement of service quality so as to enhance customer satisfaction has been widely mentioned over the past few decades. However, a creative and systematic way of achieving higher customer satisfaction in terms of service quality is rarely discussed. Recently, TRIZ, a Russian acronym which means “Theory of Inventive Problem Solving,” has been proven to be a well-structured and innovative way to solve problems in both technical and non-technical areas. In this study, a systematic model based on the TRIZ methodology is proposed to generate creative solutions for service quality improvement. This is done by examining first the determinants of service quality based on a comprehensive qualitative study in the electronic commerce sector. Then the correlation between the imprecise requirements from customers and the determinants of service quality is analyzed with Fuzzy Quality Function Deployment (QFD) in order to identify the critical determinants relating to customer satisfaction. After which, the corresponding TRIZ engineering parameters can be effectively applied in the TRIZ contradiction matrix to identify the inventive principles. A case study is illustrated to demonstrate the effectiveness of our approach in an e-commerce company, and its results are presented to show the applicability of the TRIZ methodology in the e-service sector.