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Publisher : Elsevier - Science Direct (الزویر - ساینس دایرکت)
Journal : Industrial Marketing Management, Volume 33, Issue 4, May 2004, Pages 317–323
Previous research has reported that the decision criteria used to evaluate suppliers differs by product category. Rather than investigating the “key buying criteria” across the entire gamut of products and services, this research takes a novel approach by investigating the evaluation criteria used in the procurement of component parts. The survey results suggest that the content and structure of the decision criteria used by business customers to assess their suppliers does not differ across an array of electronic components. The business implication is that business customers that formally track the performance of their suppliers along the critical evaluation criteria will be in a better position to gain a competitive advantage by effectively managing the inbound supply chain.
In light of the fact that purchasing is directly linked to overall organizational success Carter & Narasimhan, 1996, Ellram et al., 2002, Goh et al., 1999 and Tan et al., 1998, senior management directives pertaining to a firm's procurement activity have become increasingly commonplace in today's organization (Poirier & Bauer, 2001). Much of this attention is driven by the understanding that initiatives focusing on the inbound supply chain can assist the firm in reducing costs Ojo & Lamb, 2001 and Shirouzu, 2002, increasing velocity to market Davis et al., 2002, Griffin, 2002, Stalk, 1988 and Suri, 1998, and enhancing the value proposition to the end user Day, 1999, Magretta, 1998 and Porter, 2001. Thus, previous writings have clearly articulated that attending to the organizational buying activity can provide a basis for securing a competitive advantage. In an attempt to harness the gains that attending to the inbound supply chain can yield, progressive buying organizations are systematically managing their supplier base by monitoring critical operational (task-related) metrics (Giunipero & Brewer, 1993). A recent study reports that 85% of the firms surveyed have implemented a formal monitoring system to track supplier performance so as to realize cost, time, and quality improvements (Trent & Monczka, 1998). The same study also mentions that 90% of the CEOs and presidents at these firms expressed interest in reviewing and evaluating purchasing performance measures on a regular basis. As such, the question has become one of identifying the metrics that a firm must track in order to realize the full range of benefits that can accrue from effectively managing its supplier portfolio. The supplier selection (or organizational buying) literature has long held that product quality, delivery, price, and service are the key attributes that are used to assess the performance capabilities of vendors Dempsey, 1978, Dickson, 1966, Evans, 1981, Lehmann & O'Shaughnessy, 1974, Lehmann & O'Shaughnessy, 1982, Matthyssens & Faes, 1985 and Wilson, 1994. This body of knowledge has readily established that the “key buying criteria” used by a business customer to evaluate a supplier will vary across product categories (e.g., the content and structure of the choice criteria utilized by firms to acquire forklifts will differ in relation to the factors that will influence the purchase of MROs). Whether the content and structure of the decision criteria used to evaluate a supplier hold within a given product category, however, remains largely unexplored. To this point, some academics have suggested that it may be necessary to develop a theory for each of the various product classes (Choffray & Lilien, 1978). Thus, the aim of this manuscript is to answer this call by investigating whether differences exist within the decision criteria used by manufacturers to evaluate suppliers from whom they purchase an array of component parts ranging from commodities (e.g., fasteners or capacitors) to highly customized inputs (e.g., printed circuit boards). In light of the possibility that the decision criteria used by business customers in evaluating their component parts’ suppliers may vary by industry Bennion & Redmond, 1994, Giunipero & Brewer, 1993, Jackson, 1985, Oliver, 1997 and Sharma & Achabal, 1982, it is necessary to select a homogenous setting so as to reduce the unnecessary noise that may arise from situational idiosyncrasies (Cook & Campbell, 1979). Since electronics manufacturers spend anywhere from 22% to 53% of their annual sales revenues on the procurement of goods and services from suppliers Anderson et al., 1987 and Killen & Kamauff, 1995, this effort seeks to advance a purchase evaluation theory for the procurement of component parts within this context.
نتیجه گیری انگلیسی
Organizations rely on suppliers for a plethora of inputs. These suppliers can have a tremendous impact on the firm's bottom line as significant resources are typically devoted to organizational procurement. Moreover, these suppliers can influence the perceptions that downstream consumers hold about the organization's products as well as the velocity with which products reach the market. Thus, it has become widely accepted that world-class procurement practices can provide a basis for securing a competitive advantage. Lured by this promise, progressive buying organizations are formally monitoring the task-related performance of their entire supplier base. Even though past research reports that the decision criteria may vary across product categories and industries, whether they hold consistent within a product category remains largely unexplored. The results here suggest that the ranking of the decision criteria used by business customers to evaluate the performance capabilities of vendors remains consistent across a broad array of components. The business implication is that those firms that formally track the performance of their suppliers along the critical evaluation criteria will be in a better position to capture the full potential from their electronic components suppliers.