Inter-Firm Knowledge Sharing and Its Effect on Relationship Value: A Global Supply Chain Perspective

Learning theories playa prominent role in new theories of competitive advantage. Despite the recent progress in understanding interorganizationallearning (inter-firm knowledge sharing), gaps and shortcomings remain. Inter-firm knowledge sharing involves risks and dilemma. Little is known about the charactetistics of global supply chain design that would encourage inter-firm knowledge sharing, and how these collaborative activities could lead to improving the long-term performance ofthe individual companies and the supply chain as a whole. Furthermore, previous studies on inter-firm collaboration mainly looked at operational efficiency as the key performance measurement. Relationship value should be taken as a more critical criterion variable when firms are driven by more demanding customers, global competition, and slowgrowth economies. Building from the resource-based view, transaction cost economics, relational exchange view, and political economy paradigm, this study seeks to provide insight to how firms commit their resources to engage in knowledge sharing activities with their overseas supply chain partners, and the implications on horizontal (i.e., crossborder) segmentation pertaining to firms\u27 sourcing and marketing strategy. Using the extant literature fronl the fields of marketing, supply chain management, and international business, a theoretical model was constructed and then tested through a Web survey involving 105 supply chain dyads (210 responses) from 4 manufacturers representing 3 industries with facilities located in 19 countries. The survey data were analyzed using structural equation modeling to simultaneously test the 8 hypotheses. Both the buyers and the sellers in this study shared the consensus that environmental uncertainty, environmental fit, organizational fit, and idiosyncratic investments facilitate inter-firm knowledge sharing in spite ofthe risks and dilemma associated with such activities. Both sides ofthe dyad also found the investments in such activities worthwhile, when outcomes were measured by relationship value, explored from the perspectives of both the buyers and the sellers

Employee-Based Brand Equity and Word-of-Mouth Product Referrals.

While the benefits of employee-based brand equity (EBBE) drive value to an organization, employees are often an over-looked asset in the overall marketing mix. Word of mouth (WOM) communications is one of the oldest and most trustworthy sources of advertising, yet little is known about the factors that influence employees to share WOM product referrals with their social network. Through a Grounded Theory approach, data suggests that employees who exhibit higher levels of EBBE behavior share product referrals within their social circle. Also, employees explore their personal and social identity while evaluating a referral decision. Further, they consider relationship and firm factors. As EBBE has not been studied in the context of physical-goods, this research is conducted in the context of firms that manufacture consumer goods. The study provides a conceptual model that includes factors that influence employee product referral behavior and several propositions that will be tested in future research

Beyond Supplier Relationship Management

In an effort to determine the sources of dysfunction that affect the integrity of supply in the pharmaceutical and medical device industry, a research collaboration was created by the academia, business practitioners and regulators. The research used a multi-stage effort that relied on the DMADV (define, measure, analyze, develop, and verify) approach to identify and propose solutions for key issues influencing the reliability of supply chains in an effort to improve existing processes of the participating firms. The data was collected over 3 years and involved 41 executives from 25 participating firms that had either Fortune 500 or Fortune 100 status with median revenues of $7.3 billion, The study found that conventional wisdom about Supplier Relationship Management (SRM) is not working as intended due to the following issues: (1) A top-down mentality within the buying organization; (2) A lack of purposeful engagement with suppliers; (3) A lack of robust internal alignment and (4) The ‘dark side’ of a close relationship with suppliers/customers. The research also identified two significant shifts in the current conceptualization of SRM practices. The first paradigm shift was: From “our suppliers are causing the problems” to “we are causing the problems”. The next paradigm shift was: From “Suppliers are suppliers” to “Suppliers are customers first”. Finally, the research proposes a set of Good Supply Practices to increase manufacturers’ confidence in their products. The solutions include practices such as: robust internal alignment, purposeful transparency; comprehensive supplier qualification and manufacturer self-qualification