Comprehensive performance measurement systems design and organizational effectiveness

Purpose The purpose of this paper is to provide empirical evidence regarding the relationship between the level of comprehensiveness of a performance measurement system (PMS) and its respective organizational effectiveness. The extant literature has highlighted that a PMS may successfully contribute to the implementation of the organizational strategy, with the balanced scorecard (BSC) serving as an exemplar of a strategy performance management tool and playing a primary role to this end. However, the reasons for the overall high rate of failure in the implementation of the BSC remain unexplained and, to date, little empirical research exists regarding the design of PMSs such as the BSC and its constituent elements. Design/methodology/approach Using a survey of 103 Italian managers, the paper advances a model describing a comprehensive BSC design, after identifying the key attributes from the performance management literature. Data were analyzed using cluster analysis and multiple regression analysis. Findings Results suggest that organizations are implementing the BSC following two different approaches, which vary from a less comprehensive to a more comprehensive design. More importantly, the BSC design explains variation across three organizational effectiveness measures: improvements in translating the organizational strategy into operational goals, understanding cause–effect relationships and enhancing internal communication among employees. Originality/value The paper builds on and extends the previous literature on performance management in two ways. First, via a literature review, it introduces a model describing a comprehensive BSC design, which includes 12 attributes. Second, it demonstrates that organizational effectiveness varies positively with the level of comprehensiveness of the BSC design

Supply chain management as the key to a firm’s strategy in the global marketplace

Purpose: This research aims to analyze the intersection of two literature streams: that of strategy and supply chain management (SCM). This review should create a better understanding of “strategic SCM” by focusing on relevant theories in the strategic management field and their intersection with SCM to develop a joint research agenda. Design/Methodology/Approach: We conducted a correspondence analysis on the content of 3,402 articles from the top SCM journals. This analysis provides a map of the intellectual structure of content in this field to date. The key trends and changes were identified in strategic SCM research from 1990-2014 as well as the intersection with the key schools of strategic management. Findings: The results suggest that SCM is key to a successful deployment of strategy for competing in the global marketplace. The main theoretical foundations for research in this field were identified and discussed. Gaps were detected and combinations of theoretical foundations of strategic management and SCM suggest four poles for future research: agents and focal firm; distributions and logistics strategic models; SCM competitive requirements; SCM relational governance. Research limitations/implications: Scholars in both the strategy and the SCM fields continue to search for competitive advantages. Much recent research indicates that strategic SCM can be a critical source for that advantage. One of the limitations of our research is that the analysis does not include every journal that published an article mentioning SCM. However, the 34 journals selected are reputed to be the most influential on SCM and focused primarily on SCM. Practical implications: The map of the intellectual structure of research to strategic SCM highlights the need to combine different theoretical approaches to the complex phenomenon of SCM. Practitioners should consider the supply chain as an informal organization and should devote time and resources to build a shared advantage across the supply chain. They should also consider the inherent benefits and risks that sharing Originality/value: The paper demonstrates that strategic SCM needs a balanced and rigorous combination of theoretical approaches to deliver more theory-driven evidences. Our research combines both a qualitative analysis and a quantitative methodology that summarizes gaps and then outlines future research from a large sample of articles. This methodology is an original contribution to this field and offers some assistance for enlarging the sample of future literature reviews

On Theory in Supply Chain Uncertainty and its Implications for Supply Chain Integration

This article develops a theoretical conceptualization of supply chain uncertainty, based on the foundation provided by contingency theory, classical organization theory, and information processing theory. We develop a theoretical analogy between a supply chain and an organization, then highlight key differences, which leads us to hypothesize that there are three key types of supply chain uncertainty. Micro-level uncertainty is based on the variability of inputs to the technical core of a supply chain, corresponding to the traditional operationalization of uncertainty in the supply chain and operations management literature. Meso-level uncertainty is the lack of information needed by a supply chain member, corresponding to the information processing theory perspective. This is often due to the conflicting pressures of differentiation and interdependence in a supply chain, where members may withhold information that they feel could compromise their interests. Macro-level uncertainty, based on the equivocality construct, is related to unclear and ambiguous situations faced by supply chain members in rapidly changing external environments. We propose that all three types of uncertainty coexist in a supply chain and may interact with each other. Based on contingency theory's focus on alignment of process and structure with the environment, we test the relationship among supply chain integration (process), centralization, formalization and flatness (organization structure) and the dimensions of uncertainty (environment). Hypotheses are tested using hierarchical regression on data collected from 339 globally distributed manufacturing plants. It reveals that, as hypothesized, micro-level and meso-level uncertainty are positively related to SCI and that macro-level uncertainty is inversely related to it. The organization structure variables of centralization and formalization had a moderating effect, strengthening or reducing the main effects of uncertainty. The results are discussed in terms of their consistency with the theoretical foundation, implications for decision makers facing supply chain uncertainty and future research opportunities

Integrating environmental management into supply chains: a systematic literature review and theoretical framework

Purpose: the need to integrate environmental management into supply chains has been recognized recently. Yet, there is a lack of theoretical grounding and a conceptual framework guiding such efforts to leverage resources and capabilities across supply chain partners. Grounded on stakeholder and resource orchestration theories, this paper maps the emerging practices, develops a theoretical framework, and proposes future research for understanding an emerging best-practice called ‘green supply chain integration’ (GSCI). Design/methodology/approach: A systematic literature review of 142 academic articles is conducted to ensure the process of framework development is auditable and repeatable. The article selection criteria are aligned with the review question ensuring that related theories and practices are identified and evaluated. Findings: The paper illustrates how stakeholder and resource orchestration theories can be used to explain an integrative approach of environmental management in supply chains. The paper identifies four GSCI practices: internal, supplier, customer, and community stakeholder GSCI. A theoretical framework and proposition also provide new research directions. Research limitations/implications: The results of this paper are drawn from an extensive review of the existing literature and novel practices that have not been revealed and could have been missed. The emerging practices and theoretical framework can be used for further empirical investigation. Originality/value: This paper integrates theoretical concepts and empirical findings from the disparate literature and identifies four emerging practices of environmental management by developing a theoretical framework and proposition for future research

Deployment of Supply Chain Security Practices: Antecedents and Consequences

Despite the importance of supply chain security (SCS), there is significant variance regarding the level of deployment of SCS practices across firms and little is known about the efficacy of these practices. This study examines the role of external (coercive pressure) and internal (top management involvement) factors that potentially explain SCS practice deployment and its effect on SCS performance. It also examines the moderating role of organizational culture. In essence, this inquiry examines the role of external and internal forces in a context where organizational action is perhaps effectively mobilized only when both external and internal pressures are salient. Using data from 166 U.S. manufacturing firms, we found that the effects of coercive forces on SCS practice deployment are transmitted via top management involvement. In addition, the effect of top management involvement on SCS practice deployment is more salient for firms with high security‐oriented organizational culture, although a diminishing return was detected. SCS practice deployment was found to be strongly related to SCS performance. We discuss the theoretical contributions and managerial implications based on our findings

Supply chain of innovation and new product development

This paper conceptualizes the supply chain of innovation of a company as its supply chain not related to physical goods exchanges but to R&D commodities exchanges. R&D commodities, being the outcomes of research activities, are for example patents, technologies, research services, studies, projects, etc. Spe- cifically, we focus on the relationship between the activities of purchasing/selling R&D commodities and the propensity of the firm to develop new products; we examine how the position of the firm within its innovation network moderates this relationship. The empirical setting of the research consists of a cross- sectional dataset of 544 biopharmaceutical companies that have signed 1772 R&D agreements in the years 2006–2010. We find firstly, evidence of the supply chain of innovation (as a natural evolution of the well-acknowledged dual-market model of the biopharmaceutical industry). Secondly, we find that the relational embeddedness, coming from innovation network, influences the effect of purchasing and selling R&D commodities on new product development. Supporting our theoretical predictions, this paper offers contributions to the scientific literature on supply chain relationships in new product development

The integration of human resource and operation management practices and its link with performance: A longitudinal latent class study

This paper reviews the literature on the association between lean production and performance. From this, propositions on the integration and evolution of operation and human resource management practices associated with the lean production concept are developed. Using 24 years of data on the use of seven core OM and HRM practices in British manufacturing firms, the potential link between integration in the use of practices and productivity is tested. In each year, three latent clusters are identified via ordered restricted latent class models; the cluster that consistently makes a more integrated use of practices outperforms the others. Furthermore, the longitudinal nature of the data permits modeling the growth curves of each practice in the sample, recognizing any similarity in growth and investigating whether or not an early integration in adoption of practices is associated with higher final productivity. The results show that pioneers are more productive, thus suggesting that the head start in integrating core OM and HRM practices associated with the lean production concept has paid off. © 2010 Elsevier B.V. All rights reserved