antecedents and outcomes of supplier proactive environmental responsiveness olga kaminer advisors:...
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Antecedents and Outcomes of Supplier Proactive Environmental Responsiveness
Olga Kaminer Advisors: Markus Biehl, Ashwin Joshi
Schulich School of Business, York University
Introduction
Manufacturing has a negative impact on the environment Direct – gaseous, liquid and solid waste Indirect – product use and disposal
Focus on one’s own operations is not sufficient• Manufacturing versus assembly • Outsourcing trends• Integrating suppliers
Research Objectives
Identify and statistically confirm the conditions and the relative effectiveness of customer actions on their supplier’s environmental performance.
Identify and statistically confirm the competitive and business outcomes of suppliers’ enhanced environmental performance in reaction to their customers’ actions.
Research Questions
What customer actions are most effective in enhancing suppliers’ proactive environmental responsiveness?
What are the moderating factors which might influence effectiveness of the above actions?
What are the competitive and business outcomes of suppliers’ proactive environmental responsiveness for both suppliers and customers?
Literature Green Supply Chain
Barron, 1993; Bowen et al., 2001; Carter and Dresner, 2001; Geffen and Rotherberg, 2000; King and Lenox, 2002; Klassen and Vachon, 2003; Klassen and McLaughlin, 1996; Klassen and Whybark, 1999b; Lloyd, 1994; Sharma and Vredenburg, 1998; Shrivastava, 1995; Walton et al., 1998
• SPER• Selection, evaluation, and collaboration activities• Outcomes for suppliers from improved environmental performance
Lean Manufacturing/TQM Johannson, 1994; Klassen and McLaughlin, 1993; Lippman, 1999; Porter and van der Linde, 1995a, 1995b; Reid and Sanders, 2002; Remich,
1993
• Outcomes for both the customer and the supplier’s companies from collaboration
Resource-based View Barney, 1991
• Competitive outcomes for suppliers from smart use of resources
Inter-firm Governance Heide and John, 1988; Williamson and Ouchi, 1981
• Possible moderators – availability of alternative suppliers, supplier’s asset specificity
Absorptive Capacity Azzone and Noci, 1998; Cohen and Levinthal, 1990; Klassen and Whybark, 1999a; Szulanski, 1996
• Possible moderator – supplier’s absorptive capacity
Measuring Environmental Performance (Klassen and Whybark, 1999a)
Pollution Control Pollution Prevention
Management Systems
Opportunistic
Reactive
Proactive
low SPER high
Definitions
Selection – initial selection of suppliers into the supply base of a customer.
Evaluation – monitoring and assessment of the existing suppliers by a customer.
Collaboration – knowledge integration activities between customers and suppliers.
Model
SPER
OutcomesSupplier Reaction
For supplier
Increased market share of a customer; improved manufacturing,
envl. and financial performance; improved reputation
Collaboration
Evaluation
Selection
Customer Actions
•Supplier’s asset specificity•Supplier’s
absorptive capacity
•Availability of alternatives suppliers
For manufacturer
Competitive advantage, improved manufacturing, envl. and financial performance; improved reputation
Hypotheses – (1) selection process
H1: The suppliers’ selection process is positively related to SPER. Lloyd, 1994; Noci, 1997; Walton et al., 1998
H1a: The positive effect of the selection process on SPER is enhanced when competitive pressure on the supplier is high. Heide and John, 1988; Williamson and Ouchi, 1981
Hypotheses – (2) evaluation process
H2: The evaluation of suppliers has apositive effect on SPER.
Klassen and Vachon, 2003
The positive effect of evaluation process on SPER is enhanced when H2a: competitive pressure on the supplier is high.
• Heide and John, 1988; Williamson and Ouchi, 1981
H2b: supplier specific asset investments are high.• Heide and John, 1988
H2c: a supplier has high levels of absorptive capacity.
• Azzone and Noci, 1998; Christmann, 2000; Cohen and Levinthal, 1990; Klassen and Whybark, 1999a; Szulanski, 1996
Hypotheses – (3) collaboration activities
H3: Collaboration activities have a positive effect on
SPER.Christensen and Bower, 1996; Geffen and Rothenberg, 2000; Klassen and Vachon, 2003; Lippman, 1999
The positive effect of collaboration activities on SPER is enhanced when
H3a: competitive pressure on the supplier is high.• Heide and John, 1988; Williamson and Ouchi, 1981
H3b: supplier specific asset investments are high.• Heide and John, 1988
H3c: a supplier has high levels of absorptive capacity.
• Azzone and Noci, 1998; Christmann, 2000; Cohen and Levinthal, 1990; Klassen and Whybark, 1999a; Szulanski, 1996
Hypotheses – (4) outcomes of SPER
H5: SPER positively impacts supplier’s (a) manufacturing performance, (b) environmental performance, (c) reputation (d) customer (market) share, and (e) profitability.
Barney, 1991; Burgess et al., 1997; Burnes and New, 1997; Carter and Dresner, 2001; Christmann, 2000; Dyer, 1997; King and Lenox, 2002; Klassen and McLaughlin, 1996; Klassen and Whybark, 1999b; Porter and van der Linde, 1995; Sharma and Vredenburg, 1998; Shrivastava, 1995
H4: SPER positively impacts customer’s (a) manufacturing performance, (b) environmental performance, (c) reputation, (d) market share, and (e) profitability.
Johannson, 1994; Klassen and McLaughlin, 1993 ; Klassen and Vachon, 2003; Klassen and Whybark, 1999; Lippman, 1999; Reid and Sanders, 2002; Remich, 1993
Research Methodology
Exploratory research using qualitative data analysis (Eisenhardt, 1989; Glaser and Strauss, 1967; Miles and Huberman, 1994; Yin, 2003) Sample size – 3 or more
Large scale survey (Dillman, 1978) Small to large firms Phone survey
• Easier to reach SMEs• Avoid skipping of questions
Sample size – 1200 or more
Expected Contributions
Integrate disparate streams in the literature. Identify and confirm the mechanisms that
manufacturers can employ to foster SPER. Identify and confirm factors that influence the
effectiveness of those mechanisms. Identify and confirm competitive and business
outcomes of SPER for both customers and suppliers.
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