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Examining the Link between the Governance Mechanisms and Supply Chain Performance — an Empirical Study within the Triadic Context

   | 19. Nov. 2019

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Fig. 1

Network as a plural form of governanceSource: (Czakon, 2012).
Network as a plural form of governanceSource: (Czakon, 2012).

Fig. 2

Scree plots within two groups of variables (left for the upstream dyad, right for the downstream dyad)
Scree plots within two groups of variables (left for the upstream dyad, right for the downstream dyad)

Fig. 3

Agglomeration schedule coefficients
Agglomeration schedule coefficients

Fig. 4

Characteristics of clusters regarding the intensity of network governance
Characteristics of clusters regarding the intensity of network governance

Mann-Whitney U test ranks for clusters

ClusterNMean RankSum of Ranks
Supply Chain PerformanceMarket governance1115.82174.00
Low hierarchical governance1713.65232.00
Total28
Market governance116.3670.00
Network governance613.8383.00
Total17
Low hierarchical governance179.41160.00
Network governance619.33116.00
Total23

Kruskal-Wallis Test Statistics for three clusters

Supply Chain Performance
Kruskal-Wallis H11.203
df2
Asymp. Sig.0.004

Rotated Component Matrices (left for the upstream dyad, right for the downstream dyad)

Component
HUD1HUD2MUDCUD
MUD_10.896
MUD_20.715
MUD_40.805
MUD_50.870
HUD_10.856
HUD_20.790
HUD_30.774
HUD_40.716
HUD_50.827
HUD_60.867
CUD_10.791
CUD_20.781
CUD_30.819

Contingency table

K-means Cluster AnalysisTotal
Clusters123
Hierarchical Cluster Analysis11112023
20527
30044
Total1117634

Mann-Whitney U test statistics for clusters

ClusterSupply Chain Performance
Market governance - Low hierarchical governanceMann-Whitney U79.000
Wilcoxon W232.000
Z−0.683
Asymp. Sig. (2-tailed)0.494
Market governance - Network governanceMann-Whitney U4.000
Wilcoxon W70.000
Z−2.922
Asymp. Sig. (2-tailed)0.003
Low hierarchical governance - Network governanceMann-Whitney U7.000
Wilcoxon W160.000
Z−3.081
Asymp. Sig. (2-tailed)0.002

j.emj-2019-0026.apptab.001.w2aab3b7c10b1b6b1ab1b7ab1b1Aa

CategoriesNo.AbbreviationQuestion
Please rate the relational performance of a dyad with reference to company B in each of the following areas:(1—‘strongly disagree’, 3—‘neutral’, 5—‘strongly agree’)
1. Relational benefits of upstream / downstream1.1.RB_UD_1/RB_DD_1Two companies are more profitable or more competitive together than they would have been alone
1.2.RB_UD_2/RB_DD_2The benefits derived from the combination must be greater than the capabilities of each individual
1.3.RB_UD_3/RB_DD_3Working with B has allowed overcoming some problems, and thus derive substantial benefits for the dyad
1.4.RB_UD_4/RB_DD_4Sharing opinion and discussion with B often lead to increased benefits for both actors of the dyad
1.5.RB_UD_5/RB_DD_5The ongoing costs of coordination of a dyadic relationship are balanced by its benefits
Please rate your customer-focused performance to measure customer satisfaction in each of the following areas:(1—‘strongly disagree’, 3—‘neutral’, 5—‘strongly agree’)
2. Supply chain performance2.1.SP_1The customers are satisfied with the product quality
2.2.SP_2The customers are satisfied with the product conformance to the market expectations
2.3.SP_3The customers are satisfied with the product volume/variety/flexibility
2.4.SP_4The customers are satisfied with manufacturing efficiency
2.5.SP_5The customers are satisfied with the product development cycle time
2.6.SP_6The customers are satisfied with the response to changes in manufacturing
Please rate mechanisms of network governance with reference to company B in the following areas:(1—‘strongly disagree’, 3—‘neutral’, 5—‘strongly agree’)
3. Market3.1.MUD_1/MDD_1The price is a predominant factor that determines my collaboration with B
3.2.MUD_2/MDD_2My company is very active in searching for new partners who can potentially substitute B
3.3.MUD_3/MDD_3My company can easily switch to another partner, dropping out of the collaboration with B
3.4.MUD_4/MDD_4The goods delivered by my company to B can be easily delivered by my competitors
3.5.MUD_5/MDD_5My company keeps reminding our partner that it can be easily replaced if it does not offer good deals
4. Hierarchy4.1.HUD_1/HDD_1My company very actively interferes in the operations performed by B
4.2.HUD_2/HDD_2My company controls B using certain formal methods
4.3.HUD_3/HDD_3My company would be exposed to high costs when switching from B
4.4.HUD_4/HDD_4My company provides B with formal guidelines concerning how to solve problems and/or deal with disruptions
4.5.HUD_5/HDD_5My company resolves ongoing disputes with B by referring to clauses in signed contracts
4.6.HUD_6/HDD_6My company tends to closely monitor opportunistic behaviours of partner B, such as ignorance of responsibilities, price inflation, late deliveries and partial information disclosure
5. Clan5.1.CUD_1/CDD_1My company strives to build trust and a sense of community by organising meetings and training to encourage B to be empathic and have a mutual understanding
5.2.CUD_2/CDD_2My company maintains a discussion with B concerning all relevant issues of its operations and strategy
5.3.CUD_3/CDD_3My company keeps trying to develop trust with B
5.4.CUD_4/CDD_4Disruptions in collaboration with B are productively resolved in the spirit of mutual understanding

Kruskal-Wallis H Test for the network governance constructs in three clusters

HUD1HUD2MUDCUDM-C_DDHDD1HDD2MDD
Kruskal-Wallis H6.49015.30514.1835.36810.8052.9658.18517.475
df22222222
Asymp. Sig.0.0390.0000.0010.0680.0050.2270.0170.000
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