Impact of purchasing practices, supplier relationships and use of information technology on firm performance

Purpose The study aims to establish an impact of supplier relationship and information and communication technology through purchasing practices on firm performance. Design/methodology/approach Review of relevant literature resulted in constructs, namely, supplier relationships, information and comm...

Full description

Saved in:
Bibliographic Details
Published in:International journal of innovation science 2021-01, Vol.13 (1), p.118-130
Main Authors: Ambekar, Suhas Suresh, Deshmukh, Umesh, Hudnurkar, Manoj
Format: Article
Language:English
Subjects:
Collaboration
Communication
Competitive advantage
Cost reduction
Electronic data interchange
Empirical analysis
Hypotheses
Information sharing
Information systems
Information technology
Least squares method
Literature reviews
Manufacturing
Multivariate statistical analysis
Profitability
Purchasing
Questionnaires
Strategic management
Suppliers
Supply chains
Technology utilization
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Purpose The study aims to establish an impact of supplier relationship and information and communication technology through purchasing practices on firm performance. Design/methodology/approach Review of relevant literature resulted in constructs, namely, supplier relationships, information and communication technology, purchasing practices and firm performance. A survey of 179 manufacturing companies through structured questionnaire was conducted. The responses were analysed through structural equation modelling using the partial least squares method. Findings It is observed that the firm performance is directly influenced by purchasing practices and indirectly by supplier relationships and information technology. The use of information technology in materials management affects supplier relationships and purchasing practices both. Practical implications The study provides a model for purchasing practitioners by highlighting the importance of supplier relationship management. Though the firms are running after improving technology, it can only affect firm performance through proper purchasing practices. Originality/value The study provides empirical evidence to the practical notions that exist in purchasing practitioners.
ISSN:1757-2223
1757-2231
DOI:10.1108/IJIS-10-2020-0182