The effect of relational investments on supply chain quality integration: protection or constraint of legal bonds?
International Journal of Quality & Reliability Management
ISSN: 0265-671X
Article publication date: 1 September 2023
Issue publication date: 15 February 2024
Abstract
Purpose
This study examines the effect of relational investments (e.g. supplier involvement and commitment, customer involvement and commitment) on supply chain quality integration (e.g. supplier and customer quality integration), which leads to financial performance. Moreover, the authors explore the moderating effects of legal bonds on the relationship between relational investments and supply chain quality integration.
Design/methodology/approach
A survey study of manufacturing firms is presented to illustrate the conceptual model. The authors use the data from 213 manufacturing firms to test the hypotheses by structural equation modeling.
Findings
The results show that supplier and customer quality integration are positively related to financial performance. Supplier involvement and commitment are positively related to supplier quality integration. Customer involvement is positively related to customer quality integration, but customer commitment is not significantly related to customer quality integration. Additionally, on the supplier side, legal bonds negatively moderate the relationship between supplier involvement and supplier quality integration but positively moderate the relationship between supplier commitment and supplier quality integration. On the customer side, legal bonds do not moderate the relationship between customer involvement and customer quality integration, but negatively moderate the relationship between customer commitment and customer quality integration.
Originality/value
This study provides novel insights into supply chain quality management from relational perspectives, as well as the contingent role of legal bonds between them.
Keywords
Acknowledgements
This research was supported by National Natural Science Foundation of China (#72091214, #71821002).
Citation
Akhtar, F., Wang, Q. and Huo, B. (2024), "The effect of relational investments on supply chain quality integration: protection or constraint of legal bonds?", International Journal of Quality & Reliability Management, Vol. 41 No. 3, pp. 879-900. https://doi.org/10.1108/IJQRM-12-2021-0455
Publisher
:Emerald Publishing Limited
Copyright © 2023, Emerald Publishing Limited