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Developing environmental and social performance: the role of suppliers’ sustainability and buyer--supplier trust

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  • Jury Gualandris
  • Matteo Kalchschmidt

Abstract

We explore how environmental and social performance of manufacturing firms can be improved as sustainable supply chain management (SSCM) develops and evolves within a firm from internal to external practices. Importantly, this study considers how key suppliers’ sustainability performance and buyer--supplier trust mediate and moderate such a development. A conceptual framework is developed which relies on resource-based theories and emerging empirical evidence. Then, partial least square methodology is applied on survey data from a sample of Italian manufacturing firms. Results show that manufacturing firms’ sustainability performance improves as SSCM develops; however, while internal practices have a direct impact on performance, the effect of external practices on a manufacturing firm’s sustainability performance is fully mediated by key suppliers’ sustainability performance. Yet, buyer--supplier trust significantly influences the scope of such gains. Since evidence suggests that manufacturing firms are still struggling with how to leverage supply chain innovation potential for sustainable development, this study provides a timely and valuable contribution.

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  • Jury Gualandris & Matteo Kalchschmidt, 2016. "Developing environmental and social performance: the role of suppliers’ sustainability and buyer--supplier trust," International Journal of Production Research, Taylor & Francis Journals, vol. 54(8), pages 2470-2486, April.
    • Handle: RePEc:taf:tprsxx:v:54:y:2016:i:8:p:2470-2486
    DOI: 10.1080/00207543.2015.1106018
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    Cited by:

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    6. Valentina Marano & Miriam Wilhelm & Tatiana Kostova & Jonathan Doh & Sjoerd Beugelsdijk, 2024. "Multinational firms and sustainability in global supply chains: scope and boundaries of responsibility," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 55(4), pages 413-428, June.
    7. Hyun Jung Kim, 2017. "Information technology and firm performance: the role of supply chain integration," Operations Management Research, Springer, vol. 10(1), pages 1-9, June.
    8. Mohammad Alghababsheh & David Gallear, 2021. "Socially Sustainable Supply Chain Management and Suppliers’ Social Performance: The Role of Social Capital," Journal of Business Ethics, Springer, vol. 173(4), pages 855-875, November.
    9. Zahra Ahmadi‐Gh & Alejandro Bello‐Pintado, 2024. "Sustainability isomorphism in buyer–supplier relationships: The impact of supply chain leadership," Business Strategy and the Environment, Wiley Blackwell, vol. 33(4), pages 3635-3653, May.
    10. Ardian Qorri & Saranda Gashi & Andrzej Kraslawski, 2021. "Performance outcomes of supply chain practices for sustainable development: A meta‐analysis of moderators," Sustainable Development, John Wiley & Sons, Ltd., vol. 29(1), pages 194-216, January.
    11. Encinas Bartos, Kristina & Schwarzkopf, Julia & Mueller, Martin, 2024. "The role of trainings in improving supplier sustainability performance," World Development, Elsevier, vol. 175(C).
    12. Mani, Venkatesh & Jabbour, Charbel Jose Chiappetta & Mani, Kavitha T.N., 2020. "Supply chain social sustainability in small and medium manufacturing enterprises and firms’ performance: Empirical evidence from an emerging Asian economy," International Journal of Production Economics, Elsevier, vol. 227(C).
    13. Yong Wang & Xudong Deng & Qian Lu & Mingke Guan & Fen Lu & Xiaochang Wu, 2023. "Developing Platform Supply Chain Contract Coordination and a Numerical Analysis Considering Fresh-Keeping Services," Sustainability, MDPI, vol. 15(18), pages 1-20, September.
    14. Bortolotti, Thomas & Boscari, Stefania & Xiao, Cheng-Yong, 2024. "Leveraging organizational culture to create competitive value from environmental practices," International Journal of Production Economics, Elsevier, vol. 272(C).
    15. Ali Ibrahim Balin & Kazim Sari, 2023. "The Effect of Green Purchasing Practices on Financial Performance under the Mediating Role of Environmental Performance: Evidence from Türkiye," Sustainability, MDPI, vol. 15(4), pages 1-15, February.
    16. Chunguang Bai & Simonov Kusi-Sarpong & Sharfuddin Ahmed Khan & Diego Vazquez-Brust, 2021. "Sustainable buyer–supplier relationship capability development: a relational framework and visualization methodology," Annals of Operations Research, Springer, vol. 304(1), pages 1-34, September.
    17. Francisco Benitez‐Altuna & Valentina C. Materia & Jos Bijman & Daniel Gaitán‐Cremaschi & Jacques Trienekens, 2024. "Farmer–buyer relationships and sustainable agricultural practices in the food supply chain: The case of vegetables in Chile," Agribusiness, John Wiley & Sons, Ltd., vol. 40(1), pages 3-30, January.
    18. Henao, Rafael & Sarache, William, 2022. "Sustainable performance in manufacturing operations: The cumulative approach vs. trade-offs approach," International Journal of Production Economics, Elsevier, vol. 244(C).
    19. Mohammad Alghababsheh & David Gallear & Mushfiqur Rahman, 2020. "Balancing the Scales of Justice: Do Perceptions of Buyers’ Justice Drive Suppliers’ Social Performance?," Journal of Business Ethics, Springer, vol. 163(1), pages 125-150, April.
    20. Atanu Chaudhuri & Manjot Singh Bhatia & Yasanur Kayikci & Kiran J. Fernandes & Samuel Fosso-Wamba, 2023. "Improving social sustainability and reducing supply chain risks through blockchain implementation: role of outcome and behavioural mechanisms," Annals of Operations Research, Springer, vol. 327(1), pages 401-433, August.
    21. Xuesong Zhao & Jieyi Pan & Yongtao Song, 2018. "Dependence on Supplier, Supplier Trust and Green Supplier Integration: The Moderating Role of Contract Management Difficulty," Sustainability, MDPI, vol. 10(5), pages 1-14, May.
    22. Abbas Mardani & Dalia Streimikiene & Edmundas Kazimieras Zavadskas & Fausto Cavallaro & Mehrbakhsh Nilashi & Ahmad Jusoh & Habib Zare, 2017. "Application of Structural Equation Modeling (SEM) to Solve Environmental Sustainability Problems: A Comprehensive Review and Meta-Analysis," Sustainability, MDPI, vol. 9(10), pages 1-65, October.

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