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Continuous Supplier Relationship Management Framework

Author

Listed:
  • Tilen Klobučar

    (Danfoss Trata, Slovenia)

  • Jure Erjavec

    (Department of Business Informatics and Logistics, School of Economics and Business, University of Ljubljana, Slovenia)

Abstract

Procurement has become a key strategic business function, making supplier integration a central activity in supply-chain management. Appropriate supplier relationship management is therefore important for successful integration and for determining its degree. Although many supplier relationship frameworks have been developed, no single framework suits every organization and there is no guarantee that its adoption will lead to success. This paper reviews recent frameworks and develops a new three-phase framework that addresses their shortcomings. The proposed framework allows greater flexibility, faster adaptation to a turbulent business environment, detailed development of selected suppliers, and buyer-supplier value co-creation. With appropriate IT support, it also facilitates continuous and real-time data exchange and speeds up decision-making in operational and tactical procurement.

Suggested Citation

  • Tilen Klobučar & Jure Erjavec, 2019. "Continuous Supplier Relationship Management Framework," Poslovna izvrsnost-Business Excellence, University of Zagreb Faculty of Economics & Business, vol. 13(2), pages 87-109.
    • Handle: RePEc:zag:busexc:v:13:y:2019:i:2:p:87-109
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    References listed on IDEAS

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    1. Oghazi, Pejvak & Rad, Fakhreddin Fakhrai & Zaefarian, Ghasem & Beheshti, Hooshang M. & Mortazavi, Sina, 2016. "Unity is strength: A study of supplier relationship management integration," Journal of Business Research, Elsevier, vol. 69(11), pages 4804-4810.
    2. Tseng, Shu-Mei, 2014. "The impact of knowledge management capabilities and supplier relationship management on corporate performance," International Journal of Production Economics, Elsevier, vol. 154(C), pages 39-47.
    3. Hau L. Lee & V. Padmanabhan & Seungjin Whang, 1997. "Information Distortion in a Supply Chain: The Bullwhip Effect," Management Science, INFORMS, vol. 43(4), pages 546-558, April.
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