| Author: | Kulkarni, Manoj Prabhakar |
| Title: | An exploratory study of the critical success factors of strategic sourcing in the automotive components manufacturing industry in China |
| Advisors: | Cheng, Edwin (LMS) Choy, Petrus (LMS) |
| Degree: | D.B.A. |
| Year: | 2020 |
| Subject: | Business logistics Automobile industry and trade -- China Hong Kong Polytechnic University -- Dissertations |
| Department: | Faculty of Business |
| Pages: | xvii, 295 pages : color illustrations |
| Language: | English |
| Abstract: | In the last three decades, sophisticated consumer demands, product customizations, volatility in financial markets, vertical disintegrations, technological enhancements, globalization leading to offshoring, specialization giving rise to outsourcing, dispute over international trades, and the digital revolution are all creating a whole and brand new trend and paradigm for what used to be the supply chain and supply chain management in the past. A tremendous and obvious transformation in the roles of sourcing and procurement have taken place and evolved in last few years, and instead of just seeking quick wins, driving cost-saving initiatives, and category management, the supply chain heads and procurement chiefs of business firms are now prioritizing their efforts that will create and add long-term and sustainable value to the entire firm. Strategic sourcing, an institutional procurement process, is one of the major activities of the broader supply chain management function. The strategies that are applied in sourcing tend to directly and indirectly influence supply chain performance. There are academic and practical evidences to prove that improvement in supply chain performance further enhances various organizational performance measures. Hence, strategic sourcing is said to play an important and critical role in generating and yielding overall organizational performance of business firms. The objective of this exploratory study is to identify the critical success factors of strategic sourcing in the automotive components manufacturing industry, particularly in China, and their supply chain performance implications. This study first developed and identified the initial constructs and their corresponding measurement indicators of the critical success factors of strategic sourcing and supply chain performance measures pertinent to the automotive components manufacturing industry in China. This was achieved by conducting an extensive literature review of previous and extant studies from generic and industry-specific (manufacturing) perspectives. From the results, eight initial constructs containing 41 measurement indicators of the initial constructs of the critical success factors of strategic sourcing and six initial constructs with 30 measurement indicators of the initial constructs of supply chain performance measures pertinent to the automotive components manufacturing industry in China were identified for further analysis. Based on the identified initial constructs and their corresponding measurement indicators of critical success factors of strategic sourcing and supply chain performance measures, a structured survey questionnaire was designed for data collection and applied to conduct an organization-level field study. The structured survey questionnaires were sent to 312 targeted respondents, covering the automotive components manufacturers in China. There were 128 valid responses received from the targeted respondents. The collected data was first analyzed by one of the major statistical tests of exploratory factor analysis to identify the potential critical success factors of strategic sourcing and supply chain performance measures pertinent to the automotive components manufacturing industry in China, and then by another major test of multiple regression analysis to examine and predict the relationships among the critical success factors of strategic sourcing of the automotive components manufacturers in China and their supply chain performance. Three critical success factors of strategic sourcing of the automotive components manufacturers in China are identified, namely knowledge management, operational efficiency, managerial support, which are statistically significantat different levels with four supply chain performance measures, namely information flow performance, cost performance, operational performance, reliability performance. Knowledge management is the most prominent among the three critical success factors as it is significantly associated with three supply chain performance measures and with the maximum number of retained measurement indicators. This study then conducted a real case study of Johnson Electric Holdings Limited (SEHK: 0179), one of the largest automotive components manufacturers in China, to validate and triangulate the empirical findings of this study. In addition, another automotive components manufacturer in China, Bosch Mobility Solutions (China), was also studied for benchmarking purposes. This study contributes to academic studies and researches on critical success factors and strategic sourcing by developing and identifying the critical success factors of strategic sourcing, and to the practices of strategic sourcing and supply chain management from the application perspective by establishing the relationships among the critical success factors of strategic sourcing and different supply chain performance measures pertinent to the automotive components manufacturing industry in China. In addition, this study also contributes to the real-world practices of strategic sourcing and supply chain management by providing the insights and guidance to the industry practitioners in the automotive components manufacturing industry for decision making in strategic sourcing and supply chain management; defining, prioritizing and allocating resources in creating, enhancing and maintaining the critical success factors of strategic sourcing in order attaining better supply chain performance on the one hand and ultimately managing the complexity of their supply chain networks on the other. |
| Rights: | All rights reserved |
| Access: | restricted access |
Files in This Item:
| File | Description | Size | Format | |
|---|---|---|---|---|
| 5250.pdf | For All Users (off-campus access for PolyU Staff & Students only) | 3.05 MB | Adobe PDF | View/Open |
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