Key dimensions of global supply strategy: a model of interrelated decisions Online publication date: Sat, 31-Jan-2015
by Julio Sanchez Loppacher, Raffaella Cagliano, Gianluca Spina
International Journal of Procurement Management (IJPM), Vol. 4, No. 5, 2011
Abstract: In the past few decades, driven by strong competition and globalisation in world markets, companies have turned to supply management internationalisation strategies in order to effectively support their globalisation processes, both in terms of centralised purchasing and globalisation supply. Indeed, literature indicates that multinational companies (MNCs) seeking to build effective and efficient global supply strategies (GSS) need to develop and implement adequate headquarters' follow-up systems and buyer-supplier relationships for global supply management performance in order to ensure world supply consistency and alignment. This paper shows how companies' globalisation evolution and global supply strategy behaviour patterns (as to supply source globalisation and centralised purchasing) constitute major driving factors for headquarters-subsidiary relationships and supplier management strategies.
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