On the relationship between financial performance and position of businesses in supply chain networks

A. Seiler, C. Papanagnou and P. Scarf

International Journal of Production Economics, 2020, vol. 227, issue C

Abstract: We investigate how the network position of organisations in an extended supply chain network impacts their financial performance. The paper argues that performance measurement tools should incorporate a network (external, connectedness) perspective in addition to an internal financial perspective. We merge local networks of companies in a supply chain into a single, extended network in which the transactional value-flows on arcs are known. Network position characteristics of focal companies are determined using social network analysis. The impact of these characteristics on financial performance is studied using regression analysis. In the context of our case study, there is some evidence that profitability is related to connectedness and market share. In this way, the paper describes how organisations might enrich their performance measurement tools with connectedness metrics.

Keywords: Supply chain management; Social network analysis; Performance measurement. (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0925527320300827
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:proeco:v:227:y:2020:i:c:s0925527320300827

DOI: 10.1016/j.ijpe.2020.107690

Access Statistics for this article

International Journal of Production Economics is currently edited by Stefan Minner

More articles in International Journal of Production Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().