Behavioral Aspects of Supply Chain Integration: Macro and Micro Level Perspectives

Supply chain integration (SCI) among customers and suppliers is widely touted as a panacea that can resolve a variety of supply chain challenges and create new opportunities. Yet, there is little understanding about SCI. My first research question pertains to identifying the idiosyncratic behavioral nuances associated with SCI. I employ Grounded Theory (GT) methodology to analyze data obtained from interviews with individuals at seven companies. This work suggests that firms engaging in SCI exhibit a set of six behavioral patterns, which vary in degree. I then conjecture that SCI might exist at three different levels: coordination, collaboration, and internalization.

Furthermore, very few studies have examined SCI?s antecedents from the supplier?s standpoint. I examine the role of customer leadership behavior which has hardly been the subject of empirical inquiry in this domain. I also empirically study the operant sequence that relates customer leadership behavior to SCI. I develop a theoretical framework and test it using data obtained from 207 firms via survey methodology. My results suggest that a customer?s transformational leadership behavior appears to positively influence trust which impacts affective commitment. Affective commitment is found to engender high levels of SCI.

Also, the extant empirical research on SCI is examined from an organizational, and rather impersonal level, as if an invisible hand calls the shots. The role of individual in decision making in largely ignored. I synthesize the Behavioral Agency Model (BAM) and Behavioral Approach and Inhibition Model (BAIM), specify two variables (i.e., Variability in Pay and Socioemotional Wealth) as potential explanatory variables of executive decision making. The main findings reported in this study are based on 125 usable responses obtained by employing a 2x2 experimental design. I find evidence to suggest that only the main effect of variability in pay is positive and statistically significant. This suggests that individuals experiencing high levels of variability in pay are more likely to seek the highest level of SCI A post-hoc analysis, which involved splitting the sample by age (i.e., low & high) groups, yielded interesting findings as the results varied significantly between the two age groups.