Sustainable buyer-supplier relationship capability development: A relational framework and visualization methodology

Abstract

Sustainable buyer-supplier relationship (SBSR) capability is a dynamic or relational capability that is considered as the key condition for achieving sustainable competitive advantage through both the buyer and its suppliers investing their heterogeneous resources. To accurately measure and develop the buyer-supplier relationship capability from the sustainability perspective, this study first proposes an effective evaluation framework based on the relational view and triple-bottom-line approach. This framework is characterized by the fact that the SBSR is a relational capability from economic, environmental and social perspectives. Then, this study develops a novel visualization method based on DEMATEL and an advanced radar chart to evaluate the level of current SBSR capability and to identify development strategies for future SBSR capability. An empirical case evaluation of the framework from both buyer and supplier perspectives is completed with the aid of the visualization method in the textile industry of Pakistan. The results can help managers of both buyers and suppliers to easily identify the advantages and disadvantages of, and the development strategies for, each SBSR.

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