Sourcing from China: Approaches and outcomes for Swedish firms
2017 (English)In: The 29th NOFOMA Conference ”Taking On Grand Challenges” / [ed] Daniel Hellström, Joakim Kembro and Hajnalka Bodnar, Nordic Logistics Research Network, 2017Conference paper, Published paper (Refereed)
Abstract [en]
Purpose
The large and persistent trend of firms sourcing from China is in itself well-established with many success stories. However, managing the sourcing is a complex issue confounded both by cultural differences and the length of the supply chain. Outcomes are often described primarily in terms of cost savings.
The purpose of this paper is to analyse how Swedish firms manage their sourcing in China and connect this to the types of outcomes achieved.
Design/methodology/approach
This study is based on a series of semi-structured interviews with Swedish production firms sourcing from China. These findings are then confronted with previous research on sourcing from China from other regions.
Findings
The paper finds that the firms have developed good monitoring systems for their sourcing work and are generally satisfied with the outcomes, but also have persistent communication issues. The ability to source effectively from China, based on many years of experience and having handled prior difficulties is seen as a competitive advantage.
Research limitations/implications
One archetype of Swedish firms successfully sourcing from China emerges from the research. The research only deals with selected Swedish production firms however and may not show the general situation for Swedish firms sourcing from China.
Practical implications
The implications are that the development and use of monitoring systems seems to be a critical component of sourcing success.
Original/value
The research addresses a gap where the actual outcomes of sourcing beyond general assessments of whether they are successful are little explored in the literature, in particular from the Swedish perspective.
Place, publisher, year, edition, pages
Nordic Logistics Research Network, 2017.
Keywords [en]
sourcing, supply chain governance, sourcing outcomes, China, Sweden
National Category
Business Administration
Identifiers
URN: urn:nbn:se:hj:diva-35963ISBN: 978-91-7753-337-5 (electronic)OAI: oai:DiVA.org:hj-35963DiVA, id: diva2:1107765
Conference
The 29th NOFOMA Conference ”Taking On Grand Challenges”, Lund, Sweden, 8-9 June 2017
Projects
Generic method for the evaluation of reshoring decisionsOffshoring in reverse in Swedish Industry - Drivers and Barriers
Funder
Knowledge Foundation2017-06-102017-06-102018-09-12Bibliographically approved