Supplier Selection Construct: Instrument Development and Validation
Document Type
Article
Publication Date
2006
Publication Title
International Journal of Logistics Management
Publisher
Emerald
Volume
17
Issue
2
First page number:
213
Last page number:
239
Abstract
Purpose – To develop and test a reliable and valid supplier selection measurement scale that can be applied in different geographic regions, namely, the USA and Europe.
Design/methodology/approach – A three-factor supplier selection measure is developed via extensive literature review and practitioner interviews. Psychometric properties of the survey instrument are evaluated using data from the ISM-US sample via exploratory factor analysis. Based on the results, the survey instrument is modified and the revised instrument is mailed to a larger sampling group (APICS-US and APICS-Europe). Confirmatory factor analysis is used to validate the proposed three-factor supplier selection construct and to test its validity across national boundaries.
Findings – This study demonstrates that underlying the documented supplier selection criteria is the need to assess a supplier's quality and service capabilities as well as its strategic and managerial alignment with the buyer.
Research limitations/implications – Although the research design incorporates extensive literature reviews, it does not capture every aspect of complex supplier selection criteria. Future efforts should establish a valid, reliable instrument for the underlying constructs.
Practical implications – This study provides supply management professionals with guidelines for analysing selection decisions, and also shows that the underlying dimensions of supplier selection are applicable for both US and European firms.
Originality/value – This study contributes to the literature by answering the following two questions: what exactly constitutes effective supplier selection and what are the appropriate measures for selecting key suppliers?
Keywords
Competition; Europe; Industrial procurement; Measurement; Measuring instruments—Testing; Supplier relations; Supply chain management; Testing and instruments; United States of America
Disciplines
Business | International Business | Operations and Supply Chain Management
Language
English
Permissions
Use Find in Your Library, contact the author, or interlibrary loan to garner a copy of the item. Publisher policy does not allow archiving the final published version. If a post-print (author's peer-reviewed manuscript) is allowed and available, or publisher policy changes, the item will be deposited.
Repository Citation
Hsu, C.,
Kannan, V. R.,
Leong, G. K.,
Tan, K.
(2006).
Supplier Selection Construct: Instrument Development and Validation.
International Journal of Logistics Management, 17(2),
213-239.
Emerald.