Building strong supplier relationships boosts company performance in automotive and electronics industries
The article explores how U.S. companies can improve their performance by working closely with their suppliers. By building strong relationships and investing in supplier development, companies can see cost savings and improvements in quality, delivery, and flexibility. The study looked at firms in the automotive and electronics industries and found that commitment and social capital with key suppliers can lead to better performance. The type of improvements achieved can vary depending on the specific aspects of the relationship with suppliers.