FACTORS FOR THE SUCCESS OF SUPPLIER RELATIONSHIP MANAGEMENT AND ITS IMPACT ON SC QUALITY & FIRM PERFORMANCE: CASE OF FMCG SECTOR OF KARACHI, PAKISTAN

Abstract

Purpose: Supply chain management theory recognizes the importance of managing supplier relationships. However, we know less about the capabilities underlying such supplier relationship management that are required to restructure and develop the supply base in order to continuously improve its performance. For this purpose we utilize the concept of supplier relationship management (SRM) capability, in line with a dynamic capabilities approach to management. This research puts its aim on impact of SR1C, SRDC and SREC, on overall firm performance. Methodology & Design: Deductive-research approach is used in this research. Precise results and consequences can be developed from widespread theories.. In order to inspect the relationship between independent and dependent variable centered on theoretical framework, explanatory method is used . And collect data through online survey. In order to measure the research framework's aspects, a questionnaire, then was designed and was constructed on a 5 Likert-scale Findings: This research shows rigorous conceptualization and nomological model as well as its operationalization. The findings reveal that all the SRM capability elements shows a favorable impact on supplier base performance and therefore on firm performance. The trade-offbetween supply base stability and dynamic SRM capabilities is taken into account. This study will be extremely important in a variety of ways as a result of this it will aid in viewing the link between Supplier relationship management and Supply chain quality and ultimately firm performance. Limitation: This research have some limitations, Time, Resources and the Information were the most dominant one. Time is the most precious and the limited thing we have in our life. Ifthe study was given more time, resources and information than it will be more accurate. Due to the time and resources limitation we are unable to collect the larger number of sample size and the length ofthe study is also limited. Recommendations: There could be many important variables that can affect supplier relationship management and yet to be discovered and studied in detail to examine their impact on Firm Performance as . well as on continuous supply base performance improvement and supply chain quality performance. This study can be further examined by using moderating variable such as demand uncertainty etc. Monitoring for business type, strategic relevance of acquired goods, or a firm's supply chain, network location, the situations under which various SRM capabilities solutions are useful should be investigated further.