Publication: The Role of Supplier Relationship Management to the Supply Chain Performance of an Organization: Railway Industries in Germany
Loading...
Type
Thesis
Degree
MBA
Date
2025
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Published Version
Abstract
This research examines how supplier relationship management affects supply chain performance in German railway manufacturing companies. The study identifies connections between supplier performance measurement systems and three outcomes: operational efficiency, cost reduction, and supply chain resilience, exploring how these systems create value beyond cost reduction.
The German railway sector faces challenges in maintaining reliable supply chains while controlling costs. Companies must balance quality requirements with pressures to improve sustainability and innovation. While supplier relationship management has been extensively studied in industries like automotive manufacturing, limited research exists specifically addressing the German railway industry despite its global significance. This knowledge gap is particularly relevant as Germany, being one of the world's largest railway manufacturing hubs, develops increasingly sophisticated approaches to supplier management.
Twelve interviews were conducted with procurement professionals from three leading railway manufacturers. The semi-structured interviews explored supplier performance measurement practices and their business impact. Content analysis identified key themes and patterns across companies.
Key findings demonstrate that companies employing advanced digital monitoring capabilities achieved superior supply chain resilience through early risk identification. Performance measurement data contributed to cost management primarily through quality cost avoidance and total cost visibility. Significant variations in digital maturity and implementation approaches reflected different organizational priorities across companies.
This study contributes to the theoretical understanding of supplier relationship management by revealing how performance measurement systems function as multidimensional value creators in complex supply chains. The findings extend existing frameworks by demonstrating the importance of strategic alignment, cross-functional integration, and total cost perspectives in supplier performance measurement. This research enhances supply chain management theory through empirical evidence connecting measurement approaches to performance outcomes, offering valuable insights into how organizations can achieve competitive advantage through more sophisticated supplier relationship governance in specialized manufacturing contexts.