Strategic Purchasing and Performance: the Role of Supply Chain Innovation, Technology Orientation, and R&D Effectiveness

Abstract

This paper illustrates how the purchasing department (PD) stimulates business performances throughout a flow in which innovation, technology orientation and R&D effectiveness are involved. Data were collected via a survey to Italian companies of the chemical industry. Given the role of the respondents, we had a clear portrait of the companies and of their path towards innovation and performance’s boosts. Results show that the PD plays a special role by acting as a bridge towards external players, but also internally among other functions. Moreover, internally the PD has a bonding and bridging role, since it stimulates the company through innovation and R&D activities having, as a result, boosted performances.

Keywords

• performance
• innovation
• r&d
• supply chain
• purchase department
• strategic decisions