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Buyer Supplier Relationship in Manufacturing Industry - Findings from Indian Manufacturing Sector

Author(s): Manoj Kumar Mohanty | Dr. P. Gahan

Journal: Business Intelligence Journal
ISSN 1918-2325

Volume: 5;
Issue: 2;
Start page: 319;
Date: 2012;
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Keywords: Supply Chain Management | Buyer Supplier Relationship | Manufacturing Industry | MSME Sector | RIDIT Analysis

Current era of business demands a stable and long lasting partnership with supply chain partners. A relationship is called a successful one in which mutual economic gain, understanding of individual requirements and respect to each other exists. The role of the large scale manufacturing buyers becomes more crucial in building relationship where the suppliers are belongs to micro small and medium enterprises (MSME). Most of the large scale manufacturing industry is having supply base as MSME manufacturing units. The contribution of MSME sector to the country's GDP, employment, production and export is quite remarkable and under special focus of state governments as well as central government of India. It is more over important to understand the situations of that sector and to design the expectations as a buyer. The relationship building process only will be effective if the buyers will have clarity between expectations and available offerings. The objective of the paper is in three folds. Firstly to understand the buyer supplier relationship attributes considered by the Indian large scale manufacturing organisations, secondly the expectations of large scale buyers from the MSME sector suppliers and finally the ranking of the factors affecting the buyer supplier relationship. Paper Type: Research paper.

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