Relationships and performance of trade intermediaries: an exploratory study

Purpose – The purpose of this study is to examine the impact of relationship coordination on the performance of trade intermediaries. Design/methodology/approach – This study uses a model of interfirm governance involving multiple members – customers, suppliers and a firm's internal members. In supply chains involving more than two members, the dyadic approach to studying business relationships is inadequate. Dyadic relationships are often influenced by other connected relationships. Thus, this study provides a broader understanding of relationship management in the supply chain. Findings – A major task of intermediaries is to facilitate the flow of materials, information and resource along the supply chain. Growth in outsourcing and competition between supply chains have created a need for intermediaries to manage relationships with other members in the supply chain. How should intermediaries manage these relationships for success? Are there positive linkages between supplier relationship management, customer relationship management, intermediary business processes and intermediary performance? The findings of this study will help intermediaries to improve overall performance and to contribute to global trade. Originality/value – This preliminary study should prompt further investigations into how internal and external relationships can be integrated for superior performance in global trading operations.