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Is it too complex? The curious case of supply network complexity and focal firm innovation

Amalesh Sharma, Surya Pathak, Sourav Bikash Borah, Anirban Adhikary · 2019 · Journal of Operations Management

Summary. Supply network complexity affects how well firms innovate. Using data from 201 firms across six industries, the authors find that horizontal and vertical complexity boost innovation but with diminishing returns, while spreading suppliers across many locations harms innovation. A firm's strategic focus and power over suppliers shapes these relationships. The findings guide managers on sourcing decisions.

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Sharma, A., Pathak, S., Borah, S. B., & Adhikary, A.. (2019). Is it too complex? The curious case of supply network complexity and focal firm innovation. Journal of Operations Management. https://doi.org/10.1002/joom.1067

Details

DOI
10.1002/joom.1067
Countries
United States, India
Regions
North America, Asia
Categories
innovation-networks, innovation-theory, general-innovation
Added
2026-04-28