Influence of relational-oriented exchange on outsourcing success in supplier-manufacturer relationships: A financial performance perspective

• Main Authors: Hassan, Mohamad Ghozali, Othman, Abdul Aziz, Ismail, Mohd Azril
• Format: Article
• Language: English
• Published: Engineering and Technology Publishing 2016
• Subjects: HD28 Management. Industrial Management
• Online Access: http://repo.uum.edu.my/16113/1/19.pdf; http://repo.uum.edu.my/16113/; http://doi.org/10.12720/joams.4.5.415-419

The role of relational-oriented exchange is an important concern of competitiveness sustainability in developing an outsourcing company. Analyzing the influence of relational-oriented exchange on the financial performance of outsourcing success enables greater business value over time.This paper aims to study the relational-oriented exchange in terms of structural and process dimensions improving the outsourcing performance among manufacturing industries.An empirical study was applying partial least square and structural equation modelling using responses from a sample list of all electric and electronic manufacturing industries in Malaysia.This is done with the help of a statistical tool, SmartPLS as a new quantitative research demonstrated to support the positive relationship between relational-oriented exchange and outsourcing success from a financial performance perspective.