THE FINANCIAL IMPACT OF SUPPLY MANAGEMENT.

By Lisa M. Ellram, Baohong Liu. 2002

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Strategic purchasing, supply management, and firm performance (2004, background): “…customer responsiveness is an essential component of competitive advantage (Stalk and Hout, 1990; Jayaram et al., 1999; Stank et al., 1999) and that purchasing and supply management can have a profound impact on a firm’s financial performance (Ellram and Liu, 2002; Singhal and Hendricks, 2002).”
Cross-functional integration and functional coordination in purchasing and supply management: Antecedents and effects on purchasing and firm performance (2013, background): “Finally, purchasing performance positively affects the balance sheet of firms through enhanced asset utilization and reduced capital lock-up (Ellram and Liu, 2002).”
Levels of strategic purchasing: Impact on supply integration and performance (2006, background): “It has evolved from a mere buying function into a strategic function (Ellram and Carr, 1994), and has recently been recognized as a critical driving force in the strategic management of supply chains (Chen et al., 2004; Ellram and Liu, 2002).”