Digital Commons Network^™

Supply Market Analysis: The Moderating Effect Of Social Networking On Cost Reduction, Adam Cockrell

College of Business Theses and Dissertations

As organizations look for more efficient ways to grow and optimize their supplier network to meet demands, the sourcing process must be streamlined through social networking. Kraljic’s (1983) purchasing portfolio approach argues that different types of purchases need different sourcing strategies. This study extends beyond this strategy by introducing a novel approach of social networking as a mechanism to amplify cost reduction. Through the theoretical underpinning of Transaction Cost Theory, this study builds upon the use of social networking to establish the foundation for future research in this area. In this study, existing and former Purchasing Managers (Sourcing Managers, Procurement …