There are some limitations in this study that must be addressed. Information sharing is only one aspect of supplier integration, and research could be broadened by implementing more aspects of supplier integration (for instance distributive fairness and resource sharing). In addition, more ‘soft’ characteristics (such as power and trust) may be added in order to capture more of the complex relationship between supplier integration and cash flow performance (Cao and Zhang 2011; Villena, Revilla, and Choi 2011). The same goes for competitive capabilities, as quality and low cost are only two of several competitive
11 https://www.fiercepharma.com/special-report/relenza-pharma-s-biggest-flops
12 https://www.reuters.com/article/us-target-canada-exclusive/exclusive-target-canadas-supply-chain-gridlock-how-barbie-suvs-snarled-traffic-idUSBREA4K03X20140521
13 https://www.businessinsider.com/why-target-canada-failed-2015-1?r=US&IR=T&IR=T
30 capabilities (see review by Jitpaiboon, Gu, and Truong 2016).
Some may also argue that cash flow performance offers only a limited view of financial performance compared with combining various aggregate financial performance indicators. However, given that it has managerial, investor and methodological benefits, it could in fact be given greater importance. One extension of using cash flow measure is to view integration from both the supplier and customer perspectives. Here, the cash-to-cash components could instead be used as a cash flow performance measure. The benefit of this would be to shed more light on which components of cash flow are actually affected through integration (Kroes and Manikas 2014).
A methodological concern in this study is that responses were based on only one key supplier within the manufacturing industry. This may be both a source to surveyor bias (Zimmerman 2001) and limit the generalisation of the results. For instance, one respondent argued initially that if one manufactures bicycles, it is unnatural to select only one key supplier because all of the parts of a bicycle are equally important in order to complete the production cycle. While this can be true, the consequence of asking respondents to base their answers on several key suppliers is methodologically problematic. It becomes difficult to ascertain what their responses are based upon (the average benefits across several suppliers, a weighted answer based on purchase volume or contact frequency, and so forth). This is due to how different suppliers may warrant a different response for the various survey items. This method was therefore chosen in order to increase the reliability of the results.
As only a single respondent from each firm were selected, the customer satisfaction was based on self-reporting by the firm. However, as the respondents were mainly CEOs, CFOs and managers, they should be knowledgeable of this subject through customer satisfaction surveys/feedbacks conducted by their firms.
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