Investigation of Centralized Risk Management Under the Title of Supplier Development and Preventive Product Recall on Company's Performance

Product damage scandals are considered a company's nightmare. In many cases, the source of defective or unsafe components may not be from the manufacturing company itself, there may be issues inherent in the supply chain. The purpose of this research is to investigate the effects of two focused risk management measures under the title of supplier development and preventive product recall on the company's performance. In order to closely examine the impact of two types of control mechanisms, social control and formal control, as records of risk management measures, we explore their moderating role on the relationship between risk management measures and company performance. Based on the data obtained from ۲۰۹ Chinese manufacturers, structural equation modeling and hierarchical regression were used to test the proposed hypotheses. The results show that supplier development of product recall significantly affects company performance and quality performance. In addition, social and formal control are significant records of two risk management measures. Most importantly, we examine the moderating role of control mechanisms on the relationship between risk management measures and company performance. Professionals should be aware that control mechanisms have different moderating effects, different types of control mechanisms should be used to facilitate risk management measures to achieve better company performance.

کلیدواژه ها:

Risk management ، Product recall ، Official Control