Purpose: The research explores and examines factors for supplier evaluation and its impact on
process improvement particularly aiming on a steel pipe manufacturing firm in Gujarat, India.
Design/Methodology/approach: The conceptual research framework was developed and
hypotheses were stated considering the analysis of literature and discussions with the managers
and engineers of a steel pipe manufacturing company in Gujarat, India. Data was collected using
in-depth interview. The questionnaire primarily involves the perception of evaluation of supplier.
Factors influencing supplier evaluation and its influence on process improvement is also
examined in this study. The model testing and validation was done using partial least square
method. Outcomes signified that the factors that influence evaluation of the supplier are quality,
cost, delivery and supplier relationship management.
Findings and Originality/value: The study depicted that quality and cost factors for supplier
evaluation are insignificant. The delivery and supplier relationship management have significant
influence on evaluation of the supplier. The research also depicted that supplier evaluation has
significant influence on process improvement.
Research limitations/implications: The study has been made specifically for ABC steel pipe
manufacturing industry in Gujarat, India and may not be appropriate to the other industries or
any parts of the world. There is a possibility of response bias as the conclusions of this research was interpreted on survey responses taken from the employees of case study company, so it is
suggested that future research can overcome this problem by employing various methodologies in
addition to surveys like carrying out focus group and in-depth interviews, brainstorming sessions
with the experts etc.
Originality/value: Many researchers have considered quality, cost and delivery as the factors for
evaluating the suppliers. But for a company it is quintessential to have good relationship with the
supplier. Hence, the factor, supplier relationship management is considered for the study. Also,
the case study company focused more on quality and cost factors for the supplier evaluation of
the firm. However delivery and supplier relationship management are also equally important for a
firm in evaluating the supplier.
