Building long-term relationships with select suppliers is seen as the way to reduce the risks of socially irresponsible sourcing and, by extension, damage to a company’s brand or reputation. It is not, however, a ‘magic’ solution to the problem of ‘rogue’ elements in the supply chain. New research finds that the success of ‘relational sourcing’ is directly linked to the structure of the supplier network — and that the ‘optimal’ structure varies by company and product category.
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