Table 7 Mechanisms from the case studies...

Table 7

Mechanisms from the case studies

Main construct	Quotes from the case studies	Descriptive in vivo code	IPT code value
Structural Mechanisms
Formalization
Extent to which the scouting process is formalized	“The scouting process requires some sort of formalization to define standard tasks. Considering the complexity of supplier scouting, it cannot be based only on human activities or a simple Google search. Relying on an AI solution could be a good way to formalize the scouting methodology itself”. – Provider K “The IT provider takes control of the customer's whole procurement process, allowing for a higher degree of structure and formalization”. – Provider A “The platform takes care of the entire scouting process on behalf of the buyer firm”. – Provider C “The adoption of an AI-based platform helps the customer to achieve a greater level of formalization and methodological approach. In some cases, the user needs to be guided during the technological change and the process re-design”. – Provider G	Advisory role of IT providers in the formalization and re-design of the scouting process	high (thanks to the IT provider) low (for Providers C, D, E)
Process Mechanisms
Commitment
Extent to which there exists an equal sharing of risks, burden and benefits between the two firms	“Both buyers' and suppliers' data sharing is intermediated by the platform provider that grants the security of the data and does not disclose them without the direct authorization of each buyer or supplier”. – Provider G “In many cases, suppliers are more willing to share their data to the IT provider instead of the buyer, as the IT provider is an intermediary and is not interested in sharing sensitive data outside their proprietary platform”. – Provider B “The platform has a layered structure, in which every supplier has a public layer with generic information that can be accessed by every customer in the platform, and a set of more specific layers that allow the supplier to disclose the information they desire of the customer they accept”. – Provider F “Supplier data are protected from any spill overs and kept secret, as the closed structure of the platform guarantees that only the entitled customer can view the data from a certain supplier”. – Provider H	Intermediation role of IT providers in guaranteeing data security	high
Joint action
Extent to which there exists joint effort and cooperation between the two companies	“The data gathering process could be improved by a higher level of joint action, especially from the supplier side, as they are not always prompt in providing the right data on the platforms”. – Provider E “The system is based on a network of collaboration that provides the buyer firm with more and more information about the potential suppliers to support the supplier scouting process. The network fosters reciprocal and proactive communication on both the supplier and the buyer sides”. – Provider F	Effort of buyer and supplier firms in feeding the positive network externality coming from the shared platform	high low (for Providers C, D, E)
Technological Mechanisms
Compatibility
Ability to access systems across platforms	“The platform is deployed in a cloud, so it is easy to access from every other system of both suppliers and customers”. – Provider B “The solution consists of a single platform where all data are stored and can be accessed effortlessly from any platform”. – Provider G “The supplier database can be accessed across different platforms and organizations. Customers may decide to share the information about their suppliers in communities that allow them to exchange relevant information with their peers”. – Provider J “Easy-to-read scores and simple user interface allows all the members of the procurement department to easily navigate the system”. – Provider K	Ability to access the supplier scouting solution through different systems	high
Transparency of interfaces between systems	“Our AI-based solution consists of a single platform where all data are stored and can be accessed. The buyer firms that are part of the network let the provider access their system to have full visibility on different elements. This kind of transparency is also guaranteed internally to the buyer firm, as all the involved stakeholders in the company can have visibility on the processes of interest”. – Provider G “The platform offers several tools for data viewing, and it allows viewers to have a complete and transparent view of all the relevant data, while also integrating information coming from outside the company”. – Provider H “The solution is provided through a collaborative platform where all the procurement team have visibility and access, thanks to the possibility of integrating the solution with ERPs and other procurement tools”. – Provider L	Transparency on the scouting activities and on the whole procurement process	high
Variety of processed data types	“The platform includes data coming from structured sources only, such as official financial statements”. – Provider D “Among the wide variety of processed data, unstructured data represent the vast majority. This data includes news from the main newspapers, industry-specific reports, websites and even O-data, and allows us to gather direct insights on the analysed suppliers”. – Provider F	Ability to process data from a variety of sources relevant to supplier scouting	high
Data processing capabilities
Analytics capabilities	“We are able to gather a wide variety of data from different sources, offering the buyers a high degree of knowledge about the suppliers in their database. On the other hand, we lack specific data analytics skills and know that there is still room for improvement”. – Provider E “Data coming from multiple sources, particularly in an unstructured form (websites and news), is processed through a semantic analysis algorithm that ranks the reliability of the information and collects data about supply risk”. – Provider F “The implementation of AI is embedded in a wider platform that combines data processing skills and a managerial approach about the insight given by those data”. – Provider I	Capabilities of the IT provider to provide advanced analytics and AI-based solutions supporting supplier scouting	high low (for Providers C, D, E)
Data quality
Data accuracy	“The accuracy of the provided data is granted with a tier-based approach. First, a check of documents is automatically run via integration with third parties. The second tier is a further control we run to verify the accuracy of the data. Eventually, the third tier consists of audits”. – Provider J “All the supplier data in the platform is automatically checked to ensure that it is trustworthy and that certifications are not expired”. – Provider B “The database in our solution is fed by our customer. User-generated data does not have any kind of input control. Manual checks are done, but data accuracy is still low”. – Provider C “Data are gathered from third-party information providers: their data are certified and can be considered reliable”. – Provider D	Accuracy of the data used in supplier scouting coming from the buyer and suppliers' database and from external sources	high low (for Providers C, D, E)
Data timeliness	“All data in the platform is real-time updated; alerts are set about the expiration of due documentation”. – Provider B “Real-time data are analysed and processed in our solution, as the algorithms do not require data to be stored in a local database”. – Provider F	Timeliness of the data used in supplier scouting coming from the buyer and suppliers' database and from external sources	high low (for Providers C, D, E)
Data consistency	“Data consistency is enhanced by the fact that the main input data comes from the suppliers who are required to upload them in a certain format”. – Provider H “Customers are given the option to choose the most relevant information, and the platform designs the database in accordance with their decisions. This allows for consistent databases where all the information are kept in the same format”. – Provider F	Consistency of the data used in supplier scouting coming from the buyer and suppliers' database and from external sources	high low (for Providers C, D, E)
Data completeness	“AI algorithms can be applied only if data are complete and significant”. – Provider K	Completeness of the data used in supplier scouting coming from the buyer and suppliers' database and from external sources	high low (for Providers C, D, E)
ERP integration
Capability to integrate with ERP package for daily operation	“Integrating with the ERP of both buyers and suppliers allows us to respond quickly to the purchasing needs of our customers, directly accessing all the relevant information without any need for intermediation. With the support of AI this goal is easier to reach”. – Provider A “The AI-based platform is ERP-native, making it an end-to-end procurement solution. This allows suppliers and buyers to access the broader picture by not focusing only on the scouting, but having a wider platform to make sure that the scouting process is aligned with the whole purchasing process”. – Provider F “The integration with the ERP system of the buyer firm and the scouting solution is considered to be a plus that increases the process of data gathering”. – Provider G “The solution can be accessed outside of the provider's platform, and it can be directly integrated in the customer's ERP for easier access”. – Provider K	Integration of the AI-based supplier solutions with the ERP of the buyer and suppliers' firms	high
Integration with information providers
Presence of integrations with information providers for data gathering	“Collaborations with info providers allow the platform to gather descriptive information about suppliers that help the platform in labelling each supplier's purchasing category”. – Provider B “In order to gather more information, depending on the buyer-specific requirements, the IT provider can rely on other information providers”. – Provider K “Integrating with information providers helps to retrieve significant data about the potential suppliers in real time. Thanks to this integration, the IT provider only needs the ID number of the supplier to collect the related data if the supplier is present in the information providers' databases”. – Provider F “The integration with information providers represents a source of reliable data that are easy to access, allowing users to unlock documents and information that could take a long time to be processed if they are required to be sent directly to suppliers”. – Provider J	Integration of the AI-based supplier solution with the services offered by information providers to feed the algorithms and update the supply market intelligence database	high

Main construct	Quotes from the case studies	Descriptive in vivo code	IPT code value
Structural Mechanisms
Formalization
Extent to which the scouting process is formalized	“The scouting process requires some sort of formalization to define standard tasks. Considering the complexity of supplier scouting, it cannot be based only on human activities or a simple Google search. Relying on an AI solution could be a good way to formalize the scouting methodology itself”. – Provider K“The IT provider takes control of the customer's whole procurement process, allowing for a higher degree of structure and formalization”. – Provider A“The platform takes care of the entire scouting process on behalf of the buyer firm”. – Provider C“The adoption of an AI-based platform helps the customer to achieve a greater level of formalization and methodological approach. In some cases, the user needs to be guided during the technological change and the process re-design”. – Provider G	Advisory role of IT providers in the formalization and re-design of the scouting process	high (thanks to the IT provider)low (for Providers C, D, E)
Process Mechanisms
Commitment
Extent to which there exists an equal sharing of risks, burden and benefits between the two firms	“Both buyers' and suppliers' data sharing is intermediated by the platform provider that grants the security of the data and does not disclose them without the direct authorization of each buyer or supplier”. – Provider G“In many cases, suppliers are more willing to share their data to the IT provider instead of the buyer, as the IT provider is an intermediary and is not interested in sharing sensitive data outside their proprietary platform”. – Provider B“The platform has a layered structure, in which every supplier has a public layer with generic information that can be accessed by every customer in the platform, and a set of more specific layers that allow the supplier to disclose the information they desire of the customer they accept”. – Provider F“Supplier data are protected from any spill overs and kept secret, as the closed structure of the platform guarantees that only the entitled customer can view the data from a certain supplier”. – Provider H	Intermediation role of IT providers in guaranteeing data security	high
Joint action
Extent to which there exists joint effort and cooperation between the two companies	“The data gathering process could be improved by a higher level of joint action, especially from the supplier side, as they are not always prompt in providing the right data on the platforms”. – Provider E“The system is based on a network of collaboration that provides the buyer firm with more and more information about the potential suppliers to support the supplier scouting process. The network fosters reciprocal and proactive communication on both the supplier and the buyer sides”. – Provider F	Effort of buyer and supplier firms in feeding the positive network externality coming from the shared platform	highlow (for Providers C, D, E)
Technological Mechanisms
Compatibility
Ability to access systems across platforms	“The platform is deployed in a cloud, so it is easy to access from every other system of both suppliers and customers”. – Provider B“The solution consists of a single platform where all data are stored and can be accessed effortlessly from any platform”. – Provider G“The supplier database can be accessed across different platforms and organizations. Customers may decide to share the information about their suppliers in communities that allow them to exchange relevant information with their peers”. – Provider J“Easy-to-read scores and simple user interface allows all the members of the procurement department to easily navigate the system”. – Provider K	Ability to access the supplier scouting solution through different systems	high
Transparency of interfaces between systems	“Our AI-based solution consists of a single platform where all data are stored and can be accessed. The buyer firms that are part of the network let the provider access their system to have full visibility on different elements. This kind of transparency is also guaranteed internally to the buyer firm, as all the involved stakeholders in the company can have visibility on the processes of interest”. – Provider G“The platform offers several tools for data viewing, and it allows viewers to have a complete and transparent view of all the relevant data, while also integrating information coming from outside the company”. – Provider H“The solution is provided through a collaborative platform where all the procurement team have visibility and access, thanks to the possibility of integrating the solution with ERPs and other procurement tools”. – Provider L	Transparency on the scouting activities and on the whole procurement process	high
Variety of processed data types	“The platform includes data coming from structured sources only, such as official financial statements”. – Provider D“Among the wide variety of processed data, unstructured data represent the vast majority. This data includes news from the main newspapers, industry-specific reports, websites and even O-data, and allows us to gather direct insights on the analysed suppliers”. – Provider F	Ability to process data from a variety of sources relevant to supplier scouting	high
Data processing capabilities
Analytics capabilities	“We are able to gather a wide variety of data from different sources, offering the buyers a high degree of knowledge about the suppliers in their database. On the other hand, we lack specific data analytics skills and know that there is still room for improvement”. – Provider E“Data coming from multiple sources, particularly in an unstructured form (websites and news), is processed through a semantic analysis algorithm that ranks the reliability of the information and collects data about supply risk”. – Provider F“The implementation of AI is embedded in a wider platform that combines data processing skills and a managerial approach about the insight given by those data”. – Provider I	Capabilities of the IT provider to provide advanced analytics and AI-based solutions supporting supplier scouting	high low (for Providers C, D, E)
Data quality
Data accuracy	“The accuracy of the provided data is granted with a tier-based approach. First, a check of documents is automatically run via integration with third parties. The second tier is a further control we run to verify the accuracy of the data. Eventually, the third tier consists of audits”. – Provider J“All the supplier data in the platform is automatically checked to ensure that it is trustworthy and that certifications are not expired”. – Provider B“The database in our solution is fed by our customer. User-generated data does not have any kind of input control. Manual checks are done, but data accuracy is still low”. – Provider C“Data are gathered from third-party information providers: their data are certified and can be considered reliable”. – Provider D	Accuracy of the data used in supplier scouting coming from the buyer and suppliers' database and from external sources	high low (for Providers C, D, E)
Data timeliness	“All data in the platform is real-time updated; alerts are set about the expiration of due documentation”. – Provider B“Real-time data are analysed and processed in our solution, as the algorithms do not require data to be stored in a local database”. – Provider F	Timeliness of the data used in supplier scouting coming from the buyer and suppliers' database and from external sources	high low (for Providers C, D, E)
Data consistency	“Data consistency is enhanced by the fact that the main input data comes from the suppliers who are required to upload them in a certain format”. – Provider H“Customers are given the option to choose the most relevant information, and the platform designs the database in accordance with their decisions. This allows for consistent databases where all the information are kept in the same format”. – Provider F	Consistency of the data used in supplier scouting coming from the buyer and suppliers' database and from external sources	high low (for Providers C, D, E)
Data completeness	“AI algorithms can be applied only if data are complete and significant”. – Provider K	Completeness of the data used in supplier scouting coming from the buyer and suppliers' database and from external sources	high low (for Providers C, D, E)
ERP integration
Capability to integrate with ERP package for daily operation	“Integrating with the ERP of both buyers and suppliers allows us to respond quickly to the purchasing needs of our customers, directly accessing all the relevant information without any need for intermediation. With the support of AI this goal is easier to reach”. – Provider A“The AI-based platform is ERP-native, making it an end-to-end procurement solution. This allows suppliers and buyers to access the broader picture by not focusing only on the scouting, but having a wider platform to make sure that the scouting process is aligned with the whole purchasing process”. – Provider F“The integration with the ERP system of the buyer firm and the scouting solution is considered to be a plus that increases the process of data gathering”. – Provider G“The solution can be accessed outside of the provider's platform, and it can be directly integrated in the customer's ERP for easier access”. – Provider K	Integration of the AI-based supplier solutions with the ERP of the buyer and suppliers' firms	high
Integration with information providers
Presence of integrations with information providers for data gathering	“Collaborations with info providers allow the platform to gather descriptive information about suppliers that help the platform in labelling each supplier's purchasing category”. – Provider B“In order to gather more information, depending on the buyer-specific requirements, the IT provider can rely on other information providers”. – Provider K“Integrating with information providers helps to retrieve significant data about the potential suppliers in real time. Thanks to this integration, the IT provider only needs the ID number of the supplier to collect the related data if the supplier is present in the information providers' databases”. – Provider F“The integration with information providers represents a source of reliable data that are easy to access, allowing users to unlock documents and information that could take a long time to be processed if they are required to be sent directly to suppliers”. – Provider J	Integration of the AI-based supplier solution with the services offered by information providers to feed the algorithms and update the supply market intelligence database	high

Source(s): Table created by authors

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