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1 – 10 of 127Magdalena Jażdżewska-Gutta, Monika Grottel and Dagmara Wach
This study aims to investigate the motives for and the benefits of authorized economic operator (AEO) certification in the supply chain. Also, whether there are significant…
Abstract
Purpose
This study aims to investigate the motives for and the benefits of authorized economic operator (AEO) certification in the supply chain. Also, whether there are significant differences in the perception of the AEO status as a necessity or privilege among cargo owners and service providers.
Design/methodology/approach
The research design includes an international survey of 159 AEO-certified companies from four European Union (EU) countries performing various roles in the supply chain. The data are analyzed using quantitative methods, including factor analysis and analysis of variance.
Findings
Based on factor analysis, the research reveals the motives for and benefits of AEO certification. This reveals significant differences between two distinct groups of supply chain participants, namely, cargo owners and service providers. Service providers are mainly driven by the need to gain or maintain their competitive advantage and treat AEO certification as a standard that is required by customers. Cargo owners are relatively more focused on the improvement of internal processes and treat AEO certification as a privilege that helps them achieve a high level of efficiency.
Originality/value
The study fills the existing literature gap as it focuses on the differences between two distinct groups (cargo owners and service providers) in terms of their perception of the AEO certification. As empirical research in this area is scarce, especially at the cross-country level, this study also significantly complements knowledge on AEO certification in the EU.
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Dicky Hadi Pratama and Sophia Everett
Discussion of security in supply chains has been intensified since the tragedy of 9/11 in the United States. The World Customs Organization's SAFE Framework with its Authorized…
Abstract
Discussion of security in supply chains has been intensified since the tragedy of 9/11 in the United States. The World Customs Organization's SAFE Framework with its Authorized Economic Operators (AEO) program is one of the prominent supply chain security initiatives. At the time of its introduction in 2005, 168 member countries signed their support for its implementation. However, the last AEO Compendium reports only 69 countries currently have AEO program in place. This relatively slow development indicates the complexity of issues that might challenge countries to implement the initiative. Against this background, this paper aims to look at the AEO implementation in an environment where supply chain security initiative is relatively new. It focuses on policy development perspectives where the case study of Indonesia might represent challenges of other countries. Involving methods of desk research, interviews, and field observation, this paper starts with the development of various international supply chain security programs where the AEO finds it prominence. It follows with a discussion on the Indonesian AEO implementation where challenges and its policy development process are explored.
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Hong Gyue Park and YoungJae Park
The purpose of this paper is to examine the impact of financial investment (FI) in Authorized Economic Operator (AEO) certification on performance of Korean logistics companies…
Abstract
Purpose
The purpose of this paper is to examine the impact of financial investment (FI) in Authorized Economic Operator (AEO) certification on performance of Korean logistics companies through public and private partnership (PPP) and trade facilitation (TF).
Design/methodology/approach
Questionnaire survey was conducted to collect the data for this study, out of which 285 were adopted for the analysis using structural equation modeling for quantitative analysis. Also, it is based on professionals in Korean logistics companies that are AEO certified only.
Findings
FI on AEO certification had positive impacts on performance via PPP, while TF variable had no significant impact on the overall performance.
Research limitations/implications
This study focuses on the FI in AEO certification and its impact on performance in Korea. There should be more quantitative and confirmatory research on other countries with AEO certification to validate the findings of this study. It may be possible to generate contrary findings in different economies or countries.
Practical implications
These findings imply that public managers should focus more on TF aspects of the program with the Mutual Recognition Agreement with major trading partners and growing economies around the world in order to make the AEO program more popular and global with supply chain members overseas.
Originality/value
This study has offered original discovery and practical, academic implications for AEO program in terms of testing and suggesting factors provided by previous studies as a confirmatory and quantitative research.
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Hsin-Li Chang and Jinn-Guang Wu
The purpose of this paper is to develop a method to measure the difficulties of items required to achieve Authorized Economic Operator (AEO) validation and investigated companies’…
Abstract
Purpose
The purpose of this paper is to develop a method to measure the difficulties of items required to achieve Authorized Economic Operator (AEO) validation and investigated companies’ abilities to obtain AEO certification based on an empirical analysis of 201 supply chain-related companies in Taiwan.
Design/methodology/approach
The Rasch model was applied to convert the ordinal raw data collected from questionnaire surveys into values on an interval scale to measure companies’ abilities and item difficulties for AEO validation. The model was estimated using WINSTEP, which is an iterative computer program.
Findings
The study results show that self-risk assessment and the formulation of security policies are the most difficult items to accomplish for AEO validation, whereas establishing security facilities is the easiest task to accomplish. Additionally, a company’s ability to obtain AEO validation was found to be positively correlated with a company’s turnover volume and its number of staff.
Research limitations/implications
This research focusses on supply chain-related companies in Taiwan. Thus, the findings may not be transferable directly to other companies, circumstances, or countries.
Practical implications
Using the Rasch analysis, both company’s abilities and item difficulties could be measured numerically and compared meaningfully. The study results could be used as references for the government to create polices to guide companies to meet the requirements of AEO validation in the future.
Social implications
According to the study results, only 43.28 percent of the respondent companies have sufficient confidence to completely comply with all 26 security items for AEO validation; this implies that AEO validation criteria should be adjusted or some programs should be provided by the government to improve companies’ abilities for AEO validation, if the government genuinely wants to effectively encourage companies to obtain AEO certification.
Originality/value
This study introduced a method to estimate items’ difficulties and companies’ abilities for AEO validation with values on a consistent interval scale. Thus, a comparison between companies’ abilities and items’ difficulties could be graphically illustrated. The results of this study provide a useful tool to investigate whether the AEO validation criteria are appropriate for the potential companies that can apply for AEO validation.
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Thierry Houé and Eileen Murphy
Faced with increasing competition, the ability to secure and optimise global logistics operations should be regarded as a competitive advantage. In the context of the hitherto…
Abstract
Purpose
Faced with increasing competition, the ability to secure and optimise global logistics operations should be regarded as a competitive advantage. In the context of the hitherto little explored field of security and safety programmes, the purpose of this paper is to examine how an Authorised Economic Operator (AEO) certificate may affect the creation of a competitive edge for a freight forwarder.
Design/methodology/approach
By using the resource-based view as a theoretical background and a qualitative analysis using an interview grid inspired by the balanced scorecard, this research identifies resources and capabilities linked to the AEO certification.
Findings
The findings show two specific groups of resources that contribute to the creation of a competitive advantage. The first category is a process-type resource obtained through the AEO certification, which leads to more formalised and better-executed processes. The second relates to the freight forwarder’s knowledge, know-how and relational skills.
Research limitations/implications
This research is developed in a logistics service provider context. It should be equally applied in other contexts and with other methods to provide generalisability.
Practical implications
Considering its contribution to an area of study currently under research, the findings may be useful to practitioners as a decision support tool to assess the value of the AEO certification.
Originality/value
This paper comes in the context of a yet little explored field, despite practitioners’ questions about custom certifications.
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Kim Chang-Bong, Hong-Uk Chun and Seung-Ha Kwon
In a changing trade landscape, global trade transaction relies on a global supply-chain network. Customs clearance to cross borders is critical to enhancing the competitiveness of…
Abstract
Purpose
In a changing trade landscape, global trade transaction relies on a global supply-chain network. Customs clearance to cross borders is critical to enhancing the competitiveness of both importers and exporters. As such, each country has adopted an authorized economic operator (AEO) program to promote the security of both imported and exported cargo as well as expedite freight movements. The purpose of this paper is to discover the factors which should be taken into account to utilize an AEO program, and to look at the causal relations between these factors.
Design/methodology/approach
This study conducted a survey on 201 AEO programs in Korea. With partial least squares, the structure model is tested using the coefficient value of the determination of the dependent variable, explained by the sign and scale of the path coefficient, statistical significance, and leading variable. Moreover, this study performed bootstrap re-sampling to verify all paths and significance.
Findings
It was found that AEO external pressure, training capacity, and sustainability are shown to have a significant impact on AEO performance. Furthermore, for the group with a high level of AEO application, training capacity and AEO sustainability are shown to have a greater effect on AEO performance. For the group with a low level of AEO application, internal regulation is shown to have a bigger impact on AEO performance.
Originality/value
This study sets itself apart from previous ones in that it examines AEO application for trade security and facilitation with regard to customs, which would affect global supply-chain management.
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Yang Xuexia, Lao Jihong and Chen Hui
The removing of oil from waste silk is carried out widely by microbial fermentation. However, it is difficult to remove the oil completely. In this study, surfactants were used to…
Abstract
The removing of oil from waste silk is carried out widely by microbial fermentation. However, it is difficult to remove the oil completely. In this study, surfactants were used to enhance microbial oil removing. In seven of the surfactants that were tested, 0.1% of the anionic surfactants inhibited the growth of bacteria and 0.1% of the nonionic surfactants partially inhibited the growth of bacteria. When only the surfactant was used to remove oil, all of the tested surfactants helped remove oil from the waste silk and treatment that added 0.1% AEO-9 gave the lowest oil content.
When surfactants were combined with bacteria to remove oil, the oil content was further reduced and the lowest oil content was obtained by combining AEO-9 and bacteria. The optimum conditions for oil removing by combining AEO-9 with bacteria were pH8.0, temperature 40°C, 4% (v/v) inoculum size and 3 days incubation time. Compared with untreated silk, silk treated by combining surfactants with bacteria resulted in a decrease in oil content and improvement in appearance. Scanning electron micrographs showed that treated samples had a clean surface.
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The purpose of this study is to examine the role of emotional intelligence (EI) in explaining high-tech entrepreneurs' psychological ownership (PO) and, in turn, how their PO…
Abstract
Purpose
The purpose of this study is to examine the role of emotional intelligence (EI) in explaining high-tech entrepreneurs' psychological ownership (PO) and, in turn, how their PO influences venture growth.
Design/methodology/approach
This study is based on data collected from 106 high-tech Israeli entrepreneurs.
Findings
The findings indicate that using emotions for problem-solving is positively associated with PO sense of efficacy, and that appraisal of emotions of others is negatively associated with PO sense of territoriality. Moreover, PO sense of efficacy is positively associated with growth, whereas sense of territoriality is negatively associated with growth. Finally, sense of territoriality has a curvilinear effect on venture growth.
Research limitations/implications
Understanding of the antecedents of entrepreneurs' PO and its influence on firms' growth is scant. The findings contribute to the psychology of entrepreneurship and PO literature by showing the influence of affective-based processes on high-tech start-up growth.
Practical implications
The findings of this study suggest the entrepreneurs' EI indirectly affects other affective behaviors such as PO, which in turn influence venture growth. It highlights the need of entrepreneur to regulate their emotions and manage the emotional- and cognitive-based processes for the sake of firms' growth.
Originality/value
The findings expand the knowledge pertaining to the psychology of entrepreneurship by showing how EI as an affective dimension is interrelated with affective-based process and entrepreneurial firms' growth.
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Sonia Froufe, Mame Gningue and Charles–Henri Fredouet
Due to the globalization of trade, hundreds of millions containers pass every year through world ports. Such a situation is extremely challenging in terms of securing freight…
Abstract
Due to the globalization of trade, hundreds of millions containers pass every year through world ports. Such a situation is extremely challenging in terms of securing freight transport operations. However, costs and lead-times are still very important components of supply chains' performance models. Therefore, the drive for enhanced safety and security cannot be made at the expense of these other two factors of competitiveness, and the processes implemented by the global supply chain links, including the maritime port one, should tend to a joint optimization of trade facilitation and operational safety / security.
The research on which this paper feeds back falls within the frame of this mixed performance requirement. More specifically, the paper presents a decision-support system dedicated to managing the risks associated with land and maritime container transportation; this system is based on the modeling of the knowledge of a group of experts, and covers the three phases of risk identification, assessment and avoidance / mitigation.
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