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Article
Publication date: 11 October 2019

The design of the vaccine supply network under uncertain condition: A robust mathematical programming approach

Seyed Jafar Sadjadi, Zahra Ziaei and Mir Saman Pishvaee

This study aims to design a proper supply chain network for the vaccine industry in Iran, which considers several features such as uncertainties in demands and cost…

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Abstract

Purpose

This study aims to design a proper supply chain network for the vaccine industry in Iran, which considers several features such as uncertainties in demands and cost, perishability of vaccines, wastages in storage, limited capacity and different priorities for demands.

Design/methodology/approach

This study presents a mixed-integer linear programming (MILP) model and using a robust counterpart approach for coping with uncertainties of model.

Findings

The presented robust model in comparison with the deterministic model has a better performance and is more reliable for network design of vaccine supply chain.

Originality/value

This study considers uncertainty in the network design of vaccine supply chain for the first time in the vaccine context It presents an MILP model where strategic decisions for each echelon and tactical decisions among different echelons of supply chain are determined. Further, it models the difference between high- and low-priority demands for vaccine.

Details

Journal of Modelling in Management, vol. 14 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/JM2-07-2018-0093
ISSN: 1746-5664

Keywords

  • Optimization
  • Healthcare
  • Supply chain management
  • Healthcare management
  • Network design
  • Robust counterpart
  • Priority demands
  • Vaccine supply chain
  • Perishability

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Article
Publication date: 19 April 2011

The moderating effects of technological and demand uncertainties on the relationship between supply chain integration and customer delivery performance

Sakun Boon‐itt and Chee Yew Wong

The purpose of this paper is to test the moderating effects of technological and demand uncertainties on the relationship between supply chain integration and customer…

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Abstract

Purpose

The purpose of this paper is to test the moderating effects of technological and demand uncertainties on the relationship between supply chain integration and customer delivery performance.

Design/methodology/approach

Based on a survey questionnaire with 151 participants in the Thai automotive industry supply chain, hierarchical regressions are used to test the moderating effects.

Findings

Internal and supplier integration, but not customer integration, were positively associated with customer delivery performance. Technological and demand uncertainties were found to moderate the relationships between internal integration and customer delivery performance, and supplier integration and customer delivery performance.

Research limitations/implications

The moderating effects of technological and demand uncertainties in the Thai automotive just‐in‐time (JIT) environment are explained. This research contributes to the development of a contingency theory of supply chain integration suggesting that the impacts of supply chain integration on customer delivery performance vary under different levels of technological and demand uncertainties.

Practical implications

Managers recognize the diminishing effects of internal integration and supplier integration under demand uncertainty, and the increasing effect of supplier integration under high technological uncertainty.

Originality/value

This study contributes to the supply chain management literature by clarifying the moderating effects of technological and demand uncertainties on the relationship between supply chain integration and customer delivery performance.

Details

International Journal of Physical Distribution & Logistics Management, vol. 41 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/09600031111123787
ISSN: 0960-0035

Keywords

  • Supply chain management
  • Demand
  • Service delivery
  • Customer services quality
  • Automotive industry
  • Taiwan

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Article
Publication date: 26 October 2010

Managing demand and supply uncertainties to achieve mass customization ability

Gensheng (Jason) Liu, Rachna Shah and Roger G. Schroeder

Managing demand and supply uncertainties is critical for all manufacturers, but it has added importance for companies that intend to achieve mass customization (MC…

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Abstract

Purpose

Managing demand and supply uncertainties is critical for all manufacturers, but it has added importance for companies that intend to achieve mass customization (MC) ability because these uncertainties are an intrinsic characteristic of MC. The purpose of this paper is to investigate how managing uncertainties in a firm's demand and supply affects its MC ability.

Design/methodology/approach

Regression analysis and analysis of variance (ANOVA) are conducted on data collected from 189 manufacturing plants to empirically test two hypotheses.

Findings

Both demand and supply uncertainty management have a positive impact on a company's MC ability. However, managing either demand or supply uncertainties independently of the other is not enough to achieve MC ability; instead, a company needs to concurrently manage both demand and supply uncertainties to achieve MC ability.

Originality/value

The current literature lacks a sound theoretical basis to link demand and supply uncertainty management with MC ability. The paper provides such a theoretical foundation, and systematically identifies several demand and supply uncertainty management mechanisms that enable firms to achieve superior MC ability. In addition, it is one of the first large‐scale empirical studies to address the impact of managing both demand and supply uncertainties on MC ability.

Details

Journal of Manufacturing Technology Management, vol. 21 no. 8
Type: Research Article
DOI: https://doi.org/10.1108/17410381011086801
ISSN: 1741-038X

Keywords

  • Mass customization
  • Uncertainty management
  • Supply and demand
  • Manufacturing industries

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Article
Publication date: 13 August 2018

Procurement risk management under uncertainty: a review

Zhen Hong, C.K.M. Lee and Linda Zhang

The purpose of this paper is twofold, first providing researchers with an overview about the uncertainties occurred in procurement including applicable approaches for…

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Abstract

Purpose

The purpose of this paper is twofold, first providing researchers with an overview about the uncertainties occurred in procurement including applicable approaches for analyzing different uncertain scenarios, and second proposing directions to inspire future research by identifying research gaps.

Design/methodology/approach

Papers related to supply chain risk management and procurement risk management (PRM) from 1995–2017 in several major databases are extracted by keywords and then further filtered based on the relevance to the topic, number of citations and publication year. A total of over 156 papers are selected. Definitions and current approaches related to procurement risks management are reviewed.

Findings

Five main risks in procurement process are identified. Apart from summarizing current strategies, suggestions are provided to facilitate strategy selection to handle procurement risks. Seven major future challenges and implications related PRM and different uncertainties are also indicated in this paper.

Research limitations/implications

Procurement decisions making under uncertainty has attracted considerable attention from researchers and practitioners. Despite the increasing awareness for risk management for supply chain, no detail and holistic review paper studied on procurement uncertainty. Managing procurement risk not only need to mitigate the risk of price and lead time, but also need to have sophisticated analysis techniques in supply and demand uncertainty.

Originality/value

The contribution of this review paper is to discuss the implications of the research findings and provides insight about future research. A novel research framework is introduced as reference guide for researchers to apply innovative approach of operations research to resolve the procurements uncertainty problems.

Details

Industrial Management & Data Systems, vol. 118 no. 7
Type: Research Article
DOI: https://doi.org/10.1108/IMDS-10-2017-0469
ISSN: 0263-5577

Keywords

  • Procurement
  • Risk management
  • Supply chain management
  • Literature review
  • Supply risk

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Article
Publication date: 4 July 2016

Demand uncertainty and inventory turnover performance: An empirical analysis of the US retail industry

Gülşah Hançerlioğulları, Alper Şen and Esra Ağca Aktunç

The purpose of this paper is to investigate the impact of demand uncertainty on inventory turnover performance through empirical modeling. In particular the authors use…

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Abstract

Purpose

The purpose of this paper is to investigate the impact of demand uncertainty on inventory turnover performance through empirical modeling. In particular the authors use the inaccuracy of quarterly sales forecasts as a proxy for demand uncertainty and study its impact on firm-level inventory turnover ratios.

Design/methodology/approach

The authors use regression analysis to study the effect of various measures on inventory performance. The authors use a sample financial data for 304 publicly listed US retail firms for the 25-year period from 1985 to 2009.

Findings

Controlling for the effects of retail segments and year, it is found that inventory turnover is negatively correlated with mean absolute percentage error of quarterly sales forecasts and gross margin and positively correlated with capital intensity and sales surprise. These four variables explain 73.7 percent of the variation across firms and over time and 93.4 percent of the within-firm variation in the data.

Practical implications

In addition to conducting an empirical investigation for the sources of variation in a major operational metric, the results in this study can also be used to benchmark a retailer’s inventory performance against its competitors.

Originality/value

The authors develop a new proxy to measure the demand uncertainty that a firm faces and show that this measure may help to explain the variation in inventory performance.

Details

International Journal of Physical Distribution & Logistics Management, vol. 46 no. 6/7
Type: Research Article
DOI: https://doi.org/10.1108/IJPDLM-12-2014-0303
ISSN: 0960-0035

Keywords

  • Operational performance
  • Inventory management
  • Retail industry

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Article
Publication date: 16 January 2020

The design and planning of an integrated supply chain for perishable products under uncertainties: A case study in milk industry

Pankaj Dutta and Himanshu Shrivastava

This paper aims to design an optimal supply chain network and to develop a suitable distribution planning under uncertainty for perishable product's supply chain. The…

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Abstract

Purpose

This paper aims to design an optimal supply chain network and to develop a suitable distribution planning under uncertainty for perishable product's supply chain. The ultimate goal is to help in making decisions under uncertain environments.

Design/methodology/approach

In this paper, stochastic programming is used under conditions of demand, supply and process uncertainties, and a non-linear mathematical model is developed for perishable product’s supply chain. Authors’ study considers disruptions in transportation routes and also within the facilities and investigates optimal facility location and shipment decisions while minimising the total supply chain cost. A scenario-based approach is used to model these disruptions. The retailer level uncertainty due to demand-supply mismatch is handled by incorporating the newsvendor model into the last echelon of supply chain network. In this paper, two policies are proposed for making decisions under uncertain environments. In the first one, the expected cost of the supply chain is minimised. To also consider the risk behaviour of the decision maker, authors propose the second policy through a conditional value-at-risk approach.

Findings

Authors discuss the model output through various examples that are provided via a case study from the milk industry. The supply chain design and planning of the disruption-free model are different from those of the resilient model.

Practical implications

Authors’ research benefits the perishable products industries which encounter the disruption problems in their transportation routes as well as in the facilities. Authors have demonstrated the research through a real-life case in a milk industry.

Originality/value

The major contribution of authors’ work is the design of the supply chain network under disruption risks by incorporating aspects of product perishability. This work provides insight into areas such as the simultaneous consideration of demand, supply and process uncertainties. The amalgamation of newsvendor model and the approximation of the non-linearity of retailer level cost function especially in the context of supply chain under uncertainty is the first of its kind. We provide a comprehensive statistical study of uncertainties that are present in the supply chain in a unique manner.

Details

Journal of Modelling in Management, vol. 15 no. 4
Type: Research Article
DOI: https://doi.org/10.1108/JM2-03-2019-0071
ISSN: 1746-5664

Keywords

  • Integrated supply chain
  • Resilient network design
  • Conditional value-at-risk (CVaR)
  • Random disruptions
  • Uncertainty analysis
  • Perishable products
  • Decision-making
  • Risk analysis
  • Modelling
  • Supply chain management
  • Simulation
  • Stochastic programming

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Article
Publication date: 26 July 2013

Economic uncertainty and money demand stability in Turkey

K. Azim Özdemir and Mesut Saygılı

The purpose of this paper is to investigate whether the inclusion of uncertainty variables in the demand for money function can produce a stable relationship in Turkey.

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Abstract

Purpose

The purpose of this paper is to investigate whether the inclusion of uncertainty variables in the demand for money function can produce a stable relationship in Turkey.

Design/methodology/approach

The stability of a money demand function is studied by testing parameter constancy of long‐run money demand function. To this end, the authors perform Nymblom type tests in the context of the Coingtegrated VAR methodology.

Findings

The findings show that inclusion of appropriate measure of uncertainty is necessary to estimate a stable and consistent money demand function for Turkey.

Originality/value

The empirical application of Nymblom type stability tests on cointegrated VAR money demand systems is very recent and to the authors' knowledge there has been no application of this methodology on emerging market economies. Therefore, this paper extends the literature to the emerging market economies.

Details

Journal of Economic Studies, vol. 40 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/01443581311283943
ISSN: 0144-3585

Keywords

  • Money demand
  • Parameter constancy
  • Cointegration
  • Turkey
  • Emerging markets
  • Economic stability

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Article
Publication date: 8 February 2011

Governance and social capital formation in buyer‐supplier relationships

Sinéad Carey and Benn Lawson

Building social capital within buyer‐supplier relationships is often associated with high performing supply chains. However, little research has examined the mechanisms by…

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Abstract

Purpose

Building social capital within buyer‐supplier relationships is often associated with high performing supply chains. However, little research has examined the mechanisms by which social capital is formed. The purpose of this paper is to examine the effects of relational and contractual governance mechanisms on the formation of social capital under varying levels of demand and supply uncertainty.

Design/methodology/approach

A conceptual framework is developed, grounded in the literature on supply chain management and social capital theory (SCT).

Findings

A series of propositions showed that relational governance leads to the formation of social capital under conditions of supply uncertainty, but is subject to opportunism when customer product demand is uncertain. By contrast, in conditions of high demand uncertainty, contractual governance is associated with social capital formation.

Practical implications

The paper illustrates the need for managers to consider both the way in which their choice of governance mechanisms (contractual and relational) contributes to social capital, as well as highlighting the contingent nature of these mechanisms depending on the environmental context.

Originality/value

This paper is a novel contribution, applying SCT to the literature on supply chain management.

Details

Journal of Manufacturing Technology Management, vol. 22 no. 2
Type: Research Article
DOI: https://doi.org/10.1108/17410381111102199
ISSN: 1741-038X

Keywords

  • Uncertainty management
  • Social capital
  • Supplier relations
  • Governance

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Article
Publication date: 1 February 2016

Unlocking supply chain disruption risk within the Thai beverage industry

Ying Kei Tse, Rupert L. Matthews, Kim Hua Tan, Yuji Sato and Chaipong Pongpanich

A growing need for global sourcing of business has subjected firms to higher levels of uncertainty and increased risk of supply disruption. Differences in industry and…

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Abstract

Purpose

A growing need for global sourcing of business has subjected firms to higher levels of uncertainty and increased risk of supply disruption. Differences in industry and infrastructure make it more difficult for firms to manage supply disruption risks effectively. The purpose of this paper is to extend developing research in this area by addressing gaps within existing literature related to environmental turbulence and uncertainties.

Design/methodology/approach

The authors test the model using data collected from 253 senior managers and directors in the Thai beverage industry using advanced statistical techniques to explore the relationship between representations of supply disruption risk and uncertainty.

Findings

The results show that both magnitude and probability of risk impact on the disruption risk, but the probability of loss is a dominant determinant. The authors also find that demand uncertainty and quality uncertainty affect the risk perception of purchasing managers, and are related to the magnitude of disruption risk, rather than the frequency of occurrence. Interestingly, the results show that quality uncertainty negatively impacts on the severity of disruption risk.

Research limitations/implications

The construct validity of demand uncertainty was under the required threshold, intimating the need for further construct development.

Practical implications

The framework provides managers with direction on how to formulate and target their disruption risk management strategies. The work also allows practitioners to critical reflect on implicit risk management strategies they may already employ and their effectiveness.

Originality/value

The paper identifies key antecedents of supply disruption risk and tests them within a novel industrial context of the beverage industry and a novel national context of Thailand.

Details

Industrial Management & Data Systems, vol. 116 no. 1
Type: Research Article
DOI: https://doi.org/10.1108/IMDS-03-2015-0108
ISSN: 0263-5577

Keywords

  • Thailand
  • Beverage industry
  • Structural equation modelling (SEM)
  • Disruption risk
  • Logistic risk

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Article
Publication date: 1 May 2009

The impact of alignment between supply chain strategy and environmental uncertainty on SCM performance

Szu‐Yuan Sun, Meng‐Hsiang Hsu and Wen‐Jin Hwang

The right supply chain (SC) strategy is widely believed to be able to improve supply chain management (SCM) performance. Ignoring the important concept of alignment means…

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Abstract

Purpose

The right supply chain (SC) strategy is widely believed to be able to improve supply chain management (SCM) performance. Ignoring the important concept of alignment means that failures in SCM resulting from a mismatch between two or more crucial factors remain common. Accordingly, Lee proposed an environmental uncertainty framework to devise the right SC strategy. However, the proposed framework has thus far remained conceptual. Therefore, this study seeks to empirically investigate Lee's uncertainty framework and examine how alignment between SC strategy and environmental uncertainty impacts perceived SCM performance.

Design/methodology/approach

A survey was designed and used to collect 243 usable responses from manufacturers. A profile deviation approach was applied to compute the alignment between SC strategy and environmental uncertainty.

Findings

The results of the study verify that the alignment between SC strategy and environmental uncertainty is positively associated with SCM performance.

Research limitations/implications

The data were collected from a cross‐sectional survey and represented a snapshot of practice. Replication from a longitudinal perspective would better reflect long‐term impacts of alignment on SCM performance.

Practical implications

Different SC strategies are appropriate for distinct environmental uncertainties. It is not enough to simply form an SC strategy for improving SCM performance without considering the alignment between SC strategies and environmental uncertainties.

Originality/value

The study empirically examines Lee's uncertainty framework, which has received considerable attention in relation to SCM, but has not previously been clearly verified. The study also develops the a priori theoretical profiles for SC strategies by using an integrated perspective that incorporates both manufacturing and information system capabilities.

Details

Supply Chain Management: An International Journal, vol. 14 no. 3
Type: Research Article
DOI: https://doi.org/10.1108/13598540910954548
ISSN: 1359-8546

Keywords

  • Strategic alignment
  • Supply chain management
  • Performance levels

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