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1 – 10 of 111Erno Salmela and Janne Huiskonen
The purpose of this paper is to promote decision-making structures between the customer and the supplier in a highly uncertain environment. This phenomenon of demand-supply chain…
Abstract
Purpose
The purpose of this paper is to promote decision-making structures between the customer and the supplier in a highly uncertain environment. This phenomenon of demand-supply chain synchronisation includes sharing of high-quality and timely demand and supply information in order to improve the quality and speed of decision-making.
Design/methodology/approach
The study was carried out as an abductive case study, which started from empirical observations that did not match the prior theoretical framework. Through abductive reasoning and empirical experiments, the prior framework was extended to a new synchronisation model and tools that better accommodate the observed need.
Findings
A new co-innovation toolbox was developed to create common understanding of demand-supply chain synchronisation between the customer and the supplier. The toolbox includes Demand Visibility Point-Demand Penetration Point, Supply Visibility Point–Supply Penetration Point and Integrative Synchronisation tools.
Research limitations/implications
The study extends the current models and tools of demand-supply chain synchronisation. With the new toolbox, the development needs of decision-making structures can be identified more comprehensively than with the current tools.
Practical implications
The developed visual toolbox helps partners create a common understanding of problems and development possibilities in demand-supply chain synchronisation in a highly uncertain environment. Common understanding is a starting point for changing decision-making structures to improve the overall performance of a demand-supply chain.
Originality/value
The new toolbox is both more comprehensive and more detailed than the previous tools.
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Ebrahim Rasti Borazjani Faghat, Naser Khani and Akbar Alemtabriz
The purpose of this paper is to propose a paradigmatic model for shared value innovation management in the supply chain. This research seeks to identify the causal conditions…
Abstract
Purpose
The purpose of this paper is to propose a paradigmatic model for shared value innovation management in the supply chain. This research seeks to identify the causal conditions, strategies, contextual factors, intervening factors and the consequences of shared value innovation in the supply chain.
Design/methodology/approach
The approach of this research is qualitative and has been carried out in the framework of the grounded theory. Required data for the research was collected through semi-structured interviews. Coding was done in two steps and the reliability of the results of the research was confirmed by calculating the similarity index of codes by two methods.
Findings
The proposed framework is presented in the form of a paradigmatic model and demonstrates how to achieve shared value innovation through increasing adoption with customer considerations, improving communication between supply chain members, improving collaboration among supply chain members, enhancing trust among supply chain members, enhancing the commitment of the supply chain members, enhancing supply chain members’ interdependence while maintaining their independence and simultaneously reducing costs. The results of the analysis showed that the shared value innovation leads to positive consequences such as increasing competitive abilities, human development, synergy, inclusive growth and development and also the sustainability of the business situation.
Originality/value
Although some studies have shown the importance of value innovation in different parts of the organization and to some extent the introduction of shared value innovation, no research has been done to provide a framework or model for managing shared value innovation.
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Artur Swierczek and Natalia Szozda
The purpose of this paper is to explore the effects of demand planning practices on the disruptions induced by operational risk. The study reveals whether the negative…
Abstract
Purpose
The purpose of this paper is to explore the effects of demand planning practices on the disruptions induced by operational risk. The study reveals whether the negative consequences of operational risk factors (covering demand, supply, control and process risks) can be absorbed or amplified through the application of specific demand planning practices in supply chains.
Design/methodology/approach
The study involves the partial least squares path model procedure. Likewise, the items of the constructs in the outer model were subjected to a purification process by principal component analysis with the orthogonal (varimax) and oblique (Promax) methods of rotation.
Findings
The findings suggest that although one may not observe uniformity and standardization in the role of demand planning in alleviating the negative effects of operational risks, still some regularities can be obtained. Having said that some demand planning practices tend to mitigate or reinforce disruptions driven by operational risk, whereas the other practices simultaneously absorb and amplify disruptions driven by operational risk.
Practical implications
The study shows that different managerial instruments, which are not inherently dedicated to risk management, when appropriately applied, may have an indirect impact on the mitigation of supply chain risk. In particular, the concept of demand planning might be very helpful for managers when dealing with demand and control risks.
Originality/value
The study simultaneously examines a more detailed bundle of practices forming the demand planning process. The research attempts to investigate the link between the demand planning process and operational risk consequences, derived from all sources (supply, demand, process and control). The paper shows that risk management is not a sole tool to mitigate disruptions. Among the concepts, which contribute to decrease risks is the demand planning process. The study demonstrates that the demand planning process when applied as a component of supply chain management, may contribute to mitigate certain operational risks.
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Riikka Kaipia and Helena Hartiala
This paper aims to focus on supply chain visibility in practice and to suggest ways to improve the supply chain performance through information sharing.
Abstract
Purpose
This paper aims to focus on supply chain visibility in practice and to suggest ways to improve the supply chain performance through information sharing.
Design/methodology/approach
A case study exploring the current state of visibility in the demand‐supply network of an original equipment manufacturing company was carried out. The goal was to understand how a manufacturing company and its suppliers can benefit from incremental demand information sources. Data were collected through interviews and data analyses and focused on an end‐to‐end view of demand information. The most relevant information uses were tested in pilot projects. A literature review on demand information sources and benefits of visibility was conducted.
Findings
On the basis of the case results and a literature survey, five proposals on how to improve visibility are presented. They suggest that only information that improves supply chain performance should be shared, demand‐supply planning processes be stabilized and synchronized, different demand data sources should be used in parallel, customer collaboration offers a wider view to demand, and that suppliers' need for demand information differs from those of downstream actors.
Practical implications
The paper proposes solutions to managers on how they can benefit from improved access to demand information.
Originality/value
The paper shows, via case study and literature review, how information sharing can improve supply chain performance.
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The re‐engineering movement focused on obliterating functional silos and creating processes. As processes become more prevalent, today's challenge is to overcome process silos and…
Abstract
Purpose
The re‐engineering movement focused on obliterating functional silos and creating processes. As processes become more prevalent, today's challenge is to overcome process silos and synchronize them within and across companies. This paper lays out the key drivers of synchronization challenges and many responses to address them.
Design/methodology/approach
The article defines synchronization and uses examples to articulate its impact on businesses. It then identifies six key drivers of synchronization failure: uncertainty, ambiguity, complexity, volatility, urgency, and differing agency incentives across processes. The article then outlines strategies for responding to these shortcomings and examples of organizations that derive competitive advantages from synchronization.
Findings
The article presents five steps to improving synchronization within an organization: identify key synchronization opportunities; identify responses to the opportunities; stimulate, evaluate and examine interdependencies; execute select initiatives; and evaluate and iterate.
Originality/value
Synchronization is difficult, and firms who successfully synchronize key processes are likely to have advantages that are difficult to replicate. As we enter an economic slowdown in the United States, managers may discover that improving synchronization will be a better strategic move than simply cutting costs.
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Jan Holmström, Hille Korhonen, Aki Laiho and Helena Hartiala
The purpose of this article is to propose a planning process that takes into account that manufacturers of original equipment have products at different stages of the product‐life…
Abstract
Purpose
The purpose of this article is to propose a planning process that takes into account that manufacturers of original equipment have products at different stages of the product‐life cycle, and utilizes sales and inventory information collected from distributors and retailers.
Design/methodology/approach
The research paper describes the construction and testing of a planning process.
Findings
Trials in a case company indicate that supply chain responsiveness can be improved in product launches using the proposed process. Supply chain efficiency in the maturity phase can also be improved.
Research limitations/implications
The usefulness and effectiveness of the proposed process depend on the assumption that product mix changes can be modeled and point‐of‐sales and channel sell‐through data are available regularly and reliably.
Practical implications
Modeling and monitoring the variant mix on the total market level can be used to improve supply chain responsiveness to mix changes in product launches. The introduction of this planning process reduces the need for planning in the sales units.
Originality/value
The paper shows how the quality of variant forecasting for an original equipment manufacturer can be improved with access to channel visibility in the market introduction phase.
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Togar M. Simatupang and Ramaswami Sridharan
Supply chain collaboration enables firms to achieve better performance. It requires close arrangements of collaborative practices among the participating members. Searching for…
Abstract
Supply chain collaboration enables firms to achieve better performance. It requires close arrangements of collaborative practices among the participating members. Searching for better practices and ideas that lead to superior performance means that the chain members also need to benchmark their current collaborative practices to other collaborative supply chains. Benchmarking enables them to identify the highest standards of excellence in customer services and processes and implement necessary improvements to match or exceed these standards. This paper, reports a benchmarking study on supply chain collaboration between retailers and suppliers, which incorporates collaborative practices in information sharing, decision synchronisation, and incentive alignment. An empirical study was carried out to benchmark the profile of collaborative practices and operational performance. The study also compared differences in the use of collaborative practices from retailer and supplier perspectives.
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This paper describes the current business conditions and the four key factors that need to be integrated in order to improve the supply chain. The paper discusses how enterprise…
Abstract
This paper describes the current business conditions and the four key factors that need to be integrated in order to improve the supply chain. The paper discusses how enterprise resource planning (ERP) is increasingly being used as a technology enabler for supply chain management and problems associated with its implementation.
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Oscar F. Bustinza, Glenn C. Parry and Ferran Vendrell-Herrero
The purpose of this paper is to understand how firms manage their product and service offerings, integrating supply chain management (SCM) and demand chain management (DCM…
Abstract
Purpose
The purpose of this paper is to understand how firms manage their product and service offerings, integrating supply chain management (SCM) and demand chain management (DCM) strategies. Adding services to the product portfolio of a firm may bring benefits to an organisation, but requires a reconsideration of the supply chain management approach.
Design/methodology/approach
A survey is used to collect data, with valid questionnaires obtained for 4,227 UK-based respondents. Empirical analysis utilises structural equation modelling (SEM).
Findings
The paper proposes that a combination of management approaches is required by firms which add services to their portfolio of traditional product offerings. A supply chain management approach may be suitable for traditional product offerings. The management of the services value chain, where the customers' role as value creator is a central feature of the construct, is better served by integration of the market orientation of DCM.
Originality/value
The paper addresses a research gap related to the shift in traditional activities carried out by a firm moving from purely product to a product service offer and reconsiders the supply and demand chain management approach. The paper is from a Business to Consumer (B2C) perspective. In this context, the work pioneers analysis into a particular case where a firm's product and service offerings may be substitutes for each other in the eyes of the customer.
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Seán de Búrca, Brian Fynes and Donna Marshall
This article proposes examining how small to medium‐sized organisations (SMEs) are responding to the challenge of harnessing enterprise resource planning (ERP) and internet…
Abstract
Purpose
This article proposes examining how small to medium‐sized organisations (SMEs) are responding to the challenge of harnessing enterprise resource planning (ERP) and internet technologies to enhance performance and improve competitiveness and aims to identify the barriers preventing organisations from harnessing these technologies.
Design/methodology/approach
A case‐based research strategy was chosen. Four leading SMEs were interviewed to determine their approach to extended ERP and the barriers encountered. The primary data collection was based on structured in‐depth interviews with key respondents who were involved in the implementation of extended ERP and closely involved in day‐to‐day operations.
Findings
While each of the SMEs had already taken some steps to extended ERP, they adopted a cautious approach to the future. In short, SMEs considering extended ERP should determine the impact on all organisations before proceeding and should also apply the lessons learned from their initial ERP implementation.
Research limitations/implications
Single company case studies could be used to uncover some of the causal mechanisms behind the processes observed. Within‐sector case studies could be used to highlight the issues faced by particular sectors. Cross‐sector case studies could be used to validate the article's conclusions as well as to elucidate differences among sectors.
Practical implications
Managers of SMEs embarking on extended ERP should consider the following challenges: business processes, whether internal or external, must be examined and redesigned as necessary to take advantage of the new technology; an effective change management and communications programme must be run; the lessons learned from the original ERP implementation should be revisited and mistakes made in the past avoided; and a strong business case needs to be developed, with clear objectives and critical success factors.
Originality/value
While the internet has facilitated a shift towards dynamic communication and improved integration, the complexity of integrating electronic supply chain management, e‐procurement and customer relationship management poses an enormous challenge for organisations. This research study indicates that there are multiple ways in which extended ERP can be achieved to add value to SMEs but it is not simply a matter of adding a new application.
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