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Article
Publication date: 19 November 2018

Juneho Um, Neungho Han, Tonci Grubic and Asad Ghalib

The purpose of this paper is to demonstrate the strategic alignment between product variety and supply chain (SC) focus through cost leadership or differentiation to…

Abstract

Purpose

The purpose of this paper is to demonstrate the strategic alignment between product variety and supply chain (SC) focus through cost leadership or differentiation to improve business performance.

Design/methodology/approach

The research investigated product variety-related capabilities and strategies in SCs including level of variety, SC agility, SC cost efficiency, cost leadership, differentiation and business performance, and aimed to justify the theory by testing structural equation modelling using survey data from the UK and South Korea.

Findings

Differentiation links high product variety and agile SC while cost leadership is aligned with low product variety and SC efficiency. High product variety negatively impacts on cost leadership strategy. Also, product variety should be mediated by cost leadership or differentiation strategy to improve business performance. Companies in South Korea display higher SC agility, cost leadership and cost efficiency than companies in the UK, while the UK companies exhibit a higher level of product variety and differentiation than those in South Korea.

Research limitations/implications

The findings contribute to theoretical development of variety issues at the alignment of business strategy and SC management according to the level of product variety.

Originality/value

The findings can help international companies set up specific variety-related strategies to achieve global competitiveness.

Details

International Journal of Productivity and Performance Management, vol. 67 no. 9
Type: Research Article
ISSN: 1741-0401

Keywords

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Article
Publication date: 7 December 2020

Juneho Um and Neungho Han

This study aims to theoretically hypothesise and empirically explore the relationships amongst global supply chain risks, supply chain resilience and mitigating strategies.

Abstract

Purpose

This study aims to theoretically hypothesise and empirically explore the relationships amongst global supply chain risks, supply chain resilience and mitigating strategies.

Design/methodology/approach

The study adopts supply chain resilience as a dynamic capability and resilience capability as a mediating prerequisite in addressing supply chain risk in sourcing, manufacturing and delivery. The moderating role of diverse mitigating strategies is tested to enhance supply chain resilience. Data collected via survey was used for structural equation modelling and additional tests to explore appropriate mitigating strategies for differing risk environments.

Findings

Achieving better supply chain resilience capability plays an important mediating role between supply chain risks and resilience, while the relationships depend on the performance of seven mitigating strategies.

Research limitations/implications

The findings contribute to the theoretical development of risk management issues in global supply chains by suggesting the role of supply chain resilience capability.

Practical implications

The findings offer managerial guidance on how to mitigate the global supply chain risk through the appropriate practice of strategies to strengthen supply chain resilience in an uncertain environment.

Originality/value

This is the first empirical research examining the impact of mitigating strategies on supply chain resilience. The results provide practical implications for managing uncertain events and offering theoretical insight for future research in supply chain resilience.

Details

Supply Chain Management: An International Journal, vol. 26 no. 2
Type: Research Article
ISSN: 1359-8546

Keywords

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Article
Publication date: 8 May 2017

Juneho Um

A trade-off exists between product variety and supply chain (SC) performance. To help mitigate the impact on SC of increased product variety, the purpose of this paper is…

Abstract

Purpose

A trade-off exists between product variety and supply chain (SC) performance. To help mitigate the impact on SC of increased product variety, the purpose of this paper is to examine how variety management activities including variety management strategy (VMS), supplier partnerships and close customer relationships affect SC flexibility and agility at different levels of customisation.

Design/methodology/approach

A survey-research methodology is employed using data from 363 manufacturing firms from the UK and South Korea. In particular, cluster analysis and structural equation modelling were used to evaluate the proposed model according to the level of customisation.

Findings

The results suggest that internal variety management strategy and external SC integration have a positive influence on SC flexibility and agility. Customer relationships and variety management strategies influence SC flexibility more than partnerships with suppliers whereas variety management strategies and partnerships with suppliers influence SC agility more than customer relationships. In fact, for external integration in particular, customer relationships influence SC flexibility (i.e. reaction capability) rather than agility (i.e. reaction time) whereas partnerships with suppliers influence SC agility rather than flexibility. In a high-customisation context, close customer relationships are the most effective way to increase SC flexibility, whereas partnerships with suppliers are the most effective way to increase SC agility. In a low-customisation context, a VMS and customer relationships are the most effective way to increase both SC flexibility and agility.

Originality/value

This paper suggests key variety management activities to aid managers to better manage product variety ambitions in SC under varying customisation profiles through internal and external approaches.

Details

The International Journal of Logistics Management, vol. 28 no. 2
Type: Research Article
ISSN: 0957-4093

Keywords

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