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1 – 10 of over 8000Patrik Appelqvist, Flora Babongo, Valérie Chavez-Demoulin, Ari-Pekka Hameri and Tapio Niemi
The purpose of this paper is to study how variations in weather affect demand and supply chain performance in sport goods. The study includes several brands differing in supply…
Abstract
Purpose
The purpose of this paper is to study how variations in weather affect demand and supply chain performance in sport goods. The study includes several brands differing in supply chain structure, product variety and seasonality.
Design/methodology/approach
Longitudinal data on supply chain transactions and customer weather conditions are analysed. The underlying hypothesis is that changes in weather affect demand, which in turn impacts supply chain performance.
Findings
In general, an increase in temperature in winter and spring decreases order volumes in resorts, while for larger customers in urban locations order volumes increase. Further, an increase in volumes of non-seasonal products reduces delays in deliveries, but for seasonal products the effect is opposite. In all, weather affects demand, lower volumes do not generally improve supply chain performance, but larger volumes can make it worse. The analysis shows that the dependence structure between demand and delay is time varying and is affected by weather conditions.
Research limitations/implications
The study concerns one country and leisure goods, which can limit its generalizability.
Practical/implications
Well-managed supply chains should prepare for demand fluctuations caused by weather changes. Weekly weather forecasts could be used when planning operations for product families to improve supply chain performance.
Originality/value
The study focuses on supply chain vulnerability in normal weather conditions while most of the existing research studies major events or catastrophes. The results open new opportunities for supply chain managers to reduce weather dependence and improve profitability.
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Raka Saxena, Anjani Kumar, Ritambhara Singh, Ranjit Kumar Paul, M.S. Raman, Rohit Kumar, Mohd Arshad Khan and Priyanka Agarwal
The present study provides evidence on export advantages of horticultural commodities based on competitiveness, trade balance and seasonality dimensions.
Abstract
Purpose
The present study provides evidence on export advantages of horticultural commodities based on competitiveness, trade balance and seasonality dimensions.
Design/methodology/approach
The study delineated horticultural commodities in terms of comparative advantage, examined temporal shifts in export advantages (mapping) and estimated seasonality. Product mapping was carried out using the Revealed Symmetric Comparative Advantage (RSCA) and Trade Balance Index (TBI). Seasonal advantages were examined through a graphical approach along with the objective tests, namely, modified QS-test (QS), Friedman-test (FT) and using a seasonal dummy.
Findings
Cucumbers/gherkins, onions, preserved vegetables, fresh grapes, shelled cashew nuts, guavas, mangoes, and spices emerged as the most favorable horticultural products. India has a strong seasonal advantage in dried onions, cucumber/gherkins, shelled cashew nut, dried capsicum, coriander, cumin, and turmeric. The untapped potential in horticulture can be addressed by handling the trade barriers effectively, particularly the sanitary and phytosanitary issues, affecting the exports. Proper policies must be enacted to facilitate the investment in advanced agricultural technologies and logistics to ensure the desired quality and cost effectiveness.
Research limitations/implications
Commodity-specific studies on value chain analysis would provide valuable insights into the issues hindering exports and realizing the untapped export potential.
Originality/value
There is no holistic and recent study illustrating the horticulture export advantages covering a large number of commodities in the Indian context. The study would be helpful to the stakeholders for drawing useful policy implications.
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Dennis A. Pitta and Brandon G. Scherr
The purpose of the paper is to exemplify the product management of seasonal products.
Abstract
Purpose
The purpose of the paper is to exemplify the product management of seasonal products.
Design/methodology/approach
Comment on existing literature.
Findings
The comment synthesizes literature on an uncommon product strategy issue.
Research limitations/implications
As in all case studies, the specific conditions found in one organization may not be found more generally in others. Readers are cautioned that the conclusions drawn in the case may have limited applicability.
Practical implications
The comment depicts the process that one firm uses to link product introductions to seasonal events.
Originality/value
The comment describes an approach to product strategy that maintains customer interest and involvement with a complex product line.
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Yao 'Henry' Jin, Brent D. Williams, Matthew A. Waller and Adriana Rossiter Hofer
The accurate measurement of demand variability amplification across different nodes in the supply chain, or “bullwhip effect,” is critical for firms to achieve more efficient…
Abstract
Purpose
The accurate measurement of demand variability amplification across different nodes in the supply chain, or “bullwhip effect,” is critical for firms to achieve more efficient inventory, production, and ordering planning processes. Building on recent analytical research that suggests that data aggregation tends to mask the bullwhip effect in the retail industry, the purpose of this paper is to empirically investigate whether different patterns of data aggregation influence its measurement.
Design/methodology/approach
Utilizing weekly, product-level order and sales data from three product categories of a consumer packaged goods manufacturer, the study uses hierarchical linear modeling to empirically test the effects of data aggregation on different measures of bullwhip.
Findings
The authors findings lend strong support to the masking effect of aggregating sales and order data along product-location and temporal dimensions, as well as the dampening effect of seasonality on the measurement of the bullwhip effect.
Research limitations/implications
These findings indicate that inconsistencies found in the literature may be due to measurement aggregation and statistical techniques, both of which should be applied with care by academics and practitioners in order to preserve the fidelity of their analyses.
Originality/value
Using product-weekly level data that cover both seasonal and non-seasonal demand, this study is the first, to the author’s knowledge, to systematically aggregate data up to category and monthly levels to empirically examine the impact of data aggregation and seasonality on bullwhip measurement.
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The paper reports on the ramifications for production planning when monthly sales exhibit predictable seasonal highs and lows. The literature first acknowledged and dealt with the…
Abstract
Purpose
The paper reports on the ramifications for production planning when monthly sales exhibit predictable seasonal highs and lows. The literature first acknowledged and dealt with the (aggregate planning) problem 50 years ago. Nevertheless, there is neither evidence that industry has adopted any of the mathematical techniques that were subsequently developed, nor a convincing explanation as to why not. Hence this research sets out to discover the methods manufacturers use to cope with seasonal demand, and how germane the published algorithms really are.
Design/methodology/approach
Forty‐two case studies were compiled by interviewing senior managers and then conducting plant tours. No prior assumptions were made and the list of questions covered the gamut of production planning.
Findings
The main finding is that manufacturers select a straightforward production strategy, right from the outset, so the fundamental cost‐balancing format is not relevant. The majority pick a “chase” strategy, since most organizations subscribe to a “just in time” ethos. Whenever a different strategy is preferred the rationale springs from skilled labour considerations or binding facilities constraints. The chosen strategy serves as a road map for resources acquisitions, and the master production schedule is constructed directly. So, the complex issue of how to disaggregate an optimal aggregate plan never even arises. Managers do not seek perfect solutions, but strive to eliminate, or contain, the most significant marginal costs. The nature of the business determines the most appropriate tactics to employ.
Originality/value
These findings break the mould as far as orthodox aggregate planning is concerned and show why theory is at odds with practice, whilst reaffirming the importance of concepts such as “flexibility”, “integration”, and “just‐in‐time production”.
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Bianca Bindi, Romeo Bandinelli, Virginia Fani and Margherita Emma Paola Pero
The purpose of this paper was to investigate what types of supply chain strategies (SCS) are implemented within luxury fashion companies, according to the drivers that regulate…
Abstract
Purpose
The purpose of this paper was to investigate what types of supply chain strategies (SCS) are implemented within luxury fashion companies, according to the drivers that regulate competitiveness in this sector (brand positioning, distribution channel, type and line of product). Moreover, the objective was to define which key performance indicators (KPIs) should be measured according to the chosen strategy, and finally to evaluate the alignment of luxury fashion companies with the proposed indicators.
Design/methodology/approach
The literature review was the first step performed. Thereafter, a case study was conducted and the sample, composed of six companies, was selected, a questionnaire was then developed to guide the interviews, after which the data were collected. From the data, a primary case analysis was conducted, from which cross-case patterns were also researched.
Findings
From the results obtained, it was possible to state that companies involved in the case study adopted different SCS within the same company according to the drivers that regulate the sector competitiveness. As a result, the product line was shown to be the only driver that affected both the alignment between the expected and implemented SCS, respectively, and the alignment with the selected KPIs.
Originality/value
The paper provides valuable insights to companies that are trying to align SCS and KPIs. The close link between these aspects had not yet been explored previously. In particular, there were no indications about the KPIs that have to be measured for a specific SCS.
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Sarah Kühl, Lea Schlüterbusch and Achim Spiller
Agricultural-related food marketing claims are gaining in importance. The challenge for the industry is to claim real production characteristics while being in line with…
Abstract
Purpose
Agricultural-related food marketing claims are gaining in importance. The challenge for the industry is to claim real production characteristics while being in line with consumers’ expectations. Looking at the example of marketing pasture-raised milk year-round and the fact that cows only have access to pasture in summer, the purpose of this paper is to analyse consumer expectations, the potential of deception and the acceptance of more credible marketing strategies.
Design/methodology/approach
An online access panel was used for data collection. The data include 310 German milk buyers, who were grouped using cluster analysis to examine the different target groups for the year-round and seasonal marketing of pasture-raised milk.
Findings
The study distinguished two different consumer groups: one with lower expectations accepting year-round marketing (32.5 per cent) and the other with higher demands, who feel deceived by year-round marketing (46.7 per cent). Furthermore, one part of the last group is also sceptical towards the more precise seasonal marketing due to their general scepticism towards ag-related marketing claims.
Practical implications
To generate consumer trust in ag-related marketing claims, it is beneficial to meet consumers’ expectations. Producers have to decide if they orient their products to more modest or more critical consumer segments. While it is easier to implement lower standards, there is the risk to disappoint (and thereby lose) the most interesting target group of highly involved consumers characterised by some general doubts regarding food marketing claims.
Originality/value
The study is the first to demonstrate the existence of two consumer segments that differ in their expectations towards and acceptance of ag-related marketing claims for food products.
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Stephen J.J. McGuire, Ellen A. Drost, K. Kern Kwong, David Linnevers, Ryan Tash and Oxana Lavrova
A family business founded by Chinese immigrants grew into a $133 million toy and costume maker by exploiting seasonal niche segments in the highly competitive, global toy…
Abstract
A family business founded by Chinese immigrants grew into a $133 million toy and costume maker by exploiting seasonal niche segments in the highly competitive, global toy industry. Sales of traditional toys stagnated when replaced by game consoles and electronic toys. Unable to compete in high tech toys, MegaToys moved instead toward seasonal products. In 2007, brothers Peter and Charlie Woo were about to pitch what they hoped would be $63 million in Easter basket sales to Wal-Mart. If Wal-Mart took the full order, it would come to represent over half of MegaToys' revenue.
The company was faced with the dilemma of how to grow, and at what pace. Charlie Woo knew that MegaToys could continue to grow as long as it was able to satisfy Wal-Mart's demands. Peter Woo wondered if this was the smartest way to grow the business. “Growth is a good thing as long as you don't sell your shirt to get it,” he noted. Should MegaToys continue to increase its sales to Wal-Mart, or would dependence on Wal-Mart eventually threaten the firm's success? Were there other, untapped opportunities for MegaToys that were well aligned with its strengths, resources, and capabilities?
Jess S. Boronico and Dennis J. Bland
Addresses important logistical considerations in the distribution of a seasonal food product. While continued attempts have been made to maintain high levels of customer service…
Abstract
Addresses important logistical considerations in the distribution of a seasonal food product. While continued attempts have been made to maintain high levels of customer service within the food industry, the degree of uncertainty in the distribution channel itself often undermines management’s efforts to procure adequate stock of product during peak demand season. Develops a stochastic dynamic programming formulation which may serve as a decision‐support tool for managers faced with procuring product in a distribution channel in which receipt quantities are probabilistic. Provides numerical results, supporting the intuitive result that expected costs and the length of the required planning horizon are inversely related to the level of uncertainty in the distribution channel.
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Heidi Carin Dreyer, Kasper Kiil, Iskra Dukovska-Popovska and Riikka Kaipia
The purpose of this paper is to explore tactical planning in grocery retailing and propose how process and integration mechanisms from sales and operations planning (S&OP) can…
Abstract
Purpose
The purpose of this paper is to explore tactical planning in grocery retailing and propose how process and integration mechanisms from sales and operations planning (S&OP) can enhance retail tactical planning.
Design/methodology/approach
This work follows an explorative design with case studies from the grocery retailing industry in Finland, Norway, and the UK.
Findings
The tactical planning process focuses on demand management and securing product availability from suppliers in order to reach sales targets. Less attention is directed toward balancing supply and demand or toward providing a single plan to guide company operations. Planning appeared to be functionally oriented with limited coordination between functional plans, but it did include external integration that improved forecast accuracy.
Research limitations/implications
The study involves grocery retailer cases with variable levels of S&OP maturity. The propositions need to be investigated further through action research or additional case studies to confirm their validity.
Practical implications
The study proposes a design of an S&OP process in retailing and propositions for improving tactical planning integration.
Originality/value
The study complements research on retail tactical planning by taking planning process and integration viewpoints. The research suggests that retailers would benefit from a formal and company-wide S&OP process to unify different market-oriented plans to a single set of numbers, thus better balancing supply and demand without sacrificing the emphasis on demand planning.
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