Search results

1 – 10 of over 58000
Article
Publication date: 23 May 2008

Jeffrey A. Ogden and Phillip L. Carter

This research seeks to better understand the supply base reduction approaches and processes utilized by organizations.

3195

Abstract

Purpose

This research seeks to better understand the supply base reduction approaches and processes utilized by organizations.

Design/methodology/approach

In‐depth case studies were conducted with ten organizations that recently reduced their supply bases. These organizations represented a variety of industries, type of product or service being purchased, and number of suppliers reduced from the supply base.

Findings

Three different types of supply base reduction approaches are identified (systematic elimination, standardization, and tiering), examples of each are provided, and guidance is provided about situations in which each would be useful. A basic supply base reduction process is developed and outlined based on the similarities observed among these three different approaches.

Practical implications

A better understanding of these supply base reduction approaches and processes can help organizations successfully implement such efforts by learning from the experiences of other organizations.

Originality/value

Many of the case study respondents commented on the lack of literature pertaining to supply base reduction approaches and processes. Consequently, many of the case study organizations had to perform extensive benchmarking or hire outside consultants to learn more about supply base reduction approaches and processes prior to implementing them within their various organizations. This paper is the first step in filling the void in the literature concerning supply base reduction approaches and processes.

Details

The International Journal of Logistics Management, vol. 19 no. 1
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 10 November 2022

Maryam Dehghani, Peyman Akhavan and Morteza Abbasi

This study aims to propose a quantitative approach to reduce the number of suppliers in an organization. This method is based on grouping, and different parts are grouped based on…

Abstract

Purpose

This study aims to propose a quantitative approach to reduce the number of suppliers in an organization. This method is based on grouping, and different parts are grouped based on the capabilities they need and are allocated to suppliers who have these capabilities. In this regard, an integrated model for supplier reduction and grouping of parts using a group technology-based algorithm is proposed.

Design/methodology/approach

Design science research methodology was used in this study. The main problem under investigation is a large number of suppliers in an organization’s supply base. The proposed model was used to solve this problem in the electric motor industry.

Findings

The results of implementing the proposed model in the electric motor industry showed that reducing suppliers had a significant effect on reducing cost, increasing information sharing, increasing supplier innovation and technology, enhancing the relationship between buyers and sellers and reducing risks in the production process.

Practical implications

From a managerial point of view, reducing the number of suppliers plays an important role in the company’s overall strategy, and seems to be a prerequisite for building a strong supplier partnership and an effective supply chain, and will have many benefits for the focal company and suppliers.

Originality/value

To the best of the authors’ knowledge, grouping and formation of product families have never been performed based on the similarity of the operational capabilities required for producing parts, and it has not been addressed as a solution for reducing suppliers.

Details

Journal of Business & Industrial Marketing, vol. 38 no. 9
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 1 October 1997

Keith Goffin, Marek Szwejczewski and Colin New

Shows that manufacturing companies place a strong emphasis on the role of supply‐chain management ‐ the management of supplies, suppliers, inventory and distribution. Much of the…

8599

Abstract

Shows that manufacturing companies place a strong emphasis on the role of supply‐chain management ‐ the management of supplies, suppliers, inventory and distribution. Much of the literature talks about the trend to reduce supplier base. Database analysis gave empirical evidence of this trend in UK manufacturing companies ‐ 201 companies from different industrial sectors cut their supplier base over the last four years, by 9 per cent in the household products sector and approximately 35 per cent in the process, engineering and electronics sectors. Reports on further research at four companies, looking at their experiences with suppliers and establishes that a key reason for supplier base reduction is to free time to manage the remaining suppliers more effectively. Identifies the criteria used for supplier selection and reasons why single‐sourcing was avoided. Suggests that these findings on supplier management have implications for both researchers and managers in industry.

Details

International Journal of Physical Distribution & Logistics Management, vol. 27 no. 7
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 10 July 2020

Amit Arora, Anshu Saxena Arora, K. Sivakumar and Gerard Burke

This paper aims to examines the moderating effect of small vs large supply base size on the relationship between strategic sustainable purchasing (SSP) and organizational…

2392

Abstract

Purpose

This paper aims to examines the moderating effect of small vs large supply base size on the relationship between strategic sustainable purchasing (SSP) and organizational sustainability performance (OSP). SSP is conceptualized as a dynamic capability consisting of strategic purchasing and environmental purchasing. Environmental collaboration is conceptualized as a mediator between SSP and OSP. Extant research has not examined the effect of the size of the supply base on the relationship between SSP and OSP.

Design/methodology/approach

The hypothesized relationships are tested using a two-step multi-group analysis in partial least squares-structural equation modeling (PLS-SEM).

Findings

A small supply base size positively moderates the relationship between SSP and environmental collaboration, thus achieving OSP. In contrast, when the supply base is large, strategic purchasing is positively associated with environmental collaboration, while environmental purchasing is negatively related to environmental collaboration. A large supply base has a positive relationship to environmental collaboration and economic sustainability, while the relationship between environmental collaboration and environmental and social performance is not significant.

Practical implications

This research argues that despite the nuances in the moderating effects of small versus large supply base size, managers need to invest in both dynamic and relational capabilities to achieve organizational sustainability.

Originality/value

Scant research is available in supply chain management research that has examined the important effect of the supply base size on the relationship between SSP and OSP. This research aims to fill this gap. The study helps practitioners understand the effects of supply base sizes for their organizations, increase interrelationships among suppliers, reduce the level of differentiation among them, and, thereby, reduce costs and increase revenues.

Article
Publication date: 1 May 2005

Paul D. Cousins

Aims to prove that a firm's perception of the strategic nature of supply depends on how it defines its competitive advantage within the marketplace.

9995

Abstract

Purpose

Aims to prove that a firm's perception of the strategic nature of supply depends on how it defines its competitive advantage within the marketplace.

Design/methodology/approach

Data were collected using a random stratified cross‐sectional design from 142 large manufacturing firms in the UK. Structural equation modelling (SEM) was employed to test the hypothesised model.

Findings

Firms defining their competitive advantage as being cost‐focused will generally consider supply as playing merely a cost‐reduction role, i.e. passive and supportive, whereas firms viewing their competitive advantage as being differentiated will see supply as strategic, i.e. as a distinctive capability.

Research limitations/implications

This study's single country setting could limit the generalizability of the findings. Replication of the model would require contrasting empirical contexts. Longitudinal as opposed to cross‐sectional data are needed for studying causations. Also future studies should take a multiple‐source as opposed to a single‐source data collection approach. Finally, more empirical research is needed, specifically grounded in the established strategy literature.

Practical implications

The model presented allows managers to understand what strategies to follow and which relationship modes to adopt. This study has a number of implications for strategy makers at the level of the firm and within supply.

Originality/value

Supply management has so far focused on the wrong question. Instead of “why isn't purchasing strategic?”, it should be “what are the firm's strategic goals and priorities?” This refocusing allows exploration of the linkage between the firm's competitive positioning and priorities and that of supply.

Details

International Journal of Operations & Production Management, vol. 25 no. 5
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 17 October 2022

Haicheng Jia, Jing Li, Ling Liang, Weicai Peng, Jiqing Xie and Jiaping Xie

The development of low-carbon production is impeded by the investment costs of green technology research and development (R&D) and carbon emission reduction while facing the…

283

Abstract

Purpose

The development of low-carbon production is impeded by the investment costs of green technology research and development (R&D) and carbon emission reduction while facing the uncertain risk of emission reduction investment. With the government's carbon emission constraints, green manufacturers implement the advance selling strategy to increase both profit and reduction level. However, few studies consider the consumer's green preference and emission constraints in advance selling market and spot market independently. The authors' paper investigates the optimal strategies of advance selling pricing and reduction effort for green manufacturers to maximize profits.

Design/methodology/approach

The authors' paper designs a stochastic model and investigates the manufacturer's optimal strategies of advance selling price and emission reduction efforts by categorizing different purchasing periods of low-carbon consumers. With the challenges of uncertain demand and government's emission constraints, the authors' develop the non-linear optimization model to investigate the manufacturer's profit-oriented decisions.

Findings

The results show the government's carbon constraints cannot influence the manufacturer's profit, but the consumer's low-carbon preference in the advance selling period can. Interestingly, the manufacturer will make fewer reduction efforts even when the consumers have stronger environmental awareness. In addition, the increasing consumer price sensitivity will exacerbate the profit loss from mandatory emissions reduction. Overall, for achieving a win–win situation between emission reduction and profit growth, green manufacturers should not only consider the sales strategies, market demand, and government constraints in a low-carbon market, but also pay attention to the uncertainty of green technology innovation.

Originality/value

With the consideration of the government's carbon emission constraints, uncertain demand, and low-carbon consumer's preferences, the authors' study innovatively incorporates the joint impacts of advance selling strategy and emission reduction effort strategy and then differentiates between two cases that pertain to the diverse carbon emission regulations.

Details

Industrial Management & Data Systems, vol. 122 no. 12
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 1 June 2001

Marek Szwejczewski, Keith Goffin, Fred Lemke, Rolf Pfeiffer and Bertram Lohmüller

A key issue for manufacturers is supplier management, i.e. organising the optimal flow of high quality, value‐for‐money materials or components from appropriate innovative…

2033

Abstract

A key issue for manufacturers is supplier management, i.e. organising the optimal flow of high quality, value‐for‐money materials or components from appropriate innovative suppliers. Many companies now recognise the central role that supplier management plays in achieving long‐term competitive advantage. This paper presents the results of a study of supplier management practices in Germany, contrasted against those in the UK. It identifies a key difference – German manufacturers have not reduced their supplier base as much as the companies in the UK. However, it appears that German manufacturers will be reducing their supplier base in the near future, although they are likely to follow a policy of multiple sourcing rather than single‐sourcing from suppliers. The results of the research have strong implications for German companies as they clearly indicate the potential for performance improvement through the adoption of best practices in the field of supplier management.

Details

International Journal of Physical Distribution & Logistics Management, vol. 31 no. 5
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 13 November 2017

P. Datta

The purpose of this paper is to investigate the knowledge existing in the literature on supply chain resilience for identifying the supply chain practices adopted for securing…

4245

Abstract

Purpose

The purpose of this paper is to investigate the knowledge existing in the literature on supply chain resilience for identifying the supply chain practices adopted for securing resilience in given uncertain event.

Design/methodology/approach

A systematic literature review is conducted to identify 84 conceptual and empirical studies. The research findings are synthesized in categories of uncertain events, supply chain practices and outcomes.

Findings

A set of propositions linking the uncertain events, mechanisms and supply chain resilience improvement is developed. It was found that the sufficient conditions for resilience under unexpected disasters are substantially different from those required for resilience against disruptions caused by internal practices or complexity.

Originality/value

Practitioners can benefit from the knowledge of interventions and mechanisms to improve their supply chain resilience in the face of different unpredictable situations. The contribution of this paper is twofold: first, it develops an actionable theory of supply chain resilience by developing testable propositions in the context of supply chains exposed to uncertainties resulting from unexpected disruptions, complexity of supply chains and adoption of certain internal practice; second, the paper highlights the key shortcomings of existing literature and provides opportunities for further research and improvement.

Details

The International Journal of Logistics Management, vol. 28 no. 4
Type: Research Article
ISSN: 0957-4093

Keywords

Article
Publication date: 19 August 2019

Ravindra Baliga, Rakesh D. Raut and Sachin S. Kamble

Sustainable supply chain management (SSCM) is a relatively new sub-field of supply chain management (SCM). The performance of SSCM is based on the triple bottom line approach…

3242

Abstract

Purpose

Sustainable supply chain management (SSCM) is a relatively new sub-field of supply chain management (SCM). The performance of SSCM is based on the triple bottom line approach encompassing people-planet-profit, hence being defined not in only in social and environmental terms, but also the economic. The purpose of this paper is to develop an integrated study which uses antecedent-practices-performance principles in order to determine the drivers of SSCM practices, and the impact of these practices on sustainable supply chain performance. The importance of the study lies in the fact that the Indian Government is making significant efforts to boost the manufacturing sector, and sustainability is among the significant imperatives for Indian manufacturing to be competitive globally.

Design/methodology/approach

A conceptual model based on the antecedents-practices-performance principles was developed, and included six constructs identified from the literature: the drivers being the motivators of sustainability, lean management (LM) and supply management (SM), the practices were the environmental and social practices in the supply chain and, finally, the sustainable supply chain performance; eight hypotheses were conceived in the model development process. The survey instrument was conceptualised from an in-depth study of literature and was employed to conduct a survey of 211 operations and supply chain managers and functional heads from the Indian manufacturing industry. The scales were validated by employing the confirmatory factor analysis, followed by structural equation modelling to develop the structural relationships between the constructs using Amos 20.0.

Findings

The results of the SEM suggest that the antecedents, i.e. motivators, LM and SM, have a significant bearing on environmental and social practices in the SCM; these practices, in turn, also have a positive relationship with SSCM performance (except the relationship between LM and social practices in SCM) with acceptable goodness-of-fit measures. Thus out of the eight hypotheses, seven can be said to statistically significant.

Research limitations/implications

In addition to the motivators of sustainability, the study based on extant literature has considered LM and SM among the drivers of sustainability in SCM. The study has also identified that in earlier studies, the focus has been on environmental practices, and this integrated study has also included social practices in the supply chain.

Originality/value

This study suggests that sustainability performance may also be realised through lean and SM principles; an integrated perspective has been adopted with the consideration of both environmental and social practices. Further, the proposed model represents a novel integration of literature from diverse domains such as environmental management, business ethics and corporate social responsibility as well as performance management.

Details

Management of Environmental Quality: An International Journal, vol. 31 no. 5
Type: Research Article
ISSN: 1477-7835

Keywords

Article
Publication date: 29 November 2018

Surajit Bag, Shivam Gupta and Arnesh Telukdarie

The alignment of procurement strategy with overall business strategy is important for superior firm performance. It is also essential for firms’ purchasing structure to fit the…

2093

Abstract

Purpose

The alignment of procurement strategy with overall business strategy is important for superior firm performance. It is also essential for firms’ purchasing structure to fit the purchasing strategy whether it is cost reduction; value analysis and/or improving delivery and increasing flexibility for achieving superior purchasing performance. The purpose of this paper is to scientifically examine the influence of organization culture (OC), green supplier development (GSD), supplier relationship management, flexibility and innovation on sustainability in supply network (SSN) under the moderation effect of institutional pressures and resources availability.

Design/methodology/approach

The study is grounded by integrating institutional theory (IT) and resource-based view (RBV) theory. The study empirically tests the conceptual model through survey data gathered from 175 respondents in the KwaZulu-Natal province of Southern Africa using structural equation modeling which is a multivariate data analysis technique that permits to simultaneously examine many relationships among manifest and latent variables.

Findings

It was found that OC plays a crucial role in shaping the workforce behavior and responsible for enhancing GSDs and building good relationship with suppliers which ultimately results into increased flexibility and innovativeness. Coercive pressures (CPs) play a moderating role between the causal relationship of innovation and SSN. Therefore, CPs have got the ability to amplify or reverse the effect between innovation and SSNs.

Research limitations/implications

The study suffers from few limitations. First, the study is restricted to one particular province in South Africa. Second, cross-sectional data were used for testing of model in the research study.

Practical implications

The findings are of great importance for both the researchers and supply chain practitioners. Supply chain practitioners may use this knowledge for benchmarking the supply network configuration process and continuously improve the process. The tested model actually shows the mechanism for enhancing SSNs. In today’s dynamic and uncertain business environment, all firms in the supply network aims to minimize risks and maximize profitability. The findings show that CPs play a moderating effect on the relationship between innovation and SSN. Whenever government authorities and institutions pressurize firms for minimizing pollution levels, we see a trend of increased innovations in the form of new product developments, usage of eco-friendly raw material and application of eco-friendly technology which ultimately minimizes the carbon footprint. Through such initiatives steel and engineering firms conform to the government norms and regulations. However, innovations are possible through collaboration with specialist suppliers and sub-suppliers by adopting a common standard across the supply network. Through this overall process of innovation, the focal firm and sub-suppliers linked in the network will benefit and ultimately achieve a competitive edge. Therefore, firms can experience multiple benefits in terms of lower development costs, lower project cycle completion time, improvement in design for re-manufacturability, low downtime, low supply risks, reduction of greenhouse gas emissions and, ultimately, sustainable development.

Originality/value

The study is unique from dual perspective – both in terms of scope and contribution to supply chain management literature. First, the study integrates flexibility and innovation to study the impact on SSNs. Second, it integrates both IT and RBV theory of firm to test the moderation effect and the findings further opens up window for future research.

Details

Benchmarking: An International Journal, vol. 25 no. 9
Type: Research Article
ISSN: 1463-5771

Keywords

1 – 10 of over 58000