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1 – 10 of over 2000Yuxiao Ye, Mohammed Ali Suleiman and Baofeng Huo
The relationship between just-in-time (JIT) and supply chain disruption risk is unclear from the existing literature. This paper aims to investigate the impact of supplier JIT and…
Abstract
Purpose
The relationship between just-in-time (JIT) and supply chain disruption risk is unclear from the existing literature. This paper aims to investigate the impact of supplier JIT and customer JIT on supplier disruption risk (SDR), internal disruption risk (IDR), and customer disruption risk (CDR) and explore the moderating role of supply chain centralization.
Design/methodology/approach
Based on survey data collected from 213 manufacturing firms in China, this study employs structural equation modeling with SmartPLS 3.0 to test the main proposed model and applies an ordinary least square regression to test the moderating effect.
Findings
The results demonstrate that supplier JIT is positively related to SDR and negatively associated with IDR. Customer JIT is positively associated with CDR but has no significant effect on IDR. The results also show that SDR and CDR lead to IDR and mediate the relationship between supplier JIT, customer JIT, and IDR. In addition, supply chain centralization amplifies the positive impacts of supply chain JIT on SDR and IDR.
Originality/value
This study makes two main contributions. First, the study provides a comprehensive analysis of the relationship between supply chain JIT and disruption risk. Second, the study addresses that implementing JIT in a supply chain with a centralized decision-making structure leads to a higher level of disruption risk.
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Patrik Jonsson, Martin Rudberg and Stefan Holmberg
The purpose of this paper is to analyse the prerequisites and effects of centralised supply chain planning at IKEA, and to explore how the planning process, planning system, and…
Abstract
Purpose
The purpose of this paper is to analyse the prerequisites and effects of centralised supply chain planning at IKEA, and to explore how the planning process, planning system, and planning organization make up a centralised planning approach.
Design/methodology/approach
The paper is based on a longitudinal case study of IKEA's implementation of global supply chain planning. The literature review generated a framework which identifies prerequisites for, approaches to, and the effects of and obstacles to centralised supply chain planning. This framework was used to analyse IKEA's supply chain planning before and after the implementation. Finally, the authors reflected upon the learning from IKEA and refined the framework.
Findings
A number of prerequisites for centralised supply chain planning were identified: functional products, vertical integration, a dominating organization possessing the power and competence to enforce the implementation, and the use of one planning domain possessing all critical planning information. The direct effects of centralised supply chain planning were related to supply chain integration, standardisation, specialisation, and learning effects. Implementing centralised supply chain planning in an appropriate planning context led to several operational performance improvements. Obstacles were mainly related to human and organizational, as well as to software and data issues.
Research limitations/implications
This is a first approach towards development of a framework of how to design, use and benefit from centralised supply chain planning. The developed conceptual model, which is refined through the case study, offers some generalizability in researching centralised supply chain planning.
Practical implications
The findings show that centralised supply chain planning is a necessity for a large and growing, global supply chain striving for low‐cost production and efficiency.
Originality/value
IKEA is a unique case with its supply chain characteristics and recently implemented planning concept.
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Abdul Rehman Shaikh and Asad Ali Qazi
The learning outcomes are as follows: to understand the impact of external factors in supply chain operations planning; to understand the role of quantitative and qualitative data…
Abstract
Learning outcomes
The learning outcomes are as follows: to understand the impact of external factors in supply chain operations planning; to understand the role of quantitative and qualitative data in supply chain decision-making especially in the restaurant industry; to assess the pros and cons of centralized and decentralized supply chain operations; and to evaluate different alternatives in supply chain planning, for best service level at minimum cost.
Case overview/synopsis
This case visualizes the planning of supply chain drivers and process improvement to enhance supply chain speed and flexibility. Asim Rizvi has recently joined as senior supply chain manager at Food Lord, a renowned chain of restaurants in Pakistan. As instructed by his CEO, Rizvi has to take a decision for centralization, or to continue the decentralization of supply chain operations at two of their highest selling branches. These two branches were located at a distance of 125 km from each other. The objective of supply chain operations’ consolidation was to minimize cost and further improve the service level. Rizvi was confused about the decision because any decision cannot be taken on the basis of cost and benefit analysis only. A 360-degree analysis and future requirements also play a vital role to decide about supply chain operations. The CEO was very excited to take this decision; that is why newly hired manager Rizvi was analyzing all the facts to reach a decision that would be best for their business. Centralized or decentralized supply chain decision was not easy because normally the business dynamics completely change due to unpredictable customer demand, unavailability of professional suppliers and unavailability of a strong information system, etc.
Complexity academic level
BBA and MBA
Supplementary materials
Teaching notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.
Subject code
CSS 9: Operations and Logistics.
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Distribution has been a major element of retailers′ marketingstrategy in recent years as companies strive to control costs but at thesame time seek competitive advantage through…
Abstract
Distribution has been a major element of retailers′ marketing strategy in recent years as companies strive to control costs but at the same time seek competitive advantage through improving service to stores and gaining greater control of stock in the supply chain. In an interview survey of distribution directors from major multiple groups, all companies were reviewing their distribution strategy and many had made major changes to their distribution system. Centralisation of stock in strategically located RDCs and the use of third party contractors were main features of retail companies′ strategy. Contractors were much more aggressive in marketing their services to retailers than hitherto. This is partly related to the competitive and turbulent nature of the industry. In a survey of marketing directors/managers of distribution companies, it was clear that firms were trying to raise their profile in the market as they “went public” and/or because they were moving into new industry sectors away from their “core” specialist areas.
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Shijuan Wang, Linzhong Liu, Jin Wen and Guangwei Wang
It is necessary to implement green supply chains. But green development needs to be gradual and coexist with ordinary products in the market. This paper aims to study the green…
Abstract
Purpose
It is necessary to implement green supply chains. But green development needs to be gradual and coexist with ordinary products in the market. This paper aims to study the green and ordinary product pricing and green decision-making under chain-to-chain competition.
Design/methodology/approach
This paper considers consumers' multiple preferences and takes two competitive supply chains with asymmetric channels as the research object. Through the construction of the game models involving different competitive situations, this paper studies the pricing, green decision-making and the supply chains' profits, and discusses the impact of consumer green preference, channel preference, green investment and competition on the decision-making and performance. Finally, this paper further studies the impact of the decision structure on the environmental and economic benefits of supply chains.
Findings
The results show that consumer green preference has an incentive effect on the green supply chain and also provides an opportunity for the regular supply chain to increase revenue. Specifically, consumers' preference for green online channels improves the product greenness, but its impact on the green retailer and regular supply chain depends on the green investment cost. Moreover, competition not only fosters product sustainability, but also improves supply chain performance. This paper also points out that the decentralization of the regular supply chain is conducive to the environmental attributes of the green product, while the environment-friendly structure of the green supply chain is different under different conditions. In addition, the profit of a supply chain under centralized decision is not always higher than that under decentralized decision.
Originality/value
The novelty of this paper is that it investigates the pricing of two heterogeneous alternative products and green decision-making for the green product under the competition between two supply chains with asymmetric channels, in which the green supply chain adopts dual channels and the regular supply chain adopts a single retail channel.
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The purpose of this paper is to illustrate how centralization and decentralization of supply chains (SCs) play a major role in creating organizational resilience.
Abstract
Purpose
The purpose of this paper is to illustrate how centralization and decentralization of supply chains (SCs) play a major role in creating organizational resilience.
Design/methodology/approach
Starting with the basic tenets of contingency theory and applying a grounded theory approach, results from exploratory qualitative and quantitative studies are combined to investigate the impact of (de)centralization on SC resilience capabilities.
Findings
The findings from a comprehensive literature review combined with two empirical surveys indicate that four important organizational capabilities are needed in order to cope with internal and external disruptions: fast reactions to unforeseen disturbances, reducing the number of negative external forces, reducing the impact of negative external forces and the quick return to normal operating processes. Furthermore, it is illustrated how (de)centralization activities can support these capabilities and thus maximize the SC resilience.
Originality/value
This paper presents 12 measures for (de)centralization and shows how they can support the four major capabilities of resilient companies. The results from qualitative and quantitative surveys allow for a holistic understanding of the organization and provide a basis for future SC resilience research.
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Analyses the role of supply‐chain management in the pharmaceutical industry. Uses the pharmaceutical industry as a case study since it is an industry undergoing considerable…
Abstract
Analyses the role of supply‐chain management in the pharmaceutical industry. Uses the pharmaceutical industry as a case study since it is an industry undergoing considerable change and is subject to a wide variety of commercial pressures. Illustrates therefore how logisticians can link the technicalities of their disciplines to the business issues facing their industry.
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Jouni Kauremaa and Jan Holmström
The purpose of this paper is to study the adoption and motivation to adopt global spare parts practices in autonomous units servicing the products of an original equipment…
Abstract
Purpose
The purpose of this paper is to study the adoption and motivation to adopt global spare parts practices in autonomous units servicing the products of an original equipment manufacturer.
Design/methodology/approach
The methodological approach is case study investigating the reasons for different levels of use and the perceptions regarding the benefits of a centralized supply chain management in four representative service units.
Findings
Autonomous spare part units often source locally because local suppliers are easy to work with in terms of purchasing processes and have no requirements for systematic planning and control of spare parts purchases and inventory management. However, increasing the share of centrally sourced and managed spare parts in the supply chain brings advantages in terms of lower total cost and higher availability. From the perspective of individual subunits engaged in providing product support services, this advantage of relying on a centrally managed spare parts supply chain of an original equipment manufacturer is not self-evident. Autonomous units frequently choose to continue sourcing spare parts from alternative sources, undermining the economies of scale attainable through the original equipment manufacturer’s supply chain. Higher levels of use are facilitated by back-office purchasing management at the unit level. The positive perceptions of centralized supply management in general – including the relationship between the supply unit and the service unit – further facilitate adoption, while local requirements and practices inhibit it.
Research limitations/implications
The study is a single case study and presents proposals requiring further study of the reasons for the observed differences in use of centralized supply chain management.
Practical implications
Centralized spare parts management service requires investment in back-office resources at the service unit level.
Originality/value
The research increases the practical relevance of existing research through an empirical investigation on the autonomous units’ motivations for and perceived benefits of centralized spare parts supply.
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Stefanella Stranieri, Alessandro Varacca, Mirta Casati, Ettore Capri and Claudio Soregaroli
Environmentally-friendly certifications have increased over the past decade within food supply chains. Although a large body of literature has explored the drivers leading firms…
Abstract
Purpose
Environmentally-friendly certifications have increased over the past decade within food supply chains. Although a large body of literature has explored the drivers leading firms to adopt such certifications, it has not closely examined the strategic motivations associated with their adoption. This paper aims to investigate an environmentally-friendly certification, VIVA, examining its role as an alternative form of supply chain governance. The aim is to investigate the drivers affecting the adoption of VIVA and to assess managerial perceptions related to transaction-related characteristics and the firm’s internal resources and capabilities.
Design/methodology/approach
This study draws upon both an extended transaction cost economics perspective, which is based on transaction risks and the resource-based view, which examines a firm’s internal resources. A survey was conducted via a structured questionnaire sent to all of the wine producers in charge of the decision regarding whether to adopt VIVA certification. A Hierarchal Bayesian Model was applied to analyse questionnaire responses. Such a model allows us to specify the probabilistic relationship between questions and latent constructs and to carry over uncertainty across modelling levels.
Findings
The adoption of this environmentally-friendly certification is envisioned as a tool to curb internal risks, and thus to manage behavioural uncertainty within the supply chain. A high level of exposure to exogenous transaction risks discourages firms from adopting VIVA certification. The certification system is not perceived as a promoter of operational capabilities. Managers are more likely to implement the certification when they expect that its adoption will leverage their potential knowledge of the supply chain or prompt new and better collaborations with the suppliers. Therefore, the certification can become a resource that interacts with the capabilities of the firm, expressing complementarities that stimulate the formation of dynamic capabilities.
Research limitations/implications
The identification of drivers from the two theoretical perspectives offers insights into the attributes that are perceived as important by managers and which, therefore, could be leveraged to foster the adoption of the environmental certification. The external validity of the study could be improved by extending the sample to other certifications and supply chains.
Originality/value
The study offers a different perspective on environmental certification. It demonstrates that considering the certification as an alternative form of supply chain governance opens up a set of efficiency and strategic considerations that could be addressed to promote the effectiveness of an environmental strategy within a supply chain
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Michael Rogerson and Glenn C. Parry
This paper aims to investigate how blockchain has moved beyond cryptocurrencies and is being deployed to enhance visibility and trust in supply chains, their limitations and…
Abstract
Purpose
This paper aims to investigate how blockchain has moved beyond cryptocurrencies and is being deployed to enhance visibility and trust in supply chains, their limitations and potential impact.
Design/methodology/approach
Qualitative analysis are undertaken via case studies drawn from food companies using semi-structured interviews.
Findings
Blockchain is demonstrated as an enabler of visibility in supply chains. Applications at scale are most likely for products where the end consumer is prepared to pay the premium currently required to fund the technology, e.g. baby food. Challenges remain in four areas: trust of the technology, human error and fraud at the boundaries, governance, consumer data access and willingness to pay.
Research limitations/implications
The paper shows that blockchain can be utilised as part of a system generating visibility and trust in supply chains. Research directs academic attention to issues that remain to be addressed. The challenges pertaining to the technology itself we believe to be generalisable; those specific to the food industry may not hold elsewhere.
Practical implications
From live case studies, we provide empirical evidence that blockchain provides visibility of exchanges and reliable data in fully digitised supply chains. This provides provenance and guards against counterfeit goods. However, firms will need to work to gain consumer buy-in for the technology following repeated past claims of trustworthiness.
Originality/value
This paper provides primary evidence from blockchain use cases “in the wild”. The exploratory case studies examine application of blockchain for supply chain visibility.
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