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1 – 10 of over 28000Imoh Antai, Crispin Mutshinda and Richard Owusu
The purpose of this paper is to introduce a 3R (right time, right place, and right material) principle for characterizing failure in humanitarian/relief supply chains’ response to…
Abstract
Purpose
The purpose of this paper is to introduce a 3R (right time, right place, and right material) principle for characterizing failure in humanitarian/relief supply chains’ response to natural disasters, and describes a Bayesian methodology of the failure odds with regard to external factors that may affect the disaster-relief outcome, and distinctive supply chain proneness to failure.
Design/methodology/approach
The suggested 3Rs combine simplicity and completeness, enclosing all aspects of the 7R principle popular within business logistics. A fixed effects logistic regression model is designed, with a Bayesian approach, to relate the supply chains’ odds for success in disaster-relief to potential environmental predictors, while accounting for distinctive supply chains’ proneness to failure.
Findings
Analysis of simulated data demonstrate the model’s ability to distinguish relief supply chains with regards to their disaster-relief failure odds, taking into account pertinent external factors and supply chain idiosyncrasies.
Research limitations/implications
Due to the complex nature of natural disasters and the scarcity of subsequent data, the paper employs computer-simulated data to illustrate the implementation of the proposed methodology.
Originality/value
The 3R principle offers a simple and familiar basis for evaluating failure in relief supply chains’ response to natural disasters. Also, it brings the issues of customer orientation within humanitarian relief and supply operations to the fore, which had only been implicit within the humanitarian and relief supply chain literature.
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Manisha Bhardwaj and Rajat Agrawal
The purpose of this paper is to facilitate perishable product supply chain (PPSC) managers and practitioners to assess PPSC failure events. The paper proposed fault tree…
Abstract
Purpose
The purpose of this paper is to facilitate perishable product supply chain (PPSC) managers and practitioners to assess PPSC failure events. The paper proposed fault tree methodology for assessing failures associated with PPSC for evaluating the performance in terms of effective PPSC management adoption.
Design/methodology/approach
Initially, different failure events were identified from literature and semi-structured interviews from experts. Fault tree model was developed from the identified failure events. Probability of failure events was calculated using Poisson distribution based on the annual reports and interviews conducted from experts. Further, qualitative analysis – minimum cut sets (MCSs), structural importance coefficient (SIC) – and quantitative analysis – Birnbaum importance measure (BIM), criticality importance factor (CIF) and diagnosis importance factor (DIF) – were performed for ranking of failure events. In this study, fault tree development and analysis were conducted on apple supply chain to present the authenticity of this method for failure analysis.
Findings
The findings indicate that the failure events, given as failure at production and procurement (A2), that is, involvement of middleman (BE3), handling and packaging failure (BE4) and transportation failure (A3), hold the highest-ranking scores in analysis of PPSC using fault tree approach.
Originality/value
This research uses the modularization approach for evaluation of failure events of PPSC. This paper explores failures related to PPSC for efficient management initiatives in apple supply chain context. The paper also provides suggestion from managerial perspective with respect to each failure event.
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Anne Wiese and Waldemar Toporowski
Companies implement corporate social responsibility (CSR) practices along their supply chains to fulfil stakeholder requirements. In doing so, failures in which CSR aspects are…
Abstract
Purpose
Companies implement corporate social responsibility (CSR) practices along their supply chains to fulfil stakeholder requirements. In doing so, failures in which CSR aspects are violated also emerge, caused by single supply chain members. In these situations, quite often the other supply chain members also appear responsible although they mostly do not have complete control over suppliers and sub‐suppliers due to information gaps. Therefore, the malpractice of one single company can harm the reputation of related companies. This paper aims to analyse recent CSR failures along food supply chains with the aim of evaluating why these occurred and what possibilities exist to avoid similar failures in the future.
Design/methodology/approach
Agency theory analyses information asymmetries in relationships in which one party delegates work to another party. In the considered failures, the downstream company can be regarded as principal by ordering products from the suppliers (agents). Consequently, agency theory contributes towards understanding failures in CSR implementation and highlighting solutions.
Findings
The cases analysed illustrate that CSR failures can have negative impacts on the companies' reputation and therefore also financial effects. Implementing a successful CSR policy should therefore be a primary interest of companies. Agency theory proved suitable to illustrate supply chain relationships and point out implications for companies. The instruments of agency theory can help to avoid CSR failures in food supply chains.
Originality/value
The paper combines agency theory with failures in CSR along food supply chains. In doing so, new insights into supply chain relationships are gained and implications for supply chain members to avoid CSR failures can be deduced. One special characteristic of the analysed failures is that the principal is not aimed at increasing the quantity of the agent's output but the quality.
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Keyvan Rezghdeh and Sajjad Shokouhyar
The main purpose of the present study was to improve and develop previously proposed models for Iran telecommunication networks. It should be noted that the six-dimensional (6D…
Abstract
Purpose
The main purpose of the present study was to improve and develop previously proposed models for Iran telecommunication networks. It should be noted that the six-dimensional (6D) sustainability model used in this study will be a useful and comprehensive model for industries. Since, the new dimension of IT along with the five well-known economic, social, environmental, technical and institutional aspects of organizations is considered to have great impacts on supply chain sustainability; the proposed framework can be practical.
Design/methodology/approach
According to the related literature review, there are two research streams in supply chain management. The first stream is exploratory research, seeking out conceptual discussions in this area. The second one is associated with mathematical models and techniques, aiming to set decision-making rules in this regard (Agrell et al., 2004). In this study, evaluation was performed using the FMEA method as an analytical technique based on the principle of pre-occurrence prevention to identify potential failure factors in sensitive systems (Mohammadfam and Kianfari, 2008).
Findings
After identifying the risks and causes of the incidence and effects and consequences of risks, preventive and risk control measures and advisory strategies were presented. Customers with 45.76% share in critical risks are threatening to maintain supply chain in these companies. During this study, it was found that 33.9% of the main source of supply chain critical risks was customers, constituting 45.76% of such risks, accompanied by organization, having a 38.88% share of critical risk generation. The study findings also revealed that 33.9% of critical risks were mainly (equally) related to economic and technical aspects of supply chain sustainability in telecommunication networks. Moreover, as a newly-introduced sixth dimension, IT represented 10.17% of critical risks threatening supply chain sustainability in such networks. Critical risks are mainly related to the economic and technical aspects (equally) with the sustainability of the telecommunication networks supply chain. Also, as a new finding and the sixth dimension, 10.17% of the critical risks that threaten the sustainability of the telecommunication networks supply chain have the information technology dimension.
Originality/value
The internet and fixed and mobile data services are provided by several private companies in Iran, which are relatively similar in terms of their supply chains. In order to manage the sustainability of Iran's telecommunication supply chain, telecommunication networks affiliated to Iran Telecommunication Company (ITC), operating in the field of data and internet services and fixed telephone were selected in 31 provinces. The intended networks were also providing an important part of the country's needs including Mobile Telecommunication Company of Iran, a subsidiary of Iran's telecommunication networks, as one of the top companies in this industry. Accordingly, all the networks studied in this study needed to be identified with regard to communication sustainability risks, since they provide management solutions to each other by segregating risks. In this study, 68 managers and 72 experts participated in different work teams of telecommunication networks.
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Scott Dynes, M. Eric Johnson, Eva Andrijcic and Barry Horowitz
This paper presents a method for estimating the macro‐economic cost of a firm‐level information system disruption within a supply chain.
Abstract
Purpose
This paper presents a method for estimating the macro‐economic cost of a firm‐level information system disruption within a supply chain.
Design/methodology/approach
The authors combine field study estimates with a Leontief‐based input‐output model to estimate the macro‐economic costs of a targeted internet outage that disrupts the supply chain.
Findings
The authors find that supply chain vulnerability or resiliency to cyber disruptions is not necessarily dependent on the types of technology employed, but rather how the technology is used to enable supply chain processes and the type of attack experienced. The authors find that some supply chains like oil and gas could be significantly impacted by certain cyber disruptions. However, similar to other causes of supply chain disruptions such as labor disputes or natural disasters, the authors find that firms can be very resilient to cyber disruptions.
Research limitations/implications
The validity of the approach is limited by the accuracy of parameters gathered through field studies and the resolution of government economic data.
Practical implications
Managers should examine how information technology is used to enable their supply chain processes and develop capabilities that provide resilience to failures. Lean supply chains that focus on minimizing inventory may be more vulnerable to major information system failures unless they take special steps to build resilience.
Originality/value
This paper provides a new approach to estimating economic vulnerability due to supply chain information failures.
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The global electronic equipment industry has evolved into one of the most innovative technology-based business sectors to transpire in the last three decades. Much of its success…
Abstract
Purpose
The global electronic equipment industry has evolved into one of the most innovative technology-based business sectors to transpire in the last three decades. Much of its success has been attributed to effective supply chain management. The purpose of this paper is to provide an examination of external risk factors associated with the industry’s key suppliers through the creation of Bayesian networks which can be used to benchmark external risks among these suppliers.
Design/methodology/approach
The study sample consists of the suppliers to seven of the leading global electronic equipment companies. Bayesian networks are used as a methodology for examining the supplier external risk profiles of the study sample.
Findings
The results of this study show that Bayesian networks can be effectively used to assist managers in making decisions regarding current and prospective suppliers with respect to their potential impact on supply chains as illustrated through their corresponding external risk profiles.
Research limitations/implications
A limitation to the use of Bayesian networks for modeling external risk profiles is the proper identification of risk events and risk categories that can impact a supply chain.
Practical implications
The methodology used in this study can be adopted by managers to assist them in making decisions regarding current or prospective suppliers vis-à-vis their corresponding external risk profiles.
Originality/value
As part of a comprehensive supplier risk management program, companies along with their suppliers can develop specific strategies and tactics to minimize the effects of supply chain external risk events.
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Shahbaz Khan, Mohd Imran Khan, Abid Haleem and Abdur Rahman Jami
Risk in the Halal food supply chain is considered as the failure to deliver the product which complies with Halal standards. The purpose of this paper is to identify the risk…
Abstract
Purpose
Risk in the Halal food supply chain is considered as the failure to deliver the product which complies with Halal standards. The purpose of this paper is to identify the risk elements associated with Halal food supply chains and prioritise them appropriately towards better management.
Design/methodology/approach
This research used a systematic literature review to identify various risk elements in the Halal food supply chain and consolidate them with the expertise of professionals and academicians. Further, the fuzzy analytic hierarchical process (fuzzy AHP) is applied to prioritise the identified risk elements.
Findings
The findings of the research suggest that “supply-related risks” are the most prominent risk. Raw material integrity issue is a vital element in the Halal food supply chain. The failure of the supplier to deliver material that complies with Halal standards reduces the industrial economic advantage. This study recommends that the integration of internal processes and outsourcing elements can mitigate the risk of the Halal food supply chain by having a holistic view of the processing and delivery of Halal foods.
Research limitations/implications
Systematic literature review and experts’ opinion are used to identify and consolidate risks. For the literature review, only the SCOPUS database is used; thus, there is a chance to overlook some risk elements. Additionally, the fuzzy AHP analysis depends on relative preference weight. Therefore, care should be taken while constructing a pairwise comparison matrix for risk elements.
Practical implications
The findings of the study can help the managers who have a holistic view on risk mitigation of the Halal food supply chain. This study may assist managers to share information about the processing of Halal food from top to bottom to manage risk.
Originality/value
This study may act as a baseline for undertaking future research in the area of risk management of the Halal food supply chain.
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Christian F. Durach and Frank Wiengarten
This research aims to explore the impact of geographical traits on the occurrence of on-time or the risk of late deliveries – one vital category of supply chain failures…
Abstract
Purpose
This research aims to explore the impact of geographical traits on the occurrence of on-time or the risk of late deliveries – one vital category of supply chain failures. Specifically, the regulatory environment framework and national and organizational culture are explored as potential contingency factors affecting these supply chain failures. Furthermore, the authors assess whether or not potential negative cultural characteristics at the national level can be addressed through specific organizational culture at the organizational level of practice.
Design/methodology/approach
This study combines primary survey data from 647 plants in 12 countries collected through the Global Manufacturing Research Group with secondary national data from the World Economic Forum and Hofstede’s national culture dimensions to test the six hypotheses.
Findings
Results indicate that firms situated in a regulatory national environment that is conducive to trade experience fewer late deliveries; a national infrastructure that has continuously been neglected leads to more late deliveries. Firms situated in countries with low levels of national uncertainty avoidance experience fewer late deliveries. Supplier communication should be practiced at an organizational level to excel in these countries.
Originality/value
This paper adds to the ongoing discusses about the importance of contingency factors at the country level (i.e. institutional and cultural factors), which need to be considered when setting up global supply chains. It also contributes important empirical insights to the convergence/divergence discussion.
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A key process involved in supply chains is a priori evaluation of potential partners, not only in terms of expected cost (which includes exchange rate risk), but also in terms of…
Abstract
Purpose
A key process involved in supply chains is a priori evaluation of potential partners, not only in terms of expected cost (which includes exchange rate risk), but also in terms of other risks. These risks can include product failure, producing company failure (such as bankruptcy), and even political risk. This paper aims to compare tools to aid supply chain organizations in measuring, evaluating, and assessing risk in this environment.
Design/methodology/approach
The authors demonstrate the use of DEA, followed by a DEA simulation model and also a Monte Carlo simulation using a risk‐adjusted cost concept. Once non‐dominated partners are identified by DEA, simulation analysis is applied to compare expected performance of vendors, and the range of expected outcomes can be identified, aiding supply chain core organizations to better select producing partners.
Findings
The authors consider strategies of outsourcing to China, as well as other nations under various forms of risk. A scenario analysis using risk management models indicates outsourcing to Great China is a good strategy.
Originality/value
The authors conducted a thorough review of supply chain risk management and identified criteria and various risk performance measures for outsourcing under risk and uncertainty in a supply chain. The benefit of outsourcing to China is discussed. The authors have designed an international outsourcing problem, where foreign exchange risk, product failure, organizational failure, and political risks are considered.
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Xiande Zhao, KwanHo Yeung, Qiuping Huang and Xiao Song
The purpose of this paper is to help the financial institutions improve the predictability of business failure of supply chain finance (SCF) clients with the use of external big…
Abstract
Purpose
The purpose of this paper is to help the financial institutions improve the predictability of business failure of supply chain finance (SCF) clients with the use of external big data set.
Design/methodology/approach
A prediction model for the business failure of SCF clients was built upon different theoretical perspectives. Logistic regression method was deployed to test the model.
Findings
The authors develop a model that illustrates several key determinants to predict the probability of business failure of SCF clients based on several theoretical perspectives. The results show that taxable sales revenue, frequency of making value added tax (VAT) payment, number of counterparty for VAT invoice issuance, frequency of VAT invoice issuance and firm age are negatively correlated with business failure of SCF clients while the VAT paid and industry clockspeed are positively correlated with their business failure.
Practical implications
This paper shows how financial institutions can effectively leverage the external information sources through “unconventional” predictor variables in order to reduce the credit risks associated with business failure of SCF clients.
Originality/value
This paper is one of the first to focus on the potential use of financial big data set from external sources to improve of predictability of financial institutions on the business failure of SCF clients. In addition, this paper is a pivotal study on the financial client risk assessment based on taxpaying behaviors, tax amount, firm and industry characteristics.
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