A supply chain management framework for services

While services represent the largest sector of the global economy, 86.8% in the United States, most supply chain management (SCM) research is focused on product flows. Executives in manufacturing firms have benefited from frameworks created to implement SCM processes, but this is not the case for their counterparts in service companies. The two most cited SCM frameworks for services have methodological and conceptual deficiencies. Drawing upon the service-dominant logic of marketing and using an empirical research approach, we developed supply chain structure maps for nine service firms. Our findings indicate that the supply chain structure maps of service companies are comparable to those in the product-based literature, which supports the service-dominant logic. Then, we identified the six key processes that constitute a framework to manage service supply chains. The customer relationship management and the supplier relationship management processes form the critical links in the supply chain, and the other four processes are coordinated through this linkage. The SCM framework for services provides direction for executives in service firms who need to increase cross-functional integration within their firms and with other members of the supply chain. For academics, 12 avenues for future research are identified.     

Are you ready for your next product recall crisis? Lessons from operations and supply chain management

Most manufacturing companies face the possibility of a product recall crisis, if not within their own firms, then certainly somewhere within their supply chains. Recall crisis management typically finds a home within literature on crisis management, public relations, communications, marketing and brand management, and related fields. However, this research seldom addresses the operations support that must be mustered behind the scenes. The tumultuous material flows that can occur during a product recall imply a supply chain disruption. An effective response during the heat of a crisis therefore requires the foundation of a well-oiled supply chain. In this article I draw on learnings from the operations and supply chain management (OSCM) literature, integrate them with important precepts from the general crisis management and product recall literature, and identify managerial best practices that will help managers better prepare for product recall crises.     

Managing successful total quality relationships in the supply chain

The importance of relationships between organizations is becoming increasingly recognized as firms try to adapt to an uncertain and turbulent environment. Emphasis is shifting from approaches based upon confrontation towards those that imply greater cooperation and collaboration. Despite the extensive rhetoric that surrounds such models, however, relatively little work has been done on their detailed characteristics, nor on mechanisms for their development and maintenance. One desirable characteristic of such relationships is likely to be the set of values and behaviours associated with Total Quality Management (TQM), especially those involving the development of continuous improvement practices. This paper reviews the possible role of TQM within the supply chain or network of relationships and suggests some early throughts on the emerging patterns of development towards such models. The conclusions draw upon the authors' case study research within the supply network of a major UK purchaser in which eight specific relationships were studied in depth, and point to some directions for further exploration.     

Equilibrium in supply chain network with competition and service level between channels considering consumers' channel preferences

This paper considers a dual-channel supply chain network consisting of multiple competing manufacturers, multiple competing retailers and multiple demand markets. Each manufacturer produces and distributes his products via direct e-commerce channel along with traditional physical channel. The manufacturers also provide services for the consumers in both channels, while the retailers only offer offline services to the consumers. On this basis, a dual-channel supply chain network equilibrium model with pricing and service decisions are established based on variational inequality theory. Nash equilibrium solutions are obtained by modified projection and contraction method. Combined with numerical examples, we analyze the impact of three critical factors on the equilibrium states and profits. Some interesting managerial insights are derived. We find that the profits of the manufacturers decrease (increase) in the raw material conversion ratio under single channel case (dual-channel case), while the increase of the raw material conversion ratio always benefits the retailers and the whole dual-channel supply chain network; the service level in each channel is positively correlated with its transaction volume. There are significant inconsistencies among the best combinations of cross-channel price coefficients between two channels for the manufacturers, the retailers and the whole dual-channel supply chain network. The same equilibrium decision (service level, price) or profit may exhibit the opposite changing trend with respect to cross-channel price coefficients under two cases of active e-commerce transaction and inactive e-commerce transaction. When the introduction of e-commerce channel can bring more profits for the whole dual-channel supply chain network, the manufacturers should provide reasonable allocation schemes of profit increment for the retailers to satisfy their participation constraints.     

Toward Greater Validation of Supply Chain Management Theory and Concepts: The Roles of Research Replication and Meta‐Analysis

Although researchers have been working for over three decades to identify, construct, and test the critical concepts and theories that comprise the supply chain management (SCM) discipline, the field’s theoretical basis has yet to be thoroughly vetted through repetitive, rigorous study. Emerging theories in SCM offer great explanatory potential, but if they are to stand the tests of time, place, and reason, research findings must be accumulated and synthesized. For the field to prosper, we advocate the execution of multiple studies that replicate findings across contexts while simultaneously encompassing relevant theoretical extensions. Furthermore, as SCM research streams mature, scholars should then employ meta‐analytic techniques to gain consensus across studies, such that findings can be more confidently extolled to both academic and practitioner constituencies. In this article, we evaluate the progress of replication and meta‐analysis to date within the SCM field and provide some prospects for thematic research that could perpetuate accelerated validation.     

Conceptualizing and managing service supply chains

The supply chain management (SCM) literature is dominated by studies in industrial markets and studies that deal with the supply chains of manufactured goods. This paper develops a framework for conceptualizing and managing the supply chains of services. The few studies that deal with services' supply chains either focus on a particular business service sector or they adopt an unvaried approach to the management of different service supply chains. The paper draws insights from the existing frameworks for SCM and takes into account the peculiar characteristics for the production and delivery of services across several service industries. Based on the analysis of several processes, areas of concern for supply chain managers are identified, and a research agenda for services SCM phenomena is proposed.     

Home-owned versus foreign-owned firms in the UK automotive industry: Exploring the microfoundations of ambidextrous production and supply chain positioning

The UK automotive industry is home to a large number of foreign firms, demonstrating the open nature of competition. However, the industry necessitates both exploitative and explorative capabilities. Contingency theory suggests that firms align their internal structure with contextual factors. As such, the aims of this study were to investigate whether it was possible to distinguish home-owned (UK) and foreign-owned firms based upon: a) the microfoundations of ambidextrous production, which are conceptualised as lean and agile routines; and b) the tier at which these firms operate in the automotive supply chain. Survey data were collected from 85 home-owned and 55 foreign-owned firms within the UK Midlands automotive industry. Logistic regression results revealed that home-owned firms were significantly more likely to be implementing explorative (agile) production methods, whereas foreign-owned firms were significantly more likely to be implementing exploitative (lean) production. Home-owned and foreign-owned firms were found to be significantly more likely to be operating upstream and downstream in the automotive supply chain respectively. Thus, the findings support a contingency theory explanation, suggesting that firms align their performance priorities with contextual factors, but we argue that home-owned and foreign-owned firms have evolved to compete based on their different innovative capabilities, which are located at different tiers of the automotive supply chain. On this basis, although neither home-owned nor foreign-owned firms were found to be endogenously ambidextrous, we argue that foreign-owned firms internationalise into the UK automotive sector to exploit the explorative capabilities acquired by home-owned firms operating upstream in automotive supply chains, thus enabling ambidextrous capabilities at an exogenous, industrial level.     

Relationship-based product innovations: Evidence from the global supply chain

Global supply chains offer a range of expertise to suppliers interested in generating innovative new products through capitalizing on the closeness of their working relationships with other firms. However, current knowledge on whether and how relational capital between firms can be leveraged for innovation is equivocal, conceptualizing little of the underlying processes responsible for mobilizing relational capital, as well as yielding mostly contradictory empirical results. This study proposes and tests the intermediate mechanisms of proactive customer orientation and joint learning capability as two distinctive capabilities that may account for how relational capital drives relationship-based innovation. Our conceptual model posits that the relational capital–innovation link is neither simple nor direct. An empirical test on 204 Taiwanese suppliers demonstrates the complexity of the innovation generation process. Two pathways from relational capital to innovation are revealed: joint learning capability fully mediates the link, whereas the role of proactive customer orientation is moderated by aspects of the suppliers' ties to their international customers; our theory is thereby largely confirmed. Finally, implications for the theory and practice of innovation in global supply chain relationships are drawn.     

Sustainable Supply Chain Management Integration: A Qualitative Analysis of the German Manufacturing Industry

Firms are increasingly integrating sustainability into their supply chain management (SCM) practices. The goal is to achieve sustainable flows of products, services, information and capital to provide maximum value to all corporate stakeholders. Prior research on SCM integration has insufficiently addressed sustainability. The objective of this research is to provide for a coherent and testable model of sustainable supply chain management integration (SSCMI). By drawing on four cases from the German manufacturing industry, we seek to identify the most important factors that enable or impede the integration of sustainability into SCM.     

网络环境下供应链管理与知识管理系统的有效集成

本文认为,供应链管理追求的是业务流程的高效和同步,但由于实践中供应链上各决策主体缺乏实现供应链整体效率最优所必须的整体知识和信息,决策主体之间缺乏知识交流与共享,导致供应链出现了沟通障碍,影响供应链整体运转效率。文章指出,在网络环境下,通过SCM与KMS的有效集成,将知识流融入到供应链资金流、信息流与物流中,实现供应链上各决策主体之间的知识共享,可提高供应链同步性和有效性。     

Four supply chain management systems: From supply chain strategies to human resource management

This article develops a conceptual model that supports and aligns supply chain strategies with organizational culture and leadership styles. We examine various supply chain theories and organizational behavior concepts to develop an integrated supply chain: the human factor model. Based on the underlying dimensions of environmental uncertainty and product complexity, we propose a 2x2 typology to identify four different supply chain systems that can be used by organization leaders to identify suitable supply chain strategies and compatible people management practices. We provide a useful and practical framework to analyze the alignment between the external environment and the internal organization of a supply chain system.     

Data Science,Predictive Analytics,and Big Data: A Revolution That Will Transform Supply Chain Design and Management

We illuminate the myriad of opportunities for research where supply chain management (SCM) intersects with data science, predictive analytics, and big data, collectively referred to as DPB. We show that these terms are not only becoming popular but are also relevant to supply chain research and education. Data science requires both domain knowledge and a broad set of quantitative skills, but there is a dearth of literature on the topic and many questions. We call for research on skills that are needed by SCM data scientists and discuss how such skills and domain knowledge affect the effectiveness of an SCM data scientist. Such knowledge is crucial to develop future supply chain leaders. We propose definitions of data science and predictive analytics as applied to SCM. We examine possible applications of DPB in practice and provide examples of research questions from these applications, as well as examples of research questions employing DPB that stem from management theories. Finally, we propose specific steps interested researchers can take to respond to our call for research on the intersection of SCM and DPB.     

Material requirement planning and the supply chain at Alenia Aircraft

This case study analyses how the adoption of material requirement planning (MRP) at Alenia Aircraft has brought about organizational and logistic changes in the firm's supply chain. The impact of the MRP system on the supply chain is investigated by analysing the relationship between Alenia Aircraft and the firm Alfa, one of its more significant subcontractors. The case study highlights the current trends within Alenia Aircraft's supply chain. A tiering of the subcontracting firms is taking place through a selection process, leading some traditional subcontractors to become main subcontractors while only some of them become main verticalized subcontractors. In this selection and tiering process of the supply chain, a crucial role is played by the subcontractors' managerial, organizational and logistic capabilities.     

Responsible supply chain management in the Asian context: the effects on relationship commitment and supplier performance

Responsible supply chain management (SCM) in the era of expanding global sourcing can play a critical role in diffusing corporate responsible practices throughout the emerging Asian economies. Thus, this paper aims to examine how responsible SCM can contribute to supplier performance, including environmental, social and operational performances through the improvement of relationship commitment in the Asian context. The hypotheses of this study were tested with the data from 187 South Korean suppliers and 193 Vietnamese suppliers. The paper finds that responsible SCM enhances relationship commitment as well as improves the sustainability performance of suppliers in Asian countries. Relationship commitment plays a critical and mediating role in the relationships between responsible SCM and environmental, social and operational performances. This study also finds that there is a contextual difference between South Korea and Vietnam. The findings of this paper provide implications for supply chain members to integrate environmental and social issues into their SCM practices so as to foster stronger sustainability performance in the global supply chain.     

THE APPLICATION OF EMPIRICAL STRATEGIC MANAGEMENT RESEARCH TO SUPPLY CHAIN MANAGEMENT

Researchers in supply chain management (SCM) have traditionally relied most heavily on the core disciplines of logistics, marketing, and operations; most are less familiar with empirical literature in strategic management. However, with the evolution of logistics into the more interdisciplinary SCM along with increasing attention within strategic management to supply chain issues, recent empirical research in strategy has much to offer. This study reviews and categorizes more than one hundred articles relevant to SCM drawn primarily from top strategic management journals.     

The supply chain implications of recycling

Until recently, end-of-life (EOL) product management was the purview of a small number of firms that could make money out of recycling and/or remanufacturing. Now, changing customer expectations and stringent product take-back regulations are forcing many goods producing organizations to confront EOL product management, even in cases in which there is no clear economic incentive for doing so. This article presents a framework that highlights the supply chain implications for firms forced into EOL product management where recycling is the only viable option. Discussed are the various recycling options available to managers, as well as the strategic implications of each of these choices.     

A survey of supply chain collaboration and management in the UK construction industry

The paper details the results of a questionnaire survey of supply chain collaboration and management in the top the UK construction industry contractors. The results indicate the formation of a significant number of partnerships/ collaborative agreements between contractors, suppliers and clients following the publication of the Latham (1994) and Egan (1997) reports. It appears that construction supply chain management (SCM) is still at its infancy but some awareness of the philosophy is evident. Contractors identified improved production planning and purchasing as key targets for the application of SCM in construction. Barriers to success included: workplace culture, lack of senior management commitment, inappropriate support structures and a lack of knowledge of SCM philosophy. Training and education at all levels in the industry are necessary to overcome these barriers.     

The effect of a geographically dispersed supply base on downside risk: Developing and testing the N-shaped theory

Globalisation, and its resultant complexity, has been called the most significant factor in the increase of supply chain risk. In this paper, we investigate the effects of supply base complexity that result from geographic dispersion and how that affects supply chain risk. Informed by several theories, an N-shaped theory for the relationship is hypothesised. A regression analysis that uses survey data from manufacturing firms operating in Finland is utilised to test the hypothesis. Contrary to our hypothesis, we find support for an inverse U-shaped association of supply base complexity due to geographic dispersion and the negative effects of supply risk. The possible causes of the result and how it can be reconciled with the N-shaped theory are discussed. Supply managers are advised to avoid international complexity creeping into supply and to engage in cross-functional discussion about the implications of supply base dispersion.     

Retail supply chain management practices in India: A business intelligence perspective

The study surveyed executives of a major food retailer in India and explored their perspectives on supply chain management practices, competitive advantage and firm performance; to assess the importance accorded to application of business intelligence (BI) in their operations. Nine dimensions for SCM practices and four dimensions for competitive advantage are identified which are found to strongly relate to each other. The dimensions of SCM also strongly relate to firm performance. Though information sharing with suppliers and their inclusion in strategic decision-making emerge as key dimensions of SCM, their impact on competitive advantage is perceived to be insignificant by retailers.     

Addressing skills mismatch: Utilizing talent supply chain management to enhance collaboration between companies and talent suppliers

Talent management continues to be a topic of interest for employers who face significant challenges dealing with the uncertainty of the supply and demand of talent in organizations. In particular, employers often speak of a talent gap that exists between the skills possessed by applicants and the skills needed in organizations. Supply chain management (SCM), a field that focuses on matching product supply with consumer demand, offers several concepts and models that could apply to and help resolve issues related to the skills mismatch. In order to address this issue, we base our conceptual development on a theoretical framework used in SCM called the collaborative, planning, forecasting, and replenishment (CPFR) approach. We use this approach to develop a comprehensive model of talent supply chain management (TSCM) that applies concepts related to the field of SCM to managing the development and flow of talent. We further go on to describe how organizations can utilize TSCM to enhance connections with talent suppliers to get their labor demands fulfilled with individuals who have the necessary skills for success.