DEVELOPING SOCIAL IDENTITY AND SOCIAL CAPITAL FOR SUPPLY CHAIN MANAGEMENT

Competition involves not firm against firm but rather supply chain against supply chain, but few studies explain theoretically the subsistence of a supply chain as a social entity or the operating mechanisms through which firms socialize to obtain better business performance. On the bases of social identity theory and social capital theory, the authors suggest that the salience of supply chain identity accumulates social capital in a supply chain, which then facilitates supply chain management and improves business performance.     

SUPPLY CHAIN PROCESS INTEGRATION: A THEORETICAL FRAMEWORK

The current study was undertaken to further understanding of supply chain process integration. It is suggested that supply chain integration, the practice of realigning firms' operating structures, should be understood from an internal‐external perspective and a process view. Drawing upon four theories—Strategy‐Structure‐Performance framework, the resource based view of the firm, transaction cost economics, and social network analysis—and combining industry inputs, a theoretical framework of supply chain process integration is developed. It is argued that a firm's strategic priorities are key factors of supply chain process integration. Superior performance is likely to be achieved when necessary supply chain capabilities are developed through supply chain process integration.     

A SUPPLY CHAIN‐ORIENTED APPROACH OF WORKING CAPITAL MANAGEMENT

This article analyzes and illustrates the role of payment terms for working capital improvements in supply chains. So far, research has shown how individual industries and powerful companies were able to enhance their cash‐to‐cash cycles at both their supplier's and customer's expense. From a “network perspective,” the exploitation of individual advantages by a single powerful company lowers the overall financial wealth of the supply chain. Therefore, a collaborative working capital management approach is proposed, by which the cash‐to‐cash cycles of companies with the lowest weighted average cost of capital (WACC) should be extended, while companies with higher financing costs are relieved by a shortened cash‐to‐cash cycle. An unequal distribution of power, however, between supply chain members can be the main hindrance for developing a collaborative working capital management solution.     

INTERORGANIZATIONAL CITIZENSHIP BEHAVIORS: AN EMPIRICAL STUDY

Exchanges among firms operating in supply chains are complex due to relational embeddedness, i.e., the extent to which relationships, rather than economic rationality, govern firm‐to‐firm interactions. For many years interfirm relationships were assumed to be best managed via coercive tactics. However, for the last two decades much attention has been given in the literature to more relational forms of governance, and recent supply chain research examining relationship nature, magnitude, and type implies the need for an alternative symbiotic explanation for supply chain relationship effectiveness. To address this void in the literature, this article introduces the concept of interorganizational citizenship behaviors (ICB's). Based on a review of literature from multiple business domains, common types of ICB's are identified, and research hypotheses are developed and tested. Future research initiatives and implications for supply chain management practice are also provided.     

Process Coordination Within a Health Care Service Supply Network

There are two manifestations of supply chains in health care. One involves the supply of equipment and materials used in health care delivery. The other supply chain involves the delivery of health care itself, wherein patients supply their physical conditions and service suppliers deliver health care services. This article considers the latter supply chain, analyzing a case study in which patients have comorbidities and thus require the services of a network of multiple health care providers. In the case study, we examine three schemes for coordination of care. In the first scheme, the patient herself is expected to manage the coordination. In the second scheme, physicians are expected to coordinate the care. In the third scheme, a third‐party coordinator manages care across network members. We examine these three possible coordination alternatives using a technique known as Process‐Chain‐Network (PCN) Analysis. PCN Analysis helps us document how coordination schemes are implemented and where they may fail. Our analysis of the case study leads us to the development of ex post theory about who should initiate coordination and how it should take place under conditions of comorbidities. Empirical data coming from the case study support the theory. We describe possible applications of the theory inside and outside of health care, and show how the PCN approach can guide process innovation.     

EXPLORING A GOVERNANCE THEORY OF SUPPLY CHAIN MANAGEMENT: BARRIERS AND FACILITATORS TO INTEGRATION

Supply chain management is rapidly growing as both a strategic initiative and an academic discipline. As firms increasingly include their supply chain partners in the development of business strategy, researchers will have to constantly reevaluate the underlying themes and emergent theories of strategic logistics, management, and marketing by introducing new topics and revisiting seminal extant results. As such, this research was developed to explore the important concept of supply chain integration through strategic governance theory development. Since supply chain governance is a relatively new topic, a grounded study of both new and existing integration facilitators and barriers is presented. The study was initiated with a qualitative “managerial” development of scale items followed by a full empirical analysis. The result is an industry based returning to the source methodology for testing current governance related issues in industry. Contributions include the development of multiple dimensions of supply chain governance across facilitators and barriers, an explanation of the interplay between governance facilitators of, and barriers to, integration, a discussion of strategic level managerial implications, and a call for the future extension of governance research into the theory wanting domain of logistics and supply chain management.     

UNDERSTANDING THE FINANCIAL CONSEQUENCES OF THE BULLWHIP EFFECT IN A MULTI‐ECHELON SUPPLY CHAIN

This article is concerned with how supply chain strategies can mitigate the Bullwhip Effect and inflated inventories from the perspective of the central firm (typically a manufacturer) in the supply chain. We first outline a base case scenario with a validated system dynamics simulation model, using supply chain characteristics as reported by a real firm, in this case a Mexican electronics supplier to U.S. automobile assemblers. We find, surprisingly, that a lower Bullwhip Effect Index (BE) does not always lead to lower costs in the supply chain studied. Furthermore, sensitivity analysis suggests some interesting, counterintuitive results. The implications of these findings are further developed as we test how lead time reduction can also reduce the Bullwhip Effect in the simulated setting.     

Aligning supply chain design for boosting resilience

Many researchers have analyzed the effect of disruptive events, such as natural disasters and economic and market forces, on global supply chains. However, there is a lack of consensus on delineating a universal collection of supply chain risk management practices that will help companies operate in a global market with large-scale disruptions. In this article, we present an analysis, in conjunction with a worldwide online survey, based on successful global brands and their supply chains. We propose a framework that deploys the dynamics of building supply chain resilience, first linking the design of the supply chain portfolio (local versus global scope, as well as strategic responsiveness versus cost reduction) with supply chain vulnerabilities (external versus internal). We describe the transition between different supply chain structures as a way of coping with disruptions and thus proactively developing resilience. In this article, we introduce both a supply chain risk management approach and the reactive-by-deployment mode, as illustrated by successful global company examples.     

OVERCOMING SPREADSHEET RISK IN SUPPLY CHAIN MODELING

Spreadsheet optimization modeling plays an important role in the management of today's sophisticated supply chains. However, despite the advantages of spreadsheets (or in some cases because of these advantages) there are significant risks associated with spreadsheet models. Spreadsheet risk is defined as the chance of adverse operational or financial consequences due to erroneous creation, maintenance, and/or use of spreadsheet models. Such errors arise because the intrinsic complexity of optimization models is beyond the expertise of many non‐technical managers. In this article we discuss procedures that we developed for managing the substantial risks associated with the use of spreadsheets for supply chain optimization. The issues we address go far beyond simple data entry mistakes, which are possible in virtually every aspect of business and can never be completely eliminated.     

Sustainable Retailing

As consumers seek products that cause minimal environmental harm and bring about positive social impact, and as awareness of supply chain impact grows, retailers must embrace sustainability. Given their unique position in the supply chain between upstream suppliers and downstream consumers, retailers are key to a circular economy in which products at the initial end-of-life stage are returned to the supply chain for continued use. By serving as a connection between suppliers and consumers, retail initiatives can help to reduce, reuse, and recycle. Furthermore, retailers can leverage their unique position in the supply chain to enable and legitimize a focus on social issues across the supply chain. We discuss such actions, the challenges that need to be overcome to have scalable impact, and the mechanisms retailers can utilize to make such progress.     

The Role of Social Mechanisms in Demand and Supply Integration: An Individual Network Perspective

In many industries, including retail, increased complexity of marketing strategies needs to be met with increased efficiency in product delivery, requiring integration across demand and supply facing functions of the firm. For frontline logistics employees (FLEs) of manufacturing firms who are delivering and marketing products in retail stores daily, the ability to understand both the marketing and supply implications of their actions is essential. Despite the importance of cross‐functional integration at the retail frontline, little logistics research has explored how logistics frontline employees interact with managers and each other to integrate knowledge and information. The purpose of this research is to examine the antecedents to cross‐functional integration across demand and supply functions in multiple social networks of the FLE. Mixed methods, including social network analysis, structural equation modeling, and analysis of variance, are applied to test social capital theory hypotheses regarding the impact of relational embeddedness and social mechanisms, socialization and shared interpretation, on individual demand and supply integration across friendship, key enabler, and ideation networks of the frontline employee.     

THE STOCK PRICE REACTION TO SUPPLY CHAIN MANAGEMENT ADVERTISEMENTS AND COMPANY VALUE

The research examines the stock price reaction to the announcement of the adoption of supply chain management‐enhancing tools and technologies to determine whether there is a significant response from the capital markets. The results show that the adoption of supply chain management‐enhancement tools appears to be value creating. The strength of the stock price reaction is positively related to the degree of certainty regarding the publication date of the publication.     

An integrated approach to managing extended supply chain networks

In an effort to improve their competitive position in a rapidly changing marketplace, many companies have replaced their traditional supply chains with extended supply chain networks built on a foundation of supply chain collaboration. These extended networks require the use of decision support tools and technologies to improve both operating efficiencies and customer service, but many companies have struggled to realize the expected benefits of these tools and the increased collaboration. This article recommends that companies adopt an integrated strategy of people, processes, and technology to achieve their competitive supply chain goals. Our recommendation is backed by the results of a survey we conducted of senior-level practitioners concerning the importance and challenges of supply chain collaboration. The article concludes with a set of managerial recommendations to improve a company’s collaborative efforts within its supply chain.     

EXPLORING PROCESSES FOR CUSTOMER VALUE INSIGHTS,SUPPLY CHAIN LEARNING AND INNOVATION: AN INTERNATIONAL STUDY

This paper reports results from a study designed to assess the extent to which firms across industries and several countries lay the groundwork for and use customer value insight, supply chain learning, and innovation processes. The cross‐sectional study serves as an exploration of the theoretical relationships among these activities and their impact on perceptions of organizational performance. Through an international survey study drawing on samples from the U.S., Sweden and Denmark, the authors find support for the notions that supply chain learning and innovation processes are driven by processes aimed at studying changes in customer value and contribute to perceptions of superior organizational performance. These findings have significant implications for logistics and supply chain management.     

LOGISTICS AND SUPPLY CHAIN MANAGEMENT APPLICATIONS WITHIN A GLOBAL CONTEXT: AN OVERVIEW

This paper reviews 726 academic research studies covering logistics and supply chain management (L'SCM) applications within a global context. Articles are analyzed according to their publication year and outlet, common themes, and countries or regions investigated. The sample was drawn from the ABI/INFORM Global database, which includes almost 1,800 journal titles. The review offers a starting point for researchers, graduate students, faculty members or practitioners examining international L'SCM applications. The article also draws attention to the wide array of global L'SCM studies conducted, their settings and viewpoints. Additionally, this paper highlights some of the most interesting works and draws attention to lesser‐researched countries and regions of the world. The overview also provides an introduction for practitioners and managers to what academic research has covered in the area of global L'SCM. Practitioners can use this review as a starting point for the identification of relevant and useful references for their particular task.     

THE SUCCESSFUL CROSS‐DOCK BASED SUPPLY CHAIN

A supply chain using the cross‐dock approach can speed goods from upstream suppliers to downstream customers quickly and cost‐effectively, with benefits to the entire chain, if the appropriate type of cross‐dock is chosen and then designed, staffed and managed for effective performance. Unlike a warehouse, which offers storage, a cross‐dock is a high performance rapid transit point that does not provide storage. Although cross‐docks have been studied with some thoroughness, what has not been seen clearly is that a cross‐dock does not operate in isolation and therefore can't be optimized independently from the upstream and downstream processes. To be successful, cross‐dock optimization makes demands for high performance on all members of the supply chain in terms of speed, effective planning, high reliability, near error‐proof processes and a high degree of transparency, visibility and information‐sharing; accordingly, the article refers to this integrative perspective as a “cross‐dock based supply chain.” To make clear this interdependency between the cross‐dock and the chain based on it, a new definition that classifies types of cross‐dock based supply chains is offered. To assist scholars analyzing and industry management choosing a cross‐dock approach, cross‐dock based supply chains are classified as falling into three different types. Lastly, based on field work in industry and on literature review, nine critical success factors for cross‐dock based supply chain operations are offered.     

关于高技术虚拟企业资金供应链筹集方式的研究

高技术虚拟企业资金供应链,它是围绕着高技术虚拟企业,从资金筹集开始,到成员企业资金使用以及最后资金分配的过程中,从资金供应角度对各个节点的资金流向进行控制,把资金供应商、虚拟财务部、资金需求者连成一个整体的功能网链。本文针对高技术虚拟企业自身的特点与不同,对其与高技术企业资金的筹集进行了异同对比,同时提出了几点筹集原则,并对高技术虚拟企业资金筹集方式建立进行了探讨。     

Creating a Sustainable Supply Chain Network by Adopting Relationship Management Strategies

ABSTRACT

Purpose: This paper develops a conceptual framework to analyze the impact of a supply chain network (SCN) structure on relationship management strategies (RMS) that focal firms apply to manage sustainability issues within the SCN.

Design/methodology/approach: This paper is based on a comprehensive review and analysis of the industrial marketing and purchasing (IMP), sustainable supply chain management (SSCM), and SCN literature.

Findings: The conceptual framework expands the network perspective in the SSCM context by considering the important role of the SCN structure in the firm’s decision-making process. Four factors (dependency, distance, power, and transparency) were found that are useful in conceptualizing the SCN structure. The conceptual framework also categorizes various sustainability practices into four RMS (noncompliance, transactional, dictatorial, and collaborative), which are needed to make an SCN more sustainable. In addition, 16 propositions are developed based on how firms may identify the most effective RMS to implement appropriate sustainability practices through examining their SCN structure.

Research limitations/implications: The conceptual framework, developed as a result of a comprehensive review of the literature, led to the development of 16 propositions, which can assist in furthering a research agenda on RMS to diffuse various sustainability practices within SCN structures.

Originality/value: The relationship between SCN structure and RMS in the sustainability context remains an under-researched but emerging area of interest. This paper leverages existing research to develop a conceptual framework suitable for empirical testing.     

SUPPLY CHAIN MANAGEMENT COORDINATION MECHANISMS

There is growing interest from industry and academic disciplines regarding coordination in supply chains, particularly addressing coordination mechanisms available to eliminate sub‐optimization within supply chains. However, there is a disconnect between what is known in academic research about coordination mechanisms and what mechanisms practitioners apply and consider useful. This research fills a gap in the literature by conducting an in‐depth qualitative study of supply chain coordination mechanisms, primarily price, non‐price, and flow coordination mechanisms. Results suggest that: (1) managers prefer flow coordination mechanisms over price and non‐price coordination mechanisms; (2) supply chain orientation and learning orientation are important for the implementation of flow coordination mechanisms; and (3) technology, capital, and volume are not pre‐requisites for flow coordination mechanisms.     

Supply Chain Networks With Multiple Retailers: A Test of the Emerging Theory on Inventories,Stockouts, and Bullwhips

While various approaches to mitigating the bullwhip effect have been proposed, the composition of the underlying supply chain is often taken for granted. This article develops a set of simulation models to investigate changes to the supply chain itself and their impact on the bullwhip effect, on‐hand inventory, and stockouts. It is shown that particular supply chain networks have an impact on the bullwhip effect. Furthermore, the impact of supply chain networks on the bullwhip effect is moderated by the demand forecasting technique used. Finally, supply chain networks, forecasting techniques, and their interactions are found to influence on‐hand inventory levels and stockout rates for firms within the supply chain. Results also suggest that no one particular type of supply chain network dominates in terms of dampening the bullwhip effect, lowering on‐hand inventory levels, or reducing stockout rates. The optimal network depends on the forecasting technique used and other supply chain factors.