Abstract
AbstractAs the globalization of steel product procurement progresses, competition among steel manufacturers is intensifying. The steel industry has a long supply chain from raw materials to finished products; hence, steelmakers are devising supply chain strategies to successfully develop their ambidextrous global strategies. Supply chain strategies depend on the competitive environment and the nature of business. Consequently, supply chain integration (SCI) strategies should also be evaluated under conditions faced by a firm. This chapter examines determinants of a range of SCI and suggests SCI capability building (SCICB) as an ambidextrous SCI capability (ASCIC). By comparing SCI strategies of Korean and Japanese steel firms, the chapter shows that SCI should be evaluated considering supply chain flexibility and uncertainty. Additionally, although SCI helps diminish demand uncertainty, it can also bring inflexibility, a customer “lock-in.”
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