Assessment of interaction among key variables responsible for perfect order fulfilment in an upstream supply chain network

Abstract

With the increase in globalisation and digitisation in business, the complexity among the different entities of the supply chain has increased. As a consequence, perfect order fulfilment for the companies has become a Herculean task as it depends on various dimensions such as forecasting, capacity utilisation, flow complexity, and technology changes, etc. These dimensions lead to supply chain disruptions and result in the bullwhip effect. So, the key problem for the companies is to meet order fulfilment perfectly. This paper examines the structural dependency among key variables responsible for perfect order fulfilment in an upstream supply chain network. First, the various variables which affect the upstream supply chain have been identified through the literature review, and then the structural association among them is modelled using an interpretive structural modelling approach. Further, the driving and dependence dynamics among the variables is examined using MICMAC analysis. The results showed that the variables 'globalisation' and 'technology changes' possess high driving power which may guide the companies to encounter challenges offered by perfect order fulfilment to improve their logistic and supply chain performance.