Abstract

Article history: Received October 2, 2012 Received in Revised Format March 12, 2013 Accepted March 14, 2013 Available online March 15 2013 Leagile supply chain management has emerged as a proactive approach for improving business value of companies. The companies that face volatile and unpredictable market demand of their products must pioneer in leagile supply chain strategy for competition and various demands of customers. There are literally many approaches for performance metrics of supply chain in general, yet little investigation has identified the reliability and validity of such approaches particularly in leagile supply chains. This study examines the consistency approaches by confirmatory factor analysis that determines the adoption of performance dimensions. The prioritization of performance enablers under these dimensions of leagile supply chain in small and medium enterprises are determined through fuzzy logarithmic least square method (LLSM). The study developed a generic hierarchy model for decision-makers who can prioritize the supply chain metrics under performance dimensions of leagile supply chain. © 2013 Growing Science Ltd. All rights reserved.

Highlights

  • Chain Management has been defined by “The Council Of Logistics Management” (2000) as “the systematic, strategic coordination of the traditional business functions and tactics across these businesses functions within a particular organization and across businesses within the supply chain, for the purpose of improving the long term performance of the individual organizations and the supply chain as a whole” (Li et al, 2005)

  • Survey questionnaire is developed from an extensive literature review, which examined a number of streams of research, including lean and agile supply chains, supply chain strategies, design requirements for various supply chains, confirmatory factory analysis

  • This study suggested that the four-factor model with 16 items of the performance measurement of a leagile supply chain had a good fit

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Summary

Introduction

Chain Management has been defined by “The Council Of Logistics Management” (2000) as “the systematic, strategic coordination of the traditional business functions and tactics across these businesses functions within a particular organization and across businesses within the supply chain, for the purpose of improving the long term performance of the individual organizations and the supply chain as a whole” (Li et al, 2005). The fuzzy analytic hierarchy process method is applied to prioritize the relative importance of four dimensions and twenty approaches among nine enterprises in electronic industry. The results proved that among the five dimensions of supply chain agility, Information Technology and Flexibility are the most important indicators. Agarwal et al (2006) proposed a framework, which encapsulated the market sensitiveness, process integration information driver and flexibility measures of supply chain performance. The proposed framework analyzed the effect of market winning criteria and market qualifying criteria on the three types of supply chains: lean, agile and leagile. Bhatnagar and Sohal (2005) identified the manufacturing industry of Asian as the research targets and proposed supply chain performance measurement indicators on plant location factor, supply chain uncertainty and manufacturing practices to measure supply chain competitive advantages. Weights of the enablers under each performance determinant are determined in fuzzy environment

Performance measures of leagile supply chain
The conceptual model
Hypotheses
Confirmatory Factor analysis
Determination of priorities from fuzzy pair wise comparison matrix
Main stages of FAHP
Survey Questionnaire
Descriptive statistics
Prioritization of Performance Enablers
Local priorities
Calculation of global priorities
Conclusion
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