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Abstract
This paper proposes an agent-based model for evaluating the effect of business interoperability on the performance of cooperative supply chain networks. The model is based on insights from the Industrial Marketing and Purchasing network approach and the complex systems theory perspective. To demonstrate its applicability, an explanatory case study regarding a Portuguese reverse logistics cooperative supply chain network is presented. Face-to-face interviews and forms were used to collect data. The findings show that the establishment of appropriate levels of business interoperability has helped to reduce several non-value-added interaction processes and consequently improve the operational performance of the Valorpneu network. Regarding the research implications, this paper extends the current knowledge on business interoperability and an important problem in business: how business interoperability gaps in dyadic organizational relationships affect the network of companies that the two companies belong to—network effect. In terms of practical implications, managers can use the proposed model as a starting point to simulate complex interactions between supply chain network partners and understand better how the performance of their networks emerges from these interactions and from the adoption of different levels of business interoperability.
Highlights
It has been widely recognized that, in an era in which the traditional competition between companies has been replaced by competition between supply chain networks (SCNs) [1, 2], individual companies no longer compete as independent entities [3, 4] with unique brand names but instead as integral parts of SCN relationships [5, 6]
This paper proposed an agent-based model to simulate the interactions among cooperative networked companies and analyzed how business interoperability affects their interactions and performance
The paper addressed a research question defined on the basis of an important gap in business interoperability and operations management (OM) literature: existing works do not explain how to analyze the effect of business interoperability on the performance of networked organizations, taking into account the network effect
Summary
It has been widely recognized that, in an era in which the traditional competition between companies has been replaced by competition between supply chain networks (SCNs) [1, 2], individual companies no longer compete as independent entities [3, 4] with unique brand names but instead as integral parts of SCN relationships [5, 6]. Because systems that support the operations in many companies were created independently [18], some challenges that SCN managers may face when it comes to establishing cooperation are misaligned and conflicting business goals, misaligned management approaches, misaligned business processes, misaligned methods of work, misaligned legal bases, multiple sources of data, heterogeneous and incompatible information technology, and so on (see [4, 19, 20]) To address these problems, business interoperability, often referred to as enterprise interoperability (e.g., [4, 21, 22]), has been widely pointed out as one of the main disciplines that has enabled companies to establish effective cooperation [23]. The paper goes on to test the applicability of the model through a case study regarding a Portuguese reverse logistics (RL) cooperative SCN and ends with the conclusions and suggestions for the forthcoming work
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