Strategic and technological innovations in supply chain management

Abstract

Having achieved significant improvements in manufacturing, many firms are now focusing their attention on their supply chains. With increased globalisation, supply chains for most products have become longer both on the input as well as the output sides. This, combined with the trend towards proliferation of products makes management of the supply chain a very challenging task. In this paper, we review some of the recent strategic and technological innovations in the management of manufacturing supply chains. We specifically discuss innovations in management of product and information flows in the supply chain. In the management of product flows, the innovations include concepts such as modularisation, postponement, mass customisation and flexible automation, time-based logistics, and cross docking. In the management of information flows, the innovations include the use of information technologies and strategic partnerships to improve the transparency of information. We also review the specific strategies that use the enhanced information flows such as continuous replenishment, vendor managed inventory, quick response and efficient consumer response.