The impact of service system on the implementation of cluster supply chain

Abstract

As a new management pattern, ‘cluster supply chain’ (CSC) can help small and medium enterprises (SMEs) in China to face the sharp global competitions through all kinds of collaboration. However, a major challenge in implementing CSC is the gap between the related theories and practices in the field. In order to bridge the gap, this paper presents the JingCheng Mechanical & Electrical Holding co., Ltd. (JCH) as a case study to explain the key problems in the practice of cluster supply chain: What are the specific conditions for the implementation of cluster supply chain? What are the advantages and challenges of implementing cluster supply chain? Furthermore, the role of service supporting system is emphasized, which has driven a process of transforming CSC theories into practices. Through the case study of JCH, we clarify the role of service system in the actual construction and operation of cluster supply chain, which can promote the rapid adoption of CSC and show successful results as it should be.