Supply Chain Responsiveness Research Articles

The impact of supply chain fit on business and innovation performance in Brazilian companies

PurposeThis paper investigates the effect of the fit between supply and demand uncertainty (SDU) and supply chain responsiveness (SCR) (SC fit) on business and innovation performance in Brazilian companies.Design/methodology/approachThe study presented an analysis carried out on an empirical study based on a sample of 150 manufacturing companies. Business and innovation performance of companies with different types of SC fit ( high–high and low–low fits) and misfit (positive and negative) are compared and discussed.FindingsThe results indicated that SC fit had a positive effect on both business and innovation performance. Further analyses suggested that companies with SC fit present similar business performance, independent of the level of SDU that characterizes the environment where they compete, while companies in environments with higher levels of uncertainty tend to present superior innovation performance. Companies with positive and negative misfit present similar performance.Originality/valueAn analysis of the literature showed that there is no consensus when it comes to the definitions and measurements of SC fit. The paper investigates the effects of SC fit on business and innovation performance, while previous empirical studies have mainly addressed its impact on financial performance. Moreover, this study compares the effects of two types of fit and two types of misfit and assesses SC fit in Brazilian manufacturing companies, analyzing the context of an under-researched reality.

Positioning push–pull boundary in a hesitant fuzzy environment

AbstractNowadays, fierce competition enforces supply chain planners to develop market‐oriented production strategies. Customer order decoupling point (CODP) could increase the supply chain efficiency and responsiveness simultaneously. The right position of CODP in production industries will result in a pattern for trade‐off between responsiveness and operational efficiency. The purpose of this paper is to address the positioning problem of a push‐pull boundary in a fuzzy hesitant environment. To this end, a hybrid multi‐criteria decision‐making methodology of analytic network process (ANP) and VIKOR is proposed in a hesitant judgement environment to determine the position of CODP in a supply chain. Finally, CODP positioning in the apparel supply chain, as an industry‐based example, is analysed to show the applicability of the proposed method.

Managers' risk perception of supply chain uncertainties

PurposeThis paper provides a practical framework for managers to develop a sustainable supply chain. Given that rapid globalization has increased supply disruption risk, managers have been forced to establish efficient and responsive supply chain strategies. Nevertheless, diverse uncertainty factors, such as risk perception of strategies, have made practical management difficult. Quantifying managers' risk perceptions and applying them to supply chain strategies allows the authors to propose a structural and practical model for managing supply disruption.Design/methodology/approachThe existing structural model is refined by taking subjective factors into account using the analytic hierarchy process. The applicability of the refined model is demonstrated through a comparative case study.FindingsManagers' risk perceptions vary not only among companies but also between managing divisions within a company, which necessitates possible changes in strategy due to environmental turbulence. The principal component analysis (PCA) characterizes managers' risk perceptions that illustrate companies' emphases on disruption risk.Practical implicationsThe proposed approach quantifies risk perception, which enables practitioners to deal with subjective information in quantitative form. Comparative studies clarify differences in perception given different business backgrounds. The results provide managers with in-depth insights for establishing supply chain strategies reflecting their risk perception.Originality/valueQuantification of managers' subjective risk perception clarifies both the trend and the individual features for uncertainties. The results allow the authors to conduct the PCA, which characterizes companies. Comparative studies generalize the results of extant work, shedding light on cross-sectional differences given different business backgrounds. The effectiveness of the approach is confirmed through retrospective interviews with practitioners.

A transformative supply chain response to COVID-19

PurposeThis research employs a transformative service lens to examine the role of the supply chain ecosystem in ensuring the health and safety of employees and customers as a well-being outcome during the coronavirus disease of 2019 (COVID-19) pandemic.Design/methodology/approachThis is a conceptual paper examining the response of the supply chain to the current food crisis caused by the pandemic.FindingsBased on the service-dominant logic (SDL) paradigm, the COVID-19 examination of the supply chain ecosystem provides a foundation for further research employing a transformative lens.Research limitations/implicationsThe COVID-19 situation is primarily explored from a Western, educated, industrialised, rich and democratic (WEIRD) societies’ context. Future research should explore the applicability of the transformative service lens to other societies.Practical implicationsThe conceptual discussion and research agenda provide direction for researchers, practitioners and policymakers towards a transformative supply chain ecosystem.Originality/valueThis research includes the well-being of employees and customers in the service supply chain outcome measures, draws supply chain management into the TSR domain, while also solidifies a service ecosystem perspective of supply chain management.

The Ways of Supply Chain Responsiveness Increase at Time of Port Infrastructure and Transportation Assets Productivity Disruption

The article determined that the delivery of goods by sea to the United States has its peculiarities and nuances. Specific trends over the last few years which have led to a number of supply chain disruptions have been described. An

Designing profitable and responsive supply chains under uncertainty

In this paper, we develop a multi-objective two-stage stochastic programming model, which takes into account the selection of warehouse and retailer sites and the decision about production levels, inventory levels, and shipping quantities among the entities of the supply chain network. The first objective function is to maximise the chain’s total profit over multiple periods, and the second objective function is to minimise the total travel times for unsatisfied customers, whose demands must be met by retailers which have been established in other markets, to maximise the chain’s responsiveness. Demands, selling prices and productions times at manufacturing sites are all considered as uncertain parameters. The two objective functions are in conflict with each other, and we use ϵ-constraint method to generate a set of Pareto optimal solutions for the proposed multi-objective problem. We then generalise the case and assume the uncertain parameters are continuously distributed random variables and use a simulation approach called sample average approximation (SAA) scheme to compute near optimal solutions to the stochastic model with potentially infinite number of scenarios. A computational study involving hypothetical networks of different sizes and a real supply chain network are presented to highlight the efficiency of the proposed solution methodology.

Exploring the impact of blockchain on the performance of agri-food supply chains

The implementation of the blockchain technology in the agri-food supply chains is in its introductory phase. Lead companies, often retailers, introduce this technology for specific objectives, such as assuring traceability or improving sales and reputation. At the same time, the technology could impact much more broadly the performances of food chains. Little is known about this impact as the evidence provided in the literature is scarce and mostly focused on specific indicators. This paper addresses this gap assessing the impact of the blockchain technology on food supply chains from an explorative perspective. An integrated conceptual framework is proposed which includes a broad set of performance dimensions discussed in the literature: efficiency, flexibility, responsiveness, food quality, and transparency of supply chains. These dimensions are assessed using a case study, consisting of three supply chains where a large European retailer has promoted the blockchain adoption. Data was collected through semi-structured interviews with key managers at different stages of the three supply chains and were systematically analysed through a thematic analysis. Results reveal that blockchain technology impacts positively on the profit and/or return on investment of supply chains, it leads to an increase of extrinsic food quality attributes and it fosters a better information management along the food chains due to an improved information accessibility, availability and sharing. The current analysis also suggests an improved management of behavioural uncertainty among the agents of the supply chains and an increase of firm's knowledge as well as supply chain management competencies. While the study remains of explorative nature, it offers a basis for the selection of theoretical approaches and the formulation of new hypotheses for future blockchain studies.

A multi-cut L-shaped method for resilient and responsive supply chain network design

We present a stochastic optimisation model that can be used to design a resilient supply chain operating under random disruptions. The model aims to determine sourcing and network design decisions that minimise the expected total cost while ensuring that the minimum customer service level is achieved. The proposed model incorporates several resilience strategies including multiple sourcing, multiple transport routes, considering backup suppliers, adding extra production capacities, as well as lateral transshipment and direct shipment. A multi-cut L-shaped solution approach is developed to solve the proposed model. Data from a real case problem in the paint industry is utilised to test the model and solution approach. Important managerial insights are obtained from the case study. Our analyses focus on (1) exploring the relationship between supply chain cost and customer service level, (2) examining the impacts of different types of disruptions on the total cost, (3) evaluating the utility of resilience strategies, (4) investigating the benefits of the proposed solution approach to solve problems of different sizes and (5) benchmarking the performance of the proposed stochastic programming approach.

Supply chain management and market responsiveness: a simulation study

PurposeThis study aims to provide a practical solution to the relationship between supply chain (SC) integration and market responsiveness (MR). A method is proposed to integrate SC and MR parameters, namely, product supply and demand in the context of low-value commodities (e.g. cement).Design/methodology/approachSimulation and forecasting approaches are adopted to develop a potential procedure for addressing demand during lead time. To establish inventory measurements (safety stock and reorder level) and increase MR and the satisfaction of customer’s needs, this study considers a downstream SC including manufacturers, depots and central distribution centers that satisfies an unbounded number of customers, which, in turn, transport the cement from the industrialist.FindingsThe demand during lead time is shown to follow a gamma distribution, a rare probability distribution that has not been considered in previous studies. Moreover, inventory measurements, such as the safety stock, depending on the safety factor under a certain service level (SL), which enables the SC to handle different responsiveness levels in accordance with customer requests. In addition, the quantities of the safety stock and reorder point represent an optimal value at each position to avoid over- or understocking. The role of SC characteristics in MR has largely been ignored in existing research.Originality/valueThis study applies SC flexibility analyzes to overcome the obstacles of analytical methods, especially when the production process involves probabilistic variables such as product availability and demand. The use of an efficient method for analyzing the forecasting results is an unprecedented idea that is proven efficacious in investigating non-dominated solutions. This approach provides near-optimal solutions to the trade-off between different levels of demand and the SC responsiveness (SLs) with minimal experimentation times.

EFFECTIVE FACTORS OF IMPLEMENTING EFFICIENT SUPPLY CHAIN STRATEGY ON SUPPLY CHAIN PERFORMANCE

Nowadays, the importance of supply chain management and its effect on business performance is undeniable. Boosting competitive environment makes every single firm adopt an assignable supply chain strategy. This study is one of the rare practical researches that recognize key factors related to the application of a successful and efficient supply chain strategy. So far, many researchers have conducted studies on responsive supply chain strategy; but in this study, it is sought to focus on efficient supply chain strategies due to increasing need for organizations to enhance efficiency and reduce costs. Structural equation modelling using SmartPLS software is used to examine the research assumptions. Analysis of the structural model showed that there is a positive relationship between implementation of efficient supply chain strategy with supply chain performance; therefore the main research hypothesis is confirmed. Research revealed internal integration, top management support and information technology as efficient supply chain characteristics that have positive effects on supply chain performance. To reduce costs of implementation of efficient supply chain strategy, it is necessary to invest in factors that influence supply chain performance positively.

Championing innovation for a resilient food system

Championing innovation for a resilient food system

The fight against COVID-19 in sub-Saharan Africa-a threat to the continuous management of HIV patients: application of the action areas of the Ottawa charter for health promotion.

The Novel Coronavirus (2019-nCoV) was detected in December 2019 in the Hubei Province of China. Also known as COVID-19, the outbreak was declared a pandemic by the World Health Organization (WHO) in March 2020. Sub-Saharan Africa (SSA), which is the region hardest hit by HIV, is also highly affected by COVID-19. The fight against COVID-19 in SSA might threaten the continuous management of persons living with HIV (PLHIV). This commentary uses the five action areas of the Ottawa charter for health promotion to address the issue. If the issues raised in this commentary are not addressed quickly by SSA governments, every single link of the supply chain in the HIV response will be disrupted. This disruption might result in more stock-outs, shortages and a lack of access to ART in the months ahead. The SSA governments must ensure that HIV treatment adherence is not compromised owing to a shift of focus to the fight against COVID-19. They should ensure that everyone on HIV treatment gets an adequate supply of antiretroviral therapy (ART).

Fast and ultra-fast fashion supply chain management: an exploratory research

PurposeThe aim of this study is to identify and analyse the main strategic differences between fast and ultra-fast fashion supply chain management.Design/methodology/approachThis study uses a qualitative approach, using document analysis and in-depth interviews with industry specialists.FindingsUltra-fast fashion differs from fast in the following supply chain strategies: avoids any excess inventory, focuses on local manufacturing, on-demand production, and shorter lead times from a few days to a week with a combination of agile, lean, responsive supply chain strategies.Research limitations/implicationsThe limitations of this research are due to the cut-off period and the use of a restricted sample. As implications, technological capabilities are underexplored in the fashion industry. Although important to the traditional and fast fashion industry, technology is viewed as a tool and not as a capability that can generate competitive advantage. This paper addresses technology as capabilities to make ultra-fast fashion retailers more competitive.Practical implicationsUltra-fast fashion could potentially impact current fast fashion retailers to partially move their business model and operations towards an ultra-fast approach. Fast fashion retailers desiring to speed up their production processes launch more weekly collections to cater to consumers who are more fashion-conscious.Originality/valueThere is a rapid emergence of new start-ups that are calling themselves ultra-fast. Newcomers wanting to adopt this new segment’s business model, develop technological capabilities to meet the challenges of this supercompetitive market.

Corporate Resilience and Response During COVID-19

The coronavirus pandemic caused a sharp market decline while raising heterogeneous responses across companies related to their employees, supply chain, and repurposing of operations to provide needed products and services. We study whether during the 2020 COVID-19 induced market crash, investors differentiated across companies based on their human capital, supply chain, and products and service response. Using data derived from natural language processing applied to news coverage of corporate responses to the coronavirus crisis for 3,023 companies around the world, we find that more positive sentiment around a company’s response is associated with less negative returns. This is especially true for companies with more salient responses and in industries that those responses are more likely to represent a credible commitment to their stakeholders.

Proactive risk mitigation strategies and supply chain risk management performance: an empirical analysis for manufacturing firms in Turkey

PurposeIn spite of its potential benefits in a wide range of situations, supply chain risk mitigation strategies have received scant attention on the subject of managing the supply chain risk in the business environment. Especially, there is still a limited understanding of the importance of firms’ supply chain flexibility, resilience and responsiveness in the supply chain risk management (SCRM) literature. This research focuses on exploring the relationship between significant proactive risk mitigation strategies, namely supply chain (SC) flexibility, resilience and responsiveness, as well as SCRM performance to facilitate bridging the gap between mitigation strategies and SCRM performance. The moderating role of risk management (RM) culture was also hypothesized and tested.Design/methodology/approachA survey-based methodology is adopted. The data are analyzed using the technique of partial least squares.FindingsThe results indicate that SC resilience and responsiveness are positively associated with SCRM performance; however, SC flexibility does not. In addition, interestingly, RM culture does not moderate these relationships in spite of the extant literature. We argue that this could be due to the fact that risk management culture is at the beginning stage for an enterprise in Turkey.Originality/valueThis study extends the existing literature by advancing the knowledge on the relationship between proactive risk management strategies, which applied to overcome uncertainties and SCRM performance.

SUPPLY CHAIN ANALYSIS OF SHALLOTS THROUGH RELATIONAL APPROACH (Study On Shallot Farmers in 4 District, East Java)

ABSTRACTPurpose — This research aims to examine the effect of relational capital to supply chain integration and supply chain responsiveness.Design/methodology/approach — This research uses explanatory research with a quantitative approach. The object of this research was in four districts of East Java at Nganjuk, Kediri, Malang, and Probolinggo which are the centers of onion production that have similar environmental conditions. The sampling method in this research used multistage proportional random sampling with 200 respondents as a sample of this research. Data analysis uses the path analysis method by software SPSS 23.Findings — The results show that the relational capital has a positive and not significant effect on the supply chain integration and relational capital has a positive and significant effect on the supply chain responsiveness.Practical Implications — Supply chain responsiveness is greatly affected by the relational capital but not with the supply chain integration.Originality/value — Keywords Agroindustry, Relational Capital, Shallot, Supply Chain Integration, Supply Chain ResponsivenessPaper Type research paper (case study)  Keyword: Agroindustry, Relational Capital, Shallot, Supply Chain Integration, Supply Chain Responsiveness

Responsiveness model of the textile supply chain - a structural equation modelling-based investigation

Responsiveness of the supply chain is a crucial factor in improving the capacity to earn greater profits for individual companies and the supply chain as a whole. The ability to meet customer demands promptly and improving the frequency of financial turnover are the direct consequence of responsiveness of their supply chains. This paper aims to examine the effect of the combination of material flow, information flow, lead time and overall capability on the responsiveness of a textile supply chain. With an online-cum-direct survey of 246 textile industries in South India, followed by exploratory factor analysis, we develop a model of supply chain responsiveness. Then, the developed model is validated through structural equation modelling (SEM) using model fit metrics. A comprehensive model considering the entire supply chain may lead to an improved responsiveness, greater financial turnover and allows suitable measures across the supply chain to become more responsive to the customer.

Analysis of construction machinery market: the case of Greece

Research into the construction equipment market and the predilections of its stakeholders is very limited. The aim of this article is to address that void by analysing Greek equipment market sales and its consumers over the last fifteen years from 2000 to 2015. This analysis can provide key information on market share, portfolio and products falling into decline, production decisions and forecasting. Forecasting is important for resource planning in the machinery sector. Planning in turn supports decisions and supports organizational learning. Sales analysis helps optimize production and in deciding for a stock or lean approach in everyday business. Sales analysis can indicate customers’ intentions and thus anticipate future product needs. This can aid innovative product delivery by introducing a demand-driven supply network (DDSN) by building supply chains in response to demand signals. Especially within the machinery sector, there are a lot associated objectives to be considered such as client naivety, accessibility to data sales and political climate; all are factors that determine customers’ habits. For this purpose, a survey was conducted that highlights basic concepts regarding equipment market characteristics. The results propose actionable recommendations for products, together with competitiveness and growth strategies.

Additive manufacturing in military and humanitarian missions: Advantages and challenges in the spare parts supply chain

This study focuses on the impact of Additive Manufacturing on the responsiveness, efficiency and sustainability of the spare parts supply chain of armed forces during military and humanitarian missions. These spare parts are slow movers, high tech and highly specific. As a consequence their demand is notoriously variable and difficult to forecast. At the same time they are mission critical. A systematic literature review, desk research of different cases, as well as semi-structured interviews with internal and external stakeholders within the Royal Netherlands Army demonstrate that Additive Manufacturing can reduce lead times, waste, energy use, spare parts inventories, as well as improve system readiness and sustainability of armed forces, specifically during military and humanitarian missions abroad. However, challenges must be met in particular related to energy use, local collaboration, (out-)sourcing, security and intellectual properties. This paper connects Additive Manufacturing and the growing importance of sustainability with the need for well-prepared operational armed forces and outlines an agenda for future research regarding mission based supply chains.

Stochastic production capacity: A bane or a boon for quick response supply chains?

AbstractThe quick response (QR) system that can cope with demand volatility by shortening lead time has been well studied in the literature. Much of the existing literature assumes implicitly or explicitly that the manufacturers under QR can always meet the demand because the production capacity is always sufficient. However, when the order comes with a short lead time under QR, availability of the manufacturer's production capacity is not guaranteed. This motivates us to explore QR in supply chains with stochastic production capacity. Specifically, we study QR in a two‐echelon supply chain with Bayesian demand information updating. We consider the situation where the manufacturer's production capacity under QR is uncertain. We first explore how stochastic production capacity affects supply chain decisions and QR implementation. We then incorporate the manufacturer's ability to expand capacity into the model. We explore how the manufacturer determines the optimal capacity expansion decision, and the value of such an ability to the supply chain and its agents. Finally, we extend the model to the two‐stage two‐ordering case and derive the optimal ordering policy by dynamic programming. We compare the single‐ordering and two‐ordering cases to generate additional managerial insights about how ordering flexibility affects QR when production capacity is stochastic. We also explore the transparent supply chain and find that our main results still hold.