Analysis of international EPC projects using SCOR model, MoneteCarlito simulation, and relationship management

The EPC contracting mode (Engineering, Procurement and Construction) has been broadly applied in construction projects, particularly, at the international level. However, the procurement process has been scarcely in literature. The purpose of this thesis is to research the procurement processes of different types of products—ETO (Engineer to order), MTO (Make to order), and MTS (make to stock)—in supply chain for a real international EPC cement project in Ethiopia. The procurement processes of steel bar (MTS), precast steel structure (MTO), and vertical mill (ETO) for the “Raw Meal Grinding and Exhaust Gas Treat,” one of the cement plant workshops, have been analyzed as a case study. Three levels’ of SCOR models (Supply Chain Operation References) for the three products are established; the inventory costs were selected as the performance measure for the supply chain. The SCOR models helped in finding the locations where the inventory costs were incurred, and helped in identifying the factors that may influence the inventory cost. In addition, based on the SCOR models, a basic simulation model has been set up, MonteCarlito simulation, and was applied to the precast steel structure based on the inventory cost. A sensitivity analysis was conducted to evaluate the impacts of the pre-delivery waiting time, the delivery time, and the construction time on the total inventory cost. The results revealed that the construction time has the highest impact. Moreover, high inventory cost resulted from poor management relationship with the import agent company. Four key elements were identified which leading to such a relationship: trust, collaboration communication, and problem solving. A questionnaire about these four key elements was developed and responses analyzed (38 responses). Ten suggestions were made to improve the relationship management with suppliers

Development of model for logistics risk management in supply chains

Doktorska disertacija razmatra probleme upravljanja rizicima u lancima snabdevanja sa osnovnim ciljem razvoja modela za upravljanje određenom grupom rizika-logističkim rizicima. Na osnovu širokog pregleda postojeće literature predloženo je više originalnih konceptualnih okvira namenjenih razumevanju složene strukture koncepta rizika u lancima snabdevanja i principa njihove sistemske analize i upravljanja. Takođe, razvijen je originalni model identifikacije, ocene i tretiranja logističkih rizika, koji se zasniva na simulaciji diskretnih događaja i SCOR metodologiji. Testiranjem predloženih okvira i modela na realnom primeru pokazana je njihova praktična primeljivost.The thesis is dedicated to exploring the problems of supply chain risk management with the final aim of developing model for logistics risk management. Based on a broad literature review it is proposed a several original conceptual frameworks aimed to understanding the complex structure of the supply chain risks concept as well as principles of their system analysis and management. In addition, original model for identification, assessment and control is developed, based on discrete event simulation and SCOR methodology. Case study shows practical applicability of proposed frameworks and models

Development of model for logistics risk management in supply chains

Doktorska disertacija razmatra probleme upravljanja rizicima u lancima snabdevanja sa osnovnim ciljem razvoja modela za upravljanje određenom grupom rizika-logističkim rizicima. Na osnovu širokog pregleda postojeće literature predloženo je više originalnih konceptualnih okvira namenjenih razumevanju složene strukture koncepta rizika u lancima snabdevanja i principa njihove sistemske analize i upravljanja. Takođe, razvijen je originalni model identifikacije, ocene i tretiranja logističkih rizika, koji se zasniva na simulaciji diskretnih događaja i SCOR metodologiji. Testiranjem predloženih okvira i modela na realnom primeru pokazana je njihova praktična primeljivost.The thesis is dedicated to exploring the problems of supply chain risk management with the final aim of developing model for logistics risk management. Based on a broad literature review it is proposed a several original conceptual frameworks aimed to understanding the complex structure of the supply chain risks concept as well as principles of their system analysis and management. In addition, original model for identification, assessment and control is developed, based on discrete event simulation and SCOR methodology. Case study shows practical applicability of proposed frameworks and models

An integrated approach to supply chain risk analysis

Despite the increasing attention that supply chain risk management is receiving by both researchers and practitioners, companies still lack a risk culture. Moreover, risk management approaches are either too general or require pieces of information not regularly recorded by organisations. This work develops a risk identification and analysis methodology that integrates widely adopted supply chain and risk management tools. In particular, process analysis is performed by means of the standard framework provided by the Supply Chain Operations Reference Model, the risk identification and analysis tasks are accomplished by applying the Risk Breakdown Structure and the Risk Breakdown Matrix, and the effects of risk occurrence on activities are assessed by indicators that are already measured by companies in order to monitor their performances. In such a way, the framework contributes to increase companies' awareness and communication about risk, which are essential components of the management of modern supply chains. A base case has been developed by applying the proposed approach to a hypothetical manufacturing supply chain. An in-depth validation will be carried out to improve the methodology and further demonstrate its benefits and limitations. Future research will extend the framework to include the understanding of the multiple effects of risky events on different processe

Research Directions in Information Systems for Humanitarian Logistics

This article systematically reviews the literature on using IT (Information Technology) in humanitarian logistics focusing on disaster relief operations. We first discuss problems in humanitarian relief logistics. We then identify the stage and disaster type for each article as well as the article’s research methodology and research contribution. Finally, we identify potential future research directions

Offshoring Decision based on a framework for risk identification

[EN] Offshoring has been a growing practice in the last decade. This involves transferring or sharing management control of a business process (BP) to a supplier in a different country. Offshoring implicates information exchange, coordination and trust between the overseas supplier and the company that means to assume risk. In this paper categories and types of risk have been hierarchically classified using a new approach with the aim to propose a multilevel reference model for Supply Chain Risk evaluation. This classification has been used to analysis the offshoring decision taking into account not only operational and financial risks but other aspects as strategic, compliance, reputation and environmental. The proper risk identification can help to take the correct decision whether or not to bet on offshoring or maintain all the processes in the country of origin.Franconetti Rodríguez, P.; Ortiz Bas, Á. (2013). Offshoring Decision based on a framework for risk identification. IFIP Advances in Information and Communication Technology. 408:540-547. doi:10.1007/978-3-642-40543-3_57S540547408Aron, R., Singh, J.V.: Getting Offshoring Right. Harvard Bus. Rev. 83, 135–155 (2005)Contractor, F.J., Kumar, V., Sumit, V., Kundu, K., Pedersen, J.: Reconceptualizing the Firm in a World of Outsourcing and Offshoring: The Organizational and Geographical Relocation of High-Value Company Functions. J. Manage. Stud. 47, 1417–1433 (2010)Holweg, M., Reichhart, A., Hong, E.: On risk and cost in global sourcing, Int. J. Int. J. Prod. Econ. 131, 333–341 (2011)Kleindorfer, P.R., Saad, G.H.: Managing Disruption Risks in Supply Chains. Prod. Oper. Manag. 14, 53–68 (2005)Neiger, D., Rotaru, K., Churilov, L.: Supply chain risk identification with value-focused process engineering. J. Oper. Manag. 27, 154–168 (2009)Kumar, S., Kwong, A., Misra, C.: Risk mitigation in offshoring of business operations. J. Manufac. Tech. Manag. 20, 442–459 (2009)Bandaly, D., Satir, A., Kahyaoglu, Y., Shanker, L.: Supply chain risk management –I: Conceptualization, framework and planning process. Risk Management 14, 249–271 (2012)Klimov, R., Merkuryev, Y.: Simulation model for supply chain reliability evaluation. Balt. J. Sust. 14, 300–311 (2008)Chopra, S., Sodhi, M.S.: Managing Risk To Avoid Supply-Chain Breakdown. MIT Sloan management review 53 (2004)Blackhurst, J.V., Scheibe, K.P., Johnson, D.J.: Supplier risk assessment and monitoring for the automotive industry. Int. J. Phys. Distrib. 38, 143–165 (2008)Tang, O., Musa, S.N.: Identifying risk issues and research advancements in supply chain risk management, Int. J. Production Economics 133, 25–34 (2011)Christopher, M., Mena, C., Khan, O.: Approaches to managing global sourcing risk. Supply Chain Manag 16, 67–81 (2011)Olson, D.L., Wu, D.: Risk Management models for supply chain: a scenario analysis of outsourcing to China. Supply Chain Manag 16, 401–408 (2011)Supply Chain Council, Inc. SCOR: The Supply Chain Reference ISBN 0615202594Lambert, D.: Supply Chain Management: Processes, Partnerships, Performance, 3rd edn.Kern, D., Moser, R., Hartmann, E.: Supply risk management: model development and empirical analysis. Int. J. Phys. Distrib. 42, 60–82 (2008)Saaty, T.L.: The analytic hierarchy and analytic network measurement processes: Applications to decisions under Risk. Eur. J. Pure. Appl. Math., 122–196 (2008)Lockamy III, A., McCormack, K.: Analysing risks in supply networks to facilitate outsourcing decisions. Int. J. Prod. Res. 48(2), 593–611 (2010

Modelling an End to End Supply Chain system Using Simulation

Within the current uncertain environment industries are predominantly faced with various challenges resulting in greater need for skilled management and adequate technique as well as tools to manage Supply Chains (SC) efficiently. Derived from this observation is the need to develop a generic/reusable modelling framework that would allow firms to analyse their operational performance over time (Mackulak and Lawrence 1998, Beamon and Chen 2001, Petrovic 2001, Lau et al. 2008, Khilwani et al. 2011, Cigollini et al. 2014). However for this to be effectively managed the simulation modelling efforts should be directed towards identifying the scope of the SC and the key processes performed between players. Purpose: The research attempts to analyse trends in the field of supply chain modelling using simulation and provide directions for future research by reviewing existing Operations Research/Operations Management (OR/OM) literature. Structural and operational complexities as well as different business processes within various industries are often limiting factors during modelling efforts. Successively, this calls for the end to end (E2E) SC modelling framework where the generic processes, related policies and techniques could be captured and supported by the powerful capabilities of simulation. Research Approach: Following Mitroff’s (1974) scientific inquiry model and Sargent (2011) this research will adopt simulation methodology and focus on systematic literature review in order to establish generic OR processes and differentiate them from those which are specific to certain industries. The aim of the research is provide a clear and informed overview of the existing literature in the area of supply chain simulation. Therefore through a profound examination of the selected studies a conceptual model will be design based on the selection of the most commonly used SC Processes and simulation techniques used within those processes. The description of individual elements that make up SC processes (Hermann and Pundoor 2006) will be defined using building blocks, which are also known as Process Categories. Findings and Originality: This paper presents an E2E SC simulation conceptual model realised through means of systematic literature review. Practitioners have adopted the term E2E SC while this is not extensively featured within academic literature. The existing SC studies lack generality in regards to capturing the entire SC within one methodological framework, which this study aims to address. Research Impact: A systematic review of the supply chain and simulation literature takes an integrated and holistic assessment of an E2E SC, from market-demand scenarios through order management and planning processes, and on to manufacturing and physical distribution. Thus by providing significant advances in understanding of the theory, methods used and applicability of supply chain simulation, this paper will further develop a body of knowledge within this subject area. Practical Impact: The paper will empower practitioners’ knowledge and understanding of the supply chain processes characteristics that can be modelled using simulation. Moreover it will facilitate a selection of specific data required for the simulation in accordance to the individual needs of the industry