Agency Theory and Supply Chain Management: Goals and Incentives in Supply Chain Organisations

Purpose Agency theory (AT) offers opportunities to examine how the risk of opportunism can be prevented or minimised along supply chain organisations using incentives to achieve goal alignment. Methodology The study presents evidence of how members of such organisations achieve goal alignment through the use of incentives by empirically examining two complete supply chain organisations, including final customers, within the UK agri-food industry using a case study methodology. Findings The findings show that contractual goals can be divided into two different categories, shared supply chain organisational goals, and independent goals of each individual participant. In addition to monitoring ability, incentives can also be classified into short term financial and long term social incentives. Product attributes, in particular credence attributes, are also identified as having implications for both goals and incentives. Research limitations The supply chain perspective and case study methodology mean that the research findings cannot be generalised to other supply chains. A further limitation of the research is the use of different methods of data collection at the final customer point. Practical Implications Managers must ensure that appropriate incentives for all departments and individuals are designed to deliver the strategic goals of the supply chain organisation

A supplier selection strategy within the Malaysian telecommunications industry

The telecommunication industry in Malaysia has grown rapidly over the last 15 years, with effective supply chain management becoming increasing important within the sector. A multitude of providers and part owned Malaysian government companies, vendors and suppliers are involved in generating and creating value-adding products and services within this sector (across wireless, wireline, broadband business and consumer lines of business). This paper describes key challenges facing a major telecoms service provider in Malaysia with regards to drivers involved in the overall procurement and supplier selection with regards to components of performance management, decision-making, selection techniques, quality and cost management, procurement policy and procurement ethics. This paper further focuses on defining and detailing research currently being undertaken to develop a framework for identifying supplier selection drivers that are inherent within the sector and suggests a research approach to investigate and develop strategies for supplier selection for the telecommunications industry in Malaysia

Using Best-Worst Scaling to Determine Market Channel Choice by Small Farmers in Indonesia

A household survey and a novel Best-Worst scaling method are used to examine the relative importance of various buyer characteristics to small potato farmers in Indonesia. A Latent Class Cluster Analysis is used explore whether producers’ utilities for marketing channels are heterogeneous. For the aggregate sample, the attributes related to the buyer providing immediate cash payment, a price premium and always following through on their commitment to buy their potatoes were the three most important attributes. The results of the Latent Class Cluster Analysis found four unique classes or segments of producers, each with distinct utilities for buyer characteristics and interesting differences socio-demographic characteristics. The largest segment (44%) was relatively similar to the aggregate, placing a high importance on cash payment, price and willingness to negotiate. Two segments, 24% and 16% of producers placed a relatively high importance on the buyer providing access to certified potato seed or finance for purchasing inputs, and another segment placed the highest importance on having a long-term relationship with their buyer. This has interesting implications for traders, particularly traders who are interested in securing a long-term relationship with potato producers – simply being able to provide cash at the time potatoes are delivered and/or a small premium may immediately increase the strength of the relationship.Best-Worst Scaling, Latent Class Cluster Analysis, marketing channel choice, Indonesia, potato farmers, small farmers, Marketing,

An exploratory study of factors influencing make-or-buy of sales activities

Purpose This paper aims to explore how sales managers make resourcing decisions with particular focus on their perceptions of outsourcing. Design/methodology/approach This paper is based on in-depth interviews with 29 senior sales managers from a variety of industry sectors based in the UK. All had more than five years’ experience of making resourcing decisions. Findings The findings are that resourcing decisions are prompted by cost pressure, the need to access skills or to improve flexibility. Outsourcing preferences are strongly moderated by perceived reputational risk. Availability of suitable suppliers and the ability to manage outsourcing are also practical moderators. Research limitations/implications The sample was purposeful in identifying and accessing senior respondents in substantial companies with extensive experience, but it was not random. Practical implications Respondents reported a lack of information available when making resourcing decisions; the model proposed provides a framework by which sales managers can identify the factors which should be taken into account and the information they need to make objective evaluations of resourcing options. Originality/value It has been acknowledged in prior literature that there is relatively little outsourcing of sales activities. This is the first exploratory study of the perceptions of sales managers about resourcing options and the first conceptualisation of how sales resourcing decisions are made

The development of long term relationships between consultants and project managers in construction supply chain in Malaysia

Purpose: The purpose of the study is to explore the relationship development process between consultants and a project management firm in Malaysia. Research approach: This qualitative study was based on 6 in-depth semi-structured interviews which were carried out with the owners and senior managers of five consultant firms (an architect, quantity surveyors and structural and civil consultants) and the director of a project management firm. The data were analysed using thematic analysis method. Findings and Originality: Although theoretically, a well developed relationship has to go through five phases of relationship development process (awareness, exploration, expansion, commitment and dissolution), the findings reveal that every consultant’s relationship with the project management firm appeared to exhibit additional developmental stages to those which are established within the literature. The results revealed that the practices that lead to a successful or failed inter-organisational relationship are greatly influenced by interpersonal factors rather than the organisation’s performance-related factors. Research impact: This study has explored various ways in which the cultural values play significant roles in the development of long term relationships among organisations in the construction supply chain. Practical impact: This study brings new dimensions in the context of inter-organisational construction supply chain through the significant use of cultural values, which could be practiced by other supply chains.relationship development process, personal relationship, cultural values, indebtedness, construction supply chain

Identify successful marketing communication strategies that apply to a small hair salon

A selected organisation provides hair dressing services and hair products to customers. The aim of this report is to analyse how the small hair salon could improve their marketing communication strategies in order to attract more customers and enhance the relationship between customers and the organisation. The approach to collecting information was to use a questionnaire with 50 participants, to gather primary information and to conduct a secondary research study. The result of this research was to decide that the role of a successful marketing communication strategy is to attract the customer to consume. In order to make the marketing communication strategy successful, it needs to choose a suitable channel that enables it to connect with the customer. New media is an effective channel that can promote the business to the customer and interact with them. New media is also suitable for a small business to use. A recommendation for the organisation is they create their own website page, Facebook page, YouTube video and WeChat group to promote themselves and interact with customers. Those channels are popular in New Zealand, with a high number of active users. Most the organisation customers like to use those channels too, so if the organisation applies those channels to their marketing communication strategy they will be able to attract customers and persuade them to consume more products

Examining the implications of the anti-money laundering and countering financing of Terrorism Act 2009 on New Zealand accounting firms

Money laundering is the act of introducing illicitly gained funds into the economy to assist in concealing their origin. On October 1 2018, it became mandatory for most New Zealand accounting firms to comply with the Anti-Money Laundering and Countering Financing of Terrorism Act 2009. The purpose of this act is to help detect and deter money laundering within New Zealand. The AML/CFT Act creates additional requirements for accounting firms and has severe penalties for non-compliance. This led to the research question of ‘What are the implications of the AML/CFT Act 2009 on New Zealand Accounting firms?’ For this research, interviews were conducted with accounting firms to help identify the costs and implications associated with the AML/CFT requirements. The results revealed that despite the October 1 deadline, accounting firms are still implementing programs. The new requirements were unclear and underestimated by firms. Large money and time costs were reported by all the interview participants and they all feel that the new requirements are excessive. As the AML/CFT Act is still new, it would be beneficial to explore further research in the future that examines the actual impact of maintaining the AML/CFT programs

Strategic planning for a SME

The purpose of this research is to find competitive advantages for an organisation and prepare a long-term strategic planning for the SME. In a New Zealand context, small business enterprises play vital roles in business and the economic sector. However, most small business do not have specific competitive advantage and long-term strategies to compete in the market. Both qualitative and quantitative approaches have been used as mixed method research. Interviews and surveys have been done. Using those methods, researchers are intended to use the most effective implementation methodology to find out the best solution to the problem and cause of a SME. Location and customer satisfaction have been identified as the prime factors for the firm to run the business successfully. The business has been operating smoothly without using any further strategies to compete in the market. Recommendations involve pricing, advertising and stock management