Coopetition and strategic networks in the fast-moving consumer-goods industry : category management as a strategic opportunity in crisis

Managers need to understand that networks should be an important part of their strategy and that cooperation and competition should be intertwined in the business context. The biggest opportunities in business don’t come from playing the game better than everyone else - they come from changing the fundamental nature of the game itself to your advantage. In a context of crisis, these aspects take an even bigger importance, since most of companies fail to grow or to present results. I introduce a tapered approach to the fast-moving consumer goods industry in order to relate these strategic networks with the coopetition theory. Taking the interviews made to the players hovering in this industry in addition to the existing body of knowledge of published articles and recent environmental dynamics into consideration, this paper will attempt to compare and contrast the category management approaches regarding coopetition and tactical networks’ practices, inserting this concept in a broader strategic view that encompass not only the marketing understanding, but also the strategy point of view, enclosing it as a strategic coopetitive tool and alternative to grow, especially important in crisis times. This thesis will be supported by one case study that intend to illustrate the evolution of the networking-level strategy and coopetition in the consumer-goods industry, mainly supported by the category trade management in a context of crisis

From Confrontation to Coopetition in the Globalized Semiconductor Industry

The silicon chip is not only a symbol of marvellous technologies that are transforming industrial production and leisure time in society, but also of trade and technology conflicts while at the same time offering the potential for cooperation.The purpose of this paper is to show that the semiconductor industry has moved from being highly confrontational to being much more cooperative as is evidenced by the emergence of cross-national strategic alliances between companies, spanning R&D, product development, production and distribution.Over the last 15 years the semiconductor industry has experienced startling reversals of competitive fortune in which the USA dominated in 1970s, then Japan entered in 1980s, and in 1986 surpassed the USA as the largest producer of semiconductors with most US firms abandoning DRAM production due to price competition.This reversal of market position has become known as the X-curve. Since the early 1990s the Americans are on top again but with the Koreans and the Taiwanese coming on fast.With China and perhaps India coming on line in the present decade or so, these reversals in competitiveness will continue to play themselves out in the market.Due to external economies and spillover effects for other industries, this industry is considered to be a strategic sector, not only in the USA, where the industry came into existence, but also in Japan and Europe.Observing the excessive returns earned initially in this industry in the USA, Japanese companies wanted to shift these profits, at least in part, to Japan, for which the Japanese government provided support.The closing of the Japanese market both to imports and foreign direct investment undermined the initial American competitive strength.In order to counteract the loss of competitiveness the US industry reacted, besides by restructuring, by creating, with government funding, the research consortium SEMATECH, while the American government responded by concluding since 1986 bilateral trade agreements with Japan in which Japan initially agreed to "voluntarily" restrict its exports of semiconductors and to "voluntarily" expand the imports of American chips.In the mid-1980s Europe was a marginal player in the global competitive battle and suffered dependence on the USA and Japan.This was a consequence of decisions taken by European firms but part also lies in the fragmentation of the European market and the policy pursued by

Improving the coordination in the humanitarian supply chain: exploring the role of options contract

The uncertainty associated with the location, severity and timing of disaster makes it difficult for the humanitarian organization (HO) to predict demand for the aid material and thereby making the relief material procurement even more challenging. This research explores whether options contract can be used as a mechanism to aid the HO in making procurement of relief material less challenging by addressing two main issues: inventory risk for buyers and over-production risk for suppliers. Furthermore, a contracting mechanism is designed to achieve coordination between the HO and aid material suppliers in the humanitarian supply chain through optimal pricing. The options contract is modelled as a stylized version of the newsvendor problem that allows the HO to adjust their order quantity after placing the initial order at the beginning of the planning horizon. This flexibility helps to mitigate the risk of both overstocking and understocking for the HO as well as the risk of overproduction for the supplier. Our results indicate that the optimal values for decision parameters are not “point estimates” but a range of prices, which can facilitate negotiation between the two parties for appropriate selection of contract parameters under an options contract. The results imply that options contract can aid in the decentralized approach of fixing the prices between the HO and the supplier, which in turn would help in achieving systemic coordination

Horizontal collaboration between logistics service providers (LSP) in Australia: examining the structure opportunities and impediments

This research investigated horizontal collaboration among logistics service providers (LSPs) in Australia. The study examined the extent to which this exists and is being adopted, and the forms of any horizontal collaboration among LSPs in Australia. Using a qualitative methodology from an interpretivist-constructivist perspective, the research process used semi-structured interviews to collect responses from a broad range of individuals from Australian logistics providers, logistics authorities and associations. The study found that horizontal collaboration is not being adopted by LSPs as the primary type of relationship to interact with each other in Australia. Their focus is the use of both vertical and lateral collaboration models, with vertical collaboration as the dominant type. The data also show that the extent of direct involvement in developing horizontal collaboration activities in the Australian logistics context seems to be to remain largely at arm's length and enter operational relationships. The participants, however, anticipated that the level of horizontal collaboration would grow in the future. The data revealed that LSPs consider horizontal collaboration to be a promising concept. There is clear enthusiasm and interest in the thinking of the logistics industry about horizontal collaboration, its possibilities, potential structures and the areas where this type of collaboration could be implemented and employed. Potential opportunities and drivers of horizontal collaboration among LSPs were identified in the research. These were for LSPs seeking to reduce costs; improve productivity and market positioning; provide better customer service; and create better capability and capacity. The research found that the adoption of horizontal collaboration is impeded in the Australian logistics industry by difficulties with partner selection; problems with the partnership process and how economic benefits are determined and divided; and uncertainty about how to overcome difficulties with both business coordination and with information and communication technology. The research also identified that collaboration adoption is significantly negatively affected by the nature and structure of the Australian logistics industry, the attitude of large LSPs, fear of mergers and acquisitions in the industry and the role of government authorities and regulations in the Australian commercial context. The most significant effect of impediments to collaboration is that LSPs are reluctant or unable to build long-term successful horizontal collaborations with others in the Australian logistics industry. This thesis uses the results of the data analysis and the existing research frameworks on collaboration in logistics to develop a theoretical model for understanding the development and effective application of horizontal collaboration. It proposes a comprehensive horizontal logistics collaboration model and evaluates its applicability in the Australian logistics context

Exploring supply chain sustainability risk in the UK fashion industry : a multiple case-study

Much has been written about fashion supply chains in recent years pertaining to the offshoring of production and sourcing by the companies in the UK fashion industry to other countries including inter alia Asia, as well as the attendant risks to such activities. Evidence suggests that businesses can experience disruptions from sustainability issues in their supply chains. In addition, there is an increasing focus on sustainability issues in global businesses and the UK fashion industry is not immune to these issues. Nevertheless, consideration of sustainability and its impact on risk pertaining to the supply chains in the UK fashion industry has not been actively pursued. Moreover, little is known about how sustainability issues manifest themselves as risks. Finally, the lack of a sustainability risk conceptualisation hinders the development of a sustainability risk management framework, which is critical to enable global fashion supply chains to survive and compete in a volatile and demand-driven sector. Therefore, the aim of this thesis is to explore the phenomenon of sustainability risk and supply chain sustainability risk management processes within the context of the UK fashion industry.For the purpose of exploration, an inductive qualitative research approach and a multiple case study research method were adopted. The UK fashion industry has exhibited interesting dynamics in the last few decades. For example, UK textile and garment manufacturing has massively declined in size, yet the UK fashion industry demonstrates fierce competition and retailer concentration. Therefore, five fashion companies were theoretically sampled from the UK fashion industry. The selected companies were a good mix of small and medium size. All carried out their major operations such as sourcing, manufacturing, distribution, warehousing and customer service in the UK. This enabled the researcher to deeply explore and gain insights into the phenomenon of sustainability risk and supply chain sustainability risk management processes in the contemporary context of the UK fashion industry. Data was collected by semi-structured interviews, supported by observations and secondary sources. Interview transcripts were subject to narrative analysis based upon a social constructionist approach.This research identified seven major factors as barriers and drivers for supply chain sustainability risk management: organisational culture, growth of fast fashion, organisational resources, management structure, safeguarding brand reputation, stimulator of innovation and co-opetition. These findings were further grouped into a supply chain sustainability risk management typology. The typology implies that the case companies need to understand and should have knowledge about their current and potential future key sustainability risk and then need to have a certain organisational design and innovative management processes to manage their supply chain sustainability risk

Risk Management in Crisis

Risk management is a domain of management which comes to the fore in crisis. This book looks at risk management under crisis conditions in the COVID-19 pandemic context. The book synthesizes existing concepts, strategies, approaches and methods of risk management and provides the results of empirical research on risk and risk management during the COVID-19 pandemic. The research outcome was based on the authors’ study on 42 enterprises of different sizes in various sectors, and these firms have either been negatively affected by COVID-19 or have thrived successfully under the new conditions of conducting business activities. The analysis looks at both the impact of the COVID-19 pandemic on the selected enterprises and the risk management measures these enterprises had taken in response to the emerging global trends. The book puts together key factors which could have determined the enterprises’ failures and successes. The final part of the book reflects on how firms can build resilience in challenging times and suggests a model for business resilience. The comparative analysis will provide useful insights into key strategic approaches of risk management

Horizontal Cooperation in Transport and Logistics.

This thesis deals with horizontal cooperation in transport and logistics. It contains a comprehensive discussion of the available academic literature on this topic, many practical examples, and an empirical investigation of opportunities and impediments. Furthermore, three enabling concepts for horizontal cooperation in transport and logistics are developed. The analysis is practice oriented in the sense that most of the results are based on real-life datasets. In case studies conducted, the most important goal is to learn lessons that are also applicable to other cases or industries. By contrast, in chapters that have a more theoretical point of departure, efforts are made to draw conclusions that are directly applicable in practice. Many different research techniques are used in this thesis. They include case study analysis, surveys, exploratory factor analysis, regression, game theory, vehicle routing heuristics, and facility location heuristics.

Harnessing Knowledge, Innovation and Competence in Engineering of Mission Critical Systems

This book explores the critical role of acquisition, application, enhancement, and management of knowledge and human competence in the context of the largely digital and data/information dominated modern world. Whilst humanity owes much of its achievements to the distinct capability to learn from observation, analyse data, gain insights, and perceive beyond original realities, the systematic treatment of knowledge as a core capability and driver of success has largely remained the forte of pedagogy. In an increasingly intertwined global community faced with existential challenges and risks, the significance of knowledge creation, innovation, and systematic understanding and treatment of human competence is likely to be humanity's greatest weapon against adversity. This book was conceived to inform the decision makers and practitioners about the best practice pertinent to many disciplines and sectors. The chapters fall into three broad categories to guide the readers to gain insight from generic fundamentals to discipline-specific case studies and of the latest practice in knowledge and competence management