Supply chain decision making supported by an Open books policy

Based on a study of a buyer–seller relationship in the automotive industry, this article identifies 17 different decision-making processes where openly sharing cost data—a so-called open books policy—plays an important supporting role. These processes relate to supplier selection, various activities that occur prior to production, and the full-speed production stage of the exchange process. Overall, open books plays the greatest role in the pre-production stage, although it is found to support decision-making relating to supplier selection and decision-making during full-speed production to a greater extent than the literature recognizes

An agent-based dynamic information network for supply chain management

One of the main research issues in supply chain management is to improve the global efficiency of supply chains. However, the improvement efforts often fail because supply chains are complex, are subject to frequent changes, and collaboration and information sharing in the supply chains are often infeasible. This paper presents a practical collaboration framework for supply chain management wherein multi-agent systems form dynamic information networks and coordinate their production and order planning according to synchronized estimation of market demands. In the framework, agents employ an iterative relaxation contract net protocol to find the most desirable suppliers by using data envelopment analysis. Furthermore, the chain of buyers and suppliers, from the end markets to raw material suppliers, form dynamic information networks for synchronized planning. This paper presents an agent-based dynamic information network for supply chain management and discusses the associated pros and cons

The impact of enterprise application integration on information system lifecycles

Information systems (IS) have become the organisational fabric for intra-and inter-organisational collaboration in business. As a result, there is mounting pressure from customers and suppliers for a direct move away from disparate systems operating in parallel towards a more common shared architecture. In part, this has been achieved through the emergence of new technology that is being packaged into a portfolio of technologies known as enterprise application integration (EAI). Its emergence however, is presenting investment decision-makers charged with the evaluation of IS with an interesting challenge. The integration of IS in-line with the needs of the business is extending their identity and lifecycle, making it difficult to evaluate the full impact of the system as it has no definitive start and/or end. Indeed, the argument presented in this paper is that traditional life cycle models are changing as a result of technologies that support their integration with other systems. In this paper, the need for a better understanding of EAI and its impact on IS lifecycles are discussed and a classification framework proposed.Engineering and Physical Sciences Research Council (EPSRC) Grant Ref: (GR/R08025) and Australian Research Council (DP0344682)

Analysis and control of complex collaborative design systems

This paper presents a novel method for modelling the complexity of collaborative design systems based on its analysis and proposes a solution to reducing complexity and improving performance of such systems. The interaction and interfacing properties among many components of a complex design system are analysed from different viewpoints and then a complexity model for collaborative design is established accordingly. In order to simplify complexity and improve performance of collaborative design, a general solution of decomposing a whole system into sub-systems and using unified interface mechanism between them has been proposed. This proposed solution has been tested with a case study. It has been shown that the proposed solution is meaningful and practical

Digital/web-based technologies and purchasing and supply management: A UK Study

The digital revolution on the web/internet is believed to be having a major impact on the performance of firms’ purchasing and supply functions. Beyond anecdotal evidence however, little is known about the actual level of utilisation of web-based interaction technologies in purchasing and supply management (P&SM). This paper addresses this gap through an empirical survey of 156 UK-based organisations. Findings indicate that only six in every ten organisations use digital/web-based technology (DWBT) in P&SM, and that the usage level is particularly low in SMEs. Current uses, and the importance of DWBT in P&SM in the future are reported. The paper also investigates the perceived benefits of DWBT in this area, and the link between uses, benefits and P&SM relationship orientation. The evidence suggests that at present DWBT is not a key driver of closer (collaborative) buyer-supplier relationship development. Implications are put forward

Supply chain collaboration

In the past, research in operations management focused on single-firm analysis. Its goal was to provide managers in practice with suitable tools to improve the performance of their firm by calculating optimal inventory quantities, among others. Nowadays, business decisions are dominated by the globalization of markets and increased competition among firms. Further, more and more products reach the customer through supply chains that are composed of independent firms. Following these trends, research in operations management has shifted its focus from single-firm analysis to multi-firm analysis, in particular to improving the efficiency and performance of supply chains under decentralized control. The main characteristics of such chains are that the firms in the chain are independent actors who try to optimize their individual objectives, and that the decisions taken by a firm do also affect the performance of the other parties in the supply chain. These interactions among firms’ decisions ask for alignment and coordination of actions. Therefore, game theory, the study of situations of cooperation or conflict among heterogenous actors, is very well suited to deal with these interactions. This has been recognized by researchers in the field, since there are an ever increasing number of papers that applies tools, methods and models from game theory to supply chain problems

From Supply Chains to Total Product Systems

The evolution of supply chain management and practice has had an integral and expanding role in contemporary global economic and socio-political change over the past 25 years or so. Thi srole is moving closer to centre stage with the emergence of business models equating to 'total product systems'. The impacts of advanced supply chain practice include driving fundamental changes in approach to product design, the concept of 'product', production methods, distribution, marketing, aftermarket support and end-of-life (EOL) reprocessing. Viewed in their full context, methods in supply chain management (SCM) have major influences on societal functioning and on economic development at global, national and local levels. Even the supply chains for simple products can involve several different industries and link many companies, large and small. Those for complex products may span several technological domains and economic sectors, linking hundreds or sometimes thousands of companies

Response of Fresh Food Suppliers to Sustainable Supply Chain Management of Large European Retailers

This article analyses new supply chain management (SCM) strategies of the largest retail distribution chains in Europe within the context of differing sustainability concepts and approaches. An analysis is carried out of the strategic plans of such retailers, as well as recent developments in the sector. We begin by identifying the priority actions of retailers and then evaluating, by means of a survey, how small horticultural marketing firms (mainly cooperatives) in southeast Spain respond to the needs of these retailers. Subsequently, an analysis is carried out on these small marketing firm exporters to identify the relative weight which they assign to the variables assessed, while also considering the existing relationships between said weighted variables and business profits. Our results show that retailers tend to establish more simplified supply chains (that is, shorter and more vertical), essentially demonstrating their interpretation of a sustainable supply chain. In contrast, horticultural marketing firms have concentrated more on tactical and operational issues, thereby neglecting environmental, social and logistics management. Thus, their success rate in meeting the sustainability demands of their customers can be considered medium-low, requiring a more proactive attitude. Improved and collaborative relations, and the integration of sustainability concepts between suppliers (marketing firms) and their clients could contribute to successfully meeting sustainability demands. From the point of view of the consumer, close supplier–retail relationships have solved food safety issues, but the implementation of sustainability in other supply chain activities and processes is a pending issue. We propose strategic approximation and collaboration to bridge the gap between the varying sustainability demands in the supplier–retail relationship within perishable supply chains. Although this article specifically addresses fresh vegetable supply chains, the results may be extrapolated to other agri-food chains with a similar structure

Opportunities for greater Lincolnshire's supply chains: full report

A study of the key sector supply chains across Greater Lincolnshire, and identification of barriers and opportuniteis for growth