Strategic Operational Decisions in a Supply Chain with Demand and Recall Risks

Among supply chain risks, both demand risk and recall risk have been recognized as critical challenges firms have to face. Making proper operational decisions to mitigate these two types of risks is of great importance to every firm. This dissertation ``Strategic Operational Decisions in a Supply Chain with Demand and Recall Risks'' focus on capacity related decisions, which tackles the demand risk, and quality related decisions, which tackles the recall risk. Specifically, we conduct our research along three dimensions: (i) optimizing capacity decisions or quality decisions; (ii) the interaction between capacity and quality decisions; (iii) the impact of supply chain factors on these decisions. In Chapter 2, we examine quality choice and capacity timing of start-ups and established firms. In Chapter 3, we focus on procurement contracting under product recall risk to manage product quality and mitigate the financial impact of product recalls. In Chapter 4, we investigate strategies to improve product quality and to make proper recall decisions.Doctor of Philosoph

Life Cycle Costing and Food Systems: Concepts, Trends, and Challenges of Impact Valuation

Our global food systems create pervasive environmental, social, and health impacts. Impact valuation is an emerging concept that aims to quantify all environmental, social, and health costs of food systems in an attempt to make the true cost of food more transparent. It also is designed to facilitate the transformation of global food systems. The concept of impact valuation is emerging at the same time as, and partly as a response to, calls for the development of legal mechanisms to address environmental, social, and health concerns. Information has long been understood both as a necessary precursor for regulation and as a regulatory tool in and of itself. With global supply chains and widespread impacts, data necessary to produce robust and complete impact valuation requires participation and cooperation from a variety of food system actors. New costing methods, beyond basic accounting, are necessary to incorporate the scope of impacts and stakeholders. Furthermore, there are a range of unanswered questions surrounding realizations of impact valuation methods, e.g. data sharing, international privacy, corporate transparency, limitations on valuation itself, and data collection standardization. Because of the proliferation of calls for costing tools, this article steps back and assesses the current development of impact valuation methods. In this article, we review current methods and initiatives for the implementation of food system impact valuation. We conclude that in some instances, calls for the implementation of costing have outpaced available and reliable data collection and current costing techniques. Many existing initiatives are being developed without adequate consideration of the legal challenges that hinder implementation. Finally, we conclude with a reminder that although impact valuation tools are most often sought and implemented in service of market-based tools for reform, they can also serve as a basis for robust public policies

Supplier selection under disaster uncertainty with joint procurement

Master of ScienceDepartment of Industrial & Manufacturing Systems EngineeringJessica L. Heier StammHealth care organizations must have enough supplies and equipment on hand to adequately respond to events such as terrorist attacks, infectious disease outbreaks, and natural disasters. This is achieved through a robust supply chain system. Nationwide, states are assessing their current supply chains to identify gaps that may present issues during disaster preparedness and response. During an assessment of the Kansas health care supply chain, a number of vulnerabilities were identified, one of which being supplier consolidation. Through mergers and acquisitions, the number of suppliers within the health care field has been decreasing over the years. This can pose problems during disaster response when there is a surge in demand and multiple organizations are relying on the same suppliers to provide equipment and supplies. This thesis explores the potential for joint procurement agreements to encourage supplier diversity by splitting purchasing among multiple suppliers. In joint procurement, two or more customers combine their purchases into one large order so that they can receive quantity discounts from a supplier. This research makes three important contributions to supplier selection under disaster uncertainty. The first of these is the development of a scenario-based supplier selection model under uncertainty with joint procurement. This optimization model can be used to observe customer purchasing decisions in various scenarios while considering the probability of disaster occurrence. Second, the model is applied to a set of experiments to analyze the results when supplier diversity is increased and when joint procurement is introduced. This leads to the third and final contribution: a set of recommendations for health care organization decision makers regarding ways to increase supplier diversity and decrease the risk of disruption associated with disaster occurrence

Feeding Ourselves Thirsty: How the Food Sector is Managing Global Water Risks

The global food sector faces extraordinary risks from the twin challenges of water scarcity and water pollution. Growing competition for water, combined with weak regulations, failing infrastructure, pollution and climate change impacts threaten the sector's water security and contribute to a water availability emergency that was recently ranked the world's "top global risk" by the World Economic Forum.This report examines how water risks affect the profitability and competitive positioning of 37 major food sector companies in four industries: packaged food, beverage, meat and agricultural products. It evaluates and ranks these companies -- the majority of which are U.S. domiciled and publicly-traded -- on how well they are positioned to anticipate and mitigate these risks, as well as contribute to improved water resource management.The report provides recommendations for how analysts and investors can effectively evaluate food sector companies on their water risk exposure and management practices. It also provides recommendations for how food companies can improve water efficiency and water quality across their operations and supply chains to reduce risks and protect water resources

A decision-making approach for investigating the potential effects of near sourcing on supply chain

Purpose - Near sourcing is starting to be regarded as a valid alternative to global sourcing in order to leverage supply chain (SC) responsiveness and economic efficiency. The present work proposes a decision-making approach developed in collaboration with a leading Italian retailer that was willing to turn the global store furniture procurement process into near sourcing. Design/methodology/approach - Action research is employed. The limitations of the traditional SC organisation and purchasing process of the company are first identified. On such basis, an inventory management model is applied to run spreadsheet estimates where different purchasing and SC management strategies are adopted to determine the solution providing the lowest cost performance. Finally, a risk analysis of the selected best SC arrangement is conducted and results are discussed. Findings - Switching from East Asian suppliers to continental vendors enables a SC reengineering that increases flexibility and responsiveness to demand uncertainty which, together with decreased transportation costs, assures economic viability, thus proving the benefits of near sourcing. Research limitations/implications - The decision-making framework provides a methodological roadmap to address the comparison between near and global sourcing policies and to calculate the savings of the former against the latter. The approach could include additional organisational aspects and cost categories impacting on near sourcing and could be adapted to investigate different products, services, and business sectors. Originality/value - The work provides SC researchers and practitioners with a structured approach for understanding what drives companies to adopt near sourcing and for quantitatively assessing its advantage

Implementing 5D BIM on construction projects: Contractor perspectives from the UK construction sector

This is an accepted manuscript of an article published by Emerald in Journal of Engineering, Design and Technology on 09/05/2020: https://doi.org/10.1108/JEDT-01-2020-0007 The accepted version of the publication may differ from the final published version.Purpose The purpose of this paper is to report on primary research findings that sought to investigate and analyse salient issues on the implementation of 5D building information modelling (BIM) from the UK contractors’ perspective. Previous research and efforts have predominantly focussed on the use of technologies for cost estimation and quantity takeoff within a more traditional-led procurement, with a paucity of research focussing on how 5D BIM could facilitate costing within contractor-led procurement. This study fills this current knowledge gap and enhances the understanding of the specific costing challenges faced by contractors in contractor-led projects, leading to the development of 5D framework for use in future projects. Design/methodology/approach To develop a fully detailed understanding of the challenges and issues being faced in this regard, a phenomenological, qualitative-based study was undertaken through interviews involving 21 participants from UK-wide construction organisations. A thematic data analytical process was applied to the data to derive key issues, and this was then used to inform the development of a 5D-BIM costing framework. Findings Multi-disciplinary findings reveal a range of issues faced by contractors when implementing 5D BIM. These exist at strategic, operational and technological levels which require addressing successful implementation of 5D BIM on contractor-led projects adhering to Level 2 BIM standards. These findings cut across the range of stakeholders on contractor-led projects. Ultimately, the findings suggest strong commitment and leadership from organisational management are required to facilitate cost savings and generate accurate cost information. Practical implications This study highlights key issues for any party seeking to effectively deploy 5D BIM on a contractor-led construction project. A considerable cultural shift towards automating and digitising cost functions virtually, stronger collaborative working relationship relative to costing in design development, construction practice, maintenance and operation is required. Originality/value By analysing findings from primary research data, the work concludes with the development of a 5D BIM costing framework to support contractor-led projects which can be implemented to ensure that 5D BIM is successfully implemented

Collaborative Engagement Approaches For Delivering Sustainable Infrastructure Projects In The AEC Sector: A Review

The public sector has traditionally financed and operated infrastructure projects using resources from taxes and various levies (e.g. fuel taxes, road user charges). However, the rapid increase in human population growth coupled with extended globalisation complexities and associated social/political/economic challenges have placed new demands on the purveyors and operators of infrastructure projects. The importance of delivering quality infrastructure has been underlined by the United Nations declaration of the Millennium Development Goals; as has the provision of ‘adequate’ basic structures and facilities necessary for the well-being of urban populations in developing countries. Thus, in an effort to finance developing countries’ infrastructure needs, most countries have adopted some form of public-private collaboration strategy. This paper critically reviews these collaborative engagement approaches, identifies and highlights 10 critical themes that need to be appropriately captured and aligned to existing business models in order to successfully deliver sustainable infrastructure projects. Research findings show that infrastructure services can be delivered in many ways, and through various routes. For example, a purely public approach can cause problems such as slow and ineffective decision-making, inefficient organisational and institutional augmentation, and lack of competition and inefficiency (collectively known as government failure). On the other hand, adopting a purely private approach can cause problems such as inequalities in the distribution of infrastructure services (known as market failure). Thus, to overcome both government and market failures, a collaborative approach is advocated which incorporates the strengths of both of these polarised positions