Managing Supply Chain Events to Build Sense-and-Respond Capability

As supply chains become more dynamic, there is a need for a sense-and-respond capability to react to events in a real-time manner. In this paper, we propose Petri nets extended with time and color (for case data) as a formalism for doing so. Hence, we describe seven basic patterns that are used to capture modeling concepts that arise commonly in supply chains. These basic patterns may be used by themselves and also be combined to create new patterns. Next, we show how to use the patterns as building blocks to model a complete supply chain and analyze it using dependency graphs and simulation. Dependency graphs can be used to analyze the various events and their causes. Simulation was, in addition, used to analyze various performance indicators (e.g. fill rates, replenishment times, and lead times) under different supply chain strategies. We performed sensitivity analysis to study the effect of changing parameter values on the performance indicators. In the experiments, by cutting resolution time for production delays in half (strategy 1), we were able to increase order fill rate from 89% to 95%. Similarly, upon raising the probability of successful alternative sourcing (strategy 2) from 0.5 to 0.7 the order fill rate again increased from 89% to 95%. We show that by modeling timing and causality issues accurately, it is possible to improve supply chain performance

Housing supply chain model for innovation: research report

The aim of this research is to undertake a case study analysis of successful delivery of an innovation to the Australian housing construction industry. This study is conducted on the “innovator group”; that is, the group that created the idea of an innovation for the housing sector and then were intimately involved in creation, development and diffusion. It is apparent that there were key players involved in this process which are representative of various organisations along the supply chain – designer, developer, subcontractor and supplier. Much rhetoric states that integration of the supply chain actors will solve construction problems, however, in reality we know little beyond this in the Australian context as there has been little research conducted previously. This study will examine in detail the process undertaken by this particular group to deliver an innovation to the housing sector which required an integrated construction supply chain model. This report was published by the Australian Housing Supply Chain Alliance and written by Professor Kerry London, School of Property, Construction and Project Management, RMIT University with Research Fellow, Jessica Siva

Base and surge strategies for controlling environmental and economic costs in logistics triads

The aim of this paper is to determine the extent to which it is possible to establish a ‘base’ and ‘surge’ strategy for logistics provision with a particular emphasis on minimising environmental and economic costs. Our method is the combination of empirical research outputs on the impact of uncertainty on economic and environmental costs, and a synthesis of the literature on resilience and the role of flexibility therein. We find that logistics planners either build contingents into their schedules (a priori) or that they respond with contingencies (a posteriori). The former is associated with a ‘base‘ approach; an example of which may be the incorporation of ‘slack time‘ into a schedule to accommodate expected delays due to road congestion. The latter is equivalent to a ‘surge‘ approach where as an example the logistics provider may have capacity flexibility, in the form of spare vehicles, to accommodate post-plan changes in shipper volume requirements. This paper explicitly rationalises the links between uncertainty, ‘base’ and ‘surge’ supply chain strategies, and the strategic use of logistics flexibility, in minimising environmental and economic costs in a logistics triad. The output is in the form of a conceptual managerial feedback control system

Design Management Capability in Entrepreneurship: A Case Study of Xiaomi

In recent years, entrepreneurship has become a popular topic and attracted many young people to start their own companies. In entrepreneurship, design was generally viewed as essential to innovation, replacing the conventional role of the engineer. Unlike traditional businesses, which generally take a longer time to become established in the more stable economic context of mass-production, current start-ups have to face fierce competition and have the tendency to expand rapidly and accommodate the dynamic business environment. Consequently, design management is considered to be crucial to business growth, since it contributes to both competitive advantages and strategic flexibility. However, start-up companies are well-known for their high failure ratio. This triggered our initial research question: what is the role of design in a start-up to support it in achieving success? Through a case study of Xiaomi, a well-known successful entrepreneurship in China, the new capabilities of entrepreneurial design management were reported. It was further classified into three key topics in line with the three stages of entrepreneurial business development. Difference with design management capabilities reported in previous studies, the new capabilities show the dynamic nature of entrepreneurial design management

What lies beneath? The role of informal and hidden networks in the management of crises

Crisis management research traditionally focuses on the role of formal communication networks in the escalation and management of organisational crises. Here, we consider instead informal and unobservable networks. The paper explores how hidden informal exchanges can impact upon organisational decision-making and performance, particularly around inter-agency working, as knowledge distributed across organisations and shared between organisations is often shared through informal means and not captured effectively through the formal decision-making processes. Early warnings and weak signals about potential risks and crises are therefore often missed. We consider the implications of these dynamics in terms of crisis avoidance and crisis management

Learning from the Anthropocene: Adaptive Epistemology and Complexity in Strategic Managerial Thinking

open access articleTurbulence experienced in the business and social realms resonates with turbulence unfolding throughout the biosphere, as a process of accelerating change at the stratigraphic scale termed the Anthropocene. The Anthropocene is understood as a multi‐dimensional limit point, one dimension of which concerns the limits to the lineal epistemology prevalent since the Age of the Enlightenment. This paper argues that future conditions necessitate the updating of a lineal epistemology through a transition towards resilience thinking that is both adaptive and ecosystemic. A management paradigm informed by the recognition of multiple equilibria states distinguished by thresholds, and incorporating adaptive and resilience thinking is considered. This paradigm is thought to enhance flexibility and the capacity to absorb influences without crossing thresholds into alternate stable, but less desirable, states. One consequence is that evaluations of success may change, and these changes are considered and explored as likely on‐going challenges businesses must grapple with into the future

Coping with uncertainties via resilient supply chain framework

Supply chain resilience (SCR) is a promising area budding from the emergent admiration to minimise supply chain disruptions by practitioners and by researchers across the globe. To inflate monetary earnings, many organisations execute initiatives such as comprehensive reach of supply chains, amplified outsourcing, shorter product life cycles, reduced buffers and centralisation. These initiatives are effective in stable surroundings, but they could make supply chain vulnerable to various types of disruptions. The main thrust of this research is, to propose a conceptual model for endowing deeper knowledge of how uncertainty from suppliers, customers and existing supply chain structure amplifies vulnerability and consequently increases supply chain risk exposure. In accordance with fitness landscape theory, this paper accepts a complex systems perspective to view supply chain organisations and understand their capabilities. It focuses on diminishing the vulnerability of supply chain systems and the ability to design systems to be more resilient to chang

Managing Information Systems and Technologies for Agility: Case Studies in Supply Chain Management.

This research examines how information systems and technologies enable supply chain agility. The research was performed through the field study method involving 18 organizations representing the OEMs, suppliers, and IT vendors within the aerospace, automotive, electronics, healthcare, and fast moving consumer goods industries. Interviews were undertaken with managers from the IT and supply chain departments. The interviewees conceptualize supply chain agility with respect to the level of agility (internal or external) and the directions of agility (upstream or downstream). While supply chain agility is essentially regarded as the capability to rapidly match demand requirements and supply constraints by sensing and responding to change in the environment, form IT perspective, it means offering products and services that could increase transparency and improve relationships between trading partners. These are exemplified through the use of emergent IS/IT services, such as Supplier Portal, Vendor-Managed Inventory, E-Marketplace, and Web-based EDI, as well as industry-wide standards and solutions

Agility and Resilience as Sources of Competitive Advantages a Theoretical and Empirical Investigation

Today’s hypercompetitive global climate makes lasting competitive edge unsuitable. Firms face increasing complexity due to the rapid entry and growth of internationalizing firms from emerging markets, technological breakthroughs, discontinuous innovation, and the uncertainties surrounding unexpected shocks transmitted across world markets, such as the Covid-19 pandemic. In this research, I examine how firms have built and applied two adaptive abilities (agility and resilience) to respond to environmental changes and disruptions to create sustainable competitive advantage. An agile organization is simultaneously a resilient organization. Despite agility’s increased relevance in the academy and practitioners\u27 publications, its epistemological and ontological analyses are superficial at best. Specifically, supported by inductive and deductive analysis, I bring clarity to agility’s concept and its boundary conditions. Thus, I propose an integrative multilevel framework of the antecedents, the enablers, and the outcomes of the process of agility performance. Moreover, through in-depth interviews with executives, I explore how agility and resilience manifested in emerging market multinational firms (EMNEs) enhance their competitiveness by using both adaptive abilities in their international operations. The findings reveal that all organizations possess some degrees of agility and resilience simultaneously as two faces of the same coin. Furthermore, agility and resilience are interdependent, comprising five common domains