Improving supply chain management in construction: what can be learned from the aerospace industry?

In order to provide for controllable delivery, reliable lead times and efficient customer response, lean manufacturing and platform assembly practices play an important role in supply chains in the aerospace industry. The adoption of lean manufacturing practices ensures an efficient delivery of products to the market. Benefits from the development of platform strategies are a more reliable materials supply and an improved logistics control. The aerospace industry is characterized by a small number of major global players and many small ones. A major part of the design and production has been contracted out to suppliers. In this paper the basic similarities and differences between the construction and aerospace industry and supply chains are analysed. A comparative study of aerospace and construction supply chains is presented to indicate and discuss the applicability of supply chain management concepts to construction, and the improvement potential of these concepts regarding supply chain management in construction. It is concluded that in particular the practice of platform assembly is a fruitful concept to be applied in the construction industry

Corporate strategy in turbulent environments: Key roles of the corporate level

This paper analyzes the evolution during the period 1986-2002 of the corporate strategy of Lujan, a highly successful car components manufacturer headquartered in Spain, as a way to explore how the corporate level influences the successful evolution of a company exposed to a "turbulent" environment over a long period. We find that the corporate level plays three key roles. First, it drives a firm's evolution by developing a cognitive representation of the firm's competitive landscape. Second, it paces the company's evolution by alternately shifting the balance of organizational initiatives between static efficiency-based "local search" strategies, chosen in times of stability or economic slowdown, and dynamic efficiency-based "long jump" strategies, adopted during periods of major environmental turbulence. Long-jump corporate strategies, carried out through limited downside strategic initiatives such as real options and strategic alliances ("off-line long-jumps"), are particularly frequent in these circumstances. The third role consists of developing an organizational architecture that frames the self-organized coordination of the different business divisions. The Lujan story clearly illustrates the important role of corporate strategy in a firm that must undergo radical transitions as a result of major environmental changes.corporate strategy; turbulent environments; complexity theory; car components;

Evolution of Supply Chain Collaboration: Implications for the Role of Knowledge

Increasingly, research across many disciplines has recognized the shortcomings of the traditional “integration prescription” for inter-organizational knowledge management. This research conducts several simulation experiments to study the effects of different rates of product change, different demand environments, and different economies of scale on the level of integration between firms at different levels in the supply chain. The underlying paradigm shifts from a static, steady state view to a dynamic, complex adaptive systems and knowledge-based view of supply chain networks. Several research propositions are presented that use the role of knowledge in the supply chain to provide predictive power for how supply chain collaborations or integration should evolve. Suggestions and implications are suggested for managerial and research purposes

An agile business process and practice meta-model

Business Process Management (BPM) encompasses the discovery, modelling, monitoring, analysis and improvement of business processes. Limitations of traditional BPM approaches in addressing changes in business requirements have resulted in a number of agile BPM approaches that seek to accelerate the redesign of business process models. Meta-models are a key BPM feature that reduce the ambiguity of business process models. This paper describes a meta-model supporting the agile version of the Business Process and Practice Alignment Methodology (BPPAM) for business process improvement, which captures process information from actual work practices. The ability of the meta-model to achieve business process agility is discussed and compared with other agile meta-models, based on definitions of business process flexibility and agility found in the literature. (C) 2017 The Authors. Published by Elsevier B.V

The Mirroring Hypothesis: Theory, Evidence and Exceptions

The mirroring hypothesis predicts that the organizational patterns of a development project (e.g. communication links, geographic collocation, team and firm co-membership) will correspond to the technical patterns of dependency in the system under development. Scholars in a range of disciplines have argued that mirroring is either necessary or a highly desirable feature of development projects, but evidence pertaining to the hypothesis is widely scattered across fields, research sites, and methodologies. In this paper, we formally define the mirroring hypothesis and review 102 empirical studies spanning three levels of organization: within a single firm, across firms, and in open community-based development projects. The hypothesis was supported in 69% of the cases. Support for the hypothesis was strongest in the within-firm sample, less strong in the across-firm sample, and relatively weak in the open collaborative sample. Based on a detailed analysis of the cases in which the mirroring hypothesis was not supported, we introduce the concept of actionable transparency as a means of achieving coordination without mirroring. We present examples from practice and describe the more complex organizational patterns that emerge when actionable transparency allows designers to 'break the mirror.'Modularity, innovation, product and process development, organization design, design structure, organizational structure, organizational ties

INFORMATION TECHNOLOGY AND THE VERTICAL ORGANIZATION OF INDUSTRY

A model has been developed to study the interdependence between the choice of information technology and industry structure. Advances in information technology might provide incentives for a firm to specialize or focus on its core competence. However, the degree of specialization depends on the extent of industry-level specialization, which is, in turn, the result of the behavior of individual firms and their adoption of information technology favoring specialization. Emerging electronic markets and industries have been chosen as an application domain, as they would not exist without information technology.

Modularity and Innovation in Complex Systems

The problem of designing, coordinating, and managing complex systems has been central to the management and organizations literature. Recent writings have tended to offer modularity as, at least, a partial solution to this design problem. However, little attention has been paid to the problem of identifying what constitutes an appropriate modularization of a complex system. We develop a formal simulation model that allows us to carefully examine the dynamics of innovation and performance in complex systems. The model points to the trade-off between the destabilizing effects of overly refined modularization and the modest levels of search and a premature fixation on inferior designs that can result from excessive levels of integration. The analysis highlights an asymmetry in this trade-off, with excessively refined modules leading to cycling behavior and a lack of performance improvement. We discuss the implications of these arguments for product and organization design.

An evolutionary model for the dynamics of vertical integration and network-based production

The concept of modularity has gained recently a growing attention in the management literature as a key to explain the contemporary trends of industrial dynamics. A stronger exploitation of external «networkbased» economies with respect to internal «bureaucracy-based» economies is one of the major consequences of the diffusion of flexible production systems and of modular architectures for products. To explain this connection, in this paper a model is presented which tries to explain the co-evolution of technology and organization as the outcome of a complex evolutionary process. In particular, through a set of exploratory agent-based simulations we try to show the existence of qualitatively different dynamic processes in coincidence of different phases and specific conditions of product and technology development, as well as the existence of a relationship between this dynamics and other competitive factors, determining a wide set of structurally different dynamical patterns in coincidence of different combinations of factors.modularity, modular networks

The Value and Costs of Modularity: A Cognitive Perspective

This paper discusses the issue of modularity from a problem-solving perspective. Modularity is in fact a decomposition heuristic, through which a complex problem is decomposed into independent or quasi-independent sub-problems. By means of a model of problem decomposition, this paper studies the trade-offs of modularity: on the one hand finer modules increase the speed of search, but on the other hand they usually determine lock-in into sub-optimal solutions. How effectively to balance this trade-off depends upon the problem environment and its complexity and volatility: we show that in stationary and complex environments there exists an evolutionary advantage to over-modularization, while in highly volatile – though “simple” – en- vironments, contrary to usual wisdom, modular search is inefficient. The empirical relevance of our findings is discussed, especially with reference to the literature on system integration.modularity, problem solving, complex systems