Clusters and supply chain management: challenges and obstacles

Purpose: This paper provides an insight into cluster supply chain (CSC) management by identifying challenges and obstacles in the design, implementation and improvement of CSC. This evaluation aims to propose future research directions for the management of CSC. Research Approach: A systematic review of published research on CSC management between 2006 and 2013 is conducted in order to round up previous research in this area and identify the gaps in the design, implementation and management of CSC; up on which the paper closes with a proposed agenda for future work. Findings and Originality: There is a limited understanding of the supply chain cluster concept and the implementation of its practices in addition to the lack of studies that focused on how to model, manage and improve the performance of CSC. Therefore, this paper would contribute to knowledge by providing an insight into CSC management and identifying future research directions for developing SC cluster theories in order to maximize the integration of supply chain and accordingly improving the performance of firms. Research Impact: A limited number of studies have been conducted to demonstrate the potential impact of CSC. The previous research did not provide a comprehensive review focusing on the evolution and the development of CSC idea. The review in this paper will summarise the research up to now in CSC area in order to identify challenges and obstacles in the design, implementation and improvement of CSC and propose future research directions. Practical Impact: This paper helps companies to understand benefits that can be raised from creating CSC and gives them directions for improving their capabilities to create CSC and select SC partners, which consequently help in increasing their competitiveness in terms of enhancing performance and increasing sustainability

Key characteristics for designing a supply chain performance measurement system

Purpose The purpose of this paper is to conduct a review of the literature that gives insight into design elements for constructing a supply chain performance measurement (SCPM) system. Design/methodology/approach A systematic review of published research on SCPM systems and frameworks over the last two decades was conducted with the purpose of categorising key functions of SCPM systems by providing an insight into the design, functionality, implementation and practical implications of SCPM systems. Findings The review revealed a set of functions governing the SCPM system that have not been fully explored in previous research: the process focus, prioritisation, integration and causality functions of a SCPM system. A relationship between two or more functions can be created to include more functionality based on the needs of the company to create a comprehensive performance measurement system. Research limitations/implications The paper concludes with a conceptual framework to guide future research in the area of designing a SCPM system and define the main aspects that should be considered when developing a SCPM system. Practical implications The paper brings a new dimension to the SCPM research by identifying the main functions of SCPM systems that could benefit practitioners to set up a SCPM system relevant to its intended function. The paper presents multiple potential stages of merging different functions in one SCPM system. Based on the company’s needs and context, the functionality of the SCPM system can be designed at four levels creating ten possible scenarios when designing a company’s SCPM system. Originality/value The paper integrated the literature and findings of 269 research papers of the last two decades, upon which a conceptual framework was developed as a guide for constructing an effective SCPM system

Considerations Towards a Sustainable and Resilient Supply Chain: A Modelling Perspective

Purpose: The development of models and application of modelling techniques are particularly important in supporting and enhancing our understanding of what happens in the supply chain, in gaining appreciation of what may happen in the future and what will be the most appropriate solution to work with. Research in modelling supply chain systems is however infrequent. Design/ methodology/ approach: Several theoretical and practical examples reported in the literature capture aspects of modelling and their benefits and limitations, still when approached from the point of view of the supply chain, the issues they managed to report on are however limited. Supply chains analysis are looking to respond to issues linked to effectiveness and efficiency, to sustainability, to resilience, to allow for opportunity for innovation and others. Findings: This research paper aims to provide an understanding of how modelling supply chains can be approached by evaluating modelling characteristics from the point of view of sustainability and resilience

Enhancing the Company's Financial Performance of Supply Chain Operations: A Case Study of an Egyptian Manufacturing Company

A limited number of studies have been conducted to demonstrate the potential impact of managing supply chain (SC) day-to-day practices on improving a company's financial performance. Previous research in this area has often failed to develop a fully integrated performance measurement framework which captures the critical link between SC performance and overall business performance. The inability to describe the applied methodology in detail, to cover all business dimensions and to incorporate different levels of decision making were factors found to limit the impact of these frameworks on enhancing organisations performance. This research proposes a procedure to align SC operational strategy to a company's financial strategy in the manufacturing sector through developing a framework linking SC operations' performance to the company's strategic financial objectives. A SCOR FAHP technique is proposed combining the Supply Chain Operation Reference (SCOR) model and the fuzzy analytic hierarchy process (FAHP)technique to analyse, assess and improve the performance of SC operations. Based on the SCOR model, SC processes were mapped and their corresponding performance measures were identified. The relative weights (W) of SC performance measures were calculated using the FAHP technique, then a performance rate (R) was assigned for each measure with respect to a performance rating scale. Finally, the weighted rates (WR) of all measures were aggregated to calculate a supply chain index (SCI) which revealed the overall SC operations' performance. To align SC operations' performance with a company's strategic financial objectives, a performance measurement method is developed linking SC performance metrics (SCOR FAHP technique) to a company’s financial performance metrics. The Du Pont ratio was incorporated in the financial performance metrics. The analysis of this ratio illustrated the priorities of financial performance factors (revenue, cost and assets) through assessing the contribution of each factor to the improvement of the company’s profitability and operating efficiency. The Dempster Shafer/Analytical Hierarchy Processes(DS/AHP) model was employed to determine the relative importance weights of the five main SC performance measures with respect to the priorities of financial performance factors. The appropriate SC operational strategy was formulated with respect to the relative weights of SC performance measures and the priorities of financial performance factors. To evaluate the impact of SC operations’ performance on enhancing the overall financial performance, a supply chain financial link index (SCFLI) was introduced and calculated before and after implementing the formulated SC operational strategy. A scenario approach was undertaken to illustrate how the developed method can be applied according to various possible financial results. A software application system was designed based on Structured Query Language (SQL) database to enable the real application of the developed research procedure. To demonstrate the applicability of the research procedure, a case study of a manufacturing company was conducted. The research provides an original contribution to knowledge by creating a framework linking SC operations' performance to the company's strategic financial objectives for better alignment with the company’s financial strategy. This research is also a contribution in that it proposes two indexes (SCI and SCFLI) to evaluate, monitor and control SC operations’ performance. The analysis of these indexes provides continuous feedback on SC performance and allows tracing SC processes that need improvement resulting in more control over daily SC operations. Moreover, the developed research procedure helps companies to formulate the appropriate SC operational strategy by considering the targeted financial outcome and proposing the subsequent plans of action to enhance and control the performance of the relevant SC operations

International Business Logistics Journal “IBL”

Logistics research and applications are more important today than ever before. Logistics has achieved greater prominence within the business with increased awareness of its operational, strategic, and financial impact on business success. Logistics functions such as warehousing, inventory management, transportation modeling, and other logistics facilities have brought large towns and cities closer together. </p

A Conceptual Framework to Establish and Operate a Global Logistics Energy Hub

Energy-consuming countries are affected by obstructions in supplies or conflicts that may occur along the energy transit path. Hence, the presence of a global logistics hub for energy acting as a connecting bridge between energy-supplying and energy-consuming countries can overcome such troubles, support the sustainable flow of energy, and achieve the overall operational efficiency of the energy supply chain. However, establishing a global energy hub is a complicated issue, especially in the absence of a clear approach for this. Through conducting a systematic literature review on 36 papers over the past two decades, we identified the key determinants for each player in the energy supply chain and proposed a leading and integrated conceptual framework for establishing and operating a global logistics energy hub, with a particular focus on oil and gas. This article contributes to knowledge by providing a comprehensive review targeting energy hubs from a logistics perspective, as previous studies have addressed energy hubs from other perspectives such as political, legal, and security perspectives, while the logistics perspective has not been tackled comprehensively. Moreover, the suggested framework can be then used by further researchers to develop the performance of energy hubs. Practically, this framework can be employed to identify the requirements for a country to become a global energy hub

Investigating the Impact of Resilience, Responsiveness, and Quality on Customer Loyalty of MSMEs: Empirical Evidence

Due to the importance of the micro, small, and medium-sized enterprises (MSMEs) sector and the negative implications of COVID-19, which resulted in decreasing resource availability, shortages of supply, declining consumer demand and requirements, and a lack of consumer satisfaction and loyalty, this research investigates the impact of resilience, responsiveness, and quality on customer loyalty in MSMEs. An online questionnaire was conducted on MSMEs&rsquo; end consumers in the Egyptian context. The analysis was conducted through Amos and SPSS, and the research hypotheses were tested through covariance-based structural equation modelling for 891 valid questionnaires. The findings exposed that there is a positive significant impact for operational resilience (flexibility and technology adoption), responsiveness (delivery fulfillment and speed and after-sale service), and product/service quality on customer loyalty in terms of behavioral, attitudinal dimensions. It contributes to understanding how MSMEs could enhance their sustainable performance (resilience, responsiveness, quality) to reach better customer loyalty. This research presents insights on how the MSMEs sector can adapt to the dynamic business environment in terms of COVID-19 crisis and consumer behavior, which has changed the nature and needs of the market and consumers. In addition, this research extends the theories of Resource-Based View (RBV), Dynamic Capability View (DCV), and Theory of Consumption Value (TCV) in an empirical contribution through filling the gap in understanding consumers&rsquo; needs in terms of resilience, responsiveness, and quality

Linking supply chain management practices to customer relationship management objectives: a proposed framework

This research proposes a framework linking supply chain management (SCM) practices to customer relationship management (CRM) objectives through better organizational performance. First, critical review was conducted to identify the relationship between SCM practices and organizational performance. Then, a systematic review of published research work on CRM objectives for last two decades was conducted with the purpose of identifying key variables for CRM objectives and their impact on SCM practices through managing organizational performance. The review revealed a set of main variables for CRM objectives (customer satisfaction and customer loyalty). Upon which, a theoretical framework has been developed linking SCM practices to CRM objectives through enhancing organizational performance. This work brings together the concepts of SCM practices and organizational performance. It also provides a comprehensive review on CRM objectives over a time span (2000–2019) in order to develop the framework between SCM practices and CRM objectives through better organizational performance. The proposed framework can help practitioners to understand SCM practices that can lead to better CRM and hence better organizational performance

The impact of contingency fit on organisational performance: an empirical study

Purpose This research investigates the effectiveness of the performance measurement alignment approach which claims that measurement diversity (multiple performance measures) should be aligned with organisational contingencies to enhance organisational performance. Design/methodology/approach The theoretical framework is contingency theory. The study is an empirical investigation of the indirect relationship between three contextual factors (business strategy, information technology and organisation size) and organisational performance via multiple performance measures. The results are derived from cross-sectional questionnaire survey data from 132 Libyan companies (response rate of 61%). For data analysis, the research uses mediation regression analysis via Preacher and Hayes’ (2004) macro. Findings There is a significant indirect effect of business strategy and information technology, but not organisation size, on organisational performance. The measurement diversity approach plays a core mediating role in the relationship between the contingencies and organisational performance. Practical Implications The study helps to provide a better understanding of the usefulness of the fit/match between contingencies and MPMs in improving organisational performance. Originality/value The empirical evidence supports the central proposition of contingency theory that there is no universally appropriate performance measurement system which applies equally to all organisations in all circumstances. It also provides evidence relating to non–manufacturing and an emerging market context. This research significantly extends the relevant literature by highlighting the relationship between information technology, multiple performance measures and organisational performance. This study is the first to use Preacher and Hayes’ (2004) macro to analyse mediation design in the field of contingency-based performance measurement

The Role of Road Transport Infrastructure Investments on Logistics Performance: A Research Agenda

Purpose: This research aims to highlight the impact of road transport infrastructure investments on logistics performance.Design/ methodology/ approach: A systematic review of 20 published research on the role of road transport infrastructure investments was conducted with the purpose of identifying the impacts of road infrastructure on logistics performance, the methods used in the previous studies, the lessons learned from investing in road transportation infrastructure, and the previous researchers’ recommendations for the further studies.Findings: It revealed that road transportation investments are essential for a country’s development from logistics, economic, and social perspectives. Road transport investments play a vital role in the efficiency of a country’s logistics performance and the economy as it facilitates connectivity and accessibility to all supply chain areas within a country. In addition, it reduces all the operational costs of road trips. Moreover, in previous research, almost all researchers used a single method to figure out these impacts and none of them used hybrid methods to get more accurate results.Research implications/ limitations: The paper provides a comprehensive view on the impact of road transport infrastructure investments on logistics performance. In addition, it identifies new research gaps as not all the factors of road transportation that affect logistics performance have been fully tackled in previous research, upon which a research agenda was developed.Originality: The paper introduces a comprehensive systematic literature review that highlights the relationship between road infrastructure investments and logistics performance to guide future research.</p