Towards a framework on the factors conditioning the role of logistics service providers in the provision of inventory financing

This paper explores the conditions in which Logistics Service Providers (LSPs) can compete or collaborate with banks in offering Inventory Financing as a Supply Chain Finance (SCF) service. A multiple case study research methodology was adopted. The case study involved six LSPs across Europe. Data was collected through semi-structured interviews. The results highlighted that an attractive credit demand for LSPs consists in suppliers with high amounts of inventory or borrowing needs that go beyond their borrowing capacity from the perspective of a bank. LSPs can respond to this demand when they have three specific capabilities: risk assessment, risk monitoring, and organizational capabilities. The offer of Inventory financing can be controlled by the LSP or by the bank. When the LSPs control the offer, they offer different conditions compared to the banks in terms of credit rationing, transaction costs, payment flexibility, tax rate advantage, and financial risk management. When the bank controls the offer, the LSPs influence the nature of SCF services only in terms of credit rationing and transaction costs. LSPs seem to easily develop risk assessment and risk mitigation capabilities, while the organisational capabilities appear to be the most challenging to build, and when absent they create a barrier to the provision of inventory financing. The value of the paper is twofold. Firstly, the paper provides a comprehensive taxonomy of the factors conditioning the role of LSPs in the provision of inventory financing as a SCF service. Secondly, the paper clarifies the link between the factors and the different roles played by LSPs

Drivers for OSH interventions in small and medium-sized enterprises

The debate concerning occupational safety and health (OSH) interventions has recently focused on the need of improving the evaluation of interventions, and in particular on the need of providing information about why the intervention worked or not, under what circumstances, and in which context. Key concepts in the analysis of the context are the drivers, i.e., those factors enabling, fostering, or facilitating OSH interventions. However, the concept of driver for an OSH intervention is both confused and contested. Although the term is widely used, there is little consensus on how drivers should be understood, how important they are in different contexts, and how they can facilitate interventions. This exploratory study based on interviews with the owner-managers and the safety officers of small- and medium-sized enterprises (SMEs) gives an overview of the most characteristic drivers for OSH interventions. The results will be used to make an initial evaluation of SMEs needs, and will help orient interventions and future research

The association of interaction capabilities and SMEs' participation in high value manufacturing global value chains

UK SMEs play a significant role to its country in terms of number of enterprises, employment and value added. Increasing their participation in HVM GVCs will bring sustainable growth to the country. To participate in these chains, certain competencies need to develop by SMEs. However, development of capabilities among SMEs has not been widely explored. A conceptual framework of SMEs’ participation in high value manufacturing (HVM) global value chains (GVCs) has been developed with the aim of examining which type of interaction capabilities are required by SMEs to increase their participation

How the reverse supply chain contributes to a firm’s competitive strategy: a strategic alignment perspective

The ongoing transition to a circular economy is changing the shape of supply chains. They are becoming more ‘Closed-Loop’, combining forward and reverse flows of products and materials. Reverse supply chains (RSCs), originally considered as a solution for handling waste or recovering residual value, can play a pivotal role in determining the competitive advantage of the firm. Firms do not always exploit the potential of the RSC, and the conditions allowing the exploitation remain unclear. This paper explores the alignment between the RSC and the competitive strategy of the firm. Results from seven case studies, focusing on original equipment manufacturers, show how the RSC can play a strategic, tactical or operational role for the firm. The paper applies for the first time the concept of strategic alignment to the RSC, and practitioners can use the proposed framework to analyse the role of the RSC within their firm

Department for Digital, Culture, Media and Sport Call for views on cyber security in supply chains and managed service providers:Aston Cyber Security Innovation (CSI) Centre Response

ead by Professor Vladlena Benson, the CSI centre works with businesses to help improve their security posture and develops state of the art solutions for supply chain resilience and business continuity. Professor Benson has served on the UK Cyber Security Council formation project and has been a regular contributor to the policy formation dialogue with the Government on cyber security and emergent technologies. Introduction Aston Business School welcomes the initiative of the DCMS to address Supply Chain Security and frameworks underlining it. We support the Call for views in recognition that the evolving cyber security landscape requires new approaches to encourage organisations to increase efforts around management of suppliers and their accountability. In this space the role of the UK Government incentives and regulations is paramount in supporting businesses of all sizes and making the UK digital economy safe. We support the Government efforts to bring Managed Service Providers into the conversation around their cyber security assurance reporting practices and transparency around their defence and incident handling mechanisms. This is of particular relevance in the aftermath of the most recent series of high profile cyber attacks on the MSPs ( Kesya and SolarWinds ), which had cascading consequences for their customers worldwide. There is an urgent need to address the lack of MSP accountability and assurance practices towards their client organisations, particularly SMEs, to enhance their cybersecurity posture. Our recent research explored organisational approaches to supply chain management, specifically in the times of remote arrangements and when traditional business continuity practices in supply chain management have been challenged. We base our response to the Call based on the evidence representing views of the West Midlands stakeholders. Based on the conclusions of our research, we make a recommendation that cyber security of any organisation, inclusive of its supply chain, should be promoted in conjunction with other organisational targets, such as profitability, productivity and financial/operational risk management. The identification and promotion of synergies between Cyber security, profitability, and productivity is a strong driver to ensure that, at a senior level, organisations take responsibility and accountability for effective cyber risk management. Indeed, profitability or productivity are close to the competitive advantage of the firm and security fo the supply chain of any organisation underpins its longevity on the market it operates in. Investment in cybersecurity measures, including supply chain risk assessment and counter-threat controls, should be viewed as a ‘cost of doing business’ and business success and/or longevity

Using project demand profiling to improve the effectiveness and efficiency of infrastructure projects

Purpose The purpose of this paper is to explore the applicability and utility of supply chain (SC) segmentation through demand profiling to improve the effectiveness and efficiency of infrastructure projects by identifying different types of project demand profiles. Design/methodology/approach A three-stage abductive research design was adopted. Stage 1 explored the applicability of SC segmentation, through demand profiling, to the portfolio of infrastructure projects in a utility company. Stage 2 was an iterative process of “theory matching”, to the portfolio, programme and project management literature. In stage 3, theoretical saturation was reached and “theory suggestions” were made through four propositions. Findings Four propositions outline how SC segmentation through project demand profiling could improve the effectiveness and efficiency of infrastructure projects. P1: the ability to recognise the different demand profiles of individual projects, and groups thereof, is a portfolio management necessity. P2: projects that contribute to the strategic upgrade of a capital asset should be considered a potential programme of inter-related repeatable projects whose delivery would benefit from economies of repetition. P3: the greater the ability to identify different demand profiles of individual/groups of projects, the greater the delivery efficiency. P4: economies of repetition developed through efficient delivery of programmes of repeatable projects can foster greater efficiency in the delivery of innovative projects through economies of recombination. Originality/value This work fills a gap in the portfolio management literature, suggesting that the initial screening, selection and prioritisation of project proposals should be expanded to recognise not only the project type, but also each project’s demand profile

Exploring the relationship between mechanisms, actors and instruments in Supply Chain Finance:A systematic literature review

Supply Chain Finance (SCF) deals with the management of financial flows along the supply chain. Its core objective is to facilitate the reduction of financial risk in a supply chain by improving the collaborative cash-to-cash cycle and working capital. In order to fulfil its objective, SCF involves the coordination of supply chain actors, SCF instruments, and supply chain processes. Existing studies focus either on SCF actors, such as buyers, suppliers, banks, and logistics service providers (LSPs), or on specific SCF instruments, such as reverse factoring, inventory financing and discounting. However, an analysis of the relationship between actors and instruments, as well as of the factors influencing this relationship, requires further development. In light of this gap, this paper systematically reviews the literature on SCF with the objective of clarifying the relationship between SCF actors, instruments, and contextual factors. The review identified three main archetypes for this relationship: fixed-asset financing (fixed asset-centric), inventory financing (inventory-centric), accounts receivable/accounts payable financing (buyer-centric and supplier-centric). Based on the results of the review, the authors discuss the implications for practitioners and further research for academics

Supply Chain Configurations in the Circular Economy: A Systematic Literature Review

As the circular economy (CE) gains traction in literature and practice, several academic communities are opening up spaces that move away from the CE as a pure engineering concept. This systematic literature review (n = 77) analyses and discusses the fragmented body of knowledge on the meso-level of supply chains (SCs): (a) to find common ground that underpins the current implementation of the CE on this level; and (b) to identify drivers, inhibitors, and enablers from which CE SC configurations emerge. The review finds that there remain differences in CE definitions that result from claimed antecedents and scopes, resulting in distinct research streams. On the meso-level, eco-industrial parks, environmental SCs, and closed-loop SCs each face significant challenges. The latter potentially offers the largest environmental benefits but engenders radical changes for business models and exposes SCs to more risk. We firstly argue for moving away from using a prescriptive set of practices as definitions for the CE towards a set of overarching goals to allow for the inclusion of future practices and techniques. Secondly, we highlight that research going beyond the meso-level to consider the wider social and institutional environment is needed to solve current challenges

Unpacking the productivity narrative in manufacturing organisations

This paper explores the narratives around productivity in UK manufacturing firms. Whilst we hear a lot about the UK’s poor productivity from politicians and economists, this paper explores the conversations within manufacturing firms. Initial evidence from a project funded by the ESRC through the Productivity Insights Network is presented. It appears that there are many different narratives around productivity and often the conversations in the manufacturing firms bear little resemblance to the productivity statistics being presented by politicians and economists. The work is innovative in that it moves the conversation from the economists, politicians and statisticians to the manufacturing workplace