Supply chain uncertainty:a review and theoretical foundation for future research

Supply-chain uncertainty is an issue with which every practising manager wrestles, deriving from the increasing complexity of global supply networks. Taking a broad view of supply-chain uncertainty (incorporating supply-chain risk), this paper seeks to review the literature in this area and develop a theoretical foundation for future research. The literature review identifies a comprehensive list of 14 sources of uncertainty, including those that have received much research attention, such as the bullwhip effect, and those more recently described, such as parallel interaction. Approaches to managing these sources of uncertainty are classified into: 10 approaches that seek to reduce uncertainty at its source; and, 11 approaches that seek to cope with it, thereby minimising its impact on performance. Manufacturing strategy theory, including the concepts of alignment and contingency, is then used to develop a model of supply-chain uncertainty, which is populated using the literature review to show alignment between uncertainty sources and management strategies. Future research proposed includes more empirical research in order to further investigate: which uncertainties occur in particular industrial contexts; the impact of appropriate sources/management strategy alignment on performance; and the complex interplay between management strategies and multiple sources of uncertainty (positive or negative)

Supply chain uncertainty : linking sources of uncertainty and management practices

Supply chain uncertainty is a key issue that affects firm competitiveness (1993; Yang et al., 2004); and, therefore, identifying the major sources of uncertainty within supply chains and developing strategies to manage them is an important challenge (Sabri & Beamon, 2000). There is an emerging literature on supply chain uncertainty but additional empirical research is required to further develop understanding of this phenomenon. This leads to an important research question to explore what sources of uncertainty can be identified in practice, what are the dimensions of these sources, and how can they be managed. To address this research question, this thesis has developed a theoretical model of supply chain uncertainty. Using this theoretical model to structure the investigation, an empirical study has been conducted in the food industry in Indonesia with twelve inter-related companies (4 suppliers, 4 iv manufacturers, and 4 retailers). Twenty three semi-structured interviews with thirty two senior representatives from the twelve companies have been conducted; interviews were audio and video recorded, and analysed using Atlas.ti. A comprehensive approach, which goes beyond previous studies, has been undertaken. Fourteen sources of uncertainty, including those internal to the firm (e.g., manufacturing process), internal to the supply chain (e.g., supplier) and external (e.g., environment) have been explored and twenty two management strategies for reducing or coping with the relevant dimensions have been identified Other research contributions are also identified such as the dynamic and multi dimensional process of managing sources of uncertainty. The findings of the thesis have implications for managers. For example, reducing uncertainty strategies such as collaboration are generally preferred over coping with uncertainty strategies but are difficult to implement when sources of uncertainty span beyond the boundaries of the firm. Future research should explore issues emerging from this study, such as ethical issues affecting supply chain uncertainty. Keywords: Supply chain uncertainty; uncertainty management; case study research.EThOS - Electronic Theses Online ServiceGBUnited Kingdo