Per Hilletofth, Movin Sequeira and Wendy Tate
This paper investigates the suitability of fuzzy-logic-based support tools for initial screening of manufacturing reshoring decisions.
Abstract
Purpose
This paper investigates the suitability of fuzzy-logic-based support tools for initial screening of manufacturing reshoring decisions.
Design/methodology/approach
Two fuzzy-logic-based support tools are developed together with experts from a Swedish manufacturing firm. The first uses a complete rule base and the second a reduced rule base. Sixteen inference settings are used in both of the support tools.
Findings
The findings show that fuzzy-logic-based support tools are suitable for initial screening of manufacturing reshoring decisions. The developed support tools are capable of suggesting whether a reshoring decision should be further evaluated or not, based on six primary competitiveness criteria. In contrast to existing literature this research shows that it does not matter whether a complete or reduced rule base is used when it comes to accuracy. The developed support tools perform similarly with no statistically significant differences. However, since the interpretability is much higher when a reduced rule base is used and it require fewer resources to develop, the second tool is more preferable for initial screening purposes.
Research limitations/implications
The developed support tools are implemented at a primary-criteria level and to make them more applicable, they should also include the sub-criteria level. The support tools should also be expanded to not only consider competitiveness criteria, but also other criteria related to availability of resources and strategic orientation of the firm. This requires further research with regard to multi-stage architecture and automatic generation of fuzzy rules in the manufacturing reshoring domain.
Practical implications
The support tools help managers to invest their scarce time on the most promising reshoring projects and to make timely and resilient decisions by taking a holistic perspective on competitiveness. Practitioners are advised to choose the type of support tool based on the available data.
Originality/value
There is a general lack of decision support tools in the manufacturing reshoring domain. This paper addresses the gap by developing fuzzy-logic-based support tools for initial screening of manufacturing reshoring decisions.
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Movin Sequeira, Per Hilletofth and Anders Adlemo
The existing literature expresses a strong need to develop tools that support the manufacturing reshoring decision-making process. This paper aims to examine the suitability of…
Abstract
Purpose
The existing literature expresses a strong need to develop tools that support the manufacturing reshoring decision-making process. This paper aims to examine the suitability of analytical hierarchy process (AHP)-based tools for initial screening of manufacturing reshoring decisions.
Design/methodology/approach
Two AHP-based tools for the initial screening of manufacturing reshoring decisions are developed. The first tool is based on traditional AHP, while the second is based on fuzzy-AHP. Six high-level and holistic reshoring criteria based on competitive priorities were identified through a literature review. Next, a panel of experts from a Swedish manufacturing company was involved in the overall comparison of the criteria. Based on this comparison, priority weights of the criteria were obtained through a pairwise analysis. Subsequently, the priority weights were used in a weighted-sum manner to evaluate 20 reshoring scenarios. Afterwards, the outputs from the traditional AHP and fuzzy-AHP tools were compared to the opinions of the experts. Finally, a sensitivity analysis was performed to evaluate the stability of the developed decision support tools.
Findings
The research demonstrates that AHP-based support tools are suitable for the initial screening of manufacturing reshoring decisions. With regard to the presented set of criteria and reshoring scenarios, both traditional AHP and fuzzy-AHP are shown to be consistent with the experts' decisions. Moreover, fuzzy-AHP is shown to be marginally more reliable than traditional AHP. According to the sensitivity analysis, the order of importance of the six criteria is stable for high values of weights of cost and quality criteria.
Research limitations/implications
The limitation of the developed AHP-based tools is that they currently only include a limited number of high-level decision criteria. Therefore, future research should focus on adding low-level criteria to the tools using a multi-level architecture. The current research contributes to the body of literature on the manufacturing reshoring decision-making process by addressing decision-making issues in general and by demonstrating the suitability of two decision support tools applied to the manufacturing reshoring field in particular.
Practical implications
This research provides practitioners with two decision support tools for the initial screening of manufacturing reshoring decisions, which will help managers optimize their time and resources on the most promising reshoring alternatives. Given the complex nature of reshoring decisions, the results from the fuzzy-AHP are shown to be slightly closer to those of the experts than traditional AHP for initial screening of manufacturing relocation decisions.
Originality/value
This paper describes two decision support tools that can be applied for the initial screening of manufacturing reshoring decisions while considering six high-level and holistic criteria. Both support tools are applied to evaluate 20 identical manufacturing reshoring scenarios, allowing a comparison of their output. The sensitivity analysis demonstrates the relative importance of the reshoring criteria.
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Thomas Ekström, Per Hilletofth and Per Skoglund
Defence supply chains (SCs) aim at operational outcomes, and armed forces depend on them to provide availability and preparedness in peace and sustainability in war. Previous…
Abstract
Purpose
Defence supply chains (SCs) aim at operational outcomes, and armed forces depend on them to provide availability and preparedness in peace and sustainability in war. Previous research has focussed on strategies for SCs aiming at financial outcomes. This raises the question of how suitable commercial supply chain strategies (SCSs) are for supply chain design (SCD) in defence. The purpose of this paper is to explain the constructs of SCSs that satisfy military operational requirements and to propose SCSs that are appropriate in defence.
Design/methodology/approach
This paper reports on a Delphi study with 20 experts from Swedish defence authorities. Through three Delphi rounds, two workshops and a validation round, these experts contributed to the reported findings.
Findings
The findings demonstrate that commercial SC constructs are acceptable and applicable in defence but not sufficient. An additional strategy is required to satisfy requirements on availability, preparedness and sustainability. The paper shows that different requirements in peace and war make it challenging to design suitable defence SCs and proposes eight SCSs that satisfy these requirements.
Research limitations/implications
The results emanate from the Swedish defence context and further research is required for generalisation.
Originality/value
This paper extends theory by investigating SCs aiming at operational outcomes. For managers in companies and defence authorities, it explicates how the unique issues in defence must influence SCD to satisfy operational requirements.
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Per Hilletofth and Olli-Pekka Hilmola
Globalization and the importance of emerging markets have increased the pressure of high-cost manufacturing locations to sustain operations. However, there are still some…
Abstract
Purpose
Globalization and the importance of emerging markets have increased the pressure of high-cost manufacturing locations to sustain operations. However, there are still some countries in which manufacturing is prospering despite high costs (like Germany, Sweden and Switzerland). This study examines seven competitive priorities through 24 different capabilities, using a case survey of four manufacturing companies located in Sweden. This study aims to develop a contemporary understanding from vital priorities and capabilities.
Design/methodology/approach
A case survey was conducted in four different-sized manufacturing companies in Sweden during the autumn of 2018. In total, the survey attracted 89 responses. Respondents were mainly middle managers and other management team members.
Findings
In general, companies assess the importance of manufacturing capabilities higher than performance and improvement. The authors’ analysis shows that quality priority through product and process capabilities is ranked highest in terms of importance, performance and improvement. In addition, delivery capability shows a similarity with quality. At the other end, being lowest ranked are typically different flexibility and advertising capabilities. This study demonstrates with correlation analysis that most often capabilities have a positive correlation in terms of their importance, performance and improvement needs. Some capabilities show potential correlations across importance, performance and improvement.
Research limitations/implications
This research is limited to one high-cost environment and to four companies within that environment. Further research should examine the impact of the pandemic era on manufacturing priorities and capabilities.
Originality/value
In general, case surveys have relatively rarely been used in management studies. This research offers an alternative and deeper perspective from high-cost country manufacturing, as the responses are from numerous persons in management positions.
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Haihan Li, Per Hilletofth, David Eriksson and Wendy Tate
This study aims to investigate the manufacturing reshoring decision-making content from an Eclectic Paradigm perspective.
Abstract
Purpose
This study aims to investigate the manufacturing reshoring decision-making content from an Eclectic Paradigm perspective.
Design/methodology/approach
Data were collected through a six-step systematic literature review on factors influencing manufacturing reshoring decision-making. The review is based on 100 peer-reviewed journal papers discussing reshoring decision-making contents published from 2009 to 2022.
Findings
In total, 80 decision factors were extracted and then categorized into resource-seeking (8%), market-seeking (11%), efficiency-seeking (41%) and strategic asset-seeking (16%) advantages. Additionally, 24% of these were identified as hybrid, which means that they were classified into multiple categories. Some decision factors were further identified as reshoring influencing factors (i.e. drivers, enablers and barriers).
Research limitations/implications
Scholars need to consider what other theories can be used or developed to identify and evaluate the decision factors (determinants) of manufacturing reshoring as well as how currently adopted theory can be further advanced to create clearer and comprehensive theoretical frameworks.
Practical implications
This research underscores the importance of developing clearer and more comprehensive theoretical frameworks. For practitioners, understanding the multifaceted nature of decision factors could enhance strategic decision-making regarding reshoring initiatives.
Originality/value
To the best of the authors’ knowledge, this is the first study to investigate the value and practicality of the Eclectic Paradigm in categorizing factors in manufacturing reshoring decision-making content and presents in-depth theoretical classifications. In addition, it bridges the gap between decision factors and influencing factors in the decision-making content research realm.
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David Eriksson, Per Hilletofth, Wendy Tate and Kim Hua Tan
This study aims to explore and theorize value gaps within value chain management (VCM) by extending the service quality gap model to the context of global manufacturing value…
Abstract
Purpose
This study aims to explore and theorize value gaps within value chain management (VCM) by extending the service quality gap model to the context of global manufacturing value chains.
Design/methodology/approach
Drawing upon a case study of a small, family-owned Swedish furniture wholesaler, Alpha, this research adapts the service quality gap model and integrates it into the VCM framework. The investigation examines the value creation and delivery processes across a network of actors, highlighting how various gaps emerge at different stages of the value chain.
Findings
The study identifies and describes several value gaps, including those related to consumer understanding, manufacturing capabilities and coordination across the value chain. Value creation gaps arise from poor communication about consumer needs and product features, whereas value delivery gaps are mainly tied to manufacturing capacity and material restrictions. These gaps can result in misalignment between consumer expectations and the delivered value.
Research limitations/implications
Although this study provides insights into the emergence of value gaps, further research is needed to determine the magnitude and reduction strategies for these gaps. In addition, understanding how consumers evaluate new products remains a critical area for investigation.
Practical implications
The research highlights the significance of a coordinated approach to managing value creation and delivery processes. It underscores the need for companies to capture accurate consumer data, consider manufacturing capabilities and engage in effective coordination with various actors in the value chain.
Social implications
By addressing value gaps, companies can enhance consumer satisfaction and minimize potential dissatisfaction caused by misalignment between consumer expectations and delivered value. This, in turn, can lead to improved relationships with consumers and other actors within the value chain.
Originality/value
This research offers a novel perspective on value gaps in VCM, extending the service quality gap model to the realm of manufacturing. It underscores the importance of managing both value creation and delivery processes for enhancing competitive advantage in a global market.
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Marije Renkema and Per Hilletofth
Intermediate short food supply chains (SFSC) have been presented as a possible solution to unsustainable global food supply chains. There is currently a knowledge gap about…
Abstract
Purpose
Intermediate short food supply chains (SFSC) have been presented as a possible solution to unsustainable global food supply chains. There is currently a knowledge gap about intermediate SFSC. Thus, this review synthesizes the available literature to identify prominent themes and their main considerations.
Design/methodology/approach
This research is based on a systematic literature review including peer-reviewed journal articles until December 2021. Inductive data coding resulted in the identification of four themes related to intermediate SFSC.
Findings
The identified themes illustrate the complex landscape intermediate SFSCs operate in and focus on the key relationships within these supply chains. The established relationships have implications for the governance of intermediate SFSCs. The organization of intermediate SFSCs affects numerous sustainability indicators.
Research limitations/implications
Future research should focus on the position intermediate SFSCs have in food systems and the roles intermediaries have in intermediate SFSCs. There is furthermore an opportunity for researchers to investigate different types of intermediaries and explore the factors influencing them.
Originality/value
Creating sustainable food supply chains is one of the major societal challenges of today. The current state of the art suggests that intermediate SFSCs could play an important role in achieving this. So far, this area is underdeveloped and this review highlights knowledge gaps in the literature and suggestions for a future research agenda are proposed.
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Eleni Papadonikolaki, Algan Tezel, Ibrahim Yitmen and Per Hilletofth
Rapid advancements in blockchain technology transform various sectors, attracting the attention of industrialists, practitioners, policymakers and academics, and profoundly affect…
Abstract
Purpose
Rapid advancements in blockchain technology transform various sectors, attracting the attention of industrialists, practitioners, policymakers and academics, and profoundly affect construction businesses through smart contracts and crypto-economics. This paper explores the blockchain innovation ecosystem in construction.
Design/methodology/approach
Through a qualitative study of 23 diverse interviewees, the study explores how open or closed the blockchain innovation ecosystem in construction is and who its emerging orchestrators are.
Findings
The data showed that construction aims towards an open innovation blockchain ecosystem, although there are elements of hybridisation and closedness, each system pointing out to different orchestrators.
Practical implications
The study has implications for governments and large companies in construction, showing that open innovation initiatives need to be encouraged by policymakers through rules, regulations and government-sponsored demonstrator projects.
Social implications
The data showed that there is lack of readiness for business model change to support open innovation blockchain ecosystems in construction.
Originality/value
This is the first study applying the open innovation theory in the construction industry and sheds light into the phenomenon of blockchain, suggesting routes for further democratisation of the technology for policymakers and practitioners.
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Koorosh Gharehbaghi, Amin Hosseinian Far, Ken Farnes and Per Hilletofth