Search results
1 – 10 of 97Marzenna Cichosz, Carl Marcus Wallenburg and A. Michael Knemeyer
The rapid advancement of digital technologies has fundamentally changed the competitive dynamics of the logistics service industry and forced incumbent logistics service providers…
Abstract
Purpose
The rapid advancement of digital technologies has fundamentally changed the competitive dynamics of the logistics service industry and forced incumbent logistics service providers (LSPs) to digitalize. As many LSPs still struggle in advancing their digital transformation (DT), the purpose of this study is to discover barriers and identify organizational elements and associated leading practices for DT success at LSPs.
Design/methodology/approach
This study utilizes a two-stage approach. Stage 1 is devoted to a literature review. Stage 2, based on multiple case studies, analyzes information collected across nine international and global LSPs.
Findings
This research derives a practice-based definition of DT in the logistics service industry, and it has identified five barriers, eight success factors and associated leading practices for DT. The main obstacles LSPs struggle with, are the complexity of the logistics network and lack of resources, while the main success factor is a leader having and executing a DT vision, and creating a supportive organizational culture.
Practical implications
The results contribute to the emerging field of DT within the logistics and supply chain management literature and provide insights for practitioners regarding how to effectively implement it in a complex industry.
Originality/value
The authors analyze DT from the perspective of LSPs, traditionally not viewed as innovative companies. This study compares their DT with that of other companies.
Details
Keywords
Sebastian Brockhaus, Daniel Taylor, A. Michael Knemeyer and Paul R. Murphy
This research explores the concept of omnichannel fulfillment steering (OFS) and demonstrates how retailers can influence a consumer’s fulfillment decisions through commonly used…
Abstract
Purpose
This research explores the concept of omnichannel fulfillment steering (OFS) and demonstrates how retailers can influence a consumer’s fulfillment decisions through commonly used financial incentives such as discounts, credits and the opportunity to avoid home delivery fees.
Design/methodology/approach
We present insights from two theoretically grounded experiments to examine how different types of financial incentives can be used by omnichannel retailers to steer consumers from home delivery toward three alternative order fulfillment methods (AOFM) – buy-online-pickup-in-store, curbside-pickup and ship-to-locker.
Findings
Our analysis suggests that an opportunity to avoid shipping fees (penalty-avoidance) is a more effective OFS nudge than offering discounts or store credits (rewards). No difference was observed between offering discounts or credits as steering mechanisms; further, no omnichannel steering benefits were observed among the tested AOFMs. Collectively, these findings provide possible justification for retailers’ prioritization of credits to foster customer in-store visits, thus encouraging greater customer engagement and facilitating cross-selling opportunities. Finally, we uncover a penalty-avoidance endowment effect for “free shipping” of purchases over the current industry-standard free shipping threshold.
Practical implications
Retailers might prioritize store credits over discounts as nudges to steer customers toward an AOFM, with buy-online-pickup-in-store offering the greatest benefits for most retailers. Furthermore, using penalty-avoidance OFS incentives over a typical free shipping threshold may increase AOFM selection rates but engender adverse customer reactions.
Originality/value
Advancing the concept of OFS, this study directly informs retailers’ omnichannel incentive programs to nudge customers back into the store. Countering intertemporal choice theory, we could not demonstrate that delayed incentives are less effective than immediate ones. Based on prospect theory, we identify a free shipping endowment effect at a specific reference point along a purchase amount continuum.
Details
Keywords
Aysu Göçer, Sebastian Brockhaus, Stanley E. Fawcett, Ceren Altuntas Vural and A. Michael Knemeyer
Sustainability continues to be put forth as a strategic priority. However, sustainability efforts are often deemphasized for short-term profitability. This study explores the…
Abstract
Purpose
Sustainability continues to be put forth as a strategic priority. However, sustainability efforts are often deemphasized for short-term profitability. This study explores the nuances in managerial decision-making related to adopting sustainability initiatives within food supply chains in an emerging economy. We identify a complex interaction between sustainability efforts and risk mitigation. We derive a model to explain conflicting company goals, managerial decisions and system design.
Design/methodology/approach
We followed an exploratory research design with an inductive approach. We analyzed data from semi-structured interviews with 29 companies representing different tiers in Turkish food supply chains. We refined and validated the interview findings through a focus group with nine senior managers. We conducted open, focused and theoretical coding in an iterative and reflective manner to analyze the data and derive our results.
Findings
From the data, three themes emerged, indicating that managers are pursuing different, often conflicting, goals concerning value creation, risk management and sustainability performance. Managers identified and commented on new risks brought on by sustainability initiatives. These sustainability-induced risks were seen as a threat to operational performance, a driver of increased costs and a negative impact on product quality and delivery performance. Trade-offs across operating, sustainability and risk management systems create transformational tension that confounds the sustainability adoption decision-making process.
Originality/value
The data from the study was contrasted with a theoretical framework derived from systems theory, goal-setting theory of motivation and the theory of planned behavior. We identified four distinct decision paths that managers pursue. Increased awareness of transformational tension and how it influences managerial decision-making can enhance strategic sustainability system design and initiative success.
Details
Keywords
Clinton Amos, Sebastian Brockhaus, Amydee M. Fawcett, Stanley E. Fawcett and A. Michael Knemeyer
The purpose of this paper is to evaluate how service perceptions influence customer views of the authenticity of corporate sustainability claims. The goal of this paper is to help…
Abstract
Purpose
The purpose of this paper is to evaluate how service perceptions influence customer views of the authenticity of corporate sustainability claims. The goal of this paper is to help supply chain decision-makers better understand boundary conditions in order to design more enduring and impactful sustainability programs.
Design/methodology/approach
The authors employ behavioral experiments, subjecting two theoretically derived hypotheses to verification across five diverse industries and two distinct sustainability vignettes.
Findings
Customer service perceptions emerge as a significant boundary condition to the perceived authenticity of sustainability efforts. Subjects attributed significantly higher authenticity toward sustainability efforts in above average vs below average service quality contexts. Further, respondents attributed deceptive motivations to sustainability efforts at companies with below average service.
Research limitations/implications
The authors confirm the underlying tenet of social judgment theory, which suggests that a priori perceptions create a zone of acceptability or rejection. Ultimately, investing in sustainability can lead to counterproductive cynicism.
Practical implications
The authors infer that customers’ willingness to give companies credit for sustainability initiatives extends beyond service issues to any practice that influences a priori perceptions. Supply chain managers must rethink their role in designing both customer service and sustainability systems to achieve positive returns from sustainability investments.
Originality/value
The authors challenge the assumption that customers universally positively view sustainability efforts. If customers hold a priori negative service perceptions, otherwise well-designed sustainability programs may invoke cynical reactions. Thus, sustainability programs may not inoculate firm reputations from adverse incidents. Given they touch both service and sustainability systems, supply chain managers are positioned to holistically influence their design for competitive advantage.
Details
Keywords
Adriana Rossiter Hofer, Yao Henry Jin and A. Michael Knemeyer
This study follows the tenets of the resource dependence theory (RDT) to investigate the effects of four dimensions of industry-level environmental uncertainty – munificence…
Abstract
Purpose
This study follows the tenets of the resource dependence theory (RDT) to investigate the effects of four dimensions of industry-level environmental uncertainty – munificence, dynamism, complexity and innovative intensity – on a shipper's cross-buying (i.e. outsourcing across multiple service categories) in logistics outsourcing arrangements.
Design/methodology/approach
Negative binomial regression was used to test the hypotheses with a sample of US manufacturers. Measures were developed through information acquired from a proprietary database of 3PL companies obtained through Armstrong and Associates, Inc. and publicly available industry measures from the US Manufacturing Census and Compustat.
Findings
The findings indicate that individual dimensions of environmental uncertainty exhibit distinct influences on shippers' cross-buying in their logistics outsourcing arrangements. Specifically, the growth and initial innovative intensity of shippers' industries lead to an increased number of logistics service categories outsourced to 3PLs, while industry dynamism and exceptionally high innovative intensity drive the opposite effect.
Practical implications
These findings provide valuable guidance to 3PLs with respect to decisions related to the acquisition of specialized transportation, storage, information systems and personnel assets to serve specific industries. The findings highlight industry conditions that are more likely to lead shippers to outsource across a wider array of logistics service categories and, as a result, potentially yield higher customer retention and profit margins.
Originality/value
While extant 3PL literature posits that shippers' individual strategic orientations and capabilities impact their outsourcing strategy, this study contributes to the literature by providing a theoretical-based empirical examination of the industry-level influencers of such behavior.
Details
Keywords
Daniel Taylor, Sebastian Brockhaus, A. Michael Knemeyer and Paul Murphy
Since the emergence of e-commerce uprooted traditional brick-and-mortar retail in the early 2000s, many retailers have reacted by first independently servicing both the online and…
Abstract
Purpose
Since the emergence of e-commerce uprooted traditional brick-and-mortar retail in the early 2000s, many retailers have reacted by first independently servicing both the online and in-store channels (multichannel retailing) and subsequently integrating both channels to provide a seamless front-end customer interface (omnichannel retailing). Accordingly, firms had to adjust their logistics and supply chain management (SCM) processes from fulfilling orders for each channel separately to integrating channels on the back-end (omnichannel fulfillment). This development is mirrored by an emerging stream of academic publications. The purpose of this paper is to provide a snapshot of the current state of omnichannel fulfillment research via a systematic literature review (SLR) in order to identify omnichannel fulfillment strategies and to establish an agenda for future inquiry.
Design/methodology/approach
This SLR is based on 104 papers published in peer-reviewed journals through December 2018. It employs a six-step process, from research question to the presentation of the insights.
Findings
All selected manuscripts are categorized based on demographics such as publication date, outlet, methodology, etc. Analysis of the manuscripts suggests that the integration of fulfillment channel inventory and resources is becoming an important objective of fulfillment management. Appropriate omnichannel strategies based on retailer attributes are not well understood. Industry specific research has been conducted necessitating generalized extension for retailers. These findings provide a clear opportunity for the academic community to take more of the lead in terms of knowledge creation by proposing paths for industry pursuit of channel integration to successfully implement omnichannel fulfillment. Opportunities for future inquiry are highlighted.
Originality/value
This manuscript proposes a definition of omnichannel fulfillment strategies and identifies fulfillment links that are used interchangeably across channels as the key delimiter between omnichannel fulfillment strategies and related concepts. Six omnichannel fulfillment strategies from the extant literature are identified and conceptualized. Future research opportunities around omnichannel fulfillment, potential interdependencies between the established strategies and their impact on related SCM issues such as distribution and reverse logistics are detailed.
Details
Keywords
Sebastian Brockhaus, Moritz Petersen and A. Michael Knemeyer
The purpose of this paper is to explore how big-picture sustainability strategies are translated into tangible product development efforts. The authors assert that most…
Abstract
Purpose
The purpose of this paper is to explore how big-picture sustainability strategies are translated into tangible product development efforts. The authors assert that most sustainable products currently remain confined to niche markets and do not permeate the mainstream. The authors propose that there is a missing link between strategic sustainability goals and operational product development initiatives. The authors establish a path to bridging this gap.
Design/methodology/approach
The manuscript is based on a qualitative research design with a sample of 32 companies. Data were collected from semi-structured interviews with product developers as well as secondary data analysis.
Findings
The authors delineate three empirically derived approaches firms from the sample pursue to develop sustainable products. The authors identify a phenomenon that the authors’ call the fallacy of trickle-down product sustainability. The authors find that only one of the three approaches – codification – is equipped to successfully turn strategic sustainability targets into authentic sustainable products.
Practical implications
This study provides an actionable guide to executives and product developers with respect to bridging the gap between often elusive sustainability aspirations and tangible product improvements via the process of rigorous codification.
Originality/value
This study provides a novel and unique perspective into strategy, sustainability and product development. The authors synthesize the extant literature on sustainable product development, juxtapose the emergent structure with primary interview data, and elaborate the resource-based view (RBV) to provide theoretical and practical implications. The authors establish scalability as the missing RBV capability of many attempts toward mass–market compatibility of more sustainable products.
Details
Keywords
Mikaella Polyviou, Keely L. Croxton and A. Michael Knemeyer
The purpose of this paper is to explore resources or capabilities that enable medium-sized firms to be resilient, namely, to avoid and recover from supply chain disruptions.
Abstract
Purpose
The purpose of this paper is to explore resources or capabilities that enable medium-sized firms to be resilient, namely, to avoid and recover from supply chain disruptions.
Design/methodology/approach
A case-study method is employed with four medium-sized manufacturing firms headquartered in the USA that have global supply chains. Data are collected from semi-structured interviews with key informants from diverse functions and managerial levels, archival documents, observation and a resilience assessment.
Findings
Internal social capital emerged as a resilience-enhancing resource, comprising: structural capital grounded in small network size, geographical proximity among decision makers and low hierarchy; relational capital grounded in close relationships, commitment and respect; and cognitive capital grounded in long employee tenure.
Originality/value
This is the first paper in the supply chain management literature to examine the resilience of medium-sized firms, an under-researched context. It is also the first paper to introduce internal social capital as a resilience-enhancing resource. Hence, this is among the few papers to propose a resilience-enhancing resource rooted not in a firm’s supply chain operations but its human resources. This paper, moreover, identifies several facets of internal social capital within medium-sized firms. Finally, the paper makes several managerial contributions.
Details
Keywords
A. Michael Knemeyer and Paul R. Murphy
Despite the increased importance and corporate visibility of logistics – and its concomitant opportunities – the demand for college educated entry‐level logisticians continues to…
Abstract
Despite the increased importance and corporate visibility of logistics – and its concomitant opportunities – the demand for college educated entry‐level logisticians continues to greatly exceed their supply. The current study, which responds to this persistent shortfall of talented students, was designed to investigate three primary issues: student familiarity with logistics vis‐à‐vis other business disciplines; student perceptions of logistics in terms of academic and career issues; and the potential impact of promoting the value of logistics in a “principles of marketing” course. The findings suggest that students are relatively unfamiliar with logistics as a career choice and have a distinct level of neutrality towards many of the key “selling” points of the discipline. However, the findings also suggest that a focus on promoting the value of logistics in a “principles of marketing” course can have a significant impact on these perceptions. The study concludes with a discussion of the implications of these findings for various logistics constituencies along with suggestions for future research.
Details
Keywords
Yemisi A. Bolumole, A. Michael Knemeyer and Douglas M. Lambert
Customer service management is the supply chain management process that represents the firm's face to the customer. The process is the key point of contact for administering…
Abstract
Customer service management is the supply chain management process that represents the firm's face to the customer. The process is the key point of contact for administering product and service agreements (PSAs) developed by customer teams as part of the customer relationship management process. The goal is to provide a single source of customer information, such as product availability, shipping dates and order status. Customer service management requires a real‐time system to respond to customer inquiries and facilitate order placement. In this paper, we describe the customer service management process in detail to demonstrate how it can be implemented and managed. To do this, we detail the activities of each strategic and operational sub‐process; evaluate the interfaces with the business functions, the other seven supply chain management processes; and describe examples of successful implementation.
Details