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Article
Publication date: 8 May 2017

Dirk J. Primus and Euthemia Stavrulaki

This study applies a product centric view to examine three product development (PD) decisions that relate to a new product and its supply chain (SC): product design, sourcing…

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Abstract

Purpose

This study applies a product centric view to examine three product development (PD) decisions that relate to a new product and its supply chain (SC): product design, sourcing strategy and product delivery strategy (PDS). The purpose of this paper is to expand the understanding of alignment decisions in this area to include concurrent compatibility between product design, SC strategy and market conditions.

Design/methodology/approach

The study leverages existing theory to identify the key dimensions of alignment between product design, SC strategy and market conditions in a conceptual model. Using survey data from 124 new PD projects collected from various industries, the authors then empirically test the impact of multiple alignment decisions on new product introductions (NPIs) performance.

Findings

The results suggest that one specific project-level design parameter (interface intensity) is a key alignment dimension for product design decisions. Specifically, the authors find that alignment between interface intensity and sourcing strategy, as well as between interface intensity and clock-speed improves NPI performance. Additionally, the authors find evidence that three-way alignment between PDS, interface intensity and market volatility will benefit NPI performance.

Research limitations/implications

Because the study is cross-sectional and conducted at the project level, future work should continue this line of inquiry with longitudinal exams and across a families of development projects.

Practical implications

The findings inform the deliberate management of the PD/SC interface and provide managers with quantitative benefits of concurrent alignment decisions.

Originality/value

This study identifies and addresses important deficits in the understanding of concurrent alignment between product design, SC strategy and market conditions.

Details

The International Journal of Logistics Management, vol. 28 no. 2
Type: Research Article
ISSN: 0957-4093

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Article
Publication date: 25 May 2010

Euthemia Stavrulaki and Mark Davis

As supply chain management has become more strategic (rather than transactional) in nature the need for a more integrated perspective of how products, and processes should be…

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Abstract

Purpose

As supply chain management has become more strategic (rather than transactional) in nature the need for a more integrated perspective of how products, and processes should be aligned with strategic decisions to enhance competitive advantage has been amplified. The purpose of this paper is to provide a better understanding of how this alignment should be done.

Design/methodology/approach

A conceptual framework was developed that emphasizes the need for alignment between the key aspects of a product and its supply chain processes and highlight, the links between supply chain processes and supply chain strategy.

Findings

Products can be produced with one of four distinct supply chain structures: make to stock, assemble to order, built to order and design to order. Each supply chain structure is appropriate for different products based on their demand characteristics. Each supply chain structure orients its production and logistics processes differently based on its strategic priorities.

Practical implications

High volume, low demand uncertainty products should be matched with lean supply chains enabled by efficient processes, whereas low volume, high uncertainty products should be matched with agile supply chains enabled by flexible processes. Medium volume and medium demand uncertainty products should use leagile supply chains that use a combination of efficient and flexible processes.

Originality/value

After thoroughly reviewing and synthesizing important findings from existing literature, an integrated framework is derived that highlights how products should be best matched with their production and logistics processes. Also, the framework is compared with two well‐known, process‐oriented supply chain frameworks: the supply chain operations reference (SCOR) and the global supply chain forum (GSCF) models.

Details

The International Journal of Logistics Management, vol. 21 no. 1
Type: Research Article
ISSN: 0957-4093

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