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This research seeks to identify the motivations, means and outcomes of supply chain integration (SCI) among firms in the middle market (i.e. those with annual revenues between US$10m and US$1bn). These firms often interface with larger, more powerful firms in the supply chain – both suppliers and customers. Understanding how these firms are challenged and benefit from integrative mechanisms in supply chain relations can lead to better outcomes more often.

The research utilizes an online focus group methodology featuring 39 participants. The participants were able to interact in written form with a professional moderator, as well as each other, over the course of three days.

The research presents evidence that firms in the middle market adopt SCI as a response to pressure from customers and suppliers. These firms also view technology as a primary means of achieving integration. Despite their disadvantageous size position relative to larger customers and suppliers, firms in the middle market achieved positive outcomes from integration.

Because of the specific context of middle-market firms, this research may lack generalizability. However, providing contextualization regarding firm size contributes specificity to the large number of studies detailing the challenges and benefits of SCI.

Managers of firms in the middle market should find value in this study as it explicates the possible benefits their firms may realize through integration with customers and suppliers. Moreover, this research outlines several of the possible means through which integration can be achieved. Further, managers in smaller and larger firms can better understand the motives and needs of middle-market companies with which they interact.

Despite voluminous literature on SCI, this paper provides context-specific findings by isolating the implications of SCI to firms in the middle market.

The majority of studies on supply chain management (SCM) emphasize the importance of cooperative relationships for improving the integration of business processes into a supply chain. It seems accepted that SCM will be a source of competitive advantage if, and only if, firms that participate in it formalize a strategic partnership between each other beforehand. This article questions whether this really is the case, given that the corporate cultures currently in place are largely founded on a tradition of adversarial relationships, the creation of large groups and the development of vertical concentrations. SCM could, in contrast, in such a case be the catalyst for powerful future strategic partnerships that could gently break arm’s‐length competition.

Suggests that the concepts of partnerships and strategic alliances are increasingly emphasized in literature and “real life”, which might lead managers to believe that partnership‐style relationships, as opposed to arm′s length relationships, are necessary for a firm to compete successfully. Explores why, how, and when to establish a wide range of possible business‐to‐business relationships. The inter‐organizational relationship literature suggests six reasons for forming relationships: necessity, asymmetry, reciprocity, efficiency, stability, and legitimacy. Compares this framework with six partnership characteristics based on the partnership‐building literature: planning, sharing of benefits and burdens, extendedness, systematic operational information exchange, operating controls, and corporate culture bridge building. Suggests that firms should concentrate on how to develop “good business relationships”, which may have varying levels of partnership characteristics.

Addresses a number of issues relating to determining whether products should be ordered independently and therefore shipped as a single‐product order, or co‐ordinated and shipped as a group, or multiproduct, order from a single source. Factors which might influence the decision include the level or volume of demand, the distribution of demand across products, the weight of items and the attractiveness of the quantity discount offered. Uses an optimal inventory‐theoretic model, that incorporates transport weight breaks and quantity discounts, to assess when product orders should be combined and what products should be ordered separately. The effects of these decisions on the order interval, the number of order groupings, the proportion of items ordered independently, the proportion of attractive discounts forgone in favour of consolidation, and the relative cost savings, are examined using an extensive set of simulated data that are based on a firm in the automobile industry supply chain.

Freight consolidation across time and customers, use of warehouses, and direct LTL distribution systems are compared on distribution costs and delivery times for selected product characteristics and demand patterns. The results can assist managers in determining whether using freight consolidation is a viable alternative to direct shipments from plants or warehouses.

The concepts of a supply chain and supply chain management are receiving increased attention as means of becoming or remaining competitive in a globally challenging environment. What distinguishes supply chain management from other channel relationships? This paper presents a framework for differentiating between traditional systems and supply chain management systems. These characteristics are then related to the process of establishing and managing a supply chain. A particular focus of this paper is on the implications of supply chain management for purchasing and logistics.

Practitioners and educators have variously addressed the concept of supply chain management (SCM) as an extension of logistics, the same as logistics, or as an all‐encompassing approach to business integration. Based on a review of the literature and management practice, it is clear that there is a need for some level of coordination of activities and processes within and between organizations in the supply chain that extends beyond logistics. We believe that this is what should be called SCM. This article proposes a conceptual model that provides guidance for future supply chain decision‐making and research.

The Supply Chain Management (SCM) concept has received much attention as a method for achieving improved customer service, better inventory management, and better overall channel management. Keiretsu, a type of Japanese business network shares many of the goals of SCM, yet is implemented much differently. This paper explores the similarities and differences between SCM and Keiretsu approaches. It also discusses broad changes that are required to make SCM a more viable competitive alternative among western firms.

In 1998, the Council of Logistics Management modified its definition of logistics to indicate that logistics is a subset of supply chain management and that the two terms are not synonymous. Now that this difference has been recognized by the premier logistics professional organization, the challenge is to determine how to successfully implement supply chain management. This paper concentrates on operationalizing the supply chain management framework suggested in a 1997 article. Case studies conducted at several companies and involving multiple members of supply chains are used to illustrate the concepts described.

The paper begins with an overview of some of the forces that have shaped supply chain management and partnership relationships. Next the potential benefits and risks of involvement in supply chain management/partnership relationships are discussed from the perspective of both the shipper and the service provider (warehousers and transportation firms). Results from a major survey of shippers, warehousers and transportation providers are used to illustrate the risks and benefits. Means of minimizing the potential risks are also suggested. The paper concludes with a discussion of issues in supply chain management that would benefit from further analysis and research. These issues include determination of whether a firm should use a supply chain management approach, the management structure to use in supply chain management, and modelling supply chain management systems.