Matthew Schwieterman, Manus Rungtusanatham, Thomas J. Goldsby, W.C. Benton, Martha C. Cooper and Esen Andiç-Mortan
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…
Abstract
Purpose
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.
Design/methodology/approach
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.
Findings
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.
Research limitations/implications
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.
Practical implications
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.
Originality/value
Despite voluminous literature on SCI, this paper provides context-specific findings by isolating the implications of SCI to firms in the middle market.
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Matias G. Enz, Matthew A. Schwieterman and Douglas M. Lambert
Although managers have struggled with SKU proliferation for decades, research has provided inconsistent guidance, and the cross-functional and cross-firm aspects of the problem…
Abstract
Purpose
Although managers have struggled with SKU proliferation for decades, research has provided inconsistent guidance, and the cross-functional and cross-firm aspects of the problem were not considered. The purpose of this paper is to explore the factors that favor successful and sustainable SKU rationalization.
Design/methodology/approach
A single case study was used to investigate the implementation of an SKU rationalization project by a national restaurant chain in collaboration with its food distributor. Qualitative data analysis techniques were used to understand managers’ perceptions about the SKU rationalization problem and the financial results that were achieved.
Findings
The findings include seven propositions that begin to formalize theory for SKU rationalization. Cross-functional involvement was both a challenge and a critical success factor, and the supplier was an important resource for managing product variety and complexity.
Research limitations/implications
Seven propositions are provided that increase the likelihood of successfully dealing with SKU proliferation.
Practical implications
SKU proliferation increases supply chain complexity and leads to higher costs. The research reports on an SKU rationalization project that saved a company and its supplier $6.7m.
Originality/value
A previously unexplored theoretical perspective on SKU rationalization was employed that emphasizes cross-functional alignment, buyer–supplier relationships and the impact on financial performance of a firm.
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Douglas M. Lambert and Matthew A. Schwieterman
Increasingly, supplier relationship management (SRM) is being viewed as strategic, process‐oriented, cross‐functional, and value‐creating for buyer and seller, and a means of…
Abstract
Purpose
Increasingly, supplier relationship management (SRM) is being viewed as strategic, process‐oriented, cross‐functional, and value‐creating for buyer and seller, and a means of achieving superior financial performance. This paper seeks to describe a macro level cross‐functional view of SRM and to provide a structure for managing business‐to‐business relationships to co‐create value and increase shareholder value.
Design/methodology/approach
In order to identify the sub‐processes of SRM at the strategic and operational levels as well as the activities that comprise each sub‐process, focus group sessions were conducted with executives from a range of industries. The focus groups were supplemented with visits to companies identified in the focus groups as having the most advanced SRM practices.
Findings
The research resulted in a framework that managers can use to implement a cross‐functional, cross‐firm, SRM process in business‐to‐business relationships.
Research limitations/implications
The research is based on focus groups with executives in 15 companies representing nine industries and multiple positions in the supply chain, including retailers, distributors, manufacturers and suppliers. While all companies had global operations, only one was based outside of the USA. Nevertheless, the framework has been presented in executive seminars in North and South America, Europe, Asia and Australia with very positive feedback.
Practical implications
The framework can be used by managers and has been successfully implemented in large corporations. The view of SRM presented involves all business functions, which extends the current thinking.
Originality/value
The framework includes all business functions and was developed with input from executives representing major corporations with global operations.
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Barbara Tip, Frederik Guido Sebastiaan Vos, Esmee Peters and Vincent Delke
Procurement professionals widely use purchasing portfolio models to tailor purchasing strategies to different product groups’ needs. However, the application of these approaches…
Abstract
Purpose
Procurement professionals widely use purchasing portfolio models to tailor purchasing strategies to different product groups’ needs. However, the application of these approaches in hospitals and the impact of a pandemic shock remain largely unknown. This paper aims to assess hospital purchasers’ procurement strategies during the COVID-19 pandemic, the effects of factor-market rivalry (FMR) on strategies and the effectiveness of purchasing portfolio categorizations in this situation.
Design/methodology/approach
This qualitative study of hospital purchasing in the Netherlands is supported by secondary data from official government publications. Semi-structured interviews were conducted with 13 hospital purchasers at large hospitals. An interpretative approach is used to analyze the interviews and present the results.
Findings
The findings reveal that product scarcity forces purchasers to treat them as (temporary) bottleneck items at the hospital level. The strategies adopted largely aligned with expected behavior based on Kraljic’s commodity management model. Adding the FMR perspective to the model helped to further cluster crisis strategies into meaningful categories. Besides inventory management, increasing supply, reducing demand and increasing resource coordination were the other common strategies. An important finding is that purchasers and governments serve as gatekeepers in channeling FMR, thereby reducing potential harmful competition between and within hospitals.
Social implications
The devastating experience of the COVID-19 pandemic is unveiling critical weaknesses of public health-care provision in times of crisis. This study assesses the strategies hospital purchasers apply to counteract shortages in the supply chain. The findings of this study emphasize the importance of gatekeepers in times of crisis and present strategies purchasers can take to assure the supply of resources.
Originality/value
No research has been conducted on purchasing portfolio models and FMR implications for hospitals during pandemics. Therefore, the authors offer several insights: increasing the supply risk creates temporary bottleneck strategies, letting purchasers adopt a short-term perspective and emphasizing the high mobility of commodities in the Kraljic commodity matrix. Additionally, despite more collaboration uncovered in other studies regarding COVID-19, strong rivalry arose at the beginning of the pandemic, leading to increased competition and less collaboration. Given such increased FMR, procurement managers and governments become important gatekeepers to balance resource allocation during pandemics both within and between hospitals.
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Samera Nazir, Saqib Mehmood, Li Zhaolei, Zarish Nazir and Sana Nazir
This study explored how COVID-19 moderated the relationship between organizational learning capabilities (OLCs), technological innovation (TI), supply chain management (SMC…
Abstract
Purpose
This study explored how COVID-19 moderated the relationship between organizational learning capabilities (OLCs), technological innovation (TI), supply chain management (SMC) processes and enterprise performance (EP). It aimed to give ideas on how organizations could change and do well during big disruptions.
Design/methodology/approach
Design: A structured questionnaire served as the data collection tool, employing a stratified sampling technique. Partial least squares (PLS) was utilized for data processing. Information was gathered from the automobile industry in Xian, China, providing an in-depth understanding of how COVID-19 moderated the variables under examination.
Findings
The study discovered that COVID-19 changed how organizational learning, TI, SCM and EP interacted. Some organizations had trouble keeping up with learning and innovation, but others used them to make their SCM stronger, leading to better performance. Also, different effects of COVID-19 were seen in various industries and organizations.
Practical implications
This study provided practical implications for managers, policymakers and practitioners. It emphasized fostering OLCs and TI as crucial for resilience during disruptions like COVID-19. Strategic investments in SCM were highlighted to mitigate disruptions and seize opportunities. Additionally, context-specific approaches were underscored for navigating pandemic-induced challenges.
Originality/value
This study enhanced existing literature by analyzing how COVID-19 moderated the link between organizational learning, TI, SCM and EP. Through diverse methodologies and organizational contexts, it offered fresh insights into dynamic organizational responses to disruptions, advancing both theoretical understanding and practical knowledge in the field.
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Victoria Stephens, Amy Victoria Benstead, Helen Goworek, Erica Charles and Dane Lukic
The paper explores the notion of worker voice in terms of its implications for supply chain justice. The paper proposes the value of the recognition perspective on social justice…
Abstract
Purpose
The paper explores the notion of worker voice in terms of its implications for supply chain justice. The paper proposes the value of the recognition perspective on social justice for framing workers’ experiences in global supply chains and identifies opportunities for the advancement of the worker voice agenda with recognition justice in mind.
Design/methodology/approach
The paper adopts a conceptual approach to explore the notion of worker voice in supply chains in terms of the recognition perspective on social justice.
Findings
Sustainable supply chain management (SSCM) scholarship has considered worker voice in terms of two key paradigms, which we term communication and representation. To address recognition justice for workers in global supply chains, the worker voice agenda must consider designing worker voice mechanisms to close recognition gaps for workers with marginalised identities; the shared responsibilities of supply chain actors to listen alongside the expectation of workers to use their voice; and the expansion of the concept of worker voice to cut across home-work boundaries.
Originality/value
The paper offers conceptual clarity on the emerging notion of worker voice in SSCM and is the first to interrogate the implications of recognition justice for the emergent worker voice agenda. It articulates key opportunities for future research to further operationalise worker voice upon a recognition foundation.
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Jessica Robinson and Peter Ralston
This research offers clarity regarding process supply chain integration through two deliverables: (1) developing six constructs (both integrative mechanisms and integrative…
Abstract
Purpose
This research offers clarity regarding process supply chain integration through two deliverables: (1) developing six constructs (both integrative mechanisms and integrative practices for internal, customer, and supplier integration); and (2) empirically testing a theoretically grounded supply chain process model using three distinct datasets (internal, customer, and supplier integration).
Design/methodology/approach
The construct development procedure involved a continuous improvement cycle for identifying 1,450 items previously used to measure internal, customer, and/or supplier integration constructs; classifying the items into one of six categories; and refining the instruments based on pilot data and peer feedback. Three surveys (targeted key informants based on their specialized knowledge on internal, customer, or supplier integration) were disseminated for evaluating the measurement instruments and testing the theoretically grounded supply chain management process models, by performing the Covariance-Based Structural Equation Modeling (CB-SEM) analysis technique.
Findings
The findings revealed consistencies across all three dimensions of supply chain integration where integrative mechanisms and integrative practices are distinct constructs; integrative mechanisms make it possible for integrative practices and supply chain orientation to occur in a supply chain company; and integrative practices and supply chain orientation improve business performance.
Originality/value
Our study contributes to answering how process-oriented supply chain management occurs, responding to calls for research in the supply chain management discipline and advancing theory development around supply chain integration. The theoretical and managerial contributions of developing six constructs and testing three supply chain management process models relate to identifying the specific aspects of supply chain integration that improves business performance. The three tested models also reveal both direct and mediating effects of integrative practices and supply chain orientation, which contributes to the practical understanding of effective supply chain management implementation.
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Raghunandan Gurumurthy, Aricson Pereira and Chad Matthew Laux
This study aims to address the challenges faced by healthcare manufacturing SMEs in high-mix, high-volume environments, particularly in light of the COVID-19 pandemic.The authors…
Abstract
Purpose
This study aims to address the challenges faced by healthcare manufacturing SMEs in high-mix, high-volume environments, particularly in light of the COVID-19 pandemic.The authors propose the implementation of the Production Wheel framework as a solution to optimize operational efficiency and cost-effectiveness. Using real-world anonymized data from a high-mix, high-volume manufacturing project, the authors evaluate the feasibility and impact of this framework. The findings indicate significant reductions in changeover and inventory costs, with notable improvements in production efficiency. The study highlights the potential of the Production Wheel in healthcare manufacturing while providing insights based on authentic industry data.
Design/methodology/approach
The Production Wheel framework is introduced as an 8-step method that encompasses analyzing historical volumes, identifying key product families, developing current and future state value stream maps, assessing capacity utilization and implementing Kanban-based pull systems with supermarkets between processes. This approach is grounded in Lean manufacturing principles and is tailored to the specific needs of the healthcare manufacturing industry.
Findings
The adoption of the Production Wheel framework enables healthcare manufacturers to align their production more closely with actual demand, minimizing waste and reducing overheads. This agile approach facilitates the adaptation to a high mix of products without compromising efficiency, ensuring a resilient and responsive supply chain that can effectively meet the evolving needs of the market.
Research limitations/implications
While this conceptual paper introduces the Production Wheel framework in the context of healthcare manufacturing, future research should focus on the practical implementation and empirical validation of the proposed approach. Case studies and quantitative analyses of the framework’s impact on operational efficiency, inventory management and cost-effectiveness would provide valuable insights for academics and practitioners.
Practical implications
The Production Wheel framework offers a practical approach for healthcare manufacturers to navigate the challenges posed by the COVID-19 pandemic and the increasing demand for customized products. By integrating this methodology alongside flexible manufacturing systems, manufacturers can enhance their ability to adapt to market disruptions while maintaining optimal operational performance.
Originality/value
This paper contributes to the Lean Manufacturing literature by introducing the Production Wheel concept as a novel framework for healthcare manufacturing. The proposed approach addresses the unique challenges faced by the healthcare manufacturing sector in the wake of the COVID-19 pandemic and provides a strategic roadmap for optimizing operational efficiency and cost-effectiveness.
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Ricardo Malagueño, Ismail Gölgeci and Andrew Fearne
The purpose of this paper is to examine the impact of perceived relational justice on the relationship between key customer categorization and performance of small food and drink…
Abstract
Purpose
The purpose of this paper is to examine the impact of perceived relational justice on the relationship between key customer categorization and performance of small food and drink producers in supermarket supply chains.
Design/methodology/approach
Survey data are derived from a sample of (small-scale) suppliers of local and regional food to a large British supermarket. Partial least squares regression analysis was used to test a conceptual framework, which positions relational justice as a mediator in the relationship between key customer categorization and supplier performance, moderated by the length of the relationship.
Findings
The findings reveal that small suppliers who perceive their treatment by their key customers as fair tend to achieve higher business performance, which supports the hypothesized mediating role of relational justice on supplier performance. However, this research found no evidence to support the hypothesis that this role is moderated by the length of the relationship between the supplier and buyer.
Originality/value
This paper makes a novel empirical contribution, focusing on performance outcomes for small-scale suppliers in a highly competitive environment (fast-moving consumer goods) with customers (supermarkets) who have significant market power. Accordingly, the paper shows that the way supermarket buyers treat their suppliers matters more for the performance of their suppliers than the very fact that they are key customers.
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Craig R. Carter, Marc R. Hatton, Chao Wu and Xiangjing Chen
The purpose of this paper is to update the work of Carter and Easton (2011), by conducting a systematic review of the sustainable supply chain management (SSCM) literature in the…
Abstract
Purpose
The purpose of this paper is to update the work of Carter and Easton (2011), by conducting a systematic review of the sustainable supply chain management (SSCM) literature in the primary logistics and supply chain management journals, during the 2010–2018 timeframe.
Design/methodology/approach
The authors use a systematic literature review (SLR) methodology which follows the methodology employed by Carter and Easton (2011). An evaluation of this methodology, using the Modified AMSTAR criteria, demonstrates a high level of empirical validity.
Findings
The field of SSCM continues to evolve with changes in substantive focus, theoretical lenses, unit of analysis, methodology and type of analysis. However, there are still abundant future research opportunities, including investigating under-researched topics such as diversity and human rights/working conditions, employing the group as the unit of analysis and better addressing empirical validity and social desirability bias.
Research limitations/implications
The findings result in prescriptions and a broad agenda to guide future research in the SSCM arena. The final section of the paper provides additional avenues for future research surrounding theory development and decision making.
Originality/value
This SLR provides a rigorous, methodologically valid review of the continuing evolution of empirical SSCM research over a 28-year time period.