Emerald | Supply Chain Management: An International Journal | Table of Contents

An assessment of the integration of seaports into supply chains using a Structural Equation Model

Wed, 24 Apr 2013 00:00:00 +0100

Abstract

Purpose - The changing role of seaports in supply chains has been the subject of extensive research in the recent literature. The strategic development of seaport terminals, responding to the need for closer integration into supply chains, invites a more detailed examination of the influence of the supply chain structures on seaport performance. Therefore this paper investigates the effects of supply chain structures, especially the degree of integration of seaports into supply chains, on seaport performance.Design/methodology/approach - The parameters for a Structural Equation Model were identified in the first instance from the supply chain and seaport operations and management literature. The Structural Equation Model itself was then devised, and subsequently refined, using data from Korean seaport terminal operators, shipping companies and freight forwarding companies. The Structural Equation Model was used to assess the level of supply chain integration of seaports and the relationship to port performance. Findings - The results indicate that the integration of seaports into supply chains has a positive impact on both the effectiveness and the efficiency of seaport performance. In addition, antecedents to seaport supply chain integration are identified; these suggest that a strong orientation to supply chain integration within a port operating company enables the company to adopt and implement a strategy that integrates functions within the port and with other upstream and downstream organisations. Research limitations/implications - As the field data were geographically limited to one country, extending the findings of this study to other geographical areas may not be possible, although the approach taken, using the Structural Equation Modelling technique, should be transferrable elsewhere. Cross-validation of the model would widen its applicability to other areas. The paper provides a framework that allows other researchers to examine the level of integration of ports into supply chains.Practical implications - The potential benefits of closer integration of seaports into supply chains are shown with supply chain integration having a positive effect on port performance. Seaports which do not integrate with their supply chains have a lower level of performance. Thus, enhanced port performance accruing from closer integration would have positive implications both for port and terminal managers and for other supply chain participants.Originality/value - This study, for the first time, empirically examines the impact of the integration into supply chains of seaports on their performance. This is achieved by the development of a Structural Equation Model which is then tested in the field, thus extending the existing literature which is largely conceptual or descriptive.

Optimization, risk and resilience in LNG transportation systems

Wed, 24 Apr 2013 00:00:00 +0100

Abstract

Purpose - This paper addresses how to systematically address vulnerability in a maritime transportation system using a [removed for review] approach, create quantitative measures of disruption risk and test the effect of mitigating measures. These quantitative data are prerequisites for cost efficiency calculations, and may be obtained without requiring excessive resources. Design/methodology/approach - Supply chain simulation using heuristics-based planning tools offers an approach to quantify the impact of disruption scenarios and mitigating measures. This is used to enrich a risk-based approach to maritime supply chain vulnerability assessment. Monte Carlo simulation is used to simulate a stochastic nature of disruptions. Findings - The exemplary assessment of a maritime liquefied natural gas (LNG) transportation system illustrates the potential for providing quantitative data about the cost of disruptions and the effects of mitigating measures, which are foundations for more precise cost-efficiency estimates. Research limitations/implications - This simulation was done on a simplified version of a real transportation system. For resource reasons, several simplifications were made, both with regards to modeling the transportation system and with the implementation of the [removed for review] framework. Nevertheless, we believe the paper serves to illustrate the approach and potential outcome. Practical implications - Practitioners are provided with an approach to get more precise quantitative data on disruption costs and cost/efficiency of mitigating measures, providing background data for decisions on investing in reduction of supply chain vulnerability. Originality/value - The combination of risk assessment methods and inventory routing simulation of maritime supply chain problems is a novelty. Quantifying vulnerability, effects of disruptions and effects of mitigating measures in maritime transportation systems contributes to a little-researched area.

Innovative Supply Chain Practices: The State of French Companies

Wed, 24 Apr 2013 00:00:00 +0100

Abstract

Purpose - This research aims to explores innovation in supply chain management. Innovation has often been studied in supply chain relationships and specifically from a product point of view. We aim to observe innovation by focusing on the different practices and collaborations suppliers and customers are developing to improve their competitiveness and the performance of the whole supply chain.Design/methodology/approach - A review of previous literature on innovation in supply chain management is presented and we design an interview guide for our data collection that is developed from our previous literature review on innovation in supply chain management. Data are collected from 68 innovations in French companies and subsequently analyze to identify the major elements of innovations in supply chain management.Findings - The key findings of the paper identify the major components affecting Innovative Supply Chain Practices and SC performance. The results suggest that innovation is essential in supply chain management and can be characterized according to their degree of novelty and rupture, their distribution throughout the SC and the level at which they occur. In addition, a typology of Innovative Supply Chain Practices is proposed.Originality/value - Our study is exploratory and examines the state of practices concerning innovation in supply chain management. We identify the major elements of innovations and propose a typology of these innovative supply chain practices.

Socially Responsible Supply Chains: Power asymmetries and Joint Dependence

Wed, 24 Apr 2013 00:00:00 +0100

Abstract

Purpose - The purpose of this study is to analyse the role of relational power/dependent asymmetries and symmetries in shaping socially responsible supply chain management, whilst also examining how these issues are moderated by geographical distance between buyer and supplier.Design/methodology/approach - The study draws on data from 339 buyer-supplier relationships, and we use a set of hierarchical regression to test our hypotheses. Findings - Joint dependency positively influences socially responsible supply chain management, whilst supplier power constrains it. Both joint dependency and buyer power becomes increasingly important determinants of socially responsible supply chain management as geographic distance increases.Research limitations/implications - Further work is needed to examine the conditions under which organisations will exercise their power advantage or their joint dependence position to improve socially responsible processes in the supply chain, as there may be situations where buyer chooses not to exercise their power positions.Practical implications - Our results indicate that jointly dependent relationships create the best conditions for socially responsible supply chain management, but we also find that supplier power advantage can constrain such initiatives. Originality/value - This is the first paper to systematically analyse the implementation of socially responsible supply chain management, within a model that considers power a/symmetric positions of the buyer-supplier relationship, and the role of geographical distance as a moderating influence on these power positions.

Exploring the Performance Effect of HPWS on Professional Service Supply Chain Management

Wed, 24 Apr 2013 00:00:00 +0100

Abstract

Purpose - The aim of this study is to better understand service supply chain management by 1) analysing the professional service supply chain in professional service firms (PSFs) and 2) exploring how the high performance work systems (HPWS) influence professional service supply chain performance. In addition, this study seeks to examine the relationship between professional service supply chain performance and the overall organizational performance.Design/methodology/approach - Analysis of PSF suggests a three-step of professional service supply chain as the clients’ requests, partners forming working teams or so called team formation and utilization, and delivering of solutions or services to clients. Based on extensive literature review, we hypothesize that HPWS have a positive impact on the professional service supply chain performance and the team formation and utilization mediates the link. We also hypothesize the positive link between the professional service supply chain performance and the overall organisational firm performance. Employing survey method, data was collected from 93 accounting firms at two time points. In May 2010 (Time 1), a survey including questions on HPWS, team formation and utilization and professional service supply chain performance were sent out to the managing partners and HR directors in accounting firms based in Ireland. Around one year later (Time 2), another survey measuring firm performance was sent out. This data allowed us to establish causal pattern in our results. Hierarchical regression analysis was used to analyse data to test hypotheses.Findings - The results indicate the positive link between HPWS and the professional service supply chain performance. The team formation and utilization mediates the above relationship. In addition, professional service supply chain performance was found to be positively linked to the firm performance. Research limitations/implications - The present study is limited in terms of sample size, single industry and self-report data. Future research also needs to examine more mediators or moderators – the mechanisms through which HPWS work on the professional service supply chain.Practical implications - Firms using higher level of HPWS experience better professional service supply chain performance. Human resource management practices that promote employees’ ability, motivation and opportunities which allow teams to be formed more effectively to work with clients enhance organizational performance and higher profit levels. Managers able to effectively adopt and implement these teamwork-based HR practices and encourage and support employees’ collaboration through such practices enhance the firm’s professional service supply chain effectiveness and its organisational performance.Originality/value - This is one of the few studies to analyse the professional service supply chain management and assess the human resource management and supply chain management link. Moreover, it is the first study which empirically establishes the link between human resource management with professional service supply chain performance in PSFs.

Integration: Attitudes, Patterns and Practices

Wed, 24 Apr 2013 00:00:00 +0100

Abstract

Purpose - This work has two main objectives: 1) to obtain a set of scales for measuring the patterns, attitudes and practices of integration that can be extrapolated to different scopes (both internal and external) and participants (supplier and customer) within the supply chain; and 2) to evaluate the relations between the different components of integration. Design/methodology/approach - Based on previous literature on the content, measurement and scope of the concept of integration, a model is presented and tested using structural equation modelling. Data were collected from 450 enterprises from the Spanish construction materials sector.Findings - Our results suggest that integration is a multidimensional concept that covers the different organisational levels of the company: corporate through attitudes; strategic through patterns, and operative through practices. These components have a different structure and, although attitudes and patterns behave similarly, practices do not, and so there is no single dimension of integration that includes the three levels. With regard to scope, internal and external integration are related but do not constitute one single concept of integration. It therefore cannot be measured as a single dimension in order to relate the integration of the firm with its performance.Research limitations/implications - From a methodological point of view, data were collected from a single sector, in a single moment in time and with a single respondent in each company.Practical implications - Patterns and attitudes have a complete, corporative and strategic content, whereas practices are independent from each other and have a more operational vision.Originality/value - Unlike studies that analyse integration and its relationship with outcomes, this work focuses on the concept of integration itself by analysing its three components. Thus, it extends the study of internal and external integration and focuses on the behaviour of the enterprise with two different members of the supply chain (suppliers and customers), thereby extending the analysis beyond the dyad.

Exploring the role of Social Capital in facilitating Supply Chain resilience

Wed, 24 Apr 2013 00:00:00 +0100

Abstract

Purpose - There has been limited research examining the influence of inter-organisational relationships and the social capital they may nurture in building SCRES. We explore how three dimensions of social capital (cognitive, structural and relational) may act as facilitators or enablers of the four formative capabilities for SCRES (i.e. flexibility, velocity, visibility, and collaboration), identified in Jüttner and Maklan, (2011).Design/methodology/approach - Data were collected from three separate tiers of the supply chain involved in the response to an extreme event (The Lambrigg, UK rail crash). Using a social constructionist approach it explores how social capital may enable the emergence of formative capabilities for resilience.Findings - The data suggest that the dimensions of social capital may play an influential role in facilitating the four formative capabilities for SCRES and indicates the potential for these to be mutually reinforcing.Research limitations/implications - The paper provides an illustration of some links between resilience and social capital constructs within one supply network, in the context of crisis response. Different types of network and contexts may result in other outcomes and have other facilitating effects upon SCRES. These findings should be explored within other contexts.Practical implications - We highlight that social capital may be nurtured deliberately or emerge as a consequence of relationships within a network. Formal efforts to build network communications, norms of reciprocity may create the conditions for appropriable organisations to emerge when faced with extreme events.Originality/value - Drawing from a social capital perspective this paper contributes to a fuller understanding of notions of relational capital.

Centralised supply chain planning at IKEA

Wed, 24 Apr 2013 00:00:00 +0100

Abstract

Purpose - The purpose is to analyse the prerequisites and effects of centralised supply chain planning at IKEA, and to explore how the planning process, planning system, and planning organization make up a centralised planning approach.Design/methodology/approach - The paper is based on a longitudinal case study of IKEA's implementation of global supply chain planning. The literature review generated a framework which identifies prerequisites for, approaches to, and the effects of and obstacles to centralised supply chain planning. This framework was used to analyse IKEA’s supply chain planning before and after the implementation. Finally, we reflected upon the learning from IKEA and refined the framework.Findings - A number of prerequisites for centralised supply chain planning were identified: functional products, vertical integration, a dominating organization possessing the power and competence to enforce the implementation, and the use of one planning domain possessing all critical planning information. The direct effects of centralised supply chain planning were related to supply chain integration, standardisation, specialisation, and learning effects. Implementing centralised supply chain planning in an appropriate planning context led to several operational performance improvements. Obstacles were mainly related to human and organizational, as well as to software and data issues.Research limitations/implications - This is a first approach towards development of a framework of how to design, use and benefit from centralised supply chain planning. The developed conceptual model, which is refined through the case study, offers some generalizability in researching centralised supply chain planning.Practical implications - The findings show that centralised supply chain planning is a necessity for a large and growing, global supply chain striving for low-cost production and efficiency.Originality/value - IKEA is a unique case with its supply chain characteristics and recently implemented planning concept.