Search results for: supply chain performance indicators
Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 16567

Search results for: supply chain performance indicators

16477 Application of Fuzzy Clustering on Classification Agile Supply Chain Firms

Authors: Hamidreza Fallah Lajimi, Elham Karami, Alireza Arab, Fatemeh Alinasab

Abstract:

Being responsive is an increasingly important skill for firms in today’s global economy; thus firms must be agile. Naturally, it follows that an organization’s agility depends on its supply chain being agile. However, achieving supply chain agility is a function of other abilities within the organization. This paper analyses results from a survey of 71 Iran manufacturing companies in order to identify some of the factors for agile organizations in managing their supply chains. Then we classification this company in four cluster with fuzzy c-mean technique and with Four validations functional determine automatically the optimal number of clusters.

Keywords: agile supply chain, clustering, fuzzy clustering, business engineering

Procedia PDF Downloads 674
16476 Inventory Policy with Continuous Price Reduction in Solar Photovoltaic Supply Chain

Authors: Xiangrong Liu, Chuanhui Xiong

Abstract:

With the concern of large pollution emissions from coal-fired power plants and new commitment to green energy, global solar power industry was emerging recently. Due to the advanced technology, the price of solar photovoltaic(PV) module was reduced at a fast rate, which arose an interesting but challenge question to solar supply chain. This research is modeling the inventory strategies for a PV supply chain with a PV manufacturer, an assembler and an end customer. Through characterizing the manufacturer's and PV assembler's optimal decision in decentralized and centralized situation, this study shed light on how to improve supply chain performance through parameters setting in the contract design. The results suggest the assembler to lower the optimal stock level gradually each period before price reduction and set up a newsvendor base-stock policy in all periods after price reduction. As to the PV module manufacturer, a non-stationary produce-up-to policy is optimal.

Keywords: photovoltaic, supply chain, inventory policy, base-stock policy

Procedia PDF Downloads 326
16475 Industry 4.0 and Supply Chain Integration: Case of Tunisian Industrial Companies

Authors: Rym Ghariani, Ghada Soltane, Younes Boujelbene

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Industry 4.0, a set of emerging smart and digital technologies, has been the main focus of operations management researchers and practitioners in recent years. The objective of this research paper is to study the impact of Industry 4.0 on the integration of the supply chain (SCI) in Tunisian industrial companies. A conceptual model to study the relationship between Industry 4.0 technologies and supply chain integration was designed. This model contains three explained variables (Big data, Internet of Things, and Robotics) and one variable to be explained (supply chain integration). In order to answer our research questions and investigate the research hypotheses, principal component analysis and discriminant analysis were used using SPSS26 software. The results reveal that there is a statistically positive impact significant impact of Industry 4.0 (Big data, Internet of Things and Robotics) on the integration of the supply chain. Interestingly, big data has a greater positive impact on supply chain integration than the Internet of Things and robotics.

Keywords: industry 4.0 (I4.0), big data, internet of things, robotics, supply chain integration

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16474 Research on Supply Chain Coordination Based on Lateral Transshipment in the Background of New Retail

Authors: Yue Meng, Lingyun Wei

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In this paper, the coordination problem of a supply chain system composed of multiple retailers and manufacturers is studied under the background of the new retail supply chain. Taking a system composed of two retailers and one manufacturer as an example, this paper introduces an online store owned by the manufacturer to reflect the characteristics of the combination of online and offline new retail. Then, this paper gives the conditions that need to be satisfied to realize the coordination between retailers and manufacturers, such as the revenue sharing coefficient. The supply chain coordination model is compared with the newsboy model through a specific example. Finally, the conclusion is drawn that the profits of the coordinated supply chain and its members are better than the corresponding profits under the newsboy model; that is, the coordination of the supply chain is realized by using the revenue sharing contract and the transshipment fund mechanism.

Keywords: transshipment, coordination, multi-retailer, revenue-sharing contract

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16473 Transforming the Hazelnut Supply Chain: Opportunities and Challenges for Ontario Agri-Businesses

Authors: Kalinga Jagoda

Abstract:

With changing population demographics and consumer preferences, specialty crops present significant opportunities for Ontario agri-businesses to develop niche markets. However, the greater rewards offered by such opportunities come with comparable challenges that are driven by specific productmarket attributes, as well as supply and demand-side factors, including certain risks. Thus, initiatives to promote and support such sectors need to be informed by an understanding of the impact of these product-market and industry specific factors on supply chain development. To this end, this project proposes to map selected specialty crops supply chains, using a suite of tested methodological approaches to evaluate their market potential, considering total supply chain costs, lead times and responsiveness. The project will deliver comprehensive supply chain maps identifying the points of value addition and value capture that are of benefit to key stakeholders for the purposes of developing policy interventions, conducting market appraisals and identifying industry best practices.

Keywords: supply chain management, hazelnut industry, supply chain maps, market opportunity

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16472 Supply Chain Network Design for Perishable Products in Developing Countries

Authors: Abhishek Jain, Kavish Kejriwal, V. Balaji Rao, Abhigna Chavda

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Increasing environmental and social concerns are forcing companies to take a fresh view of the impact of supply chain operations on environment and society when designing a supply chain. A challenging task in today’s food industry is the distribution of high-quality food items throughout the food supply chain. Improper storage and unwanted transportation are the major hurdles in food supply chain and can be tackled by making dynamic storage facility location decisions with the distribution network. Since food supply chain in India is one of the biggest supply chains in the world, the companies should also consider environmental impact caused by the supply chain. This project proposes a multi-objective optimization model by integrating sustainability in decision-making, on distribution in a food supply chain network (SCN). A Multi-Objective Mixed-Integer Linear Programming (MOMILP) model between overall cost and environmental impact caused by the SCN is formulated for the problem. The goal of MOMILP is to determine the pareto solutions for overall cost and environmental impact caused by the supply chain. This is solved by using GAMS with CPLEX as third party solver. The outcomes of the project are pareto solutions for overall cost and environmental impact, facilities to be operated and the amount to be transferred to each warehouse during the time horizon.

Keywords: multi-objective mixed linear programming, food supply chain network, GAMS, multi-product, multi-period, environment

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16471 The Impact of Supply Chain Relationship Quality on Cooperative Strategy and Visibility

Authors: Jung-Hsuan Hsu

Abstract:

Due to intense competition within the industry, companies have increasingly recognized partnerships with other companies. In addition, with outsourcing and globalization of the supply chain, it leads to companies' increasing reliance on external resources. Consequently, supply chain network becomes complex, so that it reduces the visibility of the manufacturing process. Therefore, this study is going to focus on the impact of supply chain relationship quality (SCRQ) on cooperative strategy and visibility. Questionnaire survey is going to be conducted as research method, using the organic food industry as the research subject, and the sampling method is random sampling. Finally, the data analysis will use SPSS statistical software and AMOS software to analyze and verify the hypothesis. The expected results in this study is to evaluate the supply chain relationship quality between Taiwan's food manufacturing and their suppliers regarding whether it has a positive impact for the persistence, frequency and diversity of cooperative strategy, as well as the dimensions of supply chain relationship quality on visibility regarding whether it has a positive effect.

Keywords: supply chain relationship quality (SCRQ), cooperative strategy, visibility, competition

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16470 Closed-Loop Supply Chain: A Study of Bullwhip Effect Using Simulation

Authors: Siddhartha Paul, Debabrata Das

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Closed-loop supply chain (CLSC) management focuses on integrating forward and reverse flow of material as well as information to maximize value creation over the entire life-cycle of a product. Bullwhip effect in supply chain management refers to the phenomenon where a small variation in customers’ demand results in larger variation of orders at the upstream levels of supply chain. Since the quality and quantity of products returned to the collection centers (as a part of reverse logistics process) are uncertain, bullwhip effect is inevitable in CLSC. Therefore, in the present study, first, through an extensive literature survey, we identify all the important factors related to forward as well as reverse supply chain which causes bullwhip effect in CLSC. Second, we develop a system dynamics model to study the interrelationship among the factors and their effect on the performance of overall CLSC. Finally, the results of the simulation study suggest that demand forecasting, lead times, information sharing, inventory and work in progress adjustment rate, supply shortages, batch ordering, price variations, erratic human behavior, parameter correcting, delivery time delays, return rate of used products, manufacturing and remanufacturing capacity constraints are the important factors which have a significant influence on system’s performance, specifically on bullwhip effect in a CLSC.

Keywords: bullwhip effect, closed-loop supply chain, system dynamics, variance ratio

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16469 Optimal Wheat Straw to Bioethanol Supply Chain Models

Authors: Abdul Halim Abdul Razik, Ali Elkamel, Leonardo Simon

Abstract:

Wheat straw is one of the alternative feedstocks that may be utilized for bioethanol production especially when sustainability criteria are the major concerns. To increase market competitiveness, optimal supply chain plays an important role since wheat straw is a seasonal agricultural residue. In designing the supply chain optimization model, economic profitability of the thermochemical and biochemical conversion routes options were considered. It was found that torrefied pelletization with gasification route to be the most profitable option to produce bioethanol from the lignocellulosic source of wheat straw.

Keywords: bio-ethanol, optimization, supply chain, wheat straw

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16468 Supply Chain Management in the Oil Industry: Challenges and Opportunities

Authors: Mehmood Faisal

Abstract:

In this globalization era, the supply chain management has acquired strategic importance in diverse business environments. In the current highly competitive business environment, the success of any business considerably depends on the efficiency of the supply chain. The importance of petroleum industry cannot be avoided in the global market; however, supply chain management in the petroleum industry is facing various challenges, particularly in the logistics area. These logistical challenges have a main influence on the cost of crude oil; therefore, the opportunities to save cost in logistics still do exist. The large oil producing companies are undertaking future contracts through 'swaps or options' practice that saves their millions of dollars. The objective of this paper is to throw light on the supply chain challenges and opportunities in the oil industry and on swap practices which are widely employed by large oil producing companies around the world, such as Chevron Corporation, Saudi Arabian Oil Company, BP and Exxon Mobil.

Keywords: logistics, oil industry, swap practice, supply chain management

Procedia PDF Downloads 135
16467 Predictability of Supply Chain in Indian Automobile Division

Authors: Dharamvir Mangal

Abstract:

Supply chain management has increasingly become an inevitable challenge to most companies to continuously survive and prosper in the global chain-based competitive environment. The current challenges of the Indian automotive world, their implications on supply chain are summarized and analyzed in this paper. In this competitive era of ‘LPG’ i.e. Liberalization, Privatization and Globalization, modern marketing systems, introduction of products with short life cycles, and the discriminating expectations of customers have enforced business enterprises to invest in and focus attention on their Supply Chains (SCs) in order to meet out the level of customer’s satisfaction and to survive in the competitive market. In fact, many of trends in the auto industry are reinforcing the need to redefine supply chain strategies layouts, and operations etc. Many manufacturing operations are designed to maximize throughput and lower costs with modest considerations for the crash on inventory levels and distribution capabilities. To improve profitability and efficiency, automotive players are seeking ways to achieve operational excellence, reduce operating cost and enhance customer service through efficient supply chain management.

Keywords: automotive industry, supply chain, challenges, market potential

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16466 Deep Reinforcement Learning for Optimal Decision-Making in Supply Chains

Authors: Nitin Singh, Meng Ling, Talha Ahmed, Tianxia Zhao, Reinier van de Pol

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We propose the use of reinforcement learning (RL) as a viable alternative for optimizing supply chain management, particularly in scenarios with stochasticity in product demands. RL’s adaptability to changing conditions and its demonstrated success in diverse fields of sequential decision-making makes it a promising candidate for addressing supply chain problems. We investigate the impact of demand fluctuations in a multi-product supply chain system and develop RL agents with learned generalizable policies. We provide experimentation details for training RL agents and statistical analysis of the results. We study the generalization ability of RL agents for different demand uncertainty scenarios and observe superior performance compared to the agents trained with fixed demand curves. The proposed methodology has the potential to lead to cost reduction and increased profit for companies dealing with frequent inventory movement between supply and demand nodes.

Keywords: inventory management, reinforcement learning, supply chain optimization, uncertainty

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16465 The Supply Chain Operation Reference Model Adaptation in the Developing Countries: An Empirical Study on the Egyptian Automotive Sector

Authors: Alaa Osman, Sara Elgazzar, Breksal Elmiligy

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The Supply Chain Operation Reference (SCOR) model is considered one of the most widely implemented supply chain performance measurement systems (SCPMSs). Several studies have been proposed on the SCOR model adaptation in developed countries context; while there is a limited availability of previous work on the SCPMSs application generally and the SCOR model specifically in developing nations. This paper presents a research agenda on the SCOR model adaptation in the developing countries. It aims at investigating the challenges of adapting the SCOR model to manage and measure supply chain performance in developing countries. The research will exemplify the system in the Egyptian automotive sector to gain a comprehensive understanding of how the application of the SCOR model can affect the performance of automotive companies in Egypt, with a necessary understanding of challenges and obstacles faced the adaptation of the model in the Egyptian supply chain context. An empirical study was conducted on the Egyptian automotive sector in three companies considering three different classes: BMW, Hyundai and Brilliance. First, in-depth interviews were carried out to gain an insight into the implementation and the relevance of the concepts of supply chain management and performance measurement in the Egyptian automotive industry. Then, a formal survey was designed based on the SCOR model five main processes (plan, source, make, deliver and return) and best practices to investigate the challenges and obstacles faced the adaptation of the SCOR model in the Egyptian automotive supply chain. Finally, based on the survey results, the appropriate best practices for each process were identified in order to overcome the SCOR model adaptation challenges. The results showed that the implementation of the SCOR model faced different challenges and unavailability of the required enablers. The survey highlighted the low integration of end-to-end supply chain, lacks commitment for the innovative ideas and technologies, financial constraints and lack of practical training and support as the main challenges faced the adaptation of the SCOR model in the Egyptian automotive supply chain. The research provides an original contribution to knowledge by proposing a procedure to identify challenges encountered during the process of SCOR model adoption which can pave a way for further research in the area of SCPMSs adaptation, particularly in the developing countries. The research can help managers and organizations to identify obstacles and difficulties of the SCOR model adaptation, subsequently this can facilitate measuring the improved performance or changes in the organizational performance.

Keywords: automotive sector, developing countries, SCOR model, supply chain performance

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16464 Three-Stage Mining Metals Supply Chain Coordination and Product Quality Improvement with Revenue Sharing Contract

Authors: Hamed Homaei, Iraj Mahdavi, Ali Tajdin

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One of the main concerns of miners is to increase the quality level of their products because the mining metals price depends on their quality level; however, increasing the quality level of these products has different costs at different levels of the supply chain. These costs usually increase after extractor level. This paper studies the coordination issue of a decentralized three-level supply chain with one supplier (extractor), one mineral processor and one manufacturer in which the increasing product quality level cost at the processor level is higher than the supplier and at the level of the manufacturer is more than the processor. We identify the optimal product quality level for each supply chain member by designing a revenue sharing contract. Finally, numerical examples show that the designed contract not only increases the final product quality level but also provides a win-win condition for all supply chain members and increases the whole supply chain profit.

Keywords: three-stage supply chain, product quality improvement, channel coordination, revenue sharing

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16463 Sustainability of Green Supply Chain for a Steel Industry Using Mixed Linear Programing Model

Authors: Ameen Alawneh

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The cost of material management across the supply chain represents a major contributor to the overall cost of goods in many companies both manufacturing and service sectors. This fact combined with the fierce competition make supply chains more efficient and cost effective. It also requires the companies to improve the quality of the products and services, increase the effectiveness of supply chain operations, focus on customer needs, reduce wastes and costs across the supply chain. As a heavy industry, steel manufacturing companies in particular are nowadays required to be more environmentally conscious due to their contribution to air, soil, and water pollution that results from emissions and wastes across their supply chains. Steel companies are increasingly looking for methods to reduce or cost cut in the operations and provide extra value to their customers to stay competitive under the current low margins. In this research we develop a green framework model for the sustainability of a steel company supply chain using Mixed integer Linear programming.

Keywords: Supply chain, Mixed Integer linear programming, heavy industry, water pollution

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16462 The Design of Information Technology System for Traceability of Thailand’s Tubtimjun Roseapple

Authors: Pimploi Tirastittam, Phutthiwat Waiyawuththanapoom, Sawanath Treesathon

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As there are several countries which import agriculture product from Thailand, those countries demand Thailand to establish the traceability system. The traceability system is the tool to reduce the risk in the supply chain in a very effective way as it will help the stakeholder in the supply chain to identify the defect point which will reduce the cost of operation in the supply chain. This research is aimed to design the traceability system for Tubtimjun roseapple for exporting to China, and it is the qualitative research. The data was collected from the expert in the tuntimjun roseapple and fruit exporting industry, and the data was used to design the traceability system. The design of the tubtimjun roseapple traceability system was followed the theory of supply chain which starts from the upstream of the supply chain to the downstream of the supply chain to support the process and condition of the exporting which included the database designing, system architecture, user interface design and information technology of the traceability system.

Keywords: design information, technology system, traceability, tubtimjun roseapple

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16461 Greening of Supply Chains: Benefits and Challenges Faced

Authors: Anurag Reddy Ramireddy, Abrar Ahmed, G. Sourya Sri Harsha, Pushkala Muralidharan

Abstract:

Supply chains have been developing over time since the inception of commercial trade and barter. The Green Supply Chain Management (GSCM) is a powerful way to differentiate a company from its competitors and it can greatly influence the plan success. With increased awareness to corporate responsibility and the requirement to meet the terms with environmental policy, GSCM is becoming increasingly important for companies. This paper explains the concept of green supply chain management, the difference between conventional supply chain management and green supply management and how GSCM benefits organizations while at the same time supporting a sustainable environment system. An effort has also been made to analyse research already done in this field while exploring the challenges and barriers that organizations face in implementing GSCM practices in their existing systems.

Keywords: corporate social responsibility, green supply chain management, sustainability

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16460 Contemplating Preference Ratings of Corporate Social Responsibility Practices for Supply Chain Performance System Implementation

Authors: Mohit Tyagi, Pradeep Kumar

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The objective of this research work is to identify and analyze the significant corporate social responsibility (CSR) practices with an aim to improve the supply chain performance of automobile industry located at National Capital Region (NCR) of India. To achieve the objective, 6 CSR practices have been considered and analyzed using expert’s preference rating (EPR) approach. The considered CSR practices are namely, Top management and employee awareness about CSR (P1), Employee involvement in social and environmental problems (P2), Protection of human rights (P3), Waste reduction, energy saving and water conservation (P4), Proper visibility of CSR guidelines (P5) and Broad perception towards CSR initiatives (P6). The outcomes of this research may help mangers in decision making processes and framing polices for SCP implementation under CSR context.

Keywords: supply chain performance, corporate social responsibility, CSR practices, expert’s preference rating approach

Procedia PDF Downloads 312
16459 Green Closed-Loop Supply Chain Network Design Considering Different Production Technologies Levels and Transportation Modes

Authors: Mahsa Oroojeni Mohammad Javad

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Globalization of economic activity and rapid growth of information technology has resulted in shorter product lifecycles, reduced transport capacity, dynamic and changing customer behaviors, and an increased focus on supply chain design in recent years. The design of the supply chain network is one of the most important supply chain management decisions. These decisions will have a long-term impact on the efficacy and efficiency of the supply chain. In this paper, a two-objective mixed-integer linear programming (MILP) model is developed for designing and optimizing a closed-loop green supply chain network that, to the greatest extent possible, includes all real-world assumptions such as multi-level supply chain, the multiplicity of production technologies, and multiple modes of transportation, with the goals of minimizing the total cost of the chain (first objective) and minimizing total emissions of emissions (second objective). The ε-constraint and CPLEX Solver have been used to solve the problem as a single-objective problem and validate the problem. Finally, the sensitivity analysis is applied to study the effect of the real-world parameters’ changes on the objective function. The optimal management suggestions and policies are presented.

Keywords: closed-loop supply chain, multi-level green supply chain, mixed-integer programming, transportation modes

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16458 The Importance of Supply Chain Management in Prosperity of Organizations

Authors: Seyedeza Baharisaravi

Abstract:

As we know, we are living in the hyper competitive environment and all of companies strive hard to engross more and more customers. Thus, in this milieu, we should produce and deliver diverse commodities, regarding with the consumers' interests. So, all companies elicit that they should pay attention on the external resources besides the internal ones. Hence, the meaning of supply chain management has been introduced as a fundamental issue for global e-business, e-commerce and e-government. The present paper explains prominences, challenges, keys, various descriptions, advantages and disadvantages, globalization and the future of one of the vital issues in the business realm which is supply chain management (SCM). This issue is one of the newest concepts of business science that has transformed the essence of every business and attitude of marketers.

Keywords: SCM concepts, supply chain management, the importance of SCM, SCM in organization

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16457 A Framework for Supply Chain Efficiency Evaluation of Mass Customized Automobiles

Authors: Arshia Khan, Hans-Dietrich Haasis

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Different tools of the supply chain should be managed very efficiently in mass customization. In the automobile industry, there are different strategies to manage these tools. We need to investigate which strategies among the different ones are successful and which are not. There is lack in literature regarding such analysis. Keeping this in view, the purpose of this paper is to construct a framework and model which can help to analyze the supply chain of mass customized automobiles quantitatively for future studies. Furthermore, we will also consider that which type of data can be used for the suggested model and where it can be taken from. Such framework can help to bring insight for future analysis.

Keywords: mass customization, supply chain, inventory, distribution, automobile industry

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16456 Duality of Leagility and Governance: A New Normal Demand Network Management Paradigm under Pandemic

Authors: Jacky Hau

Abstract:

The prevalence of emerging technologies disrupts various industries as well as consumer behavior. Data collection has been in the fingertip and inherited through enabled Internet-of-things (IOT) devices. Big data analytics (BDA) becomes possible and allows real-time demand network management (DNM) through leagile supply chain. To enhance further on its resilience and predictability, governance is going to be examined to promote supply chain transparency and trust in an efficient manner. Leagility combines lean thinking and agile techniques in supply chain management. It aims at reducing costs and waste, as well as maintaining responsiveness to any volatile consumer demand by means of adjusting the decoupling point where the product flow changes from push to pull. Leagility would only be successful when collaborative planning, forecasting, and replenishment (CPFR) process or alike is in place throughout the supply chain business entities. Governance and procurement of the supply chain, however, is crucial and challenging for the execution of CPFR as every entity has to walk-the-talk generously for the sake of overall benefits of supply chain performance, not to mention the complexity of exercising the polices at both of within across various supply chain business entities on account of organizational behavior and mutual trust. Empirical survey results showed that the effective timespan on demand forecasting had been drastically shortening in the magnitude of months to weeks planning horizon, thus agility shall come first and preferably following by lean approach in a timely manner.

Keywords: governance, leagility, procure-to-pay, source-to-contract

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16455 A Method of Improving Out Put Using a Feedback Supply Chain System: Case Study Bramlima

Authors: Samuel Atongaba Danji, Veseke Moleke

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The increase of globalization is a very important part of today’s changing environment and due to this, manufacturing industries have to always come up with methods of continuous improvement of their manufacturing methods in order to be competitive, without which may lead them to be left out of the market due to constant changing customers requirement. Due to this, the need is an advance supply chain system which prevents a number of issues that can prevent a company from being competitive. In this work, we developed a feedback control supply chain system which streamline the entire process in order to improve competitiveness and the result shows that when applied in a different geographical area, the output varies.

Keywords: globalization, supply chain, improvement, manufacturing

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16454 An Application of Bidirectional Option Contract to Coordinate a Dyadic Fashion Apparel Supply Chain

Authors: Arnab Adhikari, Arnab Bisi

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Since the inception, the fashion apparel supply chain is facing the problem of high demand uncertainty. Often the demand volatility compels the corresponding supply chain member to incur substantial holding cost and opportunity cost in case of the overproduction and the underproduction scenario, respectively. It leads to an uncoordinated fashion apparel supply chain. There exist several scholarly works to achieve coordination in the fashion apparel supply chain by employing the different contracts such as the buyback contract, the revenue sharing contract, the option contract, and so on. Specially, the application of option contract in the apparel industry becomes prevalent with the changing global scenario. Exploration of existing literature related to the option contract reveals that most of the research works concentrate on the one direction demand adjustment i.e. either to match the demand upwards or downwards. Here, we present a holistic approach to coordinate a dyadic fashion apparel supply chain comprising one manufacturer and one retailer with the help of bidirectional option contract. We show a combination of wholesale price contract and bidirectional option contract can coordinate the under expanded supply chain. We also propose a framework that captures the variation of the apparel retailer’s order quantity and the apparel manufacturer’s production quantity with the changing exercise price for the different ranges of the option price. We analytically explore that corresponding cost parameters of the supply chain members along with the nature of demand distribution play an instrumental role in the coordination as well as the retailer’s ordering decision.

Keywords: fashion apparel supply chain, supply chain coordination, wholesale price contract, bidirectional option contract

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16453 Lean Thinking and E-Commerce as New Opportunities to Improve Partnership in Supply Chain of Construction Industries

Authors: Kaustav Kundu, Alberto Portioli Staudacher

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Construction industry plays a vital role in the economy of the world. But due to high uncertainty and variability in the industry, its performance is not as efficient in terms of quality, lead times, productivity and costs as of other industries. Moreover, there are continuous conflicts among the different actors in the construction supply chains in terms of profit sharing. Previous studies suggested partnership as an important approach to promote cooperation among the different actors in the construction supply chains and thereby it improves the overall performance. Construction practitioners tried to focus on partnership which can enhance the performance of construction supply chains but they are not fully aware of different approaches and techniques for improving partnership. In this research, a systematic review on partnership in relation to construction supply chains is carried out to understand different elements influencing the partnership. The research development of this domain is analyzed by reviewing selected articles published from 1996 to 2015. Based on the papers, three major elements influencing partnership in construction supply chains are identified: “Lean approach”, “Relationship building” and “E-commerce applications”. This study analyses the contributions in the areas within each element and provides suggestions for future developments of partnership in construction supply chains.

Keywords: partnership, construction, lean, SCM, supply chain management

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16452 Chaotic Control, Masking and Secure Communication Approach of Supply Chain Attractor

Authors: Unal Atakan Kahraman, Yilmaz Uyaroğlu

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The chaotic signals generated by chaotic systems have some properties such as randomness, complexity and sensitive dependence on initial conditions, which make them particularly suitable for secure communications. Since the 1990s, the problem of secure communication, based on chaos synchronization, has been thoroughly investigated and many methods, for instance, robust and adaptive control approaches, have been proposed to realize the chaos synchronization. In this paper, an improved secure communication model is proposed based on control of supply chain management system. Control and masking communication simulation results are used to visualize the effectiveness of chaotic supply chain system also performed on the application of secure communication to the chaotic system. So, we discover the secure phenomenon of chaos-amplification in supply chain system

Keywords: chaotic analyze, control, secure communication, supply chain attractor

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16451 The Effect of Supplier Trust and Top Management Involvement on Supply Chain Risk Management through Buyer-Supplier Relationship

Authors: Hotlan Siagian, Han Tae Hee

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This study aims to examine the effect of supplier trust and top management involvement on the supply chain risk management through buyer-supplier relationship. The population of the research is 44 Korean companies domiciled in East and Central Java of Indonesia. The respondent consists of a top management level from each company. Data collection used a questionnaire designed with five-item Likert scale. Collected data were analyzed using structural equation modeling (SEM) technique with SmartPLS software version 3.0 to examine the hypotheses. The result revealed that supplier trust has an effect on supply chain risk management, top management involvement affects supply chain risk management, supplier trust influences buyer-supplier relationship, top management involvement affects the buyer-supplier relationship, and buyer-supplier relationship affects supply chain risk management. The last finding is that buyer-supplier relationship empirically mediates the effect of supplier trust and top management involvement.

Keywords: buyer supplier relationship, supplier trust, supply chain risk management, top management involvement

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16450 Design and Optimization of Open Loop Supply Chain Distribution Network Using Hybrid K-Means Cluster Based Heuristic Algorithm

Authors: P. Suresh, K. Gunasekaran, R. Thanigaivelan

Abstract:

Radio frequency identification (RFID) technology has been attracting considerable attention with the expectation of improved supply chain visibility for consumer goods, apparel, and pharmaceutical manufacturers, as well as retailers and government procurement agencies. It is also expected to improve the consumer shopping experience by making it more likely that the products they want to purchase are available. Recent announcements from some key retailers have brought interest in RFID to the forefront. A modified K- Means Cluster based Heuristic approach, Hybrid Genetic Algorithm (GA) - Simulated Annealing (SA) approach, Hybrid K-Means Cluster based Heuristic-GA and Hybrid K-Means Cluster based Heuristic-GA-SA for Open Loop Supply Chain Network problem are proposed. The study incorporated uniform crossover operator and combined crossover operator in GAs for solving open loop supply chain distribution network problem. The algorithms are tested on 50 randomly generated data set and compared with each other. The results of the numerical experiments show that the Hybrid K-means cluster based heuristic-GA-SA, when tested on 50 randomly generated data set, shows superior performance to the other methods for solving the open loop supply chain distribution network problem.

Keywords: RFID, supply chain distribution network, open loop supply chain, genetic algorithm, simulated annealing

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16449 Implementation of Distributor Management Solution and Its Effects on Supply Chain Performance

Authors: Charles Amoatey, Ebenezer Kumah

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Purpose: The purpose of this paper is to assess the effects of implementation of Distributor Management Solution (DMS) on supply chain performance in the Fast Moving Consumer Goods (FMCG) industry in Ghana. Methodology: A purposive sampling approach was used in selecting the respondents for the study. Data was collected from senior management and field supervisors from sales, distribution and customer service units of the case study firm and its channel members. This study made use of systematic literature review and results of survey data analysis to assess how information system has been used to improve supply chain performance. Findings: Results from the study showed that the critical effect factors from implementation of a DMS include (1) Obtain prompt and reliable feedback from the market; (2) Building the capacity and skills levels of employees as well as 3rd Party Agents; (3) Motivated top management to invest in MIS; and (4) Performance improvement in sales route management. The most critical challenges to an effective and sustainable MIS implementation are lack of enough trained IT employees and high barriers to cultural change especially with distributors. The paper recommends consistent investment in IS infrastructure and development of IT skills. Research limitations/implications: This study contributes to the literature by exploring the effects of distribution management solution implementation and supply chain performance in a developing country context. Considering the fact that this study is based on data from only one case study firm and its channel members, generalization of the results should be treated with caution. Practical implications: The findings have confirmed the benefits of implementing a Management Information System. The result should encourage channel members to allocate adequate resources for building MIS capacity to enhance their supply chain performance. Originality/Value: In this paper, the relationship between DMS/MIS implementation and improvement in supply chain performance, in the Ghanaian context, has been established.

Keywords: distributor management solution, fast-moving consumer goods, supply chain management, information systems, Ghana

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16448 A Neural Network Approach to Evaluate Supplier Efficiency in a Supply Chain

Authors: Kishore K. Pochampally

Abstract:

The success of a supply chain heavily relies on the efficiency of the suppliers involved. In this paper, we propose a neural network approach to evaluate the efficiency of a supplier, which is being considered for inclusion in a supply chain, using the available linguistic (fuzzy) data of suppliers that already exist in the supply chain. The approach is carried out in three phases, as follows: In phase one, we identify criteria for evaluation of the supplier of interest. Then, in phase two, we use performance measures of already existing suppliers to construct a neural network that gives weights (importance values) of criteria identified in phase one. Finally, in phase three, we calculate the overall rating of the supplier of interest. The following are the major findings of the research conducted for this paper: (i) linguistic (fuzzy) ratings of suppliers such as 'good', 'bad', etc., can be converted (defuzzified) to numerical ratings (1 – 10 scale) using fuzzy logic so that those ratings can be used for further quantitative analysis; (ii) it is possible to construct and train a multi-level neural network in order to determine the weights of the criteria that are used to evaluate a supplier; and (iii) Borda’s rule can be used to group the weighted ratings and calculate the overall efficiency of the supplier.

Keywords: fuzzy data, neural network, supplier, supply chain

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