Search results for: Sustainable Supply Chain
Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 7423

Search results for: Sustainable Supply Chain

7333 An Application of Bidirectional Option Contract to Coordinate a Dyadic Fashion Apparel Supply Chain

Authors: Arnab Adhikari, Arnab Bisi

Abstract:

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

Procedia PDF Downloads 418
7332 Chaotic Control, Masking and Secure Communication Approach of Supply Chain Attractor

Authors: Unal Atakan Kahraman, Yilmaz Uyaroğlu

Abstract:

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

Procedia PDF Downloads 484
7331 The Effect of Supplier Trust and Top Management Involvement on Supply Chain Risk Management through Buyer-Supplier Relationship

Authors: Hotlan Siagian, Han Tae Hee

Abstract:

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

Procedia PDF Downloads 178
7330 Using Virtual Reality to Convey the Information of Food Supply Chain

Authors: Xinrong Li, Jiawei Dai

Abstract:

Food production, food safety, and the food supply chain are causing a great challenge to human health and the environment. Different kinds of food have different environmental costs. Therefore, a healthy diet can alleviate this problem to a certain extent. In this project, an online questionnaire was conducted to understand the purchase behaviour of consumers and their attitudes towards basic food information. However, the data shows that the public's current consumption habits and ideology do not meet the long-term development of sustainable social needs. In order to solve the environmental problems caused by the unbalanced diet of the public and the social problems of unequal food distribution, the purpose of this paper is to explore how to use the emerging media of VR to visualize food supply chain information so as to attract users' attention to the environmental cost of food. In this project, the food supply chain of imported and local cheese was compared side-by-side in the virtual reality environment, including the origin, transportation, sales, and other processes, which can effectively help users understand the difference between the two processes and environmental costs. Besides, the experimental data demonstrated that the participant would like to choose low environmental cost food after experiencing the whole process.

Keywords: virtual reality, information design, food supply chain, environmental cost

Procedia PDF Downloads 68
7329 Information Technology Impacts on the Supply Chain Performance: Case Study Approach

Authors: Kajal Zarei

Abstract:

Supply chain management is becoming an increasingly important issue in many businesses today. In such circumstances, a number of reasons such as management deficiency in different segments of the supply chain, lack of streamlined processes, resistance to change the current systems and technologies, and lack of advanced information system have paved the ground to ask for innovative research studies. To this end, information technology (IT) is becoming a major driver to overcome the supply chain limitations and deficiencies. The emergence of IT has provided an excellent opportunity for redefining the supply chain to be more effective and competitive. This paper has investigated the IT impact on two-digit industry codes in the International Standard Industrial Classification (ISIC) that are operating in four groups of the supply chains. Firstly, the primary fields of the supply chain were investigated, and then paired comparisons of different industry parts were accomplished. Using experts' ideas and Analytical Hierarchy Process (AHP), the status of industrial activities in Kurdistan Province in Iran was determined. The results revealed that manufacturing and inventory fields have been more important compared to other fields of the supply chain. In addition, IT has had greater impact on food and beverage industry, chemical industry, wood industry, wood products, and production of basic metals. The results indicated the need to IT awareness in supply chain management; in other words, IT applications needed to be developed for the identified industries.

Keywords: supply chain, information technology, analytical hierarchy process, two-digit codes, international standard industrial classification

Procedia PDF Downloads 258
7328 Achieving Supply Chain Competitiveness through Successful Buyer-Supplier Relationships

Authors: Kamran Rashid, Tashfeen M. Azhar, Asad-ur-Rahman Wahla

Abstract:

Current research aims to understand the role of successful buyer-supplier relationship in achieving supply chain competitiveness in a developing country perspective. Five hypotheses are developed to test structural model. Survey data is collected from the manufacturing sector of Pakistan. Analysis is conducted using Partial Least Squares (PLS) Structural Equation Modeling (SEM) through Smart PLS version 2.0 M3. Results demonstrate positive impact of effective supplier selection, buyer-supplier engagement, and information sharing capability on success of buyer supplier relationship. This successful buyer supplier relationship drives the supply chain firm financial and market performance. Additional analyses with large sample sizes are required in other developing countries to cross validate the results. Current study provides empirical evidence of the role of successful buyer supplier relationship in achieving supply chain competitiveness.

Keywords: supply chain management, successful buyer-supplier relationship, supply chain competitiveness, developing country

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7327 Reshoring Strategies for Enhanced Supply Chain Resilience: A Comprehensive Analysis of Procurement Challenges and Solutions in the United States

Authors: Emilia Segun-Ajao

Abstract:

The strategy of relocation aimed at strengthening supply chain resilience in the United States is examined, taking into account recent global disturbances and vulnerabilities in offshore manufacturing. It explains the procurement challenges faced by enterprises and offers solutions to mitigate risks and improve resilience. Through the analysis of innovative approaches, including technological advances, policy considerations, and strategic frameworks, this study provides insights to decision-makers about the complexity of supply chain management. Reshoring has gained attention as a strategy to improve supply chain resilience in the face of global disruptions. This analysis focuses on the importance of relocating as a multifaceted approach to strengthening supply chains, advocating economic benefits, technological advances, and policy frameworks to create a more robust supply landscape in the United States.

Keywords: collaborative partnerships, supply chain resilience, procurement challenges, technology adoption

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7326 Influence of Radio Frequency Identification Technology at Cost of Supply Chain as a Driver for the Generation of Competitive Advantage

Authors: Mona Baniahmadi, Saied Haghanifar

Abstract:

Radio Frequency Identification (RFID) is regarded as a promising technology for the optimization of supply chain processes since it improves manufacturing and retail operations from forecasting demand for planning, managing inventory, and distribution. This study precisely aims at learning to know the RFID technology and at explaining how it can concretely be used for supply chain management and how it can help improving it in the case of Hejrat Company which is located in Iran and works on the distribution of medical drugs and cosmetics. This study uses some statistical analysis to calculate the expected benefits of an integrated RFID system on supply chain obtained through competitive advantages increases with decreasing cost factor. The study investigates how the cost of storage process, labor cost, the cost of missing goods, inventory management optimization, on-time delivery, order cost, lost sales and supply process optimization affect the performance of the integrated RFID supply chain regarding cost factors and provides a competitive advantage.

Keywords: cost, competitive advantage, radio frequency identification, supply chain

Procedia PDF Downloads 246
7325 Supply Chain Collaboration Comparison Practices between Developed and Developing Countries

Authors: Maria Jose Granero Paris, Ana Isabel Jimenez Zarco, Agustin Pablo Alvarez Herranz

Abstract:

In the industrial sector the collaboration along the supply chain is key especially in order to develop product, production methods or process innovations. The access to resources and knowledge not being available inside the company, the achievement of cost competitive solutions, the reduction of the time required to innovate are some of the benefits linked with the collaboration with suppliers. The big industrial manufacturers have a long tradition to collaborate with their suppliers to develop new products in the developed countries. Since they have increased their global supply chains and global sourcing activities, the objective of the research is to analyse if the same best practices, way of working, experiences, information technology tools, governance methodologies are applied when collaborating with suppliers in the developed world or in developing countries. Most of the current research focuses to analyse the Supply Chain Collaboration in the developed countries and in recent years the number of publications related to the Supply Chain Collaboration in developing countries has increased, but there is still a lack of research comparing both and analysing the similarities, differences and key success factors among the Supply Chain Collaboration practices in developed and developing countries. With this gap in mind, the research under preparation will focus on the following goals: -Identify the most important elements required for a successful supply chain collaboration in the developed and developing countries. -Set up the optimal governance framework to manage the supply chain collaboration in the developed and developing countries. -Define some recommendations about required improvements in the current supply chain collaboration business relationship practices in place. Following the case methodology we will analyze the way manufacturers and suppliers collaborate in the development of new products, production methods or process innovations and in the set up of new global supply chains in two industries with different level of technology intensity and collaboration history being the automotive and aerospace industries.

Keywords: global supply chain networks, Supply Chain Collaboration, supply chain governance, supply chain performance

Procedia PDF Downloads 561
7324 Value Analysis Dashboard in Supply Chain Management, Real Case Study from Iran

Authors: Seyedehfatemeh Golrizgashti, Seyedali Dalil

Abstract:

The goal of this paper is proposing a supply chain value dashboard in home appliance manufacturing firms to create more value for all stakeholders via balanced scorecard approach. Balanced scorecard is an effective approach that managers have used to evaluate supply chain performance in many fields but there is a lack of enough attention to all supply chain stakeholders, improving value creation and, defining correlation between value indicators and performance measuring quantitatively. In this research the key stakeholders in home appliance supply chain, value indicators with respect to create more value for stakeholders and the most important metrics to evaluate supply chain value performance based on balanced scorecard approach have been selected via literature review. The most important indicators based on expert’s judgment acquired by in survey focused on creating more value for. Structural equation modelling has been used to disclose relations between value indicators and balanced scorecard metrics. The important result of this research is identifying effective value dashboard to create more value for all stakeholders in the supply chain via balanced scorecard approach and based on an empirical study covering ten home appliance manufacturing firms in Iran. Home appliance manufacturing firms can increase their stakeholder's satisfaction by using this value dashboard.

Keywords: supply chain management, balanced scorecard, value, structural modeling, stakeholders

Procedia PDF Downloads 315
7323 Metrics and Methods for Improving Resilience in Agribusiness Supply Chains

Authors: Golnar Behzadi, Michael O'Sullivan, Tava Olsen, Abraham Zhang

Abstract:

By definition, increasing supply chain resilience improves the supply chain’s ability to return to normal, or to an even more desirable situation, quickly and efficiently after being hit by a disruption. This is especially critical in agribusiness supply chains where the products are perishable and have a short life-cycle. In this paper, we propose a resilience metric to capture and improve the recovery process in terms of both performance and time, of an agribusiness supply chain following either supply or demand-side disruption. We build a model that determines optimal supply chain recovery planning decisions and selects the best resilient strategies that minimize the loss of profit during the recovery time window. The model is formulated as a two-stage stochastic mixed-integer linear programming problem and solved with a branch-and-cut algorithm. The results show that the optimal recovery schedule is highly dependent on the duration of the time-window allowed for recovery. In addition, the profit loss during recovery is reduced by utilizing the proposed resilient actions.

Keywords: agribusiness supply chain, recovery, resilience metric, risk management

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7322 PredictionSCMS: The Implementation of an AI-Powered Supply Chain Management System

Authors: Ioannis Andrianakis, Vasileios Gkatas, Nikos Eleftheriadis, Alexios Ellinidis, Ermioni Avramidou

Abstract:

The paper discusses the main aspects involved in the development of a supply chain management system using the newly developed PredictionSCMS software as a basis for the discussion. The discussion is focused on three topics: the first is demand forecasting, where we present the predictive algorithms implemented and discuss related concepts such as the calculation of the safety stock, the effect of out-of-stock days etc. The second topic concerns the design of a supply chain, where the core parameters involved in the process are given, together with a methodology of incorporating these parameters in a meaningful order creation strategy. Finally, the paper discusses some critical events that can happen during the operation of a supply chain management system and how the developed software notifies the end user about their occurrence.

Keywords: demand forecasting, machine learning, risk management, supply chain design

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7321 Simulation Model for Optimizing Energy in Supply Chain Management

Authors: Nazli Akhlaghinia, Ali Rajabzadeh Ghatari

Abstract:

In today's world, with increasing environmental awareness, firms are facing severe pressure from various stakeholders, including the government and customers, to reduce their harmful effects on the environment. Over the past few decades, the increasing effects of global warming, climate change, waste, and air pollution have increased the global attention of experts to the issue of the green supply chain and led them to the optimal solution for greenery. Green supply chain management (GSCM) plays an important role in motivating the sustainability of the organization. With increasing environmental concerns, the main objective of the research is to use system thinking methodology and Vensim software for designing a dynamic system model for green supply chain and observing behaviors. Using this methodology, we look for the effects of a green supply chain structure on the behavioral dynamics of output variables. We try to simulate the complexity of GSCM in a period of 30 months and observe the complexity of behaviors of variables including sustainability, providing green products, and reducing energy consumption, and consequently reducing sample pollution.

Keywords: supply chain management, green supply chain management, system dynamics, energy consumption

Procedia PDF Downloads 108
7320 The Supply Chain Management and Supply Chain Responsiveness in the Competitiveness of the Agrofood Sector: An Econometric Analysis

Authors: Alma Lucero Ortiz, Mario Gómez

Abstract:

The purpose of this article is to conduct a theoretical and empirical study in order to analyze how the Supply Chain Management (SCM) and Supply Chain Responsiveness (SCR) affects the competitive advantage of the agrofood sector in 2017, in particular, the exporting companies of berries in Mexico. This work is presented in two parts, as a first part is developed a theoretical analysis of the main studies to measure the variables subject to the study. Subsequently an empirical study is carried out through field work and to process the data a logical econometric model is performed to be able to evaluate the effect of the SCM and SCR on the competitive advantage in the companies exporting berries. The results suggest that the SCM has a positive effect on the competitive advantage of the companies under study, so it is necessary to implement greater practices oriented towards a suitable SCM for the companies to achieve a competitive performance. In the case of SCR, it was found that this variable does not have effect on competitive advantage.

Keywords: competitive advantage, econometric model, supply chain management, supply chain responsiveness, sustained competitive advantage

Procedia PDF Downloads 215
7319 Critical Success Factors for Implementation of E-Supply Chain Management

Authors: Mehrnoosh Askarizadeh

Abstract:

Globalization of the economy, e-business, and introduction of new technologies pose new challenges to all organizations. In recent decades, globalization, outsourcing, and information technology have enabled many organizations to successfully operate collaborative supply networks in which each specialized business partner focuses on only a few key strategic activities For this industries supply network can be acknowledged as a new form of organization. We will study about critical success factors (CSFs) for implementation of SCM in companies. It is shown that in different circumstances e- supply chain management has a higher impact on performance.

Keywords: supply chain management, logistics management, critical success factors, information technology, top management support, human resource

Procedia PDF Downloads 376
7318 The Fusion of Blockchain and AI in Supply Chain Finance: Scalability in Distributed Systems

Authors: Wu You, Burra Venkata Durga Kumar

Abstract:

This study examines the promising potential of integrating Blockchain and Artificial Intelligence (AI) technologies to scalability in Distributed Systems within the field of supply chain finance. The finance industry is continually confronted with scalability challenges in its Distributed Systems, particularly within the supply chain finance sector, impacting efficiency and security. Blockchain, with its inherent attributes of high scalability and secure distributed ledger system, coupled with AI's strengths in optimizing data processing and decision-making, holds the key to innovating the industry's approach to these issues. This study elucidates the synergistic interplay between Blockchain and AI, detailing how their fusion can drive a significant transformation in the supply chain finance sector's Distributed Systems. It offers specific use-cases within this field to illustrate the practical implications and potential benefits of this technological convergence. The study also discusses future possibilities and current challenges in implementing this groundbreaking approach within the context of supply chain finance. It concludes that the intersection of Blockchain and AI could ignite a new epoch of enhanced efficiency, security, and transparency in the Distributed Systems of supply chain finance within the financial industry.

Keywords: blockchain, artificial intelligence (AI), scaled distributed systems, supply chain finance, efficiency and security

Procedia PDF Downloads 52
7317 Fuzzy Analytic Hierarchy Process for Determination of Supply Chain Performance Evaluation Criteria

Authors: Ibrahim Cil, Onur Kurtcu, H. Ibrahim Demir, Furkan Yener, Yusuf. S. Turkan, Muharrem Unver, Ramazan Evren

Abstract:

Fuzzy AHP (Analytic Hierarchy Process) method is decision-making way at the end of integrating the current AHP method with fuzzy structure. In this study, the processes of production planning, inventory management and purchasing department of a system were analysed and were requested to decide the performance criteria of each area. At this point, the current work processes were analysed by various decision-makers and comparing each criteria by giving points according to 1-9 scale were completed. The criteria were listed in order to their weights by using Fuzzy AHP approach and top three performance criteria of each department were determined. After that, the performance criteria of supply chain consisting of three departments were asked to determine. The processes of each department were compared by decision-makers at the point of building the supply chain performance system and getting the performance criteria. According to the results, the criteria of performance system of supply chain by using Fuzzy AHP were determined for which will be used in the supply chain performance system in the future.

Keywords: AHP, fuzzy, performance evaluation, supply chain

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7316 Impact of Long-Term Orientation on Product Quality in Supply Chain: An Empirical Analysis

Authors: Qingyu Zhang, Mei Cao

Abstract:

As the environments become increasingly uncertain, firms have attempted to achieve greater supply chain collaboration. Supply chain collaboration can generate significant benefits to its members, e.g., reducing risks and decreasing transaction costs. However, a strong relationship is often related to firm’s culture (e.g., short-term vs. long-term interests). The objective of the study is to explore the effect of long-term oriented culture on product quality in a supply chain. Data was collected through a Web survey of U.S. manufacturing firms. Structural equation modeling (LISREL) was used to analyze the data. The results support the mediating roles of goal congruence and communication in the relationship between long-term orientation and product quality in the supply chain. Goal congruence partially mediates the relationship between long-term orientation and communication; communication completely mediates the relationship between goal congruence and product quality. Without high levels of communication, goal congruence cannot improve product quality in a positive way.

Keywords: communication, long-term orientation, product quality, supply chain

Procedia PDF Downloads 297
7315 Drivers for Relationship Building in the Supply Chain: The Case of Luxury Food

Authors: Kateryna Merkulova, Alessio Castello, Maria Kreuzer

Abstract:

This research investigates the drivers of long-term relationship building between customers and suppliers within the luxury food supply chain, a topic that remains largely unexplored in the current state of academic literature. This paper identifies for the first time the key elements that influence the formation and maintenance of effective supply chain relationships, which are crucial for navigating the complexities of the luxury food industry. In particular, it explores the critical role of trust in a business-to-business context, specifically emphasizing its significance in the luxury food supply chain. Empirically, this research is contextualized in the region of the French Riviera, which offers a gastronomic playground for food enthusiasts, making it ideally suited to explore the luxury food sector. Qualitative in-depth interviews with stakeholders along the luxury supply chain (i.e., suppliers, chefs, restaurant owners, and fine food shop managers) allow identifying key drivers of trustful business relationships. Triangulating different perspectives of stakeholders within the luxury supply chain adds validity and robustness to the findings. The findings have important theoretical and managerial implications for the effective functioning of long-term supplier-buyer relationships.

Keywords: luxury food, relationship building, B2B, supply chain, trust

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7314 Supply Chain Management Practices in Thailand Palm Oil Industry

Authors: Athirat Intajorn

Abstract:

According to the ASEAN free trade areas (AFTA), Thailand has applied the AFTA agreement for reducing tariffs and reflecting changes in business processes. The reflection of changes in agribusiness processes, in particular, has accumulated as production costs for producers. Palm Oil industry has become an important industry to Thailand economic. Thailand currently ranks the 3rd in the world for Crude Palm Oil CPO. Therefore, the scope of this paper presents a research framework to investigate the supply chain management practices in Thailand palm oil industry. This research is limit to literature review. And the proposed framework identifies the criteria of supply chain management for Thailand palm oil industry in order for linkage among entities within logistics management involving plantation, mill, collection port, refinery and cookie from the data utilization. The Supply Chain Management Practices in Thailand Palm Oil Industry framework has a somewhat different view due to the high complexity of agribusiness logistics management.

Keywords: supply chain management, practice, palm oil industry, Thailand palm oil industry

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7313 Substation Automation, Digitization, Cyber Risk and Chain Risk Management Reliability

Authors: Serzhan Ashirov, Dana Nour, Rafat Rob, Khaled Alotaibi

Abstract:

There has been a fast growth in the introduction and use of communications, information, monitoring, and sensing technologies. The new technologies are making their way to the Industrial Control Systems as embedded in products, software applications, IT services, or commissioned to enable integration and automation of increasingly global supply chains. As a result, the lines that separated the physical, digital, and cyber world have diminished due to the vast implementation of the new, disruptive digital technologies. The variety and increased use of these technologies introduce many cybersecurity risks affecting cyber-resilience of the supply chain, both in terms of the product or service delivered to a customer and members of the supply chain operation. US department of energy considers supply chain in the IR4 space to be the weakest link in cybersecurity. The IR4 identified the digitization of the field devices, followed by digitalization that eventually moved through the digital transformation space with little care for the new introduced cybersecurity risks. This paper will examine the best methodologies for securing the electrical substations from cybersecurity attacks due to supply chain risks, and due to digitization effort. SCADA systems are the most vulnerable part of the power system infrastructure due to digitization and due to the weakness and vulnerabilities in the supply chain security. The paper will discuss in details how create a secure supply chain methodology, secure substations, and mitigate the risks due to digitization

Keywords: cybersecurity, supply chain methodology, secure substation, digitization

Procedia PDF Downloads 38
7312 Framework for Aligning Supply Chain Strategies and Organizational Strategies in an SOE Environment

Authors: R. Setino, I. M. Ambe, J. A Badenhorst-Weiss

Abstract:

The South African government supply chain management system is not adequately implemented in State Owned Enterprises (SOEs). There are weaknesses in the SOEs SCM enablers, strategies and policies. In addition, top management of SOEs still do not see SCM as strategic enough to deserve their attention, and therefore, there is very little support from top management, thus making it even difficult for SCM practitioners to execute their day to day functions, let alone delivering the letter and spirit of the relevant legislations. Supply chain strategies lack buy in from the top, and as a result senior SCM practitioners has not been involved in the corporate strategy. This has resulted in supply chain and corporate strategies being misaligned. Due to service delivery backlog, high level of corruption and continuous strikes across the country for better services it is inevitable that government leaders be more strategic about how South Africa can use SCM as a tool to improve service delivery. Consequently, there is a need to close the gap between the strategic level dealt by top management and the application of operational SCM concepts: the use of SCM concepts and, therefore, supply chain strategies – should be aligned with the corporate and business strategies in order to ensure the achievement of top level business objectives. This paper aims to explore supply chain practices in State Owned Enterprises (SOEs). The paper based on a conceptual review provides the status, trends and development and suggests a framework for aligning supply chain strategies and organizational strategies in an SOE environment.

Keywords: alignment, strategies, state owned enterprises, supply chain management, South Africa

Procedia PDF Downloads 378
7311 An Investigation of Challenges in Implementing Sustainable Supply Chain Management for Construction Industry in Thailand by Interpretive Structural Model Approach

Authors: Shaolan Zou, Kullapa Soratana

Abstract:

Construction industry faces tremendous challenges in sustainability issue in recent years. Building materials, generally, are non-recyclable with short service life time, leading to economic loss. Building sites also cause social issues, e.g. noise, hazardous substances, and particulate matters. Sustainable supply chain management (SSCM) has been recognized as an appropriate method to balance three pillars of sustainability: environment, economy, and society. However, most of construction companies cannot successfully adopt SSCM due to numerous challenges. In this study, a list of challenges in implementing SSCM was collected from peer-reviewed literature on sustainable implementation. A building materials company in Thailand, which has successfully adopted SSCM for almost two decades and established the sustainable development committee since 1995, was used as a case study. Management-level representatives in sustainability department of the company were interviewed, mainly, to examine which challenges on the list complies with the company’s condition when adopting SSCM. The interview result was analyzed by interpretive structural model (ISM) with sustainability experts’ opinions to identify top 5 influential challenges. The results could assist a building construction company in assigning appropriate strategies to overcome most influential barriers, as well as in using as a reference or guidance for other construction companies adopting SSCM.

Keywords: sustainable supply chain management, challenges, construction industry, interpretive structural model

Procedia PDF Downloads 159
7310 Application of Blockchain on Manufacturing Process Control and Pricing Policy

Authors: Chieh Lee

Abstract:

Today, supply chain managers face extensive disruptions in raw material pricing, transportation block, and quality issue due to product complexity. While digitalization might help managers to mitigate the disruption risk and increase supply chain resilience by sharing information between sellers and buyers through the supply chain, entities are reluctant to build such a system. The main reason is it is not clear what information should be shared and who has access to the stored information. In this research, we propose a smart contract built by blockchain technology. This contract helps both buyer and seller to identify the type of information, the access to the information, and how to trace the information. This contract helps managers control their orders through the supply chain and address any disruption they see fit. Furthermore, with the same smart contract, the supplier can track the production process of an order and increase production efficiency by eliminating waste.

Keywords: blockchain, production process, smart contract, supply chain resilience

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7309 The Relevance of Environmental, Social, and Governance in Sustainable Supplier Selection

Authors: Christoph Koester

Abstract:

Supplier selection is one of the key issues in supply chain management with a growing emphasis on sustainability driven by increasing stakeholder expectations and proactivity. In addition, new regulations, such as the German Supply Chain Act, fostered the inclusion of sustainable incl. governance selection criteria in the selection process. In order to provide a systematic approach to select the most suitable sustainable suppliers, this study quantifies the importance and prioritizes the relevant selection criteria across 17 German industries using the Fuzzy Analytical Hierarchy Process. Results show that economic criteria are still the most important in the selection decision averaging a global weight of 51%. However, environmental, social, and governance (ESG) criteria are combined, on average, almost equally important, with global weights of 22%, 16%, and 11%, respectively. While the type of industry influences criteria weights, other factors, such as type of purchasing or demographic factors, appear to have little impact.

Keywords: ESG, fuzzy analytical hierarchy process, sustainable supplier selection, sustainability

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7308 Method to Calculate the Added Value in Supply Chains of Electric Power Meters

Authors: Andrey Vinajera-Zamora, Norge Coello-Machado, Elke Glistau

Abstract:

The objective of this research is calculate the added value in operations of electric power meters (EPM) supply chains, specifically the EPM of 220v. The tool used is composed by six steps allowing at same time the identification of calibration of EPM as the bottleneck operation according the net added value being at same time the process of higher added value. On the other hand, this methodology allows calculate the amount of money to buy the raw material. The main conclusions are related to the analyze ‘s way and calculating of added value in supply chain integrated by the echelons procurement, production and distribution or any of these.

Keywords: economic value added, supply chain management, value chain, bottleneck detection

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7307 Assessing Social Sustainability for Biofuels Supply Chains: The Case of Jet Biofuel in Brazil

Authors: Z. Wang, F. Pashaei Kamali, J. A. Posada Duque, P. Osseweijer

Abstract:

Globally, the aviation sector is seeking for sustainable solutions to comply with the pressure to reduce greenhouse gas emissions. Jet fuels derived from biomass are generally perceived as a sustainable alternative compared with their fossil counterparts. However, the establishment of jet biofuels supply chains will have impacts on environment, economy, and society. While existing studies predominantly evaluated environmental impacts and techno-economic feasibility of jet biofuels, very few studies took the social / socioeconomic aspect into consideration. Therefore, this study aims to provide a focused evaluation of social sustainability for aviation biofuels with a supply chain perspective. Three potential jet biofuel supply chains based on different feedstocks, i.e. sugarcane, eucalyptus, and macauba were analyzed in the context of Brazil. The assessment of social sustainability is performed with a process-based approach combined with input-output analysis. Over the supply chains, a set of social sustainability issues including employment, working condition (occupational accident and wage level), labour right, education, equity, social development (GDP and trade balance) and food security were evaluated in a (semi)quantitative manner. The selection of these social issues is based on two criteria: (1) the issues are highly relevant and important to jet biofuel production; (2) methodologies are available for assessing these issues. The results show that the three jet biofuel supply chains lead to a differentiated level of social effects. The sugarcane-based supply chain creates the highest number of jobs whereas the biggest contributor of GDP turns out to be the macauba-based supply chain. In comparison, the eucalyptus-based supply chain stands out regarding working condition. It is also worth noting that biojet fuel supply chain with high level of social benefits could result in high level of social concerns (such as occupational accident, violation of labour right and trade imbalance). Further research is suggested to investigate the possible interactions between different social issues. In addition, the exploration of a wider range of social effects is needed to expand the comprehension of social sustainability for biofuel supply chains.

Keywords: biobased supply chain, jet biofuel, social assessment, social sustainability, socio-economic impacts

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7306 Planning a Supply Chain with Risk and Environmental Objectives

Authors: Ghanima Al-Sharrah, Haitham M. Lababidi, Yusuf I. Ali

Abstract:

The main objective of the current work is to introduce sustainability factors in optimizing the supply chain model for process industries. The supply chain models are normally based on purely economic considerations related to costs and profits. To account for sustainability, two additional factors have been introduced; environment and risk. A supply chain for an entire petroleum organization has been considered for implementing and testing the proposed optimization models. The environmental and risk factors were introduced as indicators reflecting the anticipated impact of the optimal production scenarios on sustainability. The aggregation method used in extending the single objective function to multi-objective function is proven to be quite effective in balancing the contribution of each objective term. The results indicate that introducing sustainability factor would slightly reduce the economic benefit while improving the environmental and risk reduction performances of the process industries.

Keywords: environmental indicators, optimization, risk, supply chain

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7305 Modelling the Education Supply Chain with Network Data Envelopment Analysis

Authors: Sourour Ramzi, Claudia Sarrico

Abstract:

Little has been done on network DEA in education, and nobody has attempted to model the whole education supply chain using network DEA. As such the contribution of the present paper is to propose a model for measuring the efficiency of education supply chains using network DEA. First, we use a general survey of data envelopment analysis (DEA) to establish the emergent themes for research in DEA, and focus on the theme of Network DEA. Second, we use a survey on two-stage DEA models, and Network DEA to write a state of the art on Network DEA, particularly applied to supply chain management. Third, we use a survey on DEA applications to establish the most influential papers on DEA education applications, in order to establish the state of the art on applications of DEA in education, in general, and applications of DEA to education using network DEA, in particular. Finally, we propose a model for measuring the performance of education supply chains of different education systems (countries or states within a country, for instance). We then use this model on some empirical data.

Keywords: supply chain, education, data envelopment analysis, network DEA

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7304 Future of the Supply Chain Management

Authors: Mehmet Şimşek

Abstract:

In the rapidly changing market conditions, it is getting harder to survive without adapting new abilities. Technology and globalization have enabled foreign producers to enter into national markets, even local ones. For this reason there is now big competition among production companies for market share. Furthermore, competition has provided customer with broad range of options to choose from. To be able to survive in this environment, companies need to produce at low price and at high quality. The best way to succeed this is the efficient use of supply chain management that has started to get shaped by the needs of customers and the environment.

Keywords: cycle time, logistics, outsourcing, production, supply chain

Procedia PDF Downloads 457