• Journal of the Korean Operations Research and Management Science Society
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• v.42 no.1
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• pp.1-17
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• 2017

This study investigates a buyer-supplier supply chain, in which a buyer delegates the production process to a supplier as in many practices. The consumer's buying intention and overall supply chain performance are affected not only by the buyer's decision on sales price but also by the supplier's decision on product quality. Therefore, the buyer has a motivation to control the supplier's quality investment. Among various incentive schemes that the buyer can adopt in practice, we consider a revenue-sharing contract and investigate its unique characteristics. By comparison with a typical wholesale price contract, we reveal that the revenue-sharing contract can enhance supply chain's overall performance, including quality, demand, and profits of not only overall supply chain but also each player. We contribute to the academia and the supply chain practice by providing important guidelines in adopting incentive schemes and effectively managing product quality in a supply chain.

• Journal of Korean Society for Quality Management
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• v.37 no.1
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• pp.69-79
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• 2009

Supply Chain Management is the process of planning, implementing and controlling the operations of the supply chain to satisfy customer requirements as efficiently as possible. It spans all movements and storage of raw materials, work-in-process inventory, and finished goods from point-of-origin to point-of-consumption. Korean Standards Association claims the Supply Chain Quality Management(SCQM) as a win-win model of organizations among the supply chains for the best product/service quality to final customers. The SCQM is focused on quality of product/service and will do much for improving manufacturing performance between customer and suppliers. Consulting-teams make every effort to design suitable solution for constructing solutions and improving the performance. This study is to analyze the performance of SCQM consulting, from July of 2007 to June of 2008, and would provide some guidelines to design the optimal consulting models and develop guidebooks.

• Fashion & Textile Research Journal
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• v.13 no.5
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• pp.705-716
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• 2011

The purpose of this study was to investigate salesperson's perception of fashion company in the middle management system of department store. This study was conducted by a qualitative research method. An in-depth interview was managed to 14 fashion shop managers and salesperson who have three or more years of work experience at the department store. Interview details were classified three categories: relations with fashion company and others, concern with products supply, concern with products sales. First, the positive factors on relations with fashion company are mutual trust, stability of fashion company, coordination and consideration for shop, communication with fashion company, methodical IT system, methodical education, and social gathering support. The negative factors are unilateral breach of contract from fashion company, communication problem, gap between sales status in shop and product design in fashion company, lack of professional education, difficulty of participating in education, and inadequate employee benefits. Second, the positive factor on products supply is priority of products supply. The negative factors are lack of main items, product procurement lacking rapidity, and problem of securing a supply. Third, the positive factors on products sales are brand pride, display and information support about products, and free gift support. The negative factors are unfair selling commission policy, sales pressure, and excessive responsibility.

• Korean Management Science Review
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• v.29 no.2
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• pp.35-52
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• 2012

Although many prior studies have investigated the relationship between supply chain and new product development (NPD), the causal relationship between them has not been clearly established. Therefore, this study investigated systematically over the entire process of supply chain management (SCM) from trust to NPD capability, including not only the associations between trust, commitment, collaboration, supply chain quality, and NPD capability, but also the impact of organizational culture in the context of supply chain. In particular, this study examined the mediating effect of commitment on the relationship between trust and collaboration of channel members. In addition, it studies the moderating effect of organizational culture on the relationship between collaboration, supply chain quality, and NPD capability. Using a questionnaire survey, 112 usable responses are obtained. PLS (partial least square) is employed to assess the relationships among related constructs. The results of the data analysis show that (1) commitment mediates the link between trust and collaboration (2) supply chain quality is positively associated with NPD capability, and (3) organizational culture significantly moderates the association between collaboration and supply chain quality, yet it does not the relationship SC quality and NPD capability. Finally, the implications of the results are discussed, and directions for future research are suggested.

• Industrial Engineering and Management Systems
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• v.14 no.3
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• pp.248-274
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• 2015

This study discusses a contract to promote collection and recycling of used products in a green supply chain (GSC). A collection incentive contract is combined with a reward-penalty contract. The collection incentive contract for used products is made between a retailer and a manufacturer. The reward-penalty contract for recycling used products is made between a manufacturer and an external institution. A retailer pays an incentive for collecting used products from customers and delivers them to a manufacturer with a product order quantity under uncertainty in product demand. A manufacturer remanufactures products using recyclable parts with acceptable quality levels and covers a part of the retailer's incentive from the recycled parts by sharing the reward from an external institution. Product demand information is assumed as (i) the distribution is known (ii) mean and variance are known. Besides, the optimal decisions for product quantity, collection incentive of used products and lower limit of quality level for recyclable parts under decentralized integrated GSCs. The analysis numerically investigates how (1) contract for recycling activity, (ii) product demand information and (iii) quality of recyclable parts affect the optimal operation for each GSC. Supply chain coordination to shift IGSC is discussed by adopting Nash Bargaining solution.

• Industrial Engineering and Management Systems
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• v.16 no.1
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• pp.22-43
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• 2017

It is urgently-needed to construct a green supply chain (GSC) from collection of used products through recycling of them to sales of products using the recycled parts. Besides, it is necessary to consider the uncertainty in product demand as a risk in a GSC. This study proposes the optimal operations for a GSC with a retailer and a manufacturer. A retailer pays an incentive for collection of used products from customers and sells a single type of products in a market. A manufacturer produces the products ordered by the retailer, using recyclable parts with acceptable quality and compensates the collection cost of used products as to the recycled parts. This paper discusses the following risk attitudes: risk-neutral attitude, risk-averse attitude, and risk-prone attitude. Using mean-variance analysis, the optimal decisions for product order quantity, collection incentive, and lower limit of quality level, in the decentralized GSC (DGSC) and the integrated GSC (IGSC) are made. DGSC optimizes the utility function of each member. IGSC does that of the whole system. The analysis numerically investigates how (i) risk attitude and (ii) quality of recyclable parts affect the optimal operations. Supply chain coordination between GSC members to shift IGSC from DGSC is discussed.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.22 no.53
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• pp.79-88
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• 1999

This paper presents an integral model for product safety and product liability resulting from a defective product. The essence of the paper is the process of supply of manufacturing products which satisfy the product liability and the product safety in terms of consumers expectation levels. The main criteria of the product safety is the hazard level which involves in the severity and frequency. The proposed model shows the process to supply the manufactured products under the conditions that they are suitable in comparison of hazard level and safety level established by each company. If the product do not meet the safety level, this paper proposes that four different types of PL and PS countermeasures for the risk types are forward, respectively.

• Journal of Institute of Control, Robotics and Systems
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• v.20 no.7
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• pp.750-755
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• 2014

Product shortage which causes backordering and/or lost sales cost is very popular in chemical industries, especially in commodity polymer business. This study deals with backordering cost in the supply chain optimization model under the framework of process-inventory network. Classical economic order quantity model with backordering cost suggested optimal time delay and lot size of the final product delivery. Backordering can be compensated by advancing production/transportation of it or purchasing substitute product from third party as well as product delivery delay in supply chain network. Optimal solutions considering all means to recover shortage are more complicated than the classical one. We found three different solutions depending on parametric range and variable bounds. Optimal capacity of production/transportation processes associated with the product in backordering can be different from that when the product is not in backordering. The product shipping cycle time computed in this study was smaller than that optimized by the classical EOQ model.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.39 no.4
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• pp.15-25
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• 2016

SCM activities in a company are considered as total innovation through synchronizing supply and demand while maintaining appropriate inventory level and reducing the business operating costs. Until now, even several researches are carried out on the SCM performance of the companies which have introduced and been operating SCM, the research on the cost analysis for the inventory which occurs frequently on supply chain is still insufficient. Especially, for the electronics industry in which the product depreciation is sharp caused by the short product life cycle and the complexity of distribution channels, even the inventory related costs are a major factor in business management, since the current estimated criteria of inventory costs are limited to the interest and maintenance management costs, the criteria do not reflect the total influence of the product depreciation and lost opportunity cost which are related to the business management. Furthermore, even though the rapid price drops of the distributor inventory caused by the frequent new model launch can be covered by the product manufacturers, the scale of total costs related to the inventory has not been conceived because the price compensation is traditionally considered as a market costs. In this research, we analyzed the inventory characteristics of electronics industry in which the price depreciation happens frequently, newly defining the estimated criteria of the product total inventory cost which includes price depreciation from the product manufacturers' view. Finally we focus on the case study of a representative electronics company and verify the scale of the influence on management performance.

• The Journal of Fisheries Business Administration
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• v.48 no.2
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• pp.19-32
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• 2017

The purpose of this study is to identify problems and suggest improvements of estimating procedures and item of fisheries supply-demand statistics served as a basis for the fisheries supply-demand policies. Korea Rural Economic Institute(KREI) and Ministry of Oceans and Fisheries(MOF) respectively publish the fisheries supply-demand statistics. But the reliability of data is low as the statistics of these two organizations are limited and show discrepancy in the numbers. It is therefore difficult to use them as the basic data for policies. Also, an accurate data aggregation is difficult due to following problems in the items of statistics. 1) Problems in estimating route sales and non-route sales of production, 2) adequacy of fishery product yield rate compared to raw material in the fisheries import/export sector, 3) selection of target companies for understand stocks and survey scope of fish species, 4) applying'0'to non-edible product demand etc. In order to develop the fisheries industry as a future growth industry, it is necessary to establish the accurate fisheries supply-demand policy as the instability of fisheries supply and demand is increasing. To do this, statistical reliability has to be improved. The improvements proposed in this study should be implemented considering urgency. First of all, an exhaustive analysis of stock statistics and conversion rates of raw material yield in the fisheries import/export sector should be conducted. In the medium term and the long term, transferring production statistics to MOF and surveys on the use demand of non-food product and the level of reduced and discarded seafood products should be carried out in consecutive order.