• Title/Summary/Keyword: SCM Integration

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The roles of electronic marketplace for buyer-supplier relationship: collaborative system architecture

  • Han, Seong-Yoon
    • Proceedings of the Korea Association of Information Systems Conference
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    • 2005.12a
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    • pp.381-387
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    • 2005
  • As the most widely used media of BtoB e-business, the e-Marketplace (EM) can play an important role in the age of c-commerce (collaborative commerce). In supply chain management (SCM) area, the relationship-based collaboration among partners has shown great efficiency. Although the collaboration is important in both areas of EM and SCM there has been a critical difference in the selection of trade partners between them. In this paper, the EM's collaborative stages for integration with its customer system are reviewed and a system architecture is proposed for EM's electronic functional role within the perspective of collaborative commerce and buyer-supplier relationship. The relationship-based BtoB commerce through EM is reviewed to explain that it can be more beneficial than the commerce based on the price competitive selection of trade partners. With the proposed system architecture, an EM can be the functional medium for the collaborative IOIS system architecture.

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A Study on the Introduction of MFCA for Emergy Saving in Supply Chain (공급사슬망의 에너지 절약을 위한 MFCA 도입 방안 연구)

  • Lee, Doo-Yong;Jang, Jung-Hwan;Zhang, Jing-Lun;Jho, Yong-Chul;Lee, Chang-Ho
    • Journal of the Korea Safety Management & Science
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    • v.14 no.4
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    • pp.147-152
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    • 2012
  • Supply chain including transportation expend the 21% of domestic energy consumption. It is necessary to diminish the excess energy usage at entire supply chain. This paper deals with the application of MFCA(Material Flow Cost Accounting) for SCM to save energy consumption. We construct the material center corresponding to each logistics function in order to apply the MFCA for GCM(Green Chain Management). We also construct the MFCA framework which consists of MFCA Database Management, MFCA Visualization, GCM Data Integration, GCM Data Tracking, and MFCA Data Predict & Assignment. We expect to help determining the range of logistics function to apply the MFCA for GCM.

The Effect of Business Strategies and Competitive Environments on the Configuration of e-Biz Integration Policy Determinants (전략방향과 경쟁적 환경이 비즈니스 통합정책 결정요인 구성에 미치는 영향 분석)

  • Kim, Chulsoo;Han, Bong-Ho;Han, Bokwoo
    • Journal of Information Technology Services
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    • v.11 no.3
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    • pp.67-87
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    • 2012
  • These days, firms are focusing on the improvement of relationships with business partners. The supply chain integrations are taking critical role in improving the relationships with business partners. In accordance with the development of the IT technology, it became possible for firms not only to integrate inner parts of the organization, but also to integrate the company with other organizations in the supply chain, which is open system. Therefore, in e-Biz environments, it is imperative for firms to strengthen the core capacity through the supply chain integration, and to precisely determine the components of the determinants of e-Business integration which impact the firm performance. This study analyzed determinants that have impacts on business integration in IT capacity perspectives in competetive environments. We analyzed 163 domestic companies to find out many significant suggestive points. First, IT management capacity, process innovation capacity are adopted as determinants of differentiation and competetive edges against competing firms. Second, it is analyzed that the more the companies are in intensified competetive environment, the more likley that the innovation capacity and partner management capacity become the determinants of the business integration of the companies and that they pursue new market development strategy. Third, it is analyzed that the more the companies are in high demand fluctuation, the more likley that the innovation capacity becomes the determinants of the business integration of the companies, and that they pursue new market development strategy and operation efficiency strategy. Last, it is analyzed that the more the companies are Technology dependent, the more likely that IT management capacity and process innovation capacity become the determinants of business integration, and that they pursue new market development strategy and operation efficiency strategy. These results provide us the foundation that the determinants that we have analyzed can impact the supply chain integration strategies which take into account the competetive environments.

An Empirical Study on the Determinants of Supply Chain Management Systems Success from Vendor's Perspective (참여자관점에서 공급사슬관리 시스템의 성공에 영향을 미치는 요인에 관한 실증연구)

  • Kang, Sung-Bae;Moon, Tae-Soo;Chung, Yoon
    • Asia pacific journal of information systems
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    • v.20 no.3
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    • pp.139-166
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    • 2010
  • The supply chain management (SCM) systems have emerged as strong managerial tools for manufacturing firms in enhancing competitive strength. Despite of large investments in the SCM systems, many companies are not fully realizing the promised benefits from the systems. A review of literature on adoption, implementation and success factor of IOS (inter-organization systems), EDI (electronic data interchange) systems, shows that this issue has been examined from multiple theoretic perspectives. And many researchers have attempted to identify the factors which influence the success of system implementation. However, the existing studies have two drawbacks in revealing the determinants of systems implementation success. First, previous researches raise questions as to the appropriateness of research subjects selected. Most SCM systems are operating in the form of private industrial networks, where the participants of the systems consist of two distinct groups: focus companies and vendors. The focus companies are the primary actors in developing and operating the systems, while vendors are passive participants which are connected to the system in order to supply raw materials and parts to the focus companies. Under the circumstance, there are three ways in selecting the research subjects; focus companies only, vendors only, or two parties grouped together. It is hard to find researches that use the focus companies exclusively as the subjects probably due to the insufficient sample size for statistic analysis. Most researches have been conducted using the data collected from both groups. We argue that the SCM success factors cannot be correctly indentified in this case. The focus companies and the vendors are in different positions in many areas regarding the system implementation: firm size, managerial resources, bargaining power, organizational maturity, and etc. There are no obvious reasons to believe that the success factors of the two groups are identical. Grouping the two groups also raises questions on measuring the system success. The benefits from utilizing the systems may not be commonly distributed to the two groups. One group's benefits might be realized at the expenses of the other group considering the situation where vendors participating in SCM systems are under continuous pressures from the focus companies with respect to prices, quality, and delivery time. Therefore, by combining the system outcomes of both groups we cannot measure the system benefits obtained by each group correctly. Second, the measures of system success adopted in the previous researches have shortcoming in measuring the SCM success. User satisfaction, system utilization, and user attitudes toward the systems are most commonly used success measures in the existing studies. These measures have been developed as proxy variables in the studies of decision support systems (DSS) where the contribution of the systems to the organization performance is very difficult to measure. Unlike the DSS, the SCM systems have more specific goals, such as cost saving, inventory reduction, quality improvement, rapid time, and higher customer service. We maintain that more specific measures can be developed instead of proxy variables in order to measure the system benefits correctly. The purpose of this study is to find the determinants of SCM systems success in the perspective of vendor companies. In developing the research model, we have focused on selecting the success factors appropriate for the vendors through reviewing past researches and on developing more accurate success measures. The variables can be classified into following: technological, organizational, and environmental factors on the basis of TOE (Technology-Organization-Environment) framework. The model consists of three independent variables (competition intensity, top management support, and information system maturity), one mediating variable (collaboration), one moderating variable (government support), and a dependent variable (system success). The systems success measures have been developed to reflect the operational benefits of the SCM systems; improvement in planning and analysis capabilities, faster throughput, cost reduction, task integration, and improved product and customer service. The model has been validated using the survey data collected from 122 vendors participating in the SCM systems in Korea. To test for mediation, one should estimate the hierarchical regression analysis on the collaboration. And moderating effect analysis should estimate the moderated multiple regression, examines the effect of the government support. The result shows that information system maturity and top management support are the most important determinants of SCM system success. Supply chain technologies that standardize data formats and enhance information sharing may be adopted by supply chain leader organization because of the influence of focal company in the private industrial networks in order to streamline transactions and improve inter-organization communication. Specially, the need to develop and sustain an information system maturity will provide the focus and purpose to successfully overcome information system obstacles and resistance to innovation diffusion within the supply chain network organization. The support of top management will help focus efforts toward the realization of inter-organizational benefits and lend credibility to functional managers responsible for its implementation. The active involvement, vision, and direction of high level executives provide the impetus needed to sustain the implementation of SCM. The quality of collaboration relationships also is positively related to outcome variable. Collaboration variable is found to have a mediation effect between on influencing factors and implementation success. Higher levels of inter-organizational collaboration behaviors such as shared planning and flexibility in coordinating activities were found to be strongly linked to the vendors trust in the supply chain network. Government support moderates the effect of the IS maturity, competitive intensity, top management support on collaboration and implementation success of SCM. In general, the vendor companies face substantially greater risks in SCM implementation than the larger companies do because of severe constraints on financial and human resources and limited education on SCM systems. Besides resources, Vendors generally lack computer experience and do not have sufficient internal SCM expertise. For these reasons, government supports may establish requirements for firms doing business with the government or provide incentives to adopt, implementation SCM or practices. Government support provides significant improvements in implementation success of SCM when IS maturity, competitive intensity, top management support and collaboration are low. The environmental characteristic of competition intensity has no direct effect on vendor perspective of SCM system success. But, vendors facing above average competition intensity will have a greater need for changing technology. This suggests that companies trying to implement SCM systems should set up compatible supply chain networks and a high-quality collaboration relationship for implementation and performance.

A Multi-agent System based on Genetic Algorithm for Integration Planning in a Supply Chain Management (유전 알고리즘에 기반한 동적 공급사슬 통합계획을 위한 멀티 에이전트 시스템)

  • Park, Byung-Joo;Choi, Hyung-Rim;Kang, Moo-Hong
    • Journal of Intelligence and Information Systems
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    • v.13 no.3
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    • pp.47-61
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    • 2007
  • In SCM (supply chain management), companies are pursuing a new approach through which overall functions within the supply chain, ranging from material purchase to production, distribution, and sales are designed, planned, and managed in an integrated way. The core functions among them are production planning and distribution planning. As these problems are mutually related, they should be dealt with simultaneously in an integrated manner. SCM is large-scale and multi-stage problems. Also, its various kinds of internal or external factors can, at any time, dynamically bring a change to the existing plan or situation. Recently, many enterprises are moving toward an open architecture for integrating their activities with their suppliers, customers and other partners within the supply chain. Agent-based technology provides an effective approach in such environments. Multi-agent systems have been proven suitable to represent domains such as supply chain networks which involve interactions among manufacturing organization, their customers, suppliers, etc. with different individual goals and propriety information. In this paper, we propose a multi-agent system based on the genetic algorithm that make it possible to integrate the production and distribution planning on a real-time basis in SCM. The proposed genetic algorithm produced near optimal solution and we checked that there is a great difference in the results between integrated planning and non-integrated planning.

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A Study on the SCM Integration & Green Growth Strategy of Logistic Company in Korea (물류기업의 SCM통합과 녹색성장을 위한 대응방안에 대한 연구)

  • Jin, Yun-Jun;Lee, Yu-Bin;Bae, Ki-Hyung
    • International Commerce and Information Review
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    • v.15 no.2
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    • pp.3-23
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    • 2013
  • In 1997, 180 countries signed the Kyoto Protocol in Kyoto, Japan. The Kyoto Protocol came into force in February 2005. The agreement calls for industrialized nations to cut greenhouse gas emissions by 5 percent from 1990 levels by 2008 to 2012. One of those polices is a modal shift that change from road freight to sea, inland waterway and railroad transportation that is eco-friendly. The increase of road freight brings road congestion, accidents, logistic costs, air pollution and greenhouse gases. Railroads are superior than the other modes of transportation in mass transportability, high speed, timeliness, safety and environmental-friendliness, but the railway industry has been pushed behind in competition. Korean railroads were used by passengers and freight transport popularly until the middle of 20th century, however, by the sudden change of logistics environments, a shaving time efficiency being most important, railroad logistic lost its competitive power against the transportation by truck. From the research which sees consequently investigated a various policy, a system and a law about Chinese logistics industry and present condition of the Chinese goods enterprise and instance analysis of the large Chinese corporation that branch out to undeveloped markets led and a Chinese logistics industry and problem point escape hereafter the heightening of competitiveness plan which is rational under prsenting boil.

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The Effect of Asset Specificity, Information Sharing, and a Collaborative Environment on Supply Chain Management (SCM): An Integrated SCM Performance Formation Model (자산전용성과 협업환경하에서의 정보공유가 공급사슬에 미치는 영향 : 통합적 SCM 성과형성 모델)

  • Kim, Tae-Ryong;Song, Jang-Gwen
    • Journal of Distribution Science
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    • v.11 no.4
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    • pp.51-60
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    • 2013
  • Purpose - The objective of this paper is to investigate the effect of asset specificity, the level of information sharing, the importance of information sharing, and an integrated collaborative environment on supply chain performance. Research design, data, and methodology - Data collection was implemented as follows: questionnaires were distributed to 250 companies that have business ties with Halla Climate Control Corporation. The empirical study to test our hypothesis was based on statistical analysis (using SPSS 18.0 and AMOS 18.0). The hypothesis of this paper is that the asset specificity variable has positive effects on the following variables: Level of information sharing, the importance of information sharing, and integrated collaborative environment. Moreover the variables, the level of information sharing, and the importance of information sharing are strongly influenced by the variable integrated collaborative environment, and these when combined, have an effect on the dependent variable, supply chain performance. We tested our hypothesized model utilizing path analysis with latent variables. Results - According to the results of our analysis, hypothesis H1, which tests whether there is a relationship between asset specificity and the integrated collaborative environment, is supported at the 0.01 level. Hypotheses H2 and H3 were also confirmed, and asset specificity had positive effects (+) on the level of information sharing variable. The importance of the information sharing variable was statistically significant at the 0.01 level. Hypotheses H4 and H5 posited that the integrated collaborative environment variable would have a positive effect on the level of information sharing; the importance of information sharing variable was strongly supported statistically, with a significant p-value below. Moreover, the level of information sharing (H6), and the importance of information sharing (H7) variables also had a statistically relevant influence on supply chain performance. As a result, existence of a collaborative system between companies would influence supply chain performance by strengthening real-time information access and information sharing. Thus, it is important to construct a collaborative environment where information sharing among companies and cooperation is possible. Conclusions - First, with rapid changes in the business environment, it becomes necessary for enterprises to acquire the right information in order to properly implement SCM. For successful SCM, firms should understand the importance of collaboration with supply chain partners and an internally built collaboration system, which in turn will better promote a partnership commitment with suppliers as well as collaborative integration with buyers. A collaborative system, as we suggest in this paper, facilitates the maintenance of a long-term relationship of trust, and can help reinforce information sharing. Second, it is necessary to increase information sharing over time via a collaborative system so that employees of the suppliers become aware of the system. The more proactive and positive attitudes are towards such a collaborative system by the managerial group, the higher the level of information sharing will be among the users. Successful SCM performance is achieved by information sharing through a collaborative environment rather than by investing only in setting up an information system.

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Optimization of the Distribution Plan and Multi-product Capacity using Genetic Algorithm (유전 알고리즘을 이용한 다 제품 생산용량 및 분배계획 최적화)

  • Cha, Youngcheol;Lee, Gapsoo;Lee, Jonghwan;Wie, Do-Yeong
    • Journal of Digital Convergence
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    • v.12 no.6
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    • pp.125-134
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    • 2014
  • Supply Chain Management(SCM) is getting important, because size of the company is getting bigger and the kinds of product are various. In the case of manufacturing corporation, for the optimization of SCM, we have to make production and distribution plan by considering the various fluctuation in the aspect of integration. In this paper, first, It proposed the reasonable operational way of the SCM about when the customer's demanding is various and demanding expectation fluctuates in capacity standardization of producer stage. Second, the paper proposed the management way for demanding by considering confirmed demanding information, related inventory expense and demanding shortage expense when we make production and distribution plan. The paper applied the genetic algorithm proved for current usefulness. it proposed the optimal operational way for SCM by dividing into 2 ways for dealing with the duration of confirmed demanding information and various fluctuation.

The Designing of Production Planning Module for Advanced Planning System with Respect to Supply Chain of the Shipbuilding Industry (조선산업의 공급망을 고려한 APS 생산계획 모듈 설계)

  • Nam, Seunghoon;Ju, Su Heon;Ryu, Cheolho;Shin, Jong-Gye
    • Korean Journal of Computational Design and Engineering
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    • v.21 no.3
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    • pp.353-362
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    • 2016
  • As ships become larger and construction of offshore plants increases recently, the amount of outsourcing has increased accordingly in the shipyard. Consequently, the system integration in terms of SCM (Supply Chain Management) of information and material flows has become much more important. Especially, since the SCM in the shipbuilding industry is operated in accordance with the production planning in connection with design, purchasing and production process which are the main components of the supply chain, the best production plan has to be established over the whole scheduling activities from the long-term planning to the short-term planning. The paper analyzes the characteristics of the SCM and the production planning system and suggests the need and the direction of APS (Advanced Planning System) development specialized in the supply chain management only for shipbuilding industry. Furthermore, propose a new SCP-Matrix (Supply Chain Planning Matrix), which is the basis of the APS development, appropriate for the shipbuilding industry and draw the core function of the APS module for the practical production plan.

A Study on Information System Improvement for Air Logistics SCM

  • Choi, Hyung-Rim;Park, Nam-Kyu;Lee, Hyun-Chul;Seo, Young-Joon;Shin, Joong-Jo
    • The Journal of Information Systems
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    • v.14 no.3
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    • pp.63-70
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    • 2005
  • Compared with land logistics and sea logistics, air logistics takes not only less transportation time, but also makes just-in-time delivery possible. Because of this, in spite of high freight rates, many shippers make good use of airlines. To cope with borderless competition in this global age, most shippers using air logistics want to receive diverse information including just-in-time cargo delivery and dangerous situation as well as convenience and speed in job handling. Nevertheless, most domestic forwarders, who perform many kinds of important businesses for air logistics, mainly put emphasis on demanding information from overseas partners through their business agreements, that is, focusing on horizontal integration, instead of sharing information or improving job performance among air logistics participants. As a result, it is almost impossible to satisfy the needs of shippers. Airline users want to remove the uncertainties over their cargo movement. And in time of emergency, they want to take immediate measures through speedy information sharing and decision-making. In order to satisfy shipper's needs, all the organizations participating in the air logistics supply chain-cargo senders, cargo receivers, forwarders, transporters, licensed customs brokers, airlines as well as foreign partners-have to set up a vertical cooperation system. For effective air logistics SCM, it is very important to remove overlapping jobs, strengthen the efficiency of job handling, and provide online monitoring on cargo information in order to support decision-making. To this end, this paper has applied the concept of RTE (Real Time Enterprise), a new business management system, which tries to maximize competitiveness by removing many hindrance factors on an ongoing basis in managing and fulfilling core business processes based on up-to-the-minute information. In order to realize RTE-based information system for air logistics SCM, this paper has analyzed the information required by business process and by air logistics participant, and suggested the method for information sharing, point of time for information input and output, and its means.

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