• Title/Summary/Keyword: Supply Chain Flexibility

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Supply Chain Network Model Considering Supply Disruption in Assembly Industry: Hybrid Genetic Algorithm Approach (조립산업에서 공급 붕괴를 고려한 공급망 네트워크모델: 혼합유전알고리즘 접근법)

  • Anudari, Chuluunsukh;Yun, YoungSu
    • Journal of Korea Society of Industrial Information Systems
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    • v.26 no.3
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    • pp.9-22
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    • 2021
  • This study proposes a supply chain network (SCN) model considering supply disruption in assembly industry. For supply disruption, supplier disruption and its route disruption are simultaneously taken into consideration in the SCN model. With the simultaneous consideration, the SCN model can achieve its flexibility and efficiency. A mathematical formulation is suggested for representing the SCN model, and a proposed hybrid genetic algorithm (pro-HGA) is used for implementing the mathematical formulation. In numerical experiment, the performance of the pro-HGA approach is compared with those of some conventional approaches using the SCN models with various scales, and a sensitivity analysis considering the change of the numbers of suppliers and backup routes is done. Experimental results show that the performances of the pro-HGA approach are superior to those of the conventional approaches, and the flexibility and efficiency of the SCN model considering supply disruption are proved. Finally, the significance of this study is summarized and a potential future research direction is mentioned in conclusion.

The Effects of Supply Chain Flexibility and Competitive Advantage Strategy (공급사슬유연성이 경쟁우위전략에 미치는 영향)

  • Lee, Wook-Gee;Kim, Dong-Hyuk;Kim, Joo-Wan;Jung, Chi-Young
    • Journal of Digital Convergence
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    • v.11 no.6
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    • pp.91-101
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    • 2013
  • The purpose of this study is to empirically verify the relationship between supply chain flexibility(process flexibility and logistics flexibility) and competitive advantage strategy(cost, quality, lead time). To accomplish these purposes, the relationships among supply chain flexibility(process, logistics), competitive advantage strategy(cost, quality, lead time) were modeled based on the studies conducted in the various areas. In order to collect the related data the questionaries of 500 were distributed to the employees working at the manufacturing industry in the area of Gumi. The collected data were analyzed with SPSS 18.0 for Windows. This study used the statistical techniques such as descriptive analysis, reliability analysis, factor analysis, correlation analysis, multi regression analysis. The results of the study show that process flexibility had positively significant effect on low cost strategy and high quality strategy and logistic flexibility have positively significant effect on delivery speed strategy. However, it was found that process flexibility did not have the significant effect on delivery speed strategy, and the logistic flexibility did not have the significant effect on low cost and high quality strategy. Thus, it is expected that each enterprise can maximize corporate strategies by applying different flexibility strategy depending on the competitive advantage strategy.

A Study on the SCM Partnerships Factors and Business Performance (섬유산업의 SCM 파트너십 요인과 사업성과에 관한 연구)

  • Kim, Chang-Bong;Kwon, Seung-Ha
    • International Commerce and Information Review
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    • v.10 no.3
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    • pp.221-238
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    • 2008
  • This paper examined the supply chain management partnerships factors and business performance in textile industry. To build a global network, we should consider the following critical factors such as lead-time reduction, information sharing, and inventory management. The purpose of this study is to focus on QR (Quick Response) of SCM in textile industries to clarify which of the SCM factors contribute to business performance for the SCM firms. Based on the analysis of eighth-six cases, the following results were found. First, partnerships factors of supply chain management have a positively significant influence on responsiveness of supply chain management. Second, partnerships factors of supply chain management have a positively significant influence on flexibility of supply chain management. This study suggests that partnerships are main factors for the business performance. Especially, our empirical evidence shows that capacity of firms practicing SCM, information techniques, and partnerships make the firms' business performance more responsive and flexible.

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The Role of Operational Absorptive Capacity on Supply Chain Risk

  • Jeong, EuiBeom
    • Journal of Korea Society of Industrial Information Systems
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    • v.26 no.6
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    • pp.61-80
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    • 2021
  • As the business environment becomes more rapid and unpredictable change, greater diversity, increased complexity, and intensified competitive pressures, supply chain risk management has been growing attention over the past several decades. However, little of known about how absorptive capacity can mitigate supply chain risk for improving operational performance despite its important role in responding to supply chain risk. Therefore, we aim to examine the role of organizational-level absorptive capacity on operational performance, and further identify how the interplay of individual-level and organizational-level absorptive capacity results in operational performance. Our results represent not only direct but also indirect effects of supply chain risk on operational performance, mediated by organizational-level absorptive capacity. Furthermore, this study reveals that individual-level absorptive capacity enhances the effect of organizational-level absorptive capacity on operational performance.

The Effects of Environmental Dynamism on Supply Chain Commitment in the High-tech Industry: The Roles of Flexibility and Dependence (첨단산업의 환경동태성이 공급체인의 결속에 미치는 영향: 유연성과 의존성의 역할)

  • Kim, Sang-Deok;Ji, Seong-Goo
    • Journal of Global Scholars of Marketing Science
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    • v.17 no.2
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    • pp.31-54
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    • 2007
  • The exchange between buyers and sellers in the industrial market is changing from short-term to long-term relationships. Long-term relationships are governed mainly by formal contracts or informal agreements, but many scholars are now asserting that controlling relationship by using formal contracts under environmental dynamism is inappropriate. In this case, partners will depend on each other's flexibility or interdependence. The former, flexibility, provides a general frame of reference, order, and standards against which to guide and assess appropriate behavior in dynamic and ambiguous situations, thus motivating the value-oriented performance goals shared between partners. It is based on social sacrifices, which can potentially minimize any opportunistic behaviors. The later, interdependence, means that each firm possesses a high level of dependence in an dynamic channel relationship. When interdependence is high in magnitude and symmetric, each firm enjoys a high level of power and the bonds between the firms should be reasonably strong. Strong shared power is likely to promote commitment because of the common interests, attention, and support found in such channel relationships. This study deals with environmental dynamism in high-tech industry. Firms in the high-tech industry regard it as a key success factor to successfully cope with environmental changes. However, due to the lack of studies dealing with environmental dynamism and supply chain commitment in the high-tech industry, it is very difficult to find effective strategies to cope with them. This paper presents the results of an empirical study on the relationship between environmental dynamism and supply chain commitment in the high-tech industry. We examined the effects of consumer, competitor, and technological dynamism on supply chain commitment. Additionally, we examined the moderating effects of flexibility and dependence of supply chains. This study was confined to the type of high-tech industry which has the characteristics of rapid technology change and short product lifecycle. Flexibility among the firms of this industry, having the characteristic of hard and fast growth, is more important here than among any other industry. Thus, a variety of environmental dynamism can affect a supply chain relationship. The industries targeted industries were electronic parts, metal product, computer, electric machine, automobile, and medical precision manufacturing industries. Data was collected as follows. During the survey, the researchers managed to obtain the list of parts suppliers of 2 companies, N and L, with an international competitiveness in the mobile phone manufacturing industry; and of the suppliers in a business relationship with S company, a semiconductor manufacturing company. They were asked to respond to the survey via telephone and e-mail. During the two month period of February-April 2006, we were able to collect data from 44 companies. The respondents were restricted to direct dealing authorities and subcontractor company (the supplier) staff with at least three months of dealing experience with a manufacture (an industrial material buyer). The measurement validation procedures included scale reliability; discriminant and convergent validity were used to validate measures. Also, the reliability measurements traditionally employed, such as the Cronbach's alpha, were used. All the reliabilities were greater than.70. A series of exploratory factor analyses was conducted. We conducted confirmatory factor analyses to assess the validity of our measurements. A series of chi-square difference tests were conducted so that the discriminant validity could be ensured. For each pair, we estimated two models-an unconstrained model and a constrained model-and compared the two model fits. All these tests supported discriminant validity. Also, all items loaded significantly on their respective constructs, providing support for convergent validity. We then examined composite reliability and average variance extracted (AVE). The composite reliability of each construct was greater than.70. The AVE of each construct was greater than.50. According to the multiple regression analysis, customer dynamism had a negative effect and competitor dynamism had a positive effect on a supplier's commitment. In addition, flexibility and dependence had significant moderating effects on customer and competitor dynamism. On the other hand, all hypotheses about technological dynamism had no significant effects on commitment. In other words, technological dynamism had no direct effect on supplier's commitment and was not moderated by the flexibility and dependence of the supply chain. This study makes its contribution in the point of view that this is a rare study on environmental dynamism and supply chain commitment in the field of high-tech industry. Especially, this study verified the effects of three sectors of environmental dynamism on supplier's commitment. Also, it empirically tested how the effects were moderated by flexibility and dependence. The results showed that flexibility and interdependence had a role to strengthen supplier's commitment under environmental dynamism in high-tech industry. Thus relationship managers in high-tech industry should make supply chain relationship flexible and interdependent. The limitations of the study are as follows; First, about the research setting, the study was conducted with high-tech industry, in which the direction of the change in the power balance of supply chain dyads is usually determined by manufacturers. So we have a difficulty with generalization. We need to control the power structure between partners in a future study. Secondly, about flexibility, we treated it throughout the paper as positive, but it can also be negative, i.e. violating an agreement or moving, but in the wrong direction, etc. Therefore we need to investigate the multi-dimensionality of flexibility in future research.

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Does it Always Pay to be Collaborative? Supply Chain Collaboration Revisited in the Consideration of Supplier-Buyer Dependence and Curvilinear Relationships (협력은 항상 옳은가? 거래 의존성과 비선형 관계를 고려한 공급사슬 협력에 대한 재고찰)

  • Lee, Su-Yol
    • Journal of the Korean Operations Research and Management Science Society
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    • v.40 no.3
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    • pp.73-95
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    • 2015
  • Firms have reexamined and restructured their supply chain based on a long-term and partnership perspective as a firm's competitive advantage increasingly relies on its supply chain capability. A number of scholar works has provided evidence to support the positive effects of supply chain collaboration; however, the relationship between collaboration and performance is still inconclusive. This study refuses to have blinded faith on supply chain collaboration, but rather this paper suggests that the contribution of collaboration to supply chain performance improvement can be limited and vary along the contextual characteristics of a buyer-supplier relationship. Moreover, we argue that the relationship between supply chain collaboration and performance can be curvilinear. This paper provides and test hypotheses regarding the relationship between supply chain collaboration and performance. By using data of the Manufacturing Panel Survey (MPS), this study empirically validates the hypotheses. Overall, the results of the study support our hypotheses about a limited contribution of supply chain collaboration to manufacturing performance, which is opposite to a conventional expectation. Particularly, the effects of supply chain collaboration differ depending on the dimensions of performance such as customer satisfaction, quality, cost, delivery, and flexibility as well as the dependency in the buyer-supplier relationship. Moreover, the results of the study indicate that supply chain collaboration and performance may have curvilinear relationships in a certain context. Through a comprehensive model and empirical evidence, this study presents a better understanding of supply chain collaboration and provokes an open discussion about the effects of collaboration. This study also provides insightful implications for managers of buyers as well as suppliers who wish to foster stronger supply chain performance via a deep buyer-supplier relationship and collaboration.

Comparison of Success Rates of Supply Chain Contract using Simulation (시뮬레이션을 이용한 공급사슬 계약 성사율 비교)

  • Gao, Yang;Seo, Dong-Won
    • Journal of the Korea Society for Simulation
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    • v.31 no.1
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    • pp.19-27
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    • 2022
  • This study compares and analyzes wholesale(or price-only) contract, revenue-sharing contract, quantity-flexibility contract, and channel-rebate contract in a decentralized supply chain consisting of one supplier and one retailer. By setting the parameters of each coordination contract based on the previous results, we conduct simulations using @RISK for several combinations of these parameters. Under the supply chain coordination, we evaluate the probability of successfully signing a contract and the participant in favor of each contract. As a result, the quantity-flexibility contracts is most advantageous for the retailer and the channel-rebate contracts is most advantageous for the supplier. It revealed that revenue-sharing contracts can be used more flexibly because they can be selected in the widest range to redistribute profits between supplier and retailer.

Analysis of Relationship between Supply Chain Management and Food Production Strategies for Food Supplies in Hotel Restaurants (호텔 레스토랑의 식자재 조달 관련 공급 체인 관리와 푸드 생산 전략 간의 관계 분석)

  • Kang, Seok-Woo;Park, Ji-Yang
    • Culinary science and hospitality research
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    • v.13 no.4
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    • pp.107-118
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    • 2007
  • This research aimed to understand the relationship between comparative superiority elements of the supply chain activities for food supplies in the hotel industry. The samples are obtained from exclusive hotels located in the Seoul area. A statistic package program called SPSS was employed to conduct reliability analysis, factor analysis, t-test, correlation analysis, and multiple regression analysis. Results of a multiple regression analysis between supply chain management and food production strategies were as follows; company's characters and cooperative relations with suppliers had a significant impact on cost while quality was significantly affected by company's characters, information system, cooperative relations with suppliers, and supply chain activities. It was revealed that all factors had a significant impact on flexibility and delivery date.

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Which Node of Supply Chain Suffers Mostly to Disruption in the Pandemic?

  • NGUYEN, Tram Thi Bich
    • Journal of Distribution Science
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    • v.19 no.11
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    • pp.59-68
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    • 2021
  • Purpose: The Covid-19 pandemic has had excessively severe impacts on all the nodes and edges of any supply chain due to changes in consumer behaviours and lockdown restrictions from governments among countries. This article aims to provide a simulating experiment on how a supply chain deals with supply disruption risks by flexibility in the inventory level of each sector as a buffer considering the overall cost to fulfil demand in the market. Research design, data and methodology: Agent-based simulation techniques are used to determine the cost-efficiency and customer waiting time related to varying inventory levels of each member in the supply chain when using inventory buffers. Findings: This study has shown that any sudden changes in the inventory level of each sector are likely to impact the rest of the supply chain. Among all sectors, the wholesaler will be impacted more severely than others. Also, the manufacturing sector is the most suitable node to adjust inventory depending on its manufacturing ability. Conclusion: The findings of the study provide insightful implications for decision-makers to adjust inventory levels and policymakers to maintain manufacturing activities in the context of the pandemic restrictions to deal with the excessive demand and potential supply disruption risks.

A Study on Measuring Supplier's Performance for a Supply Chain on New Products (신제품 공급사슬의 공급자 대응력 평가 연구)

  • Lee, Jung-Sub;Chang, Tai-Woo;Shin, Ki-Tae;Park, Jin-Woo
    • Journal of Information Technology Services
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    • v.8 no.4
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    • pp.115-128
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    • 2009
  • In today's changing environment where the product life-cycle is becoming shorter, enterprises are forced to introduce new products as rapidly as possible and to score a success in a market. It is important to manage suppliers who supply parts of the new products to satisfy variable demands. We suggest performance measures of flexibility for suppliers in new products environments. We analyzed the measures from literatures, SCOR (Supply Chain Operations Reference) model and several scorecards. A simulation study was made with the measures in order to understand adaptability of a supply chain. It could help a manufacturer make a decision of purchasing and find a bottleneck supplier.