• Management Science and Financial Engineering
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• v.15 no.1
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• pp.1-31
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• 2009

This paper considers the value of warehousing contract under probabilistic demands. We consider a supply chain consisting of a supplier, a retailer and its third-party warehousing partner who provides the warehousing service to the retailer through an outsourcing contract. A typical contract is specified by initial space commitment and modification schedule. The retailer decides the order quantity for the supplier and space commitment for the outsourcing contract. Since there is close relationship between order quantity and space commitment to minimize the total cost including ordering cost, inventory carrying cost, shortage cost, and warehousing cost, we develop an analytical model under probabilistic demands, where the retailer can determine the optimal order size and space commitment level jointly. We found the closed-form optimum for a single-period case and the optimal conditions for a two-period case. To evaluate the value of contract flexibility for the two-period case, we compared the total cost under two policies; one with modification, under which the base commitment can be changed at the start of each period and the other without modification. From results of our numerical analysis, we showed that the modification policy is more cost-effective as the variability of demand increases.

• International Commerce and Information Review
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• v.18 no.4
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• pp.285-310
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• 2016

The purpose of this study empirically verified impact of strategic and operational integration between first-tier supplier and their supplier and strategic and operational integration between first-tier supplier and their buyer on operation performance. In order to achieve our goal, we tested reliability, validity and path coefficient using structural equation modeling-partial least square (SEM-PLS) over 284 first-tier manufacturing suppliers data that Korea Productivity Center (KPC) surveyed in 2013. This study results indicated that operational integration between first-tier supplier and their supplier or buyer has positive impact on production process flexibility. Meanwhile, strategic integration between first-tier supplier and buyer has positive impact on production flexibility. On the other hand, strategic integration between first-tier supplier and supplier has negative impact on production flexibility. And production process flexibility has positive impact on production flexibility. By empirically testing to departmentalize level and scope of supply chain integration, this study has academic and managerial implications from first-tier perspective on.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.64
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• pp.239-264
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• 2014

Two types of responses to climate change exist. First is climate mitigation which includes efforts of reducing CO2 and GHG emissions. Second response is climate adaptation process which is establishing climate resilience in the supply chain. The two are inherently different since mitigation strategy focus on eliminating the source of climate change and is long term in nature but adaptation strategy is moderating the impact of potential or current climate change. In order to embed climate resilience in the supply chain, mitigation strategies and adaption strategies must be implemented simultaneously. Corporation's adaptation to climate change related natural disaster can be seen as a response that includes mitigation and adaptation strategies simultaneously. A comprehensive climate change resilience supply chain approach has to be developed. This paper illustrated guidelines and adaptation process framework businesses can utilize in order to build climate resilience. Screening process before the actual assessment of risk was introduced as well as the whole adaptation process of establishing information system and strengthening climate-related operational flexibility.

• Journal of Distribution Science
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• v.18 no.12
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• pp.45-54
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• 2020

Purpose: Indonesia's maritime logistics and distribution system is currently faced with several challenges, some of which include prolonged export and import time for goods handling as well as the high logistics cost. This study further analyzes the existing business processes in maritime logistics in East Java Province in order to provide solutions to the challenges. Research design, data and methodology: This research was carried out in East Java Province, Indonesia, with data collected through field observations, documentation, and in-depth interviews with all the stakeholders involved. Results: The study showed that the number of stakeholders and activities involved in the flow of goods movement ultimately impacted the length of time. These factors can be classified into the following five: 1) export and import regulations, 2) third party logistics competencies, 3) transportation infrastructure and facilities, 4) adoption of information systems and technology, and 5) maritime line connectivity. Conclusion: Analyzing the three supply chain flows in the maritime logistics and distribution industry called for the need for improvement to increase coordination among related institutions, improve the flexibility of dwelling time to the conditions of each port, enhance service levels, improve transportation infrastructure and facilities, implement information system and technology, and develop shipping routes and networks. Therefore, a collaborative supply chain management system can be realized.

• Journal of the Korean Operations Research and Management Science Society
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• v.31 no.2
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• pp.129-140
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• 2006

Quantity Flexibility contract coordinates individually motivated supplier and buyer to the systemwide optimal outcome by effectively allocating the costs of market demand uncertainty. The main feature of the contract is to couple the buyer's commitment to purchase no less than a certain percentage below the forecast with the supplier's guarantee to deliver up to a certain percentage above. In this paper we refine the previous models by adding some realistic features including the upper and lower limits of the purchase. We also incorporate purchase and canceling costs in a cost function to reflect the real world contracting process more accurately. To obtain the solution of the model, we derive a condition for extreme points using the Leibniz's rule and construct an algorithm for finding the optimal solution of the model. Several examples illustrating the algorithm show that the approach is valid and efficient.

• Asia pacific journal of information systems
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• v.7 no.1
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• pp.151-163
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• 1997

This paper deals with a reference model for a process-oriented parts supply company From the view point of SCM(Supply Chain Management), the model focuses on the integration of order management and manufacturing information. The model, considering the characteristics of manufacturing processes, separates the execution level from the planning level, and then introduces a virtual process to efficiently link the two levels. The model is operated to maximize its flexibility by the separation of planning and execution. A case study shows that our model significantly increases the productivity of the company.

• Information Systems Review
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• v.20 no.2
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• pp.87-110
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• 2018

This study reviews previous studies about the effects of RFID capabilities on strategic supply chain competence and business performance in the Chinese context. This study introduces a new perspective that measures the degree to which RFID capability levels contribute to business performance. Such an assumption is based on the fact that companies build their own capabilities through RFID capabilities and that these capabilities provide a competitive advantage for enterprises. Data on all sorts of logistics, distribution, and manufacturing companies that introduced RFID system in China were collected for data analysis. This study analyzes the structural equation modeling using Smart-PLS 2.0 program. This study confirms that internal reliability, convergent validity, and discriminant validity are satisfied. The hypothesis test result on the relationship between RFID capacity and strategic supply chain competence and strategic supply chain competence and company results is partially adopted. This study aids in establishing a RFID system construction strategy to enhance supply chain competence by suggesting guidelines for the successful introduction of RFID system through identifying the causal relationship between RFID capacity and strategic supply chain competence. This study also suggests the influence of RFID competency on visibility, agility, flexibility, and collaborations.

• Journal of Korea Technology Innovation Society
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• v.10 no.1
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• pp.22-46
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• 2007

This article introduces a recent innovation in Korea's human resources development policy in the SW sector. Facing serious problems in cultivating SW engineers such as a mismatch in supply and demand of SW workers, shortage of globally competitive SW professionals, and insufficient education and training of university graduates, the Korean government has decided to adopt a new paradigm in national SW engineering education, based on supply chain management (SCM) in manufacturing. SCM has been a major component of the corporate competitive strategy, enhancing organizational productiveness and responsiveness in a highly competitive environment. It weighs improving competitiveness of the supply chain as a whole via long-term commitment to supply chain relationships and a cooperative, integrated approach to business processes. These characteristics of SCM are believed to provide insight into a more effective IT education and university-industry collaboration. On the basis of the SCM literature, a framework for industry-oriented SW human resources development is designed, and then applied in the case of nurturing computer-software engineers in Korea. This approach is expected to fumish valuable implications not only to Korean policy makers, but also to other countries making similar efforts to enhance the effectiveness and flexibility in human resources development. The construction of SCM-based SW HRD model is first trial to apply SCM into SW HRD field. The model is divided into three kinds of primary activities and two kinds of supportive activities in the field of value chain such as SW HRD Council, SW demand and supply plan establishment and the integration of SW engineering capabilities that contribute the reduction of the skill and job matching through SW HR demand and supply collaboration.

• The Research Journal of the Costume Culture
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• v.17 no.1
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• pp.177-188
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• 2009

SCM as the important marketing strategy enhance the firm's efficiency and compatibility in global market environment such as global outsourcing. Firms adopted SCM realized the need to evaluate precisely the performance of SCM. In spite of importance of SCM, there was not much intention and research to measure SCM performance in textile fashion industry. Therefore, the purpose of this case study was to measure performance of supply chain management in textile fashion business using BSC(Balanced Score Card) to measure not only financial perspective but also non-financial perspectives such as customer perspective, internal business perspectives, financial perspective, and innovation & learning perspective. The questionnaire developed by the reviews of the literature was adopted for this study. The results of this study showed that SCM performance was enhanced from the point of customer perspective(cost, quality, time, service), financial perspective(cash cycle time, inventory turn over, inventory obsolescence, return on asset, return on investment, capacity utilization), and innovation & learning perspective(cost for human resource management, service for human resources). But there was same performance level regarding internal business perspective(lead time, cost for manufacturing process, product quality control, productive flexibility for time, quantity, and variety). Therefore, we should keep close relationship and two way communication among supply chain members to promote better SCM performance.

• The Journal of Information Systems
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• v.21 no.2
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• pp.181-196
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• 2012

본 논문은 고객의 수요정보에 대해 모호한 정보를 가진 공급자와 구매자 사이의 공급망 계약에 관한 것을 다루고 있는 것으로, 고객 수요에 대한 불확실성은 확률적 프로그래밍 모델에서 공식적으로 다루어져왔다. 확률적 프로그램의 한 가지 핵심적인 가정은 널리 알려져 있는바와 같이 수요에 대한 확률분포가 알려져 있다는 것이다. 그럼에도 불구하고 만약 수요에 대한 정보가 모호하거나 정확하지 않다면 수요에 대한 확률분포가 정확하지 않다는 점이다. 이런 상황에서 퍼지 이론은 수요정보를 나타내는데 유용하다고 할수 있다. 본 논문은 퍼지 랜덤수요변수들을 분산시스템의 공급망 계약에서 다루고 있다. 이 계약은 구매자의 주문량을 조정하는 옵션을 이용한다. 본 연구는 퍼지 랜덤 변수들을 GMIR(Graded Mean Integration Representation)을 이용하여, 알고리즘을 통해 구현함으로써 실증적 결과 값을 제시하고 미래 연구의 확장 가능성을 제시하고 있다.