According to W. Edwards Deming, American companies require nothing less than a transformation of management style and of governmental relations with industry. In Out of the Crisis, originally published in 1982, Deming offers a theory of management based on his famous 14 Points for Management. Management's failure to plan for the future, he claims, brings about loss of market, which brings about loss of jobs. Management must be judged not only by the quarterly dividend, but by innovative plans to stay in business, protect investment, ensure future dividends, and provide more jobs through improved product and service. In simple, direct language, he explains the principles of management transformation and how to apply them.

Out of the Crisis

Perspectives in supply chain risk management

There are two broad categories of risk affecting supply chain design and management: (1) risks arising from the problems of coordinating supply and demand, and (2) risks arising from disruptions to normal activities. This paper is concerned with the second category of risks, which may arise from natural disasters, from strikes and economic disruptions, and from acts of purposeful agents, including terrorists. The paper provides a conceptual framework that reflects the joint activities of risk assessment and risk mitigation that are fundamental to disruption risk management in supply chains. We then consider empirical results from a rich data set covering the period 1995–2000 on accidents in the U. S. Chemical Industry. Based on these results and other literature, we discuss the implications for the design of management systems intended to cope with supply chain disruption risks.

Managing Disruption Risks in Supply Chains

Normal accidents. Living with high-risk technologies

Operations management researchers and practitioners face new challenges in integrating issues of sustainability with their traditional areas of interest. During the past 20 years, there has been growing pressure on businesses to pay more attention to the environmental and resource consequences of the products and services they offer and the processes they deploy. One symptom of this pressure is the movement towards triple bottom line reporting (3BL) concerning the relationship of profit, people and the planet. The resulting challenges include integrating environmental, health, and safety concerns with green product design, lean and green operations, and closed-loop supply chains. We review these and other 'sustainability' themes covered in the first 50 issues of Production and Operations Management and conclude with some thoughts on future research challenges in sustainable operations management.

Sustainable Operations Management

Purpose – The purpose of this paper is to survey and analyze current process improvement (PI) approaches, their empirical results reported in the literature, and develop accordingly a conceptual framework and implementation guidelines.Design/methodology/approach – A literature review of the popular business database to search for case studies and empirical research on PI methods was conducted. The empirical evidence on success and failure factors were inferred and tabulated. Based on synthesis of the lessons learned from this empirical evidence along with concepts drawn from economics, and operations management, a conceptual framework is developed.Findings – It was found that the framework would serve as a diagnostic tool for identification of, and recovering from root causes of problems and inefficiencies faced in business environments. The framework proposed synthesizes and extends earlier PI tools and basic approaches used for mitigating disruptions faced in operations practice. The framework design co...

Business Process Improvement: Empirical Assessment and Extensions

Addresses quality management issues of both conceptual and practical significance. The contribution is twofold: first, conceptual issues and critical relationships which have been overlooked in the current literature are discussed, as well as their policy implications. Second, a contingency approach for managing quality is proposed to guide implementation, and to help reduce the deviations between the desired and the actual outcomes of quality programs. The contingency model developed provides a basis for advancing both theory and practice.

Managing quality: critical links and a contingency model

Addresses the question of how to assure effective performance evaluation of a public service strategic unit. Both descriptive and prescriptive approaches are discussed. Based on this analysis a practical model for performance evaluation is developed. The model proposed comprises key drivers of performance, including internal and external factors, as well as both quantitative and qualitative factors, simultaneously. The model has been designed using the Analytical Hierarchy Process (AHP) and tested using the Expert Choice Software. The testing results show that the evaluation outcomes differ as a function of the criteria used, the weight assigned, and the meaning given to each criterion. Using the same criteria with a different weighting scheme results in different outcomes for the same performance. This counter‐intuitive finding has important implications for management practice.

Strategic performance evaluation: descriptive and prescriptive analysis

This paper extends earlier hierarchical production-planning approaches initiated by Hax and Meal. The proposed model incorporates both functional and hierarchical interfaces simultaneously as encountered in practice, and assures feasibility and consistency among the decisions made at the different hierarchical levels of the firm. The problem of infeasibility which arises in disaggregating the aggregate production plan into detailed schedules is solved using goal programming at the product-family disaggregation level, and using branch and bound at the item-disaggregation level. The proposed approach minimizes backlogging regardless of the underlying cost structure of the problem at hand.

Germaine H. Saad

Papers

Managing Disruption Risks in Supply Chains

Business Process Improvement: Empirical Assessment and Extensions

Managing quality: critical links and a contingency model

Strategic performance evaluation: descriptive and prescriptive analysis

Hierarchical Production-planning Systems: Extensions and Modifications