Tomi Solakivi

Bio: Tomi Solakivi is an academic researcher from University of Turku. The author has contributed to research in topics: Supply chain & Supply chain management. The author has an hindex of 13, co-authored 28 publications receiving 671 citations.

Effects of geographic dispersion on intra‐firm supply chain performance

Abstract: Purpose – This article aims to quantify and analyse empirically how the geographic dispersion of a firm's supply chain impacts on intra‐firm supply chain performance.Design/methodology/approach – Generalised linear modelling is utilised to analyse a sample of 95 large manufacturing companies operating in Finland.Findings – Results indicate that the increased geographic dispersion of the upstream supply chain results in higher costs of warehousing and logistics administration. On the downstream side, inventory costs, inventory days of supply, and cash‐to‐cash cycle time tend to increase due to geographically dispersed sales network. Increased geographic dispersion in the upstream and downstream supply chain results in the decline of perfect orders, and increases order fulfilment cycle time. However, the increased dispersion of the production network reduces order fulfilment cycle time. The results also indicate that the larger the firm, the better it can alleviate the negative implications of dispersion on...

Priorities and determinants for supply chain management skills development in manufacturing firms

Abstract: Purpose – The purpose of this paper is to find out the current SCM skill development priorities in manufacturing firms and how the structural properties of the supply chain translate into demand for SCM skills in manufacturing firms.Design/methodology/approach – An internet survey was designed and conducted. The responses of 154 manufacturing companies operating in Finland were analysed through descriptive statistics and regression analyses.Findings – The supply chain management skills with an inter‐organisational focus tend to have a higher development priority than the skills with an intra‐organisational focus. The top five skills for development are: demand forecasting and supply planning; sourcing and supplier management; customer and distribution channel management; production planning and control; and information systems for logistics and production planning. Structural properties of the supply chain seem to have an effect on skills that are related to supply chain design and information flow infras...

A natural resource-based view of the firm

Abstract: Historically, management theory has ignored the constraints imposed by the biophysical (natural) environment. Building upon resource-based theory, this article attempts to fill this void by proposing a natural-resource-based view of the firm—a theory of competitive advantage based upon the firm's relationship to the natural environment. It is composed of three interconnected strategies: pollution prevention, product stewardship, and sustainable development. Propositions are advanced for each of these strategies regarding key resource requirements and their contributions to sustained competitive advantage.

Macroeconomic Implications of COVID-19: Can Negative Supply Shocks Cause Demand Shortages?

Abstract: We present a theory of Keynesian supply shocks: supply shocks that trigger changes in aggregate demand larger than the shocks themselves. We argue that the economic shocks associated to the COVID-19 epidemic—shutdowns, layoffs, and firm exits—may have this feature. In one-sector economies supply shocks are never Keynesian. We show that this is a general result that extend to economies with incomplete markets and liquidity constrained consumers. In economies with multiple sectors Keynesian supply shocks are possible, under some conditions. A 50% shock that hits all sectors is not the same as a 100% shock that hits half the economy. Incomplete markets make the conditions for Keynesian supply shocks more likely to be met. Firm exit and job destruction can amplify the initial effect, aggravating the recession. We discuss the effects of various policies. Standard fiscal stimulus can be less effective than usual because the fact that some sectors are shut down mutes the Keynesian multiplier feedback. Monetary policy, as long as it is unimpeded by the zero lower bound, can have magnified effects, by preventing firm exits. Turning to optimal policy, closing down contact-intensive sectors and providing full insurance payments to affected workers can achieve the first-best allocation, despite the lower per-dollar potency of fiscal policy.