Showing papers on "Supply chain published in 1995"

Global Supply Chain Management at Digital Equipment Corporation

Abstract: Digital Equipment Corporation evaluates global supply chain alternatives and determines worldwide manufacturing and distribution strategy, using the Global Supply Chain Model (GSCM) which recommends a production, distribution, and vendor network. GSCM minimizes cost or weighted cumulative production and distribution times or both subject to meeting estimated demand and restrictions on local content, offset trade, and joint capacity for multiple products, echelons, and time periods. Cost factors include fixed and variable production charges, inventory charges, distribution expenses via multiple modes, taxes, duties, and duty drawback. GSCM is a large mixed-integer linear program that incorporates a global, multi-product bill of materials for supply chains with arbitrary echelon structure and a comprehensive model of integrated global manufacturing and distribution decisions. The supply chain restructuring has saved over $100 million (US).

The Evolution of Supply-Chain-Management Models and Practice at Hewlett-Packard

Abstract: Late in the 1980s, Hewlett-Packard HP faced inventories mounting into the billions of dollars and alarming customer dissatisfaction with its order fulfillment process. HP produces computation and measurement products whose supply chains include manufacturing integrated circuits, board assembly, final assembly, and delivery to customers. To reduce inventory and improve order fulfillment, HP called on an internal team of industrial engineers and management scientists augmented by academic collaboration. The team used an iterative process, enriched by the interaction of model development and application. HP reaped benefits well beyond its manufacturing operations, extending to diverse functions throughout the organization. Similarly, the academic partners have infused their research with real-life experience. The supply-chain methodology is now mature, and HP is transferring the technology into the product divisions.

Supply chain performance benchmarking study reveals keys to supply chain excellence

Abstract: Describes a comprehensive set of fact‐based performance measures that can be used to describe accurately a world‐class supply chain of plan, source, make and deliver activities. Aims to help companies take a broad supply‐chain‐process perspective by quantifying performance improvement opportunities across the entire supply chain. Includes quantitative measures such as cash‐to‐cash cycle time and supply chain response time, as well as qualitative analysis of best‐in‐class performance. Best practice benchmarks provide more insight into how to achieve world‐class performance.

Production and operations management manufacturing and services

Abstract: Part 1 Nature and context of operations management: introduction to the field operations strategy and competitiveness project management. Part 2 Product design and process selection product design and process selection - manufacturing, supplement - operations technology product design and process selection - services, supplement - waiting line management quality management, supplement - statistical quality control methods. Part 3 Design of facilities and jobs strategic capacity management, supplement - linear programming just-in-time production systems facility location facility layout job design and work measurement, supplement - learning curves. Part 4 Managing the supply chain: supply chain management forecasting aggregate planning inventory systems for independence demand inventory systems for dependent demand - MRP-type systems, supplement - SAP R/3 operations scheduling, supplement - simulation. Part 5 Revising the system: operations consulting business process reengineering theory of constraints and synchronous manufacturing. Appendices: financial analysis of operations uniformity distributed random digits normally distributed random digits areas of the standard normal distribution areas of the cumulative standard normal distribution negative exponential distribution - values Of e -x Internet tables answers to selected problems.

Networks of collaboration or conflict? Electronic data interchange and power in the supply chain

Abstract: This paper is concerned with the way in which the design and use of interorganizational information systems reflect the strategic interests of powerful corporate players and the struggles of those players for domination in the marketplace. The paper draws upon the insights developed within the sociology of technology, in which innovation is not simply a technical-rational process of ‘solving problems’; it also involves economic and political processes in articulating interests, building alliances and struggling over outcomes. To illustrate the way in which powerful users seek to have their interests articulated in information systems, the paper discusses the design and implementation of electronic data interchange in a major UK motor manufacturer, highlighting the economic, political and cultural factors which have conditioned the design and use of this system. It then sets these findings in the context of the automotive industry more broadly, and compares them with experiences in another sector, retailing. The paper concludes that the design and use of electronic trading networks are more strongly shaped by the competitive environment than by contemporary ‘popular’ management ideas.

International Sourcing and Supply Chain Stability

Abstract: An international supply chain is conceptualized as a complex, dynamic system in which disruptions interact with long shipping and lead times to generate costs. Findings from a case study and simulation model indicate that demand-related disruptions created substantial and unexpected costs in terms of expedited shipping, high inventories, and lower demand fulfillment. Production-related disruptions declined over time, but demand-related disruptions did not. Implications for management are discussed.

The new logistics management: transformation through organizational learning

Abstract: Major change efforts, such as business process redesign and transformation of the supply chain, can usefully be linked to an organizational learning approach. Radical change stands a far greater chance of success if attention is first paid to overall organizational readiness. Suggests a framework for first conducting a “change audit” using a holistic and systemic view of the firm. Concepts of the learning organization can then be applied to increase flexibility and increase capacity to withstand and exploit unexpected and rapid change. Makes recommendations for successfully combining a learning approach to strategy with proactive and integrated logistics management.

Research frameworks in logistics: three models, seven dinners and a survey

Abstract: Although there is growing enthusiasm for supply chain managementand integrated logistics, much prescriptive writing rests on a flimsyempirical base. Explores the methodological dilemmas which arise inresearch in logistics practice. Presents three contrasting models ofresearch frameworks. Outlines the experiences of a novel investigationinto supply chain integration in the UK carried out in the first half of1994. Makes recommendations about the use of secondary data, andstrategies for future research.

Cooperative supply chain management: the impact of interorganizational information systems

Abstract: The impact of interorganizational information systems on the structure and management of a supply chain in the textile industry is analysed from a managerial perspective. Case data from detailed, partial longitudinal studies of manufacturer and retail organizations are presented. The competitive strategies of organizations in the supply chain are described and their associated patterns of communication are analysed. It is shown that companies are moving towards cooperative relationships in an effort to make the supply chain as a whole more competitive. The resulting market structure is an electronic hierarchy in which business processes are integrated across organizational boundaries using interorganizational information systems. The strategies of the individual firms are evolving as new opportunities arise and different problems present themselves. The results are compared with current theories on market structure and competition in an electronic trading environment and future trends are outlined.

The integrated logistics management system: a framework and case study

Abstract: Presents a framework for distribution companies to establish and improve their logistics systems continuously. Recently, much attention has been given to automation in services, the use of new information technology and the integration of the supply chain. Discusses these areas, which have great potential to increase logistics productivity and provide customers with high level service. The exploration of each area is enriched with Taiwanese logistics management practices and experiences. Includes a case study of one prominent food processor and retailer in Taiwan in order to demonstrate the pragmatic operations of the integrated logistics management system. Also, a survey of 45 Taiwanese retailers was conducted to investigate the extent of logistics management in Taiwan. Concludes by suggesting how distribution companies can overcome noticeable logistics management barriers, build store automation systems, and follow the key steps to logistics success.

International Comparisons of Supply Chain Management in Grocery Retailing

Abstract: This paper discusses a neglected area of international retailing research, namely an international comparison of supply chain management practices. The focus of this research is on the grocery industry sector and the comparative analysis is between US retailers and their counterparts in parts of Europe. The research shows that the logistical environment differs markedly between and even within countries. The amount of stock held in the grocery supply chain varies from over 100 days in the US to 29 days in the UK. The main reasons for these differences can be attributed to the intensity of price competition, conflict rather than collaboration between suppliers and retailers, commodity purchasing and holding of promotional stock and the varying rates of adoption of information technology, especially EDI usage. No two countries are the same, however; and range of factors such as geography and distribution ‘culture’ will require the international rnarketeer to assess all these factors in developing a logistic...

Product universality and design for supply chain management

Abstract: We describe our experience of developing models in which the principles of design for supply chain management (DFCM) have been implemented for new product development at Hewlett-Packard Company (HP). This experience arises from the development of a new product that is scheduled to be released in 1995. A key design decision faced by the product development team was whether to use a universal module or regionally dedicated modules to satisfy global market requirements. We describe a wide range of factors—including manufacturing and logistics costs—that could be used to support the design decision; these factors associated with product and process design contribute to tolal supply chain costs. We review the analytical model used to evaluate the cost and service implications of the two design alternatives. Finally, we discuss qualitative considerations that might influence the eventual decisions as well as the lessons learned from this real world experience.

Business process re-engineering the supply chain

Abstract: Common foundations which underlie thinking in the supply chain management (SCM), Business process re-engineering (BPR) and business process improvement (BPI) philosophies are highlighted. The view that BPR is a new concept is argued against by highlighting die work performed in other fields, namely SCM from the systems perspective. It is argued that those who have already implemented the SCM philosophy will have already travelled the same path as BPR and indeed re-engineered their own processes. Once businesses have integrated their supply chain the greatest benefits will have already been achieved, however system dynamics analysis does show significant on-cost differences dependent on the redesign strategy implemented. A generic structured model for SCM is enhanced through this comparison with BPR with the following characteristics being added; do not be afraid to be radical with respect to internal integration and continually search for step change improvement ideas which can be strategically p...

The 'pros' and 'cons' of total quality management for smaller firms in manufacturing: Some experiences down the supply chain

Abstract: This paper considers the implications of the total quality management (TQM) approach to competitiveness for smaller firms in manufacturing. The core elements of TQM are identified from the literatu...

Business process re-engineering an electronic products supply chain

Abstract: The re-design of supply chains for smoother, faster response has been the subject of much research and debate since the classic contribution by Jay Forrester (1961) over 30 years ago. Many of his ideas have since been subsumed within business process re-engineering (BPR) but this involves the 'how' as well as the 'why' of supply-chain management. The authors use a real-world electronic products supply chain as a case study in which it has proved feasible to model and simulate a number of BPR driven strategies undertaken to improve supply chain performance. The modelling and simulation techniques essentially follow a classical industrial dynamics format, although a greater than usual contribution was made via people contact and written documentation methods coupled with the exploitation of inhouse software. The improved demand amplification patterns predicted from the simulation model can be used for benchmarking purposes and for prioritising future improvement programmes by other supply chains.

Supply networks: Genesis, stability and logistics implications. A comparative analysis of two districts

Abstract: This study concerns networks whose elements are made up of manufacturing units linked by supply relationships. The authors, comparing the evolution of two industrial districts, analyse the variables that determine or impede the formation of strong linked buyer-suppliers systems, influence the network stability and fashion the logistic pipeline mapping and management. Three central propositions are discussed: (a) the setting up of a supply network process is connected to the presence of operational interdependencies between the units of the supply chain; (b) the stability and effectiveness of a supply network is closely bound to the ability, on the part of the core-firm, to plan the governance structure of the supply relationship; and (c) the product structure and the nature of the process influence the networking process.

Managing for environmentally sensitive technology: networks for collaboration and learning

Abstract: Environmental issues are acknowledged as problems which transcend boundaries at organizational and societal levles. By adopting the notion of product stewardship, companies are required to manage their products from conception to resurrection, while recognizing many stakeholder interests. This demands a new style of management which emphasizes collaborative structures. In the case of teh development of greener, more environmentally sensitive technology, there is a role for new collaborative networks which affect technology in either incremental or revolutionary ways. These networks can exist within the organization (intra-organizational), between organizations in the supply chain (trans-organizational) and with organizations at the domain level (supra-organizational). This paper analyzes the management, development and effect of thse networks on the greening of technology. It sets out a conceptual framework for exploring the role of collaborations in the management and development of environmentally sensi...

Volatile demand calls for quick response: the integrated supply chain

Abstract: Highlights the problems encountered by a traditional supply chain system and shows how these problems can be eradicated by implementing an integrated supply chain. Discusses the workings of an integrated supply chain with the example of a US sports clothing manufacturer. Concludes by including a supply chain diagnostic guide which can be used to assess the efficiency of a company′s supply chain.

The effect of less-than-truckload rates on the purchase order lot size decision

Abstract: Supply chain management (SCM) is a coordinated approach for managing the flow of goods from suppliers to ultimate consumers. The goal of SCM is to meet customer service objectives while minimizing inventory and related costs. Inherently, SCM should be based on the exchange of substantial quantities of information among the buyer, supplier, and carrier. Buyers, suppliers, and carriers share the information to increase the efficiency and effectiveness of the supply chain. Although the SCM concept has gained wide acceptance, and has been examined extensively in the logistics literature, the role of the carrier, and transportation service, in realizing the benefits of SCM has not received much attention. This research illustrates the effect that pragmatic transportation costs can have on the purchase order lot size decision.

Supplier Partnering: Case Study Experiences

Abstract: INTRODUCTION The concept of partnership is based on cooperation and trust. The partners must have shared goals and must work together to improve the design, quality, delivery, and manufacturing aspects of their respective products and operations in an attempt to obtain competitive advantage. The literature in the field has grown rapidly during the past few years. The basic concepts are covered by a number of authors who are included in the reference section of the article,[1] as are other researchers who have explored the practical development aspects of concept implementation.[2] This article describes a study carried out in conjunction with the Trafford Park Performance and Quality Forum to examine the partnership sourcing practices in a representative sample of 11 companies residing in the Trafford Park industrial area. Table I describes the companies. The Trafford area was established in 1896 and reached its peak during the Second World War, when more then 75,000 people were employed in major manufacturing firms located there. Later on, business activities started to decline with the rise of high technology industries. The Trafford Park Development Corporation (TPDC) subsequently was established in 1987 by the U.K. government to assist with the physical and economic regeneration of the area. The corporation provides financial and technical assistance for the development of existing firms, and it encourages other businesses to move into the area. More recently, the Trafford Park Performance and Quality Forum was initiated by TPDC to provide advice, guidance, and assistance to Trafford Park companies on quality related issues. Members of the forum are encouraged to share their experiences on quality improvement matters. This initiative is aimed particularly at the smaller companies that do not always have the resources to take the necessary actions by themselves. The forum is also planning to provide assistance to firms in establishing supplier associations, a concept that has been identified as one of the key factors in developing a competitive business strategy within the Trafford Park industrial area. THE NATURE OF PARTNERSHIP ARRANGEMENTS The findings of the study indicate that all 11 companies are aware of the potential benefits that can be obtained through efficient management of the supply chain. All of the companies with more than 20 employees had developed partnership sourcing arrangements at different levels of cooperation, as noted in Table II, and the four smaller firms were trying to develop nonadversarial relationships with their customers. Details are provided in Table III (see p. 41). Because of their size, and perhaps the nature of a given business, the smaller firms apparently had difficulty in developing partnering relationships with their suppliers. The consensus view of the 4 firms was that larger companies were busy developing collaborative linkages with their major customers and suppliers and did not want to spend time and effort on developing similar relationships with small companies. Table 1 COMPANY TYPES Company No of employees Product/Service A 4 Freight forwarding B 11 Assembly and refurbishing of computer equipment C 12 Laser profile cutting D 19 Employment agency E 24 Clinical laboratory instrumentation F 41 Temperature control devices G 156 Railway wheel manufacture H 250 Computer controlled precision machinery I 290 Analytical instruments J 445 Industrial machinery K 1481 Cereal manufacture The larger firms had long-term relationships with a number of their suppliers, some of which were based on formal partnering agreements. …

Retailer-supplier relationships and the evolution of marketing : two food industry case studies

Abstract: Uses two case studies to examine how changing market structures in food supply chains have affected the nature of collaboration between retailer and supplier. Looks at the implications for the nature of marketing as a management function and as an area of study. Concludes with a discussion of the implications of closer supply chain relationships for industry profitability.

Power supply chain and chain carriage system

Abstract: Apparatus for carrying one or more power conduits to a movable power consumer includes one or more power supply chains, a carriage between static and dynamic portions of the chain and movable in response to movement of the power consumer via a sheave and cable carriage drive and having rollers positioned in response to movement of the power consumer to support a dynamic portion of a power supply chain when it sags in a chain guide tray as a result of the chain travelling beyond its self-supporting travel distance. The carriage rollers have a radius substantially less that the predetermined bend radius of the chain so that a compact, light-weight, low center-of-gravity carriage is provided for movement in a chain guide tray.

The dynamics of customer dissatisfaction in supply chains

Abstract: This paper describes field research and its findings that investigate the relationship of a firm's position in the supply chain to behaviour. Specifically, perceptions of requirements, performance and customer satisfaction/dissatisfaction are the behavioural issues of interest here. The field research was carried out in four European supply chains in the automotive aftermarket, or spares industry. It was proven statistically and qualitatively that, in the chains studied, upstream relationships contained more customer dissatisfaction and more misperceptions about performance than did downstream relationships. Delivery performance was identified as the major cause of these problems, This has implications for planning and control. First, the Forrester-type swings in information upstream, proven in industrial dynamics, make planning and control decisions more difficult; this research identifies the detrimental effect of this on customer satisfaction. Secondly, measurement of delivery performance is i...

Developing new products and services in flight catering

Abstract: Reviews alternative approaches to new product development and new service development. Compares them in the context of the flight‐catering sector which is particularly suitable for such comparison as it is made‐up of a supply chain involving three distinctive stakeholders food manufacturers, flight caterers and airlines. Argues that airlines adopt a process for development based largely on new service development, whereas caterers and suppliers tend to adopt a new product development approach. Confirms previous studies of innovation in service operations, that most innovations are modifications to existing products or services as opposed to completely new, “original” innovations. Concludes that in other industries, the level of innovation is greater in larger companies and limited for smaller companies.

Re-positioning the supplier: an SME perspective

Abstract: As manufactured products become more complex, their design and manufacturing demands more and more resource which is being increasingly shared between the supply/value chain members. Competition is being typified less by firm versus firm and more by supply chain versus supply chain. The final assemblers are simplifying their supply chain to reduce logistics complexity and provide best value to the final customer. To suppliers, particularly SMEs, this gives rise to both opportunities for increasing 'added value', as well as threats of being dropped from rationalized supplier bases. Historically, SMEs have been sandwiched between large customers and suppliers and have always reacted to their superior bargaining power. Now, if the SMEs want to survive and grow, they have to adopt a more proactive stance to re-position themselves in response to these supply chain trends. In this paper, we present a technique for re-positioning the supplier in terms of'physical value added' and competency/practice-bas...

Smart moves in supply chain integration.

Abstract: SUBTITLE: LINKING THE SUPPLY CHAIN ELEMENTS IS ESSENTIAL, BUT NOW YOU CAN CALL ON ABLE PARTNERS THAT CAN HELP YOU.

The role of supply chain management within the industrial ecosystem

Abstract: The field of environmentally conscious design and manufacturing has focused primarily on internal functions and activities within an organization. However, external enterprise practices and relationships are of equal concern and often overlooked. External relationships serve as links in the development of a closed loop industrial ecosystem and are an integral part of supply chain management and environmental management strategy. This paper identifies emerging and potential research and development issues within supply chain management and the industrial ecosystem.