Logistics Cost Analysis in Fish Supply Chain in West Sumatra Using Activity-based Costing Method

The supply chain design plays a key role in product availability in normal operations. The process of availability of stock level in running a business is necessary to attract and retain customers. The components or the channel partners in supply chain are responsible for calculating forecasted demand for the products. The overestimation as well as underestimation of the forecasted demand by each channel partners in the supply chain may result in the phenomenon of bullwhip effect in the supply chain. Vegetable, fish, and meat supply chains, which are the highly perishable products of daily life use, are to some extent different from that of the non-perishable products’ supply chains. Thus, the channel partners involved in the supply chain of vegetable, fish, and meat also forecast the different stock levels of the respective categories. In some cases, there are excess or shortfall in the availability of such items. This study attempts to comprehend and emphasize the phenomenon of the bullwhip effect in the category of fish and vegetable supply chain. The study further assesses the underlying factors responsible for the bullwhip effect. The study concludes with major suggestions for eliminating such bullwhip effect.

PurposeConstruction materials take up a significant proportion of the total construction cost. Without careful planning and controlling on the flow of construction materials, it is possible that the cost of materials may increase unnecessarily. In view of that, this paper aims to examine whether the development of logistics cost analysis can help determine suitable logistics strategies for a project which involves the use of bulky components like precast concrete units.Design/methodology/approachThe cost elements incurred during the logistics process of precast components from the supplier's yard to the construction site are first identified through the activity‐based costing (ABC) approach. Under each element, the resources necessary to fulfil the specific element are analysed. By representing those cost components through the cost functions, simulations can be carried out to determine the logistics cost under different logistic scenarios.FindingsThrough the ABC approach, the resources consumed can be traced back to the consuming activity and subsequently to a particular cost element. More importantly, the results indicate that the simulation model can identify a logistics option which would result in the lowest logistics cost without affecting the construction schedule.Originality/valueThis paper should help increase understanding of managers and planners on construction logistics activities and their related costs so as to increase their bid competitiveness and/or improve the chance of success at the construction stage by minimising the construction logistics cost.

PurposeHealthcare organizations are placing greater emphasis on enhancing supply chain performance to cut costs and boost operational efficiency. Despite the growth of literature on the relevance of contemporary supply chain technologies in enhancing supply chain performance, it is still unclear how healthcare organizations could leverage supply chain analytics through supply chain strategies to improve healthcare supply chain performance (HSCP). This paper attempts to bridge this gap by examining how enhanced HSCP could be achieved through supply chain analytics (SCA) as well as building responsive, resilient, and reconfiguration (3Rs) SCs. The paper further assessed the moderating role of desorptive capacity between SCA and HSCP.Design/methodology/approachThe practice-based view motivated the study. The model underwent validation using primary data collected from 374 managers of healthcare facilities in Ghana. Data analysis was conducted using a structural equation model.FindingsThe findings revealed that SCA significantly drives HSCP, supply chain resilience, responsiveness, and reconfiguration. The findings further showed that the three supply chain strategies (supply chain resilience, responsiveness, and reconfiguration) aid in channeling the effect of SCA to drive enhanced HSCP. Finally, we also observed high levels of desorptive capacity amplifying SCA’s impact on HSCP.Practical implicationsThis paper makes important contributions to both literature and practice by empirically demonstrating how the effect of SCA can be channeled through supply chain strategies (supply chain resilience, responsiveness, and reconfiguration) to enhance SCP at varying levels of desorptive capacity. Practically, our study has demonstrated that SCA is not a “silver bullet” and that it must be integrated with supply chain strategies to reap the full benefits.Originality/valueTo the best of our knowledge, this paper is among the few attempts to empirically validate the relevance of supply chain analytics from the healthcare perspective. Moreover, the novelty of this paper demonstrates the coverage of the newfound mechanism, where supply chain resilience, responsiveness, and reconfiguration mediate and desorptive capacity moderate SCA and HSCP relationship. Finally, the paper questions the use of traditional organizational theories (RBV and DCT) and validates the applicability of a practice-based view as an alternative theoretical lens that could offer more nuanced insights into the unique characteristics and challenges of healthcare supply chains.

Multiple-method analysis of logistics costs

One of the most promising strategies for reducing truck traffic in urban centers is the consolidation of consignments through cooperation and coordination among multiple businesses. However, various factors—including existing infrastructure systems, institutional and regulatory environments, socioeconomic and geographical characteristics, political climates, past and future changes in logistics and supply chain management, and market forces—will determine whether such a strategy can be adopted and function effectively in the United States. In this paper, the cost-effectiveness of a common type of consolidation scheme used in foreign countries is examined against the peddle-run system commonly used in the United States. The analysis results indicate that the current U.S. distribution system has substantial cost advantages. Demographic factors, population density, and urban area size, while having some effect on the logistics cost under the consolidation system, do not reverse the cost advantage of the peddle-run system within the range tested. The advantage of the peddle-run system will not be overcome without drastic policy changes, the imposition of truck size and weight restrictions, or investments in public terminals.

With the development of society, market competition becomes increasingly fierce, companieswant to achieve stable development and efficient profits, strengthen its internal managementand cost control are important measures to enhance the economic efficiency of enterprises. In business management and cost control, statistical work plays an important role, which cannot only reduce the operating costs in enterprise management, clarify receipts and disbursements of enterprise, while also has an important significance for improving enterprise management and cost control quality, and promoting the healthy development of enterprises. This study analyzes the development cost control situation of enterprise, the application of statistics in business management and cost control, and finally with examples to have detailed in-depth analysis of the statistical applications in business management and cost control, for reference.

Values of food leftover sharing platforms in the sharing economy

One of unique characteristics of Thai jasmine rice is its aroma, which can easily reduce in various conditions during post-harvesting activities, especially in rice milling stage. This study aims to investigate logistics cost analysis of the rice mill of Kasetwisai Agricultural Cooperative, Ltd. by using activity based costing (ABC) method and to define key activities for the improvement of the rice aroma loss reduction. The results show that the activity that has the highest logistics cost is warehousing at 26.52%, followed by material handling at 24.27%, transportation at 12.33% and packaging at 10.84% of the total logistics cost, respectively. The total logistics cost per unit of the rice mill is about 4.52 baht/kg. Findings from an in-depth interview revealed that warehousing and transportation can be major activities influencing aroma loss in jasmine rice. To reduce the aroma loss in a cost effective way, the Kasetwisai Agricultural Cooperative, Ltd. should focus on storage time and temperature in warehousing and transportation systems. In addition, the collaboration of the rice miller with supply chain partners should be encouraged to cut the logistics cost and to improve the quality of rice. Keywords: Activity Based Costing; Aromatic Rice; Jasmine Rice; Logistics Cost; Value Chain

Efficient location of industrial activity cells in a global supply chain

The agroindustry of shallot in West Sumatra currently requires further strengthening of therelationship between supply chain actors to improve the efficiency of the market system and the application of modern technology today. This study aims to photograph the supply chain of shallot agroindustry in West Sumatra and reconstruct the synergy of shallot agroindustry supply chain actors for the welfare of farmers. The research methodology used to Systematic Literature Review (SLR), methode that is literature review method which identify, assess, and interpret all findings on a research topic, to answer research question.The results of the study that the portrait of shallot agroindustry supply chain is mapping the market potential that is a mainstay in shallot agroindustry, conducting comparative analysis of the role of stakeholders in the supply chain as a business unit, mapping gaps in profit distribution among supply chain actors and accrue recorded price data. Farmers and has a high ability in market access and integrated in all business processes with all supply chain stakeholders. In conclusion, synergiof supply chain on integrated shallot agroindustry will correlated to the increasing ability of the resourches supply chain shallot agents of agroindustry from various elements and to integrate a more efficient and effective supply chain that transforms the agricultural sector into the industrial sector.

West Sumatra has great potential in developing biomass based on palm oil waste. This is because the largest plantation production in West Sumatra comes from the oil palm commodity of 1,082,820 tons in 2014. Therefore, it is necessary to design a model of supply chain biomass network for the distribution of Empty Fruit Bunches (EFB) from CPO factory suppliers located in West Sumatra and distributed to Depot Pertamina Teluk Kabung. Stages performed in the implementation of this study began with a preliminary study to determine the potential of biomass in West Sumatra. Furthermore, the design of chain supply chain optimization model by identifying supply chain activity, knowing the characteristics of supply chain system and make the formulation of mathematical model. The design of supply chain biomass from Empty Fruit Bunches (EFB) in West Sumatera, starting from raw material Tandan Kosong Kelapa Sawit (TKKS) sourced from Crude Palm Oil (CPO) factory in West Pasaman Regency and surrounding. This is because Pasaman Barat Regency is the central agroindustry of oil palm plantation which has 17 most palm oil factories in West Sumatra. The potential of bioethanol derived from CPO waste can be done by establishing bioethanol plant located with the same CPO factory so that it is adjacent to the source of the raw material. The result of the mathematical model mixed integer linear programming is placement of bioethanol plant location at PT Pasaman Marama Sejahtera with medium scale and total cost of IDR 251,563,700,000.00.

Shallow Versus Deep Integration Between Mediterranean Countries and the EU and Within the Mediterranean Region

Abstract. Introduction. Ensuring the effective functioning of a modern enterprise is largely determined by the procurement process, which significantly affects the stability, efficiency and competitiveness of the enterprise. Purpose. The purpose of this study is to determine the key features of the supply process and its goals in the chain of circulation of economic assets, as well as to characterize the accounting component of the supply activity. Results. The supply process, in addition to the actual purchase of values, includes all interrelated activities necessary for the organization to receive goods and services from suppliers: the selection of suppliers, negotiations and agreement of terms with them, transportation and forwarding of goods and material values, receiving, warehousing and cargo processing goods Thus, it can be said that there is no coherent and unified opinion on the definition of the terms "supply", "purchase" and "supply" today, and they are perceived in practical activity as interchangeable. Implementation of supply activities can be considered in two aspects - tactical and strategic. Supply in the tactical aspect is the satisfaction of the company's constant, daily needs for material resources, without which its effective functioning is impossible. The strategic aspect of supply activities is actually the process of management, communication and interaction with other departments, external suppliers, needs and requests of the end user. Accounting for supply costs is reduced to an important, but only effective part of the supply process - the assessment of material stocks at original cost (the actual cost of acquisition or own production). Material costs are one of the main economic elements of the enterprise's costs for the production and sale of products, they include the cost of purchased raw materials and materials that are part of the manufactured product, forming its basis, or are a necessary component in the production of products (conducting works, providing services ). The integration of production and procurement activities begins long before the production process itself. At the same time, the initiative side is the production system, the basis of which is data on product sales. However, the production process cannot proceed normally if it is not preceded by a well-established process of preparing production stocks. Reserves refer to objects that require fairly large investments and are one of the most important factors in ensuring stability and continuity of reproduction, which determine the company's policy and affect the level of service as a whole. Production units receive information about the availability of the necessary amount of materials for production. In the chain of creation of the value of material costs at the stage of production, deficiencies and losses arising as a result of procurement and supply activities may be detected. For example, if high production losses were caused by the purchase of the wrong material by the supply department, then the amount of these losses should be attributed to the costs of the responsibility centre of the supply department in terms of quantity and value. Production divisions complete the material and value flows of purchasing and supply activities. At this stage, the physical consumption of materials is carried out according to the value formed as a result of the material and technical supply process. Conclusions. Logistics costs significantly affect the profitability of the city's enterprise and its finished products. Therefore, the clear structuring of logistics costs can contribute to the optimization of purchasing activities in the production of industrial equipment, as well as the coordination and integration of certain types of logistics costs that are hidden and do not have a clear method of accounting and measurement. In general, it can be said that the implementation of successful and effective procurement activities at a manufacturing enterprise must be approached systematically and comprehensively, organically integrating all the main functions of procurement logistics (planning, organization, motivation) into all internal business processes of the enterprise, providing this activity with the necessary resources, information and managerial influence.

This study aims to investigate the level of logistical coordination and the state of coordination mechanisms in procurement activities among enterprises involved in supply chains. The research was conducted through a comparative analysis of statistical data obtained from a survey of businesses between July and October 2021.The study proposes a method for identifying general and individual performance indexes for partner companies' interactions by examining joint planning, synchronized documentation, coordinated operational procedures, and resource integration. This method is relevant to both logistics theory and the practical activities of supply chain participants. The research highlights the evolution of metrics used to evaluate the extent of coordination mechanisms employed by businesses in their procurement activities. Based on the selection criteria, an assessment scale is proposed to determine the level of logistical coordination in supply chain companies' procurement activities. The findings offer insights into the development of coordination mechanisms for organizations across various sectors (industrial, trading, freight forwarding), focusing on their scientific significance and impact on the competitiveness of consolidated supply chains. This study contributes to the literature by providing a comprehensive understanding of logistical coordination and coordination mechanisms in procurement activities among supply chain enterprises, as well as offering a practical assessment scale for evaluating logistical coordination levels.

This study aims to investigate the level of logistical coordination and the state of coordination mechanisms in procurement activities among enterprises involved in supply chains. The research was conducted through a comparative analysis of statistical data obtained from a survey of businesses between July and October 2021. The study proposes a method for identifying general and individual performance indexes for partner companies' interactions by examining joint planning, synchronized documentation, coordinated operational procedures, and resource integration. This method is relevant to both logistics theory and the practical activities of supply chain participants. The research highlights the evolution of metrics used to evaluate the extent of coordination mechanisms employed by businesses in their procurement activities. Based on the selection criteria, an assessment scale is proposed to determine the level of logistical coordination in supply chain companies' procurement activities. The findings offer insights into the development of coordination mechanisms for organizations across various sectors (industrial, trading, freight forwarding), focusing on their scientific significance and impact on the competitiveness of consolidated supply chains. This study contributes to the literature by providing a comprehensive understanding of logistical coordination and coordination mechanisms in procurement activities among supply chain enterprises, as well as offering a practical assessment scale for evaluating logistical coordination levels.