- Research Article
- 10.1287/opre.1110.0925
Contributors
- Feb 01, 2011
- Operations Research
- Sandro Bosio
Contributors
Recent years have seen much growing attention on RFID security. However, little work has been performed to address the security issues in the context of supply chain management, which is exactly the major field for RFID applications. Existing RFID solutions cannot be applied directly in this field because of a set of special RFID security requirements to be addressed for supply chain management. The major contribution of this paper is to identify the unique set of security requirements in supply chains and to propose a practical design of RFID communication protocols that satisfy the security requirements.
Contributors
Contributors
Supply-demand integrated management model for effective farmer-buyer coordination: case of the Hawaii avocado industry
The paper presents possible solutions to small farmers in the agricultural sector in a small island setting grappling with challenges of enhancing their local industry and import substitution through a supply-demand chain framework. In 2005, Hawaiian farms produced approximately 363,200 kg of avocados. However, Hawaiian demand for these fruits required an additional 908,000 kg of avocados that were supplied through imports. At the same time, it is worth noting; almost 49% of locally produced avocados did not reach the market. These facts clearly suggest inefficiencies in the local avocado supply chain. Review of the literature on supply chain management suggests a sustainable avocado industry requires an integrated supply and demand chain management system. Hence, a modified conceptual model of supply-chain management called the Supply Demand Integrated Management (SDIM) model is proposed in this paper. Traditional supply chains contain three functional components: supply coordination, physical production and logistic management. In the new model, we propose adding R4D (Research for Development), a public good provided by the government to agricultural industries as an integral part of the supply-demand chain system. It articulates the significance of research and supply chain partnerships between small growers, industry groups, and public agencies. A well-integrated demand/supply chain in the avocado industry allows sharing of vital market information which can contribute to long-term strategic decisions that help local avocado growers increase their competitiveness against foreign imports. It also provides metrics in terms of consumer satisfaction, profitability, competitiveness, self-sufficiency, import substitution and sustainability. The SDIM model as applied to the avocado industry suggests two hypotheses relevant to the current situation. The hypotheses are: (1) There is a lack of coordination between what the farmers are growing and the chefs' (a high-end customer/buyer) preferences; (2) Forming an avocado farmer cooperative will enhance the profitability of local farmers. Survey data was collected from Hawaiian chefs and avocado farmers. Data was analysed using a Duncan multi-range test and a mathematical model, respectively, to test the hypotheses. The test revealed a lack of coordination between what the farmers are growing and buyer preferences. The results from the mathematical model suggested that formation of an avocado marketing cooperative would enhance the profitability of local farmers. Thus, the SDIM framework expands existing body of knowledge about supply chain management and provides useful information to local avocado growers that can help strengthen their supply and demand chain management.
Read moreSupply Chain and Logistics Operations Management Under the Era of Advanced Technology
Implementation and adoption of new technologies are gaining the result of smooth supply chain and logistics operations. Internet of things (IoT) artificial intelligence, including data mining, intensified in all fields of life, particularly in supply chain management and operations. Blockchain technology has the capability to reform the supply chain and logistics operations management. Blockchain provides digital database solutions for all transactions across supply chain and operations management. Radio frequency identification device (RFID) is also helping technology transmit electromagnetic waves to radio-compatible integrated circuits to look after and manage the entire supply chain and logistics operations management. The Fourth Industry Revolution 4.0 refers to the automation, interconnectivity, machine learning, and real-time data that help supply chain and logistics operations management in the 21st century.
Read moreRisk Management: Rethinking Fashion Supply Chain Management for Multinational Corporations in Light of the COVID-19 Outbreak
Through an international business risk management lens, the widespread and catalytic implications of the 2020 COVID-19 pandemic on the supply chains (SCs) of fashion multinational corporations (MNC) are analyzed to contribute to existing research on supply chain management (SCM). While a movement towards agile, networked supply chain models had been in consideration for many firms prior to the outbreak, the pandemic highlights issues inherent in supply chains that employ concentrated production. We examined the current state of fashion supply chains, risks that have arisen historically and recently, and existing risk mitigation methods. We found that while lean supply chain management is primarily favored for its cost and waste reduction advantages, the structure is limited by the lack of supply chain transparency that results as well as the increasing demand volatility observed even before the COVID-19 outbreak. Although this problem might exist in the agile supply chain, agile supply chains combat this by focusing on enhancing communication and buyer-supplier relationships to improve information exchange. However, this structure also entails an associated increase in inventory and inventory costs. The COVID-19 pandemic has caused supply and demand disruptions which have resonating effects on supply chain activities and management, indicating a need to build flexibility to mitigate epidemic and demand risks. To address this, several strategies that firms can adopt to control for such risks are outlined and key areas for further research are identified which consider parties both upstream and downstream of the fashion supply chain.
Read moreTeaching supply chain and logistics management through commercial software
PurposeThe purpose of this paper is to describe the development and teaching of graduate courses providing in‐depth experiential learning employing commercial supply chain management software. The benefits of teaching such courses are described, the challenges in offering such courses are identified, and some solutions to overcome the challenges are offered.Design/methodology/approachThe experiences of the authors in developing and teaching supply chain management courses utilizing commercial software provided a basis for discussing the benefits and challenges associated with teaching students the management of modern supply chains using commercial decision‐support software.FindingsIncorporating commercial software in university programs presents a myriad of challenges and therefore is rarely done. However, providing students with in‐depth knowledge of commercial logistics and supply chain management software improves their understanding of supply chain issues and provides a key differentiator in the marketplace. Modeling real‐world supply chains using commercial software enhances student's education by providing relevant experiential exposure to real‐world problems and decision‐support tools.Originality/valueThe observations of the authors in developing and teaching courses in supply chain management utilizing commercial software afford a unique viewpoint and roadmap for others regarding teaching supply chain management in academic environments.
Read more<title>Coordinated supply chain dynamic production planning model</title>
Coordination of different and often contradicting interests of individual supply chain members is one of the important issues in supply chain management because the individual members can not succeed without success of the supply chain and vice versa. This paper investigates a supply chain dynamic production planning problem with emphasis on coordination. A planning problem is formally described using a supply chain kernel, which defines supply chain configuration, management policies, available resources and objectives both at supply chain or macro and supply chain member or micro levels. The coordinated model is solved in order to balance decisions made at the macro and micro levels and members' profitability is used as the coordination criterion. The coordinated model is used to determine inventory levels and production capacity across the supply chain. Application of the coordinated model distributes costs burden uniformly among supply chain members and preserves overall efficiency of the supply chain. Influence of the demand series uncertainty is investigated. The production planning model is a part of the integrated supply chain decision modeling system, which is shared among the supply chain members across the Internet.
Read moreКОМПЛЕМЕНТАРНІСТЬ СТРАТЕГІЙ МАРКЕТИНГУ ТА ЛОГІСТИКИ В ЛАНЦЮГУ ПОСТАВОК ТОВАРІВ ПОВСЯКДЕННОГО ПОПИТУ
КОМПЛЕМЕНТАРНІСТЬ СТРАТЕГІЙ МАРКЕТИНГУ ТА ЛОГІСТИКИ В ЛАНЦЮГУ ПОСТАВОК ТОВАРІВ ПОВСЯКДЕННОГО ПОПИТУ
Textile and apparel supply chain management in Hong Kong
PurposeThis paper aims to review the concept of supply chain management. The typical problems facing with textile and apparel supply chain are short product cycle for fashion articles, long production lead‐time and forecasting errors for fashion items. The Hong Kong textile and apparel supply chain faces additional problems of distance from customers in the US and European markets, long production lead‐times and minimum batch sizes for production, and, recently, elimination of quota restriction in the US market, all of which force them to improve efficiency and enhance competitiveness through supply chain management. Seeks also to provide a selective bibliography for industrial practitioners with sources which can help them develop their supply chain strategies for the fashion market in Hong Kong.Design/methodology/approachA range of recent published (1993‐2005) works, which aim to provide practical advice are critiqued to aid the individual practitioner to manage its supply chain strategies in Hong Kong. These sources are sorted into sections: supply chain management in Hong Kong, textile and apparel supply chain management in Hong Kong, and problems faced by small and medium‐sized enterprises for textile and apparel supply chain.FindingsThe differentiation of product demands into functional and innovative products helps the supply chain company to employ different supply chain strategies for different products, namely responsive supply chain strategy for innovative products and efficiency supply chain strategy for functional products. These two supply chain strategies are focused on the downstream supply chain aiming at shortening the time to research the market and also to reduce the stock levels in the retailing industry.Research limitations/implicationsThis is not an exhaustive list and cases are mainly from the Hong Kong textile and apparel industry, which perhaps limits its usefulness elsewhere.Practical implicationsA very useful source of information and impartial advice for industrial practitioners to develop their own supply chain strategies for the fashion market in Hong Kong. Especially recently with the elimination of quota to the US market, the management of the supply chain is critical.Originality/valueThis paper fulfils an identified information/resources need and offers practical help to industrial practitioners on then supply chain management for the Hong Kong textile and apparel industry.
Read moreWill Blockchain Technology Revolutionize Supply Chain Management?
Purpose: The purpose of this paper is to assess if blockchain technology, which is hailed for its potential to improve supply chain transparency and efficiency, can deliver to this promise (Abreu et al., 2021; Mahyuni et al., 2020; Manzoor et al., 2022; Rennie, 2022; Yiannas, 2018). Supply chains are increasingly complex and full transparency is difficult to achieve and may sometimes be undesired, yet governments worldwide are demanding more transparency especially with respect to the social and environmental sustainability of supply chains (Francisco & Swanson, 2018; Franke, 2021; Najjar, 2021). If blockchain technology allows to close this gap, without compromising corporate confidentiality and efficiency requirements, it might change supply chain management drastically. Most other research in this field remains rather superficial with respect to the fundamentals of blockchain technology and supply chain management. Our study will add to the very limited theoretically founded research on blockchain potentials in supply chains.Study Design: Our paper is conceptual. Based on the extant literature, we compare blockchain technology and its advantages to the characteristics of supply chains and challenges of supply chain management to identify a theoretical fit. We investigate if published case studies of blockchain technology in supply chain management support this. Finally, we devise a conceptual framework for the application of blockchain technology in supply chain management.Findings: There is, currently, very limited use for blockchain technology in supply chain management. It does not provide an answer to several of the challenges that exist in supply chain management. Blockchain technology was primarily devised as encryption technology for virtual entities and transactions involving them and not for tangible objects. Published case studies describing the use of blockchain technology in supply chain management do not contradict these findings.They rely on private blockchain solutions lacking the key benefits of blockchain technology. Our conceptual framework constitutes a reference for a future public blockchain solution for supply chains. It offers solutions for some of the challenges but also cannot solve some fundamental challenges, like power imbalances in supply chains.Limitations: Blockchain technology undergoes rapid development. Future blockchain technology may be faster, less energy-intensive and more integrated with other technologies. This may be aided by developments in hardware, like quantum computing. The findings of this paper are limited to currently available technology.Implications: Companies and governments alike should be very cautious when considering investing in currently available blockchain solutions for supply chain management.
Read moreSustainability risk management in the agri-food supply chain: literature review
Maintaining an effective risk management procedure can counterbalance a critical effect on supply chains. The Agri-food supply chain has characteristics that are unique and complex if compared with a conventional supply chain. Sustainability risk management in the supply chain is the key to a competitive organisation in the long term. The aim of this paper is to review current research on sustainable risk management in the Agri-food industry chain. These reviews were arranged in steps systematically, ranging from searching related to review of supply chain sustainability risk management (SCSRM), reviewing the general framework of SCSRM and the framework of Agri-food SCSRM. Selection of literature review papers in the period 2010-2019, and obtained 30 papers. Risk aspects were analysed using a multi-dimensional approach (economic, social, environmental, technical, and institutional) that influences the sustainability of the Agri-food industry. The results show that there are few studies focusing on risk management to achieve a sustainable supply chain system. Some studies only focus on Triple Bottom Line elements (economic, social, and environmental). Sometimes, these studies do not consider risks from other elements such as technical and institutional aspects that can be influence the sustainability of the Agri-food industry. Technical aspects such as the reliability of technological systems and institutional aspects as policymakers support sustainability in a business process. The contribution of this paper is to provide an initial theoretical framework to guide researchers in analysing risk through a multi-dimensional approach to sustainability.
Read moreSupply chain management analysis of avocado in south Sumatra province through the Food Supply Chain Network (FSCN) method
One of the agricultural sub-sectors that occupy a strategic position in agricultural development is the horticultural sub-sector, with one of its potential commodities being avocado. Avocado is one of the export-based commodities, especially in South OKU Regency, South Sumatra Province. This study aims to obtain an overview of the Avocado Agribusiness Supply Chain management in South OKU Regency. The study was conducted in Warkuk Selatan District, South OKU Regency in February 2022. The research method used was a qualitative descriptive method with a type of data using primary data and secondary data. The data analysis method uses the Food Supply Chain Network (FSCN) method, which illustrates South Oku Regency's avocado supply chain model. The results showed that the Avocado Management Supply Chain Management model with the FSCN framework consisted of four main components: the supply chain structure, the business chain process, supply chain management, and supply chain resources. Avocado supply chain targets are still dominated to meet the domestic market and products in the form of fresh avocados for consumption. Avocado supply chain management comprises election partners, contractual agreements, transaction systems, government support, and supply chain collaboration. The avocado supply chain structure in South OKU Regency consists of farmers, collecting traders, local and non-local traders, retailers, and consumers with respective roles in the supply chain structure. Business processes in avocado supply chain management consist of procurement, replenishment, and customer order cycles. Based on marketing margin analysis, the lowest total marketing margin is found in channel IV, with a margin value of Rp 1,500 per kg. The four avocado marketing channels in South Warkuk Ranau District have Farmer’s Share ≥40%, so it is categorized as an efficient channel.
Read moreTHE ESSENCE OF SUPPLY CHAIN MANAGEMENT IN ENTERPRISES
This article examines the theoretical issues and reasons for the emergence of the concept of supply chain management. The essence and definition of supply chains are disclosed. It is indicated that supply chain management determines the strategy and measures concerning planning, search, production and delivery of goods, logistics is only a part of the supply chain, which focuses on the fact that the right products are in the right place and at the right time. The purpose of the research is to study the principles of supply chain management in modern enterprise logistics, the advantages of this approach and methods to improve it, to show the impact of the COVID-19 pandemic on supply chain management and actions taken by enterprises in the new environment. Five main elements of supply chain management (planning, delivery, manufacturing, delivery, return), without which it is impossible to optimize the work of enterprises, are identified. It has been determined that the effective organization of supply chain management is an important direction of increasing the competitiveness and profitability of enterprises. The main advantages of this management approach and assessment methods (financial, non-financial and quantitative parameters) are specified. The concept of responsible supply chain management, the importance of using this approach by enterprises to support the acquired image in modern conditions of existence are defined. Conditions are presented due to which companies can create a responsibly organized supply chain. The impact of the COVID-19 pandemic on logistics supply and the actions taken by enterprises in the new operating environment are described: improving the flexibility of supply chain strategy, digitalization of the supply chain, building reliable partnerships of supply chain participants. Keywords: logistics, enterprise, supply chain, effective supply chain management, responsible supply chain management.
Read moreFrom Transparency to Maturity. An Exploratory Exercise to Assess Supply Value Chain ESG Reporting in the Light of ESRS Requirements
The study is an exploratory exercise to assess the transparency and quality of supply chain reporting through ESG factors. A qualitative thematic content analysis of sustainability and integrated reports was employed on a sample constituted by Romanian listed companies, following the topic of supply and value chain reporting and transparency. The textual analysis was carried out with NVivo 15 after manual data gathering of reports publicly available for 2024. Afterward, a qualitative assessment was employed on the quality of supply and value chain reporting. For both qualitative assessments, the scoring method was used. The qualitative analysis revealed that the sustainability themes regarding “Value chain policies and codes of business conduct” and “ESRS value chain reporting” are the most transparently presented, obtaining the highest scores, followed by “Supply chain impact” and “Due diligence and ESG risk management in the value chain”. The least transparent topics are “ESG criteria integrated into supply chain management and suppliers selection” and “Communication and grievance mechanisms for value chain workers”. The supply chain reporting quality was assessed through the lens of robust points and weaknesses. The results showed that three companies have a good to outstanding quality of reporting, with a clear understanding of ESRS requirements and concrete steps integrated to improve supply chain transparency through ESG reporting. The paper enriches the knowledge in the field of assessing the supply chain ESG reporting transparency by adding value through the thematic qualitative analysis and evaluation of supply chain reporting quality, following the ESRS reporting framework. The results of the study can be helpful in the process of improving supply chain reporting, integrating ESG, and increasing the transparency of information by offering managers possible options for developing appropriate reporting tools.
Read moreUnderstanding the determinants of big data analytics (BDA) adoption in logistics and supply chain management
PurposeBased on previous literature on big data analytics (BDA) and supply chain (SC) management, the purpose of this paper is to address the factors determining firms’ intention to adopt BDA in their daily operations. Specifically, this study classifies potential factors into four categories: technological, organizational, environmental factors, and SC characteristics.Design/methodology/approachDrawing on the innovation diffusion theory, a model consisted of direct technological and organizational factors as well as moderators was proposed. Subsequently, survey data was collected from 210 organizations. Then we used SPSS and SmartPLS to analyze the collected data.FindingsThe empirical results revealed that perceived benefits and top management support can significantly influence the adoption intention. And environmental factors, such as competitors’ adoption, government policy, and SC connectivity, can significantly moderate the direct relationships between driving factors and the adoption intention.Research limitations/implicationsGiven the fact that big data (BD) usage in logistics and SC management is still in the start-up stage, the interpretations toward BDA might vary from different perspectives, thus causing some ambiguity in understanding the meaning and potential BD has. In addition, we collected data through questionnaires completed by IT managers, whose viewpoint may not fully represent that of an organization.Practical implicationsThis paper tests the organizational adoption intention of BDA and extends the literature streams of BD and SC management simultaneously.Social implicationsThis research helps top managers assess the benefits of BDA as well as how to adjust their business strategy along the changes of environment and SC maturity.Originality/valueThis paper contributes to the literature of organizational adoption intention of BDA and extends the literature streams of BD and SC management simultaneously.
Read moreBlockchain in supply chain management: A review of efficiency, transparency, and innovation
As global supply chains become increasingly complex, traditional systems face challenges in ensuring efficiency, transparency, and innovation. Block chain technology has emerged as a transformative force in addressing these issues, offering a decentralized and secure framework for supply chain management. This paper presents a comprehensive review of the impact of block chain on supply chains, focusing on its potential to enhance efficiency, transparency, and foster innovation. The efficiency gains facilitated by block chain in supply chain management are examined through the elimination of intermediaries, reduction of paperwork, and real-time visibility into the entire process. These improvements result in streamlined operations, reduced costs, and enhanced responsiveness to market dynamics. Moreover, block chain’s decentralized nature ensures data integrity, mitigating the risk of fraud and errors in the supply chain. Transparency is a critical aspect of modern supply chains, and block chain provides an immutable and transparent ledger that enables end-to-end visibility. The technology ensures traceability and accountability, allowing stakeholders to access real-time information about the origin, movement, and status of products. This transparency not only enhances trust among supply chain participants but also facilitates compliance with regulatory requirements. The role of block chain in fostering innovation within supply chains is explored, emphasizing its potential to enable new business models, collaborative ecosystems, and the integration of emerging technologies such as the Internet of Things (IoT) and Artificial Intelligence (AI). The paper highlights case studies and pilot projects where block chain has been successfully applied to drive innovation in supply chain processes. Challenges and considerations related to the implementation of block chain in supply chain management are also discussed, including interoperability, scalability, and regulatory issues. The paper concludes by outlining future research directions and emphasizing the need for industry-wide collaboration to unlock the full potential of block chain in revolutionizing supply chain management. Overall, this review contributes to the understanding of how block chain can serve as a catalyst for efficiency, transparency, and innovation in contemporary supply chains
Read more