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Role of logistics in enhancing competitive advantage
Emerald - - 2009
RohitBhatnagar, Chee‐ChongTeo
PurposeThe purpose of this paper is to describe the issues, tradeoffs, and models relating to two important sets of problems that arise in supply chain management – complexities in extended supply chains and network coordination in globally dispersed supply chains. This paper highlights the role of logistics in enhancing the competitiveness of firms that operate a global supply chain.Design/methodology/approachThe methodology used in this paper encompasses conceptual research and detailed literature review of key issues.FindingsThis review indicates that the key challenges faced by supply chain managers due to extended supply chains are non‐stationary demand, variability propagation, and inventory imbalances. For network coordination managers must determine the role of facilities in a global network, identify the optimal location and capacity of facilities as well as role of consolidation hubs. For the above challenges, the tradeoffs in terms of four key drivers of supply chain performance – transportation, inventory, information, and facilities and relate these to key measures of supply chain performance are described. Important directions for future research are also identified.Research limitations/implicationsTest cases are needed to validate and refine the framework presented. Developing case studies that gather appropriate data to test out the models described would be important.Practical implicationsCompanies with a global supply chain as well as third party logistics companies will find the framework presented in this paper very useful.Originality/valueA new integrated framework that incorporates key decision issues like complexities of extended supply chains and network coordination into the firm's decision making has been presented. This has not been reported in previous research.
Logistics service providers and corporate social responsibility: sustainability reporting in the logistics industry
Emerald - Tập 45 Số 5 - Trang 459-485 - 2015
Maja Piecyk, Maria Björklund
Purpose– The purpose of this paper is to present a content analysis of corporate social responsibility (CSR) reports published by logistics service providers (LSPs), and to analyse factors influencing the level and scope of reporting. In order to address this objective, the authors show to what extent various social and environmental categories are covered in the CSR reports. The authors also investigate whether any differences in the use of CSR indicators can be found with regard to the use of a formal reporting framework, the size of a company, location of its headquarter, and ownership structure.Design/methodology/approach– The study begins with a comprehensive literature review on the CSR policies and practices in relation to the field of logistics. A database of 350 international LSPs is compiled based on independent rankings of top logistics companies. Applying a content analysis approach, corporate web sites and CSR reports are examined in order to investigate how sustainability is reported and what CSR-related indicators are published. Statistical analysis is carried out to provide insight into whether any differences in the use of CSR indicators can be found with regard to four key factors identified in the literature review.Findings– Although aspects of sustainability are mentioned on corporate web sites of most LSPs in the database (53 per cent), only 13 per cent publish formal CSR reports. This research identifies a variety of indicators used by LSPs and shows that the use of a formal reporting framework and the size of a company are the two main factors influencing the levels of CSR reporting in the sector.Practical implications– This paper provides an insight into how transparently LSPs report on the sustainability of their performance. LSPs can compare their own CSR reporting approaches to the body of scientific literature and the findings presented in this paper, in order to adapt more general concepts and best practice evidence to their needs.Social implications– By focusing on best practice in reporting of the environmental and social performance, this research can potentially improve the long-term sustainability of the logistics sector.Originality/value– This is the first study providing a comprehensive review of the CSR reporting practice in the third party logistics sector. As such, this paper provides an important basis for CSR-related research in the field of logistics and supply chain management. Several areas for future research are also identified.
Logistics capability, logistics outsourcing and firm performance in an e‐commerce market
Emerald - Tập 38 Số 5 - Trang 336-359 - 2008
JayJoong‐Kun Cho, JohnOzment, HarrySink
PurposeEffective and efficient supply chain management is critical to the success of firms engaging in e‐commerce. The purpose of this paper is to examine the impact of logistics capability and logistics outsourcing on firm performance in an e‐commerce market environment.Design/methodology/approachThis research examines the relationship between firm's logistics capability, logistics outsourcing and its performance. Multiple‐item constructs are used to measure the strength of logistics capability and firm performance. The use of logistics outsourcing is represented by a dichotomous variable. Data obtained via a survey were analyzed to investigate relationships among constructs and various hypotheses were tested.FindingsStudy results revealed logistics capability to be positively related to firm performance in the e‐commerce market. However, counter‐intuitively, logistics outsourcing and firm performance were not found to be positively linked. Further, the association between logistics capability and outsourcing was not supported. Finally, the interactive effect of logistics outsourcing on the relationship between logistics capability and firm performance was not sustained.Research limitations/implicationsResearch findings are constrained, as the study was limited to the computer and consumer electronics retailing industry. However, the importance of logistics capability was confirmed in the e‐commerce supply chain for this segment. And the benefit of using third‐party logistics (3PL) to enhance firm performance was not fully established.Practical implicationsLogistics capability is critical for superior firm performance in e‐commerce. However, study findings lead to the presumption that firms should avoid logistics outsourcing if performance is predicated on competitive advantage due to internally strong logistics capability and competencies.Originality/valueThis research contributes to the study of logistics capability and 3PL in e‐commerce. The development of a logistics capability measurement construct in e‐commerce originated with this research. Also the impact of logistics outsourcing on firm performance is tested for the first time in an e‐commerce market environment.
North American inland port development: international vs domestic shipper preferences
Emerald - - 2004
Clyde KennethWalter, Richard F.Poist
Changes in US transportation policy and changing freight flows influenced by NAFTA have refocused the attention of interior states on their transportation infrastructure. Shippers in the landlocked Midwest of the USA have inquired into the feasibility of inland ports that better facilitate domestic and global commerce by providing shared facilities and services. As such, these inland ports represent one‐stop shopping for various transportation and logistics‐related services. The present study asked central Iowa shippers about their perceptions of and preferences for a proposed inland port. The respondents were categorized as either “international” (i.e. companies that export and/or import, and those planning to) or “domestic‐only” (firms with no international operations nor plans to export or import). The results will assist policy makers and investors to develop an implementation strategy for an inland port, and to identify potential customers for specific port features and services.
Detailed cost modelling: a case study in warehouse logistics
Emerald - Tập 37 Số 3 - Trang 184-200 - 2007
Mikko Varila, Marko Seppänen, Petri Suomala
PurposeThe purpose of this paper is to examine the applicability of different drivers for assigning activity costs to products in warehouse logistics environment.Design/methodology/approachAn action research case study in the warehouse logistics of an electronics wholesaler. Data were collected from a single activity which was analysed in depth.FindingsThe study illustrates that there may be significant variation in activity costs that cannot be traced with any single transaction‐based driver. Automatic data collection methods can be used to support cost accounting in such a situation. It was clearly demonstrated that in certain environments it is possible to significantly increase the accuracy and versatility of accounting by measuring the actual durations together with other variables.Research limitations/implicationsThe results are derived from a single company and activity.Practical implicationsGives accountants in environments where data is rich and plentiful examples of methods for analysing the data for obtaining a deeper understanding of the cost behaviour of activities and products.Originality/valueComplements the discussion on activity cost drivers and logistics costing.
Cost modeling in logistics using time‐driven ABC
Emerald - Tập 38 Số 3 - Trang 172-191 - 2008
Patricia Everaert, Werner Bruggeman, Gerrit Sarens, Steven R. Anderson, Yves Levant
PurposeThe purpose of this paper is to describe the experiences of a wholesaler with time‐driven activity‐based costing (TDABC). Three research questions are addressed: How are complex logistics operations modeled by TDABC? Does TDABC provide more accurate cost information than activity‐based costing (ABC)? How is TDABC cost information used?Design/methodology/approachCase study research was performed at a Belgian wholesaler. Interviews were conducted. The cost and activity database was analyzed.FindingsThis case study illustrates that there are logistics operations that cannot be modeled using a single cost driver, as is done with ABC. TDABC uses time equations to estimate the time spent on each activity. The results herein show how the time equations can capture the different complexities, by including different terms or interaction terms in the time equations. The database analysis clearly demonstrates that TDABC provided more accurate cost information than ABC at this case company. ABC oversimplified 64 percent of the activities, and misallocated 55 percent of all indirect costs.Research limitations/implicationsThis study is one of the first, investigating the experiences with TDABC. The results are derived from analyzing all activities, at a single case company.Practical implicationsThe study illustrates the technique of TDABC and provides a real company example of time equations in logistics. The users declared the TDABC model very useful for profitability reporting and profit management. The time drivers provided insight into the causes of excessive distribution and logistics costs.Originality/valueThis paper complements current discussion on cost drivers and subtasks and logistics costing.
Research on the phenomenon of supply chain resilience
Emerald - Tập 45 Số 1/2 - Trang 90-117 - 2015
Nils-Ole Hohenstein, Edda Feisel, Evi Hartmann, Larry C. Giunipero
Purpose– This paper provides a robust and structured literature review on supply chain resilience (SCRES), the supply chain’s ability to be prepared for unexpected risk events, responding and recovering quickly to potential disruptions to return to its original situation or grow by moving to a new, more desirable state. The purpose of this paper is to analyze the extant research through focussed questions and provide an insightful framework with propositions to guide further publications and identify future research needs.Design/methodology/approach– The findings underlie a systematic literature review methodology requiring a robust method of literature analysis. The sand cone model is adopted to develop a comprehensive SCRES framework.Findings– The literature review reveals a strong need for an overarching SCRES definition and a clear terminology for its building elements. It indicates that most research has been qualitative and lacks in assessing and measuring SCRES performance.Originality/value– This paper contributes a structured overview of 67 peer-reviewed articles from 2003 to 2013 on an emerging area of supply chain research. The review formulates an overarching definition of SCRES, groups and synthesizes the various SCRES elements into proactive and reactive strategies for the ex-ante/ex-post disruption stage and illustrates SCRES measurement through performance metrics. It provides a comprehensive SCRES framework with propositions and indicates gaps in the literature to target for further development.
Forming post-COVID supply chains: does supply chain managers' social network affect resilience?
Emerald - Tập 52 Số 7 - Trang 538-566 - 2022
Ethan Nikookar, Yoshio Yanadori
PurposeRethinking how to build resilience in supply chains is once again highlighted by COVID-19. Research on supply chain resilience has established flexibility as a firm-level antecedent that contributes to supply chain resilience. However, the authors know little about how supply chain flexibility is developed within a firm. Drawing on social capital theory, the authors claim that the way supply chain managers are embedded in their social networks plays a critical role in developing this antecedent. Specifically, the authors hypothesize that supply chain managers' structural and relational embeddedness in their reference network, comprised of individuals from whom they seek advice, is instrumental to developing supply chain flexibility, which subsequently enhances the firm's supply chain resilience.Design/methodology/approachSurvey data collected from 485 manufacturing firms in Australia and Hayes and Preacher's (2014) parallel multiple mediator model were employed to empirically test the hypotheses.FindingsThe findings of the study establish that supply chain managers' structural and relational embeddedness in their reference network indeed have implications for developing supply chain resilience. Furthermore, the mediator through which managers' social embeddedness influences supply chain resilience is identified in the current study.Originality/valueThe study contributes to the extant literature on supply chain resilience, investigating the role that supply chain managers' social capital play in developing the resilience of their firm.
A global exploration of Big Data in the supply chain
Emerald - Tập 46 Số 8 - Trang 710-739 - 2016
R. Glenn Richey, Tyler R. Morgan, Kristina Lindsey-Hall, F. Gérard Adams
Purpose Journals in business logistics, operations management, supply chain management, and business strategy have initiated ongoing calls for Big Data research and its impact on research and practice. Currently, no extant research has defined the concept fully. The purpose of this paper is to develop an industry grounded definition of Big Data by canvassing supply chain managers across six nations. The supply chain setting defines Big Data as inclusive of four dimensions: volume, velocity, variety, and veracity. The study further extracts multiple concepts that are important to the future of supply chain relationship strategy and performance. These outcomes provide a starting point and extend a call for theoretically grounded and paradigm-breaking research on managing business-to-business relationships in the age of Big Data. Design/methodology/approach A native categories qualitative method commonly employed in sociology allows each executive respondent to provide rich, specific data. This approach reduces interviewer bias while examining 27 companies across six industrialized and industrializing nations. This is the first study in supply chain management and logistics (SCMLs) to use the native category approach. Findings This study defines Big Data by developing four supporting dimensions that inform and ground future SCMLs research; details ten key success factors/issues; and discusses extensive opportunities for future research. Research limitations/implications This study provides a central grounding of the term, dimensions, and issues related to Big Data in supply chain research. Practical implications Supply chain managers are provided with a peer-specific definition and unified dimensions of Big Data. The authors detail key success factors for strategic consideration. Finally, this study notes differences in relational priorities concerning these success factors across different markets, and points to future complexity in managing supply chain and logistics relationships. Originality/value There is currently no central grounding of the term, dimensions, and issues related to Big Data in supply chain research. For the first time, the authors address subjects related to how supply chain partners employ Big Data across the supply chain, uncover Big Data’s potential to influence supply chain performance, and detail the obstacles to developing Big Data’s potential. In addition, the study introduces the native category qualitative interview approach to SCMLs researchers.
Toward a Digitally Dominant Paradigm for twenty-first century supply chain scholarship
Emerald - Tập 49 Số 10 - Trang 956-971 - 2019
Theodore P. Stank, Terry L. Esper, Thomas J. Goldsby, Walter Zinn, Chad W. Autry
Purpose The digital advances in modern industry are accelerating changes in the broad social, economic, political and business environments within which supply chain management (SCM) is practiced. Given this extraordinary contextual upheaval, the conduct of research to identify, define, understand and explain how the digital revolution will impact key SCM concepts is imperative. The purpose of this paper is to introduce a theoretically grounded Digitally Dominant Paradigm (DDP) framework that demonstrates how digital concepts and insights can be infused into existing elements of best-practice SCM, in order to help guide future research. Design/methodology/approach Middle-range theorizing is proposed as a means to explore the ways in which researchers can explain supply chain phenomena (i.e. build theory) in the age of digitalization. Findings An example of how a DDP framework can be applied to a well-entrenched logistics/supply chain concept is provided, and the authors conclude by identifying exemplary research propositions for future exploration. Originality/value The broad goal of the paper is to spark forward-looking supply chain scholarship based upon development of a DDP of SCM.
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