Supply chain collaboration: making sense of the strategy continuum

Holweg, Matthias, Disney, Stephen Michael ORCID: https://orcid.org/0000-0003-2505-9271, Holmström, Jan and Småros, Johanna 2005. Supply chain collaboration: making sense of the strategy continuum. European Management Journal 23 (2) , pp. 170-181. 10.1016/j.emj.2005.02.008

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Abstract

Purpose - To assess current supply-chain management (SCM) practices, and to recommend appropriate strategies dependent on supplier- and customer-company size, supply-chain structure, product, and collaboration type. Design/methodology/approach - Pinpoints visibility of demand pattern as the key objective of collaborative SCM, describes how the purchase order is the only forecast available in traditional chains, identifies a range of techniques such as vendor-managed inventory (VMI), and collaborative forecasting, planning and replenishment, but cites prior research that found a predominance of traditional supply chains in many industries/sectors, despite demand variability caused by the associated bull-whip effect. Classes traditional chains as Type-O, information exchange as Type-1, VMI as Type-2 and synchronized supply as Type-3, comments on a stock ownership/location issue with Type-2 chains that renders them effectively Type-O, and employs a water-tank metaphor, and associated diagrams, to demonstrate operation of each type. Ranges across product shelf-life, demand seasonality, transportation distances, and radio-frequency identification, tabulates benefits obtained through collaboration that include improved customer service, elimination of the bull-whip effect and reduced inventory levels, and concludes by recommending strategies, including Type-O strategies, for a range of industry, company, location and product contexts.

Item Type:	Article
Date Type:	Publication
Status:	Published
Schools:	Business (Including Economics) Centre for Advanced Manufacturing Systems At Cardiff (CAMSAC)
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HD Industries. Land use. Labor H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management H Social Sciences > HE Transportation and Communications
Uncontrolled Keywords:	Corporate Strategy; Information Exchange; Inventory Management; Orders And Ordering; Partnering; Supply-chain Management
Publisher:	Emerald
ISSN:	0263-2373
Related URLs:	http://www.emeraldinsight.com/bibliograp...
Last Modified:	21 Oct 2022 09:52
URI:	https://orca.cardiff.ac.uk/id/eprint/38083

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