Business Commons^™

Interaction Between Manufacturer's Wholesale Pricing And Retailers’ Price-Matching Guarantees, Arcan Nalca, Gangshu (George) Cai

Information Systems and Analytics

In practice, many retailers employ price-matching guarantees (PMGs), committing to meet the price of an identical product at a competitor's outlet. Despite the profound linkage between retailers and manufacturers, existing literature has predominantly explored retailers' PMGs without contemplating the influence of manufacturers' wholesale pricing strategies. Employing a supply chain model comprising one manufacturer and two retailers, we scrutinize the implications of wholesale pricing—uniform or discriminatory—on supply chain members and consumers when retailers have the option to extend PMGs. Our analysis uncovers that retailers refrain from offering PMGs when the manufacturer is granted the discretion to set discriminatory wholesale prices—even if …

Analysis Of The Relationship Between Practices And Performance Of Green Supply Chain Management In Indonesian Micro, Small, And Medium Enterprises (Msmes), Dinda Halimah Siregar, Fajar Ayu Pinagara

The South East Asian Journal of Management

Research Aims: This study discusses the practice of green supply chain management (GSCM) on environmental performance and operational costs in micro, small and medium enterprises (MSMEs) in Indonesia's food and beverage industry. Especially to examine the existence of ecocentricity and supply chain traceability that moderates GSCM practices with environmental performance and operational costs.

Design/Methodology/Approach: The judgement sampling method was used in this study, and 85 respondents contributed. Research questionnaires were distributed online, and data were analysed using Partial Least Square-Structural Equation Modelling (PLS-SEM).

Research Findings: The results of this study indicate that GSCM practices have a significant relationship to environmental …

Comparing Regions Globally: Impacts Of Covid-19 On Supply Chains – A Delphi Study, Anna Land

IT and Supply Chain Management Faculty Publications and Presentations

Purpose – The COVID-19 pandemic has challenged supply chains (SCs) around the globe unprecedentedly. This study aims to gain insights on the impacts of the pandemic on SCs and their management under consideration of different regional contexts on a global scale.

Design/methodology/approach – A Delphi study collects the expertise of global SC academics on the SC vulnerabilities and the measures for responding to disruptions, improving resilience, and restoring operations. Data from three polls are systematically analyzed by content, frequency, and cluster analysis.

Findings – The study identifies and ranks ten major issues related to SC vulnerabilities and management strategies for …

The Operational Impacts Of Chief Supply Chain Officers In Manufacturing Firms, James R. Kroes, Andrew S. Manikas, Thomas F. Gattiker, Matthew J. Castel

IT and Supply Chain Management Faculty Publications and Presentations

Many firms have elevated their supply chain management decision-making responsibilities through the creation of ‘Chief Supply Chain Officer’ (CSCO) positions. This is widely attributed to the recognition that superior supply chain operations can generate a competitive advantage. Prior studies have found that firms with CSCOs outperform firms without CSCOs along many financial dimensions. However, these prior efforts did not examine the pathways by which these improvements occur. This study addresses this gap in the literature by investigating whether supply chain characteristics of manufacturing firms differ within firms with CSCOs. To explore this, we investigate the relationship between CSCOs and operational …

Contracting Mechanisms For Stable Sourcing Networks, Jennifer K. Ryan, Lusheng Shao, Daewon Sun

Department of Supply Chain Management and Analytics: Faculty and Staff Publications

Problem definition: We study profit allocation for a sourcing network, in which a buyer sources froma set of differentiated suppliers with limited capacity under uncertain demand for the final product. Whereas the buyer takes the lead in forming the sourcing network and designing the contract mechanism, due to their substantial bargaining power, the suppliers take the lead in determining the terms of the contract. Academic/practical relevance: We identify contracting mechanisms that will ensure the stability of the sourcing network in the long term, where a stable sourcing network requires an effective profitallocation scheme that motivates all members to …

The Dynamics And Effects Of Supply Network Structure, Marat Davletshin

Graduate Theses and Dissertations

The rising interest in network theory among supply chain scholars reflects an emerging shift in perspective. To deliver global speed, efficiency, and responsiveness, modern firms’ supply chains are becoming increasingly complex. The patterns of interactions and interdependencies among hundreds of firms interconnected by these complex supply chains cannot be adequately explored from the dyadic perspective, which has dominated supply chain research for decades. Many supply chain scholars agree that the language of networks can provide a syntax and structure to describe and explore this complex reality. The actual application of network theory in supply chain research, however, has been limited. …

Assessment Of Adaptability Of A Supply Chain Trading Agent’S Strategy: Evolutionary Game Theory Approach, Yoon Sang Lee, Riyaz T. Sikora

Journal of International Technology and Information Management

With the increase in the complexity of supply chain management, the use of intelligent agents for automated trading has gained popularity (Collins, Arunachalam, B, et al. 2006). The performance of supply-chain agents depends on not just the market environment (supply and demand patterns) but also on what types of other agents they are competing with. For designers of such agents it is important to ascertain that their agents are robust and can adapt to changing market and competitive environments. However, to date there has not been any work done that assesses the adaptability of a trading agent’s strategy in the …

Supply Chain Coordination With Two-Part Tariffs Under Information Asymmetry, Chongqi Wu, Kunpeng Lu, Tianqin Shi

Faculty Publications

Supply chain coordination literature indicates that two-part tariff contracts cannot coordinate a supply chain with a supplier and a retailer under information asymmetry, but can coordinate the channel under full information, while leaving the retailer zero profit. Motivated by the practice of Costco Business Centres, we incorporate customer heterogeneity, near-saturated retail market and asymmetric information into a stylised model. The retailer has the knowledge of customer heterogeneity while the supplier does not. The supplier, on the other hand, designs a menu of two-part tariffs for the retailer to choose from. We have found that two-part tariffs can coordinate the supply …

Ambidexterity: The Interplay Of Supply Chain Management Competencies And Enterprise Resource Planning Systems On Organizational Performance, Serdar Turedi

Information Technology & Decision Sciences Theses & Dissertations

Understanding the business value of information systems (IS) is one of the key issues among practitioners. Specifically, the role of IS in supply chain management (SCM) is one of the main areas that practitioners focus, as the largest portion of production costs are traceable back to supply chain costs. Hence, inter-organizational systems (IOS) gain importance as a result of the increased competition between supply chain networks. Particularly, implementation of enterprise resource planning (ERP), which is a type of IOS, becomes the new trend among organizations.

Although organizations use similar ERP, some gained significant benefits by using them, while others struggled …

Supply Chain Strategy And The Role Of Suppliers: Evidence From The Indian Sub-Continent, Muhammad Shakeel Sadiq Jajja, Vijay R. Kannan, Shaukat Ali Brah, Syed Zahoor Hassan

Management Faculty Publications

Supply chain strategy is widely recognized as being a crucial component of a broader corporate strategy. However, the relationships between a firm’s strategic supply chain focus, the tactical orientation of its suppliers, and the firm’s performance, are less well understood. Much of what is known is also based on developed country contexts. This study empirically examines relationships between a buying firm’s supply chain strategy and operational dimensions of its suppliers in a developing country context.

Critical Success Factors For The Implementation Of Business-To- Business Electronic Procurement, Rebecca Angeles, Ravinder Nath

Communications of the IIMA

This article investigates the critical success factors of e-procurement—the purchase of goods and services for organizations, which usually represents one of the largest expense items in a firm's cost structure. Data was gathered using the survey method and a random sample drawn from the membership of the Institute for Supply Management and the Council of Logistics Management. Data was analyzed from 74 firms that implemented e-procurement. Factor analysis resulted in a four-factor solution: (1) factor one suggests the rationalization of the firm's management of its suppliers; (2) factor two calls for redesigning affected business processes and influencing end-user/employee procurement-related behaviors; …

Cash Flow Management And Manufacturing Firm Financial Performance: A Longitudinal Perspective, James R. Kroes, Andrew S. Manikas

IT and Supply Chain Management Faculty Publications and Presentations

A firm's cash flow policies, which manage working capital in the form of cash receivables from customers, inventory holdings, and cash payments to suppliers, are inexorably linked to the firm's operations. Building on earlier research, this study: (i) extends prior studies by examining the relationships between changes in cash flow measures and changes in firm financial performance using a longitudinal sample of firm data; and (ii) investigates the direction of the relationship between quarterly changes in cash flow positions and firm financial performance. This study is conducted using the Generalized Estimating Equations (GEE) methodology to analyze a longitudinal sample of …

Data Science In Supply Chain Management: Data-Related Influences On Demand Planning, Yao Jin

Graduate Theses and Dissertations

Data-driven decisions have become an important aspect of supply chain management. Demand planners are tasked with analyzing volumes of data that are being collected at a torrential pace from myriad sources in order to translate them into actionable business intelligence. In particular, demand volatilities and planning are vital for effective and efficient decisions. Yet, the accuracy of these metrics is dependent on the proper specification and parameterization of models and measurements. Thus, demand planners need to step away from a "black box" approach to supply chain data science. Utilizing paired weekly point-of-sale (POS) and order data collected at retail distribution …

Is Bangladeshi Rmg Sector Fit In The Global Apparel Business? Analyses The Supply Chain Management, Nuruzzaman Nuruzzaman, Ahasanul Haque, Rafiq Azad

The South East Asian Journal of Management

In recent years, supply chain management (SCM) has been developed as essential management philosopy and practice for all business operations. As with other business management principles, SCM also applies to the textile and apparel industries. All the parties or members should cooperate with its downstream customers and upstream suppliers to achieve supply chain goal. This paper was designed as an exploratory study to investigate SCM practice and to create competitive advantages in textille and garments (apparel) industries through efficient supply chain management from the perspective of business process. Current conditions of SCM practice in textille and garments industries in Bangladesh …

Relative Importance, Specific Investment And Ownership In Interorganizational Systems., Kunsoo Han, Robert J. Kauffman, Barrie R. Nault

Research Collection School Of Computing and Information Systems

Implementation and maintenance of interorganizational systems (IOS) require investments by all the participating firms. Compared with intraorganizational systems, however, there are additional uncertainties and risks. This is because the benefits of IOS investment depend not only on a firm's own decisions, but also on those of its business partners. Without appropriate levels of investment by all the firms participating in an IOS, they cannot reap the full benefits. Drawing upon the literature in institutional economics, we examine IOS ownership as a means to induce value-maximizing noncontractible investments. We model the impact of two factors derived from the theory of incomplete …

Negotiation, Email, And Internet Reverse Auctions: How Sourcing Mechanisms Deployed By Buyers Affect Suppliers’ Trust, Thomas F. Gattiker, Xiaowen Huang, Joshua L. Schwarz

IT and Supply Chain Management Faculty Publications and Presentations

The Internet has made a wealth of new tools available to the industrial buyer. However, researchers have suggested that computer mediated interaction with suppliers may not be conducive to strong supplier relationships in general and to trust in particular. This paper compares two computer-mediated sourcing tools (email negotiation and Internet reverse auctions) with face-to-face negotiation. Information richness theory suggests that the different media will produce different impacts relating to sellers’ trust in buyers. Data are generated with a simulation experiment using 117 subjects. We found that information richness affects seller-buyer trust: Sellers who used face-to-face negotiation, the richest medium in …

Firm Performance Impacts Of Digitally Enabled Supply Chain Integration Capabilities, Arun Rai, Ravi Patnayakuni, Nainika Seth

Computer Information Systems Faculty Publications

Best practice exemplars suggest that digital platforms play a critical role in managing supply chain activities and partnerships that generate performance gains for firms. However, there is limited academic investigation on how and why information technology can create performance gains for firms in a supply chain management (SCM) context. Grant’s (1996) theoretical notion of higher-order capabilities and a hierarchy of capabilities has been used in recent information systems research by Barua et al. (2004), Sambamurthy et al. (2003), and Mithas et al. (2004) to reframe the conversation from the direct performance impacts of IT resources and investments to how and …

Proprietary And Open Systems Adoption In E-Procurement: A Risk-Augmented Transactions Cost Perspective, Robert J. Kauffman, Hamid Mohtadi

Research Collection School Of Computing and Information Systems

We present an economic model that enables the study of incentives for business-to-business (B2B) e-procurement systems investments that permit inventory coordination and improved operational control. We focus on the information technology adoption behavior of firms in the presence of transaction costs, agency costs and information uncertainty. We conclude that it is appropriate to rethink the prior theory and develop an extended transaction-cost theory perspective that incorporates the possibility of shocks. We distinguish among three kinds of B2B e-procurement systems platforms. Proprietary platform procurement systems involve traditional electronic data interchange (EDI) technologies. Open platform procurement systems are associated with e-market Web …