Supply Chain Management - Research Proposal Example

Supply Chain Integration Articles Cachon, G.2005. Managing supply chain demand variability with scheduled ordering policies. Journal of Management Science, 45, 843-856. Katunzi, T. M. 2011. Obstacles to Process Integration along the Supply Chain: Manufacturing Firms Perspective. International Journal of Business and Management, 6 (5), Ketchen Jr., G., & Hult, T.M. 2006. Bridging organization theory and supply chain management: The case of best value supply chains. Journal of Operations Management, 25(2) 573-580 Lee H. L. 2000. Creating Value through Supply Chain Integration. Supply Chain Management Role of Top Management. Journal of Business Logistics, 15 (1). Stevens, G. C. 2003. Integrating the supply chain. International Journal of Physical Distribution and Materials Management, 19 (8), 3-8 Research Issue: one research issue common in these articles involves supply chain integration process and related elements influencing the process within and between firms Background of the Study Supply chain management (SCM) aims at creating value for end users including the parties involved in the supply chain network. This can only be achieved through integration of process activities both internally and externally. Process integration is used to refer to the coordination and sharing of information as well as resources for the purposes of efficient and joint management of entire processes (Craft, 2006). According to Juanqiong et al, (2007) the success of process integration depends on various changes such as management of individual functions as well as integrating key activities into the supply chain processes. Such collaborations and information sharing as experienced in supply chain processes proves significant due to reduction in supply chain costs, flexibility in responding to changes within market place, higher quality levels and better utilization of available resources. Consequently, there is a possibility of shared information amongst supply chain partners being leveraged through process integration. The entire integration process involves collaborative work between buyers and suppliers, common systems as well as joint product development processes. Such operational process requires continuous flow of information that ensures optimization of product flows (Lawrence and Lorsch, 2000). According to Ketchen and Hult (2006) the integration of supply chain is usually an incremental process with focus on highest potential returns on investment. In such a case the supply chain integration model commences with identification of key trading partners, followed by development of supply chain strategies, then alignment of stated strategies with key process objectives and then there is development of supply chain performance measures. Then there is external integration of key processes with that of trading partners within supply chain and extension on process integration then finally periodical reevaluation of integration model. It is always advisable for firms to identify critical trading partners that ensure successful sale and delivery of products and services to end users (Lee, 2000). In this case, identification of primary trading partners is crucial since it enables firms to concentrate their time and resources in the process of managing coordination and information links within the supply chain (Bardi et al., 2001). However, there is variance within various key processes and methods that are available for integration and management of process links amongst supply chain partners due to differences on the firm’s internal structure. Moreover, factors such as prevailing economic conditions and the existing relationship within supply chain processes also contribute to key differences. It is important that sales all trading partners within supply chain concentrate on sharing information pertaining to sales alongside information on new products, expansion plans, marketing campaigns and existing opportunities for the purposes of profit maximization. Lambert (2008) asserts that means of communication utilized in relying process information determines to a greater extent integration of external processes. Engagement in supply chain activities assists firms to quell threats and overtures associated with competitors in both domestic and international markets. It is important that overall supply chain strategies fits well with strategies at each partner firm (Katunzi, 2011). This makes it necessary for each firm to understand their roles within supply chain and different customer needs including the modes through which the needs translate into internal operations requirements as well as those placed on suppliers. Such high level of understanding enables effective communication and transportation of products and services through supply chain, therefore ensuring numerous benefits. All the participants should realize the importance of including supply chain management in the strategic planning process where objectives and policies can be jointly determined on the basis of consumers’ final requirements and needs (Wisner et al., 2006). Overcoming complex barriers to integrating supply chains leads to realization of substantial benefits that includes presence of satisfied customers and improved financial performance. Research Question: What are the factors that lead to a successful supply chain integration process? Research Objective: To determine the extent to which information process and partners integrity influences supply chain integration Formulation of the research question was as a result of different implications as observed through supply chain operations. Detailed analysis of the current supply chain processes reveals the need for improvement in certain processes for efficiency to be achieved. In this case, the question and the objective as suggested assists in revealing useful information from research concerning the different elements of supply chain integration and their ultimate contributions towards enrichment of supply chain. On the same note, the research question assist in aligning the goals and vision to required level of understanding, therefore, ensuring consistency in direction within the research. This is since in most instances stakeholders usually focus on own interests disregarding those of partners, therefore, resulting into poor performance within supply chain. Lack of appropriate objectives will lead to misaligned processes that contribute towards inaccurate focus as well as poor service delivery. Therefore, objectives necessary for clear direction and appropriate application of required measures in the research study (Strauss and Corbin, 1990). The objective provides necessary motivation that leads to completion of respective tasks in a manner that is consistent with common intention of the entire research. The use of research question and objective provides justification on expenditures and use of additional resources for future research. This ensures reduction in reporting burden on supply chain processes by supply chain partners despite existence of different strategies and incentives used for achieving integration process. In the process, there is generation of full information that is useful in formulation of appropriate policies that would enhance efficiency of the entire process. The research question and objective can be formulated by use of either qualitative or quantitative approach (Strauss and Corbin, 1990). Appropriate management of differing incentives assists in alignment common objectives that results into lower costs, higher quality as well as improved results. 3 a) Implications of the ethical rules, controls and policy which underpin the use of data from this ONE source Ethical concerns ensure appropriate use of materials related to the research which ensures acknowledgment of all individuals responsible for the issues under investigation. The guidelines ensure thorough research on supply chain management that eventually affects the degree and extent to which effective levels of resources and time are devoted to these concerns. In this case, the set ethical principles ensures complete procedures on legal concerns and other issues as provided in the research, therefore, evading any form of sidetracking that may ultimately ruin the whole research process (Cachon, 2000). Secondly, Campbell (2004) definition of ethics as set of moral principles that controls individuals or groups assists in providing acceptable rules and expectations that ensures identification and implementation of correct procedures that ensures appropriate action. Using information from the article with appropriate referencing style eliminates the essence of plagiarism which is considered a writing offence within the international field. In this case the article used provides necessary data as provided by participants and partners through the entire research program with consideration on the rights of respondents and actualization experimental data applicable (Shen and Daskin, 2005). Thirdly, honesty on the part of the researcher is also ensured; therefore, act as approval on the actualized data. Scientific honesty assists scholars in obtaining valuable information for the research through different responses on phenomenon under study. Making references from secondary sources leads to generation of data through authentic reporting mechanism as well as publication of the report. In this case, complete following of ethical rules as well as policies eliminates any issues surrounding result manipulation, therefore, ensuring that quality is upheld throughout the research (Campbell, 2004). Lastly, ethical probity ensures right usage of any information retrieved from either primary or secondary data. This ensures that the results are channeled through the right channels and utilized within the intended field of study, therefore, ensuring security of information (Lawrence and Lorsch, 2000). b) Usefulness of the article as source of data for answering the research question The article seems useful since it gives detail analysis of the data required for full identification of elements that ensure successful supply chain integration. The article nonetheless presents a thoughtful view of the key drivers within supply chain and necessary key performance indicators (Katunzi, 2011). In this case, the level of analysis provided by other articles could necessarily have been far smaller; however, the level of analysis given through chosen article captures the various, benefits, complexities and nuances associated with supply chain integration processes. This is discussed depending on the organizational strategies on market demand and costs involved. Also, as can be identified, the vast majority of analysis and research from the article concerns companies that are already established and, therefore, desires continued success within a given business sphere. For example, the degree and extent to which supply chain management and logistical control is utilized within a fledgling firm has been extensively explained through supply chain design procedures (Katunzi, 2011). The article presents logical means as per the conceptual framework that provides ways through which supply chain management and logistical oversight are equally identified. The article provides current information on the different obstacles that firms are likely to encounter in the process of implementing supply chain integration strategy. The approach is largely based on manufacturing firms that deals with tangible products, therefore, identifying pillars of supply chain integration such as cooperation, collaboration, trust, partnership, available technology as well as information amongst other elements. Further, the article gives detailed information on the driving forces applicable in promoting collaboration, integration, and other factors that accelerates the means through which the business seeks to provide what is referred to as “process model” that guarantees step by step understanding of supply chain management, and key opportunities crucial for differentiation of firm’s processes. This provides the required level of efficiency and cost saving necessary for propelling strategies to an even higher level of success within the confines of a firms procedures within supply chain (Williams, 2011). Conceptual Framework Figure 1: Conceptual framework The conceptual framework identifies different supply chain design elements that ensure formation of efficient supply chain integration. Variables as shown are divided into phases that are phase 1, 2 and 3. In the first phase it is important that the organization identifies its customers alongside their needs at different levels such as service levels, product varieties, quality as well as prices. In also necessary for organizations to identify formal value proposition that is capable of meeting customer needs. In the second phase, there is analysis of the information on market demand, selected strategy for the supply chain and position on joint collaborations (Stevens, 2003). It is necessary for firms to identify the predictability of their products and service demand in the market as opposed to their unpredictability. In cases where the market demand is not easily predictable, application of agile supply chain is recommended (Sharifi et al., 2006). There are instances where organizations have unpredictable market demand with prevailing low costs within the market for selected products (Katunzi, 2011). The decoupling point within such scenarios is used to determine appropriate supply chain strategy. However, in cases where the decoupling point appears to be downstream from the firm, it is necessary to apply lean supply chain strategy and agile strategy applicable in case decoupling point appears to be upstream. Organizations have the task of indicating the primary focus of their personal supply chain strategy such as achievement of low costs, economies of scale, reduction of losses and waste along service levels and also a focus of being responsive towards customer demands. Further, an organization’s supply chain strategy can focus on combination of lean and agile strategy leading to ultimate application of leagile supply chain strategy. Integration in this case is only possible in the event that organizations are able to establish the alignment between existing supply chain and suggested supply chain strategy on the basis of level of market demand and costs (Lambert, 2008). From the framework it is important to note the existing relationships between supply chain partners. This is since efficient management of relationships between suppliers and customers assists organizations in the process of identifying critical supply chain partners. It is important for organizations to determine their various potential areas of strength and weaknesses before integration process (Selldin and Olhager, 2007). This assists in the identification of the level of interdependence, level of trust, reliability and commitment levels. Additionally, it is also crucial identification of compatibility of essential technologies, contributions of different partners within supply chain, systems of payments utilized as well as different measurements on supply chain performance (Cachon, 2005). Supply chain drivers in this case include available facilities, inventory, transportation, information and pricing. In this case, positioning of an organization is important since it determines the existence of possible solutions for discrepancies within supply chain integration process. Other than these, other variables are key performance indicators that include reliability of supply chain delivery, responsiveness of the supply chain, flexibility, efficiency in asset management and supply chain cost measures. There exist in this case categories of key performance indicators that are considered important and essential for successful integration process (Seuring, 2003). Lean supply chain requires integration on cost measures across the supply chain and within asset management efficiencies. While leagile supply chain strategies should focus on almost all the above mentioned key performance indicators. Lack of proper alignment between supply chain strategies and key performance indicators during integration may result into malfunctioning of the supply chain. However, the conceptual framework assists in identification of various key performance categories which organizations should focus on depending on their selected supply chain strategy (Sezen, 2008). References Bardi. E., Raghunathan, T., & Bagchi, P. K. 2001. Logistics Information Systems: The Strategic Integration a Reality. Council of Logistics Management. Oak Brook, IL. Cachon, G. 2005. Managing supply chain demand variability with scheduled ordering policies. Journal of Management Science, Vol.45, p 843-856. Cachon, G., & M. Fisher. 2000. Supply Chain Inventory Management and the Value of Shared Information. Journal of Management Science, 46, 1032-1048. Campbell, J. 2004. Understanding the Importance of appraisals. Viewed from http://www.accaglobal.com/publication Craft, N. 2006. Process integration in the supply chain. BMP think tank, Volvo IT business process innovation research, 37(8), 112. Juanqiaong, G., Tingting. M., & Jingjing, L. 2007. A research on supply chain integration strategy based on virtual value net. Springer Boston, (pp887-891). Katunzi, T. M. 2011. Obstacles to Process Integration along the Supply Chain: Manufacturing Firms Perspective. International Journal of Business and Management, 6 (5), Ketchen Jr., G., & Hult, T.M. 2006. Bridging organization theory and supply chain management: The case of best value supply chains. Journal of Operations Management, 25(2) 573-580 Lambert, D. M. 2008. Supply Chain Management: Processes, Partnerships, Performance, 3rd edition. McGraw Hill Press. Lawrence P. R., & Lorsch J. W. 2000. Organization and Environment. Journal of Managing Differentiation Review, pp. 30—36. Pitman Publishing Lee, H. L. 2000. Creating Value through Supply Chain Integration. Supply Chain Management Role of Top Management. Journal of Business Logistics, 15(1) Selldin, E. & Olhager, J. 2007. Linking products with supply chains: Testing Fisher’s model. Supply Chain Management: An International Journal, 12(1):42–51. Seuring, S. 2003. Strategic supply chain management – from focused factories to focused supply chains, in S. Seuring, M. Müller, M. Goldbach & U. Schneidewind, (eds.).Strategy and organisation in supply chains. Heidelberg, Germany: Physica-Verlag. 181–196. Sezen, B. 2008. Relative effects of design, integration and information sharing on supply chain performance. Supply Chain Management: An International Journal,13(3):233–240. Sharifi, H., Ismail, H.S. & Reid, I. 2006. Achieving agility in supply chain through simultaneous ‘design of’ and ‘design for’ supply chain. Journal of manufacturing technology management, 17(8):1078–1098. Shen, Z-J. M & Daskin, M.S. 2005. Trade-offs between customer service and cost in integrated supply chain design. Manufacturing and service operations management. 7(3),188-207. Stevens, G. C. 2003. Integrating the supply chain. International Journal of Physical Distribution and Materials Management, 19 (8), 3--8. Strauss, A., & Corbin, J.1990. Basics of qualitative research: Grounded theory procedures and techniques, London Williams, M. 2011. An economic approach to logistics. Automotive Logistics, 14 (1), 36-38, Business Source Complete, EBSCOhost, viewed 22 November 2013 Wisner, J., Keong Leong, G., & Keah-Choon, T. 2006. Principles of Supply Chain Management. A Balanced Approach. Beijing; Thomson. Read More