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Modeling the "Make-or-Buy" Logistics Decision: An Empirical Analysis of the Logistic Decision Drivers for Suppliers and Manufacturers in Vendor Managed Inventory Relationships

Description: Managing the movement of components and products from suppliers to customers and ultimately to end-users is undergoing rapid changes. Supply chain management has increasingly gained attention as companies have sought to reduce costs and improve service performance in a quest for gaining an advantage on the competition.
Date: August 1999
Creator: Ricketts, Philip M.
Partner: UNT Libraries

Explaining Buyer Opportunism in Business-to-Business Relationships

Description: The interaction among firms in the supply chain is necessary for business process execution and relationship success. One phenomenon of great significance to buyer-supplier relationships is opportunism. Opportunism is defined as behavior that is self-interest seeking with guile. It is manifested in behaviors such as stealing, cheating, dishonesty, and withholding information. Opportunism negatively impacts relational exchange tenets such as trust, commitment, cooperation, and satisfaction. Furthermore, perceptions of opportunism negatively affect firm performance. In lieu of the known negative effects of opportunistic behavior on buyer-supplier relationships, why do agents continue to engage in opportunistic tactics with their exchange partners? A comprehensive examination is necessary in order to understand why sourcing professionals engage in acts of opportunism. Understanding why opportunism occurs will reveal how to deter it, and this remains a gap in the literature. Based on theories in economics, marketing channels, supply chain management, decision science, and psychology, a comprehensive model tested a set of factors hypothesized to drive the use of opportunistic tactics. Factors include buyer-supplier relationship-specific factors, environmental factors, individual personality-related factors, and situational factors. Data was collected via internet survey of sourcing professionals from private industry and government agencies. Common to many studies of ethics, respondents made choices based on two hypothetical vignettes. Two logistic regression models were used to test the hypotheses. Factors found to affect buyer opportunism included buyer power, corporate ethical values, pressure to perform, leadership opportunism, business sector, honesty/integrity, and subjective expected utility. This research contributes to theory by combining several disparate theories to best explain opportunism. A comprehensive evaluation should determine which theory explains the most variance in decision making. The study contributes to practice by identifying those important factors contributing to a sourcing professional's decision to use opportunistic tactics. The ability to manage these factors should improve the probability of relationship success. ...
Date: May 2007
Creator: Hawkins, Timothy Glenn
Partner: UNT Libraries

Impact of Forecasting Method Selection and Information Sharing on Supply Chain Performance.

Description: Effective supply chain management gains much attention from industry and academia because it helps firms across a supply chain to reduce cost and improve customer service level efficiently. Focusing on one of the key challenges of the supply chains, namely, demand uncertainty, this dissertation extends the work of Zhao, Xie, and Leung so as to examine the effects of forecasting method selection coupled with information sharing on supply chain performance in a dynamic business environment. The results of this study showed that under various scenarios, advanced forecasting methods such as neural network and GARCH models play a more significant role when capacity tightness increases and is more important to the retailers than to the supplier under certain circumstances in terms of supply chain costs. Thus, advanced forecasting models should be promoted in supply chain management. However, this study also demonstrated that forecasting methods not capable of modeling features of certain demand patterns significantly impact a supply chain's performance. That is, a forecasting method misspecified for characteristics of the demand pattern usually results in higher supply chain costs. Thus, in practice, supply chain managers should be cognizant of the cost impact of selecting commonly used traditional forecasting methods, such as moving average and exponential smoothing, in conjunction with various operational and environmental factors, to keep supply chain cost under control. This study demonstrated that when capacity tightness is high for the supplier, information sharing plays a more important role in effective supply chain management. In addition, this study also showed that retailers benefit directly from information sharing when advanced forecasting methods are employed under certain conditions.
Date: December 2009
Creator: Pan, Youqin
Partner: UNT Libraries

Supply chain relationships in apparel retail product development.

Description: The purpose of this study was to investigate supply chain relationships within the apparel retail product development process under a single site case study setting. Relationship determinants (i.e. drivers, facilitators and barriers) that facilitated or impeded the degree of collaborative efforts between the retailer and the supply chain members were identified. As the retailer integrated its product development process with its suppliers, a triangular relationship was formed between the retailer, the overseas manufacturers, and the designated suppliers. The study found that the retailer sought operational efficiency in its business relationships with supply chain members, but continued to seek long-term commitment in these relationships to establish a virtual vertical company.
Date: May 2002
Creator: Lee, Daton
Partner: UNT Libraries

Improving Performance in a Global Logistics Company: Operational Performance Before and After Process Improvement

Description: The purpose of this study was to determine the effectiveness of an intervention designed to eliminate damage notification failures in a customer-specific standard operating procedure used by a global logistics company. Process maps identified locations in the process where damage notification failures could most likely occur. A revised process was designed overnight to eliminate as many notification failure points as possible. In addition, a job aid was included to help facilitate the process change for the drivers. The results of the intervention showed a rapid and profound decrease in damage notification failures leading to the retention of a large, profitable account with a minimal initial investment of time and money.
Date: December 2004
Creator: Dearman, Shawn Kale
Partner: UNT Libraries

Connective Technology Adoption in the Supply Chain: The Role of Organizational, Interorganizational and Technology-Related Factors.

Description: Supply chain management (SCM) is an area that offers organizations significant opportunities for both cost reductions and revenue enhancement. In their article, "Supply Chain Management: Implementation Issues and Research Opportunities," Lambert, Cooper and Pagh defined SCM as the "integration of key business processes from end user through original suppliers that provides products, services, and information that add value for customers and other stakeholders." Adopting and implementing appropriate technology has emerged as a source of competitive advantage for supply chain member firms through the integration of business processes with suppliers and customers. It is important to understand the factors influencing an organization's decision to acquire such technology. In the context of this study, connective technologies are defined as wireless communication devices and their accompanying infrastructure and software which may enhance coordination among supply chain partners. Building on previous literature in the areas of supply chain management, marketing strategy, and organizational innovation, a model was developed to test the relationships between organizational, interorganizational, and technology-related factors and the adoption of advanced connective technology, using radio frequency identification (RFID) as the test case, in the supply chain. A Web-based survey of supply chain professionals was conducted resulting in 224 usable responses. The overall model was statistically significant with four of the predictors significantly influencing the adoption of RFID in the supply chain. Size, centralization, new product advantage and time to achieve targeted ROI were significantly related to adoption of connective technology (RFID). Interorganizational related factors were not significant predictors of connective technology adoption. The study contributes to theory by testing scales from marketing and management in a supply chain context in order to better understand behavioral dimensions of supply chain management and logistics. The conceptualization and measurement of market orientation at the interfirm level advances the market orientation literature. Finally, the study contributes ...
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Date: May 2006
Creator: Neeley, Concha Kaye Ramsey
Partner: UNT Libraries

Developing an Integrated Supply Chain Costing Approach for Strategic Decision Making

Description: The supply chain management discipline suggests that information sharing is paramount when attempting to achieve cost reductions and quality improvements. In many cases, the traditional accounting data used to support strategic decisions reflect inaccurate supply chain costs. This research explores the applications of managerial costing techniques, and how they can be used to improve the decision making capabilities of firms in the aerospace and transportation industries. The methodology used to address the research questions consisted of a hybrid of the grounded theory and multiple-case study methods. The objective of this research was to present the antecedents and barriers associated with implementing supply chain costing, and the impact that costing approaches have on strategic decision making. The research identifies a theoretical model that can be used to explain the relationships and themes associated with supply chain costing and strategic decision making. Evidence suggests that there is some movement to implement managerial accounting techniques within these two industries to capture supply chain costing information. However, the reliance on traditional financial accounting suggests that the overarching principles of supply chain management and information sharing amongst of partner firms has yet to be realized.
Date: August 2010
Creator: Knipper, Michael E.
Partner: UNT Libraries

Just-In-Time Purchasing and the Buyer-Supplier Relationship: Purchasing Performance Implications Using a Transaction Cost Analytic Framework

Description: The just-in-time purchasing literature resoundingly endorses long-term, cooperative buyer-supplier relationships. Significant anecdotal and descriptive evidence indicates that such relationships are rare in practice, raising questions as to the performance consequences of this gulf between theory and practice. Using an accepted theoretical model of the buyer-supplier relationship, transaction cost economics, this study examined the purchasing performance implications of the nature of the buyer-supplier relationship under just-in-time exchange. The focal purpose of the study was to examine the performance consequences of crafting long-term, cooperative relationships. The research design employed was a cross-sectional field study, involving a static-group comparison, implemented through the use of a mail survey. A dual-stage cluster sample of eight hundred purchasing managers and professionals employed in the two digit Standard Industrial Classification (SIC) Code 36, Electronic and Other Electrical Equipment and Components, was provided by the National Association of Purchasing Management (NAPM). The questionnaire was pretested and the substantive validity of the measurement scales assessed. Scales were purified via correlational and reliability analyses. Criterion-related and construct validity were established via correlational, exploratory factor, and confirmatory factor analyses. The three hypotheses of the study, involving extant tests of the association between the nature of the buyer-supplier relationship and purchasing performance (i.e., as reflected by transaction costs), were tested via analysis of covariance (ANCOVA) models. All three hypotheses were supported by the data to varying degrees. The confirmation of the theoretical model of the study provides empirical evidence to researchers and practitioners as to the superiority, in exchange efficiency terms, of cooperative relationships under conditions of just-in-time exchange. It may not be presumed, however, that cooperative exchange will enhance efficiency in all exchange environments.
Date: December 1996
Creator: Warnock, Stuart H. (Stuart Hamilton)
Partner: UNT Libraries

The Role and Contributions of Independent Sales Representatives in the Relationship Between Merchandise Suppliers and Small Retailers: Dynamic Interactions in the Channel

Description: Small retailers are searching for a basis of competitive advantage to compete against larger retailers. The independent sales representative (rep) may represent such a basis. Little is known about how the role of reps and their performance is perceived by suppliers and retailers. We do not know what is expected from reps, if the reps' performance meets suppliers and retailers expectations, or whether met expectations lead to a basis of competitive advantage. Primarily, the study was designed to identify the role and contributions reps in the interactions between the supplier and retailer in the channel of distribution.
Date: May 1998
Creator: Gruben, Kathleen H. (Kathleen Hall)
Partner: UNT Libraries

The Impact of Cloud Based Supply Chain Management on Supply Chain Resilience

Description: On March 2011 a destructive 9.0-magnitude earthquake and tsunami along with nuclear explosions struck northeastern Japan; killing thousands of people, halting industry and crippling infrastructure. A large manufacturing company operating outside of Japan received the news in the middle of the night. Within a few hours of the tsunami hitting Japan, this manufacturer’s logistics team ran global materials management reports to communicate the precise status of the products originating from Japan to their entire global network of facilities. With this quick and far reaching communication the manufacturer was able to launch a successful contingency plan. Alternative suppliers, already existing as part of their global network, were evaluated and used to mitigate Japan’s disruptive impact. The resiliency of this manufacturer’s trusted network of supply chain trading partners allowed for minimum disruptions, saving countless money and maintaining continuity for its end-to-end supply chain. This manufacturer was part of a cloud-based supply chain that provided the catalyst to quickly shift its resources to allay the impact of no longer being able to receive product from Japan. Today's supply chains are global and complex networks of enterprises that aim to deliver products in the right quantity, in the right place, and at the right time in an increasingly volatile and unpredictable environment. To cope with internal and external supply chain instability and disruptions, supply chains need to be resilient to survive. A supply chain's ability to collaboratively share information with its supply chain partners is one of the most important factors that enhance a supply chain’s resilience. Cloud based supply chain management (SCM) creates a platform that enables collaborative information sharing that helps to identify, monitor and reduce supply chain risks, vulnerabilities and disruptions. However, supply chain academics and practitioners are at its infancy in understanding the capabilities of cloud based supply chains and ...
Date: August 2015
Creator: Kochan, Cigdem Gonul
Partner: UNT Libraries

Supply Chain Network Evolution: Demand-based Drivers of Interfirm Governance Evolution

Description: Which form of exchange governance performs better in a dynamic environment? This remains an unanswered question in the transaction cost analysis (TCA) and relational exchange literatures. Some researchers purport that transactional governance provides superior performance by providing firms the flexibility to change suppliers. Others suggest that relational governance leads to superior performance because of the willingness of both parties to adapt. Reviews of TCA have turned up ambivalent empirical findings with regard to the effects of uncertainty despite a track record of strong empirical support for other predictions. Because most of TCA and relational exchange theories' predictions enjoy strong support, this research builds upon these theories to propose a theoretical modeling framework for a dynamic environment in a supply chain network (SCN) setting. This dissertation extends TCA and relational exchange to a dynamic, network environment. It uses the approach of building a simulation in order to study in detail the relationship between key exchange factors and the selection of transactional and relational exchange governance over time. This research effort extended TCA theory with a complex adaptive model of supply chain network governance evolution that attempts to link environmental, network, production, firm and exchange factors in a continuously evolving loop. The proposed framework expands transaction cost analysis' explanatory power. Results partially support past scholarly proposal that uncertainty functions as an antecedent of asset specificity rather than as an independent construct affecting governance outcome dependent upon which form of uncertainty is being considered. The successful simulation of supply chain networks as complex adaptive systems shift the focus from deterministic, confirmatory models of exchange to an exploratory, positive model. Instead of exchange governance as an outcome, it is the catalyst of the evolutionary process.
Date: August 2007
Creator: Gravier, Michael J.
Partner: UNT Libraries