Impact of metric-alignment on supply chain performance: a behavioral study

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Arunachalam Narayanan ◽  
Rafay Ishfaq
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Bullwhip Effect ◽  
Supply Chain Performance ◽  
Behavioral Study ◽  
Managerial Decision ◽  
Managerial Decision Making ◽  
New Approach ◽  
Content Type ◽  
Supply Chain Costs

PurposePrevious research has shown that firms are struggling to incorporate collaboration among supply chain partners. This paper presents a new approach to incorporate collaboration using metric-alignment. The analysis provides key insights regarding the usefulness of this approach to synchronize decision-making that leads to reduced bullwhip effect, less backordering and lower supply chain costs.Design/methodology/approachThis research is based on a large-scale behavioral study comprising 556 participants in multi-echelon supply chain games. Supply chain decisions from these experiments are evaluated to study the impact of metric-alignment on managerial decision-making and the corresponding effects on the overall supply chain performance.FindingsResults show that the metric-alignment approach offers an informal and self-enforced governance mechanism that changes managerial decision-making behaviors and improves supply chain performance. Results also show this approach to yield operational and financial benefits for all supply chain partners in the form of reduced bullwhip effect, less backordering and lower supply chain costs.Originality/valueThis is the first behavioral study of its kind that evaluates a new approach to incorporate collaboration in supply chains using metric-alignment. This approach avoids the shortcomings of current industry practices of using monetary penalties, such as on-time in-full (OTIF) mandates in supply contracts. The study shows that metric-alignment approach can improve overall supply chain performance while offering mutually beneficial rewards for all supply chain partners.

scholarly journals APPLICABILITY OF SCOR-BASED DEA PERFORMANCE MEASUREMENT IN SMALL MED-SIZE ENTERPRISES

2021 ◽  
Vol 15 (1) ◽  
pp. 12-29
Author(s):  
Rio Benedicto Bire
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Performance Measurement ◽  
Supply Chain Performance ◽  
Managerial Decision ◽  
Managerial Decision Making ◽  
Innovative Performance ◽  
Convenience Stores ◽  
Unique Approach ◽  
Measurement Approach

This paper aims to test the applicability of a SCOR-based DEA benchmarking approach for SMEs in Indonesia, due to the increasing call for suitable supply chain performance measurement in the context of SMEs. An input-oriented DEA assuming both CRS and VRS was employed by deriving a set of metrics from the SCOR attributes. A sample of 16 SME convenience stores was selected for the illustration. Results show that the SCOR-based DEA provided a simple groundwork for supporting SME managerial decision making in terms of administering concise feedbacks and identifying directions to venture on. Moreover, analysis results alluded to a distinct, more comprehensive assessment of performances as opposed to that of traditional measurements that is prominent among SMEs. The distinct, comprehensive insights from the analysis may engage SMEs into taking up the more innovative performance measurement approach. Moreover, better awareness of supply chain metrics is foreseen. The SCOR-based DEA provided a unique approach to meet the conformance of Indonesian SMEs in regard to supply chain performance measurement.    

The effects of brand equity and failure severity on remedy choice after a product recall

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sascha Raithel ◽  
Alexander Mafael ◽  
Stefan J. Hock
Keyword(s):  
Decision Making ◽  
Brand Equity ◽  
Probit Model ◽  
Future Research ◽  
Product Recalls ◽  
Product Recall ◽  
Managerial Decision ◽  
Managerial Decision Making ◽  
Content Type ◽  
Failure Severity

Purpose There is limited insight concerning a firm’s remedy choice after a product recall. This study aims to propose that failure severity and brand equity are key antecedents of remedy choice and provides empirical evidence for a non-linear relationship between pre-recall brand equity and the firm’s remedy offer that is moderated by severity. Design/methodology/approach This study uses field data for 159 product recalls from 60 brands between January 2008 to February 2020 to estimate a probit model of the effects of failure severity, pre-recall brand equity and remedy choice. Findings Firms with higher and lower pre-recall brand equity are less likely to offer full (vs partial) remedy compared to medium level pre-recall brand equity firms. Failure severity moderates this relationship positively, i.e. firms with low and high brand equity are more sensitive to failure severity and then select full instead of partial remedy. Research limitations/implications This research reconciles contradictory arguments and research results about failure severity as an antecedent of remedy choice by introducing brand equity as another key variable. Future research could examine the psychological process of managerial decision-making through experiments. Practical implications This study increases the awareness of the importance of remedy choice during product-harm crises and can help firms and regulators to better understand managerial decision-making mechanisms (and fallacies) during a product-harm crisis. Originality/value This study theoretically and empirically advances the limited literature on managerial decision-making in response to product recalls.

Theorising an organisational citizenship behaviour model for managerial decision-making: from history to contemporary application

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Vic Benuyenah
Keyword(s):  
Decision Making ◽  
Social Exchange ◽  
Employee Performance ◽  
Managerial Decision ◽  
Conceptual Approach ◽  
Holistic Model ◽  
Conceptual Tool ◽  
Managerial Decision Making ◽  
Content Type ◽  
Managerial Grid

Purpose This study aims to expand the theory of organisational citizenship behaviour (OCB) to include “exterior” behaviours. By advancing the work of Blake and Mouton (1964) and remapping the performance/OCB dimensions offered in the historical literature, a new holistic model of organisational performance is proposed. As a further step, a decision-making tool is proposed for managerial decision-making and to help predict employee performance. Design/methodology/approach The paper adopts a critical review and conceptual approach to explore historical OCB theories and task performance (TP) taxonomies. It then used Blake and Mouton’s managerial grid to construct a contemporary conceptual tool for managerial decision-making. Findings Despite the performance literature not lacking in quantity, a few of such research have led to a pragmatic managerial tool. The review reveals several confusions regarding the accurate classification of what actually constitutes OCB and what constitutes TP – this gap is filled by the introduction of the OCB model for managerial decision-making (OMMD). Research limitations/implications The current work expands our thinking on OCBs that can occur outside the organisation. These exterior behaviours can influence the organisation’s performance and must be managed just like any other performance metric. The OMMD, primarily based on OCB and TP, provides an initial framework for exploring different typologies of employees. Despite being based on several cogent performance literatures, the proposals have not been tested empirically. Practical implications Like the Blake and Mouton model, the new OMMD can be useful in estimating the proportions of employee OCBs and TP. Social implications Culture and social exchange theory can be seen as playing a role in separating TP from OCB. Originality/value This study extends the work of Bateman and Organ (1983) by suggesting that some work behaviours can occur outside the organisation. Besides, a decision-making proposal is offered based on the managerial grid framework (Blake and Mouton, 1964).

Antecedents and consequences of managerial decision-making styles in the Arabian Gulf

2019 ◽  
Vol 43 (7) ◽  
pp. 811-845 ◽  
Author(s):  
C. Muhammad Siddique ◽  
Hinna Fatima Siddique
Keyword(s):  
Decision Making ◽  
Survey Data ◽  
Arabian Gulf ◽  
Management Style ◽  
Managerial Decision ◽  
Gulf Region ◽  
Managerial Decision Making ◽  
Content Type ◽  
Decision Making Styles ◽  
Antecedents And Consequences

Purpose This paper aims to examine managerial decision-making approaches, their antecedents and consequences in the Arabian Gulf context. Using recent survey data, the study offers a critical assessment of prevailing myths about decision-making styles in the Arabian Gulf. Design/methodology/approach Survey data were collected from a sample of 432 managers working in public and private sector companies in the United Arab Emirates (UAE). A combination of statistical techniques including confirmatory factor analysis (CFA) and hierarchical regression analysis was used to test research hypotheses. Findings The findings of this study question the myth that UAE or Gulf managers mostly pursue consultative and participative styles of management. Most UAE managers continue to practice an autocratic and a pseudo-consultative style of decision-making, undermining the value of employee input in the decision-making process. The data revealed a strong negative relationship between autocratic management style and a range of personal and organizational outcomes such as job satisfaction, organizational commitment, organizational citizenship behavior, performance and innovative human resource management practices pertaining to work-family life balance and diversity programs. Most employees perceived autocratic management style as a major source of job stress, absenteeism and turnover. Socio-demographic characteristics of managers and their work organizations, considered as antecedents of decision-making styles, played a limited role in shaping decision-making approaches or their consequences. Globalization and associated socio-cultural changes that UAE and other Gulf region countries have experienced over the past two decades seem to have only a marginal impact on decision-making styles. Research limitations/implications Use of perceptual survey data places some constraints on the generalizability of our findings. Future research may address this issue with multiple data sources including an in-depth case study. Practical implications The findings of this research should be of special interest to both domestic and multinational companies in seeking alignment of their management approaches with the emerging competitive business environment in UAE and other Gulf countries. Theoretically, the paper documents the value of the continuum theory of managerial behavior in UAE and the Arabian Gulf context. Originality/value The study represents a first major effort to develop and test a comprehensive conceptual model of antecedents and consequences of managerial decision-making styles in UAE, which may be extended to other countries in the Arabian Gulf region. The value-added contribution of the study may be seen in its critical analysis of prevailing beliefs and assumptions about management practices in the Arabian Gulf.

scholarly journals Exploring blockchain implementation in the supply chain

2019 ◽  
Vol 39 (6/7/8) ◽  
pp. 829-859 ◽  
Author(s):  
Remko van Hoek
Keyword(s):  
Supply Chain ◽  
Empirical Research ◽  
Design Methodology ◽  
Managerial Decision ◽  
Implementation Framework ◽  
Managerial Decision Making ◽  
Content Type ◽  
Multi Stage ◽  
Implementation Stage ◽  
Initial Exploration

Purpose There is great interest in blockchain in the supply chain yet there is little empirical research to support the consideration of the technology. Ferdows (2018) calls for research aimed at learning from pioneers in the field and Gartner points out that the interest in blockchain holds similarities to the interest surrounding RFID 15 years ago. As a result, there may be opportunities to leverage insights from RFID research to inform the consideration of blockchain. The purpose of this paper is to explore how the Reyes et al. (2016) framework for the implementation of RFID may inform the consideration of blockchain in the supply chain. Design/methodology/approach A two-stage approach is used to explore RFID implementation considerations from the Reyes et al. (2016) RFID implementation framework, using an initial exploration of managers interested in blockchain using a focus group and a survey and to more in depth explore three case companies pioneering blockchain. Findings Several RFID implementation considerations can inform the consideration of blockchain but there are also differences in considering blockchain. A framework is developed that details considerations found to be relevant by implementation stage. Originality/value This paper adds to the limited amount of empirical research on blockchain in the supply chain and advances research beyond the consideration of use cases into the exploration of actual implementation of blockchain in the supply chain. The decision framework developed both leverages and nuances findings from RFID research and can inform managerial decision making. It also adds to research a multi-stage approach to implementation and uncovers rich opportunity to further learn from pioneers.

In the uncertain world of Qontrac International: navigating through family, growth and succession management challenges

2018 ◽  
Vol 8 (4) ◽  
pp. 1-31
Author(s):  
Diantha D’Costa ◽  
Virginia Bodolica ◽  
Martin Spraggon
Keyword(s):  
Decision Making ◽  
Learning Outcomes ◽  
Family Business ◽  
Management Style ◽  
Managerial Decision ◽  
Succession Management ◽  
Managerial Decision Making ◽  
Content Type ◽  
Family Growth

Learning outcomes Upon completion of this case study analysis, the course audience is expected to achieve four learning outcomes. In particular, students should be able to conduct a comprehensive organizational diagnosis to uncover the peculiarities of managing a family business; analyze the specific challenges faced by family-owned enterprises in the context of emerging markets; evaluate the succession management practices in family organizations and design a profile of a successful successor; assess the effectiveness of managerial decision-making and provide recommendations for securing the sustainability of a family firm. Case overview/synopsis This case study unveils the tumultuous story of Vishwanath Shetty, an ambitious entrepreneur who transformed his small venture into a profitable family business with operations in Middle East, Asia and Africa. Since the early establishment of Qontrac International in 1989, he relied on the ownership and management participation of several members of his and his wife’s families. Over the years, Vishwanath was successful in pursuing a strategy of continuous growth and geographic diversification by taking advantage of the business opportunities in several regions and opening up branches in Oman, the United Arab Emirates (UAE), Ghana and India. Yet, almost three decades after its launch, the company was confronted with a number of family, growth and succession management challenges that endangered its survival in the long run. The Shetty family experienced a serious rift due to financial reasons, the performance of the two branches managed by siblings declined, and the old firm structure and management style did not fit well with the newly enlarged and geographically dispersed Qontrac International. To deal with these organizational issues, Vishwanath was faced with an additional dilemma of securing the support of a suitable intra-family candidate who could join the family business and become his successor. By describing the strategic events and family dynamics that shaped the evolution of Qontrac International over time, the case provides an opportunity to assess the effectiveness of managerial decision-making in the context of family firms and provide viable recommendations for ensuring firm survival and longevity. Complexity academic level Upper-level undergraduate audience Graduate audience (in Master of Global Entrepreneurial Management program). Supplementary materials Teaching Notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code Strategy.

Predictive data analytics for contract renewals: a decision support tool for managerial decision-making

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Serhat Simsek ◽  
Abdullah Albizri ◽  
Marina Johnson ◽  
Tyler Custis ◽  
Stephan Weikert
Keyword(s):  
Decision Making ◽  
Decision Support ◽  
Organizational Performance ◽  
Predictive Analytics ◽  
Design Science ◽  
Decision Support Tool ◽  
Managerial Decision ◽  
Managerial Decision Making ◽  
Content Type ◽  
Support Tool

PurposePredictive analytics and artificial intelligence are perceived as significant drivers to improve organizational performance and managerial decision-making. Hiring employees and contract renewals are instances of managerial decision-making problems that can incur high financial costs and long-term impacts on organizational performance. The primary goal of this study is to identify the Major League Baseball (MLB) free agents who are likely to receive a contract.Design/methodology/approachThis study used the design science research paradigm and the cognitive analytics management (CAM) theory to develop the research framework. A dataset on MLB's free agents between 2013 and 2017 was collected. A decision support tool was built using artificial neural networks.FindingsThere are clear links between a player's statistical performance and the decision of the player to sign a new offered contract. “Age,” “Wins above Replacement” and “the team on which a player last played” are the most significant factors in determining if a player signs a new contract.Originality/valueThis paper applied analytical modeling to personnel decision-making using the design science paradigm and guided by CAM as the kernel theory. The study employed machine learning techniques, producing a model that predicts the probability of free agents signing a new contract. Also, a web-based tool was developed to help decision-makers in baseball front offices so they can determine which available free agents to offer contracts.

Untangling self-reinforcing processes in managerial decision making. Co-evolving heuristics?

2014 ◽  
Vol 52 (5) ◽  
pp. 934-949 ◽  
Author(s):  
Gianpaolo Abatecola
Keyword(s):  
Decision Making ◽  
Organizational Change ◽  
Design Methodology ◽  
Top Management Teams ◽  
Managerial Decision ◽  
Managerial Decision Making ◽  
Content Type ◽  
Research And Practice ◽  
Behavioural Strategy ◽  
Conceptual Paper

Purpose – Over the last 30 years, specific investigations into self-reinforcing processes in managerial decision making have been gaining momentum within the mainstream literature of management. However, to date, it is claimed that understanding these processes properly still requires additional research efforts. Thus, the purpose of this conceptual paper is to follow this claim. Design/methodology/approach – The paper tries to inform the conversation about self-reinforcing processes in managerial decision making through adopting lenses drawing from the biological philosophy of organizational change. In particular, the co-evolutionary approach to organizational change, with a focus on CEOs, and/or top management teams (TMT), is adopted. Findings – As its core contribution, the paper proposes that self-reinforcing processes in the CEOs/TMTs’ decision making can occur because of the emergence (and subsequent consolidation) of co-evolving heuristics. On this basis, the paper also prospect potential avenues for future integrations in this field. Originality/value – As the paper concludes, advancing the general understanding of self-reinforcing processes in managerial decision making can represent an important opportunity for the research and practice of management in general, but also for some management sub-domains, such as that of behavioural strategy, in particular.

The triad value function – theorizing the value potential of connected relationships

2016 ◽  
Vol 31 (7) ◽  
pp. 849-860 ◽  
Author(s):  
Mette Vedel
Keyword(s):  
Supply Chain ◽  
Design Methodology ◽  
Value Function ◽  
Managerial Decision ◽  
Apparent Paradox ◽  
Managerial Decision Making ◽  
Content Type ◽  
Structural Context ◽  
Practical Implications

Purpose The purpose of the paper is to explicate how connectedness of relationships results in varying value potentials of triads. Design/methodology/approach First connectedness is re-described as an actor-perceived and actor-interpreted phenomenon. The re-description is used to theorize the triad value function. Next, the applicability and validity of the concept is examined in a case study of four closed vertical supply chain triads. Findings The case study demonstrates that the triad value function facilitates the analysis and understanding of an apparent paradox; that distributors are not dis-intermediated in spite of their limited contribution to activities in the triads. The results indicate practical adequacy of the triad value function. Research limitations/implications The triad value function is difficult to apply in the study of expanded networks as the number of connections expands exponentially with the number of ties in the network. Moreover, it must be applied in the study of service triads and open vertical supply chain triads to further verify the practical adequacy of the concept. Practical implications The triad value function cannot be used normatively or prescriptively. It is a descriptive tool which indirectly supports managerial decision-making through the analysis of how the structural context of a triad influences the value of relationships. Originality/value The paper offers an additional aspect for the study of value in and of triads. It illustrates that perceived connectedness of relationships operates as a triad value function, which captures the structural value potential of the triad for a focal actor.

Appraisement and benchmarking of supply chain performance extent

2015 ◽  
Vol 5 (1) ◽  
pp. 2-30 ◽  
Author(s):  
Santosh Kumar Sahu ◽  
Saurav Datta ◽  
Siba Sankar Mahapatra
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Fuzzy Numbers ◽  
Decision Makers ◽  
Supply Chain Performance ◽  
Triangular Fuzzy Numbers ◽  
Subjective Judgment ◽  
Content Type ◽  
Grey Relation ◽  
Evaluation Information

Purpose – Supply chain performance (SCP) extent can be attributed as a function of multiple criteria/attributes. Most of the criterions/attributes being intangible in nature; SCP appraisement relies on the subjective judgment of the decision makers. Moreover, quantitative appraisement of SCP appears to be very difficult due to involvement of ill-defined (vague) performance measures as well as metrics. The purpose of this paper is to develop an efficient decision support system (DSS) to facilitate SCP appraisement, benchmarking and related decision making. Design/methodology/approach – This study explores the concept of fuzzy logic in order to tackle incomplete and inconsistent subjective judgment of the decision makers’ whilst evaluating supply chain’s overall performance. Grey relational analysis has been adopted in the later stage to derive appropriate ranking of alternative companies/enterprises (in the same industry) in view of ongoing SCP extent. Findings – In this work, a performance appraisement index system has been postulated to gather evaluation information (weights and ratings) in relation to SCP measures and metrics. Combining the concepts of fuzzy set theory, entropy, ideal and grey relation analysis, a fuzzy grey relation method for SCP benchmarking problem has been presented. First, triangular fuzzy numbers and linguistic evaluation information characterized by triangular fuzzy numbers have been used to evaluate the importance weights of all criteria and the superiority of all alternatives vs various criteria above the alternative level. Then, the concept of entropy has been utilized to solve the adjusted integration weight of all objective criteria above the alternative level. Moreover, using the concept of the grey ration grades, various alternatives have been ranked accordingly. Originality/value – Finally, an empirical example of selecting most appropriate company has been used to demonstrate the ease of applicability of the aforesaid approach. The study results showed that this method appears to be an effective means for tackling multi-criteria decision-making problems in uncertain environments. Empirical data have been analysed and results obtained thereof, have been reported to exhibit application potential of the said fuzzy grey relation based DSS in appropriate situation.

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