Minimizing the ripple effect caused by operational risks in a make-to-order supply chain

2020 ◽  
Vol 50 (4) ◽  
pp. 381-402 ◽  
Author(s):  
Henry Xu
Keyword(s):  
Supply Chain ◽  
Negative Impact ◽  
Design Science ◽  
Original Position ◽  
Ripple Effect ◽  
Web Based ◽  
Content Type ◽  
Operational Risks ◽  
Make To Order ◽  
The Impact

PurposeThis paper aims to introduce a web-based pilot system for minimizing the ripple effect (i.e. spreading of the negative impact of an exceptional event along the supply chain from its original position) caused by operational risks in the context of make-to-order supply chains.Design/methodology/approachThe study employs a design science research methodology, which covers three major stages: system requirements identification, business process design and the implementation and evaluation of a web-based pilot system.FindingsThe developed system has the potential to significantly reduce the negative impact of the ripple effect caused by operational risks in a make-to-order supply chain in terms of material shortages, late deliveries and subsequent additional costs associated with expediting measures when a customer order is running late.Research limitations/implicationsThe system presented in this paper is a prototype that needs to be further developed and tested in the future.Practical implicationsThis paper provides integrated business processes and useful guidelines for supply chain managers and information system developers in dealing with the ripple effect in the supply chain.Originality/valueIn contrast to prior studies that have focused on investigating the impact of the ripple effect on the supply chain caused by natural or man-made disasters, this research attempts to offer a novel approach to address the research problem (i.e. the ripple effect caused by operational risks such as delays) directly from the design science perspective.

Do firm-specific risks affect bank performance?

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ahmed Imran Hunjra ◽  
Asad Mehmood ◽  
Hung Phu Nguyen ◽  
Tahar Tayachi
Keyword(s):  
Financial Performance ◽  
Commercial Banks ◽  
Negative Impact ◽  
Generalized Method Of Moments ◽  
Bank Performance ◽  
Content Type ◽  
Nonperforming Loans ◽  
Operational Risks ◽  
Bank Managers ◽  
The Impact

PurposeThe authors examine the impact of credit, liquidity and operational risks on the financial performance of commercial banks of South Asia.Design/methodology/approachData are extracted from DataStream of 76 commercial banks of four countries, i.e. Pakistan, India, Bangladesh and Sri Lanka for the period 2009–2018. The generalized method of moments (GMM) is used to analyze the results.FindingsAll three risks are significantly associated with financial performance. The authors find that Z-score positively affects the bank performance, whereas the nonperforming loans (NPLs) ratio has a negative impact on financial performance of bank. Liquidity risk analyses show the current and loan-to-deposit (LTD) ratios positively and negatively, respectively, affect financial performance. While operational risk positively affects financial performance. The authors further present the significant effects of joint occurrence of credit and liquidity risks on financial performance.Practical implicationsFor managing credit risk, banking management should ensure the policies for granting loans and timely reimbursement of the loan installments from customers. Bank managers should regularly monitor the liquidity position by maintaining the necessary levels of loans and deposits. Management should retain a healthy capital charge to meet operational risks.Originality/valueCredit, liquidity and operational risks are considered the most important categories of risk which are faced by financial institutions. To the best of the authors’ knowledge, this is the first study which investigates the impact of these risks on banks’ financial performance in selected South Asian countries. The results of this study have relevance and probable generalizability about the impact of risks on the performance of banks in emerging markets.

Advancing the understanding of pharmaceutical supply chain resilience using complex adaptive system (CAS) theory

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Emilia Vann Yaroson ◽  
Liz Breen ◽  
Jiachen Hou ◽  
Julie Sowter
Keyword(s):  
Supply Chain ◽  
Adaptive System ◽  
Complex Adaptive System ◽  
Negative Impact ◽  
Exploratory Research ◽  
Structured Interviews ◽  
Pharmaceutical Supply Chain ◽  
Content Type ◽  
Complex Adaptive ◽  
The Impact

Purpose The purpose of this study was to advance the knowledge of pharmaceutical supply chain (PSC) resilience using complex adaptive system theory (CAS). Design/methodology/approach An exploratory research design, which adopted a qualitative approach was used to achieve the study’s research objective. Qualitative data were gathered through 23 semi-structured interviews with key supply chain actors across the PSC in the UK. Findings The findings demonstrate that CAS, as a theory, provides a systemic approach to understanding PSC resilience by taking into consideration the various elements (environment, PSC characteristics, vulnerabilities and resilience strategies) that make up the entire system. It also provides explanations for key findings, such as the impact of power, conflict and complexity in the PSC, which are influenced by the interactions between supply chain actors and as such increase its susceptibility to the negative impact of disruption. Furthermore, the antecedents for building resilience strategies were the outcome of the decision-making process referred to as co-evolution from a CAS perspective. Originality/value Based on the data collected, the study was able to reflect on the relationships, interactions and interfaces between actors in the PSC using the CAS theory, which supports the proposition that resilience strategies can be adopted by supply chain actors to enhance this service supply chain. This is a novel empirical study of resilience across multiple levels of the PSC and as such adds valuable new knowledge about the phenomenon and the use of CAS theory as a vehicle for exploration and knowledge construction in other supply chains.

Building supply chain risk resilience

2019 ◽  
Vol 26 (7) ◽  
pp. 2318-2342 ◽  
Author(s):  
Nitya Prasad Singh ◽  
Shubham Singh
Keyword(s):  
Information Technology ◽  
Supply Chain ◽  
Negative Impact ◽  
Equation Modeling ◽  
Business Risk ◽  
Supply Chain Risk ◽  
Supply Chain Disruption ◽  
Content Type ◽  
Institutional Experience ◽  
The Impact

Purpose The purpose of this paper is to examine how firms can develop business risk resilience from supply chain disruption events, by developing big data analytics (BDA) capabilities within their organization. The authors test whether BDA mediates the impact of institutional response to supply chain disruption events, and information technology infrastructure capabilities (ITICs), on firm’s ability to develop risk resilience from supply chain disruption events. Design/methodology/approach The study is based on survey data collected from 225 firms, spread across several sectors in the USA and Europe. The respondents are primarily senior and middle management professionals who have experience within the information technology (IT) and supply chain domain. Validity and reliability analyses were performed using SPSS and AMOS; and covariance-based structural equation modeling was used to test the hypothesis. Findings The analysis reveals two significant findings. First, the authors observe that institutional experience with managing supply chain disruption events has a negative impact on firm’s ability to develop business risk resilience. However, if the organizations adopt BDA capabilities, it enables them to effectively utilize resident firm knowledge and develop supply chain risk resilience capacity. The results further suggest that BDA positively adds to an organization’s existing IT capabilities. The analysis shows that BDA mediates the impact of ITIC on the organization’s ability to develop risk resilience to supply chain disruption events. Originality/value This study is one of the few works that empirically validate the important role that BDA capabilities play in enabling firms develop business risk resilience from supply chain disruption events. The study further provides a counterpoint to the existing perspective within the supply chain risk management literature that institutional experience of managing past supply chain disruption events prepares the organization to deal with future disruption events. This paper adds to our understanding of how, by adopting BDA capabilities, firms can develop supply chain risk resilience from disruption events.

When did fun become so much work

2018 ◽  
Vol 31 (4) ◽  
pp. 966-983 ◽  
Author(s):  
Eleanor Loiacono ◽  
Scott McCoy
Keyword(s):  
Social Media ◽  
Negative Impact ◽  
Perceived Usefulness ◽  
Intention To Use ◽  
Negative Effects ◽  
Web Based ◽  
Content Type ◽  
Media Technologies ◽  
Online Persona ◽  
The Impact

Purpose The purpose of this paper is to investigate the negative impact the invasive nature of social media technologies (SMTs) can have on a user’s continued intention to use it. Design/methodology/approach In order to understand the impact technology invasiveness (TI) has on people’s continued SMT behavior, a research model and corresponding survey were developed based on a comprehensive literature review and data collected from actual SMT users. Findings The authors found perceived usefulness has a large impact on user’s attitudes. Additionally, social networking (SN) has a significant and direct impact on both attitude toward the use of the SMT and its continued use. Another interesting finding is how strongly SN increases a user’s TI. The negative impact technology has on users’ lives comes from the need users feel to continue to update and manage their online persona. Practical implications Social media tools are becoming part of the workplace environment. If not careful, companies may introduce increased pressures on their workers to constantly be “connected” to SMTs. In order to obtain the advantages of SMT usage, companies would be wise to set expectation standards that alleviate some of this pressure. Social implications This growth in social media would lead one to assume that all is well with SMTs and their usage is similar to other web-based technologies. However, there are some negative effects of SMT that warrant society and companies pausing to rethink the focus on these technologies. Originality/value Previous research has looked at IT from system success and acceptance. In this paper, we investigate the negative impact the invasive nature of SMTs can have on a user’s continued intention to use it.

An examination of the effects of cross-docking on retail out of stock

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yassine Benrqya
Keyword(s):  
Supply Chain ◽  
Delphi Study ◽  
Negative Impact ◽  
Positive Impact ◽  
Content Type ◽  
Cross Docking ◽  
Three Phase ◽  
The Impact ◽  
The Relationship ◽  
Positive Effect

PurposeThe objective of this paper is to examine the impact of cross-docking on the retail out of stock (OOS).Design/methodology/approachThe research is based on a three-phase Delphi study consisting of a seeding/literature review phase, a pre-testing phase and a three-round Delphi study. The Delphi study used in this paper brings together leading supply chain management experts with leading academics.FindingsThe findings of the paper show that cross-docking may impact the retailers OOS drivers positively or negatively. The study demonstrates that cross-docking has a negative impact on ordering, placement, delivery, handling, DC handling and receipt. On the other hand, cross-docking has a positive effect on supplier ordering. Finally, academics and supply chain managers disagreed on the effect of cross-docking on the promotions driver. Academics consider that cross-docking has a positive impact on promotions OOS driver, while supply chain managers believe the opposite.Research limitations/implicationsThe Delphi study was administrated to supply chain managers from a single major FMCG company, which is a supplier of grocery retailers. By including supply chain managers from the retailers' side, more perspectives on the impact of cross-docking on the OOS drivers can be investigated.Originality/valueThe study develops an original instrument to investigate the impact of cross-docking on OOS drivers. This is the first scholarly work to investigate the relationship between a distribution strategy and the OOS drivers.

Supply chain risk mitigation strategies during COVID-19: exploratory cases of “make-to-order” handloom saree apparel industries

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Vishwas Dohale ◽  
Priya Ambilkar ◽  
Angappa Gunasekaran ◽  
Priyanka Verma
Keyword(s):  
Supply Chain ◽  
Risk Mitigation ◽  
Apparel Industry ◽  
Mitigation Strategies ◽  
Supply Chain Risk ◽  
Content Type ◽  
Make To Order ◽  
Risk Mitigation Strategies ◽  
Multiple Case ◽  
The Impact

PurposeThis study attempts to identify the supply chain risks (SCRs) induced during the COVID-19 disruption in an Indian handloom saree industry and determine suitable risk mitigation strategies (RMSs) to overcome the impact of the epidemic disruption.Design/methodology/approachThis work determined 11 SCRs through an extensive literature review in the context of the handloom apparel industry and validated through the experts. Further, a multiple case-based approach is used in this research. Within case and cross-case analyses of four relevant Indian handloom “make-to-order” saree manufacturing firms are conducted to determine the severity of the SCRs considering the pandemic situations to identify appropriate strategies to mitigate the shock of SCRs.FindingsThis study identified the critical SCRs in the context of the Indian handloom “make-to-order” saree industries that emerged during the COVID-19 and proposed a risk mitigation strategy matrix (RMSM) to address the SCRs based on their criticality and predictability dimensions.Research limitations/implicationsThe study provides a novel contribution to the body of knowledge on supply chain risk management (SCRM) in the form of the RMSM tool. Supply chain managers from the different sectors can extend the proposed RMSM to overcome the SCRs. Multiple case analyses facilitate supply chain professionals working in handloom apparel industries to benchmark and adopt the proposed RMSs in their firm.Originality/valueThis research is one of its kind that carried exploratory investigation of the handloom apparel industry cases to assess and determine the strategies for mitigating the SCRs caused during a pandemic outbreak.

Moderated influence of return frequency and resource commitment on information systems and reverse logistics strategic performance

2018 ◽  
Vol 67 (3) ◽  
pp. 550-570 ◽  
Author(s):  
Ankit Mahindroo ◽  
Harsh Vardhan Samalia ◽  
Piyush Verma
Keyword(s):  
Supply Chain ◽  
Information Systems ◽  
Reverse Logistics ◽  
Negative Impact ◽  
Rapid Evolution ◽  
Content Type ◽  
Resource Commitment ◽  
The Individual ◽  
The Impact ◽  
Strategic Outcomes

Purpose Reverse logistics (RL) is a strategic instrument across industries. The rapid evolution of online marketplaces has led to frequent product returns with variations across diversified businesses. These marketplaces have caused potential losses due to fraudulent returns, hence requiring a commitment of resources to RL. With information systems (IS) playing a role in improved supply chain performance, the purpose of this paper is to analyse the impact of a conceptualized IS framework on achieving RL strategic outcomes, under the individual moderating influence of resource commitment (RC) and return frequency. Design/methodology/approach Data have been collected through a questionnaire from top to middle management executives managing the supply chain, logistics and IS. Moderated regression analysis was conducted on the collected sample using Hayes’ (2013) process modeling. Findings The study depicts that IS capability, IS for logistics, IS partnership quality and IS for value addition lead to RL strategic benefits. Also, return frequency and RC act as relatively strong moderators with a negative impact. When analyzed for the individual IS constructs, RC has a stronger moderating impact than return frequency. Practical implications The IS usage framework can be used effectively by practitioners for enhancing strategic RL performances depending on variations in committed resources and return frequency for individual industries. Originality/value The study proposes an IS usage framework for achieving enhanced RL strategic outcomes and emphasizes on the moderating role played by RC and return frequency for producing the results.

Do employees' attributes and capabilities matter the intention to become a supply chain manager? Structural model analysis

2020 ◽  
Vol 17 (4) ◽  
pp. 505-523 ◽  
Author(s):  
Md. Shah Newaz ◽  
Mina Hemmati ◽  
Muhammad Khalilur Rahman ◽  
Suhaiza Zailani
Keyword(s):  
Supply Chain ◽  
Structural Model ◽  
Negative Impact ◽  
Behavioral Control ◽  
Perceived Behavioral Control ◽  
Sampling Frame ◽  
Content Type ◽  
The Right ◽  
The Impact ◽  
The Relationship

PurposeThis study aims to investigate how the employees' attributes, capabilities, behavioral control and behavioral intentions affect their intention to become a supply chain manager (SCM). The study also investigates how employees' capabilities mediate the relationship between attributes and intention to become SCM.Design/methodology/approachThe purposive sampling frame is employed to collect the data, and multiple statistical tools and techniques are used for analyzing the data.FindingsThe findings reveal that attributes are the most crucial factor for the capabilities of employees to become successful SCM. Employees' behavioral intention and capabilities have a significant impact on intention, whereas perceived behavioral control has a significant negative impact on it. Also, the result finds that capabilities partially mediate the relationship between attributes and intention to become an SCM.Research limitations/implicationsThe study extends the application of employees' intention to become a supply chain manager. The idea collected is based on Malaysia; thus, further study should be extended to assess the impact of employees' attributes, capabilities and behavioral control to become SCM as well as economic performance in other countries.Originality/valueTo the best of the authors' knowledge, this is the first empirical analysis on the relationship between employees' attributes, capabilities, behavioral control and intention to become SCM in the context of Malaysia. The findings will help the top management to select the right people as SCM and improve their attributes, capabilities and behavior so that they become an effective SCM.

An empirical examination of firm financial performance along dimensions of supply chain resilience

2017 ◽  
Vol 40 (3) ◽  
pp. 254-269 ◽  
Author(s):  
Xun Li ◽  
Qun Wu ◽  
Clyde W. Holsapple ◽  
Thomas Goldsby
Keyword(s):  
Supply Chain ◽  
Financial Performance ◽  
Three Dimensions ◽  
Empirical Examination ◽  
Content Type ◽  
Supply Chain Resilience ◽  
Critical Dimensions ◽  
Firm Financial Performance ◽  
Supply Chain Agility ◽  
The Impact

Purpose This paper aims to investigate the impact of three critical dimensions of supply chain resilience, supply chain preparedness, supply chain alertness and supply chain agility, all aimed at increasing a firm’s financial outcomes. In a turbulent environment, firms require resilience in their supply chains to prepare for potential changes, detect changes and respond to actual changes, thus providing superior value. Design/methodology/approach Using survey data from 77 firms, this study develops scales for preparedness, alertness and agility. It then tests their hypothesized relationships with a firm’s financial performance. Findings The results reveal that the three dimensions of supply chain resilience (i.e. preparedness, alertness and agility) significantly impact a firm’s financial performance. It is also found that supply chain preparedness, as a proactive resilience capability, has a greater influence on a firm’s financial performance than the reactive capabilities including alertness and agility, suggesting that firms should pay more attention to proactive approaches for building supply chain resilience. Originality/value First, this study develops a comparatively comprehensive definition for supply chain resilience and explores its dimensionality. Second, this study provides empirically validated instruments for the dimensions of supply chain resilience. Third, this study is one of the first to provide empirical evidence for direct impact of supply chain resilience dimensions on a firm’s financial performance.

Impact of economic and financial crimes on economic growth in emerging and developing countries

2019 ◽  
Vol 26 (3) ◽  
pp. 910-920 ◽  
Author(s):  
Sani Abubakar Saddiq ◽  
Abu Sufian Abu Bakar
Keyword(s):  
Systematic Review ◽  
Developing Countries ◽  
Negative Impact ◽  
Meta Analysis ◽  
Eligibility Criteria ◽  
Content Type ◽  
Research Reporting ◽  
Financial Crimes ◽  
Emerging And Developing Countries ◽  
The Impact

Purpose The purpose of the study is to investigate the impact of economic and financial crimes on the economies of emerging and developing countries. Design/methodology/approach Preferred Reporting Items for Systematic review and Meta-Analysis (PRISMA) guidelines and meta-analysis of economics research reporting guidelines were used to conduct a quantitative synthesis of empirical evidence on the impact of economic and financial crimes in developing and emerging countries. Findings A total of 103 studies were searched, out of which 6 met the selection/eligibility criteria of this systematic review. The six selected studies indicated that economic and financial crimes have a negative impact in emerging and developing countries. Originality/value To the best knowledge of the authors, no published systematic review of the impact of economic and financial crimes in developing countries has been conducted to date.

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