Differences in adoption of global spare parts management in autonomous service units

2017 ◽  
Vol 23 (4) ◽  
pp. 370-382 ◽  
Author(s):  
Jouni Kauremaa ◽  
Jan Holmström

Purpose The purpose of this paper is to study the adoption and motivation to adopt global spare parts practices in autonomous units servicing the products of an original equipment manufacturer. Design/methodology/approach The methodological approach is case study investigating the reasons for different levels of use and the perceptions regarding the benefits of a centralized supply chain management in four representative service units. Findings Autonomous spare part units often source locally because local suppliers are easy to work with in terms of purchasing processes and have no requirements for systematic planning and control of spare parts purchases and inventory management. However, increasing the share of centrally sourced and managed spare parts in the supply chain brings advantages in terms of lower total cost and higher availability. From the perspective of individual subunits engaged in providing product support services, this advantage of relying on a centrally managed spare parts supply chain of an original equipment manufacturer is not self-evident. Autonomous units frequently choose to continue sourcing spare parts from alternative sources, undermining the economies of scale attainable through the original equipment manufacturer’s supply chain. Higher levels of use are facilitated by back-office purchasing management at the unit level. The positive perceptions of centralized supply management in general – including the relationship between the supply unit and the service unit – further facilitate adoption, while local requirements and practices inhibit it. Research limitations/implications The study is a single case study and presents proposals requiring further study of the reasons for the observed differences in use of centralized supply chain management. Practical implications Centralized spare parts management service requires investment in back-office resources at the service unit level. Originality/value The research increases the practical relevance of existing research through an empirical investigation on the autonomous units’ motivations for and perceived benefits of centralized spare parts supply.

2018 ◽  
Vol 24 (7) ◽  
pp. 1178-1192 ◽  
Author(s):  
Siavash H. Khajavi ◽  
Jan Holmström ◽  
Jouni Partanen

PurposeInnovative startups have begun a trend using laser sintering (LS) technology patents expiration, namely, by introducing LS additive manufacturing (AM) machines that can overcome utilization barriers, such as the costliness of machines and productivity limitation. The recent rise of this trend has led the authors to investigate this new class of machines in novel settings, including hub configuration. There are various supply chain configurations to supply spare parts in industrial operations. This paper aims to explore the promise of a production configuration that combines the benefits of centralized production with the flexibility of local manufacturing without the huge costs related to it.Design/methodology/approachThis study quantitatively examines the feasibility of different AM-enabled spare parts supply chain configurations. Using cost data extracted from a case study, three scenarios per AM machine technology are modeled and compared.FindingsResults suggest that hub production configuration depending on the utilized AM machines can provide economic efficiency and effectiveness to reduce equipment downtime. While previous studies have suggested the need for AM machines with efficiency for single part production for a distributed supply chain, the findings in this research illustrate the positive relationship between multi-part production capability and the feasibility of a hub manufacturing configuration establishment.Originality/valueThis study explores the promise of a production configuration that combines the benefits of centralized production with the flexibility of local manufacturing without the huge costs related to it. Although the existing body of knowledge contains research on production decentralization, research on various levels of decentralization is lacking. Using a real-world case study, this study aims to compare the feasibility of different levels of decentralization for AM-enabled spare parts supply chains.


2019 ◽  
Vol 1 (1) ◽  
pp. 1-8
Author(s):  
Yusuf Tojiri ◽  
Imas Komariyah

This research was conducted in the Tannery Industry in Garut – Indonesia, about suplly chain management, research methods using qualitative method, with a single case study. In this case study researchers collecting data through observation, interviews and in-depth interviews with entrepreneurs, academics and expert tannery. Supply Chain Management, in this case, describe the process of delivery of the goods from the supplier, and then processed by the industry, the result posted by the distributor to the subscriber. The Supply Chain Management must provide a level of efficiency in the process of delivering customer value, so that customers can be more satisfied, or in other words from the center (supplier), Company, Chanels (distribution) and Customer (4C). Supply Chain Management will be effective in improving the competitiveness of the industry, either by the supplier of the raw material leather, leather chemicals, leather production machinery, spare parts, and also any other relevant parties if able to improve cooperation between the core industry, supporting industry, and related industry is strong, so each others corroborate (linkage), as well as the distribution of goods to the customer must be of high quality and on time.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Srichandan Sahu ◽  
Kambhampati Venkata Satya Surya Narayana Rao

Purpose The purpose of this study is to empirically test a theoretical model on supply chain management (SCM) adoption in India. Design/methodology/approach The present study used a multiple case research method to study the phenomenon. The findings are based on analysis of the SCM adoption processes in three large manufacturing organizations from the aluminium, steel and fertilizer industries. Findings The present study tested four propositions. Three of the propositions were empirically validated and one proposition was revised. The key findings are: one, a lack of recognition by an organization of higher advantages because of SCM adoption as compared to the costs leads to SCM non-adoption. Two, a lack of organizational readiness factors such as a collaborative and innovative culture, higher absorptive capacity and slack resources leads to the non-adoption of SCM. Three, a lack of institutional pressure and marketing activities of the SCM vendors on an organization lead to the non-adoption of SCM. Originality/value The major contribution of the present study is that it has empirically validated the theoretical model for SCM adoption in India. The findings of the present study have both theoretical and practical implications. Theoretically, a model of SCM adoption was validated. The study provides managerial connotations for SCM vendors, consultants, practitioners and policy implications for policymakers.


2019 ◽  
Vol 25 (5) ◽  
pp. 1145-1163 ◽  
Author(s):  
Per Engelseth ◽  
Judith Molka-Danielsen ◽  
Brian E. White

Purpose The purpose of this paper is to question the applicability of recent industry-derived terms such as “Big Data” (BD) and the “Internet of things” (IoT) in a supply chain managerial context. Is this labeling useful in managing the operations found in supply chains? Design/methodology/approach BD and IoT are critically discussed in the context of a complete supply chain organization. A case study of banana supply from Costa Rica to Norway is provided to empirically ground this research. Thompson’s contingency theory, Alderson’s functionalistic end-to-end “marketing channels” model, Penrose’s view of supply purpose associated with service provision, and particularities of banana supply reveal how end-to-end supply chains are complex systems, even though the product distributed is fairly simple. Findings Results indicate that the usefulness of BD in supply chain management discourse is limited. Instead its connectivity is facilitated by what is now becoming commonly labeled as IoT, people, devices and documents that are useful when taking an end-to-end supply chain perspective. Connectivity is critical to efficient contemporary supply chain management. Originality/value BD and IoT have emerged as a part of contemporary supply chain management discourse. This study directs attention to the importance of scrutinizing emergent and actual discourse in managing supply chains, that it is not irrelevant which words are applied, e.g., in research on information-enabled supply process development. Often the old words of professional terminology may be sufficient or even better to help manage supply.


Author(s):  
A Narayanan ◽  
S Seshadri

This case study is designed to explore the challenges of forecasting and inventory management in spare parts industry. Most items in this industry have lumpy, intermittent, erratic and slow demand patterns. Traditional forecasting techniques cannot be applied to this group. Also most textbook methods on inventory planning, assumes the demand is normally distributed – which is also not the case in spare parts industry. Strategies can be tested for the demand data provide for about 40 items


2015 ◽  
Vol 27 (2) ◽  
pp. 256-276 ◽  
Author(s):  
Silvia Cosimato ◽  
Orlando Troisi

Purpose – Globalization has led worldwide organizations to balance their economic and environmental performances in order to achieve a concrete sustainable development. In an environmental centered world, logistics is called to put into action advanced programs based on technological and organizational improvement, in order to gain or maintain a concrete competitive advantage. The purpose of this paper is to investigate how logistics organizations try to face the recent ecological challenges and the role that the emergent green technologies play in making them finally “green” and competitive. Design/methodology/approach – Green supply chain management (GSCM) practices have been investigated to better understand their influence on economic performance and corporate competitiveness. After providing a background discussion on Green Logistics and GSCM, the authors have also identified specific research questions that are worthy of investigation, also thorough the DHL case study. The case study analysis has been conducted according to a specific conceptual model (Rao and Holt, 2005), which allows a deeper understanding of literature review results. Findings – The present paper offers some insights on innovation influence on supply chain management (SCM) greenness, a process oriented to a sustainable and environmental-friendly approach to management of supply chain. According to DHL case study evidence, in logistics innovation, often based on emerging green technologies, is strictly related to the development of a much more sustainable and environment-friendly approach to SCM, based on reduction of core activities’ ecological impact, cost saving, quality, reliability, performance and energy efficiency. In this context, the respect of environmental regulations is fundamental to achieve not only a reduction of ecological damage, but also to overall economic profit. Research limitations/implications – There is a concrete need of further research to better understand the potential link between GSCM, green innovation and logistic organizations competitiveness. In fact, this research area still represents a source of interesting challenges for practitioners, academicians and researchers. Concluding, the research findings cannot be generalized to all logistic organizations, even if DHL is on of the most important and globalized logistic companies. Future researches should empirically test the achieved results also through comparative studies based on a large sample. Originality/value – The suggestion of literature review and the result of case study analysis represent a first attempt to better understand the real and potential influence of GSCM on corporate image and competitiveness. In fact, the present investigation has pointed out that logistic organization can achieve environmental goals and acquire a better positioning than their competitors also cooperating with stakeholders. Therefore, it is necessary that organizations contribute to make them able to participate in corporate activities and develop a concrete environmental-friendly orientation, based on the respect of market’s requests and environmental regulations in order to get their corporate reputation strong than ever.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Satie Ledoux Takeda-Berger ◽  
Guilherme Luz Tortorella ◽  
Carlos Manuel Taboada Rodriguez ◽  
Enzo Morosini Frazzon ◽  
Tamie Takeda Yokoyama ◽  
...  

Purpose The purpose of this paper is to classify the main barriers related to the implementation of lean supply chain management (LSCM) and prioritize its main practices. A case study approach was conducted to obtain values for the intensity of the relationship between LSCM practices and barriers to mitigate or even anticipate difficulties in its implementation. Design/methodology/approach The case study in a company in southern Brazil that is in lean implementation is used for conducting this research. The methodology was structured in three steps, namely, classification of the main barriers through risk analysis, selection of LSCM practices appropriate to the company context and ranking and prioritization of the main practices of LSCM related to the barriers to lean implementation. Findings As a result, with the combination of two approaches, failure mode and effect analysis (FMEA) and analytical hierarchical process (AHP), it was possible to obtain values for the intensity of the relationship between LSCM practices and barriers. From the 12 barriers, 5 reached a high-risk degree that can be mitigated, and among the 18 practices found, 7 have the potential to be implemented. Originality/value This research allows direct efforts to continuously improve the supply chain to mitigate or even anticipate difficulties in its implementation. The proposed methodology, combining FMEA and AHP is easy to apply and understand, allowing managers and professionals to replicate it in the context of their supply chain and verify results similar and comparable to those obtained here.


2015 ◽  
Vol 13 (4) ◽  
pp. 522-538 ◽  
Author(s):  
J. Fei Ying ◽  
John Tookey ◽  
Johannes Roberti

Purpose – The purpose of this paper is to understand the nature and extent of current practice of construction supply chain management (CSCM) in the New Zealand (NZ) construction industry; consequently, to examine the challenges and issues that the industry is confronted in implementing an efficient CSCM. The construction industry, which contributes around 5 per cent to gross domestic product, is a vitally important industry in NZ. With over 50,000 businesses, the construction industry is the third largest industry by business count in NZ’s economy (Statistics New Zealand, 2009). Although it is widely accepted that productivity can be improved by adoption of effective supply chain management (SCM), no studies have investigated this at the tactical level in the NZ context. Design/methodology/approach – A case study approach is used for probing SCM practice on a NZ$75-million commercial project located in Auckland Central Business District. The supply chain network of the principal ground works and superstructure construction stages was studied. Findings – The key findings of the case study suggest that the flow of materials remains the main focus of CSCM practice. It was found that essential skills training for CSCM was extremely limited and largely ill-defined in terms of its nature and content. Finally, it was identified that as the NZ construction industry moves towards a significantly more collaborative framework, the efficacy of CSCM operations is expected to substantially improve. However, this last point did not negate the requirement to expand and improve skills training in CSCM. Originality/value – The results of the case study present that our best industry proponents are inadequate in their knowledge of CSCM as a result of education and training. This is a key issue that needs to be addressed through education at all levels. Similarly, they have virtually nil capability with logistics and the efficiency of transportation as a result of standard contractual costing procedures. Until the SCM/logistics knowledge gap is recognised and addressed, the improvements in logistics and, therefore, SCM will not occur in the NZ construction industry. That said, the findings related to partnering and collaborative thinking in NZ are encouraging. NZ has these elements largely in place already and a willingness to engage, particularly in alliances, in the future. It remains to be seen whether there will be sufficient energy expended in NZ by the leading players to create effective partnering and alliancing through improving SCM and logistics competencies.


2016 ◽  
Vol 21 (4) ◽  
pp. 470-484 ◽  
Author(s):  
Trish Gibson ◽  
Donald Kerr ◽  
Ron Fisher

Purpose There is an acknowledged need to advance the supply chain management (SCM) learning agenda, with an emphasis on integration. This paper discuss an Australian university–industry collaboration aimed at accelerating SCM learning and offers some insight into models for building a forward-looking SCM. Design/methodology/approach The research is an exploratory case study of the industry–university collaboration, using grounded theory procedures. The primary data involved 25 interviews with key participants from the university and industry partners, and from the first cohort of students in the undergraduate program developed within the collaboration. Findings A theoretical framework for accelerating SCM learning was developed from the case study data; it comprises six constructs that influence, at strategic and operational levels, the acceleration of SCM learning. Four cross-construct concepts from the framework that form the cornerstones of accelerated learning are discussed in some detail. Research limitations/implications The framework facilitates an examination of successes and shortfalls in the case study collaboration and generates a deeper understanding of critical elements for progressing the SCM learning agenda, and expanding SCM education. As with all qualitative research, the results may not be generalisable; testing the relevance and usefulness of the framework with the field will be an important next step. Practical implications As the framework identifies conditions, characteristics and capacities of organisations and individuals that support the acceleration of SCM learning, it can provide assistance in designing future university–industry collaborations for advancing SCM learning. Originality/value The framework identifies critical success factors for alliances and partnerships aimed at accelerating learning in an emerging body of knowledge such as SCM.


2019 ◽  
Vol 3 (2) ◽  
pp. 67
Author(s):  
Zineb Achetoui ◽  
Charif Mabrouki ◽  
Ahmed Mousrij

The particular characteristics of spare parts have prompted several authors to provide substantial results for effective spare parts supply chain management. In this context, the purpose of this paper is to present the significant contributions that researchers have proposed, over time, for the management of spare parts supply chain. The literature has shown that the particular characteristics of spare parts have a significant impact on inventory performance and customer demand fulfillment. For this reason, most of the contributions were focused on spare parts classification methods, forecasting methods and inventory optimization.  The focus of researchers on some areas of spare parts management allowed us to identify some promising perspectives that were not developed in literature, such as the development of performance measurement frameworks for spare parts supply chain and the measurement of organizational maturity.


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