A Discriminant Analysis Model for Supply Chain Transaction Cost

This chapter is designed to give the readers a concise understanding of supply chain strategies and the process involved in its formation. It is a background study on the changing role of supply chain in gaining competitive advantage for the firm. The chapter discusses on traceability and integration along a supply chain, its inception and the advantages to the corporate world through its implementation. The chapter focuses on the topic of value creation in a supply chain through strategic management decisions like vertical and horizontal integration. The value chain analysis model for competitive advantage is covered in this chapter. A discussion on the differences between vertical and horizontal integration systems and the best strategic decision among them is provided. The concepts of sustainable supply chain integration, traceability, and the limitations to their implementation have also been discussed. The best examples on practitioners of supply chain strategy and integration are provided along the chapter.

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Strategic Management of International Subcontracting

IT Outsourcing ◽

10.4018/978-1-60566-770-6.ch122 ◽

2010 ◽

pp. 1924-1934

Author(s):

Yue Wang

Keyword(s):

Supply Chain ◽

Strategic Management ◽

Transaction Cost ◽

Empirical Research ◽

International Business ◽

Multinational Enterprises ◽

Cost Model ◽

Governance Structure ◽

Complex Nature ◽

Relational Contract

Research on international subcontracting has been policy-oriented and industry-focused. There is a lack of understanding of the phenomenon from strategic management and international business perspectives. This article conceptualizes international subcontracting as a type of relational contract formed by buyers and suppliers from different countries, aiming to facilitate the sourcing of products or components with buyer-specific requirements. It builds a transaction cost model for studying the strategic choice of international subcontracting as an intermediate governance structure, sitting between arm’s length outsourcing arrangement and vertically integrated multinational enterprises (MNEs). A set of propositions are developed to aid future empirical research and to provide managers with some guidelines for organizing supply chain across borders. The model also allows managers to examine the complex nature of a range of subcontracting relationships and identify the specific mechanisms that can be used to preserve and manage the dyadic principal-subcontractor exchanges.

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Typology of Services

Service Science for Socio-Economical and Information Systems Advancement - Advances in E-Collaboration ◽

10.4018/978-1-60566-683-9.ch003 ◽

2010 ◽

pp. 35-85

Author(s):

Adamantios Koumpis

Keyword(s):

Supply Chain ◽

Major Part ◽

Building Blocks ◽

Test Case ◽

Analysis Model ◽

Service Supply Chain ◽

Manufacturing Company ◽

Real Test

Classes and taxonomies of services – how can they be categorized, with respect to different parameters, factors, dimensions. Why some of them matter and some other don’t? How can they be organized to serve specific purposes, etc. The major part of the chapter is justly devoted to the presentation of the Service Analysis Model (SAM). With its four constituent building blocks, SAM provides an insight to the analysis of services and is followed by a section devoted to the synthesis of service and the composition of new ones. The chapter closes with the presentation of a real test case implemented for a manufacturing company to improve their service supply chain.

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Do Collaborative Relationships in Supply Chain Pay-Off?

International Journal of Organizational and Collective Intelligence ◽

10.4018/ijoci.2017010103 ◽

2017 ◽

Vol 7 (1) ◽

pp. 36-46 ◽

Cited By ~ 2

Author(s):

Ik-Whan G. Kwon ◽

Seock-Jin Hong ◽

Sung-Ho Kim

Keyword(s):

Supply Chain ◽

Transaction Cost ◽

Theoretical Framework ◽

Future Research ◽

Sustainable Supply Chain ◽

Collaborative Relationship ◽

Collaborative Relationships ◽

Time To Market ◽

Speed Up ◽

Financial Gains

Collaborative relationship is said to foster sustainable supply chain operations. It is argued that relationship based supply chain produces financially tangible results in many areas of supply chain. The concept is based on transaction cost theory arguing that the final price is determined in the market by total cost. A collaborative relationship fosters trust that leads to lowering transaction cost and speed up time to market which creates “serial equity” rather than “spot equity”. Recent research on collaboration and supply chain performance seems to suggest tangible financial gains. Yet, no theoretical framework has been developed and empirical evidences have been lacking to support such hypothesis. A clearly defined theoretical framework and supportive empirical evidence between these two constructs are needed for future research in this area. This article attempts to articulate the theoretical foundation of collaborative relationship in supply chain and survey empirical results on financial gains reported in various research studies.

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A Numerical Analysis Model Involving Carbon Emissions in a Single Echelon Supply Chain Systems with Two Distribution Channels: : proposed preliminary model

2019 IEEE 6th International Conference on Industrial Engineering and Applications (ICIEA) ◽

10.1109/iea.2019.8714792 ◽

2019 ◽

Author(s):

P. S. Murdapa ◽

I N. Pujawan ◽

P. D. Karningsih ◽

A. H. Nasution ◽

P. S. Murdapa

Keyword(s):

Supply Chain ◽

Numerical Analysis ◽

Carbon Emissions ◽

Distribution Channels ◽

Analysis Model ◽

Preliminary Model

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Managing transaction risks in interdependent supply chains: an extended transaction cost economics perspective

Journal on Chain and Network Science ◽

10.3920/jcns2012.x214 ◽

2012 ◽

Vol 12 (3) ◽

pp. 243-260 ◽

Cited By ~ 5

Author(s):

Mark Wever ◽

Nel Wognum ◽

Jacques Trienekens ◽

Onno Omta

Keyword(s):

Risk Management ◽

Supply Chain ◽

Supply Chains ◽

Transaction Cost ◽

Risk Sharing ◽

Transaction Cost Economics ◽

Management Strategies ◽

Risk Minimization ◽

Risk Management Strategies ◽

Supply Chain Orientation

The present study examines the management of transaction risks in supply chains. Risk management studies often ignore the wider supply chain context in which individual transactions take place. However, risk management strategies which are suitable to use when only a single transaction is considered may be inappropriate when other transactions in the supply chain are taken into account. This study addresses this issue by examining: (1) how risks arise as a result of interdependencies between the various transactions making up the supply chain; and (2) what types of contractual-based strategies actors can use to manage their risk exposure. To realize these aims, the study applies an extended Transaction Cost Economics (TCE) framework with a supply chain orientation. The framework illustrates how different types of interdependencies - pooled, sequential and reciprocal - expose companies to different sources of risk. Three strategies companies can use when facing barriers to risk minimization in sequentially interdependent supply chains are analyzed: risk transferring, risk altering and risk sharing. Examples from the agri-food sector are discussed to demonstrate the functioning of these strategies.

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A Transaction Cost Analysis Model of Channel Integration in International Markets

Journal of Marketing Research ◽

10.1177/002224379002700207 ◽

1990 ◽

Vol 27 (2) ◽

pp. 196-208 ◽

Cited By ~ 143

Author(s):

Saul Klein ◽

Gary L. Frazier ◽

Victor J. Roth

Keyword(s):

Cost Analysis ◽

Transaction Cost ◽

International Markets ◽

Analysis Model ◽

Transaction Cost Analysis ◽

Channel Integration

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Evaluation of Supply Chain Efficiency Based on a Novel Network of Data Envelopment Analysis Model

International Journal of Bifurcation and Chaos ◽

10.1142/s0218127415400362 ◽

2015 ◽

Vol 25 (14) ◽

pp. 1540036 ◽

Cited By ~ 2

Author(s):

Li Fang Fu ◽

Jun Meng ◽

Ying Liu

Keyword(s):

Supply Chain ◽

Data Envelopment Analysis ◽

Decision Makers ◽

Data Envelopment Analysis Model ◽

Data Envelopment ◽

Undesirable Outputs ◽

Analysis Model ◽

Multilayer Network ◽

Supply Chain Efficiency ◽

Proposed Model

Performance evaluation of supply chain (SC) is a vital topic in SC management and inherently complex problems with multilayered internal linkages and activities of multiple entities. Recently, various Network Data Envelopment Analysis (NDEA) models, which opened the “black box” of conventional DEA, were developed and applied to evaluate the complex SC with a multilayer network structure. However, most of them are input or output oriented models which cannot take into consideration the nonproportional changes of inputs and outputs simultaneously. This paper extends the Slack-based measure (SBM) model to a nonradial, nonoriented network model named as U-NSBM with the presence of undesirable outputs in the SC. A numerical example is presented to demonstrate the applicability of the model in quantifying the efficiency and ranking the supply chain performance. By comparing with the CCR and U-SBM models, it is shown that the proposed model has higher distinguishing ability and gives feasible solution in the presence of undesirable outputs. Meanwhile, it provides more insights for decision makers about the source of inefficiency as well as the guidance to improve the SC performance.

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