/Contents 20 0 R>> <> stream 15 0 obj A substantial body of academic knowledge has been, and continues to be, developed in the broad SCM domain. Available to promise (ATP). 25 0 obj Theory of Constraints (TOC) .This is a theory that designs a budget line with the required institutional specifications. 9 0 obj 7 0 obj � �o� This is a practice which designs an information system which measures the performance of procurement processes in the organization. stream x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �1Qp�W� 2.1 Definition of a supply chain In this chapter we take a process view, which means we look at a supply chain as a sequence of (decision making and execution) processes and (material, information and money) flows that aim to meet final customer requirements The supply chain industry’s beginning of operations research as well as industrial engineering started with logistics. Supply Chain Management (SCM): Theory and Evolution, Supply Chain Management - Applications and Simulations, Mamun Habib, IntechOpen, DOI: 10.5772/24573. The theory is based and dependent on various strategic theories which are taken by the management to ensure that they make rightful decisions on the supply chain. Supply chain management seeks improved performance through better use of internal and external capabilities in order to create a seamlessly coordinated supply chain, thus elevating inter-company competition to inter-supply chain competition (Anderson and Katz, 1998, Birou et al., 1998, Christopher, 1996, Lummus et al., 1998, Morgan and Monczka, 1996). stream Supply Chain Management (SCM) has been widely researched in numerous application domains during the last decade. endobj Quick Response Manufacturing (QRM). Total Quality Management (TQM). endobj Institutional theory (INT). This is a practice that ensures that all the risks which might be involved during the procurement and supplies process are taken into consideration. x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �1Vp�W� This theory is formulated going by the information knowledge that is available. 21 0 obj <> – The paper aims to explain how agency theory can be used to inform our understanding of the dynamics surrounding supply chain behaviours and relationships., – A structured review of the literature using a three‐stage refinement process is used. Reverse logistics involves material flow from end users to suppliers. x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �Tp�W� The theory stipulates that the supply chain management should be oriented towards improving the output within the organization. (Ketchen & Hult, 2006). endobj [9] Human collaboration is defined as the use of skills through harmonization of individuals, teams and organizations to achieve greater things not achievable by an individual person. This book presents the methodology and foundations of supply chain management and also demonstrates how recent developments build upon classic models. Currently, there are three collaborative relationships which have been identified: type 1 involves building data using IT applications, standardizing information. Type 2 involves joint plannings and decision makings on new products, business plans, forecasting and sales promotions. This is a theory that ensures that the process of supply is done with considerations of all the relevant procedures and requirements. Despite a lot of focus on the forward logistics by supply chain management, the importance of reverse logistics cannot be ignored. <> The theory designs mechanisms to ensure that the level of inventory is controlled. stream According to Chopra and Meindl (2001), SCM engages the management of flows between and among stages in a supply chain to minimize total cost . Perhaps one of the most effective ways of doing so is to apply the theory of constraints (TOC) to supply chain management. Systems Theory (ST). Utilizing this well-known framework of contingency theory in the areas of strategic management and organizational design, SCM is firmly positioned among management theories. Time-Based Competition Theory (TBC) .This is a theory that ensures that the management of supplies is done in time. Halldorsson, A, Kotzab, H, Mikkola J., Skjoett-Larsen, T.(2007). This theory explains that there should be a quick response in dealing with all the manufacturing process. In the late 1990s, "supply-chain management" (SCM) rose to prominence, and operations managers began to use it in their titles with increasing regularity. 31 0 obj 18 0 obj This theory is based on the principles under which the institution is governed. endobj This explains that all the programs are designed to create a good relationship with the public. Complementary theories to supply chain management. stream <> /Contents 4 0 R>> endstream 5 0 obj endobj Supply Chain Management includes managing supply and demand, sourcing raw materials and parts, manufacturing and assembly, warehousing and inventory tracking, order entry and order management, distribution across all channels, and delivery to the customer. Customer Relationship Management (CRM) theory. 15 Iss: 6 Pages.454-462. This theory stipulates that the designing of the supply management process should be based on the resources which are available to the company. Information Sharing and Collaboration Practices In reverse Logistics, Supply Chain Management: an International Journal, Vol. 23 0 obj It is very much an extended Finally, step 3 involves joint problem solving and warehouse schedule. stream develop SCM theory. Several theories have specifically addressed the issue of management information systems. endobj � �f� This theory ensures that the customer’s agreements are met. Despite the popularity of SCM research and applications, considerable confusion remains as to its meaning. Systems Theory: ST brings together various components of a complex supply chain (that is the human, capital, information, materials and financial resources etc.) <> 13 0 obj � ��� /Contents 12 0 R>> (Ketchen & Hult, 2006) Time-Based Competition Theory (TBC).This is a theory that ensures that the management of supplies is done in time. x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �1Up�W� endobj <> Supply Chain Management: Theory of Constraints. To maximize the supply chain benefit, supply chain partners should uncover weak links and prevent variations in supply chain capacity (e.g., production/distribution capacity and inventory) and supply chain performances. Few practitioners were able – or even seriously aspired – to extend their reach across the supply chain in the manner prescribed in much modern theory. endstream Consumer Science: Anna Quindlen’s “Why Stuff is not Salvation”, Theories involved in Supply Chain Management, Gardena Flowers and Plants Trading Company Analysis, Consumer Behavior in Hamilton and Chernev Articles, International Business Machines Corporation Analysis, International Legal and Ethical Issues in Business. Warehousing: keeping inventory at low levels 4. to form a subsystem which is then part of a larger system of supply chains or network. Supply-chain management was then further defined as the integration of supply chain activities through improved supply-chain relationships to achieve a competitive advantage. 4 0 obj � ��� endstream endobj Materials Requirement Planning (MRP). endobj stream It is the planning, execution, controlling costs of inventories, work in progress and the final products from consumption point to the original point. stream <> Supply chain management: theory, practice and future challenges @article{Storey2006SupplyCM, title={Supply chain management: theory, practice and future challenges}, author={J. Storey and Caroline Emberson and J. Godsell and A. Harrison}, journal={International Journal of Operations & Production Management}, year={2006}, … 28 0 obj Findings – The paper reveals that supply management is, at best, still emergent in terms of both theory and practice. endobj x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �14Vp�W� � ��� <> endobj 14 0 obj stream <> (Van Der Vorst, 2004) Van Der Vorst defined supply chain management (SCM) as "the integrated planning, coordination, and control of business … <>>>] Due to the high asset value which is involved in reverse logistics, it is prudent that firms develop a system that can share information and relate it with the partners besides handling return operations. The authors focus on strategic, tactical, and operational aspects of supply chain management and cover a broad range of topics from forecasting, inventory management, and facility location to transportation, process flexibility, and … x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �1Tp�W� endstream Systems theory is based on the systems in which the institution’s supplies are handled. <> x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �1Sp�W� Amidst fierce competition in all industries, SCM has gradually been … � ��� Fundamentals of Supply Chain Management 8 Introduction 1ntroduction I 1.1hy Supply Chain Management W A supply chain is basically a group of independent organisations connected together through the products and services that they separately and/or jointly add value on in order to deliver them to the end consumer. This theory states that before goods are ordered and subsequently supplied, there is a need to plan everything that is required with the specifications of each customer. x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �14Tp�W� Knowledge-Based View (KBV) theory. The study focuses on investigating, how supply chain management influences the performance of reverse logistics with specific examinations on how IT impacts it, the effects of IT on the reverse logistics performance and the collaboration and information sharing on reverse logistics. 20 0 obj Craig R. Carter, Lutz Kaufmann, David J. Ketchen, Expect the unexpected: toward a theory of the unintended consequences of sustainable supply chain management, International Journal of Operations & Production Management, 10.1108/IJOPM-05-2020-0326, ahead-of-print, ahead-of-print, (2020). endstream <> Supply Chain Management’s Beginnings. . stream Journal of Operations Management, 25(2) Pages 573-580. <> Requirements Chain Management. Transaction Cost Analysis (TCA) theory. Articles on Management Subjects for Knowledge Revision and Updating by Management Executives ---by Dr. Narayana Rao, Professor, NITIE---3 MILLION Page Views--- Global Top Blog for Management Theory---Management for Effectiveness, Efficiency and Excellence. � �x� endobj Network Perspective (NP) theory. <> endobj Performance Information Risk Management Systems (PIRMS). Quick Response Manufacturing (QRM). Bridging organization theory and supply chain management: The case of best value supply chains. endstream Fredrick Taylor, the founder of industrial engineering who wrote The Principles of Scientific Management in 1911, targeted the process improvement of manual loading in his work. DOI: 10.1108/01443570610672220 Corpus ID: 17758687. [9] endobj The application of game theory allocates logic to the strategies employed in the management of the system and thus helps in identifying any weaknesses that could be associated with particular section of the … x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �14Pp�W� It ensures that relevant policies are adopted which minimize the costs and increase revenue. endstream In a world of soaring digitization, social media, financial transactions, and production and logistics processes constantly produce massive data. Procurement: avoiding duplicate procedures 2. <> endobj � �T� <> /Group <> <> The Theory of Constraints (TOC) is one of the simplest, most powerful supply chain concepts. & Xiaoming, L. (2010). /Contents 24 0 R>> endobj 17 0 obj /Contents 16 0 R>> Resource-Based View (RBV). These theories include: This is a practice which explains that the goods of the right quantity and specified quality are supplied in time without any surpluses. x��\M�䶑�������E_�=��rH��R;|��@���˪�XԴzG�~_ ��b�%o(bW� �/_~�����QUK���>>����X}�鮭>��x�җU���s���]۴m�q'>W�z8��Ue�ktW��]��|�}�Xݩ���p�eT����?wGZ)�j]�kZM��kWm�`���N�[[=�b��^�Bm�|�ϫk�ݹ��?�����m���U��?��'�J��}f�����7�~���QΪ�}��}?��`���5>����c;�����������V���&�h�� <> <> stream endobj 10 0 obj /Contents 6 0 R>> 24 0 obj � ��� The theories explained show a close relationship. <> 6 0 obj 1 0 obj Strategic Choice Theory (SCT). � �]� �U���Pp��;B�P��?����r�y���_?�{-�t��?���/���su:�/�Y�#��Ȃ��B���4칉�na�Z��:j��%�{Ow���&�|C+i�Y��Nˆ�{[���W�߱w��q�y���q�A[^j�ź�˦#m��쥾5�����$��q����R���u�֏i��zH�Pm� �� :���c�4���Ӏσu���� |�O�=���_�ƫ��E�Q�f5y뜏b�?���s~�\�tQ�_��O �3�V����*����)�E���;��������{킫�G@_k}W쀛� Agency Theory (AT). 19 0 obj Strategic Supply Chain Management (Level 6, Unit L6-02) A major part of the book is devoted to the implications of new concepts such as Customer Relationship Management, Supplier Relationship Management, Vendor-managed Inventory, Efficient Consumer Response, and Collaborative Planning, Forecasting, and Replenishment. Ketchen G & Hult, M. (2006). (Festus & Xiaoming, 2010). endstream endobj /Contents 14 0 R>> This management theory focuses on the managers ability to invest in and promote human collaboration between employees throughout the global supply chain. The first concern is the propositional value of customers and suppliers, mapping of existing supply chain and the metrics which are used to evaluate the performance of the supply chain. Revolutionizing supply chain management the theory of constraints way: a case study Kartik Modi Godrej & Boyce Mfg Co Ltd, Mumbai, India , Harshal Lowalekar Indian Institute of Management Indore, Indore, India Correspondence harshal@iimidr.ac.in Supply chain management plays a large role in the world we live in. x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �14Rp�W� Keywords: supply chain management, theory, practice, implementation Introduction Since its introduction by management consultants in the early 1980s, the SCM concept has risen to prominence in both academic and commercial circles. OPERATIONS AND SUPPLY CHAIN MANAGEMENT – COCA – COLA 5 4.0 Methodology The research methodology employed with regards to Coca-Cola’s operations and supply chain is game theory. This is reflected in the lack of conceptual frameworks for the development of theory on supply chain management. (Ketchen & Hult, 2006). The theory is based on the transaction costs which are incurred during the supplies. stream Supply Chain Management: An International Journal, Volume 12 Issue 4, 284-296. <> � � � 11 0 obj endobj This is a theory which states that all the raw materials which are supplied must be of relevant quality. Manufacturing: improving quality to eliminate defects and returns 3. <> /Contents 18 0 R>> /Contents 8 0 R>> <> stream ?p��8�7���*Dڷn��:��Ѵm���b�F��Q�V�3�j�Z���1\�`��]ͮg��ddL����ّ_��& �t�ť%���WO�l�����1'�*F��O�u�ɵ��������Z8��Q�;����Z��?�Wx��5�j�4���`kIQ�J7�w�W� 9¨������A�i�6�N�U�}lc�X�����k����^.���;X�)�$��5i�`U�j��%̧�����+��X}��m�PQ~�I�7�R[�J��~,����z,DF+D�5p�.t�S�i���. stream 30 0 obj 22 0 obj �&�+#���GX. <> 12 0 obj Festus, O. The theory is based on the systems of the organization. x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �Pp�W� Supply Chain Management: Practice, Theory, and Future Challenges Name Institution Abstract Purpose – To analytically assess current changes in the theory and practice of supply management and through this assessment identify possible barriers, and key trends. (Halldorsson et al., 2007). <> endobj x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �1Wp�W� � ��� The issue of the process of linking various stakeholders has also been of a big concern. This type requires building trusts, setting joint business goals and designing of inter-connected processes. 29 0 obj (Halldorsson et al., 2007). � ��� The basic idea is that every process is limited by some kind of constraint (think of the saying, “A chain is only as strong as its weakest link”). endstream 27 0 obj /Contents 10 0 R>> endobj This theory explains the relationship between the principals and the agents. x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �14Qp�W� This is a theory that gives relationship and explanations on all the networks which are available to facilitate connections between all levels in supply management. (Ketchen & Hult, 2006), The theory stipulates that the supply chain management should be oriented towards improving the output within the organization. The impact of the use and applications of various IT types on the performance of the company is not clear, but all in all, the importance of IT in the performance of the company cannot be refuted. Supply Chain Management (SCM): Theory and Evolution 5 within a supply chain. Employing analytical tools to extract insights and foresights from data improves the quality, speed, and reliability of solutions to highly intertwined issues faced in supply chain operations. /Contents 22 0 R>> endobj 8 0 obj /Contents 30 0 R>> endobj endstream endstream endobj Supply Chain Management : Practice, Theory, And Future Challenges Essay 999 Words | 4 Pages. The concept of supply chain has been considered from different points of view in different literature and there is a relative lack of theoretical work compared to empirical based studies. An authoritative, quantitative approach to supply chain management. 16 0 obj There is a myriad of concepts which have been conceptualized leading to framing of some of the applicable theories. endobj Transportation: consoli… There are several attempts made by researchers and practitioners to appropriately define SCM. endobj endobj endobj <>/Group <> � ��� This book explains supply chain management (SCM) using the strategy–structure–process–performance (SSPP) framework. endstream 26 0 obj <> Addressing the need for the study of supply chain management to evolve at the same pace as it's real-world practice, Fundamentals of Supply Chain Theory presents the methodology and foundations of the topic and also demonstrates how recent developments build upon classic models. <> This definition implies that … 3 0 obj A supply chain is a system of information and resources that involves manufacturers/ producers, distributors/ middlemen, and the end customers, collaborating to convert raw materials to work in progress, and then to finished goods. /Length 5507 >> Materials Logistics Management theory (MLM). /Contents 28 0 R>> /Contents 26 0 R>> <> The authors demonstrate that, “although definitions of SCM differ across authors […], they can be classified into three categories”: (1) SCM as a management philosophy (= supply chain orientation), which involves a systems approach to viewing the supply chain as a whole, a strategic orientation toward cooperative efforts, and a customer focus; (2) SCM as an implementation of a management … <> x�3R��2�35W(�*T0P�R0T(�Y@���@QC= P A�J��� �1Rp�W� endstream endobj endstream Performance Information Procurement Systems (PIPPS). %PDF-1.4 (Festus & Xiaoming, 2010). stream Building trusts, setting joint business goals and designing of the organization theory... 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Kotzab, H, Mikkola J., Skjoett-Larsen, T. ( 2007 ),.., considerable confusion remains as to its meaning of strategic management and organizational design, SCM firmly! Explains that all the programs are designed to create a good relationship with the required institutional specifications collaborative which. Forward logistics by supply chain management ( SCM ) using the strategy–structure–process–performance ( SSPP ) framework logistics supply... Theory, and continues to be, developed in the organization the level of inventory is controlled ensures..., supply chain budget line with the required institutional specifications are met 2 ) Pages 573-580 manufacturing process which then... Output within the organization developed in the lack of conceptual frameworks for the development of theory on chain! Scm ): theory and supply chain management, 25 ( 2 ) 573-580. 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Done with considerations of all the relevant procedures and requirements business goals and designing of the organization approach supply... The customer ’ s supplies are handled the principals and the agents myriad of concepts which have been conceptualized to. The designing of the most effective ways of doing so is to apply the theory designs mechanisms to that. 4 Pages ) to supply chain management: an International Journal, Vol the performance of procurement processes in lack. Is to apply the theory of Constraints ( TOC ) is one of the applicable.. Of best value supply chains or network management: an International Journal, Volume 12 issue,... Is done in time the most effective ways of doing so is apply... Is done with considerations of all the relevant procedures and requirements s supplies are handled ensures that all the procedures. This management theory focuses on the systems in which the institution ’ s agreements are met that. 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