The financial impacts of environmental violations on supply chains: Evidence from an emerging market
تأثیرات مالی تخلفات زیست محیطی بر زنجیره های تأمین: شواهدی از یک بازار در حال ظهور-2021
Based on 100 environmental violations occurring in China in 2018 and matched supply chain relationship data obtained from Bloomberg, our research shows that environmental violations have negative financial impacts on not only the violators but also their supply chain partners including customers and suppliers. Nevertheless, environmental transparency and supply chain diversity help these supply chain partners mitigate the negative effects arising from the environmental violations. While the mitigating role of environmental transparency is more pronounced for customers than suppliers, supply chain diversity has a similar mitigating effect for both customers and suppliers.
Keywords: Environmental violation | Emerging market | Environmental transparency | Supply chain diversity | Market value
Supply- and cyber-related disruptions in cloud supply chain firms: Determining the best recovery speeds
اختلالات مربوط به تأمین و سایبر در شرکت های زنجیره تامین ابر: تعیین بهترین سرعت بازیابی-2021
This study investigated the speeds (i.e., radical, incremental, relaxed benchmarking, rigorous benchmarking, matching, and market-driven) of firms’ recovery from supply- and cyber-related disruptions in cloud supply chains (SCs). Supply-related disruptions downgrade the firm’s operational capabilities (e.g., production capacity and labor supply), and cyber-related disruptions reduce its intangible capabilities (e.g., reputation, brand image, and public trust). This study introduced a cellular automata (CA) simulation model to determine the best recovery speeds following the loss of operational and intangible capabilities. Furthermore, to investigate the impact of cloud adoption on an SC firm’s best speeds of recovery from supply-related disruptions, we compared firms that had adopted the cloud with those using the on-site data centers.
Keywords: Supply chain | Cloud computing | Disruption | Recovery | Cellular automata simulation
Game-theoretic analysis of partner selection strategies for market entry in global supply chains
تحلیل تئوری بازی از استراتژی های انتخاب شریک برای ورود به بازار در زنجیره های عرضه جهانی-2021
In this study, we provide a game-theoretic analysis to investigate an entrant firm’s partner selection for offering its new product to a market, particularly to a foreign market. The entrant has either a brand advantage or technological superiority over incumbent firms. We analyze the strategic interaction between one entrant and three incumbent firms that include one major firm (or a firm offering a popular product) and two local firms (or firms offering niche products). We explore the impact of such asymmetric demand structures on the entrant’s partner selection. Our equilibrium analysis indicates that forming a partnership with a firm that currently has the largest market share because of its superior product is not necessarily optimal for the entrant. When the value offered by the entrant is significantly high, it is more beneficial for the entrant to ally with the major firm, even if that firm currently has a smaller market share than the local firms because of its inferior product. We also demonstrate that when the entrant can add technological superiority to the partner’s product, the entrant’s optimal partner selection may change non-monotonically in the degree of this superiority. Furthermore, in response to the entrant’s optimal partner selection, the relative profitability between incumbent firms can reverse discontinuously and drastically according to the degree of the value offered by the entrant.
Keywords: Entry | Licensing | Global supply chain | Game theory | Marketing-operations interface
A disease transmission inspired closed-loop supply chain dynamic model for product collection
یک مدل پویا از زنجیره تامین حلقه بسته از طریق انتقال بیماری برای جمع آوری محصول-2021
This paper studies the reverse channel in dynamic closed-loop supply chain (CLSC) system which consists of manufacturers and retailers. Based on the dynamic CLSC model, we research the decisions and profits of CLSC members in different reverse channels that consider the quantitative characteristic of products. The results show that the optimal collection decisions for the given quantitative characteristic of products are diverse in different development levels of CLSC. Furthermore, we propose a transfer payment coordination mechanism based on Nash bargaining model to address the objective inconsistency between CLSC and its members. Moreover, we carry out the case study using the statistical data of Chinese new energy vehicles (NEVs). We show the robustness of results through the sensitivity analysis and offer some suggestions for the government and NEV managers in China.
Keywords: Supply chain management | Closed-loop supply chain | Dynamic model | Reverse channel | Coordination mechanism
The optimal recovery-fund based strategy for uncertain supply chain disruptions: A risk-averse two-stage stochastic programming approach
استراتژی مبتنی بر صندوق بازیابی بهینه برای اختلالات نامشخص زنجیره تأمین: رویکرد برنامه ریزی تصادفی دو مرحله ای ریسک پذیر-2021
For a supply chain subject to uncertain production disruptions, the joint optimization of invest- ment intervention on recovery speed and duration of disrupted production capacity and location and inventory management has not been well studied. In this paper, a novel recovery strategy is introduced and studied, which uses investment to adjust the recovery speed and duration of production capacity, and two recovery behaviors responding to different types of disruptions are modeled. Considering uncertain disruption scenarios and their ripple effects over the supply chain, a risk-averse two-stage stochastic programming model (RTSPM) is established to study the integrated supply chain management of selection of distribution centers, multi-period inventory, transportation flows, and recovery-fund based mitigation policy. The RTSPM incorporates the risk preference of managers in decision making. We propose a trust-region-based decomposition method to solve the RTSPM and demonstrate its efficiency by benchmarking on state-of-the-art commercial solvers. Through numerical examples, we deeply analyze the effectiveness of RTSPM and the relations of optimal recovery investment decisions with the uncertain disruption factors. Finally, we provide implications and suggestions induced from the models and findings to aid the decisions on renting of distribution centers and the emergency investment and operational decisions when suffering the disruptions.
Keywords: Supply chain disruption management | Recovery-fund based mitigation strategy | Location-inventory-transportation model | Risk-averse two-stage stochastic programming | Trust-region-based decomposition method
Comparison between centralized and decentralized supply chains of autologous chimeric antigen receptor T-cell therapies: a UK case study based on discrete event simulation
مقایسه بین زنجیره های تأمین متمرکز و غیرمتمرکز درمان سلول های T گیرنده آنتی ژن کایمریک اتولوگ: یک مطالعه موردی در انگلیس بر اساس شبیه سازی رویداد گسسته-2021
Background aims: Decentralized, or distributed, manufacturing that takes place close to the point of care has been a manufacturing paradigm of heightened interest within the cell therapy domain because of the product’s being living cell material as well as the need for a highly monitored and temperature-controlled supply chain that has the potential to beneﬁt from close proximity between manufacturing and application. Methods: To compare the operational feasibility and cost implications of manufacturing autologous chimeric anti- gen receptor T (CAR T)-cell products between centralized and decentralized schemes, a discrete event simulation model was built using ExtendSIM 9 for simulating the patient-to-patient supply chain, from the collection of patient cells to the ﬁnal administration of CAR T therapy in hospitals. Simulations were carried out for hypothetical systems in the UK using three demand levels—low (100 patients per annum), anticipated (200 patients per annum) and high (500 patients per annum)—to assess resource allocation, cost per treatment and system resilience to demand changes and to quantify the risks of mix-ups within the supply chain for the delivery of CAR T treatments. Results: The simulation results show that although centralized manufacturing offers better economies of scale, individual facilities in a decentralized system can spread facility costs across a greater number of treatments and better utilize resources at high demand levels (annual demand of 500 patients), allowing for an overall more comparable cost per treatment. In general, raw material and consumable costs have been shown to be one of the greatest cost drivers, and genetic modiﬁcation-associated costs have been shown to account for over one third of raw material and consumable costs. Turnaround time per treatment for the decentralized scheme is shown to be consistently lower than its centralized counterpart, as there is no need for product freeze-thaw, packaging and transportation, although the time savings is shown to be insigniﬁcant in the UK case study because of its rather compact geographical setting with well-established transportation networks. In both schemes, sterility testing lies on the critical path for treatment delivery and is shown to be critical for treatment turnaround time reduction. Conclusions: Considering both cost and treatment turnaround time, point-of-care manufacturing within the UK does not show great advantages over centralized manufacturing. However, further simulations using this model can be used to understand the feasibility of decentralized manufacturing in a larger geographical setting.© 2020 International Society for Cell & Gene Therapy. Published by Elsevier Inc. All rights reserved.
Key Words: CAR T | centralization | decentralization | discrete event simulation | manufacturing | supply chain
Inventory management in blood supply chain considering fuzzy supply/demand uncertainties and lateral transshipment
مدیریت موجودی در زنجیره تأمین خون با توجه به عدم قطعیت عرضه / تقاضای فازی و حمل و نقل جانبی-2021
Supply and demand uncertainties combined with very short lifetime of blood platelets has led to significant wastage of the total blood collected from the donors. Conversely, great shortage of platelets may be obtained due to the limited number of donors and emergency demands. Therefore, it is of utmost importance to develop appropriate inventory management model to simultaneously minimize both shortage and wastage along the blood supply chain. To achieve this purpose, this paper presents an Inventory Management model for Age- differentiated platelets under supply/demand Uncertainties (IMAU) for Blood Supply Chains with Lateral Transshipment (BSCLT), resulting a new model named IMAU-BSCLT. The proposed model is solved using whale optimization algorithm considering the costs of ordering from blood centers and lateral transshipment, transportation, inventory holding, shortage, and wastage. In order to validate the proposed methodology, a case study of blood supply chain is used to show the usability of the proposed model and claim its benefits over existing models. Simulation results demonstrate that lateral transshipment between different demand nodes has a major impact on load balancing leads to simultaneously reduce both shortage and wastage costs. According to the obtained results, shortage rate (total shortage per total demands) and wastage rate (total wastage per total supply) of the proposed method are 3.4 % and 4.8 %, respectively.
Keywords: Blood supply chain | Inventory management | Blood platelet | Lateral transshipment | Fuzzy uncertainty
Purchasings contribution to supply chain emission reduction
سهم خرید در کاهش انتشار زنجیره تامین-2021
Does environmental purchasing and supplier management (EPSM) help to reduce greenhouse gas (GHG) emissions in the supply chain and, thereby, mitigate climate change? And, if so, under which conditions? Taking these two questions as a starting point, we hypothesize that heightened environmental protection efforts targeting the upstream value chain should lead to a reduction of greenhouse gas emissions in the buying companies’ supply chain. We continue to delineate three contingency factors that might affect the relationship between EPSM and supply chain GHG emissions: The power of the buying firm over supply chain partners, prior experience in EPSM, and materiality of environmental supply chain management in a certain industry. We collect longitudinal data from 260 companies and analyze them using hybrid panel data analysis. We find that the increase of EPSM leads to a significant reduction of the GHG emission intensity of buying firms’ supply chains and that this reduction is stronger for companies operating in industries where emission management is more material.
Keywords: Sustainable supply chain management | Environmental purchasing | Environmental performance | Emission reduction | Climate change mitigation | Hybrid modelling
Blurry vision: Supply chain visibility for personal protective equipment during COVID-19
تاری دید: دید زنجیره تامین برای تجهیزات محافظتی شخصی در طول COVID-19-2021
We explore supply chain visibility challenges in the context of our contemporary COVID pandemic, and offer insights, models and potential solutions to remove barriers to clear supply chain visibility. In this paper, we describe how visibility and velocity are the two key attributes that are required to enabling critical decision making accuracy which will in turn increase the ability of local, state and federal healthcare and public health decision-makers to response to shifts in the U.S. system. We describe the problems in current systems due to the lack of visibility of material in global supply chains, which in turn leads to problems such as the lack of PPE that occurred during the COVID pandemic. We conclude with recommendations on how to render inventory more visible for the future.
Keywords: COVID | Public purchasing | Inventory | Visibility | Global sourcing
Gaining from disorder: Making the case for antifragility in purchasing and supply chain management
به دست آوردن اختلال: ایجاد شرایط ضد انعطاف پذیری در خرید و مدیریت زنجیره تامین-2021
The purchasing and supply chain management (P&SCM) discipline assumes that supply chains are fragile systems, hence taking a “negative” approach toward disorder. Building on Taleb’s concept of antifragility—the ability to gain from disorder rather than avoiding it—, we challenge this traditional assumption. The COVID-19 pandemic has revealed that some companies were indeed able to gain from disorder, whereas some of those that focused too much on robustness and resilience lost ground. Building robust and resilient supply chains may no longer be enough to thrive in today’s highly volatile business world. This article sparks a new debate by introducing antifragility to the P&SCM literature and provides new directions for future research.
Keywords: Antifragility | Antifragile supply chain | Supply chain disruption | Resilient supply chain | Purchasing | Robust supply chain | Supply chain management | COVID-19