Improving the interorganizational supply chain through optimization of information flows

Abstract

Coordination is the management of dependencies between activities. Given that supply chains represent the functional integration of many interdependent activities associated with the flow of goods, coordination theory offers a framework for understanding and designing supply chains. Supply chains are separated into two distinct substructures: physical (dealing with the flow and storage of goods) and information (dealing with information associated with those goods). Optimization that alters the storage and movement of information and incorporates the impact of information technology leads to a distinct set of node connections and configurations for each substructure. Our analysis uses transaction cost economics to contrast the differences between structures infused with information technology and traditional supply chains.

A review of coordination studies in the context of supply chain dynamics

“…In this connection, coordination, which is the management of dependencies between activities (Malone and Crowston, 1994), among supply chain members plays an imperative role in SCM. It is a means to optimise supply chain activities due to improvements in information flow with the recent advance in information technology in the last decade (Yu et al, 2001;Boyacı and Gallego, 2002;Lewis and Talalayevsky, 2004;Sirias and Mehra, 2005;Li and Liu, 2006). Poor coordination, however, could be easily found in the industry (e.g.…”

Exploiting Mobile Technology for Achieving Supply Chain Integration in Indian Retail

“…Many of the earlier systems were focused on managing the operational activities rather than helping in demand planning (Sherer, 2005). Technology has Downloaded by [Queensland University of Technology] at 18:25 13 October 2014 redefined the roles and functions performed by the retailers and intermediaries by facilitating new types of transactions and relationships (Lewis & Talalayevsky, 2004). Technology use across the supply chain would alter the role of intermediaries (Evans & Wurster, 1997) fostering closer coordination (Chopra & Meindl, 2001).…”

“…Technology facilitates easy access to information and enables strategic planning. It reduces operating costs and helps in interorganizational collaboration (Dong, Xu, & Zhu, 2009;Lewis & Talalayevsky, 2004;Rai & Tang, 2010;Sanders, 2007;Sherer, 2005;Spiegel, 2001). Earlier research on adoption of technology in Indian supply chains have focused on integration, information sharing, and strategic decision making (Babbar et al, 2008;Jharkharia & Shanker, 2004;Khan et al, 2009;Rahman, 2004;Saad & Patel, 2006;Thakkar et al, 2008).…”

Supply chain visibility and integration - The current directions in organisations: A comprehensive literature review and research questions.

“…According to Gundlach (2007), Bowersox, Closs and Cooper (2007), Simichi-levi et.al (2000), Wisner and Tan (2000), and Speier, Mollenkopf and Stank (2008), SCM has increased in prominence as a field of inquiry, and practice with evolving sophistication. The terminology "supply chain management" (SCM), Lewis and Talalayevsky (2004), is used frequently in today's materials management environment management SC's are separated into two distinct substructures: physical flow and storage of goods, and information associated with those goods, thus raising the question of SCV.…”