Planning Nervousness in Product Segmentation: Literature Review and Research Agenda

Abstract

Differentiated planning is one of the means for today's companies to accommodate the increasing needs for product variety, delivery responsiveness, and cost-efficiency. Even though, product segmentation is the foundation for such planning, planning nervousness has not yet been addressed from this perspective. This paper seeks to establish a relation between planning nervousness and segmentation by analyzing the current body of literature with the objective of identifying overlaps between the two areas. The literature characteristics are assessed and directions for future research are provided.

A Developed Model and Fuzzy Multi-Criteria Decision-Making Method to Evaluate Supply Chain Nervousness Strategies

“…There were many previous studies that dealt with nervousness in the supply chain, but they were limited to certain aspects, either in terms of the area covered or because they focused on a specific part of the supply chain. The former studies investigated the supply chain nervousness (SCN) in the MENA region [2]; analyzed the present corpus of literature to examine the relationship between segmentation and planning nervousness [5]; created a new MRP nervousness indicator that took into consider- The findings assist decision makers, practitioners, and managers in focusing on SC implementation, improvement, resilience, and sustainability. Future empirical investigations on SCN may use the framework as a valuable construct.…”

Developing a framework to support strategic supply chain segmentation decisions: a case study

“…This was into the frequency of order corrections that has great implications for production scheduling and overall efficiency. Order corrections is one of the drivers of ìplanning nervousnessî (Andersen et al 2014). Other variables such as product complexity derive from data in the list of materials for each SKU.…”

Planning Nervousness in Product Segmentation: Empirical Analysis of Decision Parameters

“…As nervousness propagates throughout planning levels, it is important to assess how product segmentation affects planning stability and provides a solid foundation for differentiated planning. In recent research, a tentative relationship between the two areas is proposed, based on the nervousness-responsiveness trade-off, where nervousness is defined as shifts in the assigned groups for specific products between two successive versions of the segmentation [2]. In contrary, responsiveness relates to immediately and continuously updating segmentations based on changes in segmentation criteria e.g.…”

“…The aim of this paper is to further investigate this relation and develop an assessable connection between three key segmentation criteria and nervousness. More specifically, historical planning data, planning frequency, and demand variability in relation to threshold values in the segmentation will be tested, as all three parameters were recognized as main influencers of nervousness in previous research [2].…”

“…The segmentation of items is the core in differentiated planning, and thus the foundation for securing stable and effective planning processes. The objective of this paper is to investigate planning nervousness in relation to item segmentation, which is treated only to a limited extent in current research [2]. Existing research on planning nervousness relate to specific planning contexts, primarily MRP and inventory systems, where nervousness is evaluated in connection to determining planning policy [3].…”