The impact of product design on supply chain risk: a case study

Abstract

Purpose -The purpose of this paper is to address the increasingly important issue of the impact of product design on supply chain risk management in an era of global supply arrangements. The need to include product design considerations in the development of global supply chain strategies is highlighted. Design/methodology/approach -The research methodology is based on an in-depth longitudinal case study of a major UK retailer. Data collection tools included observation of supplier meetings/workshops, semi-structured interviews and access to key company documentation and archives. Findings -This paper provides a framework for design-led supply chain risk management and thus presents a case for recognising design as more than a creative function but as a platform to manage risk in supply chains.Research limitations/implications -The empirical research reported in this paper is specific to the clothing manufacturing and fashion retail industry. Though the findings will most likely apply to all industries and supply chains where design has an integral role and plays an important part in the competitiveness of the final product, there would be benefit in extending the research into other sectors. Practical implications -The increased trends to outsourcing and offshore sourcing and the elimination of trade barriers have added to the competitive pressures faced by clothing retailers, hence frameworks to manage supply chain risks are significant to the survival of companies from this sector. Originality/value -Whilst there is a growing literature in the field of supply chain risk there is less empirical evidence providing practical examples of the impact of product design on risk. Design-led risk management offers a novel approach to mitigating supply chain risk.

Plan A: Analysing Business Model Innovation for Sustainable Consumption in Mass-Market Clothes Retailing

“…Fletcher (2008) reported that, more than ten years previously, M&S had been working to reduce the environmental impact of its clothing. M&S's specific competitive advantages in clothing arise from its trusted consumer reputation for quality (Worth, 2007), long established capabilities in considering environmental impacts (Blowfield, 2013), and its textile design and sourcing expertise (Khan et al, 2008). These enable M&S to impact the whole Use Chain for the environmental sustainability of the clothing system and able to 'simultaneously exercise demand-power upwards and supply-power downwards' (p362, Huber, 2008).…”

Supply chain risk management research agenda

“…The design continuum, refers to how supply chain risk can be included at the initiation/design stage, such as the discussion of design led manufacturing (Khan et al, 2008;Manuj et al 2014) including the physical design of supply chain (i.e. store layout, plant planning, inventory management) (Christopher and Creazza, 2012).…”

Relationship Between Supply Chain Risks An Empirical Work

“…[16]). A formal and structured approach should be adopted to risk management as suggested by researchers (e.g., [16], [17]). On the other hand, Colicchia and Strozzi (2012) indicated that there is a need for a comprehensive and dynamic approach to supply chain risk management.…”