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Global Supply Chain Design: Exploring configurational and coordination factors
KTH, School of Industrial Engineering and Management (ITM), Industrial Economics and Management (Dept.).
2015 (English)Licentiate thesis, comprehensive summary (Other academic)
Abstract [en]

This thesis addresses the topic of global supply chain design. One major challenge concerns how to manage the tension between separation and integration pertaining to the localization of business activities. In this regard Ferdows (2008) worked to create two new production network models (rooted production network and footloose production network). Earlier studies have highlighted the choices that are involved in the network of facilities but lack in providing a comprehensive picture in terms of both configurational and coordination factors that govern the design of global supply chain. There is a need for a conceptual model where factors affecting the design process of a global supply chain can be applied. Two main research questions have been addressed in this study. First, exploring and identifying the factors affecting global supply chain design. Second, investigating the factors that influence the position on the spectrum of rooted and footloose supply chain design.      

A literature review analysis and multi-case studies have been performed for this study in order to explore the factors. The companies were selected in order to reflect upon the two types of network, i.e., rooted and footloose. The primary data were selected through interviews with the managers.

This study highlighted that there are many factors that affect configurational and coordination decision areas within a global supply chain. This study categorized the factors and the configurational/coordination decision areas with two main competitive priorities, i.e., cost and differentiation in the form of a “conceptual model.” The study also highlighted the factors in a matrix, which showed their position on the spectrum of rooted and footloose network configurations. For instance, the coordination factors that drive towards a footloose network include: high orchestration capabilities, need access to new technology and knowledge, proximity to suppliers, etc. The configurational factors that drive towards a rooted network include: economic stability, proximity to market, concerns for sustainability issues, high transportation cost, need for high proximity between key functions, need for intellectual property rights protection, etc.

Place, publisher, year, edition, pages
Stockholm: KTH Royal Institute of Technology, 2015. , viii, 54 p.
Series
TRITA-IEO, ISSN 1100-7982 ; R 2015:05
National Category
Mechanical Engineering
Research subject
Industrial Engineering and Management
Identifiers
URN: urn:nbn:se:kth:diva-166834ISBN: 978-91-7595-575-9 (print)OAI: oai:DiVA.org:kth-166834DiVA: diva2:812567
Presentation
2015-06-17, Auditorium Albert Danielsson, Sal 643, Lindstedtsvägen 30, KTH, Stockholm, 10:00 (English)
Opponent
Supervisors
Note

QC 20150528

Available from: 2015-05-28 Created: 2015-05-19 Last updated: 2015-05-28Bibliographically approved
List of papers
1. Factors affecting global supply chain design
Open this publication in new window or tab >>Factors affecting global supply chain design
2012 (English)Conference paper, Published paper (Refereed)
Abstract [en]

Due to the limited existing knowledge pertaining to the factors which govern localization of operations and capabilities in a global supply chain, the purpose of the paper is to find out which factors and how they jointly affect the design of global supply chains. The relevant literature is reviewed and a concept matrix is developed. Five companies were selected in order to illustrate the issues of global supply chain design. Among them, three companies are considered to have efficient supply chain and less complex products, while the two others are considered to have responsive supply chain and more complex products. The issues discussed with the selected companies cover global sourcing, challenges, technological advancement and issues related to management control. The study identifies about fifty factors that affect global supply chain design, and specifically how theses relate to design decisions on location of factories and production, supplier selection and development, distribution of products and organisation of interfaces along the supply chain. The discrepancies between theory and practice as well as the implications for further research are discussed.

Keyword
Global sourcing, global supply chain design, factors
National Category
Other Mechanical Engineering
Identifiers
urn:nbn:se:kth:diva-168202 (URN)
Conference
21st Annual IPSERA conference, Naples, Italy, 1-4 April 2012
Note

QC 20150528

Available from: 2015-05-28 Created: 2015-05-28 Last updated: 2015-05-28Bibliographically approved
2. Relationship between competitive priorities and global supply chain design: A conceptual framework
Open this publication in new window or tab >>Relationship between competitive priorities and global supply chain design: A conceptual framework
(English)Manuscript (preprint) (Other academic)
National Category
Other Mechanical Engineering
Identifiers
urn:nbn:se:kth:diva-168204 (URN)
Note

QS 2015

Available from: 2015-05-28 Created: 2015-05-28 Last updated: 2015-05-28Bibliographically approved
3. Factors affecting shifts in global supply chain networks: A configurational approach
Open this publication in new window or tab >>Factors affecting shifts in global supply chain networks: A configurational approach
2013 (English)In: Proceedings of the 20th International Annual EurOMA conference, Dublin, Ireland, 9-12 June 2013, 2013, 2013Conference paper, Published paper (Refereed)
Abstract [en]

In certain situations, global companies strive to take advantage of short-term changes in economic and exchange rates on the never-ending journey of competitiveness. This paper seeks to extend Ferdows’s (2008) production network models by adding the factors affecting shifts between rooted and footloose network configurations. Two companies were selected in order to illustrate the models and reveal other possible factors. The identified factors are differentiated in terms of configuration and coordination and merged in a matrix. The trends and implications on global supply chains are also discussed.

Keyword
Global supply chain design, network configuration, factors
National Category
Transport Systems and Logistics
Identifiers
urn:nbn:se:kth:diva-168205 (URN)
Conference
20th International Annual EurOMA conference, Dublin, Ireland, 9-12 June 2013
Note

QC 20150528

Available from: 2015-05-28 Created: 2015-05-28 Last updated: 2015-05-28Bibliographically approved

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Citation style
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