Supply chain management Flashcards
(9 cards)
Coase
1937: Transactions costs
* Should relationships be designed or negotiatied?*
Williamson
1981: Boundaries of the firm
How close should relationships be within supply chain management?
Jacobides & Billinger
2006: Designing the boundaries of the firm
- Mix between internal/external buying and selling
- Vertical architechture - scope of the firm, the more permeable the more open it is to the market. Having a permeable structure improves efficiency, monitoring, innovation
*The best structure changes over time *
Helper & Sako
1998: Exit vs. voice relationships
Dilemma between selecting the best supplier and developing the best relationship
Uzzi
1997: Advantages of embedded relationships
- Based on trust
- Information transfer
- Joint problem solving
Too much - become vulnerable to shocks / miss information
Camuffo et al.
2001: Benetton - changed from network to vertical integration, customer contact, real time response to market, expanded to sports wear
About realising what customers want
Sull & Turconi
2008: Concept of ‘Fast Fashion’ - overnight changes, product lifecycles in weeks, recognising patterns, prototyping.
But - waste of disposable clothing, lack of quality
Ferdows et al.
2004: Zara
- Centralised, with in-house production
- Spare capacity
- Small batches
- 15-day turnaround supply chain - flexible
- Communication - store manager reports each day
- Technology - IT reports sales immediately
- Should all firms be like Zara?*
- H&M is very similar - latest fashion at low prices, good research capabilities, deep knowledge, strong branding, efficient supply chain*
Rose
2007: M&S - different culture, lifetime relationships with suppliers
Tried to change (stock management, product/service/store imrpvement, advertising) and ended up in trouble, now they don’t know who they are
Now under the Morrisons guy, Mark Bolland, and clothing supply chain is becoming less cumbersome
