REENGINEERING CHANNEL REORDERING PROCESSES TO IMPROVE TOTAL SUPPLY‐CHAIN PERFORMANCE
Autor: | Theodore H.K. Clark, Janice H. Hammond |
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Rok vydání: | 1997 |
Předmět: |
Supply chain management
Process management Computer science Process (engineering) Management of Technology and Innovation Stockout Supply chain Business process reengineering Management Science and Operations Research Empirical evidence Industrial and Manufacturing Engineering Communication channel Electronic data interchange |
Zdroj: | Production and Operations Management. 6:248-265 |
ISSN: | 1937-5956 1059-1478 |
DOI: | 10.1111/j.1937-5956.1997.tb00429.x |
Popis: | This paper discusses the relationship between business process reengineering and channel performance for firms implementing electronic data interchange (EDI) linkages within the U.S. grocery industry. Both quantitative and qualitative data sources are combined to test the hypothesis that channel transformation involving adoption of EDI and redesign of replenishment processes enables performance improvements more than an order of magnitude greater than implementation of EDI alone. This new process, enabled by EDI, provides retailers with 50- 100% higher inventory turns for products on continuous replenishment processes (CRP) relative to retailer performance using traditional ordering processes. Firms adopting EDI without using CRP to reengineer the ordering processes have failed to realize any statistically significant improvements in either inventory levels or warehouse stockouts. This research provides evidence to support the claims of process reengineering that are common in the popular business press, but for which statistically significant empirical evidence is minimal. The findings of the research also demonstrate the potential improvements that firms can realize through extending the business process reengineering concept to include the firms' entire supply chain. |
Databáze: | OpenAIRE |
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