Decision frontiers in supply chain networks.

Pearson, Mike (2008) Decision frontiers in supply chain networks. In: Supply Chain Management and Knowledge Management: Integrating critical perspectives in theory and practice. Palgrave MacMillan, pp. 137-150. ISBN 978-0230573437

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We outline a new approach to the analysis of supply chains which uncovers a duality between networks as knowledge structures and networks as decision-making structures. The work incorporates a network transformation which introduces, under fairly general conditions, uncorrelated phase planes, which enable the investigation of changes in variability and network design both at a ‘global’ and ‘local’ decision-making level. The ‘mix’ chart (local phase plane) identifies the way in which two decision-makers coordinate their efforts to achieve capable solutions in environments experiencing changing variability and increasing uncertainty. The global chart (global phase plane) identifies changes in variability to the volume of trade as new markets are investigated. Typically endogenous variables (such as costs and contractual agreements between manufacturer and retailer) are associated with the local phase plane, while exogenous variables (such as pricing and promotion strategies) would be associated with the global phase plane, which maps volume of sales. Each phase plane has an efficient frontier derived from the solution of the stochastic differential equations and constraints imposed by strategic and contractual agreements.

Item Type: Book Section
ISBN: 978-0230573437
Uncontrolled Keywords: Decision frontier; supply chain; networks; lean; agile decision making;
University Divisions/Research Centres: Edinburgh Napier University, Employment Research Institute
Dewey Decimal Subjects: 600 Technology > 650 Management & public relations > 658 General management
Library of Congress Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28 Management. Industrial Management
Item ID: 4366
Depositing User: Mrs Lyn Gibson
Date Deposited: 27 Apr 2011 10:21
Last Modified: 15 Jul 2015 14:10

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