Harnessing Supply Chain Efficiency Through Information Linkages: Case of Multi National Companies' and Small Retail Sector in India

The Indian retail industry majorly constitutes of small retailers, comprising of approximately 12 million small shopkeepers and increased competition has made companies understand the significance of this unorganized small retail sector. Most companies feel that coordinating their downstream supply chains is critical for long term growth and sustainability. The paper examines the supply chain coordination amongst retailers, distributors, logistics providers, customers, and major Fast Moving Consumer Goods (FMCG) multi-national companies in India. The findings confirm that supply chain integration, information sharing, and supply chain design are being given proper attention by FMCG companies. They appreciate the strategic value of information sharing for establishing collaborations with the small retailers for effective performance of supply chains. Even in the fragmented, ill-defined, unorganized, and disjointed small retail sector in India, information sharing between supply chain partners is given precedence. Lack of technological infrastructure does not deter MNCs from establishing information linkages with small retailers and harnessing it for supply chain efficiency.

[1]  Xiande Zhao,et al.  Forecasting errors and the value of information sharing in a supply chain , 2002 .

[2]  B. LaLonde,et al.  Issues in Supply Chain Costing , 1996 .

[3]  Mohsen Attaran,et al.  Collaborative supply chain management: The most promising practice for building efficient and sustainable supply chains , 2007, Bus. Process. Manag. J..

[4]  Laura Horvath Collaboration: the key to value creation in supply chain management , 2001 .

[5]  R. Cagliano,et al.  E‐business strategy , 2003 .

[6]  L. Cassivi Collaboration planning in a supply chain , 2006 .

[7]  D. Sterman,et al.  Misperceptions of Feedback in a Dynamic Decision Making Experiment , 1989 .

[8]  Fu-Ren Lin,et al.  Effects of information sharing on supply chain performance in electronic commerce , 2002, IEEE Trans. Engineering Management.

[9]  Dong Li,et al.  Integrated decision modelling of supply chain efficiency , 1999 .

[10]  Bülent Sezen,et al.  Relative effects of design, integration and information sharing on supply chain performance , 2008 .

[11]  Remko I. van Hoek,et al.  The contribution of performance measurement to the expansion of third party logistics alliances in the supply chain , 2001 .

[12]  Ira Lewis,et al.  Improving the interorganizational supply chain through optimization of information flows , 2004, J. Enterp. Inf. Manag..

[13]  Jan Olhager,et al.  Linking products with supply chains: testing Fisher's model , 2007 .

[14]  John Child,et al.  Investors' Resources and Management Participation in International Joint Ventures: A Control Perspective , 2004 .

[15]  L. V. Wassenhove,et al.  Partnerships to Improve Supply Chains , 1999 .

[16]  José Antonio Domínguez Machuca,et al.  An empirical study of POM teaching in Spanish universities (I) , 2003 .

[17]  John T. Gardner,et al.  Developing and Implementing Supply Chain Partnerships , 1996 .

[18]  Eric K. Clemons,et al.  Information Technology and Industrial Cooperation: The Changing Economics of Coordination and Ownership , 1992, J. Manag. Inf. Syst..

[19]  E. Powell Robinson,et al.  Information sharing and coordination in make-to-order supply chains , 2005 .

[20]  Peter McCullen,et al.  The Impact of Agile Manufacturing on Supply Chain Dynamics , 1999 .

[21]  Shouyang Wang,et al.  Enhancing agility by timely sharing of supply information , 2006 .

[22]  Melissa J. Markley,et al.  Exploring future competitive advantage through sustainable supply chains , 2007 .

[23]  J. Holmström,et al.  The impact of increasing demand visibility on production and inventory control efficiency , 2003 .

[24]  S. Zailani,et al.  Supply chain integration and performance: US versus East Asian companies , 2005 .

[25]  S. Holmberg,et al.  Systems Thinking in Supply Chain Measurements , 2000 .

[26]  R. M. Monczka,et al.  Cooperative Buyer/Seller Relationships and a Firm's Competitive Posture , 1989 .

[27]  Stephen M. Swartz,et al.  An Empirical Comparison of Anticipatory and Response‐Based Supply Chain Strategies , 1998 .

[28]  M. Nissen Beyond electronic disintermediation through multi‐agent systems , 2001 .

[29]  Abhijit Gosavi,et al.  Global supply chain management: A reinforcement learning approach , 2002 .

[30]  Ling Zhang,et al.  The impact of information sharing strategies in multi-level supply chain , 2008, 2008 IEEE International Conference on Service Operations and Logistics, and Informatics.

[31]  Jinxing Xie,et al.  The impact of information sharing and ordering co‐ordination on supply chain performance , 2002 .

[32]  R. Westbrook,et al.  New Strategic Tools for Supply Chain Management , 1991 .

[33]  Stephen M. Disney,et al.  The impact of information enrichment on the Bullwhip effect in supply chains: A control engineering perspective , 2004, Eur. J. Oper. Res..

[34]  Christopher S. Tang,et al.  The Value of Information Sharing in a Two-Level Supply Chain , 2000 .

[35]  L. Cronbach Coefficient alpha and the internal structure of tests , 1951 .

[36]  Ik-Whan G. Kwon,et al.  Relationship between supply chain performance and degree of linkage among supplier, internal integration, and customer , 2007 .

[37]  Kevin Crowston,et al.  The interdisciplinary study of coordination , 1994, CSUR.

[38]  Prakash J. Singh,et al.  A proposed integrated framework for analysing supply chains , 2006 .

[39]  R. Cross,et al.  A practical guide to social networks. , 2005, Harvard business review.

[40]  Marshall L. Fisher,et al.  Supply Chain Inventory Management and the Value of Shared Information , 2000 .

[41]  Benita M. Beamon,et al.  Measuring supply chain performance , 1999 .

[42]  Douglas M. Lambert,et al.  Internet-enabled coordination in the supply chain , 2003 .

[43]  Lisa M. Ellram,et al.  Partnering Pitfalls and Success Factors , 1995 .

[44]  A. Gunasekaran,et al.  Performance measures and metrics in a supply chain environment , 2001 .

[45]  G. Kannabiran,et al.  Corporate turnaround through effective supply chain management: the case of a leading jewellery manufacturer in India , 2005 .

[46]  D. Macbeth,et al.  Implementing Collaboration Between Organizations: An Empirical Study Of Supply Chain Partnering , 2000 .

[47]  Richard D. Metters,et al.  Quantifying the bullwhip effect in supply chains , 1997 .

[48]  J. H. Dyer,et al.  Creating and managing a high‐performance knowledge‐sharing network: the Toyota case , 2000 .

[49]  Hoong Chuin Lau,et al.  Real-time supply chain control via multi-agent adjustable autonomy , 2008, Comput. Oper. Res..

[50]  Christopher F. Michalak,et al.  Effective use of outsourced project controls , 2006 .

[51]  Chad W. Autry,et al.  AUTOMATIC REPLENISHMENT PROGRAMS: THE IMPACT OF ORGANIZATIONAL STRUCTURE , 2001 .

[52]  Lode Li Information Sharing in a Supply Chain with Horizontal Competition , 2002, Manag. Sci..

[53]  P. Cousins,et al.  THE IMPLICATIONS OF SOCIALIZATION AND INTEGRATION IN SUPPLY CHAIN MANAGEMENT , 2006 .

[54]  Hau L. Lee,et al.  Information sharing in a supply chain , 2000, Int. J. Manuf. Technol. Manag..

[55]  Paul H. Zipkin,et al.  Inventory Control with Information About Supply Conditions , 1996 .

[56]  R. Mcafee,et al.  THE EFFECTS OF CULTURE AND HUMAN RESOURCE MANAGEMENT POLICIES ON SUPPLY CHAIN MANAGEMENT STRATEGY , 2002 .

[57]  B. Vos,et al.  Virtuous and vicious cycles on the road towards international supply chain management , 1999 .

[58]  Haydee S. Sheombar Logistics Coordination in Dyads: Some Theoretical Foundations for EDI-Induced Redesign , 1997, J. Organ. Comput. Electron. Commer..

[59]  R. Shankar,et al.  On‐line trust building in e‐enabled supply chain , 2003 .

[60]  P. J. Byrne,et al.  The impact of information sharing and forecasting in capacitated industrial supply chains: A case study , 2006 .

[61]  The consumers' predisposition towards enrolling for retail loyalty cards: the Indian retail story , 2009 .

[62]  Sheng-Lin Chang,et al.  Assessment of supplier performance based on product-development strategy by applying multi-granularity linguistic term sets ☆ , 2009 .

[63]  M. Cooper,et al.  Supply Chain Management, Partnership, and the Shipper ‐ Third Party Relationship , 1990 .

[64]  A. Gunasekaran,et al.  A framework for supply chain performance measurement , 2004 .

[65]  D. Berry,et al.  Quantifying the relative improvements of redesign strategies in a P.C. supply chain , 1996 .

[66]  Stephanie S. Barrett,et al.  Inter-Organization Information Sharing Systems , 1982, MIS Q..

[67]  I. Chen,et al.  Towards a theory of supply chain management: the constructs and measurements , 2004 .

[68]  Yossi Aviv,et al.  Gaining Benefits from Joint Forecasting and Replenishment Processes: The Case of Auto-Correlated Demand , 2001, Manuf. Serv. Oper. Manag..

[69]  C. Armistead,et al.  The Impact of Supply Chain Integration on Operating Performance , 1993 .

[70]  The evolution of retailing in India's small towns , 2010 .

[71]  Rachel Croson,et al.  IMPACT OF POS DATA SHARING ON SUPPLY CHAIN MANAGEMENT: AN EXPERIMENTAL STUDY , 2003 .

[72]  Mani Subramani,et al.  How Do Suppliers Benefit from Information Technology Use in Supply Chain Relationships? , 2004, MIS Q..

[73]  K. Lai,et al.  Relational stability and alliance performance in supply chain , 2008 .

[74]  I. Lewis,et al.  LOGISTICS AND INFORMATION TECHNOLOGY: A COORDINATION PERSPECTIVE. , 1997 .

[75]  Srinivasan Raghunathan,et al.  The value of information sharing in a multi-product supply chain with product substitution , 2008 .

[76]  James A. Narus,et al.  A Model of Distributor Firm and Manufacturer Firm Working Partnerships , 1990 .

[77]  Yanfeng Ouyang,et al.  The effect of information sharing on supply chain stability and the bullwhip effect , 2007, Eur. J. Oper. Res..

[78]  Li Yan,et al.  Information sharing in a supply chain with dynamic consumer demand pattern , 2004, 37th Annual Hawaii International Conference on System Sciences, 2004. Proceedings of the.

[79]  Jun Li Electronic Commerce: Strategies and Models for Business‐to‐Business Trading , 2003 .

[80]  Matthias Holweg,et al.  Theoretical perspectives on the coordination of supply chains , 2008 .