Sustainability in supply chain management: suggestions for the auto industry

Purpose – The auto industry in the USA is facing tremendous challenges – plunging demands due to economic downturn, the gloomy trend in technology development, and fierce global competition. This article aims to examine the challenges of supply chain management and to propose a triple‐C (cease‐control‐combine) remedy for the North American auto industry's supply chain management.Design/methodology/approach – The authors applied management theories, collected information from managers at different levels of the auto industry's supply chain management, and developed a novel theoretical model of sustainability in supply chain management for the auto industry.Findings – It is argued that outsourcing to low cost countries – the current supply chain strategy – is not only unsustainable but also irresponsible for the auto industry and society. A triple‐C (cease‐control‐combine) remedy is proposed for the auto industry's supply chain management.Practical implications – The proposed triple‐C strategy will save the...

[1]  Teresa M. Amabile,et al.  Changes in the Work Environment for Creativity During Downsizing , 1999 .

[2]  Panagiotis Kouvelis,et al.  Market-Based Supply Chain Coordination by Matching Suppliers' Cost Structures with Buyers' Order Profiles , 2008, Manag. Sci..

[3]  G. Micheli.  A decision‐maker‐centred supplier selection approach for critical supplies , 2008 .

[4]  Oliver Schnusenberg,et al.  Oil prices, SUVs, and Iraq: An investigation of automobile manufacturer oil price sensitivity , 2009 .

[5]  Mahour Mellat-Parast,et al.  A framework for quality management practices in strategic alliances , 2007 .

[6]  C. Carter,et al.  Social responsibility and supply chain relationships , 2002 .

[7]  Jim Conley,et al.  Car Troubles: Critical Studies of Automobility and Auto-Mobility , 2009 .

[8]  Graeme Auld,et al.  The New Corporate Social Responsibility , 2008 .

[9]  J. Pfeffer,et al.  Six dangerous myths about pay. , 1998, Harvard business review.

[10]  S. Roberts.  Supply Chain Specific? Understanding the Patchy Success of Ethical Sourcing Initiatives , 2003 .

[11]  T. L. Tang,et al.  Perceptions of Japanese organizational culture‐Employees in non‐unionized Japanese‐owned and unionized US‐owned automobile plants , 2000 .

[12]  John B. Kidd,et al.  Learning and trust in supply chain management , 2003 .

[13]  R. Batson.  A survey of best practices in automotive supplier development , 2008 .

[14]  Göran Svensson,et al.  Supply Chain Management Ethics : Conceptual Framework and Illustration , 2008 .

[15]  Donald N. Sull,et al.  HOW TO THRIVE IN TURBULENT MARKETS , 2009 .

[16]  Stephan M. Wagner,et al.  Involving suppliers in product development: Insights from R&D directors and project managers , 2006 .

[17]  Thuhang Tran,et al.  Using Frontier Portfolios to Improve Make‐to‐Order Operations , 2009 .

[18]  Thomas Li-Ping Tang,et al.  Learning from Japanese Transplants and American Corporations , 1995 .

[19]  Hau L. Lee.  The triple-A supply chain. , 2004, Harvard business review.

[20]  Ajoy Kumar Dey,et al.  An analytical approach for selection of a logistics provider , 2010 .

[21]  Ben Clegg,et al.  The importance of collaborative frontloading in automotive supply networks , 2008 .

[22]  Rajesh K. Pillania,et al.  Strategic sourcing for supply chain agility and firms' performance , 2008 .

[23]  G. Svensson,et al.  The dynamics of business ethics: a function of time and culture – cases and models , 2003 .

[24]  Karen E. Mishra,et al.  Downsizing the Company Without Downsizing Morale , 2009 .

[25]  R. Handfield,et al.  A Model of Supplier Integration into New Product Development , 2003 .

[26]  Hau L. Lee,et al.  Information distortion in a supply chain: the bullwhip effect , 1997 .

[27]  S. Hunt,et al.  The Commitment-Trust Theory of Relationship Marketing , 1994 .

[28]  Thuhang Tran,et al.  Selecting sourcing partners for a make-to-order supply chain , 2010 .

[29]  Andre O. Laplume,et al.  Influence of intellectual property, foreign investment, and technological adoption on technology entrepreneurship , 2013 .

[30]  M. Primo,et al.  An exploratory study of the effects of supplier relationships on new product development outcomes , 2002 .

[31]  From Increasing Gas Efficiency to Enhancing Creativity: It Pays to Go Green , 2010 .

[32]  T. L. Tang,et al.  An Examination of Organizational Trust Antecedents , 1998 .

[33]  Bokyoung Kang,et al.  A theoretical framework for strategy development to introduce sustainable supply chain management , 2012 .

[34]  Thomas Li-Ping Tang,et al.  Learning from Japanese companies and Japanese transplants in the United States , 1996 .

[35]  P. McCann,et al.  Supply chains and locational adjustment in the global automotive industry , 2008 .

[36]  William J. Stevenson,et al.  Operations Management , 2011 .

[37]  Benita M Beamon,et al.  Environmental and sustainability ethics in supply chain management , 2005, Science and engineering ethics.