Abstract
Background:
Narayanan & Raman (2004) present what they call an approach to treat
incentive misalignments. It consists of three steps: Accept the premise,
Pinpoint the cause, and Align or redesign. The first step, accept the premise,
is simply acknowledging that there is such a thing as incentive
misalignments. The second step, pinpoint the cause, is the process of
identifying and describing what misalignment that a supply chain suffers
from. The third step, align or redesign, is the process of aligning the
misalignments in a supply chain, which can be accomplished by different
solutions. However, their approach needs further research in order to
become a practical tool for describing and analyzing misalignments in the
supply chain.
Research question:
How can misalignments in the supply chain, which relate to changes in supply
chain structures, processes, and management components, be described and
analyzed?
Purpose:
Create a framework for describing and analyzing misalignments in the supply
chain, which relate to changes in supply chain structures, processes, and
management components.
Theory:
This research is based on two streams of theory: supply chain management
and supply chain incentive alignment. As a starting point, several different
supply chain management frameworks were reviewed in order to find a
suitable approach for this research. The framework that was found most
suitable was the Lambert et al. (1998) framework, which divides supply
chain management into three elements: structures, processes, and
IV
management components. This framework was further developed in order
to fit this research.
Supply chain incentive alignment is a fairly small and new stream of
research covering incentive alignment, agency theory, and contracts and
relational governance. One of the most influential publications within this
field is Narayanan & Raman (2004), who argue that a supply chain works
well if its companies' incentives are aligned. Based on their perspective, a
framework for misalignments was developed.
Methodology:
Based on the systems approach, a single-case study with embedded design
including several embedded cases from the same supply chain was
deployed. This was done according to the abductive research approach,
which favourable when extending existing and developing new theory. In
order to describe the case study, data was collected through observations
and different types of interviews. This data was later analyzed through
pattern matching so that the purpose of the research could be reached.
Conclusions:
In conclusion, an approach to describe and analyze misalignments in the
supply chain has been developed. However, this approach need further
empirical testing in order to be fully validated. The approach consists of
three steps: 1. Identify changes in the supply chain, 2. Identify
misalignments, and 3. Identify symptoms. For every step respectively, a
specific framework was developed in order to facilitate the identification
processes.
Narayanan & Raman (2004) present what they call an approach to treat
incentive misalignments. It consists of three steps: Accept the premise,
Pinpoint the cause, and Align or redesign. The first step, accept the premise,
is simply acknowledging that there is such a thing as incentive
misalignments. The second step, pinpoint the cause, is the process of
identifying and describing what misalignment that a supply chain suffers
from. The third step, align or redesign, is the process of aligning the
misalignments in a supply chain, which can be accomplished by different
solutions. However, their approach needs further research in order to
become a practical tool for describing and analyzing misalignments in the
supply chain.
Research question:
How can misalignments in the supply chain, which relate to changes in supply
chain structures, processes, and management components, be described and
analyzed?
Purpose:
Create a framework for describing and analyzing misalignments in the supply
chain, which relate to changes in supply chain structures, processes, and
management components.
Theory:
This research is based on two streams of theory: supply chain management
and supply chain incentive alignment. As a starting point, several different
supply chain management frameworks were reviewed in order to find a
suitable approach for this research. The framework that was found most
suitable was the Lambert et al. (1998) framework, which divides supply
chain management into three elements: structures, processes, and
IV
management components. This framework was further developed in order
to fit this research.
Supply chain incentive alignment is a fairly small and new stream of
research covering incentive alignment, agency theory, and contracts and
relational governance. One of the most influential publications within this
field is Narayanan & Raman (2004), who argue that a supply chain works
well if its companies' incentives are aligned. Based on their perspective, a
framework for misalignments was developed.
Methodology:
Based on the systems approach, a single-case study with embedded design
including several embedded cases from the same supply chain was
deployed. This was done according to the abductive research approach,
which favourable when extending existing and developing new theory. In
order to describe the case study, data was collected through observations
and different types of interviews. This data was later analyzed through
pattern matching so that the purpose of the research could be reached.
Conclusions:
In conclusion, an approach to describe and analyze misalignments in the
supply chain has been developed. However, this approach need further
empirical testing in order to be fully validated. The approach consists of
three steps: 1. Identify changes in the supply chain, 2. Identify
misalignments, and 3. Identify symptoms. For every step respectively, a
specific framework was developed in order to facilitate the identification
processes.
Original language | English |
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Qualification | Licentiate |
Awarding Institution |
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Supervisors/Advisors |
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Publisher | |
ISBN (Print) | 978-91-976974-3-9 |
Publication status | Published - 2008 |
Subject classification (UKÄ)
- Transport Systems and Logistics
Free keywords
- Incentive alignment
- Risk and reward sharing
- Agency theory
- Cash supply chain
- Supply chain management