Volume 6 (2023-24)

Each volume of Journal of Supply Chain Management, Logistics & Procurement consists of four 100-page issues published both in print and online.  

The Articles published in Volume 6 include:

Volume 6 Number 1

  • Editorial
    Simon Beckett, Publisher
  • Building resilience: Getting the supply chain back on track through uncertain times
    Viswanathan Kuppuswami, Zumen

    The Oxford English Dictionary defines resilience as the ability to recover and bounce back after significantly pressing life events with long-lasting impact. The past three years have been among the most turbulent since the Great Depression of the 1900s. But in a more connected world, where socioeconomic conditions are co-dependent on a global supply chain, the way companies look at disruptions has to be different. Come what may, supply chains must be well oiled to keep the intricately connected cogs of the global machinery running. And for that organisations must be prepared to anticipate and tackle issues that come their way or seek out opportunities that make them less vulnerable to supply chain upsets. In other words, they must work on being more resilient than ever before. This paper takes a deep dive into how continuous global adversity has affected organisations and their supply chains and how they can learn from these events to be prepared yet agile for the way ahead.
    Keywords: supply chain; procurement; disruption; resilience; strategy

  • How end-to-end data collaboration optimises value creation in supply chains
    Ilse Henne, thyssenkrupp Materials Services

    Whether it is a pandemic, war or inflation, our time is characterised by mounting crises. Various events in recent years have shown just how pervasive their impact is on global supply chains. This has led to a clear shift in priorities. Whereas supply chain management was primarily a cost issue in the past, today companies are focusing strongly on resilience and supply chain security. Because it is clear: the complexity of the framework conditions for global supply chains will not disappear. In this context, digitalisation and data collaboration offer the potential to break down existing silos in supply chain management and design a networked, overarching optimum that strengthens companies’ resilience, improves supply security and increases profitability. This paper shows the opportunities that end-to-end data collaborations in supply chains offer for value creation. The author explains how the largest mill-independent materials distributor and service provider in the Western world, thyssenkrupp Materials Services, is using its expertise in materials distribution to create digital services for greater transparency in the supply chain. The focus is on developments such as the forward sensing digital platform and the potential of data use and exchange for managing the dynamic processes of supply chains such as the bullwhip effect. In addition to practical use cases, the author also shares the role customer orientation plays, the impact digital tools can have on the use of materials and the lessons they have learned from dealing with supply chain data.
    Keywords: end-to-end data collaboration; digital supply chains; supply chain networks

  • Managing forced labour obligations as part of your ESG strategy
    Julia Perri, Giuliana Canessa Walker, Chemonics and Ségolène D’herlincourt, GHSC-PSM

    The evolution of environmental, social and governance (ESG) frameworks has created challenges for corporations to embrace and remain compliant with global goals that lack an aligned and cohesive standard from one country to another. This could not be more evident than in the global effort to eradicate forced labour from supply chains by 2030, which has resulted in a plethora of regulations, some with mandatory reporting obligations and others with simple due diligence requirements. This paper outlines a strategy to develop a comprehensive alignment across an organisation’s supply chain, encompassing recommended forced labour initiatives that will meet or exceed applicable legislative mandates. The paper’s focus is specifically on the USA Uyghur Forced Labor Prevention Act (UFLPA), because it requires a unique approach that immediately affects any company shipping to the US. UFLPA authorises the US Customs and Border (CBP) agency to stop, seize and/or detain a shipment at the border and hold indefinitely until the US importer of record (IOR) can clearly and concisely demonstrate the shipment has not been made through forced labour, wholly or in part thereof. The impact of this legislation and CBP’s initiative has affected US importers and their foreign suppliers, with 3,605 shipments seized, detained or destroyed in 2022 alone. UFLPA enforcement is making more of an impression than most penalties associated with other legislation seeking the same outcome.
    Keywords: forced labour; Uyghur Forced Labor Prevention Act; ULFPA; German Due Diligence Supply Chain Act; withhold release orders; WRO; forced labour legislation

  • Integrating data-driven risk mitigation into supply chain planning and management
    Jason Gillespie

    The supply chain disruptions that occurred during the COVID-19 pandemic, and continue to a lesser degree today, exposed vulnerabilities in many supply chains and increased C-level focus on supply chain resiliency. At the same time, the supply chain risk landscape is becoming more challenging to navigate with more points of vulnerability and an increase in the frequency of disruptive events. The semiconductor shortage that crippled automotive and electronics manufacturers was the most widely publicised example, but across industries material and component shortages, port congestion, severe weather events and other disruptions have taken their toll on business continuity and profitability. Supply chain organisations are taking a multifaceted approach to these challenges, including increasing inventory levels, diversifying supplier networks and re-engineering their supply chains. This paper focuses on using analytics-based risk mitigation tools to support decision making around these strategies and enable a more comprehensive and data-driven approach to supply chain risk. These tools integrate advanced technologies such as predictive analytics, artificial intelligence (AI) and virtualisation to improve risk identification, model complex supply chains during planning and enable proactive management during disruptive events. The paper reviews the current risk landscape, outlines how risk mitigation tools have evolved to meet current needs and the capabilities available in the current generation. It describes how the tools are used in procurement to improve supplier identification and management, in planning to design risk out of the network where possible, and in transportation management to adapt in real time to minimise the impact of disruptive events on delivery and production schedules. Finally, it outlines how these tools work with existing systems and processes to embed an analytics-based approach to risk mitigation into supply chain management.
    Keywords: supply chain risk mitigation; supplier management; network design; transportation planning; transportation management

  • World Bank procurement approaches: Overcoming supply chain challenges in the Pacific
    Michael Osborne and Diomedes Berroa, World Bank

    This paper explores the nexus of supply chain management (SCM) challenges and explains both the impact of recent global trends and the long-standing susceptibilities in Pacific Island Countries (PICs). The paper also discusses how these supply chain challenges exacerbate difficulties in procuring infrastructure investment projects. Finally, the paper summarises the practical solutions the Bank is pursuing through its procurement practices as an entry point for addressing supply chain management constraints. Supply chain disruptions had global repercussions in the aftermath of the COVID-19 pandemic and still present potential risks given on-going economic and geopolitical uncertainties. These challenges have come on top of long-standing supply chain difficulties in logistically complicated remote markets such as the Pacific Islands. Businesses operating in that environment contend with high logistics costs and transport expenses, which can be further exacerbated by volatile fuel prices. For contractors undertaking transportation works, there are added risks such as volatility in commodity markets for raw materials such as steel. Mobilisation costs to the Pacific Islands are also high, especially when contractors must transport equipment, goods, and potentially labour from abroad. This is on top of the significant risk of adverse weather events, with works being highly susceptible to flooding and extreme weather due to their location near coastlines. This high risk is difficult to insure, and bidders often struggle to obtain adequate insurance for their projects. Ultimately, the combination of supply chain issues, localised risks and small contract values have contributed to price escalation and weak market response to works procurements in Pacific Island Countries (PICs). The weak market response also reflects a tightening supplier market, as construction companies focus on more attractive projects within the large pipeline of domestic infrastructure projects in countries such as Australia and New Zealand. The World Bank and borrowers (client countries) are addressing this challenge through procurement approaches intended to make projects more attractive to bidders. Outreach on the consolidated pipeline of infrastructure projects in PICs highlights the opportunity for repeat business; a sequence of projects in the same location helps offset high mobilisation costs. Similarly, the Bank informs bidders of opportunities for local subcontracting or joint ventures, which can offset mobilisation costs and facilitate access to local labour. Tenders can also make greater use of rated criteria, which place emphasis on past performance, quality and sustainability factors. Finally, greater use of phased approaches and provisional sums can help to spread price risk more effectively over long duration contracts where clear information on future costs is not available. In the context of global uncertainty, this can offset price risk for outyear items.
    Keywords: supply chain; The World Bank; Pacific Islands; procurement; remote markets; transportation works

  • Automation and information systems to innovate in urban distribution
    Bruno Coste, adameo

    This paper examines the different issues of urban logistics that have an impact on companies and in particular on their warehousing. Automation and information systems are presented as a solution in urban distribution and these different notions are explained. To illustrate this, an example of a solution provided for a French company is presented.
    Keywords: automation; supply chain; warehouse; urban logistics; information systems

  • Data and connectivity as key building blocks for effective collaboration with supply chain partners
    Christine Barnhart, Nulogy

    Data and connectivity are the key building blocks that enable supply chain maturity for manufacturers and their partners in the supply chain ecosystem. Multi-enterprise supply chain business networks deliver data and connectivity with features that obtain real-time data, create visibility, ensure truth, enable collaboration and increase intelligence. It is critical to find the right partners when making a supply chain intelligence investment. This paper describes how to build supply chain intelligence and supply ecosystem orchestration to achieve long-term, sustainable value.
    Keywords: global supply chains; supply chain maturity; supply chain ecosystem; digitally enabled supply chain solutions; intelligence-driven solutions; multi-enterprise supply chain business networks (MESCBN)

  • Managing health supply chain risk through strategic outsourcing in low- and middle-income countries
    Julia Perri, Giuliana Canessa Walker and Ségolène D’Herlincourt

    This paper explores how strategic outsourcing of public health supply chain functions to private sector companies in low- and middle-income countries (LMICs) is a catalyst to reduce operational risks and achieve agility and efficiency. Private sector engagement in public health supply chains increases market competitivity, improves efficiency and allows for cost reduction, while enabling ministries of health to focus on their core competencies and become stewards of their supply chain operations. The paper highlights best practices on strategic outsourcing for contracting entities and third-party logistics (3PL) to minimise risk. Strategic outsourcing has become increasingly common across LMIC contexts as emerging economies take advantage of private sector growth; however, outsourcing does not automatically mean increased efficiency or transparency, unless it is done properly. Recommended best practices include ensuring transparent and fair competition; understanding market capabilities and geographical constraints, as well as available infrastructure; setting up key performance indicators; improving service agility; and creating the best distribution network for higher efficiency. The paper also presents three case studies, including lessons learned and results from strategic outsourcing in Zambia, Angola and the Democratic Republic of the Congo.
    Keywords: private sector engagement; strategic outsourcing; risk management; supply chain for health; in-country logistics for health