International Journal of Physical Distribution & Logistics Management

Stanley E. Fawcett; Roger J. Calantone; Anthony Roath

2000 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600030010340851

The complexity, uncertainty, and diminished control found in global operations hinder the development of world-class competencies. For example, as a firm rationalizes manufacturing, logistical challenges increase. As a result, cost advantages achieved through production sharing are often offset by higher logistics costs. This multi-method explores the cross-functional development of quality and cost competencies in an international production sharing setting. Overall, the study found that information and planning capabilities are vital antecedants to cost and quality competencies. The impact of cost on a firm's performance is direct, while the impact of quality is indirect, through productivity enhancements.

Thomas J. Goldsby; David J. Closs

2000 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600030010372621

Activity-based costing (ABC) is a tool used by managers to more closely approximate the "true costs" of operations. The application of ABC in logistics is more commonplace today than just a few years ago, though still far short of universal. Sound tracking of operational costs is critical when pursuing the logistics objective of providing desired customer service at the lowest total cost. This research illustrates an actual application of ABC to reverse logistics activities performed across supply chain organizations. More specifically, a case study of a Michigan beverage distributor and retailer that collect empty beverage containers for recycling purposes is presented. The case study demonstrates the ABC application in detail and discusses the re-engineering of supply chain-wide processes resulting from the analysis.

David H. Taylor

2000 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600030010372630

The demand amplification effect has been well described in the literature over many years. This paper reports the results of a research project carried out in the UK automotive component supply chain, which set out to eliminate the effect in practice. The paper describes the progression from the identification of demand amplification, through a practical approach for its measurement, to the development of a methodology to overcome the negative impacts of the effect across three echelons of the supply chain. The results of a six-month trial implementation are reported.

John E. Tyworth; Ram Ganeshan

2000 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600030010340897

Namit and Chen recently created two algorithms to solve the inventory model for gamma lead-time demand without using tabulated values. However, other less complicated solutions that do not require the use of tabulated values are currently available. This note demonstrated the relative simplicity of those solutions and discussed some practical considerations.