International Journal of Physical Distribution & Logistics Management

Tobin E. Porterfield; Joseph P. Bailey; Philip T. Evers

2010 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600031011062182

Purpose – The purpose of this study is to evaluate the performance effects of information exchange by observing actual information exchange between industrial trading partners. Information exchange facilitates coordination through sharing both order cycle and enhanced information. Increased exchange may lead to closer relationships with the expectation of improved performance. This study moves away from perceived measures of information exchange and firm performance by integrating two datasets: one capturing historical firm performance and the second capturing electronic information exchange data. Design/methodology/approach – Quantitative data of electronic information exchange between firms are observed and compared with operational performance results. Longitudinal regression analyses are conducted using data gathered from an electronically‐mediated industrial exchange network. This unique dataset provides distinct insights into the application and performance outcomes related to information exchange. Findings – Results show that information characteristics vary by firm and the position of the firm within the supply chain. Manufacturers benefit from exchanging more basic information and from stability in their trading partner portfolio. Retailers enhance performance when there is more turnover in their trading partner portfolio and when information is exchanged reciprocally with suppliers. Practical implications – Results from this study provide insight into the potential performance outcomes of sharing information within industrial relationships. The study demonstrates how greater information exchange changes the nature of supply chain relationships. Closer supply chain relationships may improve firm performance, but the extent of this varies based on the firm's position within its supply chain. Consequently, firms should consider the strategic implications of the way in which they exchange information with their trading partners. Originality/value – This study contributes to the literature by identifying and testing specific information characteristics using actual observed exchanges of information between firms. The data set supports the measurement of information exchange between multiple firms and trading partners which allows for testing at a level of granularity beyond existing studies.

Murali Sambasivan; Ching Nget Yen

2010 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600031011062191

Purpose – The basic purpose of this paper is to establish and test the relationship between organizational culture and strategic alliances in a manufacturing supply chain that consists of alliance companies (manufacturers) and alliance partners (suppliers and customers). The relationships have been analyzed from the manufacturer's perspective. Design/methodology/approach – This paper specifically addresses: the relationship between the culture type of alliance company and the degree of integration (trust, communication, and commitment) between the alliance companies and partners; the relationship between the culture type of alliance company and value creation in the alliance company; and the relationship between the degree of integration and value creation in the alliance company. A questionnaire was constructed and distributed to 109 companies that had some form strategic alliance with their suppliers and/or customers. The data collected were tested using analysis of variance and correlation analysis. Findings – The culture type of the alliance company has a significant effect on the degree of integration and value creation. The degree of integration has a significant relationship with value creation. Specifically, the following have been found: ad hoc racy culture favors a higher level of communication and commitment with the suppliers; hierarchy culture favors a higher level of commitment with suppliers and helps build a higher level of trust with customers and suppliers; and clan and ad hoc racy cultures help in achieving a higher degree of value creation. Originality/value – Identifying the link between the culture and strategic alliances in a supply chain can help decision makers choose the right kind of alliance partners and decide appropriate strategies that need to be adopted to form and maintain alliances.

Rodney W. Thomas; Terry L. Esper

2010 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600031011062209

Purpose – The purpose of this paper is to explore the phenomenon of asymmetric supply chain relationships and investigate how firms manage these relationships. Design/methodology/approach – Using grounded theory methodology, qualitative data was accumulated from experienced supply chain managers. Depth interviews were utilized in order to gain a deeper understanding of asymmetric supply chain relationships. Findings – Prior research has conceptualized asymmetry as a lack of dyadic balance in a core relationship attribute and has focused on causal effects of asymmetry in relationships. However, this study finds asymmetry is a more complex issue and that there are three distinguishable types of relationship asymmetry. Research limitations/implications – The types of asymmetry that emerged in this exploratory research potentially have different impacts on supply chain relationships. Therefore, the strong negative connotation associated with existing asymmetry literature may well be because the type of asymmetry that primarily triggers negative relationship impacts were being investigated. However, this paper suggests that some types of asymmetry have positive relational outcomes. Practical implications – This exploratory paper provides managers with additional insight into a common type of supply chain relationship and suggests that asymmetric relationships should be segmented in order to more effectively manage transaction costs. Originality/value – The notion that asymmetry is a simple, unidimensional construct is now called into question. According to the findings of this paper, asymmetry is a complex issue and managers employ different strategies to address the potential supply chain relationship performance implications with each type of asymmetry.

G. Don Taylor; Gary L. Whicker

2010 International Journal of Physical Distribution & Logistics Management

doi: 10.1108/09600031011062218

Purpose – The purpose of this paper is to examine whether or not driver job satisfaction, carrier performance, and customer service can be improved as a result of the use of uniquely constructed, extended regional dispatching systems. Design/methodology/approach – Simulation is used to examine regional dispatching systems that are extended in scope of dispatch by using integrated freight lanes. The results of extended regional dispatching systems are compared to traditional dispatching methods and previous experimentation with stand‐alone regional and lane dispatching. Findings – It is shown that a carrier's adoption of extended regional dispatching can be beneficial to both trucking companies and drivers, while remaining relatively neutral to customers. Additionally, it is shown that this improvement can be obtained without significant degradation of the driving jobs that remain outside the regional dispatching network. Research limitations/implications – A new method of dispatching has been developed in such a way that very attractive regional driving jobs can be extended to a much larger percentage of drivers than in more established regional alternatives. This reduces reliance on the less effective random, over‐the‐road dispatching systems that are typically utilized in the truckload trucking industry. Practical implications – Carriers may be able to utilize extended regional dispatching systems as a means of improving driver satisfaction and retention. Originality/value – This research extends knowledge in the area of alternative dispatching methods for truckload carriers in a way that drastically improves the quality of life for professional drivers.