Purpose -Traditionally the customer order decoupling point (CODP) has focused mainly on the separation of production performed on speculation from commitment to customer orders. Engineering has, with few exceptions in this context, simply been viewed as occurring before production activities in a sequential manner. As competition increases, customer requirements for short lead-times in combination with customisations requires further integration of processes involving both engineering and production activities making the traditional view of the CODP insufficient in these cases. The purpose of this paper is thus to provide a more general approach to enterprise integration of cross-functional processes in order to extend the applicability of the CODP as a logistics oriented concept. Design/methodology/approach -We use evolutionary approach to define the CODP as a two-dimensional concept based on the integration of engineering and production. Findings -The extended CODP captures the complexity in terms of possible configurations, but also provides a framework for the issues that must be handled when positioning the CODP in terms of both engineering and production simultaneously. Practical implications -The two-dimensional CODP is an important extension to make the theory better reflect reality and hence increase the scope and acceptance of both the concept CODP per se, and the analysis based on the CODP. Originality/value -By the introduction of a new two-dimensional approach, a more comprehensive CODP typology is defined. We also provide a classification of customer order influence based on a combined engineering and production perspective where the efficient CODPs constitute a set providing the highest level of customer value in terms of engineering adaptations.
The construction supply chain is of temporary nature and complex, with many interactions between multiple actors in different construction projects. This challenging context typically leads to relatively higher costs and lower productivity, compared to other industries. Supply chain management (SCM) has been put forward as a mean to better handle this challenging context. As a part of SCM initiatives some construction industry stakeholders have turned to third-party logistics (TPL) providers, especially in large construction projects. The use of TPL providers is a new, and under-investigated, phenomenon in the construction industry. The main purpose of this study is thus to explore the use of a TPL provider in a large construction project and to analyse its resulting effects. Driving forces and possible concerns for implementing TPL are identified and the possibility for TPL to be a facilitator for implementing SCM in construction is investigated. The research is based on a literature review and an explorative case study of a large hospital project in Sweden, where the client and the main contractor have initiated the use of a TPL provider to coordinate sourcing and materials handling activities on site. The results show positive effects on establishing an effective interface between the construction site and the supply chain. The results also show that a TPL solution facilitates an increase in productive work at the construction site itself, a reduction of costs and an increased utilization of site assets. On the downside, the study also shows a lack of SCM knowledge amongst the involved actors in the project, hindering them to reap the full potential of TPL.
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