Abstract:PurposeImproving construction supply chain collaboration and performance is central for achieving short‐term business objectives as well as long‐term competitive advantage. Lean thinking is an approach that has been adopted in many different industrial settings as a means for improving supply chain performance. In the project‐based construction industry, lean thinking has, however, not yet been widely adopted. The purpose of this paper is to increase the understanding of how various aspects of lean thinking ca… Show more
“…The studied project manufacturing context requires close interaction between supplier, purchaser, and customer companies since offerings are typically tailored to customers [19,21]. This is proposed as a contributing factor for the perceived importance of customer involvement in product development.…”
Section: Discussionmentioning
confidence: 99%
“…18,19] in this study relates to its case context representing make-toorder industry with JIT (just-in-time) supplies [19,20] consisting of tailored project offerings to customers. In this context, flexibility and responsiveness of operations and supplies [19], integration of design and manufacturing [21], and inter-organizational collaboration [22,23] have been highlighted. A customer is an important actor [19,21] affecting the whole supply chain.…”
Section: Introductionmentioning
confidence: 99%
“…In this context, flexibility and responsiveness of operations and supplies [19], integration of design and manufacturing [21], and inter-organizational collaboration [22,23] have been highlighted. A customer is an important actor [19,21] affecting the whole supply chain. However, it has been found that engineering-oriented mindset highlighting sophisticated techniques instead of customer preferences is still perceivable in many companies providing customized offerings [24].…”
Accepted: 8 November 2017There is already a wide acceptance on the importance of involving supplier and customer companies in product development. Decent understanding prevails on the relationshiporiented approach to product development including various collaboration forms. However, there is less research on the factors explaining the decision of attending to joint product development. In addition, less studies have examined the integrated role of both suppliers and customers in product development initiatives. This study searches answers to the following research questions: 1. What is the role of different actors in product development initiatives? 2. What factors motivate suppliers and customers to participate in product development?The research is carried out as an in-depth qualitative single case study in a large project manufacturing company. It takes the perspective of a focal company striving for product improvements. The first part of the empirical study consists of 15 semi-structured interviews. The second part includes two discursive workshops and builds upon the results of the interviews. This study contributes to the existing research by explaining the challenges and conditions facilitating joint product development with supplier and purchaser companies. The results highlight the role of customers in improving the effectiveness of product development. As a practical contribution, the paper reports the application of workshop method as a facilitator of collaboration between supplier, purchaser (focal company) and customer companies.Keywords collaboration, supplier involvement, customer involvement, product development, purchasing, supply management, case study.
IntroductionThe importance of collaboration in product development has been acknowledged for a long time. Development of complex products often requires collaboration crossing organizational boundaries enabling the use of complementary knowledge and resources [1,2]. There is already a lot of literature on involving both suppliers [e.g. 3, 4] and customers [e.g. 1, 5] to product development. The literature of product development includes many factors promoting inter-organizational collaboration [6]. The benefits of involving suppliers to product development include leveraging supplier knowledge to reduce costs and lead times of product development [7], getting better access to supplier technology [8], and increased innovation outcomes due to resource pooling and complementary capabilities [9]. In addition, customer involvement may have a positive impact on product success [10], understanding of customer needs [5] and competitor moves [11]; and generation of new ideas [12].The level and degree of supplier innovation in terms of product development is one of the main competitive priorities in supplier selection [13]. Earlier research has often considered how external part-13 Unauthenticated Download Date | 5/11/18 7:59 PM
Management and Production Engineering Reviewners for joint product development should be chosen [2]. Also the relati...
“…The studied project manufacturing context requires close interaction between supplier, purchaser, and customer companies since offerings are typically tailored to customers [19,21]. This is proposed as a contributing factor for the perceived importance of customer involvement in product development.…”
Section: Discussionmentioning
confidence: 99%
“…18,19] in this study relates to its case context representing make-toorder industry with JIT (just-in-time) supplies [19,20] consisting of tailored project offerings to customers. In this context, flexibility and responsiveness of operations and supplies [19], integration of design and manufacturing [21], and inter-organizational collaboration [22,23] have been highlighted. A customer is an important actor [19,21] affecting the whole supply chain.…”
Section: Introductionmentioning
confidence: 99%
“…In this context, flexibility and responsiveness of operations and supplies [19], integration of design and manufacturing [21], and inter-organizational collaboration [22,23] have been highlighted. A customer is an important actor [19,21] affecting the whole supply chain. However, it has been found that engineering-oriented mindset highlighting sophisticated techniques instead of customer preferences is still perceivable in many companies providing customized offerings [24].…”
Accepted: 8 November 2017There is already a wide acceptance on the importance of involving supplier and customer companies in product development. Decent understanding prevails on the relationshiporiented approach to product development including various collaboration forms. However, there is less research on the factors explaining the decision of attending to joint product development. In addition, less studies have examined the integrated role of both suppliers and customers in product development initiatives. This study searches answers to the following research questions: 1. What is the role of different actors in product development initiatives? 2. What factors motivate suppliers and customers to participate in product development?The research is carried out as an in-depth qualitative single case study in a large project manufacturing company. It takes the perspective of a focal company striving for product improvements. The first part of the empirical study consists of 15 semi-structured interviews. The second part includes two discursive workshops and builds upon the results of the interviews. This study contributes to the existing research by explaining the challenges and conditions facilitating joint product development with supplier and purchaser companies. The results highlight the role of customers in improving the effectiveness of product development. As a practical contribution, the paper reports the application of workshop method as a facilitator of collaboration between supplier, purchaser (focal company) and customer companies.Keywords collaboration, supplier involvement, customer involvement, product development, purchasing, supply management, case study.
IntroductionThe importance of collaboration in product development has been acknowledged for a long time. Development of complex products often requires collaboration crossing organizational boundaries enabling the use of complementary knowledge and resources [1,2]. There is already a lot of literature on involving both suppliers [e.g. 3, 4] and customers [e.g. 1, 5] to product development. The literature of product development includes many factors promoting inter-organizational collaboration [6]. The benefits of involving suppliers to product development include leveraging supplier knowledge to reduce costs and lead times of product development [7], getting better access to supplier technology [8], and increased innovation outcomes due to resource pooling and complementary capabilities [9]. In addition, customer involvement may have a positive impact on product success [10], understanding of customer needs [5] and competitor moves [11]; and generation of new ideas [12].The level and degree of supplier innovation in terms of product development is one of the main competitive priorities in supplier selection [13]. Earlier research has often considered how external part-13 Unauthenticated Download Date | 5/11/18 7:59 PM
Management and Production Engineering Reviewners for joint product development should be chosen [2]. Also the relati...
“…Vereecke ve Muylle (2006), TZİ ve performans gelişimi arasındaki ilişkiyi imalat sanayinde 11 Avrupa ülkesinde 374 işletmenin verisi ile incelemiştir. Jin ve Hong (2007) Eriksson (2010), tedarik zinciri işbirliğini geliştirmek için yalın üretim tekniklerini uygulayan bir inşaat projesinde çalışma gerçekleştirmiştir. Çalışmasında İsveçte yapılan bir inşaat projesini örnek olay olarak alıp, tedarik zinciri işbirliği geliştirmek için üç aşamalı bir yalın inşaat modeli geliştirmiştir.…”
“…General contractors should take greater risks than conventional projects, so SCM becomes an important aspect for the general contractor [8]. There are several potential risks in EPC projects such as potential delay in schedules, quality problems, hostile relationships, and disconnected information [9,10]. This is because EPC projects characteristically have long processes, large scales, and multi-participation.…”
Abstract. Engineering Procurement Construction (EPC) is a construction model that integrated the work between engineering, procurement, and construction. The EPC project is usually applied in petroleum work. One of the important aspects of success key in this project is the supply chain management (SCM). The high level of complexity of work as well as the integration of the construction phase needs to be mapped how the supply chain in this project. This paper used Value Stream Mapping (VSM) method to explain the procurement processes for easier understanding and problem identification. It is illustrated in the procurement process behaviour within a specific period from the total production time. This paper describes a case study performed on EPC 1 Banyu Urip Project. VSM presented real-time data to deliver the processes, material, and any other constraint relevant to the procurement process on EPC projects. Based on a case study on pipe material, the procurement process from upstream to downstream took 21 weeks. It was a waste of time to look for solutions. The recommended solutions use the local vendors, involve suppliers early and provide input into engineering designs, and good communication between supply chain participants.
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