Sustainable and agile manufacturing outsourcing partner selection: a literature review

Akhtar, Mohammad

doi:10.4995/ijpme.2022.16807

Cited by 6 publications

(6 citation statements)

References 90 publications

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“…Financial indicators such as net profits, return on assets, return on equity and return on investments are key determinants of performance. The non-financial measures such as customer base, market share and employee retention supplement the financial measures (Akhtar, 2022). The study recommended that firms outsource essential services and products not produced internally.…”

Section: Stratford Peer Reviewed Journals and Book Publishing Journal...mentioning

confidence: 99%

Outsourcing and Performance of the Manufacturing Firms in Malaysia

2022

JPSC

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The performance of an organization is regarded fundamental in influencing its sustainability. The performance can be determined using financial and non-financial indicators. Financial indicators such as net profits, return on assets, return on equity and return on investments are key determinants of performance. The non-financial measures such as customer base, market share and employee retention supplement the financial measures. The study examined the effect of outsourcing on the performance of manufacturing firms in Malaysia. Outsourcing is the procurement of commodities/services from other external sources that are not within the firm. Outsourcing also refers to delegating in-house functions/processes/services to a third party. It is a commonly practiced strategy in private and public firms. The study was literature based on the current study's findings that depended on the existing literature. The study findings revealed that outsourcing has a positive effect on performance. Outsourcing intends to seek an expert to handle business operations outside the existing firm. It is impossible to revoke the outsourcing contracts and return the functions to the parent firm. Outsourcing non-core activities can improve efficiency and productivity because another entity performs these smaller tasks better than the firm. This strategy may also lead to faster turnaround times, increased competitiveness within an industry, and the cutting of overall operational costs. The study concluded that outsourcing positively affects the performance of manufacturing firms in Malaysia. Organizations have embraced outsourcing methods to lower the cost of doing business. It is also concluded that many organizations encounter the challenge of bringing together many business operations that they cannot manage alone. The study recommended that manufacturing firms can outsource essential services and products that are not produced internally. Managers need to use clear outsourcing techniques to realize their full usefulness. They should also provide more frameworks for choosing outsourcing vendors, which will benefit the firms in the event of a need to prevent a financial crisis.

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Section: Stratford Peer Reviewed Journals and Book Publishing Journal...mentioning

confidence: 99%

Outsourcing and Performance of the Manufacturing Firms in Malaysia

2022

JPSC

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“…Zhou and Yuen (2021) proposed optimal remanufacturing strategy through contract manufacturer or independent remanufacturer for original equipment manufacturer. Akhtar (2022) carried out literature review of agile and sustainable MOP selection. Lahiri et al (2022) carried out meta-analysis of 106 primary studies from 1992 to 2019 to examine the effect of industrial nature of activity (manufacturing vs. services), value chain activity (core vs. non-core) and provider's location (domestic vs. international) in sourcing on firm performance and found that outsourcing has positive relationship with firm performance for non-core and international outsourcing equally manufacturing and service sector.…”

Section: Literature Reviewmentioning

confidence: 99%

Section: Literature Reviewmentioning

confidence: 99%

A novel stochastic fuzzy decision model for agile and sustainable global manufacturing outsourcing partner selection in footwear industry

Akhtar

Gunasekaran

Kayıkçı

2023

JEIM

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PurposeThe decision-making to outsource and select the most suitable global manufacturing outsourcing partner (MOP) is complex and uncertain due to multiple conflicting qualitative and quantitative criteria as well as multiple alternatives. Vagueness and variability exist in ratings of criteria and alternatives by group of decision-makers (DMs). The paper provides a novel Stochastic Fuzzy (SF) method for evaluation and selection of agile and sustainable global MOP in uncertain and volatile business environment.Design/methodology/approachFour main selection criteria for global MOP selection were identified such as economic, agile, environmental and social criteria. Total 16 sub-criteria were selected. To consider the vagueness and variability in ratings by group of DMs, SF method using t-distribution or z-distribution was adopted. The criteria weights were determined using the Stochastic Fuzzy-CRiteria Importance Through Intercriteria Correlation (SF-CRITIC), while MOP selection was carried out using Stochastic Fuzzy-VIseKriterijumskaOptimizacija I KompromisnoResenje (SF-VIKOR) in the case study of footwear industry. Sensitivity analysis was performed to test the robustness of the proposed model. A comparative analysis of SF-VIKOR and VIKOR was made.FindingsThe worker’s wages and welfare, product price, product quality, green manufacturing process and collaboration with partners are the most important criteria for MOP selection. The MOP3 was found to be the best agile and sustainable global MOP for the footwear company. In sensitivity analysis, significance level is found to have important role in MOP ranking. Hence, the study concluded that integrated SF-CRITIC and SF-VIKOR is an improved method for MOP selection problem.Research limitations/implicationsIn a group decision-making, ambiguity, impreciseness and variability are found in relative ratings. Fuzzy variant Multi-Criteria Decision-Making methods cover impreciseness in ratings but not the variability. On the other hand, deterministic models do not cover either. Hence, the stochastic method based on the probability theory combining fuzzy theory is proposed to deal with decision-making problems in imprecise and uncertain environments. Most notably, the proposed model has novelty as it captures and reveals both the stochastic perspective and the fuzziness perspective in rating by group of DMs.Practical implicationsThe proposed multi-criteria group decision-making model contributes to the sustainable and agile footwear supply chain management and will help the policymakers in selecting the best global MOP.Originality/valueTo the best of the authors’ knowledge, SF method has not been used to select MOP in the existing literature. For the first time, integrated SF-CRITIC and SF-VIKOR method were applied to select the best agile and sustainable MOP under uncertainty. Unlike other studies, this study considered agile criteria along with triple bottom line sustainable criteria for MOP selection. The novel method of SF assessment contributes to the literature and put forward the managerial implication for improving agility and sustainability of global manufacturing outsourcing in footwear industry.

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“…As consumers continue to be concerned about the origin and safety of the products they purchase, SC operations must ensure that they have end-to-end visibility of their SC, from the source of the raw materials to the delivery of the final product to the customer. This requires collaboration between all parties in the SC, as well as the use of technologies such as blockchain, which can provide a secure and transparent way to track the movement of goods (Akhtar, 2022). Moreover, in the post-COVID world, SCs must be prepared to quickly adapt to changing consumer preferences, disruptions in transportation, and other unforeseen events to ensure the continued availability of essential goods and services.…”

Section: Bij 315mentioning

confidence: 99%

Navigating COVID-19: unraveling supply chain disruptions through best-worst method and fuzzy TOPSIS

Ali

Charles

Modibbo

et al. 2023

BIJ

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PurposeThe COVID-19 pandemic has caused significant disruptions to global supply chains (SCs), affecting the production, distribution, and transportation of goods and services. To mitigate these disruptions, it is essential to identify the barriers that have impeded the seamless operation of SCs. This study identifies these barriers and assesses their impact on supply chain network (SCN).Design/methodology/approachTo determine the relative importance of different barriers and rank the affected industries, a hybrid approach was employed, combining the best-worst method (BWM) and the technique for order preference by similarity to an ideal solution (TOPSIS). To accommodate the inherent uncertainties associated with the pandemic, a triangular fuzzy TOPSIS was used to represent the linguistic variable ratings provided by decision-makers.FindingsThe study found that the airlines and hospitality industry was the most affected by the barriers, accounting for 46% of the total, followed by the healthcare industry (23%), the manufacturing industry (19%), and finally the consumer and retail industry (17%).Research limitations/implicationsThis study is limited to the four critical industries and nine identified barriers. Other industries and barriers may have different weights and rankings. Nevertheless, the findings offer valuable insights for decision-makers in SC management, aiding them in mitigating the impact of COVID-19 on their operations and enhancing their resilience against future disruptions.Originality/valueThis study enhances understanding of COVID-19’s impact on SCN and provides a framework for assessing disruptions using multi-criteria decision-making processes. The hybrid approach of BWM and TOPSIS in a fuzzy environment is unique and offers potential applicability in various evaluation contexts.

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Sustainable and agile manufacturing outsourcing partner selection: a literature review

Cited by 6 publications

References 90 publications

Outsourcing and Performance of the Manufacturing Firms in Malaysia

Outsourcing and Performance of the Manufacturing Firms in Malaysia

A novel stochastic fuzzy decision model for agile and sustainable global manufacturing outsourcing partner selection in footwear industry

Navigating COVID-19: unraveling supply chain disruptions through best-worst method and fuzzy TOPSIS

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