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Both public and private hospitals are increasingly under pressure to reduce costs while improving patient care across all medical disciplines and departments. Hospitals must become patient-oriented, lean, and agile in order to properly realign and integrate health care processes, helping to reconcile efficiency imperatives with patient needs and hospital mission. One of the highest potential for improvement can be found in supply chain management (SCM) practices for medical supplies, which often represent more than 40% of a hospital’s operating budget. We report on 3 case studies of business process management and reengineering projects, relying on advanced information technology, focused on the supply chains of two major urban hospitals, involving $2 million in minimum stocks for drug inventory. Case study 1 deals with an in-depth analysis of SCM practices around a key medical asset in pharmaceutical supply, i.e. infusion pumps. Case study 2 builds upon the findings of case 1, and proposes an radio-frequency identification solution to support a new hospital-wide asset location process and system, aiming for just-in-time availability of infusion pumps for critical drugs administration. Case study 3 complements cases 1 and 2 by analysing the feasibility of integrating the various components of the hospital pharmacy inventories, which in turn could be integrated to asset location systems. Our 3 case studies lead us to a number of conclusions on how hospitals can develop a patient-oriented, agile, and lean perspectives and practices, as well as ensure the proper integration of patient needs within optimised supply chains. [ABSTRACT FROM AUTHOR]

In recent literature on supply chain partnerships in small and medium-sized enterprises (SMEs), there is controversy regarding the benefits of these partnerships. To resolve this controversy, specific information is needed on the implementation of these partnerships by SMEs; an area, that, thus far, has received little academic attention. In this paper, we examine different business functions (production, marketing and sales, purchasing and logistics, research and development (R&D) and finance) within a supply chain partnership. We collected data for each individual function from 279 high-tech SMEs and examined the relationship between the specific types of partnerships and the overall performance of the SMEs. The results indicate that it is only in the area of R&D that partnerships have a significant positive effect on overall firm performance. The results imply that SMEs primarily can benefit from particular types of supply chain partnerships, i.e. R&D partnerships. The results contribute to the debate in the literature by explaining why many SMEs were found not to benefit from these partnerships. We also provide implications for firms and how SMEs can better utilise supply chain management (SCM). [ABSTRACT FROM PUBLISHER]

The aim of this paper is to develop a new approach to supplier segmentation that considers the various variables used in existing literature to segment suppliers. A literature review reveals a serious problem from a management perspective. The problem is that many different supplier segmentation methods have been proposed in the last three decades, each of which uses different segmentation variables and hence results in different segments. An overarching supplier segmentation method, considering various segmentation variables, is lacking. Based on an extensive literature review, we have analysed the current methods and we conclude that the literature on supplier segmentation can be divided into three different schools of thoughts. By clearly identifying the deficiencies of the existing theory on supplier segmentation, we developed a new approach. As the basis for this new approach, we developed three requirements to make an overarching approach to supplier segmentation. Firstly, supplier segmentation should be based on their long-term potential, which we propose to assess in terms of supplier capabilities and willingness to cooperate. Secondly, other functional areas beyond purchasing have to be considered when segmenting suppliers. Thirdly, supplier segmentation should be viewed as a step in a longitudinal process that includes selecting suppliers, segmenting them, managing the relationship with them and actively developing their role over time. We illustrate the proposed approach by segmenting the suppliers of a company in the food industry. [ABSTRACT FROM PUBLISHER]

Industrial organisations must supply a variety of products and services, meet the needs of fragmented customer expectations, and cope with the consequences of the globalisation of world markets, all of which are producing significant levels of complexity. This study develops a new quantitative measurement of complexity for a supply network based on network analysis, which is often used to study natural ecosystems, focusing in particular on the concept of entropy of information. The research reports advances in both theory on the supply network analysis problem and on its application to industrial contexts. Eight indexes based on entropy are presented. These measures provide a meaningful analysis of the level of complexity in the whole supply network mapping the exchanges of goods between the different actors in the network. The impact of possible modifications of the structure can simply be evaluated using these tools, providing a simple evaluation of the different scenarios. The proposed method takes a holistic point of view to tackle the problem of supply network optimisation. A real world application of the developed new methodology is presented. [ABSTRACT FROM AUTHOR]

The design of logistic distribution systems is one of the most critical and strategic issues in industrial facility management. The aim of this study is to develop and apply innovative mixed integer programming optimization models to design and manage dynamic (i.e. multi-period) multi-stage and multi-commodity location allocation problems (LAP). LAP belong to the NP-hard complexity class of decision problems, and the generic occurrence requires simultaneous determination of the number of logistic facilities (e.g. production plants, warehousing systems, distribution centres), their locations, and assignment of customer demand to them. The proposed models use a mixed integer linear programming solver to find solutions in complex industrial applications even when several entities are involved (production plants, distribution centres, customers, etc.). Lastly, the application of the proposed models to a significant case study is presented and discussed. [ABSTRACT FROM AUTHOR]