Marcos Paulo Valadares de Oliveira

The impact of business analytics on supply chain performance

The paper investigates the relationship between analytical capabilities in the plan, source, make and deliver area of the supply chain and its performance using information system support and business process orientation as moderators. Structural equation modeling employs a sample of 310 companies from different industries from the USA, Europe, Canada, Brazil and China. The findings suggest the existence of a statistically significant relationship between analytical capabilities and performance. The moderation effect of information systems support is considerably stronger than the effect of business process orientation. The results provide a better understanding of the areas where the impact of business analytics may be the strongest.

A global investigation of key turning points in business process maturity

Purpose – The purpose of this paper is to report on the results of research into the precedence of the maturity factors, or key turning points in business process maturity (BPM) implementation efforts. A key turning point is a component of BPM that stabilizes within an organization and leads to the next maturity level.Design/methodology/approach – Several years of data from over 1,000 companies in the USA, Europe, China, and Brazil that have completed a BPM assessment are analyzed to identify which components of BPM stabilize, when and in what order. Different analysis methods are employed in order to identify global commonalities and differences.Findings – The paper identifies key turning points from several different perspectives using several different approaches and develops some conclusions common to all methods used in this research.Research limitations/implications – The relationship between the components (dependencies) is only suggested but not statistically analyzed. Several data sets are also o...

Supply chain maturity and performance in Brazil

Purpose – The purpose of the paper is to investigate the relationship between supply chain maturity and performance, with specific references both to the business process orientation maturity model and to the supply chain operation reference model.Design/methodology/approach – Quantitative, survey based research was carried out with 478 Brazilian companies. Statistical analysis combined the use of descriptive statistics and structural equation modeling.Findings – Empirical results indicate a strong and positive statistical relationship between supply chain maturity and performance. The results also suggest that the deliver process maturity has a higher impact on overall performance than the other supply chain processes.Research limitations/implications – Quantifying supply chain maturity and performance is an opportunity for a company to align its performance measurements and process improvement actions with its broader policies and strategies. The use of this approach has been validated in several previo...

The Supply Chain Process Management Maturity Model – SCPM3

In recent years, a growing amount of research, much of which is still preliminary, has been dedicated to investigating maturity models development for the strategic management of supply chains (Chan and Qi, 2003; Gunasekaran et al., 2001; Coyle et al., 2003). The concept of process maturity derives from the understanding that processes have life cycles or developmental stages that can be clearly defined, managed, measured and controlled throughout time. A higher level of maturity, in any business process, results in: (1) better control of the results; (2) more accurate forecast of goals, costs and performance; (3) higher effectiveness in reaching defined goals and the management ability to propose new and higher targets for performance (Lockamy and McCormack, 2004; Poirier and Quinn, 2004; McCormack et al., 2008). In order to meet the performance levels desired by customers in terms of quantitative and qualitative flexibility of service in demand fulfillment, deadlines consistency and reduction of lead times related to fulfilling orders, firms have developed repertoires of abilities and knowledge that are used in their organizational process (Day, 1994 apud Lockamy and McCormack, 2004; Trkman, 2010). In two past decades, management of supply chain processes has evolved, also because of these new demands, from a departmental perspective, extremely functional and vertical, to an organic arrangement of integrated processes, horizontal and definitely oriented to providing value to intermediate and final costumers (Mentzer et al., 2001). This new pattern of logistical process management had lead towards the development and application of different maturity models and performance metrics useful as support tools to help define a strategy and to face trade-offs, as well as to identify items that are considered critical to quality improvement of logistical services rendered to the client. The purpose of this article is to explore the concept of maturity models and to answer an important question specifically directed to the management of supply chain processes. What best practices are fully matured and in use at what maturity level? This paper will more fully define the maturity levels based upon the capabilities of the company using statistical analysis of a global data set.

An enactment theory model of supplier financial disruption risk mitigation

Purpose The purpose of this study is to examine supplier financial risk through the lens of Enactment Theory, to explore the role of transparency and communication on buyers’ perceptions of supplier default risk. The authors develop a theoretical model proposing that buyer communication with suppliers leads to preemptive actions that may prevent supplier financial default and fewer supply disruptions. The results suggest that reducing equivocality in buyers through communication with suppliers leads to understanding of financial factors not captured through third-party financial indicators, leading to proactive risk mitigation activities that prevent disruptions during recessionary economic cycles. This research proposes that transparency and communication reduces equivocality in buyers, spurring them to take contractual actions that reduces, financial default in key suppliers, which leads to fewer supply disruptions. Design/methodology/approach Survey data collected from 175 firms in the North America and Brazil during a period of the global recession is used to test the impact of communication with suppliers on supply chain disruptions in periods of economic crisis. This relationship is mediated by proactive contract renegotiation and supplier financial health, supporting a model grounded in Enactment Theory. Findings Results show that buyers who regularly assess and develop an understanding of their key suppliers’ financial conditions are more likely to re-negotiate contracts that revise payment terms, leading to improved supplier working capital and fewer supply chain disruptions. Research limitations/implications Validation of industry-specific financial ratios and figures could provide a richer set of insights and some quantitative measures for establishing baseline on what levels of financial ratios actually result in disruptions. However, future research should consider using a cross-sectional sample and, in addition, a qualitative approach to capture risk from a greater variety of industries and supply chain dynamics. Originality/value The notion of effective communication flows as a means for reduction of supplier disruption risk is aligned with Enactment Theory views that emphasize the benefits of risk reduction. Equivocality is reduced in buyers through information exchange and formal assessments in complex environments. This research suggests that while such communication does not have a direct effect on supply disruption risk, it is mediated through proactive buyer actions to improve supplier financial health and contract re-negotiation mechanisms that may preempt financial distress. These are important lessons learned that provide guidelines for supply chain executives in future economic recessions that may occur in the coming years.