International Supply Chain Management: Gaining Advantage To Business Process Orientation

Author(s) : Prof. J. Venkatesh, Dr. B. Kalpana
ISSN : 974
Year : Aug 2009 | Volume : 3 | Issue : 3

Multinational corporations are redesigning their organizational structure from a hierarchic multi-domestic structure into a global network. Using the contingency theory framework, the researcher�s proposed to identify the reasons for the change, optimal structures and the potential cost/benefits to be expected. In addition, the study also indicates about how supply chain learns and adapts to the dynamic global environment. These findings can help practitioners gain a better understanding of international supply chains and provide a theoretical model for academicians to conduct future studies. In the last two decades, competition has changed dramatically with the opening up of trade barriers regionally and globally. Local companies in both developing and developed countries are being now exposed to increased competition from a new set of competitors that may be exploited to the comparative advantage of several countries simultaneously. Adding to the local companies'' problems it is observed that the growing volatility of the business environment due to the larger number of international players, rapid changes in technology and shorter product life cycles. This research study have adapted the Business Process Orientation (BPO) advantage measurement instrument to the Supply Chain Council''s (a global organization formed to define and benchmark supply chains) model for describing and measuring supply chains. BPO related questions were developed, pre-tested and used to evaluate the impact of BPO on supply chain decision process performance, or supply chain management, in a cross industry study. Conclusions from the study were quite clear, as the BPO is a major contributor in improving supply chain management performance.


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