Business process re-engineering an electronic products supply chain

Abstract

The re-design of supply chains for smoother, faster response has been the subject of much research and debate since the classic contribution by Jay Forrester (1961) over 30 years ago. Many of his ideas have since been subsumed within business process re-engineering (BPR) but this involves the 'how' as well as the 'why' of supply-chain management. The authors use a real-world electronic products supply chain as a case study in which it has proved feasible to model and simulate a number of BPR driven strategies undertaken to improve supply chain performance. The modelling and simulation techniques essentially follow a classical industrial dynamics format, although a greater than usual contribution was made via people contact and written documentation methods coupled with the exploitation of inhouse software. The improved demand amplification patterns predicted from the simulation model can be used for benchmarking purposes and for prioritising future improvement programmes by other supply chains.