DIMENSIONS FOR DEVELOPING SUPPLY CHAIN INTEGRATION SCENARIOS

Abstract

The paper focuses on the issues of supply chain integration. The integration process is considered from the perspective of possible directions of its implementation. The choice of integration directions and types of actions is limited by space defined by: specific integration factors, their aggregate measure as well as assessment measures applicable to supply chain operation. The space in question determines the dimensions for developing supply chain integration scenarios. The authors undertook to verify this claim based on the 19 factors they had previously identified, their 4 described integration advancement levels, the supply model they had developed as well as using a series of simulation experiments.  By applying process modelling and simulation methods, they managed to represent characteristic features of supply chain operation at each integration level for all identified factors. Empirical data necessary to verify the initial thesis were obtained by subjecting such model of supply chain to simulated material planning and flow in the option of dynamic changes resulting from the application of scholastic demand distribution.  In doing so statistical methods were used for the general option (complete supply chain integration – all factors) and the specific option (for each factor individually). The authors found two issues to be particularly important – the correlation (established using binary methods) between supply chain performance and the integration level, or the lack of such correlation, but also regression power between these two variables.

Key words: SCM – Supply Chain Management, integration process