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Enabling supply chain segmentation through demand profiling

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Godsell, Janet, Diefenbach, Thomas, Clemmow, Chris, Towill, Denis and Christopher, Martin (2011) Enabling supply chain segmentation through demand profiling. International Journal of Physical Distribution & Logistics Management, Volume 41 (Number 3). pp. 296-314. doi:10.1108/09600031111123804 ISSN 0960-0035.

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Official URL: http://dx.doi.org/10.1108/09600031111123804

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Abstract

Purpose: Whilst there are a plethora of theoretical ideas regarding a segmented approach to supply chain strategy, there is paucity of empirical data. This paper aims to present the results of a field-based case study in a fast moving consumer goods company (FMCGCo) that sought to identify the most relevant basis for supply chain segmentation.

Design/methodology/approach: Research carried out on a single instrumental case, FMCGCo. A four-stage research design was employed to develop and test an approach to developing a segmented supply chain strategy for FMCGCo supply chain Western Europe.

Findings: The study identified demand profiling at an item level (using volume and variability classifiers) as the primary driver of supply chain strategy. It also developed a novel profiling tool. This not only segmented demand but identified through the introduction of the concept of filters a method for turning the results of the demand profiling analysis into a segmented supply chain strategy.

Research limitations/implications: The results presented are based on a single instrumental case. It is the approach that is transferable to other supply chain contexts not the specific solution per se.

Practical implications: The paper presents a practical and pragmatic approach for companies to develop a segmented supply chain strategy based on demand profiling.

Originality/value: The introduction of a new tool as a practical and relatively quick means of developing a segmented supply chain strategy, that considers both market and product characteristics.

Item Type: Journal Article
Divisions: Faculty of Science, Engineering and Medicine > Engineering > WMG (Formerly the Warwick Manufacturing Group)
Journal or Publication Title: International Journal of Physical Distribution & Logistics Management
Publisher: Emerald Group Publishing Ltd.
ISSN: 0960-0035
Official Date: 2011
Dates:
DateEvent
2011Published
Volume: Volume 41
Number: Number 3
Page Range: pp. 296-314
DOI: 10.1108/09600031111123804
Status: Peer Reviewed
Publication Status: Published
Access rights to Published version: Restricted or Subscription Access

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