Principles of Digitally Mediated Replenishment of Goods: Electronic Commerce and Supply Chain Reform

Principles of Digitally Mediated Replenishment of Goods: Electronic Commerce and Supply Chain Reform

Robert B. Johnston (Mondásh University, Australia)
Copyright: © 2000 |Pages: 24
DOI: 10.4018/978-1-878289-76-6.ch003
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Many authors (Cunningham and Tynan, 1993; Dearing, 1990; Johnston, 1998; Rochester, 1989; Skagen, 1989; Swatman, 1993) now recognize that the significance of business-to-business electronic commerce in the supply chain is not just its ability to reduce direct operational costs (Colberg, 1990; Dearing, 1990), but also as an enabling technology for business process simplification, particularly as part of the over-arching simplification philosophy that goes variously by the names Just-In-Time (Abraham, Holt and Kathawala, 1990; Groenevelt, 1993), Quick Response (Fiorito, May and Straughn, 1995) and Efficient Consumer Response (Kurt Salmon Associates, 1993). There is also increasing recognition that supplier / customer interactions and supply chain performance as a whole are the correct units of analysis of supply chain reforms and their benefits (Buxmann and Gabauer, 1999; Johnston, 1998). Yet few accounts have attempted to define the precise principles by which the various technologies that make up supply chain electronic commerce are able to provide this simplification of business processes and supply chain performance improvement. This chapter takes up that challenge by describing an increasingly sophisticated series of supply chain reform initiatives with the aim of extracting the underlying principles of digitally mediated replenishment. It is hoped that such an approach will provide a richer, more unified, and more principled account of various EC-enabled supply chain reforms which are often discussed in isolation, but also, by drawing out from diverse supply chain reforms a small set of underlying principles, that it will be possible to more easily generalize from these cases to create other process simplifications appropriate to novel circumstances and business requirements. The chapter begins with fairly well known supply chain reforms analyzed in a new way, but leads on to quite novel issues such as the role of EC in pull as well as push JIT replenishment systems, the use of two dimensional bar code as a medium for EDI, and the use of the new Internet-based business document exchange and presentation products and services. This work is empirically grounded upon a series of case studies conducted in the past four years with some of the largest manufacturing and retail enterprises in Australia, but the reforms described are very much typical of world best practice in supply chain management. The case descriptions are kept brief: greater detail can be found in the references provided. The chapter concentrates on replenishment of retail goods, component parts, and raw materials along the supply chain of large retail and manufacturing enterprises. It focuses on the interaction between a “customer” enterprise which wishes to replenish goods from a “supplier” that distributes or manufacturers them. For simplicity, certain potential intermediaries to this process, such as third-party transport companies, are ignored. In the next two sections, the pertinent technologies involved are described, and a small number of principles that explain their use and their effectiveness in creating supply chain reform through electronic commerce are stated.

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Table of Contents
Syed Mahbubhur Rahman, Mahesh S. Raisinghani
Chapter 1
Mahesh S. Raisinghani
At the brink of the new millennium, in global economy and commerce, there has been a dramatic increase in the role of information technology in... Sample PDF
Electronic Commerce at the Dawn of the Third Millennium
Chapter 2
David Gordon, James E. Skibo
The selling of goods and services on the Internet has evolved from a hypothetical business concept into a thriving, multi-billion dollar industry... Sample PDF
Building E-Commerce From the Ground Up: A Study of the Retail Industry
Chapter 3
Robert B. Johnston
Many authors (Cunningham and Tynan, 1993; Dearing, 1990; Johnston, 1998; Rochester, 1989; Skagen, 1989; Swatman, 1993) now recognize that the... Sample PDF
Principles of Digitally Mediated Replenishment of Goods: Electronic Commerce and Supply Chain Reform
Chapter 4
Ronald M. Lee
This chapter introduces the concept of an electronic trade scenario as an aid to the management of (global) supply chains, and other forms of... Sample PDF
Electronic Trade Scenario for Global Supply Chains
Chapter 5
Charles Trappey, Amy Trappey, Thomas Gulledge, Rainer Sommer
Beginning in 1993, when the U.S. Federal Government proposed the “framework of electronic commerce (EC),” the call went out for the wide-scale... Sample PDF
Promoting Electronic Commerce in the Defense Industry
Chapter 6
Mohammed A. Quaddus
Diffusion is the process by which a new technology spreads in its usage among a population. This chapter analyses the diffusion process of one... Sample PDF
Diffusion of Electronic Commerce in Australia: A Preliminary Investigation
Chapter 7
Liaquat Hossain
This chapter examines the risk factors for firms investing in e-commerce or electronic commerce in New Zealand. The relationships between the intra... Sample PDF
Planning E-Strategies for New Zealand Firms: A CSF Framework for Investigating in E-Commerce Projects
Chapter 8
Andreas Mitrakas
Open EDI is a concept appropriate to address the needs of commercial business-to-business relationships in an open environment. While open EDI, an... Sample PDF
Electronic Commerce Contracting for Open EDI
Chapter 9
R. C. MacGregor, D. J. Bunker
Small/ medium enterprises (SMEs) represent a sizeable proportion of the GDP of most western economies. Not only are they the single largest employer... Sample PDF
EDI and Small/Medium Enterprises
Chapter 10
Rahul A. Sarker, Mahbubur Rahman Syed
Electronic data interchange (EDI) technology gives organizations an opportunity to exchange their information and messages electronically, instead... Sample PDF
Economics of EDI Investments
Chapter 11
Marium Fergusson
The Internet offers enormous potential as a means of communication, doing business and providing channels for service delivery. The most striking... Sample PDF
Internet Business Models for Government Agencies
Chapter 12
Joan Cooper, Lois Burgess
The commercialisation of the Internet has led to widespread usage of on-line services and being connected to the Internet has become a high priority... Sample PDF
A Model of Internet Commerce Adoption (Mica)
Chapter 13
Ly Fie Sugianto, Sen Sendjaya
Internet commerce has brought forward a new spectrum of business practice. It radically changes the way we do business. These changes have been... Sample PDF
E-Retailing: New Opportunities In Internet Commerce
Chapter 14
Thomas F. Stafford, Marla Royne Stafford
The purpose of this chapter is to explore theoretical background and previous research on new media uses and motivations as an avenue to... Sample PDF
Consumer Motivations for Commercial Web Site Use: Antecedents to Electronic Commerce
Chapter 15
Boon-Chye Lee
The payments system is a linchpin of the modern economy. Transactions involving non-cash payment for goods, services, or the transfer of asset... Sample PDF
The Retail Payments System and Internet Commerce
Chapter 16
Teoh Kok Poh, Sheng-Uei Guan
The introduction of smart card technology offers an alternative for user authentication and storage medium for data that require both high security... Sample PDF
Internet-enabled Smart Card Agent Environment and Applications
Chapter 17
Klaus Turowski
The Internet has created a tremendous opportunity to conduct business electronically. By this, innovative business concepts—such as virtual... Sample PDF
Supporting Innovative Competitive Strategies as Mass Customization by Pairing E-Commerce Techniques with Agent Technology
Chapter 18
Xun Yi, Chee Kheong Siew, Mahbubur Rahman Syed
Because electronic commerce provides customers with more convenient and more money-saving services than conventional trading, it has seen explosive... Sample PDF
Electronic Commerce Based on Software Agent
Chapter 19
Timothy K. Shih
The Internet changes our shopping style. With the growing popularity of Web browsers, electronic commerce (EC) has become a trend of next-generation... Sample PDF
A Mobile Agent Computation Model for Best Buy Searching
Chapter 20
Yang Yang, Sheng-Uei Guan
With the proliferation of Internet, electronic commerce (e-commerce) is beginning to take the center stage in the commerce world. Transactions via... Sample PDF
The Design and Architecture of a Secure Agent Transport Protocol for E-Commerce
Chapter 21
T. Deshani Rodrigo, Peter A. Stanski
E-commerce technologies are continually evolving, bringing about innovative developments and resultant benefits. Herein one such visionary path for... Sample PDF
The Evolving Future of Agent-Based Electronic Commerce
Chapter 22
Matthew Warren, William Hutchinson
In the developed world, the influence of information systems can now be seen in most operational areas of business. A significant result of these... Sample PDF
The Use of the Internet by Terrorists and Its Impact Upon Electronic Commerce
Chapter 23
Assafa Endeshaw
A great deal of uncertainty surrounds the impact of the continuing growth of electronic commerce (e-commerce) on existing law. While commercial law... Sample PDF
The Law vis-à-vis Electronic Commerce
Chapter 24
Severine Dusollier, Laetitia Rolin Jacquemyns
In the Communication on Electronic Commerce of 19971 , the European Commission stressed that “in order to allow electronic commerce operators to... Sample PDF
The Challenge of the Law to Electronic Commerce: The European Union Initiatives
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