مطالعات مدیریت راهبردی (Dec 2021)
Model of bullwhip effect strategies in closed loop supply chains
Abstract
Aim and introduction: Simultaneous attention to forward and backward supply chains has created a new concept in the supply chain literature as closed-loop supply chains. The use of closed-loop supply chains leads to profitability and improved organizational performance, which can help reduce the environmental damage caused by the activities of organizations. One of the factors that can lead to disruption in the movement of supply chains and reduce the level of profitability and performance of organizations is the bullwhip effect. This phenomenon can cause irreparable damage to the supply chain structure and cause problems with the efficiency and effectiveness of a supply chain. The automobile oil production industry in the country has been able to meet the needs of a large number of customers in this field due to various international sanctions. But changes in customer behavior can lead to a bullwhip effect in the supply chain of the industry and the companies involved. The purpose of this study is to design a conceptual model of effective strategies to reduce the bullwhip effect in the closed-loop supply chains in the country's automobile oil industry so that it can provide the ability to deal with bullwhip effects in the supply chain while responding appropriately to environmental requirements.Methodology: This research is descriptive in terms of applied purpose and in terms of type and method of data collection and has been done in a survey. The statistical population of the study consists of 75 industrial and academic experts in the field of automobile oil production in the country. Among these experts, 9 academic experts and 66 industrial experts answered the questions. In this study, by studying the research background, 8 effective strategies on reducing the bullwhip effect in the closed-loop supply chain were identified and adjusted by summarizing the opinions of 5 academic experts. The instrument used in this study is a pairwise comparison questionnaire containing 8 identified strategies. Then, using interpretive structural modeling technique, 8 obtained strategies were leveled. Then, using Mick Mac analysis, a structural analysis of the dimensions and type of behavior of each strategy was performed according to the opinions of experts.Finding: Findings indicate the identification of 8 strategies to reduce the bullwhip effect in the supply chain. These strategies include "strategies to reduce the bullwhip effect in the closed loop supply chain", "application of control and monitoring strategies and coordination of nodes in the closed loop supply chain", "reduction of product delivery time", "creation of inventory control process using From order setting and information sharing "," Creating a new compensation policy, providing a seamless ordering model for inventory and production planning "," Creating policies for reviewing inventory control periods and production planning "," Providing forecasting algorithm to adjust The variables of order and production control are "availability of information about the parameters of recycled products" and "increasing visibility in the process of product recovery in the process of supply chain reversal using the product exchange policy with the customer". Among these strategies, two strategies are updated at the initial level of their model. The strategies of "creating policies to review inventory control periods and production planning" and "availability of information on recycled product parameters" are at the initial level of the model. The research findings also indicate the strategies of "increasing visibility in the process of product recovery in the process of backward supply chain using product exchange policy with the customer" and "reducing product delivery time" at the final level of the model. These findings indicate that if the strategic conditions in the automobile oil production environment are improved, the bullwhip effect in the closed-loop supply chain can be properly addressed and reduced. Other findings of the research in the Mick Mac analysis section show that the strategies identified in this study are divided into three parts: dependent region, transplanted region and independent region.Discussion and conclusion: The placement of the strategy "Availability of information on the parameters of recycled products" at the initial level of the model shows that one of the requirements in order to deal with the bullwhip effect within the supply chain is to provide information related to this area. Another appropriate classification of this information can improve the use of information. In this regard, managers working in the automobile oil production sector of the country are advised to use a suitable structure to classify and improve the situation in the field of information and its maintenance. On the other hand, placing the strategy of "creating policies for reviewing inventory control periods and production planning" at the initial level of the model shows that addressing inventory control policies for a period can be a good ground to reduce the bullwhip effect in a Provide supply chain structure. Therefore, in this section, it is recommended to the managers of the automobile oil industry in Iran to continuously monitor the necessary requirements for inventory by creating an instantaneous platform in control.