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A critical decision made by many firms is whether to adopt a responsive supply chain (prioritizing speed) or an efficient supply chain (prioritizing cost). We consider the environmental implications of this choice, and find that firms will have the greatest incentive to invest in responsiveness when it is most detrimental to the environment. We discuss the implications of this for policymakers seeking to encourage firms to use supply chains that generate the least environmental impact.
How marginal value of time influences optimality when remanufacturing to multiple generations
Neil Geismar, Mengyun Zhang, James Abbey
Texas A&M University, United States of America
We investigate a Remanufacturing Original Equipment Manufacturer (ROEM) who can choose
to remanufacture recovered cores either to their original configuration or to current technology. The decay of consumers’ valuations of the products as time passes influences the optimality managerial decisions. Hence, we examine the traditional method of studying this effect and develop a more realistic model that offers new insights into the optimal remanufacturing choices.
From bespoke supply chain resilience to sustainability
Morris Cohen1, Shiliang Cui2, Sebastian Doetsch3, Ricardo Ernst2, Arnd Huchzermeier3, Panos Kouvelis4, Hau Lee5, Hirofumi Matsuo6, Andy A. Tsay7
1The Wharton School, University of Pennsylvania; 2McDonough School of Business, Georgetown University; 3WHU - Otto Beisheim School of Management; 4Olin Business School, Washington University in St. Louis; 5Graduate School of Business, Stanford University; 6Tokyo International University; 7Leavey School of Business, Santa Clara University
This paper extends our research on “bespoke” resilience strategies, by formulating a supply chain model that enhances reported models by adding sustainability. The proposed model examines tradeoffs, constraints, and risks for the extended problem and considers implications for supply chain strategy development. One key question was whether the two concepts are mutually reinforcing or conflicting. Our analysis shows how the answer depends on the features of the supply chain environment.
