Adding value through using vendor managed inventory systems - Contribution of supplier services to customer satisfaction

摘要

Many strategies have been developed to manage whole supply chain operations effectively. Vendor-managed inventory (VMI) system is one of the prevalent strategic tools of the supply side logistics based on the cooperation of suppliers and customers via shared information among the entities to get the competitive advantage through the effective supply chain. Though the practice of VMI is originated from retail industry, today it is widely being used in different industries including automotive sector. The VMI concept is a continuous replenishment program where supplier is given access to demand and inventory level of customers and he is fully responsible for managing and replenishing the customer's stock. Even though VMI is a straightforward and successful deployment, its extension on customer satisfaction cannot be perceived sufficiently by decision-makers who are responsible to develop and invest in the customer-supplier relationship. In this paper, a path model is presented using the method of partial least squares (PLS) regression to give insight to decision-makers to understand effect of the VMI adoption on customer satisfaction. This paper investigates both determinants of relative factors of successful VMI adoption and the relationship in the supply chain with an empirical automotive industry case. The result of the study shows that the intensity of the collaboration and coordination between customer and supplier and infrastructure of the information-sharing are the important relevant dimensions to add value to the supply chain and to enhance customer satisfaction.