In order to develop new ways of viewing and characterizing relationships in supply chains, a case study will be conducted at a multinational corporation (MNC) to study complex relationships. The MNC was selected because it operates multinational supply chains on three continents: North America, Europe, and Asia and this provides the opportunity to allow the relationship factors to be based upon international business relationships as well as domestic relationships. The MNC is a small equipment manufacturer whose end users are members of households and small businesses and it uses a network of third-party small distributors as well big box stores to sell products to end users. This type of supply chain allows for study of relationships at many distribution stages: raw materials distribution (Stage 1), component part distribution (Stage 2), and finished goods distribution (Stage 3). This particular manufacturer has some power in the supply chain due to being one of the largest providers of their products directly to retailers, however their big box retailers have significant power in their supply chains.
2.9.1. Qualitative Research Approach
Qualitative research methods will be used because instead of assessing importance of already identified relationship factors and performance, new relationship and interaction characterizations are sought. The best way to uncover what these factors is to conduct open-ended in-depth interviews to better understand relationship characteristics and interactions within a supply chain. Information
29
collected will be in a natural language response form, and the in-depth interviews with be recorded for later transcription. This approach allows more exploratory analysis of relationships in supply chains. Flexibility will be minimized during the interview by constructing a standard set of open-ended questions (questionnaire) so that all information desired can be collected efficiently due to time-constraints imposed on interviews with supply chain employees and members.
2.9.2. Scope of Case Study
The case study will be conducted at the primary US site of the manufacturer for the purposes of conducting on-site in-person and phone interviews with people involved in relationships with the MNC. The on-site data collection will take place over the course of six weeks. In order to collect the required data given time constraints, only three supply chains will be studied, with one selected which represents three different continents: US, Europe, and Asia. Only three functions across those supply chains will be studied to limit the scope: logistics, demand planning, and sourcing. These three functions encompass the major functions involved in distribution and transportation within the supply chain.
2.9.3. Dyads, Triads, and Networks of Relationships
Every effort will be sought to investigate a relationship from both sides of a dyadic relationship or multiple sides for networks of two or more relationships. To investigate multiple sides of a relationship and identify all participants in the relationship, a process flow map will be created for each of the three supply chains (US, Asia, Europe) for all three processes (logistics, demand planning, and sourcing). Each link in the supply chain will be numbered by Stage (1, 2, or 3) and combined
30
with a letter to indicate sub-stages (1A, 1B, etc.) Each of the sub-stages is considered a link in the supply chain, and all of the processes and entities involved in transferring product and orders at a link will be studied.
2.9.4. Questionnaire Development and Use
A questionnaire will be developed that facilitates the study of the processes, interactions, and relationships that occur at each link in the supply chain. Considering time constraints, it is decided to choose 30-40 people across the three chains and links to interview to complete all interviews while on-site at the MNC during the six-week period. The first two weeks are dedicated to creating the nine process flow maps for the three chains and three processes, identifying the links, and the people to interview. Some links may be left out of the study due to time constraints. Partners who are not located on-site at the MNC will be interviewed by phone (other US sites, suppliers, partners, customers, sites in Europe and Asia).
The questionnaire will be designed so that all questions can be answered within a 90-minute interview. One question will concern developing an interaction map so that all processes and entities involved in the interaction are identified. The questions will start with more open-ended questions and end with more precise questions.
2.9.5. Qualitative Analysis Methods
The responses will be evaluated to look for indications of strengths or weaknesses in relationships and interactions that would lead to development of important relationship characteristics. The logic of using the strength-weakness categorization is that positive perceptions and negative perceptions of interactions and
31
processes can signify important characteristics of an object. Once strengths and weaknesses are identified at each link, a deductive approach will be used that focuses upon grouping data across responses by similar relationship characteristics or factors to uncover whether the strengths and weaknesses are consistent across the chains or differing due to unique characteristics of the supply chain. The results of this analysis will conclude with a table of relationship strength and weakness findings for the study that can be developed into relationship factors.
32