Problem Formulation and Conceptual Model

Modelling Scientific Model

Analysis Improvement

Generalisation

Conclusion

Figure 3.3: Research framework

3.5 Problem Formulation and Conceptual Model

The conceptual model for the study was generated from reviewing the literature to obtain a broad overview o f the research area as well as from via case study method in order to observe o f a real life phenomenon, i.e. the supply chain process. It was important to identify the problem considered in this research and the scope o f the research.

3.5.1 Literature Review

As discussed in Section 3.3, the literature review provides an overview o f the improvement supply chain strategies that exists in the healthcare supply chain, different IRP methods used by previous researchers to solve the IRP, the vehicle effectiveness strategies and the information to develop new transportation costs. In addition, the information collected from the literature helped to define the research gap so that this thesis could contribute to the existing body o f knowledge.

The literature for this review was captured from various sources, including:

i) University online databases and electronic journal databases

Relevant papers and journals were identified based on key words like

‘Inventory Routing Problem’, ‘Vendor Managed Inventory’, ‘Joint Replenishment’ and ‘Supply Chain Methodology’ and obtained from the online database provided by Cardiff University. The Scopus, Pro quest, Emerald and Science Direct databases are common databases used to find the published academic journal papers or articles from magazines. The author also accessed and reviewed special issues o f top journals in the logistics area such as the ‘Journal o f Business Logistics’, ‘European Journal o f Operation Research ’, Transportation Science ’ , Tnternational Journal o f production Economics’ and the ‘International Journal o f Production Research ’.

ii) Conference proceedings

Papers from conference proceedings were useful for obtaining the latest information regarding the research area that had not been published yet in journals.

iii) Cardiff University library

The University library offered a wide range o f books and magazines that was used as a foundation and starting point for providing general information about the research area. The library also provided a hardcopy o f journal papers and previous student theses for reference. Further, the university provided an inter-library loan service to obtain those resources not provided by the university.

iv) Internet

This is the fastest growing resource for obtaining research information which can be obtained easily from a search engine like Google (www.google.comT The information given from the internet came from various sources, including lecture notes, journal papers, newspapers, information from the organization under study, and academic websites.

The Google scholar websites provides more relevant information for

research as it locates scholarly information such as journals, peer-reviewed articles, theses and technical reports from universities, (Noruzi, 2005).

3.5.2 Case Study

The design o f the case study appropriate for a research study needs to be determined before conducting the research. Yin (2003) categorised four types o f case study design, namely: single-case (holistic) design, single-case (embedded) design, multiple-case (holistic) design, and multiple-case (embedded) design. Figure 3.4 shows these four classifications based on Yin (2003). The present study design can be classified as an embedded type since it involves more than one unit o f analysis.

According to Bryman and Bell (2007), the best-known research in the business and management area is based on the single-case study approach where the study normally focuses on a single organisation, a single location, a person or a single event. Voss, Tsikriktsis and Frohlich (2002) contend that the single case study approach provides an opportunity to gain in-depth knowledge but has the possible disadvantage o f misjudging the single event and limited scope for generalisation. On the other hand, multiple case studies can enhance the external validity but may reduce the depth of the study.

Ellram (1996) states that a single case study is suitable for representing a critical case to test a theory and is also appropriate for studying a unique case as well as to study the phenomenon that has previously been difficult to get access too. Yin (2003) also advocates these reasons for using the single case study method. A single case study was viewed as appropriate for the first phase o f this research to study in detail the structure o f supply chain activities within the private healthcare industry, which can be considered unique when compared to other supply chain processes studied previously in the IRP area. The strong academic collaboration between the case study organisation and the research Faculty o f Computer Science and Information System of the University Technology Malaysia provided the author with an opportunity to gain access to the organisation. Furthermore, the in-depth investigation o f one o f the leading private healthcare companies in Malaysia that owns the largest chain o f

clinics in the country offering private health care will reveal whether the IRP a

Figure 3.4: Case study design type (Source: Yin, 2003)

The study can be classified as an embedded single case study since the study will explore several aspects, including inventory management, transportation management, and the ordering process within a two echelon supply chain in an organisation. The organisation has a central warehouse that receives deliveries from a large number o f suppliers that is represented as a single wholesaler in this study. On the other hand, retailers are represented by the chains o f clinics that are owned by the organisation.

Relevant data for the analysis process is collected using a triangulation technique that combines process mapping, interviews and company documentation and archival data. The use o f multiple sources for the data collection process will address the issues construct validity. The interview sessions with personnel in charge o f supply chain activities, an IT manager from the IT Department, and staff members from clinics started with broad and open-ended questions. Questions then become more specific as interviews progressed as suggested by (Voss, Tsikriktsis and Frohlich, 2002), open-ended questions allowed interviewees to freely express their opinion regarding the supply chain process in the organisation. The data collection technique

is discussed in chapter four, Section 4.3. The process to develop a simulation model which is a valid model o f the system under study is discussed in the next section.