Concepedia

Abstract

Purpose The purpose of this study is to examine important operational issues related to strategic success factors that are necessary when implementing SCM plans in an organization. Design/methodology/approach A questionnaire was distributed to top and middle management within a large manufacturing firm, specializing in producing consumer and building products, to examine the importance and the extent to which the selected manufacturing company practiced the strategies based on these identified operational issues. Findings Reducing cost of operations, improving inventory, lead times and customer satisfaction, increasing flexibility and cross‐functional communication, and remaining competitive appear to be the most important objectives to implement SCM strategies. The responses by the survey respondents indicate that not enough resources were allocated to implement and support SCM initiatives in their divisions. In addition, they perceived that resource allocation could be improved in the areas of better information systems, greater commitment, setting clear‐cut goals, increased training, more personnel, and aligning SCM initiatives with current priorities and resource commitments. Practical implications The results will help to provide greater understanding of strategic and operational issues that support SCM framework and implementing SCM strategies to reduce supply chain‐wide costs and meeting customer service levels. Originality/value The results will be useful for business managers to understand and implement SCM plans in terms of their importance and the company's culture.

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