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Case Studies: Supply Chain A

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Achieving Supply Chain Agility
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Abstract

The chapter presents case studies showing how Chinese automotive companies realise IS enabled supply chain agility and what its effects are on operational performance. It focuses on one OEM and two first tier suppliers. The analysis is based on individual companies, providing a detailed picture of the information flow and the status quo of IS applications. The approaches taken for achieving supply chain agility through IS integration are also discussed through four dimensions of supply chain agility.

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Notes

  1. 1.

    SAP AG is the largest European software enterprise with headquarters in Germany. It focuses on ERP and the company’s main product is SAP ERP. It is one of the most popular ERP systems in Chinese automotive industry (Peng 2006).

  2. 2.

    In mid-1990, out of 1.2 MM total vehicle output, passenger cars were produced only 300,000 in total. The majority of the vehicle production was heavy trucks and buses. However, the passenger car production was nearly 50% of total production in 2004 (Tang 2009). The control on private purchase was only lifted in mid-1980s. By 2009, 61% of the total vehicle sold in China represents passenger vehicles (Booz & Co 2009).

  3. 3.

    SAP R/3 is the third version of SAP real-time data processing. Its new name is SAP ERP (www.sap.com).

  4. 4.

    EDIFACT is abbreviation for electronic data interchange for administration, commerce and transport, an international EDI standard developed under United Nations.

  5. 5.

    The CAGR numbers for personal car sales from 2005 to 2016 are provided by The International Organization of Motor Vehicle Manufacturers (http://www.oica.net/category/sales-statistics/).

  6. 6.

    The definition (manufacturing industry) small enterprise is (1) the number of employees < 300; (2) annual revenue < RMB30m (£3.50m); (3) total asset < RMB40m (£4.67m); and the medium size enterprise is (1) the number of employees 300–2000; (2) annual revenue RMB30m–300m (£3.50m–35.0m); (3) total asset RMB40m–400m (£4.67m-46.7m) (state economic & trade commission, 2003). Exchange rate of GBP: RMB is at 8.56 on 11 September 2017.

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Wu, Y. (2019). Case Studies: Supply Chain A. In: Achieving Supply Chain Agility. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-98440-7_4

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