Characterizing stability of inventories in supply chains with delays in early-stage firms

Abstract

Resource constrained early-stage firms commercializing assembled products face supply chain (SC) problems that could ultimately cause the company to fail. Delays, complexity, and associated cost overruns throughout the SC can quickly drain cash flow, putting the new firm in a disadvantaged position. This is exacerbated by the increased use of outsourced global suppliers, demands of resellers, and pressure for rapid growth. A decision-making tableau over a conceptual SC model is revealed, which identifies qualitative behavior of inventories with respect to delays inherently present in the SC. This tableau can aid the entrepreneurial manager in strategic decisions. A case example is given followed by discussion on the results, limitations, and direction of future research.