{"title":"Managing Perishable Inventory Systems with Product Returns and Remanufacturing","authors":"Ke Fu, Xiting Gong, Guitian Liang","doi":"10.2139/ssrn.3341779","DOIUrl":"https://doi.org/10.2139/ssrn.3341779","url":null,"abstract":"Motivated by emerging practice in the cut flower industry, we consider a periodic‐review inventory system for a perishable product with a lifetime of two periods. There are two separate customer demands for the new product with two‐period remaining lifetime and the old product with one‐period remaining lifetime, and a fixed proportion of the unsatisfied demand for one product will purchase the other product as a substitute. One distinctive feature of our system is that a random portion of the sold new product is returned and can be remanufactured and remarketed as the old product for sale. The objective is to maximize the expected total discounted profit over a finite planning horizon. We show that the optimal remanufacturing policy is a modified base–stock policy, and that the optimal manufacturing quantity of the new product decreases in the inventory level of the old product after remanufacturing. Furthermore, when the inventory level of the old product is large, the optimal manufacturing quantity asymptotically approaches a constant, which is lower and upper bounded by two newsvendor fractile solutions. We also conduct a numerical study to derive insights into the effects of remanufacturing and demand substitution. In particular, we show that remanufacturing can be a powerful way of mitigating negative environmental impacts in the cut flower industry. Finally, we discuss two model extensions that allow a joint production capacity and a multi‐period lifetime.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"24 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-01-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122760106","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Politics of Upgrading in Global Value Chains: The Case of Rwanda’s Coffee Sector","authors":"Pritish Behuria","doi":"10.2139/ssrn.3275240","DOIUrl":"https://doi.org/10.2139/ssrn.3275240","url":null,"abstract":"Two parallel tracks of research on economic transformation in developing countries have operated at a distance from each other over the last two decades. A global track – global value chains/global production networks (GVC/GPNs) – has focused on the increasing interconnectedness of global trading networks and has overlooked the role of the state and the explanatory power of domestic political economy. Meanwhile, a domestic track – including literature on developmental states, industrial policy and political settlements – has tended to take a methodologically nationalist perspective to examine economic transformation in developing countries, with limited reflections on external economic and political pressures. This paper contributes to an emerging stream of literature that examines how the domestic and global scales influence how developing country governments and firms tackle the challenge of economic upgrading. By combining insights from the political settlements and GVC/GPNs literature, this paper examines the Rwandan government’s attempt at upgrading its coffee production to enter specialty coffee markets. It shows how the existing GVC/GPNs literature makes an important contribution to describing how multipolar governance influences the pathways for economic upgrading in Rwanda’s coffee sector, but that even where access is granted, benefits are captive to the demands of international buyers, and gains for some have not translated across the sector. Insights from the political settlements literature showcase how domestic politics influences who benefits from insertion to GVC/GPNs and how the unequal provision of opportunities affects political stability.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"10 1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2018-10-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131442025","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"A Bilateral Monopoly Model of Profit Sharing along Vertical Production Structure","authors":"J. Shen, P. Scaramozzino","doi":"10.2139/ssrn.3239757","DOIUrl":"https://doi.org/10.2139/ssrn.3239757","url":null,"abstract":"This paper investigates the firm-level division of the gains in the vertical production structure and provides a new theoretical framework to explain how gains are divided among firms and within the vertical supply chain. It constructs an economic model using a bilateral monopoly market structure to analyse how the average profitability varies with the stages in the chain. By introducing a vertical restraint known as quantity fixing, the double marginalization problem arising as a result of bilateral monopoly can be resolved. It demonstrates joint-profit maximizing contracts emerge under quantity fixing parameters whereby the Assembly and downstream retailer eliminate the incentives for vertical integration. This paper also shows the downstream retailer is more profitable than the upstream Manufacturer if (and only if) both the capability and cost effect of Retailer dominates the two counterpart effects of Manufacturer. For the dominance of capability effect, the retailer must have higher monoposonistic market power in the intermediate inputs market than in the final goods market where it acts as a monopolist. As a result, it could extract more surplus from manufacturer rather than consumers. In terms of cost effect, the factor endowment structure differentials are important to the model. The labour intensive nature of the Manufacturer would lead it to the lower average product of labour, generating a lower level of profitability compared with downstream Retailer which is more capital intensive with higher average labour productivity.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"48 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2018-08-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123616331","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Competition between Basic and Applied Research in the Organizational Behaviour of Public Research Labs","authors":"M. Coccia","doi":"10.1453/jel.v5i2.1652","DOIUrl":"https://doi.org/10.1453/jel.v5i2.1652","url":null,"abstract":"The purpose of this paper is to investigate the competition between basic and applied research within public research organizations. International publications are considered here a proxy of basic research, whereas self-financing deriving from technology transfer activities is an indicator of applied research. Results suggest, within one of the largest European research organizations an increasing competition between basic and applied research, both in human and natural sciences, due to shrinking of public research lab budgets. In particular, institutes and scientists pay more attention to applied research activities, which are capable of attracting market funds for economic survival of public research labs but this organizational behaviour reduces basic research activity in the long run. Managerial and organizational behaviour of public research organizations are also discussed.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"3 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2018-07-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132658379","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Socially Responsible Supply Chains in Emerging Markets: Some Research Opportunities","authors":"Christopher S. Tang","doi":"10.2139/ssrn.3095306","DOIUrl":"https://doi.org/10.2139/ssrn.3095306","url":null,"abstract":"Abstract This article seeks to provide research opportunities in “socially responsible supply chains”. I first provide some background and context from the wider literature. Then I outline case studies in emerging countries where large companies engage the poor as producers and the poor as distributors. Next, I discuss different research topics arising from socially responsible supply chains.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2018-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"115846087","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Operationalizing the Triple Bottom Line in Models for Operations and Supply Chain Management","authors":"Ian M. Langella","doi":"10.2139/SSRN.3016817","DOIUrl":"https://doi.org/10.2139/SSRN.3016817","url":null,"abstract":"Sustainability where profits do not come at the expense of people or the plant demands that environmental impact and social responsibility be balanced with costs and profit. Meanwhile, globalization has brought about very complicated global supply chains used to fulfill the demand for products. Operations management has traditionally been focused on mathematical models and there has been much discussion on how to incorporate people and planet alongside profit. In this work we start by providing a very basic model, and show how social responsibility and environmental sustainability can be incorporated.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"37 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2017-08-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"121442977","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Mining and Socio-Ecological Resilience in Mineral-Rich Small States: An Integrative Approach to Phosphate Mining on Nauru","authors":"Saleem H. Ali, Martin J. Clifford, K. Matsubae","doi":"10.2139/ssrn.3009738","DOIUrl":"https://doi.org/10.2139/ssrn.3009738","url":null,"abstract":"This paper considers how extractive industries can play a more constructive role in the development trajectories of small-island states despite a negative legacy of extraction. We consider the case of Nauru, a small Pacific island nation which historically had some of the world's finest phosphate reserves that propelled its population to great wealth. However, errant planning and financial mismanagement led to a crash in the country's fortunes and led it to become dependent on foreign aid. This paper considers how such an economy can be rebuilt through smart investment in ecological restoration, branding of mineral products for ecological and developmental value and using the capital generated to develop a more diversified economic base.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"78 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2017-07-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131050206","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Rationale for Responsible Supply Chain Management and Stakeholder Engagement","authors":"M. Camilleri","doi":"10.1108/JGR-02-2017-0007","DOIUrl":"https://doi.org/10.1108/JGR-02-2017-0007","url":null,"abstract":"Purpose \u0000 \u0000 \u0000 \u0000 \u0000Firms are increasingly resorting to responsible supply chain management as they align their economic success with socially responsible initiatives in their value chain. This contribution aims to suggest that there are opportunities for global corporations who are keen on integrating responsible practices into their business operations. It is in their interest to report about their responsible supply chain management, social performance and sustainable innovations to their stakeholders. \u0000 \u0000 \u0000 \u0000 \u0000Design/methodology/approach \u0000 \u0000 \u0000 \u0000 \u0000This paper identifies future research avenues in the promising areas of responsible procurement and global supply chain management. \u0000 \u0000 \u0000 \u0000 \u0000Findings \u0000 \u0000 \u0000 \u0000 \u0000The corporations’ differentiated strategies as well as their proactive engagement in responsible supply chain management can lead them to achieve a competitive advantage in the long term. The low-cost producers may be neglecting the marketplace stakeholders, including suppliers, distributors among others. Moreover, the smaller businesses’ could not be in a position to follow responsible procurement practices, as they may lack the scarce resources to do so. \u0000 \u0000 \u0000 \u0000 \u0000Originality/value \u0000 \u0000 \u0000 \u0000 \u0000This paper raises awareness about the integration of socially responsible behaviours and sustainable practices in business operations. It contends that a responsible supply chain management necessitates an improved relationship with suppliers and distributors in the value chain. This stakeholder engagement with ultimately create value to the businesses themselves.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2017-04-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131423550","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Agnès Zabsonré, Maxime Agbo, Juste Somé, Irène Haffin
{"title":"Gold Exploitation and Socioeconomic Outcomes: The Case of Burkina Faso","authors":"Agnès Zabsonré, Maxime Agbo, Juste Somé, Irène Haffin","doi":"10.2139/ssrn.3163638","DOIUrl":"https://doi.org/10.2139/ssrn.3163638","url":null,"abstract":"In the early 2000s, Burkina Faso launched several legal reforms aimed at increasing gold production. This resulted in a gold mining boom, making gold the main export product and the main source of economic growth of the country. We hypothesize that gold extraction improved population living standards. This paper investigates how the gold boom in Burkina Faso which began in 2007 has affected socioeconomic outcomes. We use a simple theoretical model to motivate the testing of several hypotheses regarding these impacts. Employing a difference-in-differences strategy as well as panel data models, we estimate the impacts using data from household surveys undertaken in 2003 and 2009 and administrative data. Consistent with our model, the results suggest that areas hosting gold extraction have better average living standards in terms of headcount ratios, poverty gaps and household expenditures than do areas without gold. However, the gold boom is also shown to have potentially increased local inequality and child labor in areas with these income gains. These results demonstrate the importance of proactive government policy in mitigating negative welfare impacts.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"25 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2017-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130409655","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Design of the Reverse Channel for Remanufacturing: Must Profit-Maximization Harm the Environment?","authors":"Lan Wang, G. Cai, A. Tsay, A. Vakharia","doi":"10.1111/POMS.12709","DOIUrl":"https://doi.org/10.1111/POMS.12709","url":null,"abstract":"A key attribute of a remanufacturing strategy is the division of labor in the reverse channel, especially whether remanufacturing is performed in-house or outsourced. We investigate this decision for a retailer who accepts returns of a remanufacturable product. Our formulation considers the cost structures of the two strategies, uncertainty in the input quality of the collected/returned used products, consumer willingness-to-pay for remanufactured product, the extent to which the remanufactured product cannibalizes demand for new product, and the power structure in the channel. \u0000 \u0000For the profit-maximizing retailer the differentials in variable remanufacturing costs drive strategy choice, and higher fixed costs of in-house remanufacturing favors outsourcing. The variable remanufacturing costs and the balance of power in the prospective outsourced reverse channel are the key drivers of environmental impact, as measured by the retailer's propensity to remanufacture. While profitability and environmental goals often conflict, they align under certain conditions. These include (a) the third-party has less bargaining power; or (b) the fixed cost for in-house remanufacturing is relatively high. All else equal, when remanufacturing is outsourced, the environment fares better if the third-party has leadership power. \u0000 \u0000We generalize to the cases when remanufacturing achieves a quality level less than “good-as-new” and when used items have non-zero salvage value. Analysis of these extensions illuminates how relative power in the reverse channel drives the firms’ preferences, as well as the end customers’ consumption experience. \u0000 \u0000This article is protected by copyright. All rights reserved.","PeriodicalId":301337,"journal":{"name":"Social Responsibility in Production & Supply Chain Management eJournal","volume":"269 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2017-02-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"115482347","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}