Vendor-managed inventory as data interchange strategy in the networked collaboration of a Vietnam ship parts supplier and its customers

ABSTRACT

This research paper explores through a single case study the networked data interchange strategy in supply chain collaboration of an anonymized company in a developing region, hereafter called Ship Parts (SP) Vietnam, a pipes and valves supplier for the shipbuilding industry. Our research applies descriptive analysis approach to examine the question: what are the strategic and technological considerations for information exchange in the various customer collaboration practices in management of the supply chain as networked collaborative relationships? We discuss the role of Electronic Data Interchange exhibited as the practice of Vendor-Managed Inventory (VMI) in the case relationships. The names of all key stakeholders in this study are anonymized. We investigate the effects of the IT strategy of SP Vietnam on the social and economic business relationship developed with its customers. An important finding of this case study of networked customer relationships is that they vary in relation to how they practice the logistics of customer supplies. VMI is revealed as enabled by maturing relationships. Achieving quality collaboration is likewise dependent on learning through the customer relationship.

KEYWORDS:

• IT and global community
• social development issues
• economic development issues
• collaboration
• trust

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes on contributors

Judith Molka-Danielsen is Professor since 2013 in Information Systems and Information Sciences, Faculty of Logistics at Molde University College, Norway. Her PhD (1998) in Information Sciences is from the University of Pittsburgh USA. Her research explores virtual worlds as engaging environments that can be applied to knowledge sharing and building knowledge communities. She has over 100 scholarly publications. She was partner representative in international EU projects AVALON and EUROVERSITY. One of her works examines the use of reward models in language learning that are relevant beyond specific courses, and that create lasting engagement in a community of teachers and learners. Factors studied were immersion and identified the constructs of the learning environment that foster a sense of belonging to community and ongoing participation and contribution to that community. This was presented at ICIS2010 IEEE Conference in Chengdu, China. Also in 2011, Molka-Danielsen was contributing author on the report, “Evaluation of cooperation project between China Disabled Persons’ Federation (CDPF) and Norwegian Federation of Organizations of Disabled People (FFP) – The added value of FFO’s participation.” This work recommended new possible methods of “train-the-trainer” teaching and new activities using virtual world technologies and a Participatory Action Learning approach to contribute to their organization training objectives.

Per Engelseth is Associate Professor, Faculty of Logistics at Molde University College, Norway. His PhD (2007) in Department of Strategy and Logistics is from BI Norwegian School of Management. Per has published extensively in the study of global supply chains in the maritime industry, reverse logistics, and in social interaction and price transmission in multi-tier food supply chains.

Bich Thi Ngoc Le is a recent graduate of the MSc Logistics Program at Molde University College in May 2016. Her thesis examines collaboration practices in supplying standard parts for the shipbuilding industry. Her thesis makes a significant contribution in understanding the collaboration practices between a Norwegian SP supplier and its value chain partners.