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Department of Mechanical Engineering, Indian Institute of Technology Delhi, New Delhi 110016, India
a r t i c l e i n f o
Article history:
Received 30 November 2006
Accepted 1 May 2008
Available online 21 June 2008
Keywords:
Supply chain coordination
Coordination mechanisms
Supply chain processes
Supply chain coordination index
a b s t r a c t
Supply chains (SC) are generally complex and are characterized by numerous activities
spread over multiple functions and organizations, which pose interesting challenges for
effective SC coordination. To meet these challenges, SC members must work towards a
unied system and coordinate with each other. A systematic literature review is
presented in this paper to throw light on the importance of SC coordination. The
objectives of this paper are to: report and review various perspectives on SC
coordination issues, understand and appreciate various mechanisms available for
coordination and identify the gaps existing in the literature. A framework is suggested
indicating scope for further research.
& 2008 Elsevier B.V. All rights reserved.
Contents
1. Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 317
2. Methodology and classication. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 318
2.1. Role of coordination and various models . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 318
2.1.1. Observations and gaps regarding various perspectives and conceptual models . . . . . . . . . . . . . . . . . . . . . . . . 320
3. Coordination across different functions and at interfaces of the supply chain. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 321
3.1. Coordination across different functions of supply chain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 321
3.2. Coordination at the interfaces of supply chain. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 322
3.2.1. Production and distribution coordination. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 322
3.2.2. Procurement and production coordination . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 324
3.2.3. Production and inventory coordination. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 324
3.2.4. Distribution and inventory coordination. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 325
4. Coordination mechanisms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 326
4.1. Supply chain contracts. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 326
4.2. Information technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 326
4.3. Information sharing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 326
4.4. Joint decision making . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 326
4.4.1. Observations and gaps in coordination mechanisms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 327
5. Empirical case studies in supply chain coordination . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 327
5.1. Observations and gaps in the case studies of supply chain coordination . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 328
6. Discussion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 328
6.1. Existing models of coordination and the gaps in these models. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 328
Contents lists available at ScienceDirect
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Int. J. Production Economics
ARTICLE IN PRESS
0925-5273/$ - see front matter & 2008 Elsevier B.V. All rights reserved.
doi:10.1016/j.ijpe.2008.05.011