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Life Cycle Management in Supply Chains: Identifying Innovations Through the Case of the VCR

Book Description

"As the supply chain is the major arena for competition in modern business, and at each stage in the industrial life cycle it is necessary to adjust the management of the supply chain to remain competitive, there is a growing demand for authoritative research to clarify the supply chain structure and evolution through the industrial life cycle.

Life Cycle Management in Supply Chains: Identifying Innovations Through the Case of the VCR presents comprehensive, in-depth coverage of the intimate connection between the industry life cycle and supply chain management, utilizing the case of the industrial life cycle of the VCR to provide practitioners and researchers with key insight into the supply chain as the basic business unit for competition, and the requisite alteration of the management of the supply chain at each stage of the life cycle."

Table of Contents

  1. Copyright
  2. Foreword
  3. Preface
  4. Acknowledgment
  5. I. Overview
    1. I. SCM Models
      1. Fundamentals of Supply Chain Management
      2. Drivers of Supply Chain Dynamics
      3. Multi-Echelon Supply Chain Composed of Scratched-Together Partners
      4. Information Distortion within Supply Chain
      5. Bullwhip Effect Within Supply Chains
      6. Boom and Bust
      7. Dynamic Simulation of Supply Chain Management
      8. Globalization Issues for Supply Chains
      9. Emerging Technologies in SCM
      10. Conclusion
      11. References
      12. Endnotes
    2. II. Review of Life Cycle Theories
      1. Three Life Cycle Theories Related to Business Practice
        1. Life Cycle Patterns
        2. Innovation and the Productivity Dilemma
        3. SCM Considering Innovation and the Productivity Dilemma
          1. Location of Manufacturing Facilities
          2. Location of Manufacturing Facilities from SCM View
      2. Product Life Cycle (PLC)
      3. PLC from SCM Perspective
        1. Industrial Life Cycle
        2. Emerging Technologies and Life Cycles
      4. Conclusion
      5. References
      6. Endnote
    3. III. Analytic Research and Quantitative Models
      1. Introduction
      2. Background
      3. Main Focus of the Chapter
        1. Review of Life-Cycle Related Research
        2. An Analysis of the Literature Sample
          1. Topic Area
          2. Methodology
        3. Some Promising Directions for Further Research
        4. Mathematical Modeling of Life-Cycle and Diffusion Curves
          1. The Fundamental-Structural Approach
          2. The Bass Model
          3. The Bass (1980) Model
          4. The Kalish (1985) Model
          5. The GBM Model
          6. The Empirical-Technical Approach
          7. Estimation of Parameters and Applications
      4. Future Trends
      5. Conclusion
      6. References
    4. IV. Supply Chain Dynamics and Dynamic Simulation
      1. Introduction
      2. Background
      3. Main Focus of the Chapter
        1. Collaboration within Supply Chains
        2. Undesirable Phenomena in Supply Chain Dynamics
        3. The Theory of Constraints
          1. Dynamic Computer Simulation
        4. A Dynamic Simulation Illustration
        5. Simulation Background
          1. The Tamagotchi™ Case Study
        6. Scenarios for the Market, Retail and Factory Levels
        7. Simulation Results
          1. The Impact of Diffusion Speed
          2. The Effect of Delay in Discovering Phantom Demand
          3. The Effect of the Investment Policy
          4. The Importance of Repeat Purchases
          5. What-If Analysis: Value of Information
          6. Simulation Conclusions
        8. Control of Diffusion Speed
        9. The Importance of Repeat Purchases as a Buffer
        10. Identifying Phantom Demand
        11. Commitment to the Supply Chain
        12. Coordination within the Supply Chain
        13. Information Sharing Among Supply Chain Players
      4. Future Trends
      5. Conclusion
      6. References
      7. Endnote
  6. II. Innovation Aspects
    1. V. Prerequisite Conditions for Commercializing
      1. Periodization until the Emergence of the Dominant Design
        1. Embryo Period (In the 1950s and 1960s)
        2. Fetus Period (In the Early 1970s)
        3. Birth (In the mid-1970s)
      2. Basic Requirements
        1. Playback and Recording Functions
        2. Size and Weight
        3. Cassette
        4. Price Down
      3. Sony’s Contribution in the Development of the Home-Use VCR
      4. JVC’s Challenge
      5. Emergence of the Video Software Industry
      6. Role of SCM for Prerequisite Conditions
      7. Conclusion
      8. References
      9. Endnotes
    2. VI. Struggle for De Facto Standard
      1. Emergence of Betamax and VHS
      2. Formulation of the Betamax and VHS Groups
      3. Product Advancement Under the Struggle
      4. OEM Under the Struggle
      5. VHS’s Great Victory
      6. Betamax’s Fate
      7. Marketing Interface and Strategy Issues
      8. Supply Chain vs. Supply Chain
      9. Conclusion
      10. References
    3. VII. Development of Products
      1. Innovations and Productivity Dilemma
      2. Evolution of VHS Formats
      3. New Functions
      4. Advancement of Key Parts
      5. Progress of Process Innovation
      6. Effect of Entry Timing on Price and Width of Selection
      7. Productivity Dilemma
      8. SCM for Product Advancement
      9. Conclusion
      10. References
    4. VIII. Emergence of Destructive New Technologies
      1. Source of Longevity
      2. Alternative Products
      3. Drivers for Obsolescence of VCR (VHS)
      4. End of the VCR
      5. Strategies for Alternative Products
      6. SCM Against Alternative Products
      7. Emergence of New Technology and Life Cycle
      8. Conclusion
      9. References
  7. III. Consumer Aspects
    1. IX. Extreme Innovators and Innovators
      1. Characteristics of Extreme Innovators and Innovators
      2. Innovators’ Role in Industry
      3. Failures due to Prematurity in Technology and Market
      4. Price Decline and Diffusion of the VCR
      5. Extreme Innovators and Innovators in the Home-use VCR Market
      6. VCR Products for Innovators
      7. Repeat Purchases of Extreme Innovators and Innovators
      8. Supply Chains to Innovators
      9. Conclusion
      10. References
    2. X. Early Adopters and Early Majority
      1. Characteristics of Early Adopters and Early Majority
      2. Early Adopter’s Effect on Future Adopters
      3. Role of Early Adopters in Industry
      4. Early Majority’s Impact on the Industry
      5. Early Adopters and Early Majority of the VCR
      6. VCR products for Early Adopters and Majority
      7. Repeat Purchases of Early Adopters and Early Majority
      8. Supply Chains to Early Adopters and Early Majority
      9. Conclusion
      10. References
    3. XI. Late Majority and Laggards
      1. Characteristics of Late Majority and Laggards
      2. Effect of Late Majority and Laggards on the Industry
      3. Late Majority and Laggards of the VCR
      4. VCR Products for the Late Majority
      5. Supply Chains to the Late Majority and Laggards
      6. Conclusion
      7. References
  8. IV. Location Aspects
    1. XII. Physical Location
      1. Vernon’s Product Cycle Theory
      2. New Stage: Innovative but Incomplete Product
      3. Maturing Stage: Immature Product
      4. Physical Location at the Beginning of the VCR Industry
      5. Initial International Demand for the VCR
      6. Conclusion
      7. References
    2. XIII. Partial Dispersion
      1. Beginning of the Standardized Stage
      2. Assembly Plant in Highly Advanced Countries
      3. Standardized Parts at the Beginning of the Standardized Stage
      4. Location of Supply Chain at the Beginning of the Standardized Stage
      5. Partial Dispersion at the Beginning of Standardized Stage in the VCR Industry
      6. Country of Origin
      7. Practical Implications for Supply Chain Strategic Planning
      8. Conclusion
      9. References
    3. XIV. Total Dispersion
      1. Divergence in the Middle of the Standardized Stage
      2. Severe Competition in the Middle of the Standardized Stage
      3. Logistics Management in the Middle of the Standardized Stage
      4. SCM in the Middle of the Standardized Stage
      5. The VCR Case in the Middle of the Standardized Stage
      6. Conclusion
      7. References
    4. XV. Convergence of Facilities in Low Cost Operation Areas
      1. Late Standardized Stage
      2. Alternative Products in the Late Standardized Stage
      3. SCM in the Late Standardized Stage
      4. VCR Case in the Late Standardized Stage
      5. Supplement to Vernon’s Product Life Cycle Theory
      6. Location and SCM
      7. Conclusion
      8. References
  9. V. Conclusion
    1. XVI. Application of Industrial Life Cycle Concept
      1. Introduction
      2. Industrial Life Cycle Concept
      3. Summary of Home-use VCR Case
        1. Introduction Stage (Prior to 1980)
        2. Early Growth Stage (1980-1984)
        3. Late Growth Stage (1985-1989)
        4. Maturity Stage (1990-2001)
        5. Decline Stage (After 2002)
      4. Implications from the VCR Case Study
      5. Conclusion
      6. References
  10. About the Editors