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SMART MANAGEMENT OF

SUPPLY CHAIN PROCESS IN


RETAIL INDUSTRIES OF UK

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Table of contents:
1.Introduction 3
1.1 Topic: Smart management of supply chain process in retail industries of UK 3
1.2 Research Background 4
1.3 Research Rationale 5
1.4 Research Scope 5
1.5 Research Aim 6
1.6 Research Objectives 6
1.7 Research questions and Limitations 7

2. Literature 9
2.1 Literature Reveiw 9
2.2 Types of Supply chain management 9
2.3 Benefits of supply chain management 12
2.4 Research Gap 15

3.Methodology 17
3.1 Acquiring Skills in the Art of Interview Facilitation 21
3.2 Case Sampling Strategy 22
3.3 A Reflection on the Steps involved in the Research 25
3.4 Summary 27

4. Result and Analysis 27


4.1 Findings 27
4.2 Business Sensitivity 28
4.3 Intermediaries 31
4.4 Supply Chain Organizations Before and After Intermediary 32
4.5 Relationships 34
4.6 Analysis 35

5.Conclusion 37
5.1 Summary 37

References: 39

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1. Introduction

1.1 Topic: Smart management of supply chain process in retail industries of UK


The retail cycle cannot function well without proper governance of the supply chain,
which is also referred to as SCM. It paves the way for businesses to develop fruitful,
lengthy relationships with their consumers and to give those clients the best product it is
possible to provide. An effective supply chain guarantees that there will be no
interruptions or problems with the transfer of a product at any level, beginning with the
place of manufacture and continuing all the way through the point of sale. Even a small
amount of supply chain management (SCM) distortion has the potential to have an
impact on the degree of consumer satisfaction, which then in turn raises the risk that the
company may incur financial losses. In order for a company to maximize the benefits that
can be gained from the chances that are presented to it, it is very necessary for the
company to have a solid understanding of how to effectively manage the supply chain.
Due to this, we have paid attention to the importance of SCM within the retail industry,
which is a direct result of this.

Fig 1.1: Retail Supply chain


Consumers and end users, who are represented at the very end of the supply chain just on right, could be
different from one another. The "customer" is not the person who really consumes or makes use of the
product; rather, that person is referred to as the "end-user" in this book. A wife and mother is considered
to be the customer for her household because she does the majority of the shopping and the members of
her family are the ones who consume the products. End users and clients both have an impact on the
choices that are made about purchases. For instance, a father may express care for the well-being of his
children and ask that the mother good return milk for their use, despite the fact that the father is neither a
purchaser of the item nor a consumer of the company selling it.

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1.2 Research Background
Retail stores used to be around to serve the requirements of regional marketplaces. One went to
the neighborhood grocery store when one needed eggs and bread. To purchase clothing, one just
had to buy fabric, have it tailored, or purchase what was on the market. The process of making a
retail purchase was much easier back then. It required working with a small selection of products
and vendors.

However, as the market grew over time, so did the businesses of merchants, and as a result of
technical advancement, the variety of products offered dramatically increased. Growing
populations and favorable economic conditions increased demand, which in turn increased the
number of suppliers. Additionally, this puts more strain on profit margins. Retail businesses aim
to lower the cost of their goods. The supply chain led them to the answer; initially, they cut out
as many middlemen as they could to reduce the additional cost.

Today's retail industry operates in a dynamic setting. If we examine the features and advantages
of all the products coming under one category, they are all essentially the same thanks to
technological improvement. Competition is enhancing its product lineup as consumer buying
patterns change frequently. Making judgments about inventory is crucial because of the constant
shift in demand, which causes products to have shorter lives.

Since maintaining inventory is more expensive, businesses adhere to "Just In Time" principles,
which call for zero inventory. This implies that when a need arises, the necessary product will be
delivered to the facility. In the retail industry, it can be challenging to implement just-in-time
principles, but retailers like Walmart have set a precedent by doing so, and this has helped
Walmart become the largest player in retail stores.

The monitoring of manufacturing, production, information, and money as it moves from one
location to another is referred to as the SCM process. It entails maintaining records for all
materials coming from across all supply chain participants, including customers, merchants,
distributors, and producers. The operational costs involved in determining client demand are the
main focus of the traditional supply chain. But as time went on, the scenario altered, which made
it easier for organizations to become more visible throughout the SCM and to make decisions
that would be better for the business.

Since technology has advanced, it has become increasingly important to maintain accurate and
up-to-date records of the many operational systems, making SCM a must. The system software
keeps track of all the data that is crucial for the business while also organizing the data and
organizing it. SCM functions as a tangled chain for the many departments and as connections
between the distribution management, communication software, and warehouse management
systems.

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It compiles all the data from many departments and offers a user-friendly setting that can be
evaluated and improved. SCM thus serves as a success factor for raising the company's overall
output. Additionally, it offers fixes for issues wherever they arise and makes the best use of the
company's resources.

The control of the flow of products, information flow, and financial flow are all critical aspects
of SCM. This led to improved management as well as successful implementation of the
operating organizations. SCM offers a global platform for growth and development and thus
customizes the requirements for general business expansion.

Increased pressure on the profitability that retailers gained is another factor supporting the
importance of the supply chain. Retailers are becoming more aware of their responsibilities, and
they understand that they cannot focus solely on features because technological advancements
have rendered features obsolete. Instead, they must reinforce the other links in the value chain.
Information is essential to every aspect of the organization, including SCM, because the world is
driven by technology and everything is accessible with a single touch.
Over the past few decades, the management of supply chains has drawn more and more
attention. It focuses on the administration of a network of related companies engaged in the final
delivery of product and service bundles needed by end users (Harland, 1996). As customers
become increasingly demanding, Introduction 3 techniques needed to manage today's supply
chains must be adapted to different client segments (Fisher, 1997). According to Torres and
Miller (1998), supply chain activities should be coordinated with customer groups to increase
market penetration, boost client loyalty, and promote profitable expansion. This suggests that
businesses must operate with efficiency and flexibility in order to meet the specific needs of
various clients. As a result, it is necessary to carefully plan information and the material flow
inside and across organizations (Christopher, 1992).

1.3 Research Rationale


Due to its significant demand changes, this study focused on the retail industry in the
United Kingdom. Furthermore, due to its height, it poses a number of difficulties. Due to
the high levels of the global within the industry and the depth of the general knowledge,
it is difficult to be responsive when merchants in the retail industry maintain connections
with their suppliers.

There are three basic inferences or conclusions that can be drawn from the thesis. First
and foremost, due to the fact that associated supply networks are either complex or

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incredibly expensive to produce properly or they are too rigid and investing to rapidly
harness and utilize. This makes it difficult to distribute goods at reasonable prices.

"Fit-for-purpose" supply chains must be built into networks in order for companies to
successfully adopt innovation. To be more precise, this entails tailoring supply networks
to the requirements of luxury brands in order to deliver items that are widely popular with
creativity, reactivity, and a good level of efficiency. Second, with a thorough process
integration Businesses can speed up the innovation process to enhance the possibility of
new goods and

Store promotions may be implemented more rapidly and for less money. In order to
rethink the value chain, they should also dramatically lower costs by redesigning
processes. satisfy the customer's needs while charging a fair price. New persons and
organizations, like trade agents and intermediates, have been added to the supply chain to
enable high levels of agility in the world of global shopping through the quick
reconfiguration of supply systems.

1.4 Research Scope


When compared to other types of supply chain management, retail supply chain management
stands out due to the high volume of product movement in the business as well as the fast-
moving nature of the goods themselves.
So because products are always being moved and the operating cycle is just so short, the supply
chain for retail needs to be carefully monitored and error-free in order to function properly.
According to Zebra's 2018 Shopper Vision Study, 53% of customers who make purchases in-
store and 51% of shoppers who make purchases online are unhappy with the returns and
exchanges process.
When one is just starting out in the retail industry, one may find logistics to be frightening and at
times very challenging.

The term "retail supply chain" refers to the collection of processes that you go through in order to
ensure that your products are delivered to your customers. These processes range from the
acquisition of raw materials and the management of incoming fabrication procedures to the final
mile mass transit of those processes to the customers' front doors.
The practice of simplifying all of these procedures to increase their efficiency and speed is
referred to as "retail supply chain management," which is also the name of the phrase.

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The only item that must be completed is to optimize the processes so that the items can be
delivered to the hands of the clients as possible and at a cost that is not exorbitantly high to do
so.
As a consequence of this, retail supply chain management requires that the techniques you use
are not just efficient but also cost-effective. Now that you understand what retail supply chain
management is, allow us to elaborate on the significance of this business practice.

1.5 Research Aim


The research aim is as follows:
The main motto of retail supply chain management is to enhance the services to the customers
and to the economy. Also, to research the significance of logistics involved. Thereby
management of supply chain with effective methodology in retail industries of UK

1.6 Research Objectives


The research objectives are as follows:
● Supply chain management is very important for the retail market as it provides its
services directly to the clients.
● To improve upstream and downstream in retail businesses so that services can get a boost
in supply chain speed
● To find an effective method for supply chain management that would play an important
role for a retailer in the current competitive world.
● To have an understanding of the significance of proper logistics and management of
supply chains in organized retail markets.
● To conduct research into the effects that supply chain management and logistics have had
on the organized retail industry.

1.7 Research questions


The primary focus of this research question is to investigate the influence that retail value
propositions have on supply chains. This problem has 2 aspects: one relates to the manner in
which merchants interact with the people who shop with them, and the other relates to the way in

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which retailers organize the supply chains that they use. This inquiry will primarily concentrate
on the connections that exist between the two parts that have been mentioned.

The article "Exams of a Strategy" written by Michael Porter in 2003 is a helpful framework that
can be used for this purpose. On the basis of this paradigm, we set out to investigate how the
supply chains of diverse retailers are modified to meet the requirements of their individual value
propositions. In order to accomplish this, we will use the following subquestions:

• What does the company have to offer in terms of a value proposition?


What kinds of criteria are being fulfilled currently?
Who exactly are the customers?
What kinds of product options are available to choose from?
What kind of experience do customers get while interacting with the user interface of the
company?
At what point does relative pricing become effective?
• In what ways does the distribution network facilitate the delivery of the value proposition?
- How have the different activities been put together?
What are the connections between the different activities?
What sorts of concessions are made?

In spite of the fact that their answers won't be provided directly, the research questions serve as
the basis for the investigation. It is essential to keep in mind how applying this paradigm renders
it impossible to compare businesses from different sectors in any meaningful way. This is due to
the fact that the industry itself acts as the fundamental unit of analysis. The source of a
company's competitive advantage is in its relative position within the sector, whereas the
structure of the industry determines the fundamental guidelines for competitive behavior (Porter,
2003).

2. Literature
2.1 Literature Review
How to best serve the customer is where SCM starts. Instead of fighting for a larger part of a set
profit, SCM enables businesses to work together to increase overall channel profits and sales
(Cigolini et al., 2004). According to Spekman et al. (1994), a shared future vision between
partners is a crucial element in developing commitment in a partnership (Hult et al., 2000).
According to Min and Mentzer (2004), the notion of SCM entails a long-term partnership, an
agreed-upon supply chain leadership, a shared vision and objectives sharing of information, risk
or reward sharing, cooperation, and process integration. Since the amount of the retail

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establishment's "catchments" is correlated with its accessibility, its location may decide whether
it succeeds or fails (Carter and Vandell, 1993). The characteristics on the stores' service area
about rivalry, the degree of development, the number of commuters, and the sociodemographic
information of the residents make operational the location-specific nature of each business
(Verhetsel, 2005). From the standpoint of the retailer, service is typically judged by product
offerings (Waller et al., 1999). According to the literature reviewed by Corsten and Gruen
(2003), in-store out-of-stocks must be improved (i.e., decreased) by retailers and suppliers in
order for there to be a sustainable improvement in on-shelf availability. To enhance the customer
experience in the shop and draw customers to the retail setting, the construction of a nice
atmosphere for shopping has evolved into a competing retailing strategy (Frasquet et al., 2002).
The setting created by an organized visual presentation of the goods and the ease of movement
inside the store is referred to as the "store atmosphere" (e.g., see Lee, 1998; Thang and Tan,
2003). The topic of atmospherics, which can be referred to as aspects in the retail environment
that can be planned or altered to elicit particular emotional and behavioral responses in the
customer, has attracted the most attention (see Kotler, 1973; Johansson and Backstrom, 2006).
The service experiences are made up of both tangible (the building, the carpets, the fixtures, the
juncture decorations) and intangible (the colours, music, the temperature, and the aromas)
(Hoffman and Turley, 2002). The managers' attempts to build the proper marketing tactics that
establish and sustain happy shopping experiences can be aided by knowledge of the
"atmospheres" that boost positive feelings among customers (D'Astous, 2000). Good amenities
in stores increase the likelihood of a positive consumer perception. Facilities are infrastructures
that are made available in stores to make shopping more comfortable (Nevin and Houston, 1980;
Thang and Tan, 2003). The relative appeal of the market segments within a shop was examined
by Verhetsel (2005), who paid particular attention to the distinctions between supermarkets and
hypermarkets. In servqual in a retail context, (Julander and Magi ,1996) took into account
assortment, atmosphere, staff interaction, and staff promptness. They discovered a substantial
correlation between quality of service, customer satisfaction, and customer loyalty. The
merchandising in a retail establishment is its main draw. Grewal et al. (2003) discovered from
their study that customers' assessments of the atmosphere of the store are lower when their
expectations for waiting are low. They suggested ways to improve the having to wait
expectations by: • having enough sales and customer service representatives on the sales floor; •
making investments in technologies, such as effective checkout equipment and kiosks to provide
customer information; • enhancing the atmosphere of the store through visual communication. In
order for the shop to increase its top line, merchandising systems must be configured,
customized, and efficiently managed. In order to accomplish this, merchants must properly mine
massive amounts of data, use this data to conduct out good forecasting, assortment planning, and
collaboration with their suppliers so that discounts and other merchandising operations are
effective and efficient. Among the most challenging difficulties facing merchants is retail
pricing. Discounts, deal severity rewards, bonus packs, and multipacks are examples of retail
price promotions that entail a complicated interplay of pricing, promotion, and packaging
concerns (Grewal and Levy, 2007). To draw customers into their businesses, retailers regularly

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engage in promotional campaigns that involve "incentives" like sales and discounts. A well-
executed promotional plan arouses consumers to visit the store and cultivates in them a value-
for-money mindset (joy) (Thang and Tan, 2003). A strong item mix increases the ability of the
stores to satisfy customers' needs and wants by giving consumers a greater range of goods and
services (e.g., see Hanson, 1980; Thang and Tan, 2003). The post-transaction service provided
by the business increases credibility and improves customers' favourable perceptions (see
Lindquist, 1974; Thang and Tan, 2003). Examples of these services include delivering goods to
consumers' houses, installing them, providing product warranties, and exchanging or refunding
defective goods (Thang and Tan, 2003). For retailers, logistics is a crucial success factor.
Effective logistics management reduces expenses, which can then be passed onto the customer.
This consequently has a favourable impact on client satisfaction and loyalty (Schramm-Klein and
Morschett, 2006). Logistics is a significant problem that the store must solve. Reverse logistics
deals with user returns and includes reprocessing into a useful product whereas logistics
activities entail material flow forward via the supply chain (Fleischmann et al., 1997).
Information sharing between business partners is the fundamental component of efficient SCM,
and it has been made possible by information technology advancements (Archer, 2006). The
amount of money spent on information technology in the retail sector has significantly expanded
and now plays a significant role in controlling the complexities of retail operations as merchants'
points of sale and points of supply become more globally distributed. 4 Angeles (2005) argued
that Radio Frequency Identification (RFID) technology is a major force behind the supply chain
sectors, including retail distribution, corporate activities.
An investigation on supply chain management from the retailer's point of view 457 (goods
received, checked, put aside, replenished, shipping, and purchase) and transport (product and
asset tracking). The use of info kiosks in retail stores was studied by De Moerloose et al. in 2005,
and they found a number of benefits for both customers and businesses. Customers might, for
instance, receive up-to-date product information online while still having access to the staff for
guidance or the ability to test the product offline. However, companies might enhance customer
service by personalizing client data or responding to ideas and grievances. (Reed et al. , 2004)
looked into how the adoption of a Desktop Selling Process affected consumers' impressions of
the entire car-buying process. Their research showed that clients generally liked it.

2.2 Types of Supply chain management


These are all the six models that are most common:
● continuous movement
● Quick chain
● dependable chain
● Agile
● Custom-configured

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● Flexible
It is essential to keep in mind that each model will center its efforts on achieving one of the
following two important ideal goals:

Efficacy is synonymous with responsiveness.


In actuality, though, each of the various supply chain philosophies incorporates elements of both
responsiveness and efficiency in some form or another. And when you put it in those terms, it
does make perfect sense. If your supply chain is extremely efficient, it won't be able to respond
to a disruption in the event that one occurs. On either hand, if all the supply chain does is react to
individual and relatively minor requests, it won't be very efficient when it comes to producing a
large volume of goods.

Model of Flow in a Continuous Direction


The continuous flow methodology places an emphasis on efficiency and productivity. It offers
stability in environments with a high volume of activity. The businesses that are better suited for
this traditional system are those that provide the same product on a consistent basis, with little in
the way of design variation or adjustment.

This type is perfect for the production of various commodities. The low price of the product is an
indication of its high level of efficacy. The cost of the raw materials is the primary factor that
determines the profit margins for manufacturers. That makes sense to me in a scientific context.

Version of the Quick Chain Model


The sensitivity of the fast conveyor belt model is incorporated from the beginning of the design
process. It is ideally suited for manufacturers who change their product lineup on a regular basis.
This business model is most successful when applied to trendy goods with short shelf lives. In
this situation, the winner is the producer who can get their product onto the market before the
current trend has run its course.

This model emphasizes the competitive advantage that the first adoptive family has over
subsequent adoptive parents. The marketing department and the designer, on the other hand, are
the true driving forces behind fast food chains. In other words, if you are successful in beginning
your own trend, you will be the first to commercialize it. This model is essentially driven by
artistic expression.

Using a Model Called the Effective Chain


The efficient conveyor belt model is appropriate for use in highly competitive industries with the
end-to-end effectiveness of the process serving as the ultimate goal. This model heavily depends
on production forecasting in order to properly hardship and perspire machinery assets.

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The efficient model places a significant emphasis on the prices of the various commodities and
raw materials used in production. In the world that has recovered from the pandemic, problems
with capacity are a challenge for efficient chains. The primary reasons for this are things like a
lack of available labor, excessive material waste, and delays.

This is the most important part. If the forecast turns out to be inaccurate, there may be
consequences. As a consequence of this, manufacturers at all levels of the supply chain might be
subject to extended lead times as well as increased costs. After that, you begin to hear a great
deal of inventive language.

Agile
The agile model is ideal for organizations that are in the business of producing specialized
products. This model has indeed been finely honed to function optimally in the context of
knowledge in small batches. That requires less technology and much more skill than it does
technology. And because of that additional value, businesses that use this model are able to
charge higher prices for the items they sell.

Businesses that use an agile model have the ability to increase their volume. However, once the
quantity reaches a particular point, they regularly lose their advantage over their competitors.
When it comes to pricing at larger volumes, agile businesses outperform efficient chain-model
businesses by a significant margin.

The Tailored Version of the Model


The custom configuration model's objective is to provide one-of-a-kind configurations for the
purposes of production and assembly. This setup period usually starts at the beginning of an
assembly and manufacturing run process that takes a longer amount of time. For example, some
builds for limited production or prototypes are considered to fall under the category of custom-
configured manufacturing.

With this higher-touch model, you have the ability to work with smaller batch sizes and achieve
faster turnaround times. The continuous flow model and the agile model are basically combined
into one through the use of the custom-configuration model.

The Versatile Model


In an effort to get the most out of both worlds, we developed a model that was flexible. It is able
to react quickly and effectively to sudden spikes in volume demand. Companies that operate
under flexible business models, on the other hand, are able to adjust to and endure times of low
or perhaps even no demand. The appearance of this design is reminiscent of a light switch.
Toggle the setting on or off as required.

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In order for a company to use the adaptable model of supply chain, it is necessary for the
company to have the appropriate instrument (or automatic vehicle equipment) for the job.
Additionally, people who have rich knowledge foundations or a large supplier network are
required for this model.

2.3 Benefits of supply chain management


Heightened levels of coordination between the various manufacturers.

1. an enhanced capacity for quality control


2. The most efficient use of available space for transporting goods.
3. A reduction in total inventory and operational costs.
4.Improved risk mitigating
5.A more stable and consistent flow of cash
6.A business that is more flexible in its approach
7. Enhanced openness and more in-depth statistical examination
1. An improved ability to coordinate with all of the different providers
Working with vendors who understand the constraints and goals imposed by a company's cost
structure can be especially beneficial for businesses that operate on razor-thin profit margins.
These businesses may find it especially advantageous to work with vendors who understand
these constraints and goals. Makers who sell their goods to major retailers that foresee a markup
of 40-50 percentage points on the production line gate cost may face a contraction on there own
profits if indeed the price levels of their raw resources are too high, according to Gahir, who
works for Wing It Cosmetics. These manufacturers sell their goods to major retailers that foresee
a markup of 40-50 percentage points on the production line gate cost. When bargaining with
their suppliers, she recommends that owners of retail sales businesses aim for a "middle way" of
raw material costs as only a percentage of retail sales that is no and over 25 percent higher than
the average. This "golden ratio" ought not to be increased by more than 25 percent.

However, pricing shouldn't be the primary consideration when making a purchase decision.
Adaptability is another essential factor to consider. According to study that was carried out by
Eccles of Employment for Students, when long-standing suppliers were confronted with
unpredictable market conditions, they were typically more ready to accommodate temporary
working capital shortages. Eccles cautions against doing so, even though that it may be tempting
to shop about for cheaper alternatives. There are alternatives available. "Be wary of switching
merely based on cost, and remember that that long term ties are valuable," he recommends.
"Keep in mind that long distance relationships are valuable."

And when it comes to paying suppliers overseas, irrespective of where they are located, you can
manage currency fluctuations in addition to make settling receipts safe and simple with the help

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of American Express FX International Payments. Moreover, American Express FX International
Payments is available to you at no additional cost. This service, which offers same-day exchange
rates on transactions that are able to qualify in over 80 countries and is accessible regardless of
whether you own an American Express Card or not, provides exchange rates.

2. Better quality control


When you and your suppliers adhere to the same standards in your operation, it makes it feasible
for early detection for quality control issues. This applies to both of you. This is an extract from
Gahir's email, which reads as follows: "Perhaps one my packaging resellers consulted that had
just showed up wasn't up to a needed standard, as well as she planned to send it back, which
would add three days to the shipping timetable," the message read. "One of my plastic wrapping
vendors contacted me to just let me know that a packet of packing which had just showed up
wasn't up to the necessary standard." On the other hand hand, Gahir thinks that this delay is
preferable to the option of having to directly deal with a poor sample of packaging, which would
require him to deal with the situation personally. In his explanation, Gahir states, "That
communication was only able to occur because we are both on the same page," underscoring the
significance of trust in the relationships that organizations have had with their suppliers.

3. Shipping optimisation
It is anticipated that the costs of logistics will skyrocket, which may have ramifications for
smaller businesses located all over the UK. If you take use of supply chain professionals and
decrease the number of different distribution channels you employ, you will be able to bring your
distribution costs down to a level that is more competitive with those of your rivals. Because of
this, you would be able to keep a bigger cash flow and sustain better profitability. As according
Gahir, the presence of such an excess number of vendors who manage their own delivery and
shipping streams is the single most significant factor that has contributed to the overall level of
inefficiency. As a direct result of this, we are conducting research on aggregators that offer
services in the areas of storage and transportation.

4. A reduction in the costs associated with keeping inventories and with overhead
It is possible, with the help of an efficient supply chain, to reduce the amount of inventory that
must be kept on hand. This, in turn, results in a reduction of the overhead expenses associated
with holding the items and maintaining their security. On the other side, maintaining an
extremely low stock puts additional load on distribution networks and weakens their resilience to
interruptions in the distribution chain. This makes it more likely that the supply chain will
experience disruptions. As a result, determining the optimum quantity of stock in your inventory
is an absolute necessity.

5. Improved risk mitigation

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When an issue is detected earlier in the supply chain, it typically results in higher costs to
implement a solution because the problem was discovered later in the chain. This is one of the
reasons why supply chain visibility, which offers visibility of the complete supply chain from the
beginning to the end, is thought to be of such crucial importance.

As a consequence of this, about 50 percent of distribution system leaders hold all six "links" that
are generally associated with supply chain management. This is due to the fact that these leaders
have been successful in managing their supply chains. Product creation, planning process,
inventory levels, sourcing and procurement, production, and logistics and distribution are all part
of these links.

6. A more stable and consistent flow of funds


Running a lucrative supply chain that is constructed on good bonds with its providers is essential
for achieving this goal. Vigilant eye on costs and preserving stringent quality and inventory
control could have a significant impact on a firm's cash by improving cash flow. This can be
accomplished by keeping tabs on costs and sustaining strict quality and stock control.

7. A business that is more flexible in its approach


Eccles asserts that his company's ability to be adaptable and make the most of opportunities is
directly correlated to the robustness of its supply network. For instance, Employment4Students
identified a problem with a client's business procedure and provided a recommendation for a fix.
Eccles provides an explanation for what took happening by noting, "We discovered that we had a
handful of vendors who software would help, and we managed to put a mechanism in place
fairly quickly, which they welcomed and found to be incredibly valuable." Consequently, if you
have suppliers that you can rely on, they could be able to aid you in finding further opportunities.

Nevertheless, it is always in your benefit to be prepared, as the capability of your providers can
hinder business opportunities. Being ready will help you avoid losing money. According to
Gahir, it is in the best financial interest for your company to spend more money up ahead to
assure that the suppliers you already have in place would be able to keep up with the growth of
your company. This can be accomplished by paying the vendors more money up advance.

8. Enhanced openness and more in-depth statistical examination


Mobile telephone apps, online conferencing systems, and linked dashboards provide the ability
for managers of firms to maintain ongoing connection with the vendors who supply their
products. In addition, the utilization of software solutions can be of assistance in the efficient
administration of stock levels, the analysis of business performance, and the tracking the
distribution routes. When you have access to current data metrics, users will be able to make
contingencies in place that will enable your company to climate any storms that may arrive its
path and capitalise on any opportunities that may display themselves. These plans will enable

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your business to weather any hurricanes that may arrive its way and capitalising on any
opportunities that may display themselves.

2.4 Research gap


The research approach that was utilized used to have a number of shortcomings, among which
can be ascribed to the relatively small sample size that was utilized, situational bias, and
subjective criteria for a few of the aspects that have been taken into account. The following
paragraph will go into further depth regarding each of these shortcomings. These subjects have
attracted more attention and have sparked a greater amount of discussion.
The results of a case study brought to light problems associated with an unbalanced balance of
power throughout all of distribution networks, which finally resulted to the an uneven
distribution of profits at the conclusion of the process. Nevertheless, additional research must be
conducted in order to provide evidence that these findings are accurate.
In recent years, the supply chain industry has undergone numerous transformations as a result of
the introduction of logistical issues and the subsequent closure of supply chain gaps as a result of
advancements in and the incorporation of new technologies like artificial intelligence for a
strategy to gain a competitive edge. The goal of this review piece is to draw attention to the
significant voids that still remain in the industry sector, as well as to the opportunities for
innovation that exist inside those voids, as well as other prospective areas. We have proposed
significant solutions that need to be a part of the overall supply chain solutions in order to close
these gaps.
The discipline known as supply chain planning (SCM) encompasses a number of distinct facets,
including the purchase of materials from the various suppliers, the warehousing of raw materials,
the production of goods, the outsourcing of the production of goods to third party manufacturers,
the warehousing of the final piece at various distribution facilities in the distribution network,
and, finally, the delivery of the finished good to the customer who was originally designated.
This entire process needs to be carried out in the most efficient possible manner in order to
reduce the amount of resources that are used, hence lowering the costs associated with the
processes and, as a result, increasing the margins that the firm enjoys. There are a lot of holes in
the management of the supply chain that need to be filled and fixed, and the only way to do so is
through innovation that makes use of integration and collaboration with other people in order for
the firm to experience competitive growth.

3.Methodology
This aims to accomplish four different things. It begins with a discussion of the benefits and
drawbacks of research philosophies in general. Second, it provides an argument as to why the
particular research strategy and data collection methods that were chosen have been regarded to

16
be the most suited for this particular study. The third objective is to present an in-depth analysis
of the procedures that were used to obtain the data. Finally, an analysis of the proposed study
methodology's potential flaws as well as its overall viability is carried out. This thesis will study,
grasp, and attempt to explain how organisations in the global garment industry use agile supply
chain techniques to enhance their times to market. Therefore, it is essential to adopt research
methods and complementing philosophical perspectives that enable the development of
comprehensive results that will be equally valuable to business decision-makers as "interesting"
to academia. This will ensure that the research meets both of these criteria (Davis, 1971).
According to Tranfield and Starkey, this research falls under the category of knowledge creation
since it "generates information in the context of applicability, with the objective of facilitating
distribution and exploitation," while yet maintaining its scholarly relevance (Whitley, 1984;
Pettigrew, 1996; Huff, 2000).

The authors Burgess et al. claim that research approaches can be broadly separated into two
categories: analytical and empirical. They base their proposal on the categorization scheme
developed by Wacker (1998). Analytical research methods typically make use of logical,
numerical, and/or mathematical-statistical methodologies, in contrast to the empirical research
methods, which require the use of data collected from third-party organisations or businesses in
order to determine whether or not relationships hold true in the real world (Wacker, 1998).
It's possible that the phrase "real world" scientific procedures is a more accurate description for
the methods of empirical research. Although case studies, statistical sampling, and experiments
are examples of empirical methodologies, analysis techniques can be further categorised as
conceptual, mathematical, or statistical (single or multiple). These samples have been presented
for your consideration. The development of a framework is the initial stage of the investigation
that will be presented in this thesis. This will be accomplished through the utilisation of
secondary case studies and the most recent cognitive literary works in the disciplines of supply
chain management, logistic support, and management of supply chains.

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Table 3. Analytical and Empirical Research (Adapted from Wacker, 1998)

As a direct consequence of this, it possesses both analytical and deductive traits. The second
stage involves able to conduct evidence based study to back the concept that was put out and to
gain knowledge more about nimble strategies for managing distribution networks in a global
setting. This research is meant to be done in order to learn more about how to manage
distribution networks in a global setting. As a result of this, this research utilises methods of
research that are both empirical and analytical. Following an analysis of all three main research
research methods at the start of the project, it was determined that a multiple case study strategy
would be the most appropriate for having to decide the kind of empirical work to be carried out.
This conclusion was reached as a result of the following: The concept of a "experimental design"
was quickly abandoned because it would be difficult for the author to control certain factors in
the open platform that the companies that were the focus of the study work in.
Because it would lack proper depth, especially in a subject of study as new as agile supply chain
network, a large number of organisations that participated in pure survey "statistical sampling"

18
also was ignored (Edwards et al., 2001). Other limitations of statistical studies include the
potential lacuna of important variables, the arcane and remote essence of important variables,
this same incidental complexity of multiple regression model, and the complexity in
comprehending, analysing, and most importantly, implementing study results. All of these
limitations make statistical research less than ideal (Bonoma, 1985; Meredith, 1998).
According to a case study that "investigates a modern phenomena in the natural circumstances,"
"the borders between both the phenomenon and context are not immediately discernible" (Yin,
2003, p.23). The case study is an example of a specific school of thought within the qualitative
approach (Creswell, 1998); it seeks to reach a more comprehensive understanding of the event
that is being researched, in addition to making more general theoretical assertions about patterns
that can be found within the observed phenomena; the case research describes this school of
thought (Fidel, 1984). Since case studies are intended to completely submerge the viewer of the
study into the world of the subject being investigated, they are able to provide a much more
accurate and detailed picture of the phenomenon that is the subject of the investigation than some
of the other, more analytical techniques (Marshall and Rossman, 1999).
According to Yin (2003), one of the primary reasons why case study research was selected for
this thesis was because it is particularly appropriate for investigating "that," "where," and "how"
research topics and look at current events. This was one of the primary reasons why case study
study was chosen.
Empirical statistical research methods, according to Wacker, verify designs for their evidence
based validity in larger populations to reduce the number of relationships in future research. On
the other hand, empirical case studies investigate specific circumstances to gain a deeper
understanding of the complex external world. Both Meredith and Voss et al. emphasise the
significance of case studies for testing, extending, and refining theories due to the depth of their
explanations, the applicability of their findings to practitioners, and the facilitation that case
studies provide. As according (Benbasat et al. ,1987), research papers are especially useful for
addressing problems in which theory and research are still in their formative stages, the
components remain obscure, and the phenomenon is not fully understood.

According to Corbin and Strauss, the purpose of the case study technique is not to generalise
findings into generalisations about a population; rather, it is to stabilise theory development
throughout actual observations and deepen it via the test of reality. This is accomplished by
comparing the theory to real-world situations. Within the realm of supply chain, it has been well
acknowledged for some time that scholars usually lag behind practitioners. As a consequence of
this, the method of research known as case study is appropriate for accumulating the expertise of
practitioners and deriving theories from it (Meredith, 1998). In conclusion, the approach of case
studies was selected for this research for the following four primary reasons:

In a worldwide context, only a small amount of research has been conducted on agile supply
chains, and scholarly comprehension of these chains is inadequate. An in-depth understanding of
it can be gained through the use of case studies in research. - For answering research questions,

19
which is of an exploratory and explanatory nature and is posed in the form of a "how" question,
the method of case study is the one that seems to be the most appropriate choice.
A qualitative research of businesses operating in a dynamic, global environment will lend
support to the notion that both knowledge and with us comprehension of it are the products of
social construction. This will make it possible to conduct a more in-depth investigation into the
problems that have been identified, as well as to develop both practical and theoretical additional
insight into the problems that have been identified (Berger and Luckmann, 1966; Gergen, 1999).

Due to the characteristics of the mainstream fashion business in the UK, which consists of a
small number of highly large stores and a huge number of countless small independent
producers, the majority of whom are situated outside of the UK, a reduced response rate was
anticipated for a postal survey. This hypothesis was proven correct during the instance collection
phase of the research project, when overseas providers shown a significant unwillingness to
sacrifice their time for the purposes of the study.

As a result of the characteristics of the mass clothes retail sector in the UK that were discussed in
the before this one, there were restrictions placed on the number of major stores that were able to
take part in the research. It was also looked into to look at a single thorough case study that
involved a big UK fashion store; however, this case study was quickly disregarded due to the
fact that it presented a too restricted understanding of agile tactics for controlling supply chains.
In addition, there is a greater possibility that a test case would be prejudiced due to factors such
as exaggerating information that are easily accessible. Following extensive consideration, the
decision was made to adopt a two case study research technique with distinct organisations
representing each of the two distribution networks. This was done with the intention of achieving
the required levels of research breadth and depth. Since many research papers have higher
degrees of extraneous variables and give more protection from observer bias, it is believed that
these case studies are more persuasive, and the study as a whole is considered to be more reliable
(Yin, 1994). (Voss et al., 2002; Yin, 2003). According to the authors, there are limitations to
using a case study technique, and a significant portion of that has been criticised for lacking
accuracy and reliability (Voss et al., 2002; Yin, 2003). In relation to the validity of a study,
authors such as Gill et Johnson (2002) and (Saunders et al., 2007) differentiate between construct
validity, internal consistency, and external validity. Internal validity refers to the extent to which
the results of the study match the expectations of the participants.

When assessing the comprehensiveness of the case study, one of the most important aspects to
consider is the external validity, which some academics call "thought to have originated"
(Marshall and Rossman, 1989; Creswell, 1994; Stuart et al., 2002). It indicates the extent to
which the findings of any study can be generalised or extended beyond the scope of the research
sample or environment from which they were initially derived. as well as Johnson and Gill
(2002). According to Yin (2003), case studies put more of an emphasis on "analytical"
adaptation as opposed to statistical generalisation. The latter necessitates the student to

20
extrapolate a particular set of results to a larger theory, whereas the former focuses on
"analytical" generalisation. - The term "internal validity" refers to the process of determining
whether or not the components that have been defined even as causes or stimulus actually have
the effects or reactions that were anticipated. According to Yin (2003), validity is an issue that
should only be concerned with illustrative case studies. This is because explanatory case studies
focus on showing whether or not there is a causal link between both the uncontrolled factor and
the dependent variables.

Construct validity can be defined as the extent to which the gauging questions accurately
represent the presence of the characteristics they are supposed to test. It discusses the creation of
the correct organisational safeguards in order to protect the concepts that are currently being
investigated. - The degree to which the procedures of a case study may be carried out again while
maintaining the same outcomes is known to as its dependability. As according Gill and Johnson
(2002), it ought should be possible for another researcher to carry out a study that is comparable
to the one being conducted by using the same people and the same research design under the
exact same conditions. according to research done by Trochim and Yin (2003) (2002).

3.1 Acquiring Skills in the Art of Interview Facilitation


Conducting interviews with professionals working in industry has to be one of the most
challenging tasks that a young researcher can face. According to Kvale, the interviewer needs to
be knowledgeable, well-organized, transparent, kind, sensitive, open, directing, critically
recalling, and analysing information, in addition to being ethically sensitive and sensitive to
balance (1996). It requires adaptability, the ability for unfaltering, and competence in order to be
able to temporarily put one's own views aside. Putting one's own views aside can be difficult. It
is also quite important to have the ability to react on the feet while still being watched by
academic advisors as well as business people. In the beginning, the researcher took part in a
series of training courses on "Qualitative Interviewing Abilities" that were offered by Glasgow
Caledonian University in order to assist in the development of this vast skill set. Following these
trainings, participants took part in position activities with the research supervisor and took notes
throughout interviews conducted by more experienced academic staff as part of their individual
study. These activities were all part of the participant's own investigation. On the other hand,
becoming an expert in facilitating interviews required a really steep curve and was process that
continued throughout this project. The interviews that had to be followed up by emails and calls
because some topics could not be addressed in person were not rare at the beginning of the
research, but as the research progressed, they became less prevalent. According to what C.S.
Lewis said in 1950, experience is the toughest of all instructors.

21
3.2 Case Sampling Strategy
It was essential to pick case studies that were representative of the overall population in order to
provide a response to the research question. In contrast to survey design, the primary focus of
case study research is on selecting the units of analysis on the basis of theoretical rather than
statistical concerns (Miles and Huberman, 1994; Yin, 2003). The purpose of the researcher
should be to "maximise possibilities to check the narrative, the interaction among subcategories,
and then for filling in grossly underdeveloped categories," according to Strauss and Corbin
(1990). This goal should lead the researcher's choice of firms. Pettigrew notes that while there is
an intentional or design element to the process of selecting and attempting to gain access to study
areas, the term "planned opportunism" is best suited to describe the practical aspects of the
procedure. This is because the procedure is largely driven by chance rather than deliberate
design. This comment is made with regard to the several cases that are available. This is an
honest assessment of the procedure that was utilised in the selection of the subjects for this study.

As a consequence of this, a combination of the snowball effect and a method of purposive


sampling was utilised in order to gain access from one person in a crucial study case to another
participant.

One of the initial things to take into account when choosing which case studies to use in an
investigation is the extent to which the instances being considered must have occurred in the
past. A researcher has a variety of options to choose from when it comes to the case selection
process. These include specifying in advance each particular organisation that will be examined
and choosing to either perform the studies concurrently or sequentially.

At the opposite end of the spectrum is the alternative of selecting just the first example, which
would then need to be completed before moving on to the second, and so on. The advantage of
selecting the second option is that it enables crucial but unanticipated characteristics of each
following case to have input about the path that the research will take. Therefore, the emergent
theory is what directs the collection of the data. For the purpose of this dissertation, this method
was chosen to approach the topic. The approach began with a focus on retailers in the United
Kingdom (UK), as previous research has shown that these types of businesses are more likely to
play the role of network assistant coaches in fashion distribution networks. An initial
investigation was conducted on these two case participants, and then subsequent studies were
conducted on clothing providers, accessory manufacturers, textile goalscorers and printers, and
barter intermediaries in order to follow this same trails of evidence as they progressed
progressively higher up the value chain.

Miles and Huberman (1994), although admitting the benefits of such flexibility, point out that
extremely "loose" research designs are at risk to become unfocused and unmanageable, despite
the fact that such designs do offer the advantage of such flexibility. Nonetheless, layouts that are

22
disorganised to an extreme extent run the danger of being unsuccessful, particularly in the
absence of a clear conceptual basis. According to the findings of Miles and Huberman (1994), it
is generally recommended to avoid going to either extreme. This study attempted to reduce the
potential for adverse outcomes by recruiting import and export agencies, that are present across
the supply chain and play a significant part in its operation. After past cases studies with clothes
stores similarly demonstrated the expanding utilisation of trade agents, it was decided to conduct
a second example study with merely an intermediate.

Eisenhardt (1989) emphasises that there is no optimal number of instances; nonetheless, a range
of three to ten cases is indicated when picking the complete variety of companies to be examined
in order to ensure external validity. This is backed by Ellram (1996), who argues that in the
majority of cases, six to 10 samples ought to be adequate to demonstrate the predominating
evidence. Because there are constraints in terms of both time and money for postgraduate study,
an optimal range can be very helpful, as stated by Perry (1998). After evaluating the relevant
literature, he arrived at the opinion that the most frequently recognised range seems to fall
somewhere between two to four as the minimum and ten to twelve or 14 as the highest. This was
his conclusion. In accordance with these standards and the fact that the entire supply network
will serve as the units of this research, the goal of this research is to conduct two case studies of
fashion supply networks. Together, these case studies will involve a total of between six and ten
clothes shops as well as the upstream suppliers that serve these stores. It was also agreed to
include two selected players who would symbolize the upstream layers of the clothing supply
chain. These would be the participants in the case.

According to Yin (2003), the case should be selected in such a way either it predicts results that
are similar to those that have already been seen (a literal replication) or that anticipates results
that are different but for understood causes (a theoretical replication). In additament, Yin (2003)
mentions that only a small number of cases (two to three) can be used for literal replications,
whereas only a smaller number of instances (four to six) can be used for abstract replications.
This suggests that the number of cases used for literal replications should be kept to a minimum.
As a result, in the context of this investigation, the criteria for literal replication can be satisfied
by selecting a minimum of two samples. When it is necessary to conduct research on the entire
supply chain, the combined findings of more than six representative enterprises should provide
convincing evidence in support of theoretical replication. Because of the level of money, effort,
and access to overseas suppliers all of which were required for this research, there was a
restriction set on the number of additional cases that may be picked.

As was said before, the researcher's investigation into distribution chain agile strategies in the
garment sector began in the fashion boutiques. This was done so in order to better understand the
current state of the industry. This was partly due to the fact that the UK garment industry served
as an instance of a buyer-driven commodities chain, including large retailers and branded
marketers playing an essential role in the establishment of manufacturing networks (Gereffi,

23
1999). Additionally, the purchasing power of the large numerous internet retail chains was
becoming an increasingly influential factor in the direction of the demand (Jones, 2002)

Email was used to initiate contact with the top 10 apparel shops in the UK in terms of the market
share. Accompanying this email was a PowerPoint presentation that outlined the structure for the
study project. Following this, calls were made to the location. There were three of them who
responded, but only one of them was chosen as a chosen case study to assess the interviewing
technique. This person also raised major reservations regarding the length of time that was
allocated for this research. The key case studies that were used for this investigation were the
supply chains that were utilised by the top two rateilers. Participants from five multinational
provides funding from across the full apparel supply chain were involved in the study. These
participants included two clothing producers, one textile finishing and printing company, one
accessory producer, and one integrative provider. Each company was involved, at various
periods, in supplying fashion items to the two UK specialist merchants that were first chosen.
These merchants were initially chosen. The responses from the merchants questioned revealed
that Romania and China were their preferred supply sources for the two global apparel
production clusters. Consequently, these countries were selected as the overseas suppliers.

At the time of the research, China had the world's fourth-largest economy and was the fourth-
largest trade nation overall, behind only the U.s, Japan, and Germany. The textile and clothing
market in China accounted for about one-fifth of the country's total exports, making it an
important component of China's national industrial sector. In 2003, China was involved for 16%
of the global garment export trade and 28% of the global apparel import trade. That since
beginning of 2005, Exports of goods and services of textiles and apparel have expanded by over
than one fifth thanks to the removal of worldwide limits at the beginning of the year 2006. This
was made possible by the beginning of the year 2006. The International Labour Organization
published its findings in 2006. It is believed that some of China's comparative edge include its
availability of skilled labour for low cost, its reliable supply of raw materials, its close proximity
to efficient ports, and its adherence to labour standards as well as region or bilateral trade deals.

24
Fig 3.2 Distribution of Companies along the Supply Pipeline

3.3 A Reflection on the Steps involved in the Research


Any doctoral student who is undertaking research will, at some point along the route, come
across a number of books on how to acquire a PhD. The vast majority of these will concentrate
on describing the organisational and institutional frameworks that are necessary to finish a PhD.
(Pansiri, 2009). After the purpose and purpose of the project have been discussed, a few of them
will highlight the significance of picking an appropriate research subject and a methodology that
is suitable for the research.
According to a very small portion of the substance that is currently available, the issue
declaration, hypotheses, and techniques of a PhD study are constantly altered while the kid
leaves through "a harsh, brain experience." This information comes from a study that was
conducted in the United Kingdom (Brause, 2000, p.12). The research trip will be far more
difficult if the student seeks to make a substantial contribution to a topic like supply chain,
whose limits grow less apparent as more research is done on the topic.
In such a field, identifying any gaps in the existing body of knowledge—a process that is
extensively stressed in the abovementioned PhD producing a book—becomes a vast and
challenging undertaking due to the amount of work that is required to do so. According to what
Hambrick writes, "I am extremely certain on where theories do not come from" (2005, p.124).
They aren't the outcome of attempts made by academics to fill in holes in the existing body of
literature. It is easy for young academics, especially those who are working toward a PhD
degree, to feel intimidated by the body of knowledge that has already been established in a field.

25
They frequently start to feel that written language represents the sum whole of their intellectual
capabilities, at which point people become obsessed with trying to fix, make reparations for, or
otherwise finish the literature. Reading by itself is not sufficient evidence to support a
hypothesis, in my opinion. It is highly recommended to start with an intriguing real-world
puzzle, generate an original batch of thoughts for how to solve it, and then turn to the books for
guidance and clarification when you have completed these steps. Finding a gap in the existing
research and refining the research topic for the present thesis were two of the most difficult jobs
that needed to be completed during the process of doing the research.
In a topic that is at the intersection of a number of academic subfields, the finding that there was
insufficient published material in the year of the study immediately became a barrier to
investigation and discovery. It's not until after the data collection process had begun that it
became evident that several of the critical problems which the companies had to deal with have
had little assistance in the corpus of existing literature.
This realisation came after it became apparent that the companies had to deal with these issues.
As a consequence of this, as the process of conducting the research advanced, the focus of the
study as well as its research topic shifted. The topic of the study wasn't actually decided upon
until much later, after the data had already been collected, analysed, and the results of the merger
had been compared to the corpus of previously published literature. Despite the fact that this
journey was a great deal more difficult than expected, it made it much easier to recognise
"stewardship of the area" and "significance to industry and practises," which (Pansiri, (2006)
describes as "the two primary themes" on the significance of obtaining a PhD. This also
suggested that the choice of a technique was affected by a method for reflection on previous
information, experiences, and beliefs, in as well as a variety of philosophic readings. This was
implied by the fact that the statement was made.
As a result of this, what the PhD advisors had initially proposed as a "simple and direct,
positivism research of the UK global luxury ’s procurement procedures" evolved into the an
actual exam of global flexible strategies for supply chain management in the industry. This was
done as a result of the fact that the research was conducted in the United Kingdom. Even if the
author's personal values coincided well with the creation of a scientific identification in
pragmatism, the fact that there are so few research in the field that centre on this paradigm
presents additional challenges.
The author of this thesis is, nevertheless, of the firm belief that the wide range of discoveries
presented in this work could not have been accomplished by employing a different
methodological paradigm. Albert Einstein once famously observed that "inside the middle of
every battle lies opportunity."

3.4 Summary
Within the scope of the three significant research methodologies that have been presented, and
the study's perspective has been defended. Taking into consideration the research subject that
was offered, which was then used to help support the use of the various study research

26
methodology, The benefits of case study research have been established, notably the benefits of
multiple-case studies. In addition, problems have been identified, and techniques to circumvent
them have been developed. It has been demonstrated that a comprehensive presentation of
research papers and sample has been provided. Techniques such as intentional sampling and
snowball sampling were utilised so that a complete understanding of strategies for supply chain
management could be gained in a realistic context. It was decided to construct a study
methodology and put it through its paces both an academia and a real-world environment. Within
the project's three supply network iterations, seven different businesses were successfully
enrolled as participants. Interviews with participants using a semi-structured format were used as
the major technique of data collection. This was also completed in addition to business papers
and site visits. The process of analysing the data has at long last been detailed, and it was
revealed that pattern matching is an essential strategy.

4. Result and Analysis


4.1 Findings
The findings from the primary case study will be compared and contrasted with the effective
supply chain framework as a whole. This will result in the resolution of the primary research
question. We will also investigate the strategies employed by clothing retailers in the United
Kingdom to overcome the challenges posed by complexity and globalisation while preserving a
high degree of agility in their operations.

The blueprint for conducting an investigation into the agile procurement procedures that are
utilised on an operational level by enterprises in the main fast fashion industry was given. These
methods were organised according to Market Sensitivity, Sourcing Versatility, and Process
Integration, which were the three main themes that were used, and each of these subjects will be
discussed in further depth in the parts that are to follow.

27
Figure 4.1 A Framework for the Management of Agile Supply Networks

4.2 Business Sensitivity


Market Responsiveness, the first element of the structure for agile supply chain leadership
introduced , was viewed as fundamental to the behaviour of retailers, and they went to incredible
lengths to attempt to predict or predict possible effective fashion products, in addition to very
closely monitoring customer demands for they and their competitors offered. Market Sensitivity
is the first element of the structure for nimble supply chain leadership introduced . The high level
of environmental unpredictability that fashion retailers were forced to contend with necessitated
a high level of market sensitivity. This was manifested in the retail outlets' need to incorporate a
lot of new product lines, have a wide variety of products, and maintain a wide range of product
variations (swings in volume requirements), all of which were evident in the retail outlets' need
to respond quickly to changes in the market . According to the shops that were questioned, the
greatest uncertainty that they had to cope with was the unpredictability of customer demand.
This finding is in line with findings from past studies. This compelled them to display elevated
amounts of future product adaptability, mix versatility, and volume flexibility, all of which were
identified as essential characteristics of agile network in the framework that was supplied.

Figure 4.2. Market Sensitivity Levels for Retailers A and B


The Adaptability of New Products Brand New Item It was essential for the merchants'
performance in the market place for them to have flexibility, which is defined as the capacity to
produce and create innovative products as well as the ability to adapt existing ones (Slack, 1997).

28
Although the concept of seasons was well formed in the fashion industry, and many trade shows
such as trade fairs, expositions, runway shows, presentation of collections, etc. were still timed
or scheduled around in these weeks of the season (Forza and Vinelli, 1997), it is essential to note
that retailers were now everytime looking for new market opportunities, and a significant number
of their product portfolio were developed within the conventional seasonal changes to increase
the level of consistency in their offerings. Customer segmentation was employed to group
customers into categories such as age, ambitions, financial independence, preferences regarding
designers, social networks, songs preferences, television programmes watched, and magazines
read. This was done so that the design of new products could be guided by these categories.
Emerging clothing styles in each of these market segments would be tracked very closely, and
more general inspiration would be sought from sources such as movies, radio, popular holiday
spots, music industry products, and so on. Blend in some adaptability Mix flexibility, or the
capacity to offer a wide range of products (Slack, 1997), was also seen as crucial to the success
of retailers as a way to entice customers into stores.
At the same time, the retailers were faced with additional complexities as a result of the wide
product range, which was generated by the huge number of product designs, colours, and sizes
that were offered to the market. These complexities had a financial impact on product
development activities as well as manufacturing and distribution operations. Randall and Ulrich
(2001) and other authors who have written about customized products, such as McCutcheon et
al. (1994), Lampel and Mitzberg (1996), and Gilmore and Pine (1997), have addressed the issue
that as product variety increases, demand uncertainty also increases, which makes forecasting
more difficult.
This is due to the fact that the same aggregated demand is split over more SKUs, which leads to
a rise in the aggregated errors associated with each forecast. In addition, this will have a
detrimental impact on the way orders are fulfilled. Further research, that done by, has
emphasized the fact that as product variety increases, the requirement for mix responsiveness
increases as well.
Furthermore, given that customers are not willing to accept longer lead times, businesses have
been forced to reconsider the level of product wide range that is really demanded by their
customers. However, the fashion retailers that were the focus of this investigation did not display
this tendency. They both reported significant expansions in the product line over the previous
several years due to the widespread perception that a broad product offering is an essential
component of market winning characteristics. Volume Flexibility The high level of "demand
variability" that the retailers also were faced with was connected to product variety, but
conceptually distinct from it.
This high level of "demand variability" was generated by huge swings in demand allured by
factors like weather, a celebrity of been spotted wearing the item, or the item of been featured in
a magazine shoot. As a consequence of this, the supply networks utilised by the fashion shops
who were the focus of this research needed to demonstrate not only the capability to alter the
quantity of output for every SKU, but also to do so very quickly. In relation to the volume
flexibility, the strategy of purposefully under-supplying the market with smaller amounts than

29
perhaps might have sold before moving on to a new product offering was of utmost significance
in reducing this market volatility for high fashion items. This strategy was of critical importance
in minimising the above market risk. However, as was mentioned earlier, this supported the
feeling of newness, exclusivity, and lack of supply in the consumers, which led to the more
trendy of them becoming regular store tourists to see what products were being offered. The
opportunity cost of potentially being able to sell more was recognised, but the risks of wanting to
hold too much amount of inventory and subsequent undervaluing were reduced. Due to all of
these factors, orders were typically placed in relatively low quantities, ranging anywhere from
two hundred to one thousand goods per store. Despite this, the vast majority of these volumes
were obtained from overseas in nations with lower production costs.
However, establishing the marketplace right did sometimes not happen, and both shops that
were interviewed recognised the necessity of introducing discounts and sale goods. The typical
two sales seasons that have been reported in the literature in the past (January and August)
(Christopher et al., 2004) have been replaced in recent years by an increase in the frequency of
discounting prices. Retailers prefer to reduce prices for'slow selling items' on a regular basis in
order to free up premium floor space. Retailer A asserted that they had as many as ten'sales
seasons' per year, whilst Retailer B claimed that they always have reduced items on display.

4.3 Intermediaries

Because export-import brokers, also known as intermediates, were able to immediately discover
sources of supply that were readily available, indirect sourcing through intermediaries was
constantly utilised in order to rapidly redesign these global supply pipelines in response to
changing demands. Their access to a vast supplier network, in conjunction with the overcapacity
that existed within the industry, enabled them to have practically unbounded freedom in terms of
the product capabilities they could offer. Because of this, it was possible to rapidly locate and
utilise excess finishing production capacity so as to permit short lead times.
This was made possible by the fact that. They lacked any industrial, logistical, or other
capabilities, but they were knowledgeable in the region's supply network. Many of them were
simply agents inside the broadest meaning of the term. When the results of the initial market test
conducted by the retailer indicated that there was, in fact, a market for the new product, the
retailer would place orders with the middleman to purchase it in relatively small quantities. After
providing the appropriate gamers in its supply chain network base with the necessary technical
specs as well as volume requirements, this same mediator would then organise competitor
auctions again for manufacture of clothing. They would be given a few days to put together such
a "offer package" based on cost and lead time, and the winner of the auction would be selected
based on the best combination of the two factors.

30
The order would be offered to the manufacturer who submitted the "best" proposal in terms of
the amount of time it would take to deliver the product as well as the price. It is true that the
intermediaries had "preferred" manufacturers; nevertheless, in practise, only "authorised"
manufacturers were permitted to take part in the going to auction process. This was done in an
effort to try to ensure a higher level of quality during the phase of garment manufacturing.
Nevertheless, at the time of the study, there was a significant manufacturing overcapacity all
over the world, and if it became necessary, the middlemen might vigorously attempt to drive
prices down.

Previous study, such as that which was carried out by Forrester Research in 2002 (Radjou, 2002),
indicates that increased degrees of inflexibility in worldwide supply chains can be expected to
materialise in the near future. The inability of a company to shift output from one facility to
another and the failure to properly respond when capacities is constrained are the primary factors
that contribute to this inflexibility.
According to the people who authored this research, in order for global manufacturers to
demonstrate their capacity to fulfil current demand with individualised solutions, they need to be
able to respond effectively to dynamic trade. The ability to swiftly add or remove capacity from
a current facility, as well as add or remove capacity from other facilities or source additional
capacity, is what is meant by the term "dynamic capacity." Depending on the specifications of
the product, the chopping and assembly could take place on the Chinese mainland, in Hong
Kong, or in Vietnam. Depending on the type of fabric and the colour of the cloth, the source may
be located in Thailand, Indonesia, or Bangladesh. It is possible to achieve extremely low lead
times by reserving equipment with manufacturers of fabric and thread, dyers, and assemblers
located in South East Asia.
Therefore, the primary competences of the intermediates engaged were preserving and growing
their ties between their retail clients and establishing manufacturing networks to achieve very
short lead times. The utilisation of intermediaries led to a significant increase in the supply
systems' capacity to reconfigure themselves, which, in turn, led to an increase in the degree of
flexibility in which these supply systems were finally able to exhibit. This is one of the primary
conclusions that can be drawn from this thesis. This was mostly achieved through obtaining
capacity on an as-needed basis, as was noted both here and that came before this one. In order for
the middlemen to be price, and of course mainly lead time competitor to support agile supply,
small one-off batches that were required by retailers were sold at auction off in a traditional,
confrontational manner across all of the supplier network with the capacity and capacity to meet
the requirements. Some of the caveats included proximity to fabric suppliers.

31
Fig 4.3 retail customer relationships

4.4 Supply Chain Organizations Before and After Intermediary

Organizations within the Supply Chain Before and After the Use of Intermediaries The policy of
the intermediaries to simply not own any production facilities kept the supply chain fluid and
adaptable. This promoted a continuous search of flexible, performance, and cost-efficient
suppliers, which kept the supply chain flexible and adaptable. This falls in accordance with the
findings of past studies such as the one done by Magretta (1998). The flow of information and
materials is depicted as it travels via the various supply pipelines. The graphic illustrates how
intermediaries were engaged in all stages of the manufacture of garments, providing assistance to
the fashion suppliers in the design of new goods as well as the water supply that were necessary
to bring these products to market. These phases comprised the creation of new products, the
procurement of raw materials, the fabrication of clothing, and the distribution of the
commodities. In addition, the intermediates were utilised in order to acquire the textiles and
trims, while the natural materials were brought straight to the manufacturing locations.

The Lohn Model


However, a new sourcing technique known as the Lohn Model was found in the supply chains of
a few Eastern European suppliers, including the Romanian company whose representatives were
contacted. This strategy was uncovered in the supply chains of a few Eastern European suppliers.
In these pipelines, a mediator would be responsible for acquiring all of the raw materials that
would be required to make a particular product, arranging for their shipment to its storeroom,
and then organising their transport as a "package" to the manufacturing facility where the
product would be made. This strategy was typically utilised in situations in which the required
raw materials were manufactured in a country different from the one in which the clothing
manufacturer conducted business, and the clothing supplier had the operational and financial
capabilities to take part in global sourcing. This strategy was less flexible than others due to the
longer lead times that were necessary as a result of the duplication of work throughout the supply
chain. According to studies such as those that de Toni and Nassimbeni (1995) highlighted, which
were emphasised, it was shown that the capability of a company to arrange the oversight model

32
of supplier relations was tightly related to the stability and management of the supply chain, in
which it operated. This was emphasised. However, the findings of this thesis revealed that the
utilisation of fully customizable networks was absolutely necessary in order to achieve the high
degree of sensitivity that is required by the fast-fashion industry.

Figure 4.4. The Lohn Model


However, the employment of trading agents was absolutely essential for the fashion retailers in
order for them to be in a position to fast rearrange the supply network that they were working
with. Because they were always a part of the retailers' supply networks, they were able to lower
the complexity level that the stores would have been forced to deal with in the absence of their
involvement and provide a greater feeling of consistency. The existence of a dominating player
in a network that is able to develop and correctly manage the complexities of the supply linkages
in that network is essential to the network's ability to maintain its stability, according to
empirical evidence that supports this proposition.
The store as well as the fashion agents who were employed were now taking turns playing the
position of leader in the style networks that were under investigation. It was very evident that the
retailers had a very considerable degree of dependence on the middlemen that were situated in
the low-cost countries. Because it was the unrelated supplier network, not the intermediary mates
who merely organised it, that provided the broad based product capability, the risk that this
dependence would stifle creativity for inventive fashion products did really not apply in this
case. The intermediary partners could influence this, but it was the unconnected provider
network that was responsible for providing it. There were not many hurdles to jump through in
order to become an intermediary. For the most part, the fundamental role required nothing more
than familiarity with and access to the available low-cost country supply networks rather than,
for example, a significant investment of capital.

33
When this was combined with the existing excess capacity in the supply of such a market, which
applied equally to the middlemen as it did to everybody else, it gave the retailers the impression
that they were less susceptible to the opportunistic behaviour of the intermediaries. If, on the
other hand, the supply overcapacity were to disappear in the future, it would seem inevitable that
the retailers' high level of reliance on the intermediaries would cause them to become more
susceptible to risk. In these networks, needed to establish long-term alliances with a limited
number of more adaptable suppliers was regarded as probably to reduce the retailer's creating
promotional campaigns to flexibly and helpfully pander for a diverse and rapidly moving fashion
market. This perception was based on the fact that the retail industry is notoriously competitive.
It was, in fact, too hazardous to give up the variety in exchange for a supply chain that was more
streamlined (lean) but less adaptable (Fernie and Azuma, 2004). These organisations have been
designated as Type II Leagile Power Supply. Lean suppliers, which are distinguished by low
concentrations of volume flexibility as well as combine flexibility (Naylor et al., 1999), have
been utilised in these types of systems, and a high level of realignment flexibility has been
maintained.

4.5 Relationships
According to the research done on the connections between businesses in the supply chain, there
are many different levels of cooperation that can be established between businesses. It's possible
that a participant in the supply chain would like to increase the amount of collaboration it has
with its customers and/or suppliers, enter into a partnership agreement, or even consolidate in
order to launch a new business. Alternately, a company can decide to focus on its core operations
and either build some kind of cooperative relationship through outsourcing or just acquire a
service from the market on an as-needed basis. This is another option. The degree to which
various types of relationships could be recognized in supply chain network, beginning with a
loose link and moving all the way up to a close relationship.

Fig 4.5 Degree of Collaboration in Supply Chains (Source: Naim et al., 2007, p.304)

4.6 Analysis
A comparison was made between the framework for agile management of supply chains that was
presented and the primary case results analysis that were presented. As it became apparent that

34
businesses needed to create supply chain networks that were "fit-for-purpose," a framework was
developed to assist with the design and management of these networks. This framework was
developed to help. It was found that the versatility requirements for lean, agile, and lean and
agile supply chains are different, and it was proposed that these differences can be clarified by
taking into account the different types of'sourcing' and'vendor' flexibility. Leagility was further
developed to include two new types: Type I, which has a high degree of vendor flexibility but a
low rate of switching between vendors, and Type II, with the situation in reverse of Type I. It
was also noted that new supply-chain structures and actors, such as trade agents and
intermediates, are needed for retailers to attain high levels of agility in a global and complex
supplying context through rapid reconfiguration of their supply systems. This was something that
was mentioned in the previous sentence. On the other hand, these structures were only able to
achieve the bare minimum of information integration that was necessary to carry out the
transaction. This was primarily attributable to the high degrees of tunability that these networks
exhibited.

However, studies conducted in the past have indicated that despite the fact that businesses are
aware of the need of adaptability, in their efforts to save costs they have embraced global
sourcing practises at the expense of their ability to respond to changes in the market. According
to Christopher, the companies that will be most successful in the future in their various industries
are going to be the ones who have successfully sought out and conquered the twin peaks of
excellence, which are cost leadership and service leadership.
This study demonstrates how UK fashion companies were able to become more competitive by
incorporating agile supply chain management practises and global sourcing into their company
operations. This indicates that the concept of an adaptable supply network operating on a global
scale is neither a pipe dream nor an impossible undertaking. Instead, it is turning into a
requirement as a result of the growing desire among customers for more individualised products
at cheaper prices. In addition, previous research has highlighted the fact that while premium,
innovative products require flexibility in planning methods and a physical supply network that is
able to anticipate certain characteristics of market demand, functional, low-cost products require
a corporate entity to handle large volumes.
This is in contrast to the situation where premium, innovative products require a physical supply
network that is able to anticipate certain characteristics of market demand. Either traditional
supply chains are too expensive and difficult to successfully distribute reduced goods, or they are
simply too strict and asset-intensive to quickly adopt and implement innovation. Both of these
problems make it impossible for traditional supply chains to successfully disperse low-cost
goods. The findings of this thesis have led the author to the following conclusions: - It is no
longer feasible for fashion retailers to create supply chain solutions that are "one size fits all" in
order to achieve success in the current market, which increasingly requires a high level of
individualised response to the diverse requirements of individual customers.

35
By tailoring supply chain networks to be "fit for purpose," they are able to deliver innovation and
responsiveness to luxury brands while simultaneously achieving high levels of efficiency with
mass-market products.
- First, businesses are able to expedite the innovation process by increasing the degree to which
their processes are integrated. This paves the way for new products and sales to be introduced
into the marketplace in a more timely and cost-effective manner. Second, in order to
substantially cut costs and to proactively meet the requirements of their customers, they have
reimagined their supply network. This was accomplished by reordering the operations.
- In order to facilitate rapid supply system reconfiguration within the framework of global
sourcing, new supply chain structures and actors, including such trade agents and intermediaries,
were needed to be implemented. Agile SCM processes . Although there has been a significant
amount of research conducted on the many facets of agility in the supply networks of the apparel
and other industries (Duray, 2002; Lee et al., 2002; Ulrich et al., 2003), the majority of the that
research has focused on the consumer acceptability of the strategy rather than the operational
problems that arise as a result of implementing it (Loker et al., 2004, Kincarde et al., 2007).
Market Sensitivity, Flexible Sourcing, as well as System Integration were recognised as the three
components that the strategy utilised by organisations operating in highly volatile environments
should apply , which has been based on an in-depth literature research. These three components
should be applied by organisations in order for the strategy to be effective. Following that, a
number of case studies were used in order to investigate the extent to which the framework's
components are really utilised in actual practise. These showed that creating supply chain
solutions that are "one size fits all" is no longer a practical option for businesses that want to
succeed in the current markets, which are increasingly demanding a high level of customised
response to the distinct needs of different customers.
In other words, creating supply chain solutions that are "one size fits all" is no longer a practical
option. The conceptual framework that was developed as a result has the potential to be used as a
guide for the development and management of parallel supply systems that are adapted to a
variety of different operating settings. Brun and Castelli (2008) emphasise that businesses must
simultaneously meet a variety of market needs in order to survive, which is in line with earlier
studies by Heikkila (2002), Holmstrom et al. (2002), and Lee et al. (2002). Given the growing
demand for product diversity, Brun and Castelli (2008) emphasise that businesses must
concurrently meet a variety of market demands in order to survive (2002).
For instance, because of the propensity to rely on a large group of suppliers, retailers were
driven to broaden the scope of their management efforts to encompass operations higher
upstream in the value chain. This was because of the tendency to depend on a large network of
suppliers. These companies brought attention to the fact that decisions concerning the supply
chain often reflected different regions by documenting the evolution of the configuration of their
power supply and the management practises that they had employed. Within the supply network
of the same organisation, there is a requirement for the application of a variety of SC setups and
management options (Brun and Castelli, 2008).

36
This demonstrates that not only the supply-chain strategy is a topic worthy of investigation, but
also that it is fascinating to think about the challenge of developing and putting targeted supply
chain strategies into action.

5.Conclusion
5.1 Summary
The objectives of the study, as well as its results and the ramifications of those findings, have
been discussed. The original inputs have been condensed into this summary. In order to bring
this thesis to a close, it has been concluded that both academic and practical consequences, as
well as future research implications, have been considered.

In response to the question that was a summary of the findings of the research is presented. The
limitations of the study are discussed, along with the study's contributions to the body of
previously gathered data and the creation of new information. In conclusion, some
recommendations for further research are made, and a discussion of how the results of the study
can be applied in practical settings is presented. This serves as the conclusion to the thesis.
Research Findings Synthesis Companies have come to the realisation that their supply networks
need to be much more flexible in order to keep up with the increasing demand for more
individualised products at lower prices. Their ability to more rapidly respond to changes in the
market thanks to their supply networks increases the likelihood of them increasing market share.
As a consequence of this, companies have the ability to logically utilise a variety of supply chain
methods in order to meet a variety of market demands (Fisher, 1997; Sharifi and Zhang, 1999;
Lee, 2002). Brun and Castelli (2008) go on to emphasise that all these differences primarily arise
in terms of the supply chain's target performance, which subsequently influences decisions based
on supply chain, such as how simple it is to synchronise the various processes along the
distribution chain. In addition, Brun and Castelli (2008) note that these differences are primarily
caused by the fact that the supply chain's target performance can vary. They should be taken into
consideration when determining whether the most effective SCM approach should pursue a high
level of reactivity and flexibility (agile), or whether it should be efficiency-oriented (lean)
(Fisher, 1997; Brun and Castelli, 2008). What a significant body of previous research had
already hinted at was validated by the respondents' ecstatic responses and their active
participation in the management of operations along the value chain: Despite the fact that fashion
retailers consider it as a viable area for attaining long-term competitive advantages, relatively
little study has been conducted on the implementation of supply based and provides along the
value stream.

37
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