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Challenges in the Era of Globalization - iaabd

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Proceed<strong>in</strong>gs <strong>of</strong> <strong>the</strong> 12th Annual Conference © 2011 IAABD<br />

limited visibility and lack <strong>of</strong> control over flows <strong>of</strong> commodities and <strong>in</strong>formation as <strong>the</strong>y pass through<br />

protracted and convoluted supply cha<strong>in</strong>s. The INEC attributed <strong>the</strong> reschedul<strong>in</strong>g <strong>of</strong> April 2011 general<br />

elections to disruptions <strong>in</strong> its supply cha<strong>in</strong> with respect to suppliers’ failure to deliver <strong>the</strong> electoral<br />

sensitive materials and result sheets to a significant number <strong>of</strong> poll<strong>in</strong>g stations throughout Nigeria. Given<br />

Nigerian immature physical <strong>in</strong>frastructure, less developed supply cha<strong>in</strong> logistics management knowledge,<br />

and sophomoric understand<strong>in</strong>g <strong>of</strong> <strong>in</strong>ternational procurement/purchas<strong>in</strong>g and supply management<br />

standards, it was not surpris<strong>in</strong>g that <strong>the</strong> April 2011elections suffered <strong>the</strong> consequence <strong>of</strong> supply cha<strong>in</strong><br />

breakdown. Disruptions are events that can occur <strong>in</strong> supply cha<strong>in</strong>s with<strong>in</strong> and across <strong>the</strong> supply cha<strong>in</strong>.<br />

Strategic supply cha<strong>in</strong> logistics plann<strong>in</strong>g can be <strong>of</strong> great importance to <strong>the</strong> success <strong>of</strong> elections <strong>in</strong> Sub-<br />

Saharan African countries particularly <strong>in</strong> Nigeria. Security and secur<strong>in</strong>g <strong>the</strong> transportation and<br />

distribution <strong>of</strong> electoral materials to poll<strong>in</strong>g stations are <strong>the</strong> most critical factors <strong>in</strong> plann<strong>in</strong>g and<br />

implement<strong>in</strong>g logistics activities. Nigerian has had its share <strong>of</strong> marred elections ow<strong>in</strong>g to challeng<strong>in</strong>g<br />

logistics, procedural, and organizational problems. Some <strong>of</strong> <strong>the</strong> materials <strong>in</strong> short supply <strong>in</strong>cluded stamp<br />

pad, liquid gum, vot<strong>in</strong>g cubicles, lamps, calculators, identity cards coupled with <strong>the</strong> mix-up <strong>in</strong> party logos<br />

and names <strong>of</strong> parties as well as non-availability <strong>of</strong> <strong>the</strong> names <strong>of</strong> <strong>in</strong>dividuals who have voters’ cards on <strong>the</strong><br />

voter register. Supply cha<strong>in</strong> disruptions ow<strong>in</strong>g to unpredictable bl<strong>in</strong>d spots can have an enormous impact<br />

on <strong>the</strong> organization’s ability to meet its objectives. It behoves organizations to improve <strong>the</strong>ir visibility as<br />

bl<strong>in</strong>d spots <strong>in</strong>crease geometrically with supply cha<strong>in</strong> complexity. Bl<strong>in</strong>d spots <strong>in</strong> supply cha<strong>in</strong> can result <strong>in</strong><br />

poor decisions, cost mistakes, missed opportunities, and lost customers’ confidence. Bl<strong>in</strong>d spots <strong>in</strong> <strong>the</strong><br />

recent Nigerian elections led to postponed elections and lost <strong>in</strong> voters’ confidence.<br />

Risk management is a systematic and analytical process that considers <strong>the</strong> likelihood that risk can disrupt<br />

achiev<strong>in</strong>g organization objectives and to identify response strategies that can reduce <strong>the</strong> risk and mitigate<br />

<strong>the</strong> associated consequences. However, despite <strong>the</strong> grow<strong>in</strong>g menace <strong>of</strong> disruptions <strong>in</strong> today’s supply<br />

cha<strong>in</strong>s, response to supply cha<strong>in</strong> bl<strong>in</strong>d spots (risks) is reactive. Therefore, <strong>the</strong> identification and<br />

qualification <strong>of</strong> supply cha<strong>in</strong> bl<strong>in</strong>d spot (risk) or failure modes is imperative <strong>in</strong> transition<strong>in</strong>g from reactive<br />

to proactive (or predictive) supply cha<strong>in</strong> risk management. Hence develop<strong>in</strong>g predictive risk management<br />

<strong>of</strong> supply cha<strong>in</strong>s can help organizations such as <strong>the</strong> INEC identify key supply cha<strong>in</strong> bl<strong>in</strong>d spots before<br />

disruptions occur. This will enable INEC <strong>the</strong> time to develop proper plans to mitigate <strong>the</strong> supply bl<strong>in</strong>d<br />

spots. Also, leverag<strong>in</strong>g supply cha<strong>in</strong> visibility can help INEC respond to elections supply cha<strong>in</strong> bl<strong>in</strong>d<br />

spots quicker, boost on-time deliveries, and <strong>in</strong>crease complete deliveries. Better understand<strong>in</strong>g <strong>of</strong> supply<br />

cha<strong>in</strong> risk management will enable INEC to be well positioned for <strong>the</strong> next elections cycle (April 2015).<br />

References<br />

Akalugo, A. C. (2011). “An Expert Op<strong>in</strong>ion on INEC-Jega’s Logistics Failure.” Nigerians Abroad,<br />

April 7.<br />

Christopher, M. (1998). Logistics and Supply Cha<strong>in</strong> Management – strategies for reduc<strong>in</strong>g costs and<br />

improv<strong>in</strong>g service. 2nd ed. London: F<strong>in</strong>ancial Times: Pitman Publish<strong>in</strong>g.<br />

Craighead, C.W., Blackhurst, J., Rungtusanatham, M.J., Handfield, R.B. (2007). “The Severity <strong>of</strong> Supply<br />

Cha<strong>in</strong> Disruptions: Design Characteristics and Mitigation Capabilities.” Decision Sciences, 38(1) 131-<br />

156.<br />

Enslow, B. (September 2004). Supplier Performance Management: What Leaders Do Differently – A<br />

Benchmark Report <strong>in</strong> How Companies Manage Supplier Performance and Supply disruptions. Aberdeen<br />

Reports.<br />

Handfield, R. (n. d). “Reduc<strong>in</strong>g <strong>the</strong> Impact <strong>of</strong> Disruptions to <strong>the</strong> Supply Cha<strong>in</strong>: A Managerial Framework<br />

Based on Observations from Multiple Executives.” http://www.sas.com/resources/asset/sascom.pdf<br />

Heaney, B. (March 2011). “Supply Cha<strong>in</strong> Visibility Excellence: Foster<strong>in</strong>g, Security, Resiliency, and<br />

Efficiency.” Aberdeen Group. http://v1.aberdeen.com/launch/report/benchmark/6834-RA-supply-<br />

cha<strong>in</strong>-visibility.asp?lan=US.<br />

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