IDEAS home Printed from https://ideas.repec.org/a/eee/joreco/v48y2019icp257-269.html
   My bibliography  Save this article

A quantitative performance management framework for assessing omnichannel retail supply chains

Author

Listed:
  • Adivar, Burcu
  • HüseyinoÄŸlu, Işık Özge Yumurtacı
  • Christopher, Martin

Abstract

This study proposes a performance management framework with a roadmap to success and evaluates successful retailers. We provide comparative analysis of brick-and-mortar versus omnichannel retail supply chains and propose comprehensive performance metrics categorized with respect to four competitive dimensions (sustainability, efficiency and effectiveness, responsiveness, flexibility) and seven perspectives (customers, operations, sourcing, finance, information sharing and information technology, transportation, environment). Two customer-centric frameworks and a statistical model are developed to analyze the characteristics of successful omnichannel retail supply chains. The quantitative analysis shows that physical stores are a critical component of omnichannel strategy for many retailers. From a practical perspective, our frameworks provide guidelines and metrics to be used for assessing the success of omnichannel retailers. The comparative analysis of the top 25 U.S. retailers provides additional insights for critical success components in transition to omnichannel retailing.

Suggested Citation

  • Adivar, Burcu & HüseyinoÄŸlu, Işık Özge Yumurtacı & Christopher, Martin, 2019. "A quantitative performance management framework for assessing omnichannel retail supply chains," Journal of Retailing and Consumer Services, Elsevier, vol. 48(C), pages 257-269.
    • Handle: RePEc:eee:joreco:v:48:y:2019:i:c:p:257-269
    DOI: 10.1016/j.jretconser.2019.02.024
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0969698918304715
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jretconser.2019.02.024?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. David Bell & Santiago Gallino & Antonio Moreno, 2015. "Showrooms and Information Provision in Omni-channel Retail," Production and Operations Management, Production and Operations Management Society, vol. 24(3), pages 360-362, March.
    2. Kumar, V. & Anand, Ankit & Song, Hyunseok, 2017. "Future of Retailer Profitability: An Organizing Framework," Journal of Retailing, Elsevier, vol. 93(1), pages 96-119.
    3. Baxendale, Shane & Macdonald, Emma K. & Wilson, Hugh N., 2015. "The Impact of Different Touchpoints on Brand Consideration," Journal of Retailing, Elsevier, vol. 91(2), pages 235-253.
    4. Anonymous, 2014. "Introduction to the Issue," Journal of Wine Economics, Cambridge University Press, vol. 9(1), pages 1-2, May.
    5. Sunil Chopra, 2016. "How omni-channel can be the future of retailing," DECISION: Official Journal of the Indian Institute of Management Calcutta, Springer;Indian Institute of Management Calcutta, vol. 43(2), pages 135-144, June.
    6. Richard Cuthbertson & Wojciech Piotrowicz, 2008. "Supply chain best practices – identification and categorisation of measures and benefits," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 57(5), pages 389-404, June.
    7. Thomas, Rodney W. & Esper, Terry L. & Stank, Theodore P., 2010. "Testing the Negative Effects of Time Pressure in Retail Supply Chain Relationships," Journal of Retailing, Elsevier, vol. 86(4), pages 386-400.
    8. Mike Hoogveld & John M.D. Koster, 2016. "Implementing Omnichannel Strategies The Success Factor of Agile Processes," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 6(2), pages 1-2.
    9. Wang, Rebecca Jen-Hui & Malthouse, Edward C. & Krishnamurthi, Lakshman, 2015. "On the Go: How Mobile Shopping Affects Customer Purchase Behavior," Journal of Retailing, Elsevier, vol. 91(2), pages 217-234.
    10. Scott L. Newbert, 2008. "Value, rareness, competitive advantage, and performance: a conceptual‐level empirical investigation of the resource‐based view of the firm," Strategic Management Journal, Wiley Blackwell, vol. 29(7), pages 745-768, July.
    11. Keh, Hean Tat & Chu, Singfat, 2003. "Retail productivity and scale economies at the firm level: a DEA approach," Omega, Elsevier, vol. 31(2), pages 75-82, April.
    12. Pantano, Eleonora & Viassone, Milena, 2015. "Engaging consumers on new integrated multichannel retail settings: Challenges for retailers," Journal of Retailing and Consumer Services, Elsevier, vol. 25(C), pages 106-114.
    13. Seggie, Steven H. & Kim, Daekwan & Cavusgil, S.Tamer, 2006. "Do supply chain IT alignment and supply chain interfirm system integration impact upon brand equity and firm performance?," Journal of Business Research, Elsevier, vol. 59(8), pages 887-895, August.
    14. Cao, Lanlan & Li, Li, 2015. "The Impact of Cross-Channel Integration on Retailers’ Sales Growth," Journal of Retailing, Elsevier, vol. 91(2), pages 198-216.
    15. Hoppner, Jessica J. & Griffith, David A., 2015. "Looking Back to Move Forward: A Review of the Evolution of Research in International Marketing Channels," Journal of Retailing, Elsevier, vol. 91(4), pages 610-626.
    16. Watson, George F. & Worm, Stefan & Palmatier, Robert W. & Ganesan, Shankar, 2015. "The Evolution of Marketing Channels: Trends and Research Directions," Journal of Retailing, Elsevier, vol. 91(4), pages 546-568.
    17. Tangari, Andrea Heintz & Burton, Scot & Smith, Ronn J., 2015. "Now that's a Bright Idea: The Influence of Consumer Elaboration and Distance Perceptions on Sustainable Choices," Journal of Retailing, Elsevier, vol. 91(3), pages 410-421.
    18. Estampe, Dominique & Lamouri, Samir & Paris, Jean-Luc & Brahim-Djelloul, Sakina, 2013. "A framework for analysing supply chain performance evaluation models," International Journal of Production Economics, Elsevier, vol. 142(2), pages 247-258.
    19. Hassini, Elkafi & Surti, Chirag & Searcy, Cory, 2012. "A literature review and a case study of sustainable supply chains with a focus on metrics," International Journal of Production Economics, Elsevier, vol. 140(1), pages 69-82.
    20. Blom, Angelica & Lange, Fredrik & Hess, Ronald L., 2017. "Omnichannel-based promotions’ effects on purchase behavior and brand image," Journal of Retailing and Consumer Services, Elsevier, vol. 39(C), pages 286-295.
    21. Lanlan Cao & Li Li, 2015. "The Impact of Cross-Channel Integration on Retailers’ Sales Growth," Post-Print hal-02009466, HAL.
    22. Pauwels, Koen & Neslin, Scott A., 2015. "Building With Bricks and Mortar: The Revenue Impact of Opening Physical Stores in a Multichannel Environment," Journal of Retailing, Elsevier, vol. 91(2), pages 182-197.
    23. Krafft, Manfred & Goetz, Oliver & Mantrala, Murali & Sotgiu, Francesca & Tillmanns, Sebastian, 2015. "The Evolution of Marketing Channel Research Domains and Methodologies: An Integrative Review and Future Directions," Journal of Retailing, Elsevier, vol. 91(4), pages 569-585.
    24. Alexander Hübner & Andreas Holzapfel & Heinrich Kuhn, 2016. "Distribution systems in omni-channel retailing," Business Research, Springer;German Academic Association for Business Research, vol. 9(2), pages 255-296, August.
    25. Anonymous, 2014. "Introduction to the Issue," Journal of Wine Economics, Cambridge University Press, vol. 9(2), pages 109-110, August.
    26. Ailawadi, Kusum L. & Farris, Paul W., 2017. "Managing Multi- and Omni-Channel Distribution: Metrics and Research Directions," Journal of Retailing, Elsevier, vol. 93(1), pages 120-135.
    27. Kumar, V. & Sunder, Sarang & Sharma, Amalesh, 2015. "Leveraging Distribution to Maximize Firm Performance in Emerging Markets," Journal of Retailing, Elsevier, vol. 91(4), pages 627-643.
    28. Beck, Norbert & Rygl, David, 2015. "Categorization of multiple channel retailing in Multi-, Cross-, and Omni†Channel Retailing for retailers and retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 27(C), pages 170-178.
    29. Gunasekaran, A. & Patel, C. & McGaughey, Ronald E., 2004. "A framework for supply chain performance measurement," International Journal of Production Economics, Elsevier, vol. 87(3), pages 333-347, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Abid Hussain & Muhammad Bilal & Sara Shabbir & Tanveer Illahi, 2021. "Mediating Role Of Mobile Banking Between Service Quality And Adaptive Performance Of Managers In Smes," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 10(2), pages 136-146.
    2. Alice Mazzucchelli & Roberto Chierici & Angelo Di Gregorio & Claudio Chiacchierini, 2021. "Is Facebook an effective tool to access foreign markets? Evidence from international export performance of fashion firms," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 25(4), pages 1107-1144, December.
    3. Paulo Renato de Sousa & Marcelo Werneck Barbosa & Leise Kelli de Oliveira & Paulo Tarso Vilela de Resende & Ricardo Ruiz Rodrigues & Myrian Teixeira Moura & Daniel Matoso, 2021. "Challenges, Opportunities, and Lessons Learned: Sustainability in Brazilian Omnichannel Retail," Sustainability, MDPI, vol. 13(2), pages 1-17, January.
    4. Li, Zonghuo & Wang, Di & Yang, Wensheng & Jin, Hyun Seung, 2022. "Price, online coupon, and store service effort decisions under different omnichannel retailing models," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    5. Li, Zonghuo & Yang, Wensheng & Jin, Hyun Seung & Wang, Di, 2021. "Omnichannel retailing operations with coupon promotions," Journal of Retailing and Consumer Services, Elsevier, vol. 58(C).
    6. Tuğba Yeğin & Muhammad Ikram, 2022. "Performance Evaluation of Green Furniture Brands in the Marketing 4.0 Period: An Integrated MCDM Approach," Sustainability, MDPI, vol. 14(17), pages 1-32, August.
    7. Ben Mimoun, Mohamed Slim & Lancelot Miltgen, Caroline & Slama, Boulbeba, 2022. "Is the shopper always the king/queen? Study of omnichannel retail technology use and shopping orientations," Journal of Retailing and Consumer Services, Elsevier, vol. 65(C).
    8. Abid Hussain & Sana Rashid & Sara Shabbir & Rizwan Qaiser Danish & Manzoor Ahmad Shah, 2021. "Mediating Role Of Productivity Between Performance Expectancy And Adaptive Performance Of Managers In Smes," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 10(3), pages 178-187.
    9. Taheri, Seyed Ghiasuddin & Navabakhsh, Mehrzad & Tohidi, Hamid & Mohammaditabar, Davood, 2024. "A system dynamics model for optimum time, profitability, and customer satisfaction in omni-channel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 78(C).
    10. Aversa, Joseph & Hernandez, Tony & Doherty, Sean, 2021. "Incorporating big data within retail organizations: A case study approach," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    11. Shen, Yinhai & Zhang, Qing & Zhang, Zhichao & Ma, Xinyu, 2022. "Omnichannel retailing return operations with consumer disappointment aversion," Operations Research Perspectives, Elsevier, vol. 9(C).
    12. Nguyen, Anh Thi Van & McClelland, Robert & Thuan, Nguyen Hoang, 2022. "Exploring customer experience during channel switching in omnichannel retailing context: A qualitative assessment," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    13. Abid Hussain & Muhammad Bilal & Sana Rashid, 2021. "An Empirical Investigation Of Information Quality And Usage Of Mobile Banking In Predicting Adaptive Performance: A Serial Mediation Model," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 10(1), pages 134-147, March.
    14. Dey, Bikash Koli & Sarkar, Mitali & Chaudhuri, Kripasindhu & Sarkar, Biswajit, 2023. "Do you think that the home delivery is good for retailing?," Journal of Retailing and Consumer Services, Elsevier, vol. 72(C).
    15. Lim, Xin-Jean & Cheah, Jun-Hwa & Dwivedi, Yogesh K. & Richard, James E., 2022. "Does retail type matter? Consumer responses to channel integration in omni-channel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 67(C).
    16. João M. Lopes & Ana Sousa & Eva Calçada & José Oliveira, 2022. "A citation and co-citation bibliometric analysis of omnichannel marketing research," Management Review Quarterly, Springer, vol. 72(4), pages 1017-1050, December.
    17. Muthaffar, Aisha & Vilches-Montero, Sonia, 2023. "Empowering retailers: A bounded rationality perspective to enhancing omnichannel journey satisfaction," Journal of Retailing and Consumer Services, Elsevier, vol. 75(C).
    18. Catherine Viot & Grégory Bressolles, 2021. "Les détaillants face au défi du commerce connecté : Une étude multisectorielle," Post-Print hal-03229956, HAL.
    19. Abid Hussain & Sana Rashid & Sara Shabbir & Rizwan Qaiser Danish & Manzoor Ahmad Shah, 2021. "Mediating Role Of Productivity Between Performance Expectancy And Adaptive Performance Of Managers In Smes," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 10(3), pages 178-188, September.
    20. Jena, Sarat Kumar & Meena, Purushottam, 2022. "Competitive sustainable processes and pricing decisions in omnichannel closed-up supply chains under different channel power structures," Journal of Retailing and Consumer Services, Elsevier, vol. 69(C).
    21. Sarkar, Biswajit & Kar, Sumi & Basu, Kajla & Seo, Yong Won, 2023. "Is the online-offline buy-online-pickup-in-store retail strategy best among other product delivery strategies under variable lead time?," Journal of Retailing and Consumer Services, Elsevier, vol. 73(C).
    22. Mahsa Pishdar & Masoumeh Danesh Shakib & Jurgita Antucheviciene & Arvydas Vilkonis, 2021. "Interval Type-2 Fuzzy Super SBM Network DEA for Assessing Sustainability Performance of Third-Party Logistics Service Providers Considering Circular Economy Strategies in the Era of Industry 4.0," Sustainability, MDPI, vol. 13(11), pages 1-18, June.
    23. Mohamed Slim Ben Mimoun & Caroline Lancelot Miltgen & Boulbeba Slama, 2022. "Is the shopper always the king/queen? Study of omnichannel retail technology use and shopping orientations," Post-Print hal-03519230, HAL.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cai, Ya-Jun & Lo, Chris K.Y., 2020. "Omni-channel management in the new retailing era: A systematic review and future research agenda," International Journal of Production Economics, Elsevier, vol. 229(C).
    2. Hajdas, Monika & Radomska, Joanna & Silva, Susana C., 2022. "The omni-channel approach: A utopia for companies?," Journal of Retailing and Consumer Services, Elsevier, vol. 65(C).
    3. Xu, Xun & Jackson, Jonathan E., 2019. "Investigating the influential factors of return channel loyalty in omni-channel retailing," International Journal of Production Economics, Elsevier, vol. 216(C), pages 118-132.
    4. Mirzabeiki, Vahid & Saghiri, Soroosh Sam, 2020. "From ambition to action: How to achieve integration in omni-channel?," Journal of Business Research, Elsevier, vol. 110(C), pages 1-11.
    5. von Briel, Frederik, 2018. "The future of omnichannel retail: A four-stage Delphi study," Technological Forecasting and Social Change, Elsevier, vol. 132(C), pages 217-229.
    6. Vaishnav, Bharat & Ray, Sourav, 2023. "A thematic exploration of the evolution of research in multichannel marketing," Journal of Business Research, Elsevier, vol. 157(C).
    7. Chang, Ya Ping & Li, Jingwen, 2022. "Seamless experience in the context of omnichannel shopping： scale development and empirical validation," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    8. Catherine Viot & Grégory Bressolles, 2021. "Les détaillants face au défi du commerce connecté : Une étude multisectorielle," Post-Print hal-03229956, HAL.
    9. Jochen Wulf, 2020. "Development of an AHP hierarchy for managing omnichannel capabilities: a design science research approach," Business Research, Springer;German Academic Association for Business Research, vol. 13(1), pages 39-68, April.
    10. Saghiri, Soroosh & Wilding, Richard & Mena, Carlos & Bourlakis, Michael, 2017. "Toward a three-dimensional framework for omni-channel," Journal of Business Research, Elsevier, vol. 77(C), pages 53-67.
    11. Huré, Elodie & Picot-Coupey, Karine & Ackermann, Claire-Lise, 2017. "Understanding omni-channel shopping value: A mixed-method study," Journal of Retailing and Consumer Services, Elsevier, vol. 39(C), pages 314-330.
    12. Maier, Erik & Bornschein, Rico & Manss, Rico & Hesse, Damian, 2023. "Financial consequences of adding bricks to clicks," International Journal of Research in Marketing, Elsevier, vol. 40(3), pages 609-628.
    13. Tueanrat, Yanika & Papagiannidis, Savvas & Alamanos, Eleftherios, 2021. "A conceptual framework of the antecedents of customer journey satisfaction in omnichannel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).
    14. João M. Lopes & Ana Sousa & Eva Calçada & José Oliveira, 2022. "A citation and co-citation bibliometric analysis of omnichannel marketing research," Management Review Quarterly, Springer, vol. 72(4), pages 1017-1050, December.
    15. Neslin, Scott A., 2022. "The omnichannel continuum: Integrating online and offline channels along the customer journey," Journal of Retailing, Elsevier, vol. 98(1), pages 111-132.
    16. Kim, Sehoon & Connerton, Timothy Paul & Park, Cheongyeul, 2022. "Transforming the automotive retail: Drivers for customers' omnichannel BOPS (Buy Online & Pick up in Store) behavior," Journal of Business Research, Elsevier, vol. 139(C), pages 411-425.
    17. Christiane Lehrer & Manuel Trenz, 2022. "Omnichannel Business," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(2), pages 687-699, June.
    18. Li, Xi & Dahana, Wirawan Dony & Li, Tongmao & Yuan, Jingbo, 2021. "Behavioral changes of multichannel customers: Their persistence and influencing factors," Journal of Retailing and Consumer Services, Elsevier, vol. 58(C).
    19. Paula Rodríguez–Torrico & Sonia San–Martín & Rebeca San José Cabezudo, 2020. "Consumer behavior using multiple channels: a review," DOCFRADIS Working Papers 2002, Catedra Fundación Ramón Areces de Distribución Comercial, revised Jul 2020.
    20. Hallikainen, Heli & Alamäki, Ari & Laukkanen, Tommi, 2019. "Individual preferences of digital touchpoints: A latent class analysis," Journal of Retailing and Consumer Services, Elsevier, vol. 50(C), pages 386-393.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:joreco:v:48:y:2019:i:c:p:257-269. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-retailing-and-consumer-services .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.