IDEAS home Printed from https://ideas.repec.org/a/eee/proeco/v127y2010i1p1-12.html
   My bibliography  Save this article

Innovative quick response programs: A review

Author

Listed:
  • Choi, Tsan-Ming
  • Sethi, Suresh

Abstract

The quick response (QR) supply chain system has received a great deal of attention in the recent past because of the advances in many new technologies such as RFID systems and mobile computing. Establishment of supply chain practices, such as collaborative planning, forecasting, and replenishment (CPFR), and vendor managed inventory (VMI) has also contributed to the development of QR in industrial practice. In view of the growing importance of QR, we review a selection of papers in the supply chain management literature that focus on the innovative measures associated with QR. By classifying the literature into three major areas, namely, supply information management, demand information management, and values of information and supporting technologies, we derive insights into the current state of knowledge in each area and identify some associated challenges. We also suggest future research directions. In conclusion, this paper provides useful information in helping academicians and practitioners to effectively design, control, and implement QR programs.

Suggested Citation

  • Choi, Tsan-Ming & Sethi, Suresh, 2010. "Innovative quick response programs: A review," International Journal of Production Economics, Elsevier, vol. 127(1), pages 1-12, September.
    • Handle: RePEc:eee:proeco:v:127:y:2010:i:1:p:1-12
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0925-5273(10)00190-8
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    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. Gérard P. Cachon & Robert Swinney, 2009. "Purchasing, Pricing, and Quick Response in the Presence of Strategic Consumers," Management Science, INFORMS, vol. 55(3), pages 497-511, March.
    2. Dawn Barnes-Schuster & Yehuda Bassok & Ravi Anupindi, 2002. "Coordination and Flexibility in Supply Contracts with Options," Manufacturing & Service Operations Management, INFORMS, vol. 4(3), pages 171-207, May.
    3. Choi, Tsan-Ming (Jason) & Li, Duan & Yan, Houmin, 2006. "Quick response policy with Bayesian information updates," European Journal of Operational Research, Elsevier, vol. 170(3), pages 788-808, May.
    4. Kevin McCardle & Kumar Rajaram & Christopher S. Tang, 2004. "Advance Booking Discount Programs Under Retail Competition," Management Science, INFORMS, vol. 50(5), pages 701-708, May.
    5. Lode Li & Hongtao Zhang, 2008. "Confidentiality and Information Sharing in Supply Chain Coordination," Management Science, INFORMS, vol. 54(8), pages 1467-1481, August.
    6. Q. Feng & G. Gallego & S. P. Sethi & H. Yan & H. Zhang, 2005. "Periodic-Review Inventory Model with Three Consecutive Delivery Modes and Forecast Updates," Journal of Optimization Theory and Applications, Springer, vol. 124(1), pages 137-155, January.
    7. Haresh Gurnani & Christopher S. Tang, 1999. "Note: Optimal Ordering Decisions with Uncertain Cost and Demand Forecast Updating," Management Science, INFORMS, vol. 45(10), pages 1456-1462, October.
    8. Hau L. Lee & Kut C. So & Christopher S. Tang, 2000. "The Value of Information Sharing in a Two-Level Supply Chain," Management Science, INFORMS, vol. 46(5), pages 626-643, May.
    9. Tan, Tarkan & Gullu, Refik & Erkip, Nesim, 2007. "Modelling imperfect advance demand information and analysis of optimal inventory policies," European Journal of Operational Research, Elsevier, vol. 177(2), pages 897-923, March.
    10. Szmerekovsky, Joseph G. & Zhang, Jiang, 2008. "Coordination and adoption of item-level RFID with vendor managed inventory," International Journal of Production Economics, Elsevier, vol. 114(1), pages 388-398, July.
    11. Ouyang, Yanfeng & Li, Xiaopeng, 2010. "The bullwhip effect in supply chain networks," European Journal of Operational Research, Elsevier, vol. 201(3), pages 799-810, March.
    12. Andrew E. B. Lim & J. George Shanthikumar, 2007. "Relative Entropy, Exponential Utility, and Robust Dynamic Pricing," Operations Research, INFORMS, vol. 55(2), pages 198-214, April.
    13. Xiaowei Xu & Wallace J. Hopp, 2009. "Technical Note---Price Trends in a Dynamic Pricing Model with Heterogeneous Customers: A Martingale Perspective," Operations Research, INFORMS, vol. 57(5), pages 1298-1302, October.
    14. Gary D. Eppen & Ananth. V. Iyer, 1997. "Backup Agreements in Fashion Buying---The Value of Upstream Flexibility," Management Science, INFORMS, vol. 43(11), pages 1469-1484, November.
    15. Gérard P. Cachon & Marshall Fisher, 2000. "Supply Chain Inventory Management and the Value of Shared Information," Management Science, INFORMS, vol. 46(8), pages 1032-1048, August.
    16. Chen, Haoya & Chen, Jian & Chen, Youhua (Frank), 2006. "A coordination mechanism for a supply chain with demand information updating," International Journal of Production Economics, Elsevier, vol. 103(1), pages 347-361, September.
    17. Ketzenberg, Michael E. & Rosenzweig, Eve D. & Marucheck, Ann E. & Metters, Richard D., 2007. "A framework for the value of information in inventory replenishment," European Journal of Operational Research, Elsevier, vol. 182(3), pages 1230-1250, November.
    18. S. P. Sethi & H. Yan & H. Zhang, 2001. "Peeling Layers of an Onion: Inventory Model with Multiple Delivery Modes and Forecast Updates," Journal of Optimization Theory and Applications, Springer, vol. 108(2), pages 253-281, February.
    19. Grace Y. Lin & Yingdong Lu & David D. Yao, 2008. "The Stochastic Knapsack Revisited: Switch-Over Policies and Dynamic Pricing," Operations Research, INFORMS, vol. 56(4), pages 945-957, August.
    20. Suresh P. Sethi & Houmin Yan & Hanqin Zhang, 2003. "Inventory Models with Fixed Costs, Forecast Updates, and Two Delivery Modes," Operations Research, INFORMS, vol. 51(2), pages 321-328, April.
    21. Zhao, Qiu-Hong & Cheng, T.C.E., 2009. "An analytical study of the modification ability of distribution centers," European Journal of Operational Research, Elsevier, vol. 194(3), pages 901-910, May.
    22. Wallace, Stein W. & Choi, Tsan-Ming, 2011. "Flexibility, information structure, options, and market power in robust supply chains," International Journal of Production Economics, Elsevier, vol. 134(2), pages 284-288, December.
    23. Xuanming Su, 2007. "Intertemporal Pricing with Strategic Customer Behavior," Management Science, INFORMS, vol. 53(5), pages 726-741, May.
    24. Özalp Özer & Wei Wei, 2006. "Strategic Commitments for an Optimal Capacity Decision Under Asymmetric Forecast Information," Management Science, INFORMS, vol. 52(8), pages 1238-1257, August.
    25. Hau L. Lee & V. Padmanabhan & Seungjin Whang, 1997. "Information Distortion in a Supply Chain: The Bullwhip Effect," Management Science, INFORMS, vol. 43(4), pages 546-558, April.
    26. Ketzenberg, Michael, 2009. "The value of information in a capacitated closed loop supply chain," European Journal of Operational Research, Elsevier, vol. 198(2), pages 491-503, October.
    27. Gérard P. Cachon, 2004. "The Allocation of Inventory Risk in a Supply Chain: Push, Pull, and Advance-Purchase Discount Contracts," Management Science, INFORMS, vol. 50(2), pages 222-238, February.
    28. Bailey, Kate & Francis, Mark, 2008. "Managing information flows for improved value chain performance," International Journal of Production Economics, Elsevier, vol. 111(1), pages 2-12, January.
    29. Marshall Fisher & Ananth Raman, 1996. "Reducing the Cost of Demand Uncertainty Through Accurate Response to Early Sales," Operations Research, INFORMS, vol. 44(1), pages 87-99, February.
    30. Akkermans, Henk A. & Bogerd, Paul & Yucesan, Enver & van Wassenhove, Luk N., 2003. "The impact of ERP on supply chain management: Exploratory findings from a European Delphi study," European Journal of Operational Research, Elsevier, vol. 146(2), pages 284-301, April.
    31. Guillermo Gallego & Özalp Özer, 2001. "Integrating Replenishment Decisions with Advance Demand Information," Management Science, INFORMS, vol. 47(10), pages 1344-1360, October.
    32. Youyi Feng & Guillermo Gallego, 2000. "Perishable Asset Revenue Management with Markovian Time Dependent Demand Intensities," Management Science, INFORMS, vol. 46(7), pages 941-956, July.
    33. Kelle, Peter & Akbulut, Asli, 2005. "The role of ERP tools in supply chain information sharing, cooperation, and cost optimization," International Journal of Production Economics, Elsevier, vol. 93(1), pages 41-52, January.
    34. Fernando Bernstein & Fangruo Chen & Awi Federgruen, 2006. "Coordinating Supply Chains with Simple Pricing Schemes: The Role of Vendor-Managed Inventories," Management Science, INFORMS, vol. 52(10), pages 1483-1492, October.
    35. Gabriel R. Bitran & Susana V. Mondschein, 1997. "Periodic Pricing of Seasonal Products in Retailing," Management Science, INFORMS, vol. 43(1), pages 64-79, January.
    36. Yossi Aviv, 2002. "Gaining Benefits from Joint Forecasting and Replenishment Processes: The Case of Auto-Correlated Demand," Manufacturing & Service Operations Management, INFORMS, vol. 4(1), pages 55-74, December.
    37. Kaijie Zhu & Ulrich W. Thonemann, 2004. "Modeling the Benefits of Sharing Future Demand Information," Operations Research, INFORMS, vol. 52(1), pages 136-147, February.
    38. Tarantilis, C.D. & Kiranoudis, C.T. & Theodorakopoulos, N.D., 2008. "A Web-based ERP system for business services and supply chain management: Application to real-world process scheduling," European Journal of Operational Research, Elsevier, vol. 187(3), pages 1310-1326, June.
    39. Alain Bensoussan & Qi Feng & Suresh P. Sethi, 2011. "Achieving a Long-Term Service Target with Periodic Demand Signals: A Newsvendor Framework," Manufacturing & Service Operations Management, INFORMS, vol. 13(1), pages 73-88, February.
    40. Yossi Aviv, 2001. "The Effect of Collaborative Forecasting on Supply Chain Performance," Management Science, INFORMS, vol. 47(10), pages 1326-1343, October.
    41. Yossi Aviv, 2007. "On the Benefits of Collaborative Forecasting Partnerships Between Retailers and Manufacturers," Management Science, INFORMS, vol. 53(5), pages 777-794, May.
    42. Esmaeili, M. & Zeephongsekul, P., 2010. "Seller-buyer models of supply chain management with an asymmetric information structure," International Journal of Production Economics, Elsevier, vol. 123(1), pages 146-154, January.
    43. Ryu, Seung-Jin & Tsukishima, Takahiro & Onari, Hisashi, 2009. "A study on evaluation of demand information-sharing methods in supply chain," International Journal of Production Economics, Elsevier, vol. 120(1), pages 162-175, July.
    44. Karen L. Donohue, 2000. "Efficient Supply Contracts for Fashion Goods with Forecast Updating and Two Production Modes," Management Science, INFORMS, vol. 46(11), pages 1397-1411, November.
    45. Choi, Tsan-Ming, 2007. "Pre-season stocking and pricing decisions for fashion retailers with multiple information updating," International Journal of Production Economics, Elsevier, vol. 106(1), pages 146-170, March.
    46. Thonemann, U. W., 2002. "Improving supply-chain performance by sharing advance demand information," European Journal of Operational Research, Elsevier, vol. 142(1), pages 81-107, October.
    47. Guillermo Gallego & Özalp Özer, 2003. "Optimal Replenishment Policies for Multiechelon Inventory Problems Under Advance Demand Information," Manufacturing & Service Operations Management, INFORMS, vol. 5(2), pages 157-175, February.
    48. Ozer, Ozalp & Uncu, Onur & Wei, Wei, 2007. "Selling to the "Newsvendor" with a forecast update: Analysis of a dual purchase contract," European Journal of Operational Research, Elsevier, vol. 182(3), pages 1150-1176, November.
    49. Chang, Seokcheol & Klabjan, Diego & Vossen, Thomas, 2010. "Optimal radio frequency identification deployment in a supply chain network," International Journal of Production Economics, Elsevier, vol. 125(1), pages 71-83, May.
    50. Chu, Wai Hung Julius & Lee, Ching Chyi, 2006. "Strategic information sharing in a supply chain," European Journal of Operational Research, Elsevier, vol. 174(3), pages 1567-1579, November.
    51. Jinhong Xie & Steven M. Shugan, 2001. "Electronic Tickets, Smart Cards, and Online Prepayments: When and How to Advance Sell," Marketing Science, INFORMS, vol. 20(3), pages 219-243, June.
    52. Wang, Jian-Cai & Lau, Hon-Shiang & Lau, Amy Hing Ling, 2009. "When should a manufacturer share truthful manufacturing cost information with a dominant retailer?," European Journal of Operational Research, Elsevier, vol. 197(1), pages 266-286, August.
    53. Dong, Yan & Xu, Kefeng, 2002. "A supply chain model of vendor managed inventory," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 38(2), pages 75-95, April.
    54. Lau, Hon-Shiang & Lau, Amy Hing-Ling, 1997. "Reordering strategies for a newsboy-type product," European Journal of Operational Research, Elsevier, vol. 103(3), pages 557-572, December.
    55. Jean-Philippe Gayon & Saif Benjaafar & Francis de Véricourt, 2009. "Using Imperfect Advance Demand Information in Production-Inventory Systems with Multiple Customer Classes," Manufacturing & Service Operations Management, INFORMS, vol. 11(1), pages 128-143, July.
    56. Qi Feng & Suresh P. Sethi & Houmin Yan & Hanqin Zhang, 2006. "Are Base-Stock Policies Optimal in Inventory Problems with Multiple Delivery Modes?," Operations Research, INFORMS, vol. 54(4), pages 801-807, August.
    57. Birendra K. Mishra & Srinivasan Raghunathan, 2004. "Retailer- vs. Vendor-Managed Inventory and Brand Competition," Management Science, INFORMS, vol. 50(4), pages 445-457, April.
    58. Ananth. V. Iyer & Mark E. Bergen, 1997. "Quick Response in Manufacturer-Retailer Channels," Management Science, INFORMS, vol. 43(4), pages 559-570, April.
    59. Ferrer, Geraldo & Dew, Nicholas & Apte, Uday, 2010. "When is RFID right for your service?," International Journal of Production Economics, Elsevier, vol. 124(2), pages 414-425, April.
    60. Choi, Tsan-Ming & Chow, Pui-Sze, 2008. "Mean-variance analysis of Quick Response Program," International Journal of Production Economics, Elsevier, vol. 114(2), pages 456-475, August.
    61. Tan, Tarkan & Güllü, Refik & Erkip, Nesim, 2009. "Using imperfect advance demand information in ordering and rationing decisions," International Journal of Production Economics, Elsevier, vol. 121(2), pages 665-677, October.
    62. T C E Cheng & Y N Wu, 2005. "The impact of information sharing in a two-level supply chain with multiple retailers," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 56(10), pages 1159-1165, October.
    63. Yossi Aviv & Amit Pazgal, 2008. "Optimal Pricing of Seasonal Products in the Presence of Forward-Looking Consumers," Manufacturing & Service Operations Management, INFORMS, vol. 10(3), pages 339-359, December.
    64. Wedad Elmaghraby & P{i}nar Keskinocak, 2003. "Dynamic Pricing in the Presence of Inventory Considerations: Research Overview, Current Practices, and Future Directions," Management Science, INFORMS, vol. 49(10), pages 1287-1309, October.
    65. Chen, Haoya & Chen, Youhua (Frank) & Chiu, Chun-Hung & Choi, Tsan-Ming & Sethi, Suresh, 2010. "Coordination mechanism for the supply chain with leadtime consideration and price-dependent demand," European Journal of Operational Research, Elsevier, vol. 203(1), pages 70-80, May.
    66. T-M Choi & D Li & H Yan, 2003. "Optimal two-stage ordering policy with Bayesian information updating," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 54(8), pages 846-859, August.
    67. Tong Wang & Beril L. Toktay, 2008. "Inventory Management with Advance Demand Information and Flexible Delivery," Management Science, INFORMS, vol. 54(4), pages 716-732, April.
    Full references (including those not matched with items on IDEAS)

    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. Choi, Tsan-Ming & Chow, Pui-Sze, 2008. "Mean-variance analysis of Quick Response Program," International Journal of Production Economics, Elsevier, vol. 114(2), pages 456-475, August.
    2. Tang, Christopher S., 2006. "Perspectives in supply chain risk management," International Journal of Production Economics, Elsevier, vol. 103(2), pages 451-488, October.
    3. Kefeng Xu & Yang Dong & Yu Xia, 2014. "‘Too Little’ or ‘Too Late’: The Timing of Supply Chain Demand Collaboration," Working Papers 0203mss, College of Business, University of Texas at San Antonio.
    4. Sandun C. Perera & Suresh P. Sethi, 2023. "A survey of stochastic inventory models with fixed costs: Optimality of (s, S) and (s, S)‐type policies—Discrete‐time case," Production and Operations Management, Production and Operations Management Society, vol. 32(1), pages 131-153, January.
    5. Choi, Tsan-Ming, 2007. "Pre-season stocking and pricing decisions for fashion retailers with multiple information updating," International Journal of Production Economics, Elsevier, vol. 106(1), pages 146-170, March.
    6. Julia Miyaoka & Warren H. Hausman, 2008. "How Improved Forecasts Can Degrade Decentralized Supply Chains," Manufacturing & Service Operations Management, INFORMS, vol. 10(3), pages 547-562, July.
    7. Choi, Tsan-Ming (Jason) & Li, Duan & Yan, Houmin, 2006. "Quick response policy with Bayesian information updates," European Journal of Operational Research, Elsevier, vol. 170(3), pages 788-808, May.
    8. Serel, Dogan A., 2009. "Optimal ordering and pricing in a quick response system," International Journal of Production Economics, Elsevier, vol. 121(2), pages 700-714, October.
    9. Kaijie Zhu & Ulrich W. Thonemann, 2004. "Modeling the Benefits of Sharing Future Demand Information," Operations Research, INFORMS, vol. 52(1), pages 136-147, February.
    10. Tamer Boyacı & Özalp Özer, 2010. "Information Acquisition for Capacity Planning via Pricing and Advance Selling: When to Stop and Act?," Operations Research, INFORMS, vol. 58(5), pages 1328-1349, October.
    11. Li, Tian & Zhang, Hongtao, 2015. "Information sharing in a supply chain with a make-to-stock manufacturer," Omega, Elsevier, vol. 50(C), pages 115-125.
    12. Cheaitou, Ali & van Delft, Christian & Jemai, Zied & Dallery, Yves, 2014. "Optimal policy structure characterization for a two-period dual-sourcing inventory control model with forecast updating," International Journal of Production Economics, Elsevier, vol. 157(C), pages 238-249.
    13. Fernando Bernstein & Gregory A. DeCroix, 2015. "Advance Demand Information in a Multiproduct System," Manufacturing & Service Operations Management, INFORMS, vol. 17(1), pages 52-65, February.
    14. Cuihong Li & Fuqiang Zhang, 2013. "Advance Demand Information, Price Discrimination, and Preorder Strategies," Manufacturing & Service Operations Management, INFORMS, vol. 15(1), pages 57-71, September.
    15. Li, Xiang & Li, Yongjian & Cai, Xiaoqiang, 2011. "On a multi-period supply chain system with supplementary order opportunity," European Journal of Operational Research, Elsevier, vol. 209(3), pages 273-284, March.
    16. Au, Kin-Fan & Choi, Tsan-Ming & Yu, Yong, 2008. "Fashion retail forecasting by evolutionary neural networks," International Journal of Production Economics, Elsevier, vol. 114(2), pages 615-630, August.
    17. Bharadwaj Kadiyala & Özalp Özer & Alain Bensoussan, 2020. "A Mechanism Design Approach to Vendor Managed Inventory," Management Science, INFORMS, vol. 66(6), pages 2628-2652, June.
    18. M A Rahman & B R Sarker & L A Escobar, 2011. "Peak demand forecasting for a seasonal product using Bayesian approach," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(6), pages 1019-1028, June.
    19. Taher Ahmadi & Zümbül Atan & Ton de Kok & Ivo Adan, 2019. "Optimal control policies for an inventory system with commitment lead time," Naval Research Logistics (NRL), John Wiley & Sons, vol. 66(3), pages 193-212, April.
    20. Zhang, Qinhong & Zhang, Dali & Tsao, Yu-Chung & Luo, Jianwen, 2016. "Optimal ordering policy in a two-stage supply chain with advance payment for stable supply capacity," International Journal of Production Economics, Elsevier, vol. 177(C), pages 34-43.

    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:proeco:v:127:y:2010:i:1:p:1-12. 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: http://www.elsevier.com/locate/ijpe .

    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.