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Interpretive structural modeling-based framework for VMI adoption in Indian industries

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Abstract

Vendor-managed inventory (VMI) is the latest supply chain management technology adopted by organizations to improve their business performance. In the recent years, many Indian organizations have also started adopting VMI in its supply chain. This paper identifies the variables that are important for VMI adoption. The variables are grouped as objectives, drivers, obstacles, and affected operations. The contextual relationship between the variables is established. This study employs an interpretive structural modeling approach to investigate the mutual relationship between the variables. These variables are then classified into four categories, namely, autonomous, driver, dependent, and linkage, to understand their relative impact. With the help of ISM, variables those which support other variables (driving variable) and those variables which are most influenced by other variables (dependent variables) are identified. The aim of this paper is to understand these mutual influences and develop a framework. Such an integrated framework would enable a better understanding of important issues while implementing VMI strategies in the Indian context.

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Authors and Affiliations

  1. Jawaharlal Darda Institute of Engineering and Technology, Yavatmal, India

    Atul B. Borade

  2. Ram Meghe Institute of Technology and Research, Badnera, India

    Satish V. Bansod

Authors
  1. Atul B. Borade
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  2. Satish V. Bansod
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Correspondence to Atul B. Borade.

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Borade, A.B., Bansod, S.V. Interpretive structural modeling-based framework for VMI adoption in Indian industries. Int J Adv Manuf Technol 58, 1227–1242 (2012). https://doi.org/10.1007/s00170-011-3458-4

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  • DOI: https://doi.org/10.1007/s00170-011-3458-4

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