An Exploratory Study on the Linkage Between FinancialPerformance Benchmarking and Supply ChainImprovement Opportunities－ The Case of Taiwan LargeNotebook Computer ODM Companies

• Main Authors: Shu-chen Cheng, 程淑貞
• Other Authors: Shong-iee Su
• Format: Others
• Language: zh-TW
• Published: 2005
• Online Access: http://ndltd.ncl.edu.tw/handle/20111089773418380026

碩士 === 東吳大學 === 企業管理學系 === 93 === SCM (supply chain management) has become an important trend in business management. SCM can improve in many ways the financial performance of an enterprise and his key partners. In the past, there has been barriers to link the achievement of SCM to the financial performance. SCM was treated as an activity for cost improvement rather than a key tool to manage the financial performance. Most SCM experts, lacking corporate finance knowledge, do not know how to link supply chain management and its key financial indicators together to improve financial performance. Effective supply chain management boosts the efficiency of business operation, and further, lifts up the level of important financial indicators. The purpose of this research is to explore a very new research issue in SCM , that is the relationship between SCM activities and their financial performances. This research first reviewed systematically SCM, GLM and related operational and financial performance literatures to serve as the knowledge basis for further research. Notebook industry in Taiwan is pretty well-established and its global supply chain consists of brand name companies, ODM companies and international logistics companies which form a strong and complete global logistics model. Therefore, we chose notebook computer industry as our empirical research target, exploring the relationship between SCM and financial performance in the notebook computer supply chain. The main conclusions of this research are described below: First, based on the extensive search of long-term external database, SCM and GLM literatures, this research has developed a qualitative research methodology to evaluate the involvement of SCM activities of three major ODM companies in notebook computer industry. Second, this research compared the supply chain related financial ratios of three companies in study and identified the ones with relatively lower financial ratios and the corresponding SCM activities, and figures out the SCM performance improvement opportunities of each company. We compared the results of financial indicators analysis with the results of the external database and literatures study and found a very close relationships, that is, the more involvement in SCM of a company, the better its financial performance. Third, based on the pubic financial data of three companies, we calculated first the financial ratios relating to SCM, then calculated the average of each ratio, and analyzed the difference between each company’s ratio and the average. This allowed us to pinpoint the SCM improvement opportunities for each company and find out the potential cash flow benefits induced by these opportunities. This will help enterprises to make correct capital investment decisions for SCM and logistic improvement activities. Fourth, according to the results of the supply chain financial analysis of the three companies, we adopted the supply chain and logistics competence model developed by SCM research team in Michigan State University to match the SCM improvement opportunities with the SCM competence model. suggestions for each case company will be proposed in view of the structures.