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New research on supply chain management from Harvard Business School faculty on issues including what brands can do to monitor their suppliers' factory conditions, how Japan's earthquake and tsunami and caused havoc on retailers and car manufacturers, and the push to improve labor standards in global supply chains.
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COVID Tested Global Supply Chains. Here’s How They’ve Adapted

by Scott Van Voorhis

A global supply chain reshuffling is underway as companies seek to diversify their distribution networks in response to pandemic-related shocks, says research by Laura Alfaro. What do these shifts mean for American businesses and buyers?

A Rose by Any Other Name: Supply Chains and Carbon Emissions in the Flower Industry

Re: Willy C. Shih & Michael W. Toffel

Headquartered in Kitengela, Kenya, Sian Flowers exports roses to Europe. Because cut flowers have a limited shelf life and consumers want them to retain their appearance for as long as possible, Sian and its distributors used international air cargo to transport them to Amsterdam, where they were sold at auction and trucked to markets across Europe. But when the Covid-19 pandemic caused huge increases in shipping costs, Sian launched experiments to ship roses by ocean using refrigerated containers. The company reduced its costs and cut its carbon emissions, but is a flower that travels halfway around the world truly a “low-carbon rose”? Harvard Business School professors Willy Shih and Mike Toffel debate these questions and more in their case, “Sian Flowers: Fresher by Sea?”

Can Amazon Remake Health Care?

by Christina Pazzanese, Harvard Gazette

Amazon has disrupted everything from grocery shopping to cloud computing, but can it transform health care with its One Medical acquisition? Amitabh Chandra discusses company's track record in health care and the challenges it might face.

Restarting Under Uncertainty: Managerial Experiences from Around the World

by Raffaella Sadun, Andrea Bertoni, Alexia Delfino, Giovanni Fassio, and Mariapaola Testa

A survey of 50 companies across countries and industries reveals business leaders are hard at work adapting to the COVID threat. Research by Raffaella Sadun and colleagues. Open for comment; 0 Comments.

Will Challenged Amazon Tweak Its Retail Model Post-Pandemic?

by James Heskett

James Heskett's readers have little sympathy for Amazon's loss of market share during the pandemic. Has the organization lost its ability to learn? Open for comment; 0 Comments.

How Leaders Are Fighting Food Insecurity on Three Continents

by Howard Stevenson and Shirley Spence

The pandemic could almost double the number of people facing food crises in lower-income populations by the end of 2020. Howard Stevenson and Shirley Spence show how organizations are responding. Open for comment; 0 Comments.

No Line Left Behind: Assortative Matching Inside the Firm

by Achyuta Adhvaryu, Vittorio Bassi, Anant Nyshadham, and Jorge Tamayo

This paper studies how buyer relationships influence suppliers' internal organization of labor. The results emphasize that suppliers to the global market, when they are beholden to a small set of powerful buyers, may be driven to allocate managerial skill to service these relationships, even at the expense of productivity.

How the Coronavirus Is Already Rewriting the Future of Business

by Dina Gerdeman

We asked Harvard Business School experts how the COVID-19 pandemic is likely to change business practice. Open for comment; 0 Comments.

China-based Fuyao Glass Considers Manufacturing in the US

Re: Willy C. Shih

Not many Chinese companies open manufacturing facilities in the US, but automotive glass maker Fuyao is considering just that. In a recent case study, Willy Shih examines factors that go into deciding where companies should locate production centers. Open for comment; 0 Comments.

Are Overlooked Forces Shielding the US from Severe Economic Downturns?

by James Heskett

SUMMING UP: Many of Jame's Heskett's readers believe that one factor more than any other could kills expansion of the United States economy: actions by the Federal Reserve. Open for comment; 0 Comments.

Walmart's Workforce of the Future

by Julia Hanna

A case study by William Kerr explores Walmart's plans for future workforce makeup and training, and its search for opportunities from digital infrastructure and automation. Open for comment; 0 Comments.

Managed Ecosystems and Translucent Institutional Logics: Engaging Communities

by Elizabeth J. Altman, Frank Nagle, and Michael Tushman

Organizations increasingly rely on engagement with external communities of contributors. This paper explores transitions to a managed-ecosystem governance mode and its implications for strategy and innovation. To be successful, firms must develop the capabilities to shepherd communities, leverage without exploiting them, and share intellectual property rights.

The Better Way to Forecast the Future

by Roberta Holland

We can forecast hurricane paths with great certainty, yet many businesses can't predict a supply chain snafu just around the corner. Yael Grushka-Cockayne says crowdsourcing can help. Open for comment; 0 Comments.

Inventory Management for Mobile Money Agents in the Developing World

by Karthik Balasubramanian, David F. Drake, and Douglas Fearing

Mobile money agents in the developing world face a key inventory management challenge: How much cash and e-float should be held to minimize both stockouts and excess working capital? The authors develop two inventory models and show substantial inventory cost reduction with a large dataset of East African mobile money transactions.

Amazon, Whole Foods Deal a Big Win for Consumers

by Jose Alvarez and Len Schlesinger

What does Amazon's $13.4 billion deal for Whole Foods say about the future of retail? Harvard Business School professors Jose Alvarez and Len Schlesinger see good times ahead for consumers as well as both companies. Open for comment; 0 Comments.

What Brands Can Do to Monitor Factory Conditions of Suppliers

by Michael Blanding

For better or for worse, it’s fallen to multinational corporations to police the overseas factories of suppliers in their supply chains—and perhaps make them better. Michael W. Toffel examines how. Open for comment; 0 Comments.

Beyond Symbolic Responses to Private Politics: Examining Labor Standards Improvement in Global Supply Chains

by Andrea R. Hugill, Jodi L. Short, and Michael W. Toffel

Global supply chain factories improve their working conditions to a greater extent when their buyers take a cooperative approach to monitoring them, when the auditors are more highly trained, and when the factories face greater risk of poor conditions being exposed, according to findings in this research.

Multi-Product Duopoly with Cross-Product Cost Interdependencies

Multi-product firms in many industries lack the flexibility to choose different quality tiers for different product lines. Once committed to a certain quality tier, either high or low, in one product line, it is usually more costly to offer another product line in a different quality tier instead of offering it in the same tier. This paper probes the strategic implications of this combination of brand stickiness and operational complexity for duopoly competition.

QuikTrip’s Investment in Retail Employees Pays Off

by Julia Hanna

Instead of treating low-paid staffers as commodities, a new breed of retailers such as QuikTrip assigns them more responsibility and invests in their development, says professor Zeynep Ton. The result? Happy customers and even happier employees. Key concepts include: Unusual for a retailer, QuikTrip offers its operational employees above-average wages, job security, and significant benefits. By using operational efficiencies and standardization, QuikTrip reduces complexity to create higher employee productivity and fewer errors. By investing in employees and giving them more responsibility, QuikTrip enjoys a competitive advantage in service and benefits from continuous process improvement. Closed for comment; 0 Comments.