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Posts from the ‘Supply Chain Management’ Category

แนวทางการพัฒนาระบบโลจิสติกส์ของประเทศไทย


ท่านคณบดี ดร.พิสิฐ ลี้อาธรรม ได้สอบถาม (ทาง Line group ของคณะฯ) ผมว่า มีแนวทางในการพัฒนาระบบโลจิสติกส์ของไทยอย่างไรบ้าง?

ผมตอบไปดังนี้ครับ

Dean Pisit: For logistic discipline followers, Thailand should adopt a KPI to reduce our cost and time to the level of Singapore.

Ajarn Champ:
I think the Ministry of Industry is now trying to implement the World Bank approach of Logistics Performance Indicator (LPI) in Thailand.
Sadly the main target they aim is only to reduce logistics cost, which is only one side of more than 10 aspects in logistics decision making.

Dean Pisit: Pls show me so i could find a way to bring it forward.

Pairach: yes, sir
Screen Shot 2558-04-09 at 11.14.47 AM
Pairach: This is the recent finding of the global Logistics performance at the macro level
Pairach: The logistics performance (LPI) is the weighted average of the country scores on the six key dimensions:
1) Efficiency of the clearance process (i.e., speed, simplicity and predictability of formalities) by border control agencies, including customs;

2) Quality of trade and transport related infrastructure (e.g., ports, railroads, roads, information technology);

3) Ease of arranging competitively priced shipments;

4) Competence and quality of logistics services (e.g., transport operators, customs brokers);

5) Ability to track and trace consignments;

6) Timeliness of shipments in reaching destination within the scheduled or expected delivery time.
Pairach: http://lpi.worldbank.org/international/global

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Pairach: The performance of Thailand since 2007 – 2014 has no significant improvement krub
Pairach: Pairach Still lag behind not only Singapore but does Malaysia
Pairach: Thailand vs Singapore vs Malyasia vs Vietnam in 2014

Screen Shot 2558-04-09 at 11.18.10 AM
Pairach: Clearly show that we are the number 3 in ASEAN.
Pairach: Vietnam is only their way to beat us, similar to what Malaysia did.
Screen Shot 2558-04-09 at 11.19.29 AM
Pairach: Singapore is the best in infrastructure at the global level. In ASEAN Singapore is the best in all aspects. Comparing Thaialnd vs Malaysia, Thailand is slightly better than Malaysia only in “Timeliness”. Big issue for Thailand is custom clearance and logistics competence (Human resource issue). Ability to manage and handle logistics properly is what Thailand missing.
Screen Shot 2558-04-09 at 11.26.18 AM
Pairach: Now Thailand ranked NO 35
Pairach: To move up the the top tier, National data tools and Green logistics are important.

Dean Pisit: We should use this sort of ranking to challenge the Ministry and Salary could be adjusted accordingly.

Pairach: Could not agree more
Pairach: I believe they know but it’s very difficult to meet this KPI.
Pairach: Reducing Average logistics costs is easier, but not the ultimate answer.

Dean Pisit:  If proper incentive is put in place, there could be guided to work hard.

Pairach: To the best of my knowledge, the ministry of Industry still struggle to measure the impacts of their activities and project on the logistics cost at the national level.
Pairach: Agree on using incentive to push the private sector to develop their logistics competence, not just only the cost.
Pairach: Perhaps could be integrated in the agency like BOI.
Pairach: At the international level, one recent finding by WEF show that “reducing the international supply chain barriers” performs better than “reducing tariff” 7 times in term of GDP growth.
Dean Pisit:  Let international rating be the standard.
Screen Shot 2558-04-09 at 11.41.46 AM
Pairach: Here are the supply chain barriers we should reduce across the border and port krub.
Pairach: The following is the comparing the effects of “Reducing supply chain barriers” vs “reducing tariffs” on GDP growth krub.
Screen Shot 2558-04-09 at 11.42.59 AM
Pairach: However the effects could vary in different regions.

Screen Shot 2558-04-09 at 11.44.09 AM
Pairach: With simulation, ASEAN could gain 12% Export and 18% import growth by reducing supply chain barrier. Also we hardly compete to Singapore in terms of logistics cost because we have different logistics system support ting different product type. We are export more agricultural products much more than Singapore. However, we can develop value creation process in the supply chain, for example transformed agricultural products such as fresh longan into not just dried longan but things like snack or drink or even medical proucts like Longanoid cream (for joint problems). That’s my opinions.

What is interesting research?


Interesting research is what researchers often expect to see from journal papers or conference presentations. But what is interesting research? Recently I found a paper on this issue by a well-known researchers in SCM/OR/MS, Gérard P. Cachon. His paper entitled “What Is Interesting in Operations Management?” based on his talk in MSOM conference in 2011 saying that interesting in OM is the “Unexpected”. He also presented some examples as followings.

  1. What Was Thought to Be Complex Is Really Simple
  2. What Was Thought to Be Simple Is Really Complex
  3. What Was Expected to Be a Small Effect Is Really a Large Effect
  4. What Was Thought to Be a Large Effect Is Really a Small Effect
  5. What Was Thought to Be a Large Effect Is Really Much Larger
  6. What Was Thought to Be Easy Is Really Hard
  7. What Was Assumed to Not Be a Problem Is Really a Problem
  8. What Should Improve Performance Really Harms Performance

Five Steps to a High-Performance Supply Chain [White paper]


Cloud computing and big data is expected to be the next big thing in many field. That also includes “Supply Chain Management” (SCM). The Council of Supply Chain Management Professional (CSCMP) has just published a white paper entitled “Five Steps to a High-Performance  Supply Chain“. To download this paper, just click on the picture bellows. Then fill a few information (then CSCMP get some idea who are their audience. In exchange, you can read a short but precise steps to achieve a high-performance supply chain through cloud technology.

Picture from: CSCMP

Customer Responsive Supply Chain Strategy [vdo]


In supply chain management, one of the key objective is to be responsive to the customer needs, which can be changed anytime. This short VDO by Cranfield explains a bit about this application of SCM.

“Dr Janet Godsell speaks to John Burdett, who outlines how Tata Global Beverages is gaining practical business benefits from applying some of the theory resulting from the recent Supply Chain Responsiveness in Practice (SCRiP) research project. An exploration of volume variability and application of supply chain segmentation theory enables the business to identify where value lies, improve processes and be more responsive to demand, improving their overall competitive advantage”

Source: CranfieldSOM’s Youtube channel

Blogs on Supply Chain Management and Economics


Here is the list of good academic blogs on Supply Chain Management (SCM) and Economics I found worth following. Please do not hesitate to suggest me if you know other good one.

And of course, you can follow my blogs on SCM as well, just by subscribing via WordPress, Facebook Page, or Twitter. (See the bottom of the website. 

  1. Supply Chain View from the Field
    by Robert Handfield
    A blog by a well-known SCM academic, all SCM students should recognise his name
    “Producing graduates that are prepared to tackle supply chain management issues with analytical problem solving, practical skills and the ability to execute.”Rob Handfield is the Bank of America Distinguished Professor of Supply Chain Management, and Consulting Editor, Journal of Operations Management. He serves as Co-Director of the SCRC along with Clyde Crider.
  2. The Operations Room
    by Marty Lariviere, Gad Allon and Jan Van Mieghem
    Kellog School of Management
    “The Operations Room is a forum for discussing current topics in operations management (OM). We have no particular agenda but are looking to identify interesting strategic and tactical developments in the field. Along the way, we aim to create a catalog of articles on OM topics that is useful to both the Kellogg community and a wider set of readers.”
  3. Managerial Econ
    by Luke Froeb, Michael Ward, Brian McCann and Mike Shor
    About Economic Analysis of Business Practice, ranked as one of the top blogs by professors
  4. Organizations and Markets
    by  Nicolai J. Foss, Peter G. Klein, Richard Langlois, Lasse B. Lien
    Organizations and Markets was created in April 2006 by Nicolai J. Foss and Peter G. Klein, professors with research interests spanning organizational economics, strategic management, entrepreneurship, innovation, the economics of institutions, and the history, philosophy, and sociology of science. Foss teaches management at the Copenhagen Business School and Klein teaches economics at the University of Missouri, giving the blog an international and interdisciplinary orientation.”
  5. Greg Mankiw’s Blog
    The author of a comprehensive and popular Economics Textbooks, also good job on blogging mostly with not too long posts. Providing general curent news on Economics, recommended for Economics students.

However, there are many professional blogs as well. Some have listed good SCM blog as follows.

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