Shift From Product Supply Chain Management To Services Supply Chain Management: A Review

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Shift from product supply chain management to services supply chain

management: A review
Article in International Journal of Services and Operations Management · January 2016

DOI: 10.1504/IJSOM.2016.074817
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316 Int. J. Services and Operations Management, Vol. 23, No. 3, 2016
Shift from product supply chain management to

services supply chain management: a review
Vikas Thakur* and Ramesh Anbanandam

Department of Management Studies,
Indian Institute of Technology, Roorkee,
Roorkee, Uttarakhand, 247667, India
Email: ervikythakur@gmail.com
Email: ram77fdm@iitr.ac.in
*Corresponding author
Abstract: Today service sector is the biggest contributor towards total income
of the world (66%) and this sector is still unexplored as far as the distribution
part is concerned. We can find a literature about supply chain management
(SCM) in manufacturing industries, but service sector is still new area and a
high potential for research in service supply chain management (SSCM). This
paper aims at providing a review of the relevant aspects related to the
implementation of SCM in manufacturing as well as service industries with an
objective to provide the future research direction in order to improve the
operations in SSCM. The paper covers the review of basic concepts and
definitions of SCM in manufacturing sector, current status of service sectors,
main elements of SSCM, potential threats for the implementation of SSCM,
various models and frameworks used in SSCM and their limitations.
Keywords: services; supply chain management; SCM; service supply chain
management; SSCM; SSCM frameworks; product supply chain; India;
manufacturing industries; model; integration; cooperation.
Reference to this paper should be made as follows: Thakur, V. and
Anbanandam, R. (2016) ‘Shift from product supply chain management to
services supply chain management: a review’, Int. J. Services and Operations
Management, Vol. 23, No. 3, pp.316–346.
Biographical notes: Vikas Thakur is working as a research scholar at the
Indian Institute of Technology, Roorkee, and his research topic is supply chain
management in healthcare services industries. He received his BTech in
Electronics and Communication and MBA (Marketing and HR) degree from
Himachal Pradesh University. He has a total work experience of four years,
which include both industry as well as teaching experience. He worked as an
Assistant Professor in the National Institute of Technology, Hamirpur for 2.6
years.
Ramesh Anbanandam is working as an Assistant Professor in the Indian
Institute of Technology, Roorkee since the last two years. Before that, he has
served the National Institute of Technology, Calicut as an Assistant Professor.
He is having a total experience of seven years. He received his PhD degree
from the Indian Institute of Technology, Delhi. His area of interests includes:
supply chain management, study of select collaboration issues in supply chain
management of apparel retail industry, operations management, total quality
management and multivariate data analysis.
Copyright © 2016 Inderscience Enterprises Ltd.

Shift from product SCM to services supply chain management 317
1 Introduction
Over the years organisations have realised that supply chain management (SCM) has
become vitally important to gain competitive advantage. So, everyone from industries
and academics has started showing interest in this area and they have come out with
many models and techniques which are really helping the industries to reach the
maximum market with more efficiency and effectiveness. Before 1950, the logistics
mainly used to deal with the procurement, maintenance, and transportation of military
facilities, materials and personnel (Habib, 2010) and it was not considered a strategic
function; not much focus was given on this part of the organisation and then it was
implemented into manufacturing industries (Ballou, 1978). As shown in Figure 1, SCM
concept basically evolved from the manufacturing industries and now has been widely
applied to the services industry.
Figure 1 Evolution of SCM
Initiated Matured Initiated the Initiated SCM

logistics logistics SCM concept in the service
concept (1950) concept (1970) (1980) industry (1995)
1950–1970 1970–1980 1980–1990 1990–2008
SCM in manufacturing Educational

industry (1985) SCM (2007)
Source: Habib (2010)

The concept of SCM evolved in early 1980s and researchers started writing about the
importance of SCM and stressed on that it should be considered as a separate department
within the organisation. This evolution in SCM continued in 1990s and resulted in
development of useful tools which organisations have implemented to increase their
efficiency (Handfield et al., 1998). In 1990s came the era, when services were also
considered as the strategic part of manufacturing organisations, as products delivered to
the market also need services and this lead to the implementation of service supply chain
management (SSCM) concept in manufacturing industries, which was a great evolution
in the SCM as Fernie and Rees (1995) also implemented SCM concept into health sector.
After that many studies have been done in healthcare industry and other services
industries like: Kathawala and Abdou (2003) applied supply chain concept in to the
service industry, Lau (2007) and Habib (2010) implemented the concept of SCM on
educational institutions and found various elements in the supply chain of educational
services. Giannakis (2011) explored the utility of manufacturing-based supply chain
operations reference (SCOR) tool in services and developed a new model consisting of
six main processes for the supply chain design and management: plan, source, develop,
adapt, operate, and recover. Olivieira et al. (2013) highlighted the effect of coordination
among various players in the supply chain in the electricity industry. Gawankar et al.
(2013) developed six supply chain practices like strategic supply partnership, customer
318 V. Thakur and R. Anbanandam
relationship practice, lean retailing practice, information sharing, information quality and
postponement practices and found positive impact on supply chain performance. This is
how the idea of SCM has generated from the concept of logistics and how it has
penetrated the manufacturing and services industries.
Chakraborty and Mandal (2014) added that Asian countries like: Malaysia, India,
Indonesia, and Thailand need to develop good SCM systems in comparison to other
developed nations. Here we have provided the review of literature on evolution of SCM,
with the goal of identifying main constituents of SCM in manufacturing industry,
increasing importance of services sector in world’s economy, listing various elements of
SSCM and different frameworks, all of which can help to guide future research and
improve the management of SSCM activities.
This paper is organised as follows: Section 2 defines the research methodology part
of the paper. Section 3 describes the main concept of SCM in manufacturing industry and
highlights the important elements of SCM. In Section 4, the rising role of service sector
in India and world economy has been analysed. This section also classifies the services
into different categories, which are very crucial to design service supply chains. Section 5
focuses on the definitions SSCM and lists various key elements in SSCM. Section 6
describes some factors which differentiate the product supply chain from service supply
chain and explain how these differentiating elements possess threats to the
implementation of SCM concept into services industries. Section 7, gives the overview of
various frameworks and highlights their drawbacks. Then in Section 8, presents the key
findings and the last section suggest some future research directions.
2 Research methodology
Literature is reviewed from five perspectives. First perspective is SCM, which covers the
various elements in manufacturing supply chain and prioritise these elements on the basis
of the importance given by various researchers. Second perspective is about the role of
services sector which, examines the importance of service sector in the world’s economy
and classify the services industry with the help of literature available. Third is SSCM,
which defines the types of service supply chains and highlights the main constituents of
SSCM. Fourth perspective is on comparison between product SCM and SSCM that
stresses on the various differentiating elements between manufacturing SCM and SSCM
and also emphasises on how these differentiating elements poses threats to SSCM. Fifth
perspective is on frameworks in SSCM which lists out the important models in SSCM
and highlights the drawbacks of these frameworks which should be further worked out in
order to ensure better management of supply chain practices in service industries.
3 Supply chain management (SCM)
SCM is generally engaged in procuring, producing, distributing, and selling

products/services to the end customers. It consists of all the activities of transporting
goods/services from the raw material to the final stage and has emerged as the most
powerful tool to increase the market share around the world (Ballou, 1978; Giannakis,
2011; Habib, 2010; Olivieira et al., 2013). The typical supply chain structure is
demonstrated in Figure 2, which not only includes manufacturers, suppliers and
distributors but also transporters, warehouses and customers themselves and consists of
three main flows: information, money, finished goods.
Figure 2 Typical supply chain structure
Information flow
Money flow
Raw Value chain

End-user
material (operations, finance, marketing)
Finished product flow
Source: Shukla et al. (2011)

Initially, the transportation and storage activities were considered as different individual
departments, but in 1980s when the concept of SCM arose (Habib, 2010), the
organisations started realising that transportation and storage are the crucial parts of SCM
and need to be coordinated and integrated in order to improve the overall efficiency and
effectiveness (Ellram, 1991; Scott and Westbrook, 1991). According to Lee and
Billington (1995), supply chain spans procurement, manufacturing, and distribution in
order to optimise the performance of the chain and to add as much value as possible for
the least cost possible. Then with the passage of time, the organisations started to realise
the reverse flow of material like product returns, warranty claims, etc., hence reverse path
in the network should also be implemented and that is known as reverse supply chain
(Stock and Boyer, 2009). SCM has now become very important aspect for those
organisations who are delivering their products/services to different markets due to many
reasons like: the need to improve the operations, increasing level of outsourcing,
increasing cost, competitive pressure, increasing globalisation, increasing importance of
e-commerce, and the complexity of supply chain structure (Stevenson, 2002). Initially,
material flow was considered to be the main element of SCM (Jones and Riley, 1985),
but later on, with the passage of time, the researchers have focused on various other parts
of the SCM like: risk (Colicchia and Strozzi, 2012), performance (Hassini et al., 2012),
and integration (Fabbe-Costes and Jahre, 2007). Now focus has been shifted to
information flows, internal and external networks of relationships (Stock et al., 2010) and
governance of supply networks (Pilbeam et al., 2012).
3.1 SCM: concept, definitions and objectives

The concept of SCM has been explored to such a great extent that we lack in commonly
accepted definitions of SCM as there is always growing interest of researchers in this
field and has led to the development of numerous definitions. We have analysed some of
the important ideas given by various academicians and then found the most basic
elements which are very important for the success of any supply chain. Table 1 represents
the contribution of various researchers in the field of defining the main elements of
product SCM:
Table 1 SCM: definitions and objectives
S. no. Objectives Definitions References

1 Materials flow An integrative approach to deal with the planning Jones and
and control of the materials flow from suppliers to Riley (1985)
end-users.
2 Coordination among The chain linking each element of the Scott and
different players in manufacturing and supply process from raw Westbrook
the chain materials to the end user, encompassing several (1991)
organisational boundaries.
3 Integration among The integration of the processes, systems, and Ellram (1991)
different players, organisations that control the movement of goods
physical movement from the supplier to a satisfied customer without
and the waste waste.
reduction principal
of JIT
4 Links from suppliers Network of organisations that are involved, Chistopher
to the end customer through upstream and downstream linkages, in the (1992)
and value delivered different processes and activities that provide
to the end consumer value in the form of products and services in the
hands of the ultimate consumer.
5 Conventional Networks of manufacturing and distribution sites Lee and
function of supply that procure raw materials, transform them into Billington
chain intermediate and finished products, and distribute (1992)
them to customers.
6 Importance of An integrating philosophy to manage the total Ellram and
integration within flow of a distribution channel from supplier to Cooper
supply chain ultimate customer. (1993)
7 Supplier SCM aims at building trust, exchanging Berry et al.
relationships information on market needs, developing new (1994)
products, and reducing the supplier base to
particular original equipment manufacturer so as
to release management resources for developing
meaningful, long term relationship.
Table 1 SCM: definitions and objectives (continued)

8 Identification of The functions within and outside a company that Cox et al.
strategic partners enable value chain to make and provide products (1995)
within supply chain to the customer.
9 Networks from raw Supply Chain is the total chain of exchange from Saunders
material supply to original source of raw material, through various (1995)
final delivery and firms involved in extracting and processing raw
conventional materials, manufacturing, assembling,
functions distributing, and retailing to end customers.
10 Focused on all The set of entities, including suppliers, logistics Kopczak
players involved in services providers, manufacturers, distributors (1997)
the supply chain and and resellers, through which material, products
flow among those and information flow.
groups
11 Highlights all the A network of entities that starts with the Lee and Ng
players within a suppliers’ supplier and ends with the customers’ (1997)
supply chain custom the production and delivery of goods and
services.
12 Flat organisation Integrated SCM is about going from the external Monczka and
structure and customer and then managing all the processes that Morgan
customer are needed to provide the customer with value in a (1997)
horizontal way.
13 Utilisation of It is management philosophy that extends Tan et al.
suppliers’ processes, traditional intra-enterprise activities by bringing (1998)
technology and trading partners together with the common goal of
capability to enhance optimisation and efficiency.
competitive
advantage
14 Flow, Coordination, The integration of key business processes from Lambert et al.
Stakeholder and end-user through original suppliers that provide (1998)
value focus. products, services, and information that add value
for customers and other stakeholders.
15 Coordination, The coordination of activities, within and between Larson and
stakeholder, and vertically linked firms, for the purpose of serving Rogers
value focus end customers at a profit. (1998)
16 Coordination, The systemic, strategic coordination of the Mentzer et al.
stakeholder, and traditional business functions and the tactics (2001)
performance across these businesses functions within a
particular company and across businesses within
the supply chain, for the purposes of improving
the long term performance of the individual
companies and the supply chain as a whole.
17 Flow, coordination, All the activities involved in delivering a product Lummus
stakeholder, and from raw material to the customer, including et al. (2001)
performance sourcing raw materials, and parts, manufacturing
and assembly, warehousing and inventory
tracking, order entry and order management,
distribution across all channels, delivery to the
customer, and the information systems necessary
to monitor all these activities.
Table 1 SCM: definitions and objectives (continued)

18 Flow and Encompassing the planning and management of Gibson et al.
coordination all activities involved in sourcing and (2005)
procurement, conversion, demand creation and
fulfilment, and all logistic management activities.
19 Flow, coordination, Managing the inputs of goods and services Eng (2005)
stakeholder, and including a range of activities not only within a
relationship single department in an organisation but also from
different departments and outside the
organisation, for final users from procurement of
raw materials through to the end of the products’
useful life.
20 Flow, coordination, The management of a network of relationships Stock and
stakeholders, within a firm and between interdependent Boyer (2009)
relationship, value, organisations and business units consisting of
and efficiency material suppliers, purchasing, production
facilities, logistics, marketing, and related systems
that facilitate the forward and reverse flow of
materials, services, finances and information from
the original producer to final customer with the
benefits of adding value, maximising profitability
through efficiencies, and achieving customer
satisfaction.
3.2 Analysis of various elements in SCM

Based on the literature review from Table 1, we can infer the following important
elements of the SCM:
1 coordination
2 integration
3 relationships
4 customers focus
5 cost reduction
6 strategic partners
7 flow focus
8 organisation structure
9 stakeholders
10 value focus
11 efficiency
12 performance.
Figure 3 Distribution of key supply chain characteristics addressed by various definitions (see
online version for colours)
The distribution of key supply chain characteristics focused in the different definitions by
various researchers is shown in Figure 3. It is clear from the bar chart that researchers
mainly focused on flow (41.67%), coordination (33.33%), relationships (25%), and
stakeholders (25%). These elements are very important for any supply chain to ensure its
smooth functioning. Researchers have given least importance (2.83%) to value which is
delivered to the end customer and this is well supported by the fact that during early
period, mass production was the main concept in order to minimise the total operating
cost. The elements are briefed as follows:
• Coordination. Coordination is the main pillar used in supply chain to define
relationships and interdependencies between different organisations involved in that
supply chain. Ballou et al. (2000) described coordination as the central lever of
SCM. Stank et al. (1999) identified that effective communication, information
exchange, partnering and performance monitoring as the main characteristics of
inter-firm coordination. Better the coordination among the supply chain partners,
higher will be the performance of each one of its members and also the performance
of supply chain as a whole (Olivieira et al., 2013).
• Integration. With increasing competition in the market, it is important to integrate
the various activities and functions throughout the supply chain to achieve high
efficiency. According to Sanders (2007) and Vickery et al. (2003), to make supply
chain efficient the SCM requires the integration of activities, functions, and systems
among various supply chain players. Chen et al. (2013) addressed the three main
factors for the supply chain integration: IT integration, knowledge exchange, and
trust between the supply chain partners. Gunasekaran and Ngai (2003) also stressed
on the integration of various supply chain activities in order to get the streamline
operations to achieve high quality service to the end customers.
• Relationships. Suppliers’ relationships and customers’ relationships are important at
every stage of the supply chain for the long term survival of any organisation.
According to Shukla et al. (2011), organisations’ customer relationship policies have
great impact on the success of supply chain and to achieve the performance. By
utilising the supplier’s competitiveness, a partnership will result in win-win
situations, leading to a more efficient and effective supply chain.
• Customer focus. The organisations divide the whole market into different segments
of customer and plan to hit a particular segment depending upon its capacity and
capability to meet the demands of that particular segment. According to Croxton
et al. (2001) and Ellram et al. (2004), customer focus includes the various functions
like: understanding the customers’ needs, tailoring product service agreements to
meet their needs, segmenting customers, monitoring relationships, and ensuring
customer satisfaction.
• Cost reduction. This is one of the biggest challenges for SCM which is related with
making the trade-off between efficiency and responsiveness. Venkatesan (2012)
stressed on the increasing risks in operating the supply chains these days, which
results in poor customer service and low financial performance and that leads to high
operating cost. Hence, SCM is required to minimise the cost, which may tend to
increase due to freight charges and others facilities cost (Koh and Tan, 2006).
According to Varma et al. (2006), the proper planning in SCM helps in reducing the
inventory costs as well as time and energy cost.
• Strategic partners. The main reasons for developing supply chain partners are to
reduce the cost, increase the service level, gain the maximum market share and gain
the competitive advantage (Shukla et al., 2011). Frankel et al. (2002) explained that
maximum benefit can be gained by having partners in transportation and distribution.
Iida (2012) stressed on the alignment of the incentives of the strategic partners in
order to advance cooperative cost-reduction activities.
• Flow focus. This issue mainly stresses on the three main flows in the supply chain:
product flow, information flow, and finance flow (Shukla et al., 2011). This is
important for any SCM to define the nature of these flows, whether unidirectional or
bi-directional.
• Organisation structure. Flat organisational structure usually includes less number of

levels in the management and is easy way to reach to the final customer.
Decentralisation helps the various partners in the supply chain in taking the decisions
of their own and enables them to handle the end customers more flexibly.
• Stakeholders. Some researchers have also included the stakeholders as important

element in SCM, which also include the customers, consumers, and suppliers. Ahi
and Searcy (2013) have defined the stakeholder focus as the key characteristic of the
sustainable business. According to Dyllic and Hockerts (2002), corporate
sustainability can be defined as meeting the needs of a firm’s direct and indirect
stakeholders like, shareholders, employees, clients, and communities.
• Value focus. Total supply chain is considered as the value adding chain which
consists of many activities which finally deliver value to the end customer in terms
of goods/services. According to Larson and Rogers (1998), SCM is the coordination
of various activities which serve the end customers at a profit.
• Efficiency. Researchers here focused on the SCM capability to generate more profit
with minimum utilisation of resources. According to Li and Wing (2006), previously
researchers have stressed on inventory management and improving production
activities in order to improve the efficiency of the channel. Beresferd and Whittaker
(2005) added that by combining quality assurance accreditation, total quality
management and internal composite logistics modelling tools the logistics efficiency
can be improved.
• Performance. De Toni and Tonchia (2001) classified the performance measurement
into two main categories: financial measures and non-financial measures. According
to Coyle et al. (2003), the performance measurement system should be in tune with
the overall strategy of the SCM. Drucker (1998) added that manufacturing
organisation’s success does not depend only on its own performance, but also on
many other players who are involved in that supply chain. Bulsara et al. (2014)
stressed that responsiveness in supply chain without losing the integration adds to
performance of supply chain.
4 Role of services industries
Various academicians and researchers around the world have defined the services in their
own way and have tried to distinguish them from the products. At the initial stage most of
the industrialist and academicians considered all the economic activities into service
sector whose output is not a physical product and generally consumed at the time, when
they are produced and those are essentially of intangible nature (James et al., 1987).
According to Gronroos (1990), service is an activity or series of activities of more or less
intangible nature that normally takes place in interactions between customer and service
provider, which are provided as solutions to customer problems. Zeithaml and Bitner
(1996) added to this that services are the deeds, processes, and performances.
4.1 Importance of services sector

The rising share of services sector in the total income of world has forced the
researchers to focus their attention on services sector. Table 2 is showing how the
share of services sector in India’s total GDP is increasing decade by decade and
at this stage the services sector is carrying the maximum share among all the sectors
(http://data.gov.in/community/india-statistics). In 1950–60 the Indian economy was
mainly agricultural dominated and was carrying the maximum share (50%), but with
the passage of time the share of agriculture sector has constantly decreased and now
(2012–13) it carries only 13.68%. In 1950–60 decade the services sector was contributing
only 29.69% in the total GDP, but now at this stage the share has increased to 59.29%.
Hence, we can say that the economy has shifted from agriculture to services sector.
326
Table 2
Sectors 1950–60 1960–70 1970–80 1980–90 1990–2K 2000–10 2010–11 2011–12 2012–13
V. Thakur and R. Anbanandam
Agriculture and allied services 50.27 42.93 38.44 32.98 26.71 18.71 14.45 14.10 13.68
Manufacturing industry 17.66 23.03 24.65 26.22 27.44 27.82 28.23 27.51 27.03
Mining and quarrying 1.96 2.42 2.37 2.99 3.28 2.69 2.21 2.06 1.98
Services 29.69 32.51 35.43 40.03 45.66 53.47 57.32 58.39 59.29
Percentage share of different sectors to total GDP of India
Table 3
Sectors 1950–60 1960–70 1970–80 1980–90 1990–2K 2000–10 2010–11 2011–12 2012–13
Agriculture and allied services 2.72 2.51 1.26 4.41 3.24 2.46 7.94 3.65 1.79
Manufacturing industry 5.69 6.47 3.54 5.97 5.74 7.81 9.16 3.49 3.12
Mining and quarrying 4.65 6.19 3.05 8.70 4.87 4.37 4.92 –0.63 0.43
Services 3.97 4.78 4.40 6.62 7.78 8.71 9.75 8.20 6.59
Percentage growth rate of various sectors in India
Shift from product SCM to services supply chain management
327
This is clear from Table 3 that services sector has shown constant growth decade by
decade. Data given is representing the average value for every decade which has been
calculated from Government of India’s report. If we analyse the year wise growth rates
then every sector except the services sector has fluctuating growth rates and sometimes
also negative growth rate, but services sector is the only sector which has shown constant
growth.
Table 4 Percentage share of sectors in total employment in India
Sectors 1999–2000 2004–05 2009–10

Agriculture 59.9 56.6 53.2
Manufacturing 11.1 12.2 11.0
Non-manufacturing 5.3 6.5 10.5
Services 23.7 24.7 25.3
Table 4 is showing the contribution of each sector in generating the employment in India.
It is clear from Table 4 that at this point services sector is offering 25.3% of the total
employment which is second highest after agriculture.
Even at the world level if we analyse the share carried by different sectors then
services sector is leading with a share of 65.9% as per United Nations Industrial
Development Organization (UNIDO) calculations based on UN statistics data in 2008 as
shown in Table 5. Agriculture is contributing only 4.0%, and manufacturing 18.1%,
which is very less as compared to service sector. Hence, we can infer from this that even
at the world level the economy is basically services driven.
Table 5 Contribution of different sectors in world’s total GDP (in %)
Sectors 1970 1975 1980 1985 1990 1995 2000 2005 2008
Agriculture 10.0 8.9 7.3 6.8 5.6 4.3 3.6 3.6 4.0
Manufacturing 27.7 25.9 24.6 23.0 21.7 20.3 19.2 17.8 18.1
Services 51.7 52.8 54.3 58.2 61.1 65.2 67.3 67.7 65.9
Other activities 10.6 12.4 13.8 12 11.6 10.2 9.5 10.9 12
Furthermore, the most of the manufacturing organisations earn more revenue from their
service units (Quinn, 1992), for example, GM and IBM. Hence, the growing importance
of the services sector is forcing industrialists and academicians to focus their attention on
this sector in order to improve the operations and performance.
4.2 Classification of services

It is important to categorise the services industries in order to find out their basic nature
and will help the top management to design their operations strategies/guidelines.
Lovestock (1983) proposed five schemes for classifying services: the nature of service act
and the recipient of the service, the relationship with customer and the nature of service
delivery, the degree of service customisation and judgment exercised by service personal,
the nature of demand and supply, and the method of service delivery. Silvestro et al.
(1992), classified services processes into three broad categories: professional, service
shop, and mass services. Schmenner (1986) developed a service process matrix shown in
Figure 4 in order to demonstrate that management problems that are common across
services industries. He defined two dimensions to describe the nature of whole services
industries in which vertical dimension measures the degree of labour intensity (ratio of
labour cost to capital cost) and horizontal dimension measures the degree of interaction
and customisation. So the level of customer interaction will help to define the role of the
customer in designing and delivering the services and the degree of labour intensity will
define the kind of infrastructure that is required to make that service available to the end
consumer.
Figure 4 The service process matrix (see online version for colours)
Source: Schmenner (1986)
5 Service supply chain management (SSCM)
When we talk about improving our business activities and efficiency then SCM is one of
the most important departments where management would like to improve their
operations. Voss et al. (2009) described services supply chains as the supply of services
to any organisation, manufacturing unit, and public sector. This section will explore the
various important elements in SSCM.
5.1 Types of service supply chains

We do not always have pure services supply chain but, sometimes there are product that
supports the services supply chains. The service delivered to the customers refers not
only to a pure service, but also a servitised product, where they also provide some
product supporting services to the end customers (Levitt, 1983). According to Slack et al.
(2004), the manufacturing industries are also using the concept of ‘servitisation’ widely
in order to provide the products and services to the customer through the same channel
and this will also provide them the competitive edge over their competitors. Lin et al.
(2010) classified the services supply chains into four different categories: general supply
chain, product supply chain, servitised supply chain, and service industry supply chain as
shown in Figure 5. Fisher (1997) has classified the supply chain depending upon two
dimensions: efficiency and responsiveness. Also according to Lin et al. (2010), the
product supply chain can be changed to servitised supply chain by making some changes
in the existing supply chain.
Figure 5 Classification of service supply chain (see online version for colours)
Source: Lin et al. (2010)
5.2 SSCM: concept and key features

Armistead and Clark (1993) applied the concept of value chain to achieve the strategic
objectives of the service organisation. Youngdahl and Loomba (2000) extended the
concept of service factory to global supply chains to provide a conceptualisation of the
role of service in global SCM. Sampson (2000) described the bidirectional nature of
supply chain structure in the services organisations where customers used to provide the
inputs like their bodies, minds, belongings, or information to the service processes. Lin
et al. (2010) identified that the suppliers, service providers, customers and other partners
as the key members in the services supply chain. Table 6 is clearly indicating that as we
move down the table the focus of the researchers is shifted from ‘product-supported
services’ to pure services industries.
Table 6 SSCM: key elements
S. no. Objectives References

1 Used the concept of value chain in service operations strategy and Armistead and
focused on resource allocation using resource activity mapping Clark (1993)
technique.
2 Focused on the relationship between production distribution Loomba (1996)
strategies and after-sales services strategy.
3 Extended the concept of service factory to global supply chains. Youngdahl and
Loomba (2000)
4 Focused on the ‘customer-supplier duality’ where customer serves Sampson
as an input to the service organisation. (2000)
5 Focused on the role if information technology in delivering the Zsidisin et al.
service quality through upstream and downstream in the supply (2000)
chain.
6 They found that the lack of systematic integration as the biggest Cook et al.
challenge to implement the SCM to service sector. (2001)
7 Focused on the role of customer inputs in designing the new Ulwick (2002)
services (dual-directional nature of service supply chain).
Table 6 SSCM: key elements (continued)
S. no. Objectives References

8 Customer behaviour patterns and their roles in the service processes Chervonnaya
(dual-directional nature of service supply chain). (2003)
9 They analysed the responsiveness, efficiency, and controlling as Kathawala and
important elements of services supply chain. Abdou (2003)
10 Described seven key functions of services: information flow, Ellram et al.
capacity and skills management, demand management, supplier (2004)
relationship management, customer relationship engagement,
service delivery management and cash flow.
11 Stressed on seven service processes: demand management, capacity Baltacioglu
and resources management, customer relationship management, et al. (2007)
supplier relationship management, order process management,
service performance management, and information and technology
management.
12 Analysed three configuration choices for after sales service supply Saccani et al.
chain: the degree of vertical integration, the degree of centralisation, (2007)
and the decoupling of activities.
13 Focused on management of information, processes, and resources Lin et al.
along the service supply chain to deliver services effectively. (2010)
Chervonnaya (2003) favoured the dual-directional nature of the services supply chains
and suggested that the similarities in customers behaviour patterns can be predicted and
that will define their roles in the services processes. In service supply chains, customers
not only act themselves as input, but also provide tangible belongings and specified
demand information to the service provider. According to Ulwick (2002), many times the
companies launch their new products/services, but fail in the market, because of the
improper feedback from the customers while designing their products/services. So the
dual-directional service supply chain is the very important nature of services industry
which differentiates it from traditional supply chain. Hence, by concluding the
contribution of various researchers we have finalised the following elements as the main
constructs of SSCM:
1 management of information flow and technology
2 capacity and skills management
3 cash flow management
4 customer-supplier duality
5 demand management
6 resource allocation
7 relationships
8 systematic integration
9 performance
10 order process management.
The brief description of these elements are given as under:
• Management of information flow and technology. To make service supply chains

more efficient and responsive it is very important to share information among all the
players in the supply chain through fastest mode of technology with minimum loss of
information. Zhou and Benton (2007) highlighted the importance of three main
characteristics of information flow: level of information sharing, information quality
and IT supply chain applications and stated these as the basic elements for the
integration. Some researchers also focused on the quality of information like:
accuracy, timeliness, adequacy, and credibility. Kearns and Lederer (2003)
highlighted the importance of information technology in SCM activities and Romano
(2003) also added that information technology improves the processing capabilities
of the organisations. Collecting, processing, and transmitting information is very
important to support all the management practices (Johnson and Mena, 2008).
• Capacity and skills management. As we manage the inventory in case of
manufacturing industries, in the same way in services industries we have to manage
our capacity in order to meet the varying demands from the customers. Skills
management refers to the capabilities of employees to handle flexible demands from
different customers. Capacity management is the ability of the firm to balance
demand from the customers and described capacity management as challenge to the
services organisations due to the peculiar nature of services industries (Armistead
and Clark, 1994). Ng et al. (1999) mentioned capacity management as the most
difficult task due to perishable nature of the services.
• Cash flow management. Cash flow represents the flow of funds between service
providers and buyers (Ellram et al., 2004). Johnson and Mena (2008) defined that the
financial flow management as the process that consists of activities like: invoicing
customer, payment for supplier, transfer of funds, and other financial activities
across the supply chain. Cash flow is very crucial for SCM because that will decide
how much to distribute among various partners involved in the downstream and
upstream.
• Customer-supplier duality. Customer-supplier duality refers to the role of the
customers in designing the services, where they provide various inputs to the service
providers. These inputs are processed and then delivered to the end customer as per
their requirements. Lovelock and Gummesson (2004) highlighted the crucial role of
customers to provide the inputs and described four specific customers’ inputs:
customer’s physical presence, customer’s mental presence, customer’s belongings,
and customer information. According to Maull et al. (2013), customers play dual role
in services supply chains and they added that customers provide the inputs to the
starting service supplier, who again forwards this information as output to the next
level in downstream service provider and the process goes on to the downstream
supply chain until it reaches back to the end customer. Sampson and Froehle (2006)
described customers as both supplier of inputs and receiver of outputs.
• Demand management. In services industries, predicting the exact demand for any
organisation is very difficult, as in the service process, customers are also involved in
delivery process and there is great uncertainty in demand patterns. According to
Handfield and Nichols (1999), demand management includes the activities like:
generating forecasts, managing forecasts, reconciling new information with the
forecasts and keeping them up to date. Baltacioglu et al. (2007) mentioned two main
solutions to deal with uncertainty in services demand: either controls the demand so
that it does not cross the maximum level, or influence the demand to reduce
magnitude of peaks and valleys.
• Resource allocation. Resource allocation is also very important function in SSCM as
it is directly linked with the capacity of the service provider. Baltacioglu et al. (2007)
describes resources as tangible things used, facilities, funds and services outsourced
from other firms. Since resources are always limited with any organisation so this is
very tough decision for management where to invest and how much to invest, so that
optimum utilisation can be done.
• Relationships. These involve processes which focus on the interface between
customers and firm and also between firm and its various partners along upstream
and downstream the supply chain. According to Baltacioglu et al. (2007),
relationships are not only important with external customers, but also with the
internal customers like employees. Suppliers’ relationships are very important as the
organisation can use their capabilities to get the competitive edge.
• Systematic integration. Integration is the backbone of the services supply chain, as
service supply chains are bi-directional in nature so coordination and integration
among various players involved in network is very important. Cook et al. (2001)
tried to implement the concept of supply chain into healthcare industry and found
that systematic integration is the biggest challenge for implementing SCM into
services industries.
• Performance. Performance measurement in services supply chain is very difficult as
it is associated with intangibility. Fitzgerald et al. (1991) described the six main
measures of service performance: financial, competitiveness, quality of service,
flexibility, resource utilisation and innovation. Parasuraman et al. (1988) proposed
five main dimensions for measuring performance: tangibility, empathy, competence,
responsiveness, and reliability. Performance measurement in services industries is
difficult than in manufacturing industries because of the involvement of service
provider and customer in the delivery process.
• Order process management. This element deals with how order from the customer
end reaches to the service supplier and processed and delivered back to the customer.
Ballou et al. (2000) defined various sub-functions under order processing like: order
preparation, order transmittal, order entry, order filling, and status reporting. Hence,
order process management begins from the customer end when he realises the need
of getting the service and ends at the customer end when he gets the desired service.
6 Comparison of various elements of difference in SCM and SSCM
The basic nature of a service is that we cannot touch it, but we can only experience it
depending on that it can be defined as good or bad experience, but in case of product we
can touch and see its features then we can select the best one. Kathawala and Abdou
(2003) differentiated the manufacturing from services industry depending upon the
intangible sales in case of services industry and services depend more on people’s
education, experience, and ethics.
6.1 Various differentiating elements between product supply chain and services
supply chain
As per literature review done, Table 7 shows the contribution of various researchers in
this field and following seven are found to be very important elements which differentiate
the product supply chain from services supply chain and are very influencing in the
decisions of designing the supply chains for services industry:
1 intangibility
2 perishability
3 simultaneity and co-production
4 heterogeneity
5 labour intensive
6 non-transferability
7 individual demand as ultimate target.
Table 7 Comparison of various elements in SCM and SSCM
S. no. Differentiating elements Reference

1 Intangibility and perishability. Earl et al. (1978)
2 Services consist solely of acts or processes, and exist in time only. Shostack (1982)
Services are rendered and cannot be possessed; they can be
experienced, created or participated in.
3 Services sector include all economic activities whose output is not James et al.
a physical product (intangibility). (1987)
4 Focused on intangible nature of services. Gronroos (1990)
5 Intangible nature of services and service supply chain can match Kathawala and
both the efficient and responsive supply chain at a time. Abdou (2003)
6 Intangibility, simultaneity of production and consumption, and Roth and Menor
co-production. (2003)
7 Services are difficult to visualise and manage; they are diverse in Ellram et al.
nature and highly contextual. (2004)
8 Intangibility, simultaneity, heterogeneity, perishability, and labour Baltacioglu
intensive. et al. (2007)
9 Perishability, intangibility, invisibility and non-transferability, Wu and Yang
simultaneity and ultimate target-individual demand. (2009)
10 Intangibility, and interactivity. Shamah (2012)
6.2 How differentiating elements pose threats to SSCM?

• Intangibility. Intangible nature of services mean that the services are just the ideas
and performances, so services cannot be seen, touched, smelt or tasted (Baltacioglu
et al., 2007; Earl et al., 1978; Gronroos, 1990; James et al., 1987; Kathawala and
Abdou, 2003; Roth and Menor, 2003; Shostack, 1982; Wu and Yang, 2009). Due to
this nature of services industry many operations of logistics cannot be applied to
service supply chain, like transportation is one of them (Baltacioglu et al., 2007).
Due to intangibility, the service innovations are not patentable and that is the biggest
threat to new service development process. This is also a big problem for customers
because they cannot see, feel or touch it before purchasing service and sometimes
great risk is involved in getting the service like if you are getting some medical
services. So, intangibility poses threat both to service provider and consumer also.
• Perishability. Perishability poses big challenge to the management as full capacity
utilisation is very tough in this industry for example a vacant seat in the airplane, an
unoccupied bed in the hospital cannot be utilised in future. This nature of services
make it very difficult for management to handle demand in case when demand is
more than the existing capacity, because services cannot be stored for the future use
as in case of products can be stored to meet demand in the peak season. And also the
demand for services is perishable, especially when there is excess demand (Wu and
Yang, 2009). This employs a total inapplicability of storing facilities in case of
services SCM (Baltacioglu et al., 2007).
• Simultaneity and co-production. The nature of service is such that its production and
consumption happen at the same time and forces both the service provider and
consumer to be present at the production time (Baltacioglu et al., 2007; Roth and
Menor, 2003; Wu and Yang, 2009). This poses a big challenge to services industry
as in case of manufacturing process, steps of production are standard so a very high
level of efficiency could be achieved, but in case of services due to the customer
participation it is very difficult to get efficiency. As inventory control is a major
issue in manufacturing industries, similarly in services industry the customer waiting
or ‘queuing’ is a big challenge (Fitzsimmons and Fitzsimmons, 2005).
• Heterogeneity. Due to high degree of diversification within the same industry,
because of the involvement of customer in the delivery process, it is very difficult to
standardise the service operations and that is why Jones and Hall (1996) described it
as one of the major reasons for complexity in planning and analysis of production of
services and measurement of output. Heterogeneity makes it difficult to compare
services with the competitors (Baltacioglu et al., 2007).
• Labour intensive. Human element has great influence on service operations and thus
it creates complexity in delivering services to the end customer (Baltacioglu et al.,
2007). So service provider needs very high intellectual skills to handle all queries
raised by the customers and to deliver them best possible solution.
• Non-transferability. Intangibility and simultaneity nature of services make it
non-transferable and cannot be distributed through long distances as in case of
products (Wu and Yang, 2009). So this makes it very difficult for services
organisations to expand its market potential.
• Individual demand as ultimate target. As the production and consumption of service

go side by side, so this makes the service cycle very short as compared to product
industry (Wu and Yang, 2009). Every time customer visits the service provider with
new requirements, so customer has become the key player in the service sector and it
has made it very difficult for service provider to satisfy every individual and also to
develop the scale of economy as in case of manufacturing industries.
7 Various frameworks in SSCM
The academicians and researchers have come out with many frameworks which have
proved as blessings for manufacturing industries as they helped them to come close to
their suppliers and end customers. But, now focus has changed from manufacturing
industries to services industries as this sector has evolved as one of the major sectors in
world economy. Most of the frameworks used in services industries have been adapted
and some are derived from the manufacturing industries as highlighted in Table 8. So,
this section particularly explore the various frameworks which have been developed in
the services industries and will also highlight the drawbacks of these frameworks, which
will help the researchers to find some new solutions in future.
Table 8 Summary of SSCM models and frameworks
S. no. Objectives Model (s) Limitations References

1 Plan, source, make, deliver, and SCOR- • Make-deliver-return Maull et al.
return. model do not fit to services. (2013)
• Does not include two

main processes of
services: sales and
marketing and
customer service.
2 Information flow management, GSCF • Does not considered Croxton et al.
CRM, SRM, demand supply chain the special (2001),
management, order fulfilment, model characteristics of Cooper et al.
manufacturing flow management, service industry and (1997) and
product development and its impact on SCM Giannakis
commercialisation, and returns processes. (2010)
management.
3 Trade-off between efficiency and Estimation • This model is limited Kathawala and
effectiveness in implementing of to only one industry in Abdou (2003)
services SCM and quality of framework the services i.e.,
service. for SSCM accounting, auditing,
and financing.
4 Synthesis, synergy, and 3S-model • No reference to the Giannakis,
synchronisation. differentiating (2010) and
elements into the Giannakis and
management of Croom (2004)
service supply chains.
Table 8 Summary of SSCM models and frameworks (continued)
S. no. Objectives Model (s) Limitations References

5 Information flow management, Service • Did not covered Ellram et al.
CRM, SRM, demand supply chain knowledge (2004) and Lin
management, capacity and skills model management, service et al. (2010)
management, service delivery development and
management, and cash flow innovation, and
management. performance and
event management.
6 Information and technology IUE-SSCM • Did not considered the Baltacioglu
management, CRM, SRM, main elements like: et al. (2007)
demand management, capacity knowledge
and resources management, order management, financial
process management, and service flow, and service
performance management. innovation.
7 Information flow management, Servitisation • This model covers the Johnson and
CRM, SRM, demand supply chain servitised-product Mena (2008)
management, production model industry and is not and
management, financial flow suitable to pure Drzymalski
management, product service industry. (2012)
development, returns and end of
life management, and risk
management.
8 Stressed on the relationships A conceptual Wu and Yang
among consumers’ framework (2009)
non-residential living condition, of SSC
service, SSC and its principle
on efficiency assessment.
9 Network technology and Service Lin et al.
information flow management, supply chain (2010)
CRM, SRM, demand process
management, capacity and structure
resources management,
knowledge management, service
delivery management, financial
flow management, service
development and innovation,
and performances and events
management.
10 Plan, source, develop, adapt, Service • This framework is just Giannakis
operate, and recover. supply chain a proposal to (2011)
reference standardise the
framework management in
service supply chains
and practical
implementation need
to be checked.
11 Focused on the integration and Green Shamah
coordination among the suppliers, service (2012)
service provider and its end supply chain
customers. value
creation
model
7.1 SCOR-model
This model was proposed by Supply Chain Council and it considered three main concepts
of business: process reengineering, benchmarking and process measurement in the
framework that mainly contains five processes: plan, source, make, deliver, and return.
Many researchers have tried to implement SCOR-model into services industries which
were specifically developed for manufacturing industries. The main problem of applying
SCOR model into services industries is that make, deliver and return processes cannot be
applied as it is to the services industries as making and delivering processes cannot be
separated in services industry and also return process has no meaning in services
industries as service once delivered cannot be returned back (Baltacioglu et al., 2007;
Maull et al., 2013).
7.2 GSCF-model
This model was proposed by Global Supply Chain Forum (GSCF) and derived from
Porter’s concept of value chain and stressed on the integration and coordination of the
management processes, the management systems and the structure of the supply chain
(Croxton et al., 2001). The GSCF-model is more suitable than SCOR, because most of its
processes are related with the services industries. But, the two elements in this framework
are not related with the services industries that are manufacturing flow and returns. This
model also does not highlight the special nature of the services industries and its impact
on the supply chain processes (Cooper et al., 1997; Giannakis, 2010).
7.3 Estimation of service supply chain framework

In this framework Kathawala and Abdou (2003) identified various processes in
accounting and auditing firms through supply chain and relationships between various
players in order to achieve either the lesser cost or increase the benefits and outcomes and
result in increasing the efficiency and effectiveness. Kathawala and Abdou (2003) also
identified some critical areas in processes and some strategies to implement the service
supply chain in the efficient manner. The main limitation of this framework is that this
model is limited to accounting, auditing, and financial services industry only (Kathawala
and Abdou, 2003).
7.4 3S-model
Giannakis and Croom (2004) focused on three main dimensions of SCM: synthesis,
synergy, and synchronisation. Synthesis involves the analysis of structure of supply chain
and decisions on outsourcing of products/services and processes. Synergy involves the
strategic decisions about harmonisation of contrasting interests and objectives of different
players in the supply chain and third ‘S’ represents the synchronisation among various
processes that involve production and provision of goods or services to the end consumer.
But, problem with this model is that it cannot be used as a complete conceptual
framework in services industries as this does not highlight the various differentiating
elements in between services supply chain and product supply chains (Giannakis, 2010;
Giannakis and Croom, 2004).
7.5 Service supply chain model
Ellram et al. (2004) developed a framework for SSCM by analysing three product-based
manufacturing models: global supply chain forum framework, SCOR and Hewlett-
Packard’s supply chain model. They highlighted seven key processes in service supply
chain network as shown in Table 8. They also highlighted some factors for efficiency and
effectiveness like: visibility, proper distribution of labour, aligned and visible incentives,
visibility of outsourced activities. The main drawbacks of this framework were, they did
not consider the new service development process and performance management process,
which are very important elements in any service supply chain (Ellram et al., 2004; Lin
et al., 2010).
7.6 IUE-SSCM
Baltacioglu et al. (2007) basically derived this model by combining SCOR and Ellram
et al. models. They highlighted that there are only three main units: supplier, service
provider and consumer. Here they proposed that SSCM is the management of
information, processes, resources and service performances from earliest supplier to the
ultimate customer. The major drawbacks of this model are that there is no reference to
knowledge management, financial flow, and service innovation.
7.7 Servitisation supply chain model
Johnson and Mena (2008) developed this model after analysing the GSCF model
(Croxton et. al., 2001) and service supply chain model (Ellram et al., 2004) and it consists
of various processes which are capable of dealing with both product and service aspects
of the supply chain of a servitised product. This model consists of ten activities as shown
in Table 8. They basically developed this model for product supply chain, which consists
of the elements from both product as well as service industries (Drzymalski, 2012). The
main drawback of this model is basically developed for servitised-product industry and
when we will try to apply this model in to pure services industry, all the processes which
are designed for product will become irrelevant (Johnson and Mena, 2008).
7.8 Conceptual framework of service supply chain
Wu and Yang (2009) developed this framework for service supply chain by comparing
services sector with manufacturing sector. Here they highlighted the various
differentiating elements between service industry and manufacturing industry like:
intangibility, perishability, invisibility and non-transferability, simultaneity, and ultimate
target-individual demand. Here they also implemented the various principles of
efficiency assessment of SSC, which will be helpful for the improvement of service
management.
7.9 Service supply chain process structure

Here Lin et al. (2010) highlighted ten main activities within any service supply chain as
shown in Table 8. They proposed this model by considering the era of servitisation and
globalisation. Here they described ten main functions of supply chain which will help the
practitioners to manage their services supply chain more efficiently and effectively.
7.10 Service supply chain reference framework

In this model six major processes for design and management of service supply chain are
identified: plan, source, develop, adapt, operate, and recover (Giannakis, 2011). This
model conceptualises the capacity of service firms as a resource inventory to build a
service offering. This model helps in standardising the various management processes in
service supply chain and to improve the overall performance of service provision systems
through synchronised and well-coordinated integration of different supporting service
into supply chains (Giannakis, 2011).
7.11 Green service supply chain value creation model

In this model Shamah (2012) stressed on four main pillars for building integration and
coordination among the main players in green service supply chain: innovation, trust,
sharing knowledge, and joint productivity. This model has been developed to analyse the
factors affecting value creation in service supply chain.
8 Results
In this paper, we have analysed the various aspects of SCM and found out up to what
extent the researchers have explored it and talked about the various frameworks
developed for implementing SCM concept into services industries. Following are some
key findings:
1 Flow focus (41.67%), coordination (33.33%), relationships (25%) and stakeholders
(25%) have attracted more research attention in manufacturing SCM.
2 Now the researchers focus has shifted from the manufacturing supply chain to
services supply chain, as the share of services sector to the world’s total GDP has
increased up to 66% (approximately) in 2008.
3 Depending on literature review done we have found following main perspectives of
SSCM: management of information flow and technology, capacity and skills
management, cash flow management, customer-supplier duality, demand
management, resource allocation, relationships, systematic integration, performance,
and order process management.
4 We found seven main differentiating elements (intangibility, perishability,
simultaneity and co-production, heterogeneity, labour intensive, non-transferability
and individual demand as ultimate target) between product supply chain and service
supply chain, which pose threats for implementing SCM concept in service
industries.
5 There are many frameworks, models, and theories on services SCM which have been
derived from manufacturing SCM, but purely services supply chain frameworks we
need to work out. We have also highlighted the drawbacks of these frameworks,
which could be overtaken in the future research in this area.
9 Conclusions
This paper emphasises on the evolution of the SSCM from the logistics and
manufacturing SCM. This paper also highlights various managerial elements which must
be taken care of in order to better management of services supply chain practices to the
end customer. It also discusses the various frameworks in SSCM and their drawbacks
which manager should focus on while applying the SCM practices in their industries.
Following are some of the limitations where future research should be directed:
1 The concept of SSCM is still at the starting phase of the research and a lot more need
to be done in order to improve the operations in services industries also. SSCM
needs the integrated approach, which will combine the suppliers, service providers
and customers together.
2 Researchers need to be focused on the various challenges posed by the key
differentiating elements in services industries like: intangibility, perishability,
simultaneity and co-production, heterogeneity, non-transferability etc., while
designing the service supply chain strategies for different industries.
3 In future we need to develop service supply chain model which will be covering all
the limitations discussed in Section 6. Moreover very few researchers discussed
about setting the ‘push-pull’ boundary in the services delivery in their frameworks,
which could be worked out in the future and model could be developed.
4 In the previous frameworks very little have been discussed about implementing the
reverse SCM practices in services industry, like: how to handle rejection and
dissonance at the customer end. The concept of ‘mass-customisation’ is also missing
in the above discussed frameworks which can lead to more efficiency and cut the
cost and will also help in standardising the services.
5 Moreover, criteria need to be set in order to select the strategic partners and should
be highlighted in the framework.
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Shift from product supply chain management to services supply chain

Article in International Journal of Services and Operations Management · January 2016

Vikas Thakur Ramesh Anbanandam

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Figure 1 Evolution of SCM

Initiated Matured Initiated the Initiated SCM

1950–1970 1970–1980 1980–1990 1990–2008

SCM in manufacturing Educational

Source: Habib (2010)

3 Supply chain management (SCM)

SCM is generally engaged in procuring, producing, distributing, and selling

Figure 2 Typical supply chain structure

Raw Value chain

Finished product flow

Source: Shukla et al. (2011)

3.1 SCM: concept, definitions and objectives

S. no. Objectives Definitions References

Table 1 SCM: definitions and objectives (continued)

S. no. Objectives Definitions References

Table 1 SCM: definitions and objectives (continued)

S. no. Objectives Definitions References

3.2 Analysis of various elements in SCM

• Organisation structure. Flat organisational structure usually includes less number of

• Stakeholders. Some researchers have also included the stakeholders as important

4 Role of services industries

4.1 Importance of services sector

Sectors 1999–2000 2004–05 2009–10

4.2 Classification of services

Source: Schmenner (1986)

5 Service supply chain management (SSCM)

5.1 Types of service supply chains

Source: Lin et al. (2010)

5.2 SSCM: concept and key features

S. no. Objectives References

Table 6 SSCM: key elements (continued)

S. no. Objectives References

• Management of information flow and technology. To make service supply chains

6 Comparison of various elements of difference in SCM and SSCM

3 simultaneity and co-production

7 individual demand as ultimate target.

Table 7 Comparison of various elements in SCM and SSCM

S. no. Differentiating elements Reference

6.2 How differentiating elements pose threats to SSCM?

• Individual demand as ultimate target. As the production and consumption of service

7 Various frameworks in SSCM

S. no. Objectives Model (s) Limitations References

• Does not include two

Table 8 Summary of SSCM models and frameworks (continued)

S. no. Objectives Model (s) Limitations References

7.3 Estimation of service supply chain framework

7.5 Service supply chain model

7.7 Servitisation supply chain model