Supply Chain Management in Myanmar Furniture

This assignment delves into the complexities of supply chain management within the Myanmar furniture industry. It highlights the need for enhanced market segmentation, accurate demand forecasting, and technological advancements to address issues like supplier reliability, order fulfillment accuracy, and customer satisfaction. The text emphasizes the importance of fostering strong relationships between manufacturers, suppliers, and retailers through information sharing, long-term commitments, and mutual respect. It also explores the potential benefits and challenges of outsourcing within this context.

Running Head: Supply Chain Management 1
Supply Chain Project

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Contents
Chapter 1..........................................................................................................................................3
Introduction......................................................................................................................................3
1.2 Study background..................................................................................................................4
1.3 problem statement..................................................................................................................5
1.4 Scope of study........................................................................................................................5
1.5 Study Area.............................................................................................................................6
1.6 Dissertation Structure............................................................................................................6
1.7 Research Aim.........................................................................................................................7
1.8 Research objective.................................................................................................................8
1.9 Research Question.................................................................................................................8
1.9 Conclusion.............................................................................................................................8
Chapter 2..........................................................................................................................................9
Literature review..............................................................................................................................9
2.1 Introduction............................................................................................................................9
2.2 Defining supply chain and supply chain management........................................................10
2.2.1 What is supply chain?...................................................................................................10
2.2.2 What is SCM?...............................................................................................................12
2.2.3 Evolution of Supply chain management.......................................................................13
2.2.4 Introduction to SCM.....................................................................................................15
2.2.5 Key elements in SCM...................................................................................................15
2.2.6 Hierarchical levels in SCM...........................................................................................16
2.3 SCM in the process industry................................................................................................17
2.3.1 What is Process Industry?.............................................................................................17
2.3.2 SCM in Process Industry..............................................................................................17

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2.4 Nature and Scope of Supply Chain Management................................................................18
2.5 Process and functions of Supply Chain Management.........................................................18
2.5.1 Customer service relationship process..........................................................................19
2.5.2 Procurement Process.....................................................................................................20
2.5.3 Product Development and commercialization..............................................................20
2.5.4 Manufacturing flow management process....................................................................21
2.5.5 Physical Distribution....................................................................................................21
2.5.6 Partnership or Outsourcing...........................................................................................21
2.5.7 Performance measurement............................................................................................22
2.5.8 Management of Warehousing.......................................................................................22
2.5.9 Workflow management................................................................................................22
2.6 Executing integrated supply chain management.................................................................22
2.7 Present situation of Furniture industry in Myanmar............................................................24
2.7.1 Competitive advantage.................................................................................................24
2.7.2 Challenges in Supply chain management.....................................................................25
2.7.3 Industry composition....................................................................................................26
2.8 Recognition of supply chain factors....................................................................................26
2.8.1 Uncertainty of Environment.........................................................................................27
Chapter 3........................................................................................................................................28
Research methodology...................................................................................................................28
3.1 Introduction..........................................................................................................................28
3.2 Research Ontology...............................................................................................................29
3.3 research methodology..........................................................................................................30
3.3.1 Positivism.....................................................................................................................30
3.3.2 Realism.........................................................................................................................30

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3.3.3 Interpretivism................................................................................................................30
3.3.4 Selection and justification of Research Philosophy......................................................31
3.4 Research Approach..............................................................................................................31
3.4.1 Deductive type research approach................................................................................32
3.4.2 Inductive type research approach.................................................................................32
3.4.3 Selection and justification.............................................................................................32
3.5 Research Design..................................................................................................................32
3.5.1 Qualitative Research Design.........................................................................................33
3.5.2 Quantitative Research Design.......................................................................................33
3.5.3 Mixed Method research design.....................................................................................34
3.5.4 Selection and justification.............................................................................................34
3.6 Research Strategy................................................................................................................34
3.6.1 Research Strategies justification and selection.............................................................35
3.7 Time Horizon.......................................................................................................................35
3.7.1 Cross-Sectional study...................................................................................................35
3.7.2 Longitudinal Studies.....................................................................................................36
3.7.3 Selection and justification of Time Horizon.................................................................36
3.8 Data collection method........................................................................................................36
3.8.1 Selection and justification of data collection................................................................36
3.9 Size of population in research..............................................................................................37
3.10 Techniques of sampling.....................................................................................................38
3.10.1 Random Sampling......................................................................................................38
3.10.2 Sample Size................................................................................................................38
3.10.3 Purposive sampling.....................................................................................................38
Chapter 4........................................................................................................................................39

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Results and discussion...................................................................................................................39
4.1 Introduction..........................................................................................................................39
4.2 Demographic profile of the respondents and respond rate..................................................39
4.2.1 Profile of respondents...................................................................................................39
4.2.2 Survey questionnaire response rate..................................................................................41
4.3 Comparison of collected data and objectives......................................................................42
4.4 Survey questionnaire...........................................................................................................42
4.4.1 Section 1: Result...........................................................................................................42
Chapter 5........................................................................................................................................64
Conclusion and recommendations.................................................................................................64
Conclusion.................................................................................................................................64
5.1 Findings...............................................................................................................................64
5.2 Limitations of the study.......................................................................................................66
Chapter 6........................................................................................................................................66
Recommendations..........................................................................................................................66
6.1 Needs for future research.....................................................................................................66
6.2 General recommendations...................................................................................................67

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Chapter 1
Introduction
The perception of supply chain management (SCM) is considered as the one of the most
appropriate and applied methods which is basically used to enhance the management in terms of
economic and productivity. The process of supply chain includes all the operations which are
directly and indirectly focusing on satisfying the needs and demands of the customers. In the
supply chain, all the retailers, suppliers, transporters, warehouses, retailers, producers and
customers are connected with it. In an organization, the objective of a producer is to acquire and
satisfy the demands and requirements of the customers which are incorporated with the supply
chain. The function of supply chain includes development of the new products, various
operations, delivery of the finished products, marketing and finance operations and other services
for the customers etc.
According to the American Expert Association, the concept of supply chain management
can be described as the arrangements of all the activities as well as administrations such as in-
sourcing, transformation, agreements and logistics management activities for better business
operations. Basically, supply chain management also incorporates with the suppliers which may
be intermediaries, clients, third-party service providers, and channel partners. The demand and
supply is basically managed by the supply chain management in the companies.
In current time, the competition in the market is continuously and in the era of IT
development, it is important and first priority for the companies to satisfy the customers to
survive in the market. The needs and wants of the customers include affordable rates, on time
transportation and delivery and high quality products and services. In simple words, supply chain
management is the approach which focuses on satisfying all the requirements of the customers
by providing them final products along with the higher suppliers. In other words, the approach of
supply chain also considers the suppliers in the business operations. The process of supply chain
is focused on meeting the needs and wants of suppliers. Supply chain approach includes various
operational segments within an organization such as planning related to strategic and production,

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transportation planning, supply control, identifying locations and various settings etc. Supply
chain management basically is a the network of various organizations where they develop values
by connecting high level management to lower level in various activities and procedures and
provide valuable products to then customers or end users. The method of supply also includes
some legally separated firms that are connected with each other by information, material, and
financial purpose. Certainly, these organizations are those which produce goods and manufacture
ultimate goods. All the suppliers in the manufacturing, distribution and logistics services and
customers can be included in this procedure. Initially, a system does not only rely on any kind of
chain in the development but also, it includes on the convergent and divergent system or process
along with various orders from the consumers which must be fulfilled on time.
The higher level of management in the furniture companies are focused on analyzing the
situations of the concept integrated supply chain management for the future perspective. In this
report, the role and significance of supply chain in the contemporary time is described along with
the critical circumstances for the furniture traders and transportation automobiles.
1.2 Study background
In the era of stable development and development, fiscal development, strong
macroeconomic essentials, and managerial transforms are motivating Myanmar’ industrial and
business sector to expand and invest in more business areas. The new firms are setting the strong
industrialization focus along with the plans to set themselves in the most critical economic
development in the future. There is the need to create employment and foundation ventures along
with the continuous development in the extraordinary economic zones. These processes would
attract new manufacturing and individual investments in the new business ventures. In the year
2015, the GDP rate was around 20% in the manufacturing segment which was two times of its
share i.e. 11%. In the manufacturing industry, the growth of foreign direct investment shows a
quick development and now in 2015, it has increased by 75%. In retail sector of Myanmar is
extended by 7 to 15% from 2012 to 2012 along with GDP development of 7% over the same
period of time. In spite of various challenges and threats, many of retailers are assuming to
achieve significant growth and development within the set time-frame.
Focusing on the retail and industrial sector of Myanmar, the history of the nation is
considered along with the difficulties which the country is facing in terms of strong competition

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from neighborhood. The country is suitable for the international investments and the country is
opening the door of success for the world as well as ASEN economic community. The country is
full of youthful, dedicated, proficient and influenced people who are effective for the successful
business ventures. By analyzing all the situations and real upsides, it is observed that the country
has ability to deal with various critical situations like political factors which is the key
component for the improvement.
1.3 problem statement
The process of executing, controlling as well as managing various operations of the
supply chain is effective and reasonable in the process and this is called supply chain
management. The process of supply includes storage and improvements of raw material, work in
process of inventory and final products from the starting to their consumptions. In current time,
the furniture businesses in Myanmar are facing some challenges in terms of quality of the supply
chain management and implementation of the new methods and technologies in business
operations. It is important now to improve the capacity of the process of supply chain
management in Myanmar for fulfilling the rules and regulations and standard at the global level
and competing with the local workforce to stay competitive.
1.4 Extent of study
It is well-known that the furniture manufacturing sector of Myanmar is now being
marginalized. Customers are now spending their money on other operating costs rather furniture
expenses. This factor is the base for the research in this project report. It is suggested that the
furniture manufacturer must be more creative to stay competitive in the market of low share and
focus on meeting the expectations of the investors and stakeholders. There are many challenges
and threats which can be analyzed in the furniture industry. Those challenges must be addressed
in the effective way to enhance the performance of the organizations in the industry. The extent
of the study will focus on the concept of supply chain management. The topic of supply chain
management is now famous in all over the world and managers in the respective organizations
are seeking for new and innovative ways to promote the concept of supply chain management.
This research basically includes some wide range of issues which are identified in the industry.
Those issues are described below:

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 The process of supply chain is now managed is many ways as there are various products
available with detailed regularity,
 All the manufactures in the supply chain process are not included in the decision making
process,
 The assessments of the standard of efficient supply chain management is different from
one association to other,
 There are various expenses which rose due to insufficient order processing, time gap,
damaged and unnecessary stock, unstable stock holding, and weak transporting.
The primary objective of this study is to provide proper direction for the successful design
and implementation of the process of supply chain of the furniture industry in Myanmar. The
strategy related to design and execution of the supply chain must fulfill all the requirements so
that it can be implanted the furniture industry of Myanmar in the effective manner.
1.5 Study Area
The overall research focuses on three main areas along with the most critical viewpoints
and challenges, key drivers and change powers. Those main areas are:
 Function and performance of supply chain management in business,
 Organizational performance and
 Satisfaction level of customers
The business of furniture is basically focused on reducing the impact of various issues within
the supply chain process. By the effective use of supply chain management, the researchers
would focus on fulfilling as well as enhancing the capability of manufacturing of furniture in the
business operations. The main aim of this paper is to analyze the practices of supply chain
management within the furniture company in Myanmar. Along with this, the study also focuses
on discovering the operational convenience in the process of supply chain management.
1.6 Dissertation Structure
The structure of dissertation includes five chapters and those are as follows:
Chapter 1- Introduction

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This chapter would basically describe the basic knowledge of the supply chain
management along with the study of surroundings, research area, research objective, research
question and aim for overall thesis.
Chapter 2- Literature review
This part is overall base and main section of this thesis. This section would basically
provide the model and hypothesis related to the supply chain management along with its process
and scope case studies and various organizational factors. The research objectives and questions
would be fulfilling with the literature review.
Chapter 3- Methods
This part would provide the overview of research methodology and collection of relevant
data. There are research ideas, design, advance, tactic, and techniques related to data collection
which will be used to gather important information for this research.
Chapter 4: Result and discussion
This section would discuss the key result by using gathered key data. The researchers
would basically focus on two types of data i.e. qualitative and quantitative. These all data would
be collected by the methods of interviews and survey questionnaire to analogize with various
hypothesis used in literature review. Along with this, the section also achieves the research aims
and objectives by the study of primary data.
Chapter 5- Conclusion
At last, this part would summarize the key findings and the importance of dissertation
which was initially conversed in all the parts.
1.7 Research Aim
The key objective of this study is to carry out both a hypothetical as well as empirical
study of supply chain management. The academic study describes the procedures of supply chain
management in order to enhance the organizational performance and level of customer
fulfillment. In the empirical study, the report examines the supply chain practices used by the

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company and points out the source of effective organizational performance along with the
customers’ satisfaction in the given literature.
1.8 Research objective
The main aim of this dissertation is described below:
 To explain the importance and significance of supply chain management and to set the
effective strategy of supply chain for the furniture company in Myanmar,
 To enhance effective customer services and use the available resources effectively in the
business to achieve competitive advantage in the furniture industry of Myanmar, and
 To enhance the overall performance of organization and level customer satisfaction by
offering them quality products and services in timely manner
1.9 Research Question
The overall dissertation would basically focus on the key question i.e. what is the role
and significance of supply chain management and what are the effective ways to make the
business of furniture industry more effective in the market of Myanmar?
1.9 Conclusion
In conclusion, it can be said that the process of supply chain is considered as the key
method to provide high level of shareholder value by the profitability and return on the invested
capital by them. Basically, the strategies of successful supply chain management support the
companies in providing values to the customers by the quality products. By the concept of supply
chain, companies are able to enhance their market shares and gross margins while enhancing the
customer services. Along with this, supply chain strategies can reduce various cost related to
warehousing, material handling and distribution, transportation and increase profitability. To
achieve profitable returns on investments, the processes of supply chain management optimizes
supplies, simplify the order-to-cash sequence and reduces the necessities of physical assets.
There is requirement to synchronize with the supply chain associates in order to get on
time in the processes and to promote various benefits by the process of supply chain
management. This type of management means that the companies can take benefits from overall
chain rather than from the small fraction of the chain. To coordinate with the supply chain

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activities between the companies, there is the need beyond making straight and integrate
functions. It is becoming important for the companies to plan and implement the supply chain
activities in overall supply chain i.e. from one level to other, dealers to wholesalers and retailers
and at last to the potential customers.
Chapter 2
Literature review
The concept of supply chain can be described as the system of various associations that
are basically included by the upstream and downstream connections in various procedures and
actions so that effective values can be provided to the customers in the form of products and
services. The process of successful supply chain can enhance the competitiveness of the
companies in the operating market. So, it can be observed that the supply chain management is
the important part in the manufacturing industry.
2.1 Introduction
The concept of supply chain management (SCM) is concerned with the management of
flow of products and services and focuses on the movements and storage of the raw-material,
inventory and finished products from the point to manufacture to the point of consumption. In
the process of supply chain, various channels, interlinked and interconnected networks, and
provision of products and services required by the end users are included. So, supply chain
management can be described as the process of planning, designing, controlling and monitoring
the various supply chain activities along with the aim of providing net value, controlling logistics
in all over the world, building a competitive market, and managing the supply and demand in the
market and measuring the organizational performance at global level.
The procedures of supply chain management includes system engineering, area of
industrial engineering, information technology, procurement, operations and logistics
management and marketing practices for the integrated approach of supply chain. Marketing
channels have important role in the process of supply chain management. Further, companies are
using the process strategic supply chain management in order to create and sustain the

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competitive advantage in the market. There are some potential benefits along with the successful
supply chain management in the business operations. Potential benefits of supply chain include
enhanced delivery services, reduced storage cost, and shorter product development cycle. Along
with the benefits, there are some barriers in the supply chain which have to face by the
companies. The barriers are at various levels in the organization i.e. organizational, intra-
organizational and inter-organizational level.
There is the need to develop solutions and strategies in terms of supply chain to deal with
the potential barriers and to meet the demands of the customers. Although the interest in supply
chain management is increasing along with its benefits, barriers and bridge towards success, the
research is focused on the issues from the multicultural perspective. Managers need to know and
understand how, when and why some supply chain procedures are getting success while others
do not get success in that way. Managers basically face various challenges while making
strategic supply chain management in the business operations. For the research, questionnaire
survey and in-depth interviews are conducted in the dissertation. Based on the research and
suggestions, findings, their implications and conclusions will be provided in the proper way.
2.2 Defining supply chain and supply chain management
2.2.1 What is the process of supply chain?
According to American Production and Inventory Control Society, the supply chain can
be described as the process of transformation from the preliminary raw material to final use of
the ended products by the end users. The processes of supply chain include all the activities
within and outside of the organization and make the organizations able to provide values and
services to the customers.
Further, supply chain can be described as all those activities concerned in providing the
product to the customers along with sourcing of raw material, manufacturing and assembly,
delivering the product to the customers, warehousing and tracking inventory, ordering the
product and order management, and important information system to monitor all the activities.
Along with this, it is also connects all the stakeholders in the supply chain with the organization
and various external partners i.e. carriers, suppliers, information system providers and third party
companies. Supply chain management can be defined as the strategic coordination of functions

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of traditional business, systematic process, and various strategies for the business operations
within the specific organization. Supply chain is effective in enhancing the long-term
performance of the employees within the organization. Many of the recent literature related to
supply chain management focus on the purchasing function and according to them; purchasing
function is the basic strategic business process rather than supporting function of supply chain. It
was the management philosophy which allows the trading partners to achieve the common
objectives with the efficiency and optimization. So, the customized definition for the supply
chain management in the service industry is described as the supply chain management for the
service industry is the capacity of the company to stay connected with the customers by
enhancing the supply chain networks. The effective services of supply chain involve
effectiveness, efficiency, responsiveness, and controlling various processes in the business. One
of the primary suppliers in the business is customer themselves in the service companies. So, the
concept of customers being suppliers is known as ‘customer-supplier duality’. It means that the
services of supply chains are bi-directional.
Further, integrated supply chain management focuses on the external customers and
managing all those processes which are important to provide values to the customers. Basically,
the supply chain management includes integrated functions from raw material to the final
product. It also focuses on the management of the organization by the whole chain. Based on the
analysis of supply chain management for manufacturing process, it is revealed that there is the
requirement of managing goods from the initial source of supply in the integrated supply chain.
Along with this, there are wide ranges of activities in the process i.e. material and service
providers, wholesalers, manufacturers, and retailers etc. each supply chain participants manage
the process to improve the performance of their organizations.
Supply chain management in the manufacturing business has been defined differently by
different researchers. There are various definitions which show that people in the same
organization are not talking about the same things when they focus on the concept of supply
chain management. Initially, there are definitions of SCM in simple terms i.e. ability to get
closure with the potential customers. Further, another is that supply chain management is the
flow of information and required material from the suppliers to end users. The supply chain of a

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company is the key resource to achieve better market position and improve competitive
advantage for the business success. The strategic use of resources includes following steps:
 Get closure with the customers and potential consumers to identify their needs at the local
and global level,
 Understanding core competencies of the suppliers in order to fulfill the needs of the
customers,
 Analyzing inefficiencies and obstacles within the supply chain process to met the current
and future competitive needs, and
 Developing strong relations with all the suppliers who have core competencies and
enhance the competencies at the local and global level
Supply chain management in the manufacturing industry can be defined as the managing and
controlling all the goods within the supply chain, no matter how to manage or handle. Basically,
SCM is the procedure of organizing the flow of the raw material and completed products from
suppliers to end users. The process of SCM includes manufacturing facilities and warehouses as
the intermediate steps.
2.2.2 What is SCM?
The basic concepts of Supply chain management can be analyzed to channels research
and system integration research done in 1960s. The concept of supply chain management came
in the literature in 1980s after that it has become a widespread use and attracted the interest from
industry in 1990s. Still, there is no any reliable definition of supply chain management. The
council of Supply chain management professionals has given an official definition of SCM and
according to them; Supply chain management includes the management and planning of all the
activities which are concerned towards the conversion, procurement, sourcing, and all the
logistics activities and process. Along with this, it also comprises the management and
cooperation with various associates including, intermediaries, dealers, third-party service sources
and clients. In general, Supply chain management includes the management of supply can
demand across the companies. Supply chain management is the important part having key
responsibility to connect business functions and process within the companies and implementing
high performance business model. It includes all the activities of logistics along with the
manufacturing operations. Further, the SCM activities also focus on coordination of various

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processes of sales, marketing, product design, and finance and information technology. Further,
in the APICS Dictionary, the process of Supply chain management is defined as planning,
designing, controlling, executing and monitoring the activities of supply chain having the aim of
providing values, building competitive infrastructure effective logistics, coordinating with the
supply chain demand, and managing the performance globally. There are various definitions
which are widely accepted by organizations. For instance, according to Simchi-Levi (2003),
SCM is the set of various approaches which are used effectively by the manufacturers, suppliers,
and store and warehouse so that the products can be produced and distributed in the accurate
quantity, right location and at the right time for minimizing the various costs incurred with
various level of services. Further, Christopher (2005) has defined the Supply chain management
as the administration of relationships of upstream and downstream with the customers and
suppliers to provide effective consumer services and values to the affordable cost with the supply
chain.
Currently, the Council of Supply chain management professionals (CSCMP) has
described the SCM as the management and planning of the various activities included in the
sourcing and procurement, renovation and various logistics management procedures. The most
important thing is that it also focuses on the cooperation and collaboration with other partners
including intermediaries, suppliers, third party service providers and end users. So, in this sense,
Supply chain management is focused on the management of supply and demand in various
companies of the industry.
Next, Scott and Westbrook (1991) have defined the SCM as the chain which connect
every element of manufacturing and supply process of the goods and raw material to the end
customers. The philosophy of this management is focused on the utilization of technology,
information, process of suppliers, and capacity to improve the competitive advantage in the
market. It also focuses on the coordination among material, logistics, manufacturing, and
distribution and transportation process within a company. The Supply chain management is the
integrative viewpoint in order to manage the flow of distribution of the goods and products from
the suppliers to end users.

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2.2.3 Evolution of Supply chain management
Various researchers have done analysis on the supply chain literature. Before the year
1950’s, the term logistics was used in the military terms. The logistics process at that time was
used for the procurement, maintenance and transportation of military facilities personnel and
materials. After that, the study and practices of logistics and physical distribution was started in
the year of 1960’s and 197’s. In the year of 1950, the logistics was not considered as the strategic
function of business. After 1050, the significance of logistics process was augmented
significantly in which substantial allocation organization was acknowledged as the key
managerial function by the manufacturing companies. The concept of supply chain was
developed by consultants of logistics in 1980s. The researchers focus on the supply chain as the
single entity and important part of the strategic decision making which need to manage the chain
in the original formulation.
Further, SCM has become one of the most crucial parts within the business management
after the introduction in early 1980s. There are lots of journals related to marketing, customer
engagement, manufacturing, distribution, integration and transportation etc and published articles
on the supply chain management topics. The evolution of SCM was started from 1990s because
of the high level of competition at the global level. Drucker (1998) claimed that there was a
paradigm shift in the literature of management and most of the significant change in the modern
business management is that the individual businesses are not able to compete as the solely
independent units but rather than supply chains. The business management are entering in the
network of strong competition and the success of a single business depends on the ability of
management in enhance and maintain the strong relationships with other companies.
Next, Fernie (1995) has described the process of supply chain management in the
National Health Service. Basically, it was the first paper provided by him in the service industry.
Sampson (2000) discovered the concept of customer supplier duality in the service firms. Along
with this, according to Kathawal and Abdou (2003), supply chain function is the integral part of
the service industry. All the studies were based on the surveys done on the employees and
students. The findings of the surveys reveal that the coordination among the employees in the
business management must be promoted. Next, Cigolini et al (2004) investigated an effective
framework for supply chain based on various service industries i.e. automobile, computers,

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grocery, and book publishing etc. Based on the case study conducted on the City University of
Hong Kong, Lau (2007) has described the educational supply chain in terms of students.
Along with this, Habib (2009) provides the large scale of empirical study to investigate
the input of the university on the systematic basis and output of the university with the
educational supply chain management. The extraordinary research on the educational supply
chain, educational management and research supply chain was also done by the Integrated
Tertiary Educational supply chain management model. This was successfully verified by the
survey dart from the leading educational institutions in all over the world.
2.2.4 Preface to SCM
The process of supply chain basically includes all the actions that change raw material
and inventories to the ending product and provide them to the potential consumers. Many phases
are included in the supply chain process i.e. dealers, storehouses, allocation centers, vendors,
manufacturers, and consumers. In the given figure of supply chain, the material flows by the
supply chain from the dealers to the consumers while the processes of information are in the
conflicting way. In the extremely competitive environment of market, difficult and competitive
environment of market, a company can have competitive advantage in the market as compared to
the competitors by the effective and efficiency supply chain process. So, process of supply chain
is the source of competitive advantage for the business.
Figure 2.1: Structure of a Supply Chain
Information Flows
Material Flows

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2.2.5 Key elements in SCM
Based on above descriptions, SCM includes various issues and challenges related to
various stages of supply chain. There are six key elements in the supply chain management and
integration and coordination among them have been given wide range of research attention:
Service level management including segmentation of customer, service level management and
others,
 Demand and order management i.e. sales demand forecasting and planning, order entry
and fulfillment and inventory management,
 Production management i.e. production planning and scheduling, network realization and
configuration and production implementation,
 Distribution management i.e. warehousing, network configuration and transportation etc,
 Supply management including suppliers’ performance management and procurement
planning etc,
 Integrated supply chain management planning and implementation allowed by the SCM
procedure, business and performance management and IT systems.
2.2.6 Hierarchical levels in SCM
The processes in SCM can be divided into three hierarchical stages i.e. tactical level,
operational level and strategic level along with the time perspective lies from numerous years to
little hours. The tactical level administration includes long-term decision making procedure for
the effective supply chain focusing on key objectives of supply chain and provides proper
resources to achieve the organizational goals like facilities, locations, supply chain network
design etc. along with this, decisions at this level have important role in supply chain for long
time.
Further, tactical level management focuses on the medium term decisions in the supply
chain to make sure the efficient use of the possessions from the tactical level choices. In the
strategic level of resolution, the decisions are efficient from a few weeks to few years including
inventory policies and production to division forecast etc. At last, at the equipped level, short-

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term decisions are made with the high level information to achieve the organizational goals and
objectives at the tactical level. The operation al level decisions i.e. transportation scheduling and
production are update by the management on the weekly basis. The problems with supply chain
are tackled in this hypothesis and cover the process of result making in above discussed three
stages.
2.3 SCM in the manufacturing industry
2.3.1 What is Process Industry?
In the procedure industry, inventories and raw materials are converted into the completed
goods on the saleable scale by using the chemical and physical changes and adaptations. Along
with this, there are manufacturers in the process industry that produce the products by forming,
separating, mixing and performing chemical reactions. All the industries are providing primary
products and goods which are important in daily lives of people. There are various separate
industries i.e. construction, automotive, high-tech and engineering industry and service industry
i.e. communication, media, education and finance industry. The process industry is differentiated
by production in the process along with the convergent and divergent as well. In the process
industry, the product can be both intermediate as well as final product at the same time which
can be sold to the potential customer for the further production. Along with this, process industry
is the key portion of the economy in all over the world. Based on the statistics of European
Chemical Industry Council, the sale of chemicals in all over the world were valued 1871 billion
Euro in 2009.
2.3.2 SCM in Process Industry
Supply chain management is now one of key issue in the development industry which
covenants with huge and difficult supply chain systems. The supply chain problems in the
process industry are classified into three different catagories i.e. supply chain replication and
policy analysis, supply chain design and supply chain planning. Shah (2005) has reviewed and
done the research in all these areas. According to Grossmann (2005), there are some key issues
in the new and rising era of organization-wide optimization which is the big issue in the SCM of
the process industry. Further, Papageogiou (2009) provided a systematic review of the
mathematical programming models for reducing the supply chain problems for the process
industry. He characterized the main issues of supply chain into three catagories i.e. scheduling

Supply Chain Management 21
and supply control, supply chain planning and supply chain designs. It is proposed that there are
some future challenges including new kind of supply chains related with the healthcare
sustainability.
2.4 Nature and Scope of Supply Chain Management
The concept of supply chain management is accepted by various corporations in all over
the world because of it shows the effective results like improve financial performance, delivery
time reduction, building trust among suppliers, greater customer satisfaction, and others.
According to Weintraub (2008), companies are focusing on the supply chain practices to enhance
their performance in the market. So, it is crucial to understand how the process the supply chain
is working. The process of supply chain in the process industry is demonstrated below:
Figure 2.2: Forest and wood products supply chain
(Source: Campbell and Kazan, 2008)
The above described figure is one more instance of the various stages in the supply chain
for the furniture developing industry. The procedure of supply chain starts with the cataloguing
procedures, wood are then drive to sawmill and pallets parts are sent to the wood pallet producer.
Once, the wood pallets are produced than they sent it to the distributors to provide it to the final
customers.

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2.5 Process and functions of Supply Chain Management
Developed SCM needs a transform from organizing the individual function to integrate
activities in the process of supply chain. For instance, the purchasing department orders all the
requirements which are important for production. The marketing department is concerned in
responding to the customers’ demand, communicating with different retailers and distributors
and determining the ways to meet their demands. By the process integration, the information can
be shared among the supply chain partners. The supply chain process integration includes
coordinative works between the consumers and contractors, common systems, joint product
expansion, and common information. According to the Cooper and Lambert (2000), the
operations in the supply chains require continuous flow of information. There are many
companies have concluded that the flow of product cannot be completed without executing a
process approach. The key supply chain process includes:
 Customer relationship management,
 Demand management style,
 Oder fulfillment,
 Customer service management,
 Supplier relationship management,
 Flow management of manufacturing,
 Returns management and
 Product development and commercialization
In the process of demand management, various best class companies have similar characteristics.
Those are as follows:
 Programs to minimize lead time,
 External and internal collaborations,
 Forecasting at customer level,
 Strong feedbacks from the consumers and market demand,
2.5.1 Customer service relationship process
The customer service management focuses on establishing strong relationship between
the customers and the organization. Consumer service is considered as the important basis of

Supply Chain Management 23
information related to the customer. It basically presents real time knowledge about the
customers along with the product availability by focusing on the production and distribution
operations of the company. There are following steps used by the successful companies for
building customer relationship:
 Establishing and maintaining effective customer support,
 Analyzing the organizational goals for the success of company and satisfy the customers,
and
 Encouraging positive feelings among the customers
2.5.2 Procurement Process
There are some strategic plans formulated by the suppliers to provide support the flow of
manufacturing process and to develop new products effectively. Along with this, strategic plans
are effective for those companies who are operating at the global level. The desired results from
strategic plan is setting the relationship with the potential customers and reducing the time in
developing and designing the products. Along with this, the purchasing function may also
develop effective communication system like internet connectivity and electronic data
interchange (EDI) and these systems are helpful in conveying the message to the customers.
There are activities for achieving goods and raw material from various suppliers. Those activities
include supply sourcing, resource planning, inbound transportation, order placement, handling,
and storage and quality assurance. Along with this, there are some more processes like
coordinating with suppliers on scheduling, flow of inventory, prevarication, and research into
various sources and programs. Now, the process of procurement is known as the important
source of value while providing the products and services. Procurement is important to establish
strong relationship between the buyers and sellers in the market.
2.5.3 Product Development and commercialization
In the product development process and reducing the time into the market, the suppliers
as well as customers must be included in this. In the short product life cycle, the product must be
developed effectively and launched successfully within the shorter time schedule to stay
competitive in the market. Lambert and Cooper (2000) argued that there are some essentials that
must be adopted by managers in product development and commercialization process and those
are as follows:

Supply Chain Management 24
 Coordinating with the customers to establish strong relationship and identify the needs of
customers,
 Selecting suppliers and inventories for the along with the procurement process,
 Developing effective production technology to maintain the flow of supply chain for the
product supply in the market
The involvement of the suppliers in the development process of new product can have strong
impact on various factors i.e. quality, delivery, and product target cost and market share.
Considering suppliers as the source of innovation is effective for the development of technology
sharing but it also include some issues related to intellectual property.
2.5.4 Manufacturing flow management process
In the manufacturing process, products are manufactured and supplied to the various
distribution channels based on the market forecasts. The process of manufacturing in the
companies must be flexible so that the company can deal with the market changes and trends. In
the companies, orders of the products are on the basis of just-in-time method. Some changes in
the manufacturing process can enhance the effectiveness of customer service and short the cycle
times. Along with this, this process can also manage various activities in terms of scheduling,
planning and supporting the operations related to manufacturing like storage, transportation,
work-in-process, handling, and time phasing of components and coordinate with various
suppliers for the physical distribution of the products.
2.5.5 Physical Distribution
This process is basically focused on the finished product and providing it to the
customers. In the process of physical distribution, the customers are final users for the marketing
channels and for those channels, availability of the final product and services is very important
part. In physical distribution process, time and effective customers services are important part of
marketing. So, this process connects the marketing channels with the customers for the business
operations i.e. it connects wholesalers, producers and vendors.
2.5.6 Partnership or Outsourcing
This process not only focuses on the procurement of the raw material and inventory but
also outsource the services that are conventionally provided in-house. This tendency is basically

Supply Chain Management 25
focuses on enhancing value chain activities in the company to gain distinctive advantage and
outsource the products in the significant manner. This movement can be seen in the logistics
process where the actions of inventory control, transport and storage of material are contracted
out to various logistics partners or specialists in this field. Along with this, there is the need of
local and central involvement to manage and control the network of partners and suppliers. the
central or local involvement includes strategic decisions that must be taken while controlling and
managing the performance of the suppliers and logistics partners to manage the business at the
local level.
2.5.7 Performance measurement
Various researchers observed that there is the strong relationship from the largest circle
of the suppliers and customers to enhance the market share and profitability. To enhance the
performance of the company, the advantage of the suppliers’ capabilities and customers’
relationships by the long-term supply chain perspective can be used effectively. The logistics
competency is now an important factor in maintain brand image and competitive advantage by
the companies in the operating market. Along with this, logistics is also important in measuring
the performance all the operations so that profitable and unprofitable can be differentiated.
Companies are now engaging in improving their performances and realizing the improvements
for enhancing the productivity. According to various researchers, company can done and analyze
internal measures i.e. customer services, costs, asset measurements, enhancing productivity, and
quality products and services. Further, in the external measures, performance can be measured by
the understanding the perception of the customers and adopting best practices to satisfy them in
the business operations.
2.5.8 Management of Warehousing
To minimize the impact of cost and expenses in the company, warehouse management is
focused on storage, minimizing the cost incurred in the manpower, providing authority with the
on time delivery of product, inventory management, providing facilities in every area etc.
2.5.9 Workflow management
The key objective of the workflow is incorporating the customers and suppliers
effectively into the work flow so effective and efficient supply chain network can be achieved.

Supply Chain Management 26
2.6 Executing integrated supply chain management
The accomplishment and execution of the supply chain management includes
identification of the members of supply chain with whom it is difficult to connect. Along with
this, it also focuses to stay connected with the key associates and level of incorporation that
implement in every procedure. The key aim of supply chain is to generate and develop worth for
the supply chain process and the end users of the products. A successful supply chain process
includes the synchronization activities by the company among the members of the supply chain.
Further, the aim of supply chain process and reengineering activities must have goal to enhance
the efficiency and effectiveness of overall process of the supply chain.
For instance, the process of customer relationship management focuses on providing
management expertise, logistics process provides knowledge about the requirements of the
customers, research and development process focuses on the specifications of the requirements,
production process provides the strategy related to manufacturing, and finance process focuses
on the profitability report by the customers. Similar, the process of supply chain provides quality
products to the customers. For the sourcing, manufacturing and logistics strategies, companies
are using customer service requirement process.
Proper coordination and synchronization should be placed in various operations of the
supply chain otherwise the process of supply chain would not be effective or efficient in the
business. All the functions must be coordinated and work together. For instance, the buyer
pattern of the customers depends upon the sales and marketing activities set by the production
schedule based on the specific orders and timings of the requirements. These orders define the
production requirements in the supply chain.
The use of outsourcing is increasing continuously and it is also increasing the need of
coordinated supply chain process as the companies are now becoming more dependent on the
suppliers. Along with this, the methods of coordination must be placed in the business operations
of organization and company should focus where to place the coordination methods, and which
team would be accountable for taking critical decisions in the business. There are some
requirements while implementing the supply chain management including:
 Understanding the level of change which is important,

Supply Chain Management 27
 Management support, commitment and leadership for change management,
 Conformity on the vision and key process of supply chain, and
 Important commitment regarding resources and motivation to attain the objectives
2.7 Present situation of Furniture industry in Myanmar
The furniture market of Myanmar impacts significantly on the economy of the country.
This industry is facing issues related to underdevelopment and barriers in various factors i.e. lack
of effective processes which are affecting the business process of industry. The furniture
companies are facing various challenges while dealing with the procurement of raw materials.
Although, Myanmar has many vast forests by which proper supply of wood can be done but, it is
not easy for the local manufacturers to source these inputs. The government of the country is
controlling the availability of woods for the local manufacturers and they are exported to the
neighborhood countries like China and India. To enhance the profit and revenue it is important to
provide the timber to the local makers and manufacturers.
Further, local companies and manufacturers have options to purchase the wood from the
government by the requests and sale for the tenders. This system is an obstacle for the companies
to access high quality material because of the various restrictions. The result is that many
manufacturers are bounded to use low-quality material which impact on the product
competitiveness in the market. Various companies try to eliminate this problem by purchasing
high-grade wood material by the illegal methods. Some of them purchase it from the
unauthorized traders and give bribe to the government officials. Apart from the difficulties in the
sourcing of raw material, there is no progressive status in the industry and that impact directly to
the economy of the country. The foreign investments in the county are reducing significantly
since 1990 due to the human rights desecration of government and various non-democratic
policies. Further, the country Myanmar is establishing trading partnerships with 50 countries in
all over the world including Asia, China, India and Thailand. Despite of the strong relationships,
the exports are raised minimally and the revenue from the exports is not recorded officially.
According to the estimation of Trade association, in the recent year, the turnover from wood
export has averaged $40 million annually.

Supply Chain Management 28
2.7.1 Competitive advantage
Although the company Myanmar is smaller and less developed in terms of furniture
industry as compared to other countries in Southern Asia but the furniture industry of Myanmar
has number of power. The greater parts of models are completed from teak. The accessibility of
these types of trees has allowed the country to provide 5% of wood material in the supply at the
global level. There are many challenges and obstacles in the sourcing of raw material but the
furniture manufacturers are expecting to reduce the impact of those obstacles. Teak is produced
from the 243,000 hectares of forests which are mostly situated in the middle segments. This type
of wood material is strong as compared to other materials. This material is famous for its
confrontation to rooting, deforming and prevents from the sunlight and heavy rainfall. For
ensuring the sustainability, the government is focused on plantation in the publicly owned forest.
It also ratifies a directive in 2005 which allow the stakeholders to focus on the plantation
process. The government has leased some designated forest areas which are utilized to grow the
trees. Apart from the hardwood, there are various types of woods in the country and it is
expected that they would be available for local manufacturer in the sufficient quantities if the
export would be banned by the government. Further, the strength of furniture industry in
Myanmar is that it producers strong and original equipments along with the manufacturing
capabilities. Manufacturers in furniture industry basically focus on providing the order based on
the specifications of the customers while making new designs. Along with this, Myanmar has
qualified and skilled workers for the production business. According to government data, there is
around 20 million labor force in the country and those people are skilled in various types of
production.
2.7.2 Challenges in Supply chain management
Despite of much strength, the furniture industry has to face various challenges and
obstacles which impact on the progress of companies operating in it. Although the political and
economic situations of Myanmar is improving but there are number if challenges by which the
sector has to deal. One of the challenges for the industry is strict timber policies imposed by the
government. Due to the controls on the supply, sales and distribution of wood in Myanmar,
companies are bounded to buy the wood material by the auctions and requests for tender.
Further, the government of the country prefers to export the wood material outside of the country
rather than providing them to local manufactures. Due to this situation, the suppliers have to

Supply Chain Management 29
achieve the woods from the illegal sources. Further, one more concern in the industry is the lack
of capital among the small suppliers. Banks have set variable interest rates which also crate this
problem. To help those small suppliers, government is taking initiatives with the foreign lenders
and providing loans with the lower interest rates to enhance their business activities. Further,
insufficient power supply is also considered as the key challenge for the furniture industry. The
lack of electricity can hamper the productivity level of the industry and leading to the late
delivery of the product. To deal with this situation, then government has identified some ways to
enhance the domestic energy sources. In current time, the officials are negotiating foreign
investors to develop natural resources like gas and water reserves for the country.
2.7.3 Industry composition
There is no any type of official statistics available in the furniture industry of Myanmar.
It is analyzed that there are around 800 suppliers which are located in the main sourcing hub of
Mandalay and Yangon. In the southern part of the country, Yangon is the biggest commercial
centre and on the other hand, Mandalay is the crucial one in the northern section. Bothe the hubs
have significant populations by which companies can hire more manpower.
The presence of different governments is another important factor which is helpful for the
companies and their manufacturing zones. There is an organization in the country named
Myanmar named Myanmar Timber Enterprise that manages all the sourcing process of woods at
the domestic level and has authority to sale. The agency has its offices in both the places
Mandalay and Yangon. On these production hubs, all types of furniture products are available for
the customers along with the specialization in the specific category. The small companies have
large number of suppliers. They hire less than 20 people and their monthly capacity is not more
than 50 pieces. Along with this, their annual exports are not more than $200,000. Most of the
manufacturing processes are done in-house along with forming and weaving. Manufacturers
basically focus on the low end. Further, midsize companies hire the staff by 20 to 100 full time
workers along with their own factories. They are capable to spend 500 to 1500 pieces. Their
export revenue is estimated between $200, 00 and $1 million per year. Apart from this, there are
few large companies related to furniture manufacturing in Myanmar. They generally hire more
than 100 employees on the permanent job role and operate the business and production process
with the floor area of more than 7,000 square meters. Their expenses capacities are more than

Supply Chain Management 30
1,500 pieces each month and their revenue from export exceeds to $1 million. The manufacturers
characterize this under the midrange and high range.
2.8 Recognition of supply chain factors
For understanding the working process of supply chain, it is necessary to recognize
various factors which affect the working process of supply chain management. Li (2002) and
Quesada and Meneses (2010) have identified those factors with lots of research. There are
following segments which reveal the factors and sub-factors of generic supply chain
management which could impact on the supply chain management activities.
2.8.1 Uncertainty of Environment
The uncertainty of the environment can be described as the issues related to the
environment in the product chain. According to the Ettlie and Reza, there are some unexpected
changes in supply chain due to supplier, competitors, technology and consumers. Yusuf (1995)
argued that the support from the government plays a significant role in the growth and success of
a business. Further, Paulraj and Chen (2007) revealed that the uncertainty in the environment is a
crucial feature while implementing supply chain management plans in the business. The
improved outsourcing actions in the furniture industry have also increased the wakefulness of
supply chain management. The awareness of supply chain management is helpful in increasing
the strong relationship among the organizations in the industry. Based on this factor, there are
three sub-factors which are identified i.e. government support, environment and uncertainty
aspects at the global level.
2.8.1.1 Company environment
This sub-factor is basically co-related to the relationship of the company with its dealers
and stage of the assurance and obligations. The atmosphere of the company is also concerned
with the potential of the company in terms of quality products, delivery on time, level of
competition among the companies and competition in the industry. For responding the demand
of the products in the market, companies consider import as the best option to achieve flexibility
in the business while operating at the global level. Based on the study done by Ambrose et al
(2010), uncertainty always has a negative impact on the performance of the company in the
business. But the negative impact of uncertainty can be minimized by establishing the strategic

Supply Chain Management 31
relationship with the potential suppliers. So, there is the need to implement innovative strategies
by the companies so that they can deal with various uncertainties of the business environment
and supply chain.
2.8.1.2 Support from government
The support from the government can be received to the companies in terms of importing
raw material or goods from the foreign markets or utilizing domestic materials for production
purpose. The study conducted by Elzarka et al (2011) revealed that the government can motivate
and encourage the exporters by enhancing the competitiveness of manufacturing sector in the
global market with the logistics competencies. The high level of international trade to get the
resources makes the business complicated. Those trades include transportation costs, tariffs,
language barriers, exchange rates and government rules and policies.
2.8.1.3 Uncertainty factors at global level
While outsourcing the products and raw material by the companies, it is crucial for the
companies to understand the existing environmental factors in the market i.e. political challenges
in various countries that can be risky for the suppliers, restrict the decision for the investments,
impact on the business decisions and change the business strategies. Further, there can be some
social challenges and uncertainties such as language, environment, religion, communication
barriers and various cultural issues. Along with this, technological barriers can also impact the
process of supply chain functions and planning.
Chapter 3
Research methodology
3.1 Introduction
Basically, the objective of this research is to provide the answers of the identified
question or issue which is important to be cleared according to the given case. Research
methodology is considered as one of the crucial structure to do a deep research by the
investigator. So, it can be said that the research methodology is the support of a particular

Supply Chain Management 32
research which is helpful for the researchers to use their research methods and apply them to do
perfect research.
Based on the theory provided by Panday (2014), it is observed that the framework of
research methodology start from the different individual parts i.e. ontology, philosophy of
research, epistemology, research methodology, and research approach, various sources and
methods. In the research, the structural details i.e. design and nature of the research, research
methods and philosophies, research approaches and data collection will be used as the
framework of the research so that the research can be completed effectively.
Figure 3.1: The framework of Research Methodology
(Source: Pandey, 2014)
Along with this, a particular method will be used for doing the research in a proper way. The
researchers will also focus on the suitable choice for the research paradigm along with the proper
justification in this research.
3.2 Research Ontology
The term ‘research ontology’ is important for the research that will be used to identify the
nature of the reality and study carious things. The basic mean of ontology is to use various
theories and philosophies for the art, science, social science and humanities. Along with this,
various researchers the way for actuality and topics of the researches which is known as
ontological perspective. It can also be implicit that ontological perspective provides a shape to

Supply Chain Management 33
the research design. Basically, there are two types of ontology in research i.e. subjectivism and
objectivism.
The objectivism ontology focuses on the existence of social realities which are different
from the other social factors. Those social realities are depending upon the visible and
measurement factors. So, this type of research can be described as the objectivism research. In
this kind of research, personal interests and understandings of the researchers cannot impact by
the existence of reality. Apart from this, in the subjectivism factor, the existence of reality is
affected by the emotions, feelings and many different social factors. So, this research can be
categorized based on the objectivism of ontology in which researchers will be influenced by the
personal feelings and emotions. Some measurable factors will be using such as true cases and
literature review based on study to complete this research.
3.3 research methodology
In each and every stage, there will be some assumption for completing the research.
Those assumptions are influenced by the research methods and strategies which will be used in
the research process. The research philosophies can be considered as the way to gather the
relevant data, evaluate, analyze and implement the theories based on the given case. Along with
this, the combination of relevant information will be provided to help the researchers to
understand the case scenario. There are three types of philosophies classified by the researchers
i.e. realism, positivism and interpretive.
3.3.1 Positivism
This philosophy can be defined as the combination of the actual data and observable data.
This philosophy can be basically used in those studies where scientific evidences and data are
required such as different statistics and experiments to prove the phenomenon. So, the positivism
philosophy focuses on the relations of natural factors. Basically researchers of positivism
philosophy apply the structured methodology for providing importance and imitation to the
qualified observations.
3.3.2 Realism
This term focuses on the investigation process in the research philosophy and this
philosophy is much similar with the positivism. This term of philosophy is focused on the

Supply Chain Management 34
realities which are independent of the mind. Realism can be used to develop the knowledge and
understanding towards the scientific approach. There are two types of realism which are
identified in the research.
3.3.3 Interpretivism
This term of philosophy is very important for the research process in order to understand
the role of the human as the social actors. In the term interpretivism, it is possible to create
various assumptions o the reality of understandings and knowledge while analyzing in different
point of views. So, it is important for all the researchers to focus on concerned standpoints while
adopting interpretivism philosophy in the research. So, there are various researchers who are
focusing on the interpretivism perspective in the area of business, marketing, organizational
behavior, management and supply chain management.
3.3.4 Selection and justification of Research Philosophy
Based on the previous classifications of the philosophies in the research process, it is
assumed that this research will be done on the positivism philosophy. This research is focused on
identifying the issues of supply chain in the furniture manufacturing in Myanmar along with the
utilization of human resources within the company. This research topic is not affected by the
various social factors. It is also not affected by the personal perceptions or feelings of the
researchers. Further, the issues related to human resources along with the feasible
recommendations will also be identified by the use of measurements, questionnaire and theories.
3.4 Research Approach
After selecting the research viewpoints, the research tactic will be discussed in the
research based on the research structure. Basically, the research approach will be selected by the
research design based on the gathered data in which theories are needed to consider effectively.
There are types of research approach i.e. inductive and deductive research approach.
Figure 3.2: Types of Research Approach

Supply Chain Management 35
(Source: Pasha, 2015)
3.4.1 Deductive type research approach
Under the deductive research approach, researchers basically investigate the actual
problem in the organization and develop various models and theories. They generally focus on
finding the best possible answer of the research question by evaluating and using literature
reviews of the other researchers. In the deductive type of research approach, researchers use
applied theories and models and check and observe them by collecting the data effectively. After
this process, the results of the alternative method can be analyzed and appropriate
recommendations can also be given based on all the theories to complete the objectives of the
research.
3.4.2 Inductive type research approach
This research approach will basically start with the various observations by the data
collection from the famous organization. After the completion of data gathering and various
measurements, flows and patterns will be decided with the suitable topic. At the final stage,
research will provide some theories in the conclusion part after examining all the important parts.
Inductive research approach is based on the specific examinations to derive the theories.
3.4.3 Selection and justification
In this research, reductive research approach will be used based on the above discussion
on both the two research approaches. In this research, the supply chain issues and problems in
the furniture manufacturing industry of Myanmar will be initially reviewed. After that,
researchers will gather the important data and analyze overall case. Based on various literature

Supply Chain Management 36
reviews, the process of human resource management will be analyzed effectively and specific
hypothesis will be developed. The selected hypothesis will be tested in some chosen businesses.
3.5 Research Design
Based on the study done by Saunders et al (2012), the research design is basically a form
of plan by which researchers will identify the answers of the given questions. The design of the
research is crucial to focus on all the important decisions while designing the research. There is
the requirement for the researchers to identify the key strategies of the research for achieving the
research objectives in the overall research design.
Generally, there are three types of research designs which can be used by researchers in
the research process. Research designs include quantitative, qualitative and mixed methods in
which both qualitative as well as quantitative methods can be used. There is the key difference
between quantitative and qualitative research is that qualitative research does not focus on the
numeric data and on the other hand, quantitative research relies on the numeric data collected by
the organization. Further, most of the researchers focus on the mixed methods and provide the
advantages of mixed method over the single method. There are both strong and weak points in
each method that the researchers need to analyze and discuss.
3.5.1 Qualitative Research Design
Qualitative research design is considered as the suitable research design in which the
researchers understand the research topic clearly based on the theories and models rather than
focusing on the numeric data. This research design basically depends upon the available sources
of information in the designated organization. This type of research provides the deep
understanding of the context of research. According to Lincoln and Denzin (2005), the
interpretive philosophy would be included in the qualitative research design. Along with this, the
collection of data will not be even in the qualitative research. So, the researchers would include
study, fieldwork and observation in the research process to identify the result. Yin (2009) argued
that many quantitative researchers focus on the deductive approach along with the existing
theory in the qualitative process.

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3.5.2 Quantitative Research Design
In the quantitative research design, the technique of data collection will be performed in
the research process as the data analysis procedures will be done based on the numeric data
collections such as questionnaire and statics. The quantitative research design is focused on
analyzing the relationship between measurable and numeric data. Further, this type of research
design focuses on various trial methods and effective instances in the research process.
In the quantitative research design, the conclusion will be based on the collection of
sample sizes collected by the target customers. In the quantitative analysis, the result will be
judged based on the non-textual elements i.e. tables, figures and charts to support the researchers
to present the data effectively. According to USCL (2016), the researchers need to make sure
that those elements are effective to summarize overall description of the research and clarify the
overall conclusions.
3.5.3 Mixed Method research design
The mixed method research design includes the amalgamation of both the data collection
method i.e. qualitative and quantitative method and evaluation of the process. When the
researchers need to deals with the limitations of the research as what kind of research methods
would be used to deeply understand the context and case.
In the mixed method research, design starts with the study and survey of the extensive
board to provide support to the findings based on the population sample size. After that, by using
the details of qualitative methods of data collection, the scope of the research will be narrowed
down along with all the parties included in the target organization. This will be helpful to prepare
the set of results and answers of the research question.
3.5.4 Selection and justification
The research will implement mixed-method of research design by combining the
quantitative and qualitative research method. Both the research methods are important to achieve
the important data from the organization. The collection of numerical data will be achieved by
the target audiences by the questionnaire distribution. Along with this, the researchers will also
conduct some interviews with the managing directors, operation manager, supply chain
managers to get relevant information to meet the objectives of the research. Based on the

Supply Chain Management 38
principles of mixed method of research design, it is crucial that the results and findings will have
deep understanding of the organization.
3.6 Research Strategy
In the research process, the researcher will use various types of research strategies to
reach the research targets. Research strategy is considered as the action plan to achieve the set
goals and objectives. To find the answers of the research questions, the researchers should focus
on more than one strategy. There are many researchers who are using some common strategies in
the research process. Most of the research strategies are as follows:
 Survey,
 Experiments,
 Case study,
 Archival research,
 Ethnography,
 Grounded theory,
 Action research, and
 Description query
3.6.1 Research Strategies justification and selection
In the part of research strategies, the research focus on applying action and survey
research strategies for achieving the goals and objectives related to research. This is the most
popular and famous research strategy used by most of the researchers in the business and
management companies. Along with this, questionnaire method will also be used because it will
helpful in collecting large number of data from the target audiences. Apart from this, the
researchers will use survey questionnaire to collect the quantitative data from the target
audiences.
The term action research will be used to resolve the various issues and problems in the
organization. In the research process, the researchers will try to enhance the productivity of the
furniture manufacturing industries by using the capabilities of the people in the business. The
researchers will also try to improve the supply chain activities by using supply chain
management in the manufacturing companies in Myanmar.

Supply Chain Management 39
3.7 Time Horizon
According to Saunders et al (2016), there is the need of timeframe in the research
process. There are two types of time sphere basically i.e. longitudinal studies and Cross-sectional
studies.
3.7.1 Cross-Sectional study
This study means a typical research which comprises the specific facts throughout the
small and stringent time and this can be defined as the cross-cultural study. Most of the survey
tactics in the cross-sectional studies include the questionnaire which can be used to collect the
data in the short time of period. Along with this, this study is based on the interviews which can
be completed within short time period.
3.7.2 Longitudinal Studies
The key objective of this study is to focus on the study to change and improve in the time
frame. While comparing the time frame of cross-sectional and longitudinal studies, longitudinal
is longer as compared to the cross-sectional. According to Gray (2014), there are several
observations are done and support longitudinal studies.
3.7.3 Selection and justification of Time Horizon
This research can be categorized in the cross-cultural study as this time frame is helpful
in collecting extensive amount of data in various months. Along with this, in this study, there
will be less research in the respond to target audience along with the reliable and valid sample
size.
3.8 Data collection method
There are two types of data collection method which can be used by the researchers while
collecting the data in research. They include primary research method and secondary research
method. In the primary research method, all the data is collected based on the primary research
for completing the research objectives. Further, in the secondary research, the research will be
done based on the available data which is previously gathered by other researchers.
In the prime research method, there will be combination of questionnaire, interviews, and
all the important information of the target audiences. On the other hand, in the secondary data

Supply Chain Management 40
collection method, there will be the combination of available researches, various books,
rationally known journals, dissertations and case studies done by other researchers.
3.8.1 Selection and justification of data collection
In this research, the researchers will use primary data collection method. Based on the
topic of the research i.e. supply chain management in the furniture industries, the data collected
by primary method would be more dependable and suitable as compared to the secondary data
collection method. Along with this, the researchers will focus on conducting semi-structured
interviews and questionnaire so that all the relevant information can be collected in the proper
manner.
Interviews: According to the evidences of the conversations done with the employees who have
important positions and the interviews taken by the top managements like supply chain
managers, managing directors and operations managers, it can be said that the data would be
gathered in the proper manner. It will also be helpful to manage various operational processes in
the manufacturing industries in Myanmar. So, the researchers will conduct standard interviews
and gather all the important data buy taking interviews of the potential audiences.
Target audiences: The researcher will focus on the on those people who are related with the
particular problem or issues in this research. Along with this, researchers will also conduct the
research on performance and flows in the business operations. So, the target audience of this
research are Supply chain managers, managing directors, supply chain staff, operations managers
production workers and operations supervisors.
Questionnaires: The researchers will also focus on the workers and staff who are operating in
the process team in the manufacturing industries. The researchers will spend around 14 days to
arrange the questionnaire to make sure and cover up all the areas related to research objectives.
After that the researchers will hand out all the questionnaires among the people within few
weeks.
3.9 Size of population in research
The key objective of the research paper is to perform the empirical and hypothetical study
to support the fact that the supply chain actions is effective for enhancing organizational
performance and satisfaction level of the customers and there is the need of effective supply

Supply Chain Management 41
chain management in the furniture industry of Myanmar. Based on the time restriction in the
research, researchers has chosen local manufacturing industry which is operating in Mandalay,
Myanmar.
The populace volume of the researchers in the furniture industry is 100 including staffs,
directors and manufacture workers. So, researchers would be able to achieve sufficient
information collection based on the chosen people of the local furniture development industry in
Myanmar.
3.10 Methods of sampling
3.10.1 Random Sampling
In the process of questionnaire allocation, the selected audience will be approached from
the selected companies to give unbiased findings by using of reduced tendency of data gathering.
3.10.2 Sample Size
There are various numbers of managers, workers and staffs in the furniture industry of
Myanmar so, it would be very cost consuming and would take time to converse with them to get
effective feedbacks of the questionnaire. So, the researchers will focus on the random selection
of employees and select 120 employees as the contributors for the research and expect them as
the 50% of total audience.
3.10.3 Purposive sampling
The researchers will select organizing directors as the company delegates and operation
manager and supply chain manager to conduct the interviews for getting feedback of the
interview questions. The researcher will describe all the particulars of the present conditions in
the supply chain and personnel problems in the manufacturing industry of Myanmar.
3.11 Code of Ethics
Based on the principles of code of morals, the research will be finished by the data
collection techniques such as interviews and questionnaire in the famous manufacturing industry.
All the members in the target people will be used to fill up the forms in which the researchers
will be allowed for the data collection. The researchers will be bounded by the ethical code
privacy of Birmingham City University. Along with this, the researchers would keep the answers

Supply Chain Management 42
of the participants as the confidential in order to admiration the solitude of the audiences. So,
there will be confidentiality of the data that it will not be shared to anyone.
Chapter 4
Results and discussion
4.1 Introduction
The answers and all the responses of all the respondents will be explained in this section.
In the research, the information is gathered by utilizing organized meetings, top to bottom
meetings and overview surveys. The examination applicant connected a blended strategy for the
information accumulation. At the previous section, the examination hopeful had been displayed
the techniques, for example, meetings and overview survey plans for securing the essential
information. The polls were sorted out by five scales going from five to one; where 5 speaks to
Strongly Agree, 4 Agree, 3 Neutral, 2 Disagree, and 1 Strongly Disagree. In this section, there
are additionally broke down the gathered information for the reason of supporting the
examination destinations.
This section focuses on four components i.e. demographic profile of the audiences,
comparison of collected data and objectives, discussion of survey question and discussion of
interview questions. This research area is focused on the company Shining Star Co. Ltd which is
operating in the furniture industry.
4.2 Demographic profile of the respondents and respond rate
There are around 220 employees in the company Shining Star Co. Ltd and 120 sampling
respondents are selected for the research from the sample random method. Amongst them, 100
respondents came back with the answers of the questionnaire.
4.2.1 Profile of respondents
The demographic profiles of the respondents are described in the given figure among the
sampling respondents.

Supply Chain Management 43
Academic criterion level of the respondents: 4 respondents (14%) of collected example people
were just at the Basic Education Primary School; 29 respondents (29%) were at the level of
Basic Education of Middle School, and 26 respondents (26%) were at the level of Basic
Education High School. 11 respondents (11%) had approved the listing exam and 4 respondents
Academic criterion of Respondents Frequency Percent (%)
Basic Education Primary School Level 14 14
Basic Education Middle School Level 29 29
Basic Education High School Level 26 26
Basic Education High School Passed 11 11
College Diploma 4 4
First Degree 12 12
Second Degree and Above 4 4
Total ** Expression
is faulty **
** Expression is
faulty **
Job Role of Respondents Frequency Percent (%)
Managing Director 1 1
General Manager 1 1
Manager 5 5
Administrator 9 9
Other/ Sales, Procurement, Construction, Marketing, Finance,
HR
84 84
Total 100 100
Work Knowledge of Respondents Frequency Percent (%)
Under 1 year 44 44
1-5 year 37 37
5-10 year 17 17
Over 10 year 2 2
Total ** Expression
is faulty **
** Expression is
faulty **

Supply Chain Management 44
(4%) had got just Collage Diploma. 12 respondents (12%) have first degrees (B. A/B.Sc.
Degree), and 4 respondents (4%) have second Degree (M.Sc. /M.A. Degree) or more. From the
instructive foundation status of respondents, 16 respondents (16%) are first and second degree
owner as indicated by the react information gathered, they gave applicable and dependable
enlightening information necessary for the examination and they agree to the reactions of the
polls.
Job title of respondents: From the aggregate respondents, 44 respondents (44%) fall in a work
involvement of less than 1 years, 37 respondents (37%) fall in a work encounter level of 1-5
years, 17 respondents (17%) are inside 5-10 years‟ encounter and the rest 2 respondents (2%) are
at a work understanding of over 10 years. In like manner, it is recommended that the larger part
of respondents, 81 respondents (81%) fall in a work understanding beneath five years. This can
be closed the way that the majority of the respondents have little learning and experience about
their organization, be that as it may, they could answer well the review surveys, so they are
outstanding the act of supply change administration, the topic of the investigation.
4.2.2 Survey questionnaire response rate
Questionnaires of were distributed to 120 sample people in the company Shining Star.
100 respondents came back with the answers out of 120 questionnaires. The enduring
questionnaires were not gathered because of the lack of information. Some of the respondents
were not present or on leave so they could not complete the questionnaire on time. The answer
rate if 83.33% and data are applicable and dependable for the thesis. The given table describes
the response rate from all the respondents.
Job Position Population Sample Size Respond Response
Rates
Managing Director 1 1 1 100%
General Manager 1 1 1 100%
Manager 6 6 5 83.33%
Supervisor 12 12 9 75%
Others 200 100 84 84%
Total 220 120 100 83.33%

Supply Chain Management 45
At the position of managers, survey was distributed among 6 managers but one of the managers
was not able to complete the questionnaire. Further, 3 managers could not also complete the
questionnaire because of lack of time. 100 questionnaires were distributed to other staffs in
which 84 questionnaires were returned along with the 84% response rate. So, the total response
rate is 83.33%.
4.3 Comparison of collected data and objectives
Objective 1: To understand the significant role of supply chain management and to get effective
strategy of supply chain for the furniture company.
The questions 1, 2,3,4,5 in the survey and question 1 in the interview were related to the
objective 1. Those questions were focused to analyze the importance of the supply chain
management in the company. Along with this, they were also focused on analyzing the supply
chain system which is currently used in the Shining Star Company.
Objective 2: To enhance the customer services and use the resources and capabilities efficiently
to achieve the competitive advantage in the furniture industry.
Further, question 6, 7, 8, 9, and 10 and question 2, 3 in the interview were focused to
accomplish the objective 2. These questions were used to analyze the competitive advantages for
the company Shining Star in the supply chain system.
Objective 3: To enhance the performance of the organization and satisfaction level of customers
by providing quality products and services to the customers.
Questions 11, 12, 13, 14, and 15 in survey and questions 4, 5 and 6 in the interview were
focused on understanding the viewpoints of the company’s personnel in such way so that the
satisfaction level of the customers and organizational performance can be enhanced. These
questions will cover objective 3 because it is important to identify the organizational
performance and customer satisfaction.

Supply Chain Management 46
4.4 Survey questionnaire
The survey questionnaire will include three key sections and every section has five
questions. Every question is based on the research objectives significantly.
4.4.1 Section 1: Result
Survey question 1
Do u listen about the supply chain management and is there any policy related to supply chain in
your company?
Figure (4.1): Data analysis Chart of Survey
The objective of this question is to identify the process of supply chain management
implemented by the company in the work place. Along with this, the question is also focused
making the employees aware about the supply chain management in the company. Based on the
results, it is analyzed that there is the supply chain policy in the company. Consequently, it is
sure that the organization has the inventory network administration arrangement and all the
faculty of the organization have the information of store network administration. Along these

Supply Chain Management 47
lines, each organization should actualize store network administration arrangement for the
hierarchical execution and client fulfillments.
Moreover, in view of the outcomes, it appears that the representatives comprehend the
significance of the production network administration strategy. For the most part, the store
network administration arrangement in a business domain goes for the conviction of all supply
sources in the creation procedure. At the point when an organization actualizes appropriate store
network administration approach in the work environment, it can in a roundabout way diminish
deferrals, blunders, and expenses.
Survey question 2
If the answer of the question 1 is ‘Yes’, please give rating to the efficiency of the policies
of supply chain in the company.
Figure 4.2: Data analysis Chart
This inquiry was intended to investigate the impression of the representative on the
present store network administration strategy. What's more, by making this inquiry, the analyst
can motivate dreams to upgrade the store network administration strategy if there is no sufficient
approach for the process of the organization. By the outcomes, 85 percent of the member (85

Supply Chain Management 48
respondents) felt that the present arrangements were 100% successful when just 15 percent (15
respondents) chose 75%. Contingent upon these outcomes, it can be expected that present
strategies are adequate, yet there are still a few necessities in this area. In spite of the fact that the
outcomes are not in an immaculate condition, they are worthy.
Based on the results, it is observed that 15% respondents think that 75% of policies of
supply chain are effective as they think that they do not have full access of the policies and they
have insufficient use of the resources. Apart from this, researchers mentioned that policies of
supply chain in the manufacturing process focus on the effective performance of the organization
and the customer satisfaction. The company is accountable for the effective supply chain
processes. The process should comprise the information of the employees to assess the current
policy of supply chain and their use effectively. The respondents are outstanding the way that
powerful inventory network administration needs synchronous upgrades in both client benefit
levels and the interior working productivity of the organizations in the store network.
Henceforth, the consequences of this inquiry plainly concur with the writing.
Survey Question 3
The company has constant growth agendas including its main suppliers
Figure 4.3: Data analysis Chart

Supply Chain Management 49
The question was focused in searching the selection of the employees based on the fact that the
growth programs are used including key suppliers in the supply chain policies. By asking this
question, researchers can focus on the goals for enhancing supply chain policy if there is the lack
of key suppliers. According to the result, it is analyzed that 40% of audiences are agreed with the
coterminous programs of development of supply chain which indicate that key suppliers of the
company are included. Based on these results, it is analyzed that development programs include
key suppliers to execute supply chain policy. The result is valid and reliable and it is accepted.
The organization works with different sorts of providers in various ways. It is vital that
the association with providers ought to make certain to fulfill their organization needs. This is for
the most part to investigate the antagonistic relationship rely upon cost amongst purchaser and
provider. The association with providers ought not to lean toward for cost decrease in the
inventory network. It might be valuable to organize the provider, to create organizations and
cooperation that will profit the two accomplices. This could be founded on generation,
individual, and additionally emblematic systems administration, that will turn on key
organizations together (Hines, 2004), permitting the data sharing, chance sharing, acquiring
common advantages and planning designs, allowing the change of the production network.
Quickly, the consequences of this inquiry obviously concur with the writing.
Survey Question 4:
The supply chain members of the company clearly define their functions and farm duties
with each other.
Figure 4.4: Data analysis Chart

Supply Chain Management 50
This question is focused on finding the perception of the employees related to their roles and
responsibilities among the supply chain members of the company. Based on this question,
researchers will be able to identify that there is the responsibility and simplicity in the policy of
supply chain in the company. According to the findings, 50% of respondents said that are agreed
with this question. Based on the result, it is observed that roles and responsibilities among the
members are acceptable.
Survey question 5
All the employees of the company know about the supply chain members who are
accountable for the activities of the supply chain.
Figure 4.5: Data analysis Chart

Supply Chain Management 51
This question was prepared to evaluate and examine the responsibility of the members in the
supply chain activity within the company. Based on this question, researchers are able to find out
that there are some roles and responsibilities of the supply chain members in the organization.
Result reveals that 75% of the participants are strongly agreed with this fact. Based on this result,
it is analyzed that company has different job roles and responsibilities of every employee.
Survey question 6
The company is focused on measuring and evaluating the customer satisfaction.
Figure 4.6: Data analysis Chart

Supply Chain Management 52
This inquiry was intended to explore whether the organization much of the time measures
and assesses consumer loyalty as one production network administration approach. For this
inquiry, it can be realized that the esteem set by the organization on consumer loyalty. As
indicated by the outcomes, 80 percent of the member (80 respondents) are firmly concurred the
inquiry and 20 percent (20 respondents) are concurred. Contingent upon these outcomes, it can
be accepted that the organization routinely measures and assesses consumer loyalty as one of the
inventory network strategy apparatuses.
Survey question 7
The company is focused on the interaction with the customers to set the responsiveness,
reliability and various standards.
Figure 4.7: Data analysis Chart

Supply Chain Management 53
This question was based on the communication of the firm with its customers for setting
dependability, responsiveness and various measures. Based on this result, it is observed that
100% are agreed strongly with this question. Relying on this result, it is observed that company
has set the strong relationships with the consumers as the supply chain policy tool.
Survey question 8
The company analyzes the significance of the relationships with the customers at the regular
basis.
Figure 4.8: Data analysis Chart

Supply Chain Management 54
This inquiry was composed to solicit the observation from the worker on the significance
of client relations as a production network administration strategy. By doing as such with this
inquiry, the scientist can investigate that there is general assessment about the states of
associations with clients as the inventory network administration arrangement. As per the
outcomes, 100 percent of the member (every one of the 100 respondents) are unequivocally
concurred the inquiry. Contingent upon these outcomes, it is certain that the organization
understand the significance of its association with its clients.
According to Hoek (1999), consumers are seeking for the better services, choices, fast
deliver and higher quality. The relationship with the potential consumers is now a big strategic
issue for the companies in current environment. So, the answer of this question is strongly agreed
with this literature.
Survey question 9
The firm keeps its trading partners informed about all the events and important changes which
may impact on the business operations.
Figure 4.9: Data analysis Chart

Supply Chain Management 55
This question is focused on identifying the viewpoints of the employees regarding the
exchange of the information between the partners and the company under the supply chain
policy. Based on this question, the researchers will be able to understand that the company has
trustworthy partners. Along with this, 75% of the respondents are disagreed on the question, 15%
are agreed and 10% are natural. So, based on these answers, it can be analyzed that there are less
trusty partners but there 15% are agreed that there can be more trustworthy and reliable partners
in the business. The supply chain is helpful in sharing the information where the suppliers are
incorporated with the retailers. 15% agreed people are agreed that there is the existence of the
information interchange system between the suppliers and company. This is related to the high
quality products provided by the company. The information exchange system is focused on
allowing the placement of orders and confirmation of them. The collected data is related to the
delivery dates, and availability of models, colors and stock etc. questions related to this issue will
be conducted over the phone.
Survey Question 10
The products and services of the business organization are stored in the distribution channels that
are the warehouses and the same are close to the consumers in the system of supply chain.

Supply Chain Management 56
Figure 4.10 Data analysis Chart of survey question 10
(Source: Survey Questionnaire, 2017)
The above question has been presented for knowing the fact that the organization’s products are
stored at the appropriate warehouses which are located near to the consumers. By analyzing this
question the researcher will be able to explore and enable themselves with the information that
the company has appropriate showrooms and warehouses for storing the products to be sold.
After observing the results it has been noticed that there is 100% positive reply for the questions
asked by the audience. And depending on these results it has been noted that the company have
appropriate warehousing and distribution centers.

Supply Chain Management 57
4.5.3 Section 3: Result
Survey Question 11
Firms in supply chain of the organization develop regular contacts with each other.
Figure 4.11Data analysis Chart of survey question 11
(Source: Survey Questionnaire, 2017)
On the basis of the survey it has been observed that 35% of the audience showed positive replies
and rest of the respondents showed strong positivity in replies and which stated that the the
system of supply chain management aids in development of frequent contacts. On the basis of
the survey it has been observed that the employees are well aware about the significance of
communication in the supply chain management and developing the contacts with each other. As
already presented in the above literature the supply chain can be proven more effective and
efficient by making appropriate communication tools in the system.
Survey Question 12
The business entity considers its supply chain system beyond its consumers and suppliers.

Supply Chain Management 58
Figure 4.12 Data analysis Chart of survey question 12
(Source: Survey Questionnaire, 2017)
60% of the audience showed strong positive replies towards the questions and 40% agreed
normally that the supply chain system of the entity is beyond the consumers and suppliers. On
the basis outcomes it has been observed that the workforce realized the significance and benefits
of the supply chain management.
Survey Question 13
The organization has no potential to respond to and cope-up within the deadlines of poor
production performance such as machine breakdown.

Supply Chain Management 59
Figure 4.13 Data analysis Chart of survey question 14
(Source: Survey Questionnaire, 2017)
100% of the audience strongly showed a disagreement towards the statement that the business
firm does not have ability to respond to and accommodate the duration of low supplier
performance. And this proves that the business organization has the ability to reply to and
accommodate in the duration of low supplier productivity and also have a strong and broad
network of vendors.
Survey Question 14
The company has no aptitude to take action to and put up in the era of weak supplier
performance.

Supply Chain Management 60
Figure 4.14 Data analysis Chart of survey question 14
(Source: Survey Questionnaire, 2017)
100% of the respondents firmly differ that the organization has not the capacity to react to and
oblige the times of poor provider execution. This implies the organization can react to and oblige
the times of poor provider execution. It has the solid and wide system of providers.
Survey Question 15
The organization has capability to reply to and billet new goods, new market place or new rivals.

Supply Chain Management 61
Figure 4.15Data analysis Chart of survey question 15
(Source: Survey Questionnaire, 2017)
On the basis of the survey tit has been observed that there is 100% a strong positivity in the
replies of the audience that the firm can take action to and contain new goods, new markets or
new rivals. On the basis of the outcomes it has been noted that the employees have faith in the
organization’s capabilities and they are impressed on the same.
Developing a superior organizational performance and high level of customer satisfaction can be
done by the implementation of the supply chain management and also by advancing the current
supply chain system. Moreover the workforce should have proper awareness regarding the
significance of the supply chain system, in case of any of the business organizations. This system
also aids in minimizing the errors in production process.
4.6 Interviews
The primary data was collected by the researchers by making use of the structured interviews so
as to create investigation and scrutinizing the current supply chain management system adopted
by the entity. Managing Director, General Manager, and Logistic Manager (Supply Chain In-
charge) were the selected audience for asking the questions.

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Interview Question 1
Provide an explanation over the present operational supply chain system approaches that are
implemented by Shining Star?
On the behalf of all the respondents the Managing Director answered that there is a supply chain
management system implemented in Shining Star which have actions in five areas:
1. Production - Products which are in demand by the market; Quantity of goods and Time of
production. This practice involves the creation of master manufacturing timetableswhich
involves the capacity of the manufacturing units, balancing of workload, quality control, and
maintenance of tools and equipment.
2. Inventory— Stock of inventory should be done at each level in the process of supply chain;
Segmentation should be done in the quantity of inventory such as raw materials, semi-finished,
or finished goods. Prime objective of maintaining inventory is meeting the buffer against any
uncertainty in the supply chain system. Holding inventory is proven expensive, and hence the
optimal inventory levels should be recorded.
3. Location–Location of manufacturing units and inventory storage; Cost efficient locations and
for warehouses for storing inventory; Making use of existing facilities or development of new
ones. After setting the decisions the possible tracks should be determined which are made
available for the product to reach till the end consumers.
4. Transportation— Delivery of inventory from one location to another one; Air transport and
road transport are considered as one of the fast and reliable mediums of delivery but are also
expensive. Sea transporting is less expensive but is more time consuming and is more risky as
compared to road and air.
5. Information - Data collection and exchange of information. Timely and relevant data develops
the inductee of desirable coordination and more acceptable decision making.
The relevant and accurate data will enable the entity to make effectual decisions concerning what
to produce and quantity, location of the warehouse and best transport mediums. The existing
outfitted supply chain management approaches are effectiveness and competence oriented.

Supply Chain Management 63
Discussion and analysis of interview question 1
On the basis of the answer, the firm previously has made implementation of operational supply
chain management approaches in Shining Star and the (MD) Managing Director is well aware
about the significance of supply chain management. It is of very much significance to create
operational supply chain management system in each and every business firm. Furthermore, by
the literature review it has been observed that effective approaches of operational supply chain
management serves optimistic effect on workforce as well as industry.
Interview Question 2
Do company have individual funds and budget for technology advance for the supply chain?
Figure 4.16 Data analysis Chart of Interview Question 2
(Source: Survey Questionnaire, 2017)
The audience responded that there are no individual funds and budget maintained for technology
growth of the supply chain system in Shining Star.
Discussion and analysis of interview question 2

Supply Chain Management 64
As indicated by the appropriate response, the organization has not particular innovation
advancement plans and the expenses for production network administration are caused under the
organization cost title. It can be expected that the organization has not support of innovation
improvement programs instead of physical framework.
Question 3
Are cost data the most significant component in supply chain system?
Figure 4.17 Data analysis Chart of Interview Question 3
(Source: Interview Questionnaires, 2017)
Answers by the respondents isthat cost data are not the most significant element in supply chain
system in Shining Star.
Discussion and analysis of interview question 3
All the respondents demonstrated that exclusive amongst the low term cost-cutting and cost
information were viewed as critical. The checking of real levels of stock holding, managing
transportation expenses, stock turns and harmed and staged - out stock are viewed as the mainly
essential capacity of the coordination’s divisions. As per the appropriate response, the
organization has numerous essential factors in store network administration: advancement, cost,
administration and quality. These are essential to get great hierarchical execution and abnormal

Supply Chain Management 65
state of consumer loyalty. In this manner, the cost information alone can't be the most imperative
factor.
Interview Question 4
Is the integration of supply chain strategy is done with the overall group strategy?
Figure 4.18Data analysis Chart of Interview Question 4
(Source: Interview Questionnaires, 2017)
The audience answered that there is integration between the supply chain strategy and the overall
group strategy.
Discussion and analysis of interview question 4
As indicated by the appropriate response, the organization has a coordinated methodology of
store network with the general gathering technique. In adjusting store network with the general
business procedure, there are three stages to take after. The initial step is to know and
comprehend the business sectors that the organization works. The second step is to distinguish
the qualities or center abilities of the organization and the part the organization can or could play
in serving its business sectors. The last advance is to build up the required store network
capacities to help the part of the organization. Store network procedure is presently observed as a

Supply Chain Management 66
feature of the association's general methodology. The respondents did not have a reasonable
perspective of independent inventory network methodologies and saw production network
administration as an integral part of day by day operations.
Question 5
Is a specific individual selected at a high level to oversee supply chain system?
Figure 4.19 Data analysis Chart of Interview Question 5
(Source: Interview Questionnaire, 2017)
The audience responded that there is appointment of a specific person at a high level to oversee
supply chain system.
Discussion and analysis of interview question 5
As per the appropriate response, the organization has designated the creation administrator to
administer inventory network administration approaches and hones in Shining Star. Every one of
the respondents showed that a particular individual is dependable at the most elevated amount for
production network administration. Particular assignments contrast from coordination’s chief to
acquirement and inventory network administrators.
Interview Question 6
Are supply chain relationshipsplaya crucial role in attaining the firm’s targets?

Supply Chain Management 67
Figure 4.20 Data analysis Chart of Interview Question 6
(Source: Interview Questionnaire, 2017)
As indicated by the appropriate response, the organization has great connections in its store
network with all accomplices. The coordination and joining of exercises with providers and
comprehension of client's needs brings about more prominent advantages for organizations. As
per Fraza (2000), production network administration is straightforwardly identified with
relationship administration, which incorporates providers and clients. Vital provider associations
and client connections are principle segments in the production network administration hones (Li
et. al., 2005), prompting data sharing, which is one of the five columns in accomplishing a strong
store network relationship. Two sub-factors are considered in the model association with
providers and clients.
The associations met concurred that the present production network models being used were
created with the development of the furniture retail industry in Myanmar. A few changes have
been made in the course of recent years however the fundamental inventory network has
continued as before since beginning. No association has received a store network administration
demonstrate as portrayed before in this examination. The assignment of assets to explicitly build
up this piece of the association isn't empowered in any of the associations. The store network is

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viewed as a major aspect of the general system. Any preferences that may happen because of
advancements will just profit the production network if the stores in the furniture chain can
demonstrate an immediate advantage.
Chapter 5
Conclusion and recommendations
Conclusion
In this exposition, the specialist expects to stretch how the organization can finish and in
addition upgrade the effectiveness in assembling of furniture in Myanmar by using inventory
network administration.
5.1 Findings
This research shows that the company Shining Star Co. Ltd adopts the practices of supply chain
policy and the employees have the knowledge of supply chain management. The employees have
understanding of the significance of the supply chain management but they assume that the
policies of supply chain are not fully provided to them. The company has adopted the
improvement programs including the key suppliers. Along with this, it also includes risk sharing
information sharing, coordinating plans and achieving mutual benefits and improvements of
supply chains. The members of supply chains have their roles and responsibilities clearly. All of
the employees in the company know the members who are responsible for the supply chain
practices. Further, company has provided different job responsibilities for each and every
employee. Apart from focusing on the suppliers, the company also evaluates and measures the
level of customer satisfaction. Company also communicates with the customers to set the
responsiveness, reliability and other standards. Company is doing evaluation on the regular basis
about the relationships with the customers in the supply chain policy. To share the information, it
can be analyzed that there are less trusty partners but there 15% are agreed that there can be more
trustworthy and reliable partners in the business. The information exchange system is focused on
allowing the placement of orders and confirmation of them. The collected data is related to the

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delivery dates, and availability of models, colors and stock etc. questions related to this issue will
be conducted over the phone.
The organization has the appropriate and enough conveyance focuses. The workers are
notable the significance of correspondence, visit reaching with each other in production network
administration. Firms in production network of the organization build up more incessant contact
with each other. The organization covers its production network past its clients/providers. The
organization can react to and suit in the times of poor assembling execution, for example,
machine breakdown as its appropriate store network. The organization has likewise the capacity
to react to and oblige in the times of poor provider execution. It has the solid and wide system of
providers. What's more, the organization has capacity to react to and oblige new items, new
markets or new contenders. The workers are sure about the organization's capacities and they are
excessively urged it.
In the company Shining Stars, managing director obviously comprehends the estimation
of production network administration. In any case, the organization has not particular innovation
improvement programs and the expenses for store network administration are acquired under the
organization cost title. The organization has not support of innovation improvement programs
instead of manual framework. The cost information is not the most vital factor in production
network administration in the supply chain process. The organization has numerous vital factors
in production network administration: development, cost, administration and quality. These are
urgent to get great hierarchical execution and abnormal state of consumer loyalty. Accordingly,
the cost information alone can't be the most essential factor. Production network system is right
now observed as a component of the association's general methodology.
The production network system is incorporated with the general gathering procedure. The
organization has designated the creation administrator to supervise store network administration
arrangements and practices in Shining Star. Every one of the respondents showed that a
particular individual is dependable at the most elevated amount for production network
administration. Particular assignments vary from coordination administrator to obtainment and
store network managers. The organization has great connections in its store network with all
accomplices. The coordination and combination of exercises with providers and comprehension
of client's needs brings about more prominent advantages for the organization.

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5.2 Limitations of the study
There are some limitations of this dissertation while conducting the study. Initially,
because of the lack of the time in the data-collection method, this study cannot be able analyze
the execution of the supply chain framework in the furniture manufacturing companies which
focus on the performance improvements and customer satisfaction level of the companies while
implanting the framework.
Further, the study will take long time to gather information from the potential audiences.
This limitation is related to the unavailability of participation by some respondents while
answering the questionnaire survey i.e. customers, suppliers, and various partners in the supply
chain. In terms of survey questionnaire and interviews, the researchers conducted an in-depth
interview but they could not be able to add a particular section for the interview due to the lack
of time. The study includes the self-administered survey so; it deals with the issues of non-
responses bias. Further, the researchers gathered ample amount of data from the quantitative and
qualitative method from the respondents. For developing proper communication in the data
collection sections, the researchers deleted some interview and questionnaire questions and
combination of some of them. At last, the participants and the case organizations are related to
one company and this framework is basically applicable to furniture industry of Myanmar rather
than any other industry. So, this study could have some value to examine the policy of supply
chain management practices in the furniture industry.
Chapter 6
Recommendations
6.1 Needs for future research
The research should not be done based on only one company. The members of the supply
chain should focus on the policies and practices and to achieve detailed information and data. In
such area, the practices of supply chain management should focus to deal with various situations
which can enhance the customer satisfaction level along with the organizational performance.

Supply Chain Management 71
6.2 General recommendations
There are some recommendations which would be helpful for the furniture industry while
using supply chain in the business:
 Enhanced and detailed segmentations of the market should be used by the company.
Customers are seeking for more advanced services. The manufacturers should be able to
supply effective and fast services to achieve the competitive advantage in the market. In
terms of financial advantages, company should have high level of stock and reduce the
customers’ complaints after the delivery of the products. The key words should be one-
time delivery in the market, wrong delivery and delivery of the products with the quality
standards.
 The significance of the past experience is invaluable for the company. So, it is important
for the company to forecast the techniques which are used by the organizations to meet
the demand plan accurately. In the current and complex marketplace, forecasting can be
done by comparing the previous year by year or month by month effectively. The
demands of the customers are now becoming very critical these days. The competition in
the global level in Myanmar and slowdown in the sales of furniture are showing that
forecasting is not an easy task. So, scientific techniques should be used in order to ensure
the demand of the product and motivate the suppliers and retailers to adopt various
strategies.
 The correct method of forecasting of sales will also be helpful in reducing the doubts
between the retailers and suppliers. Suppliers are now take big orders and in many cases
they produce less then they stated. The reason is that the orders are less and reducing
continuously. The orders might be cancelled before the delivery date. The suppliers in
the Myanmar market have this tendency then there should be techniques to reduce the
impact on the organization.
 Technology is now a big support for the furniture manufacturing industry. Investment in
the technology would be helpful for the industry in achieving the competitive advantage
over the competitors. There is the lack of chain of information system to improve the
process of supply chain. The process if supply chain is highly complicated and there is
the need of huge amount to improve the planning and executing process. In the current
competitive market environment, customers are price sensitive and they need affordable