The implications of interrelationships for decision making processes in companies along the supply chain

Abstract

This paper presents an adapted GRAI grid approach to modelling the decision making processes of vertically related firms in a business network. A framework for assessing case studies is used to model part of the supply chain in three different industries, and identify areas for improving the connectivity between the individual companies. The key factors affecting the effectiveness were found to be opacity of information concerning demand, and delays due to uncoordinated decision making processes in linked firms.