Product deletion as an operational strategic decision: Exploring the sequential effect of prominent criteria on decision-making

Abstract

Myopic financial perspectives dominate product deletion decisions when such decisions require a balance of short-term and long-term considerations. This paper extends the limited studies of product deletion to explore supply chain operational, competitive and sustainability criteria within a broader organizational and inter-organizational context. The analysis uses inputs from a Fast-Moving Consumer Goods (FMCG) company where the product deletion decisions are imperative. The fuzzy Decision-Making Trial and Evaluation Laboratory (DEMATEL) is applied to construct a network of effectual interrelationships among product deletion decision criteria based on which the most influential criteria are identified. The DEMATEL method is then extended to explore the sequential effect of the decision criteria on product deletion decisions. The study shows that product revitalization probability increases if there is a focus on improving the product condition in terms of prominent criteria. On this basis, the findings suggest that competitive criteria play a significant role in product deletion decision-making. Some supply chain operational and sustainability criteria also make a difference, especially when considering their sequential effect on financial performance. This study is concluded by offering directions for more dynamic and deeper research into modeling and managing product deletion in organizations. Applications of the presented tool are worthwhile research topics to pursue in other managerial fields.