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Frugal Processes: An Empirical Investigation Into the Operations of Resource-Constrained Firms
IEEE Transactions on Engineering Management ( IF 4.6 ) Pub Date : 2020-01-01 , DOI: 10.1109/tem.2020.3016776
Stephanie Knizkov , Julia C. Arlinghaus

The severe resource constraints that characterize markets at the bottom of the world's economic pyramid have forced firms to innovate both their products and processes. However, discourse in frugal innovation literature on how firms can design frugal processes in response to the resource constraints they face remains relatively sparse. Based on a systematic literature review, in this article we consolidate existing work on the process echelon of frugal innovation. We outline three ways frugal processes that have been conceptualized in the literature thus far, and distill their key characteristics. Based on an exploration of the supply chains of 87 small- and medium-sized enterprises, we show how firms configure these characteristics to overcome resource constraints at each stage of their supply chain. Ultimately, we propose three archetypes of a frugal supply chain that firms can strategically adopt. Firms with the primary goal of increasing consumer access to affordable products opt for a supply-chain structure that favors traditional economies of scale, and postpone any decentralization as further downstream as possible. In contrast, firms aiming to provide consumers with greener alternatives can adopt a hyperdecentralized structure throughout their supply-chain, which is made economically viable through low-cost approaches to distributed manufacturing. Firms interested in empowering local communities should consider hybrid structures that balance the high costs of investments in local capabilities.

中文翻译:

节俭过程:对资源受限企业运营的实证研究

处于世界经济金字塔底部的市场所面临的严重资源限制迫使公司对其产品和流程进行创新。然而,节俭创新文献中关于企业如何设计节俭流程以应对其面临的资源限制的论述仍然相对稀少。在系统文献综述的基础上,我们在本文中整合了节俭创新过程梯队的现有工作。我们概述了迄今为止在文献中概念化的三种节俭过程,并提炼出它们的关键特征。基于对 87 家中小企业的供应链的探索,我们展示了企业如何配置这些特征以克服供应链每个阶段的资源限制。最终,我们提出了公司可以战略性采用的三种节俭供应链原型。主要目标是增加消费者获得负担得起的产品的机会的公司选择有利于传统规模经济的供应链结构,并尽可能推迟向下游进行任何权力下放。相比之下,旨在为消费者提供更环保替代品的公司可以在整个供应链中采用超去中心化的结构,通过低成本的分布式制造方法使其在经济上可行。有兴趣为当地社区赋权的公司应考虑混合结构,以平衡当地能力投资的高成本。主要目标是增加消费者获得负担得起的产品的机会的公司选择有利于传统规模经济的供应链结构,并尽可能推迟向下游的任何权力下放。相比之下,旨在为消费者提供更环保替代品的公司可以在整个供应链中采用超去中心化的结构,通过低成本的分布式制造方法使其在经济上可行。有兴趣为当地社区赋权的公司应考虑混合结构,以平衡当地能力投资的高成本。主要目标是增加消费者获得负担得起的产品的机会的公司选择有利于传统规模经济的供应链结构,并尽可能推迟向下游进行任何权力下放。相比之下,旨在为消费者提供更环保替代品的公司可以在整个供应链中采用超去中心化的结构,通过低成本的分布式制造方法使其在经济上可行。有兴趣为当地社区赋权的公司应考虑混合结构,以平衡当地能力投资的高成本。旨在为消费者提供更环保替代品的公司可以在整个供应链中采用超去中心化的结构,通过低成本的分布式制造方法使其在经济上可行。有兴趣为当地社区赋权的公司应考虑混合结构,以平衡当地能力投资的高成本。旨在为消费者提供更环保替代品的公司可以在整个供应链中采用超去中心化的结构,通过低成本的分布式制造方法使其在经济上可行。有兴趣为当地社区赋权的公司应考虑混合结构,以平衡当地能力投资的高成本。
更新日期:2020-01-01
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