Developing a performance measurement framework to benchmark the South African wine supply chain with a focus on the packaged export supply chain segment

Date
2016-03
Journal Title
Journal ISSN
Volume Title
Publisher
Stellenbosch : Stellenbosch University
Abstract
ENGLISH ABSTRACT: Over the past few decades, the importance of supply chains and supply chain management has increased significantly. Companies are turning to their supply chains to decrease costs and increase efficiencies. The South African wine industry is currently under financial pressure and the industry will have to focus on its supply chains to stay competitive. Currently, in the South African wine industry, no supply chain benchmarks exist against which cellars can compare their performance to identify areas for improvement. The need therefore exists to establish these benchmarks. However, before benchmarks can be established, the question of what to benchmark must first be answered. To address the abovementioned problems, a multi-phased methodology is applied to develop three supply chain measurement frameworks, each using findings from the previous as inputs. The aim of the frameworks is to propose a set of metrics that can be used to measure supply chain performance, thereby answering the question of what to benchmark. Other inputs to the development are a review of the relevant literature, structured and semi-structured interviews with various industry players and findings from other projects which form part of a wine supply chain project hosted by the University of Stellenbosch. The frameworks are each validated by numerous industry players. This thesis specifically focusses on the packaged export supply chain of natural wine. Seeing that the framework will be used to measure the performance of a supply chain, it can be seen as a decision support tool. Decision support is focussed on the strategic and managerial levels. Through the process of developing the frameworks, it is found that the wine industry has low levels of supply chain management maturity. This is confirmed by a quantitative analysis of the first two frameworks: gathering data from a sample of cellars and freight forwarders shows that little supply chain data is being captured. As a result, sample benchmarks are only established for the first framework. The third framework proposes the final set of metrics, together with methods for collecting data, which cellars can use to measure their supply chain performance. It is recommended that cellars start measuring and tracking their own performance. This will enable cellars to identify areas for improvement. It is then each cellar's responsibility to conduct improvement projects. Once a sufficient number of cellars measure their supply chain performance by implementing the proposed framework, benchmarks can be established.
AFRIKAANSE OPSOMMING: Gedurende die afgelope dekades het die belangrikheid van voorsieningskettings en voorsieningskettingsbestuur aansienlik toegeneem. Besighede konsentreer tans op hulle voorsieningskettings om kostes te verminder en om doeltreffendheid te verbeter. Die Suid-Afrikaanse wynbedryf is op die oomblik onder finansiële druk en sal moet fokus op voorsieningskettings om mededingend te bly. In die Suid-Afrikaanse wynbedryf bestaan daar huidig geen voorsieningsketting-maatstawwe waarteen kelders hulle prestasie kan vergelyk om geleenthede vir verbetering te identifiseer nie. Daar bestaan dus 'n behoefte om sodanige maatstawwe op te stel. Voordat maatstawwe egter opgestel kan word, moet daar eers bepaal word watter maatstawwe opgestel moet word. Om bogenoemde probleme aan te spreek is 'n multi-fase metodologie toegepas om drie voorsieningsketting metingsraamwerke op te stel, waarin die bevindinge van een raamwerk gebruik word as insette vir die volgende raamwerk. Die doel van die raamwerke is om 'n stel metings voor te stel wat gebruik kan word om 'n voorsieningsketting mee te meet en sodoende die vraag oor watter maatstawwe ontwikkel moet word, te beantwoord. Ander insette vir die ontwikkeling van die raamwerke is 'n ondersoek van relevante literatuur, gestruktureerde en semi-gestruktureerde onderhoude met 'n verskeidenheid industrie rolspelers en bevindinge van ander projekte wat deel vorm van 'n wyn-voorsieningsketting projek wat aangebied is deur die Universiteit van Stellenbosch. Elke raamwerk is bekragtig deur rolspelers in die industrie. Hierdie tesis fokus spesifiek op die verpakte uitvoer voorsieningsketting segment van natuurlike wyn. Sienende dat die raamwerk gebruik gaan word om prestasie van 'n voorsieningsketting te meet, kan dit ook gebruik word om besluite te ondersteun. Besluitnemingsondersteuning fokus op die strategiese en bestuursvlakke. Tydens die proses waardeur die raamwerke ontwikkel is, is bevind dat die wynbedryf lae vlakke van voorsieningsketting-volwassenheid het. Dit is bevestig deur 'n kwantitatiewe analise van die eerste twee raamwerke: data wat versamel is vanaf 'n steekproef van kelders en expediteure wys dat min voorsieningsketting-data opgevang word. Gevolglik is steekproefmaatstawwe net opgestel vir die eerste raamwerk. Die derde raamwerk stel 'n finale lys voor van metings en metodes van hoe data opgevang moet word wat kelders kan gebruik om hulle voorsieningsketting se prestasie mee te meet. Dit word aanbeveel dat kelders begin om hulle eie prestasie te meet. Dit sal die kelders in staat stel om geleentheded vir verbetering te identifiseer. Dit is dan elke kelder se verantwoordelikheid om projekte te implementeer waarin die verbetering gerealiseer word. Wanneer 'n voldoende aantal kelders hulle voorsieningsketting prestasie meet deur die voorgestelde metings te implementeer, kan maatstawwe opgestel word.
Description
Stellenbosch University. Faculty of Engineering. Dept. of Process Engineering.
Keywords
SCOR model, UCTD, Wine industry -- Supply and demand -- Management, Wine -- Exports -- South Africa, Wine and Wine making -- Benchmarking (management), Wine -- Packaging
Citation