Innovations in Logistics: The Impact of Channel Coordination

Roy D. Shapiro (with Janice H. Hammond and Marshall L. Fisher) is studying innovative systems and management approaches that integrate and coordinate material and information flows through the supply chain so as to reduce or eliminate the redundant activities that tend to characterize these channels. His research focuses on companies worldwide in two industries-packaged consumer goods and textiles/apparel-that have successfully integrated suppliers, producers, transporters, warehousers, distributors, and retailers into systems that can be managed as coherent units through which goods flow smoothly. Shapiro's research addresses (1) coordinating mechanisms (e.g., continuous product replenishment, made famous by Procter & Gamble and Wal-Mart and emulated by dozens of channel partners) that tie different corporate entities into the channel and how the attendant relationships are defined, forged, and managed, and (2) information flows among relationship partners (that identify what is critical) and how they are effectively generated, shared, and communicated.