An Application of TRIZ Inventive Approach in Development Strategy into Fourth-party Logistics
Abstract
Purpose: The study aims to affirm the application of TRIZ in logistics service and then develop innovative strategies for Vietnamese local logistics service providers (LSPs) to transform into fourth-party logistics (4PL) through TRIZ inventive methodology.
Methodology/Approach: The integration of Savransky’s methodology into TRIZ proposals enables to identify the core correlated dependencies of selected parameters. The analyses of the theoretical background and the application of the TRIZ matrix are comprehensively conducted to create innovation for three important attributes of 4PL.
Findings: The research results propose seven strategies through Savransky’s suggested steps from the analytical application of TRIZ. The established recommendations are categorised into short-term and long-term strategies and can be flexibly applied depending on the corporate growth process.
Research Limitation/implication: TRIZ approach was initially constructed for solving engineering problems. As a result, several inventive principles in the contradiction matrix were not entirely appropriate to the service area. In such cases, the authors can’t apply all suggested solutions from the contradiction matrix.
Originality/Value of paper: The study provides local LSPs in Vietnam with comprehensive strategies for improving their capabilities to meet the requirements of 4PLs’ power.
Full text article
References
Altshuller, G., Altov, H., & Shulyak, L., 1994. TRIZ, the theory of inventive problem solving, Worcester, MA: Technical Innovation Center Inc.
Altshuller, G., 2002. 40 principles: TRIZ keys to technical innovation (Vol. 1), Technical Innovation Center, Inc..
Bajec, P., 2012. Evolution of Traditional Outsourcing into Innovative Intelligent Outsourcing Smartsourcing, Promet-Traffic & Transportation, 21(2), pp. 93-101. https://doi.org/10.7307/ptt.v21i2.215
Bandyopadhyay, S., & Pathak, P., 2007. Knowledge sharing and cooperation in outsourcing projects — A game theoretic analysis, Decision support systems, 43(2), pp. 349-358. https://doi.org/10.1016/j.dss.2006.10.006
Berry, L. L., & Lampo, S. K., 2000. Teaching an old service new tricks: The promise of service redesign, Journal of Service Research, 2(3), pp. 265-275. https://doi.org/10.1177/109467050023004
Bianchi, M., Campodall'Orto, S., Frattini, F., & Vercesi, P., 2010. Enabling open innovation in small‐and medium‐sized enterprises: how to find alternative applications for your technologies, R&D Management, 40(4), pp. 414-431. https://doi.org/10.1111/j.1467-9310.2010.00613.x
Bogatyreva, O., Shillerov, A., & Bogatyrev, N., 2004. Patterns in TRIZ contradiction matrix: integrated and distributed systems, In 4th ETRIA Symposium.
Bowersox, D. J., 2013. Logistical excellence: it's not business as usual. Elsevier.
Copacino, W. C., & Byrnes, J. L., 2001. How to become a supply chain master, Suppy Chain Management Review, 5(5), pp. 24-33: ill.
Coyle, J. J., Bardi, E. J., & Langley, C. J., 2003. The management of business logistics: A supply chain perspective, South-Western/Thomson Learning.
Craig, T., 2003. Outsourcing–3PL versus 4PL, Eye for transport, june.
Diem, T. L. T., Chromjaková, F., & Quang, V. D., 2023. Transformation into 4PL: The case of local logistics service providers in Vietnam. Journal of Eastern European and Central Asian Research (JEECAR), 10(2), pp. 311-325. https://doi.org/10.15549/jeecar.v10i2.1018
Dollet, J. N., & Díaz, A., 2011. Supply Chain Orchestration for the Luxury Alcoholic Beverage Sector, IUP Journal of Supply Chain Management, 8(3).
Flint, D. J., Larsson, E., Gammelgaard, B., & Mentzer, J. T., 2005. Logistics innovation: a customer value‐oriented social process, Journal of business logistics, 26(1), pp. 113-147. https://doi.org/10.1002/j.2158-1592.2005.tb00196.x
Flowers, A. D., Cort, S. G., Artman, L. B., & Ballou, R. H., 2008. A focused innovation model for logistics service providers, Managing innovation-The new competitive edge for logistics service providers, Berne, Stuttgart, Vienna, Haupt, pp. 79-106.
Foster, J., & Wild, P., 1999. Detecting self-organisational change in economic processes exhibiting logistic growth, Journal of Evolutionary Economics, 9, pp. 109-133.
Frost, J., & Sullivan, M., 2014. Fourth-Party Logistics: Turning a Cost into a Value Proposition, Supply Chain Management, 5(10), pp. 1-2.
Fulconis, F., Saglietto, L., & Paché, G., 2006, January. Exploring new competences in the logistics industry: the intermediation role of 4PL, In Supply Chain Forum: An International Journal (Vol. 7, No. 2, pp. 68-77). Taylor & Francis. https://doi.org/10.1080/16258312.2006.11517170
Fulconis, F., Nollet, J., & Paché, G., 2016. Purchasing of logistical services: a new view of LSPs’ proactive strategies, European Business Review. https://doi.org/10.1108/EBR-06-2015-0054
Gattorna, J. (Ed.)., 2017, Strategic supply chain alignment: best practice in supply chain management. Routledge.
Hingley, M., Lindgreen, A., Grant, D. B., & Kane, C., 2011. Using fourth‐party logistics management to improve horizontal collaboration among grocery retailers. Supply Chain Management: An International Journal, 16(5), pp. 316-327.
Hoek, R. I., 2006. Forward. International Journal of Physical Distribution and Logistics Management, 36(6). https://doi.org/10.1108/ijpdlm.2006.00536faa.001
Hosie, P., Sundarakani, B., Tan, A. W. K., & Koźlak, A., 2012. Determinants of fifth party logistics (5PL): Service providers for supply chain management, International Journal of Logistics Systems and Management, 13(3), pp. 287-316. https://doi.org/10.1504/IJLSM.2012.049700
Ilevbare, I. M., Probert, D., & Phaal, R., 2013. A review of TRIZ, and its benefits and challenges in practice, Technovation, 33(2-3), pp. 30-37. https://doi.org/10.1016/j.technovation.2012.11.003
Korpela, J., & Tuominen, M., 1996. A decision aid in warehouse site selection. International Journal of Production Economics, 45(1-3), pp. 169-180. https://doi.org/10.1016/0925-5273(95)00135-2
Langley, G. J., Moen, R. D., Nolan, K. M., Nolan, T. W., Norman, C. L., & Provost, L. P., 2009, The improvement guide: a practical approach to enhancing organisational performance. John Wiley & Sons.
Li, P. C., & Lin, B. W., 2006. Building global logistics competence with Chinese OEM suppliers, Technology in Society, 28(3), pp. 333-348. https://doi.org/10.1016/j.techsoc.2006.06.003
Lieb, R. C., 2005. The 3 PL industry: where it’s been, where it’s going, Supply Chain Management Review, v. 6, no. 6 (Sept. 2005), pp. 20-27: ill.
Lin, C. Y., 2007. Factors affecting innovation in logistics technologies for logistics service providers in China, Journal of technology management in china, 2(1), pp. 22-37. https://doi.org/10.1108/17468770710723604
Magill, P., 2000, Outsourcing Logistics: The Transition to 4th Party Partnerships in Europe. Financial Times Retail & Consumer.
Mangan, J., Lalwani, C., & Fynes, B., 2008. Port‐centric logistics, The International Journal of Logistics Management, 19(1), pp. 29-41.
Mann, D., 2007. Emergent contradictions: A synthesis of TRIZ and complex systems theory, In Trends in Computer Aided Innovation: Second IFIP Working Conference on Computer Aided Innovation, October 8–9 2007, Michigan, USA (pp. 23-32). Springer US.
Mann, D. L., 2009. Hands-on systematic innovation: for business and management. Clevedon.
Marino, G., 2002, October. The ABCs of 4PLs. (Logistics). IIE Solutions, 34 (10), pp.23. https://link.gale.com/apps/doc/A93208213/AONE?u=tacoma_comm&sid=googleScholar&xid=6c523402
Moussa, F. Z. B., Rasovska, I., Dubois, S., De Guio, R., & Benmoussa, R., 2017. Reviewing the use of the theory of inventive problem solving (TRIZ) in green supply chain problems, Journal of cleaner production, 142, pp. 2677-2692. https://doi.org/10.1016/j.jclepro.2016.11.008
Mukhopadhyay, S. K., & Setaputra, R., 2006. The role of 4PL as the reverse logistics integrator: Optimal pricing and return policies, International Journal of Physical Distribution & Logistics Management. https://doi.org/10.1108/09600030610710872
Pavlina, J., & Černe, M., 2010. Achieving competitive advantage through innovativeness, Scientific papers of the University of Pardubice. Series D, Faculty of Economics and Administration. 16 (1/2010).
Porter, M. E., 1996. Competitive advantage, agglomeration economies, and regional policy, International regional science review, 19(1-2), pp. 85-90. https://doi.org/10.1177/016001769601900208
Rafele, C., 2004. Logistic service measurement: a reference framework, Journal of manufacturing technology management, 15(3), pp. 280-290. https://doi.org/10.1108/17410380410523506
Rajaguru, R., & Matanda, M. J., 2013. Effects of inter-organisational compatibility on supply chain capabilities: Exploring the mediating role of inter-organisational information systems (IOIS) integration. Industrial marketing management, 42(4), pp. 620-632. https://doi.org/10.1016/j.indmarman.2012.09.002
Saglietto, L., 2013. Towards a classification of fourth party logistics (4PL), Universal Journal of Industrial and Business Management, 1(3), pp. 104-116. 10.13189/ujibm.2013.010305
Savransky, S. D., 2000. Engineering of creativity: Introduction to TRIZ methodology of inventive problem solving, CRC press.
Sheu, D. D., & Lee, H. K., 2011. A proposed process for systematic innovation, International Journal of Production Research, 49(3), pp. 847-868. https://doi.org/10.1080/00207540903280549
Simon, H. A., 1977. The new science of management decision. Englewood Cliffs, N. J.: Prentice Hall.
Skjoett-Larsen, T., Halldorsson, A., Andersson, D., Dreyer, H., Virum, H., & Ojala, L., 2006. Third party logistics–a Nordic approach, International Journal of Value Chain Management, 1(2), pp. 190-204.
Stratton, R., & Warburton, R. D., 2003. The strategic integration of agile and lean supply, International Journal of production economics, 85(2), pp. 183-198. https://doi.org/10.1016/S0925-5273(03)00109-9
Stratton, R., & Warburton, R. D., 2006. Managing the trade-off implications of global supply, International Journal of Production Economics, 103(2), pp. 667-679. https://doi.org/10.1016/j.ijpe.2006.01.001
Subzwari, K., Mokhov, S. A., Khalid, O., Gonzalez, A., & Kadiri, M. M., 2006. TRIZ: A Theory of Inventive Problem Solving.
Supply Chain Executive Board. Structuring and Managing 4PL Relationships [online]. ©2005 [viewed 03 August 2020]. Available at www.sceb.executiveboard.com.
Terninko, J., Domb, E., & Miller, J., 2000. The seventy-six standard solutions, with examples section one, Triz Journal, 2, pp. 7-8.
Van Hoek, R. I., & Chong, I., 2001. Epilogue: UPS logistics–practical approaches to the e‐supply chain, International Journal of Physical Distribution & Logistics Management, 31(6), pp. 463-468. https://doi.org/10.1108/EUM0000000005591
Vezzetti, E., Moos, S., & Kretli, S., 2011. A product lifecycle management methodology for supporting knowledge reuse in the consumer packaged goods domain, Computer-Aided Design, 43(12), pp. 1902-1911. https://doi.org/10.1016/j.cad.2011.06.025
Vezzetti, E., Moos, S., & Kretli, S., 2020. A PLM strategy for supporting knowledge reuse in the Consumer Packaged Goods domain. https://doi.org/10.1016/j.cad.2011.06.025
Visser, E.; Konrad, K.; Salden, R., 2004. Developing Fourth-Party Services: Empirical Evidence on the Relevance of Dynamic Transaction-Cost Theory for Analysing a Logistic System Innovation, 44th European Regional Science Association - ERSA 2004 Congress, University of Porto, Porto, Portugal, August (pp. 25-28).
Vivaldini, M., Pires, S., & de Souza, F. B., 2008. Collaboration and Competition between 4PL and 3PL: a study of a fast-food supply chain. Journal of Operations and Supply Chain Management, 1(2), pp. 17-29.
Walters, D., & Rainbird, M., 2007. Cooperative innovation: a value chain approach, Journal of enterprise information management. https://doi.org/10.1108/17410390710823725
Wang, H., Li, J., Chen, Q. Y., & Ni, D., 2011. Logistic modeling of the equilibrium speed–density relationship, Transportation research part A: policy and practice, 45(6), pp. 554-566. https://doi.org/10.1016/j.tra.2011.03.010
Win, A., 2008. The value a 4PL provider can contribute to an organisation, International Journal of Physical Distribution & Logistics Management, 38(9), pp. 674-684. https://doi.org/10.1108/09600030810925962
Zlotin, B., Zusman, A., Kaplan, L., Visnepolschi, S., Proseanic, V., & Malkin, S., 2001. TRIZ beyond technology: The theory and practice of applying TRIZ to nontechnical areas, The TRIZ Journal, 6(1), pp. 25-89.
Authors
Copyright (c) 2024 Trang Truong Diem Le, Felicita Chromjaková, Vang Dang Quang
This work is licensed under a Creative Commons Attribution 4.0 International License.
This is an open access journal which means that all content is freely available without charge to the user or his/her institution. Users are allowed to read, download, copy, distribute, print, search, or link to the full texts of the articles in this journal without asking prior permission from the publisher or the author. This is in accordance with the BOAI definition of open access. This journal is licensed under a Creative Commons Attribution 4.0 License - http://creativecommons.org/licenses/by/4.0.
Authors who publish with the Quality Innovation Prosperity agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.