Overcoming the barriers of consignment stock policy implementation in a manufacturing company

Abstract

Abstract The present study represents a part of a wider research, centered on consignment stock program adoption and implementation in a supply chain governed by lean and agile strategies. The paper attempts to explore the challenges and the barriers which may occur prior or during the implementation stages of the project, to identify and mitigate the risks and also to establish safe approaches to overcome project failure. The work includes a brief overview on consignment stock model and its benefits, along with the implementation risks perceived by the internal stakeholders, mostly viewed as a human factor reaction to change. The methodology consists of a survey addressed to the business functions directly affected by the project, in order to identify the main barriers and risks, and of an assessment of the risk severity and its distribution within and among different groups of stakeholders, using One-way ANOVA statistical method. A solutions framework to the identified risks is proposed, in order to overcome implementation barriers.