A System Dynamics Model to Evaluate the LARG Supply Chain Elements in the Automotive Industry

The automotive industry is highly competitive, requiring robust supply chains to secure a strategic advantage. This study uses the Lean, Agile, Resilient, and Green (LARG) paradigms to evaluate supply chain performance in the automotive sector. This article developed a comprehensive system dynamics...

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Main Authors: Nima Saberifard, Mahdi Homayounfar, Mehdi Fadaei, Mohammad Taleghani
Format: Article
Language:English
Published: Ferdowsi University of Mashhad 2024-12-01
Series:Journal of Systems Thinking in Practice
Subjects:
Online Access:https://jstinp.um.ac.ir/article_45547_2306905dcc04d07e4683f5fb02d4aebc.pdf
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author Nima Saberifard
Mahdi Homayounfar
Mehdi Fadaei
Mohammad Taleghani
author_facet Nima Saberifard
Mahdi Homayounfar
Mehdi Fadaei
Mohammad Taleghani
author_sort Nima Saberifard
collection DOAJ
description The automotive industry is highly competitive, requiring robust supply chains to secure a strategic advantage. This study uses the Lean, Agile, Resilient, and Green (LARG) paradigms to evaluate supply chain performance in the automotive sector. This article developed a comprehensive system dynamics model to analyze these paradigms, incorporating key elements and their interactions within the supply chain. The model simulated eight scenarios to assess the impact of different strategies on supply chain performance. Research findings highlight that enhancing supply chain efficiency leads to the most significant increase in income, underscoring the importance of optimizing processes and reducing costs. Improving process flexibility emerged as the second most impactful strategy, enabling quicker adaptation to market changes and customer demands. Optimizing the flow of value and added value created also proved crucial, streamlining processes and reducing waste to enhance profitability. This research provides actionable insights for automotive industry stakeholders. Companies can substantially improve supply chain performance by focusing on efficiency, flexibility, and value flow. The study emphasizes the practical application of the LARG paradigms, offering a holistic framework for supply chain management in the automotive sector. In summary, the research system dynamics model demonstrates the critical role of LARG elements in driving supply chain success. This approach enables automotive companies to strategically enhance their supply chains, ensuring competitiveness in a dynamic market environment. The results offer valuable guidance for implementing effective supply chain strategies, paving the way for sustained profitability and growth.
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spelling doaj-art-60ac1e71299e4140beb7604bf326f57e2025-08-20T02:53:26ZengFerdowsi University of MashhadJournal of Systems Thinking in Practice2980-94602821-16692024-12-013410213110.22067/jstinp.2024.87456.109845547A System Dynamics Model to Evaluate the LARG Supply Chain Elements in the Automotive IndustryNima Saberifard0Mahdi Homayounfar1Mehdi Fadaei2Mohammad Taleghani3Department of Industrial Management, Rasht Branch, Islamic Azad University, Rasht, Iran.Department of Industrial Management, Rasht Branch, Islamic Azad University, Rasht, Iran.Department of Industrial Management, Rasht Branch, Islamic Azad University, Rasht, Iran.Department of Industrial Management, Rasht Branch, Islamic Azad University, Rasht, Iran.The automotive industry is highly competitive, requiring robust supply chains to secure a strategic advantage. This study uses the Lean, Agile, Resilient, and Green (LARG) paradigms to evaluate supply chain performance in the automotive sector. This article developed a comprehensive system dynamics model to analyze these paradigms, incorporating key elements and their interactions within the supply chain. The model simulated eight scenarios to assess the impact of different strategies on supply chain performance. Research findings highlight that enhancing supply chain efficiency leads to the most significant increase in income, underscoring the importance of optimizing processes and reducing costs. Improving process flexibility emerged as the second most impactful strategy, enabling quicker adaptation to market changes and customer demands. Optimizing the flow of value and added value created also proved crucial, streamlining processes and reducing waste to enhance profitability. This research provides actionable insights for automotive industry stakeholders. Companies can substantially improve supply chain performance by focusing on efficiency, flexibility, and value flow. The study emphasizes the practical application of the LARG paradigms, offering a holistic framework for supply chain management in the automotive sector. In summary, the research system dynamics model demonstrates the critical role of LARG elements in driving supply chain success. This approach enables automotive companies to strategically enhance their supply chains, ensuring competitiveness in a dynamic market environment. The results offer valuable guidance for implementing effective supply chain strategies, paving the way for sustained profitability and growth.https://jstinp.um.ac.ir/article_45547_2306905dcc04d07e4683f5fb02d4aebc.pdfsupply chainsystem dynamics, automotive industry, larg paradigms
spellingShingle Nima Saberifard
Mahdi Homayounfar
Mehdi Fadaei
Mohammad Taleghani
A System Dynamics Model to Evaluate the LARG Supply Chain Elements in the Automotive Industry
Journal of Systems Thinking in Practice
supply chain
system dynamics, automotive industry, larg paradigms
title A System Dynamics Model to Evaluate the LARG Supply Chain Elements in the Automotive Industry
title_full A System Dynamics Model to Evaluate the LARG Supply Chain Elements in the Automotive Industry
title_fullStr A System Dynamics Model to Evaluate the LARG Supply Chain Elements in the Automotive Industry
title_full_unstemmed A System Dynamics Model to Evaluate the LARG Supply Chain Elements in the Automotive Industry
title_short A System Dynamics Model to Evaluate the LARG Supply Chain Elements in the Automotive Industry
title_sort system dynamics model to evaluate the larg supply chain elements in the automotive industry
topic supply chain
system dynamics, automotive industry, larg paradigms
url https://jstinp.um.ac.ir/article_45547_2306905dcc04d07e4683f5fb02d4aebc.pdf
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