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Omni–channel retailing and its impacts on on supply chain initiatives, the case of fast moving consumer goods industry


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- OMNI–CHANNEL RETAILING AND ITS IMPACTS ON ON SUPPLY CHAIN INITIATIVES, THE CASE OF FAST MOVING CONSUMER GOODS INDUSTRY.
- Abstract: The study is aimed at exploring the impacts of omni–channel retailing on e-commerce supply chain initiatives.
- The study identified that the omni–channel supply chains are markedly different from multichannel supply chains.
- The omni–channel retailing has strong positive impact on supply chain initiatives other than multi–channels do.
- A true omni–channel retailing experience entails a complete rethink of how a business runs.
- Accordingly, omni–channel forces retailers to streamline operations, integrate supply chain platforms and re–organize supply chains..
- Keywords: Omni–channel, multi–channel, supply chain, e-commerce..
- This study scrutinizes the latest developments in e-commerce and omni–channel strategy as a new way to meet the expectations of empowered customers..
- All retailers are required to be permanently present, not only on internet but also on ground, and both must communicate in an omni–channel ecosystem.
- This means that omni–channel is no longer a product of the store chain, but also a new commerce, including e-commerce businesses..
- This not only leads to a separate and consistent omni–channel customer experience, but also can significantly affect a company's profitability, market share, and competitive advantage..
- Stemming from the above reasons, the author has chosen the topic "Omni–channel retailing and its impacts on on supply chains, the case of fast moving consumer goods industry".
- to study the relationship between omni–channel retailing and supply chain initiatives..
- H1a: Physical channel has a positive impact on omni–channel retailing H1b: Physical channel has a positive impact on supply chain initiatives.
- H2a: Online channel has a positive impact on omni–channel retailing H2b: Online channel has a positive impact on supply chain initiatives.
- H3a: Mobile channel has positive impact on omni–channel retailing H3b: Mobile channel has positive impact on supply chain initiatives.
- H4a: Catalog channel has a positive impact on omni–channel retailing H4b: Catalog channel has a positive impact on supply chain initiatives.
- Omni–channel retailing.
- Omni–channel is a cross–channel business model that retailers use to improve customer experience.
- Omni–channel business is defined as seamless and effortless, high quality customer experiences which occur within and between contact channels (Frost and Sullivan, 2015).
- channel retailing is an expansion of multi–channel retailing (Verhoef et al., 2015).
- The goal of implementing omni–channel retailing is to combine the benefits of both digital and non–digital retailing in order to give customers a seamless retail experience (Rigby, 2011).
- Omni–channel retailing includes brick and mortar stores, kiosk, outlet locations, retail DCs, Websites, pop–up stores, E-commerce DCs, tablets/ mobile, call center and catalog..
- H5: Omni–channel retailing has a positive impact on supply chain initiatives.
- Retail supply chain initiatives.
- The digitalization process is ongoing, with the difference between offline and online channels disappearing, multi–channel retailing is shifting to omni–channel retailing (Lee, 2017)..
- Omni multi–channel retailer are aimed at coordinating processes and technologies across all channels in order to provide more integrated, consistent and reliable services to customers (Saghiri et al., 2017)..
- With the increasing diversity of channels on omni–channels, they have made the procurement process more convenient for buyers but of course harder to manage for upstream suppliers and downstream retailers (Ailawadi.
- Integration and visibility are two main elements of omni–channel structure to reduce uncertainty and variations (Saghiri et al., 2017).
- Omni-channel Retailing Physical channel.
- Supply chain initiatives Mobile channel.
- The survey questionnaire was developed based on the literature review, which focused on evaluating the impacts of omni–channel retailing on supply chain initiatives.
- The first part covers questions about omni–channel retailing.
- The second part contains questions about impacts of omni–channel retailing on supply chain initiatives.
- Omni–channel retailing .
- Supply chain initiatives .
- channel retailing.
- Supply chain initiatives (IN).
- Supply chain initiatives (IN .
- Only one path has sign in negative relationship existing between Mobile channel and Supply chain initiatives..
- Figure 2: Measurement model for impacts of omni–channel retailing on supply chain initiatives.
- Empiritically, the blindfolding results shows that the Q 2 value of the latent variable Omni–channel retailing (0.504) and Supply chain initiatives (0.302) are positive so there’s the model's predictive relevance with the latent endogenous variable..
- The results show that the model has the capacity to explain the supply chain initiatives.
- Overall, the variables (physical channel, online channel, mobile channel and catalog) explain 96.3% of the variation in omni–channel retailing (R 2 = 0.963).
- For supply chain initiatives, the variable Omni–.
- channel retailing explain 47.6% of the variation in supply chain initiatives (R 2 is 0.476).
- Thus, the study demonstrates that the model is appropriate to explain the impact of omni–channel retailing on supply chain initiatives and explains variations in omni–channel retailing and supply chain initiatives..
- Catalog  Omni–channel retailing Supported.
- Catalog  Supply chain initiatives Rejected.
- Mobile channel  Omni–channel retailing Supported Mobile channel  Supply chain initiatives Rejected Omni–channel retailing  Supply chain.
- Online channel  Omni–channel retailing Supported Online channel  Supply chain initiatives Supported Physical channel  Omni–channel retailing Supported Physical channel  Supply chain initiatives Supported.
- channel retailing (β = 0.538, P = 0.000).
- Catalog and Omni–channel retailing (β = 0.316, P = 0.000);.
- Physical channel and Omni–channel retailing (β = 0.199, P = 0.000).
- channel retailing (β = 0.194, P = 0.000).
- Online channel and Supply chain initiatives (β = 0.476, P=0.000).
- Physical channel and Supply chain initiatives (β = 0.355, P = 0.000) and especially the positive relationship between Omni–channel retailing and supply chain initiatives (β = 0.713, P = 0.003).
- With the objective of producing valid predictions of Omni–channel retailing and supply chain initiatives, the PLSpredict for the general model was used with the SmartPLS software version 3.2.7.
- Moreover, the Q 2 for the two endogenous constructs, Omni–channel retailing (Q and Supply chain initiatives (Q were also obtained.
- The study was conducted to explore the impacts of omni–channel retailing on e-commerce supply chain initiatives with 207 fast moving consumer goods (FMCG) businesses through direct and online surveys.
- Omni–channel business is defined as seamless and effortless, high quality customer experiences which occur within and between contact channels (Frost and Sullivan, 2015) and is a cross–channel business model that retailers use to improve customer experience.
- Omni–channel retailing is an expansion of multi–channel retailing (Verhoef et al., 2015).
- It can be said that a omni–channel retailing is quite complicated and demanding for a retailer to implement.
- Retailers' mindsets and priorities play an important role in determining the pace of implementation as well as the way that retailers choose to implement omni–channel retail.
- Perceptions of the benefits that omni–channel retailing can vary among retailers and therefore the priority also varies..
- Omni–channel retailing not only links existing channels with each other but also creates a meeting place for customers who like shopping.
- Therefore, without this sales channel in the business, customers might not have a sense of a real omni–channel.
- channel forces retailers to streamline operations, integrate supply chain platforms and re–organize supply chains..
- Differences between omni–channel and multichannel.
- Although the terms multi–channel and omni–channel are often used interchangeably, there are clear differences.
- Multi–channel refers to many supply chains used to accommodate each type of shopping experience.
- Omni–channel supply chains are completely different in that there is only one supply chain.
- Agility of omni–channel supply chains.
- Streamline supply chain operations.
- There are many variables to be considered with omni–channel supply chains.
- But more importantly, omni–channel retailers need insights into descriptive analysis, internal and external data analysis, and optimization processes to determine the right decisions on supply chains..
- Integrate supply chain platforms.
- It is impossible to manage an omni–channel supply chain without an integrated software platform that incorporates all aspects of the business.
- Omni–channel supply chains need to be flexible and able to accommodate bulk orders for stores and individual items to online shoppers.
- Omni–channel tends to support more regional distribution centers rather than large centralized hubs, and are more dependent on third–party distributors for supplying stores and delivering directly to customers.
- This study may serve as a starting point for retailers to implement a omni–channel retailing..
- Retailers who are currently implementing this omni–channel retailing can show both inspiration and guidance on what they expect from this initiative.
- This will raise awareness and motivate retailers to develop and implement omni–channel retailing..
- Omni–channel integrates all business activities and is regarded by customers as a comprehensive company in their eyes.
- Therefore, retailers operating this type of business model need to pay special attention to the impact that might have on the omni–channel strategy.
- Academic literature on omni–channel retailing and how to integrate existing channels is very limited.
- The study was conducted at exploring the impacts of omni–channel retailing on the supply chain initiatives..
- The omni–channel retailing found in the research theory have been proven and expanded to capture more overall incentives for supply chains.
- The omni–channel supply chains are markedly different from multichannel supply chains.
- A lot of researches related to the omni–channel retail sector needs to be done.
- First of all, the omni–channel concept is still fuzzy and needs to be clarified.
- As indicated in the limitations section, more omni–channel efforts than those in this research still exist.
- future study may consider what criteria should be used to determine the omni–channel retailing and when the omni–channel retailing is actually achieved and how successfully omni–channel retailing is implemented.
- This study shows that the omni–channel retailing has an influence on supply chain initiatives and therefore this finding needs further investigation.
- In addition, the impact of other business models on omni–channel strategy may be a potential problem to explore..
- E–fulfillment and multi–channel.
- Managing Multiand Omni–Channel Distribution: Metrics and Research Directions.
- (2013) Competing in the age of omni–channel retailing..
- "omni–channel".
- Toward a three–dimensional framework for omni–channel

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