The “last yard” of the supply chain:
co-creation of value-in-context
Research challenge
The end-to-end process for value realisation
consists of creation of the value proposition by
the supply chain and exploitation of that
proposition to co-create value in context by the
consumer. What theories can be brought to
bear in support of achieving consumer-centric
supply chains?
Some definitions
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Service-Dominant Logic (SDL): four axioms: service is the fundamental basis of exchange; the customer is always a co-creator of value; all economic and social actors are
resource integrators; value is always uniquely and phenomenologically determined by the beneficiary
Value-in-context: the consumer integrates resources from the supply chain and elsewhere to co-create value in their situation
Adherence: “the extent to which a person’s behavior [in] taking medication… corresponds with agreed recommendations from a health care provider”
Last yard: the process of consumption, eg. “from hand to mouth”. From an SDL perspective it is the “first yard”
Motivation: “a certain level of readiness to take action”.
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Theoretical basis
1. A simplistic model of supply chain and
consumption does not reflect complex reality
2. A more realistic understanding shows a lack of
theory coverage but Service-Dominant Logic and
Adherence provide insights
3. To fully understand the “last yard” so that supply
chains can become consumer centric requires the
synthesis and extension of these theories and
viewpoints.
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Theoretical progress
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1. “Paradox of Value” Integrated Value Framework
2. Unified Model of Task-Specific Motivation
(UMTM)
3. Further development of UMTM incorporating
SDL and Paradox of Value
4. Theoretical work to show that all consumption is
actually adherence to one or more constraints
5. The “last yard” as a new supply chain construct
(“first yard” from SDL perspective).
Research questions (draft)
The case study (planned)
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How does the concept of agency modify
consumption theory to introduce adherence?
How do affordance and agency combine in a
consumption context to permit value cocreation?
What aspects of context might mitigate
against value co-creation and how do these
relate to adherence?
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Prescription drug consumption as a specific case of adherence
Sub-Saharan Africa as a specific context (resource-poor environment) where practical restrictions on consumption might override motivation to mitigate against value cocreation
The focus is on developing theoretical coverage of the end-to-end value realisation process (supply chain to consumption) assisted by the “last yard”/”first yard” construct
The impact of the theoretical research will be in identifying supply chain changes that can improve consumption in the case of drug adherence in sub-Saharan Africa.
Selected references
• Bhaskar: Bhaskar, R. (1998). Critical Realism: Essential Readings. (M. Archer, R. Bhaskar, A. Collier, T. Lawson, & A. Norrie, Eds.) (p. 760). Abingdon, Oxon: Routledge
• Motivation Theory: De Brabander, C. J., & Martens, R. L. (2014). Towards a unified theory of task-specific motivation. Educational Research Review, 11, 27–44
• Service-Dominant Logic: Vargo, S. L., & Lusch, R. F. (Eds.). (2006). The Service-dominant Logic of Marketing: Dialog, Debate, and Directions (p. 449). Armonk, N.Y.: M.E. Sharpe
• Adherence: WHO, 2003, quoted in ASCPF, & ASA. (2006). Adult Meducation: Improving Medication Adherence in Older Adults (p. 96)
• Consumption Theory: Ilmonen, K. (2011). A Social and Economic Theory of Consumption. (P. Sulkunen, K. Rahkonen, J. Gronow, A. Noro, & A. Warde, Eds.) (p. 250). Basingstoke: Palgrave Macmillan
• Paradox of Value: Ng, I. C. L., & Phillips, L. A. (2013). An Integrative Framework of Value. In Toward a Better Understanding of the Role of Value in Markets and Marketing (Vol. 9, pp. 207–243). Emerald Group Publishing Limited.
Peter Ward
p.m.ward@warwick.ac.uk