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2021/2022  KAN-CCMVI2118U  Supply Chain Finance

English Title
Supply Chain Finance

Course information

Language English
Course ECTS 7.5 ECTS
Type Elective
Level Full Degree Master
Duration Summer
Start time of the course Summer
Timetable Course schedule will be posted at calendar.cbs.dk
Max. participants 60
Study board
Study Board for MSc in Economics and Business Administration
Course coordinator
  • Carsten Ørts Hansen - Department of Operations Management (OM)
For academic questions related to the course, please contact course responsible Carsten Ørts Hansen (ch.om@cbs.dk)
Main academic disciplines
  • Finance
  • Supply chain management and logistics
Teaching methods
  • Blended learning
Last updated on 01/12/2021

Relevant links

Learning objectives
At the end of the course, students should be able to identify and evaluate the financial impact of supply chain decisions in different business environments.
  • Define the different types of supply chain strategies
  • Define the supply chain capabilities required to implement each strategy type
  • Calculate the financial impact of the implementation of supply chain capabilities
  • Assess the performance of a supply chain
  • Determine initiatives to improve the performance of a supply chain
Course prerequisites
Completed Bachelor degree or equivalent. Basic knowledge of operations and financial accounting
Supply Chain Finance:
Exam ECTS 7.5
Examination form Written sit-in exam on CBS' computers
Individual or group exam Individual exam
Assignment type Written assignment
Duration 4 hours
Grading scale 7-point grading scale
Examiner(s) One internal examiner
Exam period Summer
Aids Limited aids, see the list below:
The student is allowed to bring
  • Any calculator
  • Language dictionaries in paper format
The student will have access to
  • Advanced IT application package
Make-up exam/re-exam
Same examination form as the ordinary exam
If the number of registered candidates for the make-up examination/re-take examination warrants that it may most appropriately be held as an oral examination, the programme office will inform the students that the make-up examination/re-take examination will be held as an oral examination instead.
Retake exam: 4-hour sit-in exam
Exam form for 3rd attempt (2nd retake): 72-hour home assignment, max. 10 pages.
Course content, structure and pedagogical approach

The course describes how supply chain management design decisions can positively impact company's financial performance by accelerating the pace, increasing the size and reducing the volatility and vulnerability of their associated free cash flows.

It extends the short term view, working capital focused, of the current supply chain finance literature, adopting a more strategic, shareholder value approach as long term goal.

The course reviews well-known supply chain capabilities in stable business environments and explains the classic discounted cash flow approach to value their financial impact. It also introduces modern supply chain practices to deal with market uncertainty, explaining how real options theory can be used to estimate the financial value of decisions under risk. At the end, the course provides a framework as a practical management guide for choosing and implementing the appropriate supply chain design decisions.

The course provides a clear, quantitative answer to the CEO question “what is the financial contribution of supply chain management?”


Course structure:

Class 1: Company value


Class 2: Customer orientation and strategic alignment as source of company value


Class 3: Supply chain strategy, design and capabilities


Class 4: Value impact of supply chain decisions


Class 5: Accelerating free cash flows: capabilities with focus on lead time


Class 6: Increasing free cash flows: capabilities with focus on revenues, costs and capital investments


Feedback activity: a case study will be provided


Class 7: Reducing the volatility and vulnerability of free cash flows: capabilities with focus on risk


Class 8: Valuation methods of supply chain decisions


Class 9: Real option theory


Class 10: A practitioner-oriented redesign approach for consumer goods supply chains


Class 11: Review

Description of the teaching methods
This course will be a blended learning course, three weeks in the traditional classroom and two weeks online. For online class sessions direct/live teaching through a link will be applied

In general, class activities will be a combination of lecture, discussion, and assignments solved in groups and presented individually.

Students are expected to read the relevant materials prior to the class meeting. The instructor assumes the student already knows the basic concepts, ensuring their comprehension by placing individual questions and providing examples of practical applications.
Feedback during the teaching period
A case study will be provided

Student workload
Preliminary assignment 20 hours
Classroom attendance 33 hours
Preparation 126 hours
Feedback activity 7 hours
Examination 20 hours
Further Information

Ordinary 6 weeks course.


Preliminary assignment: The course coordinator uploads Preliminary Assignment on Canvas at the end of May. It is expected that students participate as it will be included in the final exam, but the assignment is without independent assessment & grading.


Course and exam timetable is/will be available on https://www.cbs.dk/uddannelse/international-summer-university-programme-isup/courses-and-exams


We reserve the right to cancel the course if we do not get enough applications. This will be communicated on https://www.cbs.dk/uddannelse/international-summer-university-programme-isup/courses-and-exams in start March.

Expected literature

Mandatory readings:

Avanzi, B., Bicer, I., de Treville, S., and Trigeorgis, L. (2013). Real options at the interface of finance and operations: exploiting embedded supply-chain real options to gain competitiveness. European Journal of Finance 19(7/8), 760-778.

Beck, P., Hofmann, E., & Stölzle, W. (2012). One size does not fit all: An approach for differentiated supply chain management. International Journal of Services Sciences, 4(3/4), 213-239.

Christopher, M., & Holweg, M. (2011). “Supply Chain 2.0”: Managing supply chains in the era of turbulence. International Journal of Physical Distribution & Logistics Management, 41(1), 63-82.

Christopher, M., & Ryals, L. (1999). Supply chain strategy: Its impact on shareholder value. The International Journal of Logistics Management, 10(1), 1-10.


De Treville, S., & Trigeorgis, L. (2010). It may be cheaper to manufacture at home. Harvard Business Review, 88(10), 84-87.

Fine, C.H. (2000). Clockspeed-based strategies for supply chain design. Production and operations management, 9(3), 213-221.

Gligor, D. M., & Holcomb, M. C. (2012). Understanding the role of logistics capabilities in achieving supply chain agility: a systematic literature review. Supply Chain Management: An International Journal, 17(4), 438-453.

Harrison, A., & New, C. (2002). The role of coherent supply chain strategy and performance management in achieving competitive advantage: an international survey. Journal of the Operational Research Society, 53(3), 263-271.

Johnson, M., & Templar, S. (2011). The relationships between supply chain and firm performance: the development and testing of a unified proxy. International Journal of Physical Distribution & Logistics Management, 41(2), 88-103. 

Lee, H. L. (2002). Aligning supply chain strategies with product uncertainties. California management review, 44(3), 105-119.

Mason-Jones, R., Naylor, B., & Towill, D. R. (2000). Engineering the leagile supply chain. International Journal of Agile Management Systems, 2(1), 54-61.

Naylor, J. B., Naim, M. M., & Berry, D. (1999). Leagility: Integrating the lean and agile manufacturing paradigms in the total supply chain. International Journal of production economics, 62(1-2), 107-118.

Rappaport, A. (1987). Linking competitive strategy and shareholder value analysis. Journal of Business Strategy, 7(4), 58-67.

Tang, C. (2006). Robust strategies for mitigating supply chain disruptions. International Journal of Logistics: Research and Applications, 9(1), 33-45.

Wieland, A. (2013). Selecting the right supply chain based on risks. Journal of Manufacturing Technology Management, 24(5), 652-668.

Last updated on 01/12/2021