Supply Chain Management

1
Supply Chain Management

• Chapter 16

2
Logistics v. Supply Chain Management

• Logistics
• Supply Chain

3
Why Now?

• Deregulation
• Managerial Attention
• Technology
• Competitive Pressures
• Increase in Big Business

4
SCM Strategy

• Identify the Consumer
• Understand the Supply Chain
• Harmonize the Supply Chain with the Marketing
  Strategy
• Efficient
• Customer requirements

5

• Information
• Importance
• Types
• Electronic Data Interchanges (EDI)
• Extranet
• Enterprise Resource Planning (ERP)

6
Customer Service

• Dimensions
• Time
• Order Cycle Time
• Quick response
• Dependability
• Communication
• Convenience
• Customer Service Standards

7
Order Cycle Time

• What is it?
• AKA Lead time
• Why is it important?
• How can it be reduced?

8
Total Logistics Cost Concept

• Transportation, materials handling and
  warehousing, inventory, stock outs, order
  processing, goods handling costs.
• Key issues

9
Logistical Functions

• Logistical functions
• Transportation
• Warehousing and Materials Handling
• Order Processing
• Inventory Management
• Third-party Logistics Providers

10
Transportation

• Railroads
• Intermodal transportation
• Motor Carriers
• Air carriers and Express Companies
• Freight Forwarders

11
Warehousing and Materials Handling/ Order
Processing

• Types of Warehouses
• Storage
• Distribution
• Materials Handling
• Order Processing

12
Inventory Management

• Reasoning
• Costs
• Capital
• Inventory
• Storage
• Risk
• Strategies
• High inventory v. JIT
• Vendor-managed Inventory

13
Reverse Logistics

• What is it?