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1、SupplyChainManagementMGT3303Reading:Chapter7LearningObjectivesUnderstandthemeaningandimportanceofsupplychainsUnderstandthestrategicissuesinsupplychainmanagementUnderstandtheoperationalchallenges,solutions,andtechniquesofsupplychainoperationsExampleofaSupplyChainSupplie
2、rsManufacturerWholesalersRetailers,e-commerceExampleDirectionofflowofdemandDirectionofflowofproductTier-IISuppliersTier-ISuppliersManufacturersDistributionCentersRetailersCustomersE-tailersTypicalSupplyChainStructureSupplyChainCustomersManufacturingSuppliersWarehousing
3、SupplyChainExamplesIttakesaboxofcereal3+monthsfromfactorytosupermarket.EfficientConsumerResponse(ECR)initiative-estimates$30billionopportunitybystreamlininggrocerysupplychainMatchingsupplyanddemand:“Boeinglost$2.6billioninOct.97duetorawmaterial,internal,andsuppliershor
4、tages…”(W.S.J.,10-23-97)SupplychainmanagementiscloselytiedtostrategicpartnershipsandlogisticsCross-dockinglogistics&inventorypracticesatWalmarthelpedthembeatKmart)SupplyChainManagementEfficientlyintegratingsuppliers,manufacturers,warehouses,andcustomerssothatproductsar
5、eproducedanddistributedattherightquantities,totherightlocations,andattherighttime,inordertominimizesystemwidecostswhilesatisfyingservicelevelrequirements.everyplayerinthesystemhastobeconsideredminimizecostsacrossthesystemefficientintegrationincludesallactivitiesfromstr
6、ategictooperationallevelinformationflowisupstream(fromretailertosupplier),butproductflowgoesdownstreamNotionofDemandChainManagementSupplyChainManagementSupplyChainManagementSupplyChainDesignSupplierSelectionPurchasingRelationshipManagementLogisticalManagementSupplyChai
7、nPerformanceKeyIssuesinSupplyChainManagementDependencecustomersdependonsuppliersintermsofpunctualityofdelivery,quality,reliability,etc.Howcanthisdependencebemanaged?Relationship/TrustByoppositiontoacontractualrelationshipWhatisagoodapproach?Effectiveness/ProductivitySu
8、pplychainperformanceComparativeadvantageKeyissueofresponsibility/equityKeyIssuesinSupplyChainManagementIntegrationHow
