Group 4   Supply Chain Synchronisation For Effective Operations Planning (Rev)
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  • 1.
      • Supply Chain Synchronization for Effective Operation Planning
    Group 4 Lek Yen Hoon Koh Mei York Zheng Liyue
  • 2. CONTENTS Introduction of Supply Chain Management Eight Dimensions of Supply Chain Synchronisation Operation Planning
  • 3.
    • Supply chain management (SCM) is the process of planning , implementing , and controlling the operations of the supply chain as efficiently as possible.
    • Supply Chain Management spans all movement and storage of raw materials, work-in-process inventory, and finished goods from point-of-origin to point-of-consumption.
  • 4.
    • Supply Chain Synchronisation is becoming the most important way to develop higher levels of supply chain competitive advantage.
    • To achieve the highest level of supply chain synchronization benefit, you must address eight different dimensions of the supply chain.
  • 5.
  • 6.
    • Educate the people. Explain in simple terms what synchronization is, what it intends to achieve, how it intends to achieve it and what their part is in it.
    • Continue direct communication throughout the project to help develop linkages between employees of participating firms.
    • Facilitate about data and ongoing communication is critical to ensure product, ordering and systems information are correctly updated to support the coordinated scheduling.
  • 7.
    • Develop the supply chain schedule
    • Have realistic expectations
    • Map the current process
    • Allow for variances
    • Err on the safe side
    • Overlay volume and density information
    • Inform the participants
    • Collecting data is streamlining the process to minimize additional work.
    • Data collection should be a by product of the supply chain process, not activity unto itself.
  • 8.
    • Order Timing – Map and understand current supply chain flows and timings by developing a new, optimized supply chain synchronization model.
    • Unitization - taking production at the locations and rates it is most efficient to take it, without disruption of the scheme by the legal rights inhering in competing properties
    • This is partially completed by the barcode symbology (or RFID in advanced cases) and the purchase order.
    • These two key data streams can be easily integrated into the supply chain synchronization processes.
  • 9.
    • Collect information about each exception for monitoring and improvement purposes
    • Exceptions should be manageable to prevent flaws in the information used to build the synchronized system
    • The base level of service required is to determine the required service level or delivery lead time that is acceptable
    • Once this determination is made, transportation mode and optimal load mix density will be selected
  • 10.
    • Rules and methods for ongoing adjustment and optimization of the process should be defined
    • Integrate the ability to switch to varying size and capacity of containers
    • Careful monitoring of these optimization opportunities will make the appropriate timing for such initiatives readily apparent
  • 11.
    • Operations Planning is a process where the executives of an organization gather monthly to review previous performance against plans and if necessary create new plans.
    • The input to the process is the forecast and the output of the S&OP is the production plan, the demand plan, as well as the many other plans that are derived from these.
    • The objective of Operations Planning is to arrive at a business "Game Plan" to help manage and allocate critical resources to meet the needs of the customer at the least cost to do so.
    • S&OP works on pre-agreed Key Performance Indicators. It helps the Managers to identify the area for improvements through these KPI and track the plan vs. actual performance.
  • 12.
    • Improved customer service
    • Reduced inventory
    • Lower manufacturing & distribution costs
    • Better control of overall business performance
    • Increased team work within and across functions
  • 13.
  • 14.
  • 15.
    • Supply Chain tends to focus on purchasing and procurement, but not necessarily so. It can include materials, inventory, and production planning.