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Technical Department
SCM Overview
                             NOC OSS
                             CH 1 & 2

   NOC Infrastructure
  Marking & Class Norms                              CH # 3
                                                 NOC Integration




                                                          Case Study:
Introduction                                            NOC Operations
                                                        Bull whip effect




                          Technical Department
ZEESHAN KHAN.

   EDUCATION:
                 MBA ( SUPPLY CHAIN MANAGEMENT & PROJECT MANAGEMENT)
                 ELECTRICAL ENGINEERING ( COMMUNICATIONS)
                 2 RESEARCH ARTICLES IN IEEE.
                 PMP PDUs COMPLETED.
   EXPERIENCE:
                 WORKING IN PTCL AS MANAGER NOC (5 YEARS)
                 ASSOCIATED WITH VENDORS LIKE ZTE, HUAWEI, AL-LUCENT ETC.
                 LECTURER IN UET (ONE SEMESTER)
                 CONSULTANT FOR TELEPHONE INDUSTRIES OF PAKISTAN FOR
                    OPTIMIZING DISTRIBUTION SYSTEM OF TELEPHONE SETS
                 GUEST SPEAKER TO MS-ENGINEERING MANAGEMENT
                    PROFESSIONALS FOR QUALITY FUNCTION DEPLOYMENT.
                 CONDUCTED SEVERAL PRESENTATION TO ROSHAN TELECOM
                     AFGHANISTAN, ETISILAT GROUP UAE & PAK ARMED FORCES

                                AND MANY OTHERS
                               Technical Department
ZEESHAN KHAN.

    COMMUNICATE:
                     zeeshanpmp@gmail.com
                     0345-9571133 (only in case of emergency)



Your Introduction:

    Name                Student ID           Current Semester & MBA/BBA   CGPA:
    Specialization            Signature




                                     Technical Department
SCM Overview
                             NOC OSS
                             CH 1 & 2

   NOC Infrastructure
  Marking & Class Norms                              CH # 3
                                                 NOC Integration




                                                          Case Study:
Introduction                                            NOC Operations
                                                        Bull whip effect




                          Technical Department
MARKING:

   DISTRIBUTION:

                      Quizzes…(5%)
                      Assignments…(10%)
                      Grand Quizzes/Presentation…(10%)
                      Mid-Term…(25%)
                      End-Term…(40%)
                      Class participation marks (-10% up to +10%)
   WHAT YOU HAVE GOT:

                   I HAVE GIVEN YOU 100/100 MARKS (i-e A GRADE)
                   NOW ITS UP TO YOU … DON’T LOSE MARKS AND SUSTAIN YOUR
                       POSITION.
                   12 MARKS MARGIN FOR      A GRADE.
                   18 MARKS MARGIN FOR B+ GRADE &
                   40 MARKS MARGIN FOR F GRADE.

                                Technical Department
NORMS:

               Late comers not allowed ( margin 10 mins)
               Assignments (suggestion: do at your own)
               Quiz (in the class in which assignment is to be
                submitted)
               Bonus quiz (any time, ADD to class participation marks)


                 No LAUGH on questions being asked by fellow students
                  or if there is a wrong answer.

                 CONDUCIVE LEARNING ENVIRONMENT

VIOLATIONS:

                           WILL LEAD TO REDUCTION IN
                           CLASS PARTICIPATION MARKS
                                     (-10% TO +10%)
                    THAT COULD HURT YOUR GRADES EVENTUALLY.
                           Technical Department
SCM Overview
                             NOC OSS
                             CH 1 & 2

   NOC Infrastructure
  Marking & Class Norms                              CH # 3
                                                 NOC Integration




                                                          Case Study:
Introduction                                            NOC Operations
                                                        Bull whip effect




                          Technical Department
What is Supply chain Management? Why SCM is important or why companies
  put emphasis on SCM?

    SCM:



      “A supply chain is the alignment of firms that bring products or
      services to market.”—from Lambert, Stock, and Ellram



      “A supply chain consists of all stages involved, directly or indirectly,
      in fulfilling a customer request. The supply chain not only includes
      the manufacturer and suppliers, but also transporters, warehouses,
      retailers, and customers themselves.”—
      from Chopra and Meindle


                              Technical Department
What is Supply chain Management? Why SCM is important or why companies
  put emphasis on SCM?

    SCM:

      “A supply chain is a network of facilities and distribution
      options that performs the functions of procurement of
      materials, transformation of these materials into intermediate
      and finished products, and the distribution of these finished
      products to customers.”—from Ganeshan and Harrison


        Supply chain management is the coordination of production,
        inventory, location, and transportation among the participants
        in a supply chain to achieve the best mix of responsiveness
        and efficiency for the market being served.”—


                             Technical Department
What is Supply chain Management? Why SCM is important or why companies
  put emphasis on SCM?

    SCM:



       A set of approaches used to efficiently integrate
       Suppliers
       Manufacturers
       Warehouses
       Distribution centers
       So that the product is produced and distributed
       In the right quantities
       To the right locations
       And at the right time
       System-wide costs are minimized and
       Service level requirements are satisfied
                             Technical Department
What is Supply chain Management? Why SCM is important or why companies
  put emphasis on SCM?

      SCM: Source of Competitive advantage

 Suppliers                         Manufacturers                  Warehouses &                    Customers
                                                               Distribution Centers




                  Transportation                   Transportation
                      Costs                            Costs
Material Costs                                                                        Transportation
                               Manufacturing Costs
                                     Technical Department           Inventory Costs       Costs
What is Supply chain Management? Why SCM is important or why companies
  put emphasis on SCM?


Why Is SCM Difficult?

      •   Uncertainty is inherent to every supply chain
           –   Travel times
           –   Breakdowns of machines and vehicles
           –   Weather, natural catastrophe, war
           –   Local politics, labor conditions, border issues

      •   The complexity of the problem to globally optimize a supply
          chain is significant
           –   Minimize internal costs
           –   Minimize uncertainty
           –   Deal with remaining uncertainty


                                Technical Department
What is Supply chain Management? Why SCM is important or why companies
  put emphasis on SCM?

The Importance of Supply Chain Management
   •   Dealing with uncertain environments – matching supply and
       demand
        –   Boeing announced a $2.6 billion write-off in 1997 due to “raw
            materials shortages, internal and supplier parts shortages and
            productivity inefficiencies”
        –   U.S Surgical Corporation announced a $22 million loss in 1993 due
            to “larger than anticipated inventories on the shelves of
            hospitals”
        –   IBM sold out its supply of its new Aptiva PC in 1994 costing it
            millions in potential revenue
        –   Hewlett-Packard and Dell found it difficult to obtain important
            components for its PC’s from Taiwanese suppliers in 1999 due to
            a massive earthquake
   •   U.S. firms spent $898 billion (10% of GDP) on supply-chain
       related activities in 1998
                               Technical Department
Competitive and Supply Chain Strategies?


Competitive Strategy:
   •   Competitive strategy: defines the set of customer needs a firm
       seeks to satisfy through its products and services, relative to its
       competitors.
        – Wallmart – low price, product availability
        – Dell – Customization and variety
   •   Priories of the customer is the determining factor in
       competitive strategy.




                                  Technical Department
Competitive and Supply Chain Strategies?


SC Strategy:
   Supply chain strategy:
   •Determines the nature of material procurement, transportation of
   materials, manufacture of product or creation of service,
   distribution of product.
   •Determines the broad structure, what the processes within
   company must focus “to do well”, and what roles each entity in the
   supply chain should play.
   •Supply chain strategy is simply the collection of the strategies for
   new product development, marketing, operations, distributions,
   and service.

   •Consistency and support between supply chain strategy,
   competitive strategy, and other functional strategies is
   important.

                              Technical Department
Competitive and Supply Chain Strategies?


Seven Eleven Japan
   •   A chain of small stores selling groceries and variety of products
       and services.
   •   Competitive strategy; convenience and easy access to stores,
       availability of variety of products and services (like bill
       payment).
   •   Supply chain strategy; emphasizing the convenience and
       variety in marketing, high density of stores, excellent
       information system, very responsive forecasting and inventory
       management system, flexible distribution system in delivery
       schedules.




                              Technical Department
Competitive and Supply Chain Strategies?


DELL:
   Competitive strategy; Customization and variety at reasonable
   price.
   Supply chain strategy; broad structure-direct sale to customer,
   built-to-order system to achieve the customization and variety,
   using internet (or phone) and e-business for customization, no
   finished product inventory, low component inventories, close
   relations and information sharing with suppliers for speedy
   delivery and reduced defects, using parcel carriers for speedy
   delivery, a few assembly plants for economies of scale in
   production.




                              Technical Department
Achieving Strategic Fit:


Dell Achieving Strategic Fit: Which option is better?
   •   Competitive strategy; Customization and variety
   •   Supply chain strategy;
   •   Two extreme options;
   •   Efficient supply chain for low cost products (consolidated
       production and distribution, dedicated production capacity,
       limited variety, slow modes of distribution, standard products
       etc.)
   •   Responsive supply chain; Flexible production capacity, fast
       distribution options, product variety, designing easily
       customizable products with as many as possible common
       components)

    Second option of course better fits with competitive strategy of Dell.

                                Technical Department
SCM Overview
                             NOC OSS
                             CH 1 & 2

   NOC Infrastructure
  Marking & Class Norms                              CH # 3
                                                 NOC Integration




                                                          Case Study:
Introduction                                            NOC Operations
                                                        Bull whip effect




                          Technical Department
Planning Supply and Demand in a Supply Chain:
                     Managing Predictable Variability

Predictable variability :

    Predictable variability is change in demand that can be forecasted.
    Can cause increased costs and decreased responsiveness in the
    supply chain
    A firm can handle predictable variability using two broad
    approaches:
    Manage supply using capacity, inventory & subcontracting
    Manage demand using short-term price discounts and trade
    promotions.




                             Technical Department
Planning Supply and Demand in a Supply Chain:
                    Managing Predictable Variability

Predictable variability : Managing Supply

   Managing capacity
   Time flexibility from workforce
   Use of seasonal workforce
   Use of subcontracting
   Use of dual facilities – dedicated and flexible
   Designing product flexibility into production processes
   Managing inventory
   Building inventory of high demand or predictable demand
   products




                            Technical Department
Planning Supply and Demand in a Supply Chain:
                    Managing Predictable Variability

Predictable variability : Managing Supply

   Inventory Capacity Trade-off:
   Leveling capacity forces inventory to build up in anticipation of
   seasonal variation in demand
   Carrying low levels of inventory requires capacity to vary with
   seasonal variation in demand or enough capacity to cover peak
   demand during season




                            Technical Department
Planning Supply and Demand in a Supply Chain:
                    Managing Predictable Variability

Predictable variability : Managing Supply

   Implementing Solutions to Predictable Variability in Practice
   Coordinate planning across enterprises in the supply chain
   Take predictable variability into account when making strategic
   decisions
   Preempt, do not just react to, predictable variability




                            Technical Department
Planning Supply and Demand in a Supply Chain:
                     Managing Predictable Variability

Predictable variability : Managing Demand

      Promotion
      Pricing
      Timing of promotion and pricing changes is important
      Demand increases can result from a combination of factors:
         Market growth (increased sales, increased market size)
         Stealing share (increased sales, same market size)




                                Technical Department
Planning Supply and Demand in a Supply Chain:
                   Managing Predictable Variability

Assignment # 1:

    How can supply be managed to improve synchronization in the
     supply chain in the face of predictable variability?

    How can demand be managed to improve synchronization in
     the supply chain in the face of predictable variability?

    How can strategic planning be used to maximize profitability
     when faced with predictable variability in the supply chain?

    Submit by next Saturday (hardcopy, Computerized Print)
       +2 BONUS MARKS if softcopy is sent before 25th september
          11:59:59 pm


                           Technical Department
SCM Overview
                             NOC OSS
                             CH 1 & 2

   NOC Infrastructure
  Marking & Class Norms                              CH # 3
                                                 NOC Integration




                                                          Case Study:
Introduction                                            NOC Operations
                                                        Bull whip effect




                          Technical Department
Bull whip Effect


Read NOW and be prepared for the quiz in the
               next class.




             Technical Department

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Basics of scm

  • 2. SCM Overview NOC OSS CH 1 & 2 NOC Infrastructure Marking & Class Norms CH # 3 NOC Integration Case Study: Introduction NOC Operations Bull whip effect Technical Department
  • 3. ZEESHAN KHAN. EDUCATION: MBA ( SUPPLY CHAIN MANAGEMENT & PROJECT MANAGEMENT) ELECTRICAL ENGINEERING ( COMMUNICATIONS) 2 RESEARCH ARTICLES IN IEEE. PMP PDUs COMPLETED. EXPERIENCE: WORKING IN PTCL AS MANAGER NOC (5 YEARS) ASSOCIATED WITH VENDORS LIKE ZTE, HUAWEI, AL-LUCENT ETC. LECTURER IN UET (ONE SEMESTER) CONSULTANT FOR TELEPHONE INDUSTRIES OF PAKISTAN FOR OPTIMIZING DISTRIBUTION SYSTEM OF TELEPHONE SETS GUEST SPEAKER TO MS-ENGINEERING MANAGEMENT PROFESSIONALS FOR QUALITY FUNCTION DEPLOYMENT. CONDUCTED SEVERAL PRESENTATION TO ROSHAN TELECOM AFGHANISTAN, ETISILAT GROUP UAE & PAK ARMED FORCES AND MANY OTHERS Technical Department
  • 4. ZEESHAN KHAN. COMMUNICATE: zeeshanpmp@gmail.com 0345-9571133 (only in case of emergency) Your Introduction: Name Student ID Current Semester & MBA/BBA CGPA: Specialization Signature Technical Department
  • 5. SCM Overview NOC OSS CH 1 & 2 NOC Infrastructure Marking & Class Norms CH # 3 NOC Integration Case Study: Introduction NOC Operations Bull whip effect Technical Department
  • 6. MARKING: DISTRIBUTION:  Quizzes…(5%)  Assignments…(10%)  Grand Quizzes/Presentation…(10%)  Mid-Term…(25%)  End-Term…(40%)  Class participation marks (-10% up to +10%) WHAT YOU HAVE GOT: I HAVE GIVEN YOU 100/100 MARKS (i-e A GRADE) NOW ITS UP TO YOU … DON’T LOSE MARKS AND SUSTAIN YOUR POSITION. 12 MARKS MARGIN FOR A GRADE. 18 MARKS MARGIN FOR B+ GRADE & 40 MARKS MARGIN FOR F GRADE. Technical Department
  • 7. NORMS:  Late comers not allowed ( margin 10 mins)  Assignments (suggestion: do at your own)  Quiz (in the class in which assignment is to be submitted)  Bonus quiz (any time, ADD to class participation marks)  No LAUGH on questions being asked by fellow students or if there is a wrong answer.  CONDUCIVE LEARNING ENVIRONMENT VIOLATIONS: WILL LEAD TO REDUCTION IN CLASS PARTICIPATION MARKS (-10% TO +10%) THAT COULD HURT YOUR GRADES EVENTUALLY. Technical Department
  • 8. SCM Overview NOC OSS CH 1 & 2 NOC Infrastructure Marking & Class Norms CH # 3 NOC Integration Case Study: Introduction NOC Operations Bull whip effect Technical Department
  • 9. What is Supply chain Management? Why SCM is important or why companies put emphasis on SCM? SCM: “A supply chain is the alignment of firms that bring products or services to market.”—from Lambert, Stock, and Ellram “A supply chain consists of all stages involved, directly or indirectly, in fulfilling a customer request. The supply chain not only includes the manufacturer and suppliers, but also transporters, warehouses, retailers, and customers themselves.”— from Chopra and Meindle Technical Department
  • 10. What is Supply chain Management? Why SCM is important or why companies put emphasis on SCM? SCM: “A supply chain is a network of facilities and distribution options that performs the functions of procurement of materials, transformation of these materials into intermediate and finished products, and the distribution of these finished products to customers.”—from Ganeshan and Harrison Supply chain management is the coordination of production, inventory, location, and transportation among the participants in a supply chain to achieve the best mix of responsiveness and efficiency for the market being served.”— Technical Department
  • 11. What is Supply chain Management? Why SCM is important or why companies put emphasis on SCM? SCM: A set of approaches used to efficiently integrate Suppliers Manufacturers Warehouses Distribution centers So that the product is produced and distributed In the right quantities To the right locations And at the right time System-wide costs are minimized and Service level requirements are satisfied Technical Department
  • 12. What is Supply chain Management? Why SCM is important or why companies put emphasis on SCM? SCM: Source of Competitive advantage Suppliers Manufacturers Warehouses & Customers Distribution Centers Transportation Transportation Costs Costs Material Costs Transportation Manufacturing Costs Technical Department Inventory Costs Costs
  • 13. What is Supply chain Management? Why SCM is important or why companies put emphasis on SCM? Why Is SCM Difficult? • Uncertainty is inherent to every supply chain – Travel times – Breakdowns of machines and vehicles – Weather, natural catastrophe, war – Local politics, labor conditions, border issues • The complexity of the problem to globally optimize a supply chain is significant – Minimize internal costs – Minimize uncertainty – Deal with remaining uncertainty Technical Department
  • 14. What is Supply chain Management? Why SCM is important or why companies put emphasis on SCM? The Importance of Supply Chain Management • Dealing with uncertain environments – matching supply and demand – Boeing announced a $2.6 billion write-off in 1997 due to “raw materials shortages, internal and supplier parts shortages and productivity inefficiencies” – U.S Surgical Corporation announced a $22 million loss in 1993 due to “larger than anticipated inventories on the shelves of hospitals” – IBM sold out its supply of its new Aptiva PC in 1994 costing it millions in potential revenue – Hewlett-Packard and Dell found it difficult to obtain important components for its PC’s from Taiwanese suppliers in 1999 due to a massive earthquake • U.S. firms spent $898 billion (10% of GDP) on supply-chain related activities in 1998 Technical Department
  • 15. Competitive and Supply Chain Strategies? Competitive Strategy: • Competitive strategy: defines the set of customer needs a firm seeks to satisfy through its products and services, relative to its competitors. – Wallmart – low price, product availability – Dell – Customization and variety • Priories of the customer is the determining factor in competitive strategy. Technical Department
  • 16. Competitive and Supply Chain Strategies? SC Strategy: Supply chain strategy: •Determines the nature of material procurement, transportation of materials, manufacture of product or creation of service, distribution of product. •Determines the broad structure, what the processes within company must focus “to do well”, and what roles each entity in the supply chain should play. •Supply chain strategy is simply the collection of the strategies for new product development, marketing, operations, distributions, and service. •Consistency and support between supply chain strategy, competitive strategy, and other functional strategies is important. Technical Department
  • 17. Competitive and Supply Chain Strategies? Seven Eleven Japan • A chain of small stores selling groceries and variety of products and services. • Competitive strategy; convenience and easy access to stores, availability of variety of products and services (like bill payment). • Supply chain strategy; emphasizing the convenience and variety in marketing, high density of stores, excellent information system, very responsive forecasting and inventory management system, flexible distribution system in delivery schedules. Technical Department
  • 18. Competitive and Supply Chain Strategies? DELL: Competitive strategy; Customization and variety at reasonable price. Supply chain strategy; broad structure-direct sale to customer, built-to-order system to achieve the customization and variety, using internet (or phone) and e-business for customization, no finished product inventory, low component inventories, close relations and information sharing with suppliers for speedy delivery and reduced defects, using parcel carriers for speedy delivery, a few assembly plants for economies of scale in production. Technical Department
  • 19. Achieving Strategic Fit: Dell Achieving Strategic Fit: Which option is better? • Competitive strategy; Customization and variety • Supply chain strategy; • Two extreme options; • Efficient supply chain for low cost products (consolidated production and distribution, dedicated production capacity, limited variety, slow modes of distribution, standard products etc.) • Responsive supply chain; Flexible production capacity, fast distribution options, product variety, designing easily customizable products with as many as possible common components) Second option of course better fits with competitive strategy of Dell. Technical Department
  • 20. SCM Overview NOC OSS CH 1 & 2 NOC Infrastructure Marking & Class Norms CH # 3 NOC Integration Case Study: Introduction NOC Operations Bull whip effect Technical Department
  • 21. Planning Supply and Demand in a Supply Chain: Managing Predictable Variability Predictable variability : Predictable variability is change in demand that can be forecasted. Can cause increased costs and decreased responsiveness in the supply chain A firm can handle predictable variability using two broad approaches: Manage supply using capacity, inventory & subcontracting Manage demand using short-term price discounts and trade promotions. Technical Department
  • 22. Planning Supply and Demand in a Supply Chain: Managing Predictable Variability Predictable variability : Managing Supply Managing capacity Time flexibility from workforce Use of seasonal workforce Use of subcontracting Use of dual facilities – dedicated and flexible Designing product flexibility into production processes Managing inventory Building inventory of high demand or predictable demand products Technical Department
  • 23. Planning Supply and Demand in a Supply Chain: Managing Predictable Variability Predictable variability : Managing Supply Inventory Capacity Trade-off: Leveling capacity forces inventory to build up in anticipation of seasonal variation in demand Carrying low levels of inventory requires capacity to vary with seasonal variation in demand or enough capacity to cover peak demand during season Technical Department
  • 24. Planning Supply and Demand in a Supply Chain: Managing Predictable Variability Predictable variability : Managing Supply Implementing Solutions to Predictable Variability in Practice Coordinate planning across enterprises in the supply chain Take predictable variability into account when making strategic decisions Preempt, do not just react to, predictable variability Technical Department
  • 25. Planning Supply and Demand in a Supply Chain: Managing Predictable Variability Predictable variability : Managing Demand  Promotion  Pricing  Timing of promotion and pricing changes is important  Demand increases can result from a combination of factors:  Market growth (increased sales, increased market size)  Stealing share (increased sales, same market size) Technical Department
  • 26. Planning Supply and Demand in a Supply Chain: Managing Predictable Variability Assignment # 1:  How can supply be managed to improve synchronization in the supply chain in the face of predictable variability?  How can demand be managed to improve synchronization in the supply chain in the face of predictable variability?  How can strategic planning be used to maximize profitability when faced with predictable variability in the supply chain?  Submit by next Saturday (hardcopy, Computerized Print)  +2 BONUS MARKS if softcopy is sent before 25th september 11:59:59 pm Technical Department
  • 27. SCM Overview NOC OSS CH 1 & 2 NOC Infrastructure Marking & Class Norms CH # 3 NOC Integration Case Study: Introduction NOC Operations Bull whip effect Technical Department
  • 28. Bull whip Effect Read NOW and be prepared for the quiz in the next class. Technical Department

Editor's Notes

  1. It is all about Perfection Excellence Staying ahead of other.
  2. It is all about Perfection Excellence Staying ahead of other.
  3. It is all about Perfection Excellence Staying ahead of other.
  4. It is all about Perfection Excellence Staying ahead of other.
  5. It is all about Perfection Excellence Staying ahead of other.