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Supply Chain Management
‫مهندس‬
/
‫فـودة‬ ‫تـامـر‬
‫التوريد‬ ‫و‬ ‫االمداد‬ ‫سالسل‬ ‫تطبيقات‬ ‫استشاري‬
‫المهندس‬ ‫عن‬ ‫تعريفية‬ ‫نبذة‬
‫فـودة‬ ‫تـامـر‬

‫من‬ ‫أكثر‬ ‫خبرة‬
18
‫من‬ ‫أكثر‬ ‫تنفيذ‬ ‫مع‬ ‫التوريد‬ ‫و‬ ‫االمداد‬ ‫سالسل‬ ‫ادارة‬ ‫في‬ ‫أوراكل‬ ‫تطبيقات‬ ‫في‬ ‫عاما‬
50
‫من‬ ‫أكثر‬ ‫في‬ ‫ناجح‬ ‫مشروع‬
10
‫العالم‬ ‫حول‬ ‫دول‬

‫القاهرة‬ ‫بجامعة‬ ‫المشروعات‬ ‫ادارة‬ ‫في‬ ‫دكتوراة‬ ‫باحث‬ ‫حاليا‬
–
‫مصر‬

‫ميتروبوليتان‬ ‫كارديف‬ ‫جامعة‬ ‫من‬ ‫المشروعات‬ ‫ادارة‬ ‫في‬ ‫ماجستير‬ ‫على‬ ‫حاصل‬
–
‫بريطانيا‬

‫والتكنولوجيا‬ ‫للعلوم‬ ‫العربية‬ ‫االكاديمية‬ ‫من‬ ‫االعمال‬ ‫ادارة‬ ‫في‬ ‫ماجستير‬ ‫على‬ ‫حاصل‬
–
‫مصر‬

‫كواليفي‬ ‫من‬ ‫القيادة‬ ‫و‬ ‫االستراتيجية‬ ‫االدارة‬ ‫في‬ ‫دبلومة‬ ‫على‬ ‫حاصل‬
–
‫بريطانيا‬

‫جينيفا‬ ‫معهد‬ ‫من‬ ‫الدولية‬ ‫األعمال‬ ‫ادارة‬ ‫في‬ ‫ماجستير‬ ‫على‬ ‫حاصل‬
–
‫سويسرا‬

‫السويس‬ ‫قناة‬ ‫جامعة‬ ‫من‬ ‫االليكترونيات‬ ‫و‬ ‫االتصاالت‬ ‫في‬ ‫الهندسة‬ ‫بكالريوس‬ ‫على‬ ‫حاصل‬
–
‫مصر‬

‫الدولية‬ ‫الشهادات‬ ‫على‬ ‫حاصل‬
CISCM
‫و‬
CISCP
‫و‬
CIPM
‫و‬
CIPP
‫االمداد‬ ‫سالسل‬ ‫إلدارة‬ ‫الدولي‬ ‫المعهد‬ ‫من‬ ‫المشتريات‬ ‫ادارة‬ ‫و‬ ‫التوريد‬ ‫و‬ ‫االمداد‬ ‫سالسل‬ ‫ادارة‬ ‫في‬
‫والمشتريات‬ ‫التوريد‬
IPSCMI
–
‫األمريكية‬ ‫المتحدة‬ ‫الواليات‬

‫الدولية‬ ‫الشهادات‬ ‫على‬ ‫حاصل‬
PMP
‫و‬
RMP
‫و‬
SP
‫المشاريع‬ ‫ادارة‬ ‫معهد‬ ‫من‬ ‫الزمنية‬ ‫الجداول‬ ‫و‬ ‫والمخاطر‬ ‫المشاريع‬ ‫ادارة‬ ‫في‬
PMI
–
‫االمريكية‬ ‫المتحدة‬ ‫الواليات‬

‫الدولية‬ ‫الشهادات‬ ‫على‬ ‫حاصل‬
PRINCE2
‫و‬
ITIL
‫أكسيلوس‬ ‫من‬ ‫المعلومات‬ ‫تكنولوجيا‬ ‫خدمات‬ ‫ادارة‬ ‫و‬ ‫المشاريع‬ ‫ادارة‬ ‫في‬
Axelos
–
‫بريطانيا‬

‫لين‬ ‫شهادة‬ ‫على‬ ‫حاصل‬
6
‫من‬ ‫الشاملة‬ ‫الجودة‬ ‫ادارة‬ ‫في‬ ‫سيجما‬
IASSC
–
‫األمريكية‬ ‫المتحدة‬ ‫الواليات‬

‫على‬ ‫حاصل‬
26
‫ا‬ ‫و‬ ‫المنتجات‬ ‫و‬ ‫التكاليف‬ ‫و‬ ‫الطلبات‬ ‫و‬ ‫المفاوضات‬ ‫و‬ ‫العقود‬ ‫و‬ ‫المشتريات‬ ‫و‬ ‫المخزون‬ ‫و‬ ‫المستودعات‬ ‫ادارة‬ ‫في‬ ‫أوراكل‬ ‫شركة‬ ‫من‬ ‫دولية‬ ‫شهادة‬
‫ل‬
‫ت‬
‫و‬ ‫صنيع‬
‫الصيانة‬
–
‫األمريكية‬ ‫المتحدة‬ ‫الواليات‬

‫والمشتريات‬ ‫التوريد‬ ‫االمداد‬ ‫سلسلة‬ ‫إلدارة‬ ‫الدولي‬ ‫المعهد‬ ‫و‬ ‫المصرية‬ ‫المهندسين‬ ‫نقابة‬ ‫و‬ ‫العرب‬ ‫المهندسين‬ ‫اتحاد‬ ‫عضو‬
IPSCMI
‫معهد‬ ‫و‬ ‫أوراكل‬ ‫جامعة‬ ‫و‬ ‫اكسيلوس‬ ‫و‬
‫المشاريع‬ ‫ادارة‬
PMI
Agenda
I n t r o d u c t i o n t o S u p p l y C h a i n
M a n a g e m e n t
1
D e m a n d M a n a g e m e n t a n d
F o r e c a s t i n g
2
I n v e n t o r y M a n a g e m e n t a n d
P r o d u c t L i f e c y c l e M a n a g e m e n t
3
W a r e h o u s e M a n a g e m e n t
4
T r a n s p o r t a t i o n M a n a g e m e n t
5
6
7 L o g i s t i c s M a n a g e m e n t
8
S u p p l y C h a i n O p e r a t i o n s
E x c e l l e n c e
11
S u p p l y C h a i n M a n a g e m e n t
K P I s
12
S C M E R P A p p l i c a t i o n s
13
F u t u r e o f S u p p l y C h a i n
M a n a g e m e n t
14
P r o c u r e m e n t a n d S o u r c i n g
P r o d u c t i o n P l a n n i n g ,
M o n i t o r i n g , a n d C o n t r o l
O r d e r M a n a g e m e n t
9
A s s e t M a n a g e m e n t
10
Introduction to Supply
Chain Management
(1)
Supply Chain Management Definition
• Supply Chain Management (SCM), the management of the flow of goods and services,
involves the movement and storage of raw materials, work-in-process inventory, and
finished goods from point of origin to point of consumption.
• Supply Chain Management (SCM), is the control of materials, information, and
finances as they move in a process from supplier to manufacturer to wholesaler to
retailer to consumer. Supply chain management involves coordinating and integrating
these flows within and among companies.
• It is said that the ultimate goal of any effective supply chain management system is to
reduce inventory (with the assumption that materials and products are available when
needed).
Supply Chain Flow (Simple Flow)
The Right Supply Chain Management
Supply Chain Flow (Expanded Flow)
Supply Chain Flow (Transportation Flow)
Everyone is a Supply Chain Practitioner by Nature
History of Supply Chain Management
World War II
Sep 1, 1939 – Sep 2, 1945
Types of Supply Chain
Demand Management
and Forecasting
(2)
Demand Management
• Defined as “focused efforts to estimate and manage
customers’ demand, with the intention of using this
information to shape operating decisions.”
• Gathering and analyzing knowledge about consumers, their
problems, and their unmet needs.
Demand Management
Demand Planning Process Steps
Approve
Forecast
Analyze
Demand
Plan
Metrics
Review
&Modify
Forecast
Generate
Statistical
Forecast
Create
Demand
Plan
Collect
&Load
Historical
Demand
Forecast Methods
There are four basic methods to use when doing forecasts.
Most forecasts are done using various combinations of these four
methods
Forecast Qualitative Technique
• Projections based on judgment, expectations. and informed opinions.
• By their nature, they are subjective.
• Qualitative techniques are used to forecast general business trends and
the potential demand for large families of products over an extended
period of time.
• They are used mainly by senior management.
Forecast Quantitative Technique
• Quantitative forecasting techniques are based on the assumption
that what happened in the past will happen in the future.
• Historical data is usually recorded in the organization and is readily
available.
• They are usually used as input to master production scheduling
where end-item forecasts are needed for the planning horizon of the
plan
Forecast Quantitative Methods
• Causal Techniques: Based on External Data such as economic indicators, or income
figures. Least Square Regression Analysis usually used.
• Moving Average (Naïve, Simple & Weighted): Assumes that sales of this
month will be the same as those last month (Simple), or the average demand for, say, the last
three or six periods and use that figure as the forecast for the next period. This forecast would
then always be based on the average of the actual demand over the specified period.
• Exponential Smoothing: Assumes the most recent data should be given either more or
less weight than previous data. Exponential smoothing will detect trends although the forecast
will lag actual demand if a definite trend exists.
• Seasonal Forecasting: A useful indication of the degree of seasonal variation for a
product is the seasonal index.
Forecast Error
• Defined as the difference between actual demand and forecast demand.
• Mean Absolute Deviation (MAD)
– Determined by calculating the total error ignoring the plus and minus signs and taking the average.
MAD = sum of absolute deviations
number of observations
• MAD as Measure of Error Dispersion
– The Mean Absolute Deviation (MAD) is an approximation of the standard deviation of the forecast
error around the mean
– MAD can be used as a basis for setting safety stock.
Supply Planning
Supply Planning Business Process
Procurement and
Sourcing
(3)
Procurement and Sourcing
Procurement involves every activity involved in obtaining the goods and
services a company needs to support its daily operations, including
sourcing, negotiating terms, purchasing items, receiving and inspecting
goods as necessary and keeping records of all the steps in the process.
Procurement and Procure to Pay (P2P)
Procure to Pay (P2P) – Simple Cycle
Procure to Pay (P2P) – Simple Cycle – Detailed Cycle
Requisition and Self-Service Procurement
Negotiation and Sourcing
Purchasing and Contracts
Suppliers
Your
Company
Purchase requisition
Request for quote (RFQ)
Quotation or negotiation
Purchase order
Receipts and returns
Invoices and payments
Suppliers
Suppliers
Tabbed Region Supplier Level Site Level
Organization Yes No
Tax Details Yes Yes
Address Book No Yes
Contact Directory Yes No
Business Classification Yes No
Products and Services Yes No
Bank Details Yes Yes
Surveys Yes No
Accounting No Yes
Tax and Reporting Yes Yes
Purchasing Yes Yes
Receiving Yes No
Payment Details Yes No
Invoice Details Yes Yes
Receiving and Work Confirmations
Supplier Assessment and Qualification
Center-Led Procurement
Shared Services
Center
Business
unit 1
Business
unit 2
Request Source Order Pay
Intercompany
Invoicing
Inventory
Management
(4)
Definition of Inventory
• Inventory-A physical resource that a firm holds in stock with the intent of
selling it or transforming it into a more valuable state.
• Inventory System- A set of policies and controls that monitors levels of
inventory and determines what levels should be maintained, when stock
should be replenished, and how large orders should be
Types of Inventory
. Raw Materials
. Components
. Packaging Materials
. Work in Process (WIP)
. Finished Goods
. Maintenance, Repair and Operations (MRO)
. Scrap and Damage
. … etc
Overview of Inventory
What is inventory?
Spare parts
Finished goods Services
Raw materials
Consigned
inventory
Inventory Capabilities
AS18947
Define part numbers Define organization structures
AS18947 = 1000 on-hand
Track on-hand Inventory Plan material replenishment
Inventory Capabilities
Issue material Forecast demand
Maintain inventory accuracy
Reserve material
Receipt to Issue Life Cycle
Receive inventory Issue inventory
Transfer inventory
Receiving Inventory
Purchasing Work in process
Inventory
Receiving
Types of Inventory Receipts
- Receipt and Deliver (Direct)
- Receipt then Deliver (Standard)
- Inspection
* Receipt
* Inspect
* Deliver
Transferring Inventory
Transfer
Inventory Shipping
Work in Process Order Management
Issuing Inventory
Inventory
Purchasing
Work in Process Order Management
Issuing
Inventory Organization Structure
Organization
Subinventories
Locators
Company Distribution Center Warehouse
Finished goods Raw materials Defective items
Row Rack Bin
Sample Inventory Organization
Outbound Outbound
Receiving
sub
Raw materials
sub
Manufacturing
sub
Finished goods
sub
Inspection
sub
Defective
goods
sub
Shipping sub
Inbound
Product Management
Item Identification in an Inventory Catalog
* Item Number / Code / SKU
* Name / Description
* Brand
* Full Description
* Classification
* Supplier’s Item Number
* Weight & Dimensions
* Storing & Handling Requirements
* Degree of danger and safety requirements.
* Shelf Life
* Relevant physical and other properties.
Product Management
Unit of Measure
Each Liter
A unit of measure is a value that specifies the quantity of an item.
Unit of Measure Classes
Each Box of 4 Box of 8
Volume Weight Temperature
Count Class
Classes
UOM Conversion
Base UOM
No
Yes
No
UOM
lbs
Kg
Gm
1 Kg = 1000 X Gm
1 Kg = 2.208 X lbs
UOM Class = Weight UOM Conversion
UOM Interclass Conversion
Conversion
2
Weight
Kg
Item
Sugar Bag
Destination
Base UOM
Destination
UOM Class
Source
Base UOM
Source
UOM Class
Quantity
Each
2 Each = 1 Kg
Item Category
Desktop Laptop
Item Category
Computer
Sub category
Peripherals
Sub category
Level1: Main Category (Hardware Category)
Level2: Type Category
Revision, Lot, Serial, and License Plate Number (LPN) Parameters
Item AS5222
Serial #5847329
Serial parameters LPN parameters
LPN101
Revision parameters
Revision A
Lot parameters
Lot 403B
Availability
Reservations
Pending
transactions
On-hand
quantity
Availability = - -
Supply Types
Internal requisition,
purchase order, and
advanced shipment notice
Intransit
shipment
Material in
receiving
Process
batch
Schedule
Job
On-hand
inventory
Demand Types
Sales order and
internal order
Account and
account alias
Inventory
Cycle count
Schedule
Job
User-defined
Overview of Inventory Planning
Time to replenish
• Min-Max planning
• Reorder-point planning
• Kanban replenishment
• Replenishment counting
Order Planning
Order size
“How much should I order?”
Planning methods
“Which planning method should I use?”
Order time
“When should I order?”
Min Max Planning
Quantity
Time
Max Quantity
Min Quantity
Re-Order Point Planning
Reorder-Point
Safety Stock
Quantity
Reorder Point = Safety Stock+Forecast demand during lead time
Time
Inventory Accuracy Fundamental
ABC analysis
B C
A
Physical inventory Cycle counting
ABC Analysis
Importance Control
Higher
Lower
More
Less
Cycle Count
The periodic counting of individual inventory items throughout the year.
Actual Count System On-hand
Quantity
Physical Inventory / Count
Physical
inventory
tags
Count items
Record count
Warehouse
Management
(5)
Warehouse Management
• Used to store and manage inventory.
• The management of warehouses involves such problems as site selection, number
of warehouses in the system layout, and methods of receiving, storing, and
retrieving goods.
• Minimize the total physical effort and thus the cost of moving goods into and out
of storage.
Principles of Warehouse Layout Design
Warehouse Layout and Design
• Develop a demand forecast.
• Determine each item’s order
quantity.
• Convert units into cubic
footage requirements.
• Allow for growth.
• Allow for adequate aisle space
for materials handling
equipment.
Warehouse Layout and Design
• Layout and Design Principles:
– Use one story facilities where
possible.
– Move goods in a straight-
line.
– Use the most efficient
materials handling
equipment.
– Minimize aisle space.
– Use full building height.
Warehouse Layout and Design
Layout and Design Objectives
– Cubic capacity
utilization
– Protection
– Efficiency
– Productivity
Barcoding
• Standard markings that can be read by automatic or handheld
scanners that allow for labor saving logistical activities for all supply
chain members.
• Bar Codes contain information regarding:
– Vendor
– Product type
– Place of manufacture
– Product price
Transportation
Management
(6)
Transportation Management
Getting the required items at their required destination on time at the lowest
cost to both parties.
Intense global competition REQUIRES that purchasing, marketing, and
transportation work together to achieve cost efficiency without sacrificing
service.
The International buyer works with the world's most efficient domestic
transportation system.
More significant when using more distant foreign sources whose transportation
network may not be properly tied-in with the global logistics pipeline.
Modes of Transportation
• Air
• Rail
• Truck
• Water
• Pipeline
• Multimodal (MOST INTERNATIONAL SHIPMENTS)
Factors to Consider in Selecting Mode
• Date needed
• Rates, cost of shipping
• Cost of insurance
• Cubic size and weight of shipment
• Value of products
• Discharge and destination point
• Possibility of damage
• Handling requirements during shipment
• Possibilities of theft
• Use of containers
• Paperwork required
• Carrier's ability to operate in your source country
Transportation Rates dependencies
• Description of the item shipped;
• Type of material used to make the product;
• Whether it is assembled or folded or nested, packaged in crates, in
packages/on skids;
• The density (weight/cubic foot) and length of the item;
• Whether it's new, used, reconditioned, or scrap;
• Liquid or solid;
• Finished or rough form;
• Hazardous, dangerous, or "reportable'' as such.
Department Of Transportation (DOT) Hazard Classes
• Explosives
• Gases
• Flammable Liquids
• Flammable Solids
• Oxidizers
• Toxics
• Radioactive
• Corrosive
• Misc. hazardous
Logistics Management
(7)
Logistics Management
• Increased sensitivity to service quality (fast & reliable) provided by
logistics.
• The two largest cost categories in logistics systems are transportation and
inventory.
• The most frequent trade-off in logistics is between transportation and
inventory cost.
Value-Added Role of Logistics
Also referred to as the 7 Rights
• Right product,
• Right quantity,
• Right condition,
• Right place,
• Right time,
• Right customer, and
• Right cost.
Logistics Activities
• Transportation
• Storage
• Packaging
• Materials handling
• Order fulfillment
• Forecasting
• Production planning
• Purchasing
• Customer service
• Site location
85
Landed Cost Management
3rd Party Logistics Services
• First party: the manufacturer, wholesaler, or retailer,
otherwise called the “shipper”.
• Second party: the customer (or supplier) of the first
party.
• Third party: the logistics provider, such as a freight
carrier or public warehouse. A third party may also be a
provider of (pure) services, such as freight broker,
forwarder, consolidator, customs broker, etc. Logistics
providers normally own/lease the equipment and
facilities.
Production Planning,
Monitoring, and
Controls
(8)
Master Planning Activities
• Business planning
• Production planning
• Master production scheduling
• Material requirements planning
• Production Or Purchasing activity control
Make-to-Stock (MTS)
• A limited number of standard items are assembled from many
components.
• Televisions are an example.
• The MPS is usually a schedule of finished-goods items.
• Schedules are based mainly on forecasts.
• It provides the fastest responsiveness to customer order.
Make-to-Order (MTO)
• Many different end items are made from a relatively small number of
components.
• Custom-tailored clothes is an example.
• The MPS is usually a schedule of the actual customer orders.
• It provides high flexibility to customer orders, but slow responsiveness.
Assemble to Order (ATO)
• Many end items can be made from combinations of basic components
and subassemblies.
• This last step, assembly to customer order, is usually planned using a
final assembly schedule (FAS).
• The FAS Is a schedule of what will actually be assembled. It is used
when there are many options and it is difficult to forecast the
combination customers will want.
• Master production/operations scheduling is done at the component
level.
• ATO provides intermediate flexibility and responsiveness
Rough Cut Capacity Planning
• Checks whether critical resources are available to support the various
preliminary MPS.
• Critical resources include "bottleneck" operations, labor, and critical
materials (perhaps material that is in short supply or has a long lead
time).
Material Requirements Plan
• A plan for the production and purchase of the components used in
making the items in the master production schedule.
• It shows the quantities needed and when manufacturing intends to make
or use them.
• The MRP will be used by purchasing and production activity control to
decide the purchase or manufacture of specific items.
• The level of detail is high. The MRP establishes when the components
and parts are needed to make each end item.
Material Requirements Plan
Order Management
(9)
Order Management
Order management is the process of order capturing, tracking,
and fulfilling customer orders. The order management process
begins when an order is placed and ends when the customer
receives their package.
Order Management
Asset Management
(10)
Asset Management
Asset managers manage and monitor a company's assets. This
could include property, stocks, commodities, and other financial
products. As an asset manager, you'd aim to maximize your
employer's return on investment.
Asset Management
Asset Management
Asset Management
Increase Productivity
Create a Preventive Maintenance Strategy
Maximize Resource Availability
Decrease Maintenance Costs
Optimize Scheduling and Resource Efficiency
Minimize Rework
Reduce Accidents and Penalties
Ensure Regulatory Compliance
Increase Workplace Safety
Asset Management Capabilities
Asset Management
Work Management
Inventory Management
Asset Performance and Forecasting
Maintenance Budgeting
Predictive Maintenance
Maintenance Intelligence
Work Permit, Clearance, and Isolation
Asset Management
Work
Request
Entry
Work
Order
Generation
Task
Planning
Material
Request
Resource
Planning
Forecasting
Work
Scheduling
Work Order
Update or
Close Out
Asset
Performance
Supply Chain
Operations Excellence
(11)
Introduction to Excellence
Essential Fundamental Concepts of Excellence
Just In Time (JIT)
• Just-in-time: Repetitive production system in which processing and
movement of materials and goods occur just as they are needed, usually
in small batches
• JIT is characteristic of lean production systems
• JIT operates with very little “fat” (inventory)
Just In Time (JIT)
• Eliminate disruptions
• Make system flexible
• Reduce setup and lead times
• Eliminate waste
• Minimize WIP
• Simplify the process
Process Design
• Small lot sizes
• Setup time reduction
• Manufacturing cells
• Limited work in process
• Quality improvement
• Production flexibility
• Little inventory storage
Production Flexibility
• Reduce downtime by reducing changeover time
• Use preventive maintenance to reduce breakdowns
• Cross-train workers to help clear bottlenecks
• Reserve capacity for important customers
Lean Operations
• Different from JIT in that it is externally focused on the
customer
• Starts with understanding what the customer wants
• Optimize the entire process from the customer’s
perspective
Six Sigma
• It is a methodology for continuous improvement
• It is a methodology for creating products/ processes that perform at high
standards
• It is a set of statistical and other quality tools arranged in unique way
• It is a way of knowing where you are and where you could be!
• It is a Quality Philosophy and a management technique
Six Sigma is not:
• A standard
• A certification
• Another metric like percentage
Paths of Six Sigma
4 Sigma 6,210 Defects
2 Sigma 308,537 Defects
3 Sigma 66,807 Defects
5 Sigma 233 Defects
6 Sigma 3.4 Defects
Sigma levels and
Defects per million
opportunities
(DPMO)
Supply Chain
Management KPIs
(12)
Balanced Scorecard
Performance Attributes and Metrics
Dashboards
SCM ERP Applications
(13)
Benefits of ERP
ERP Vendors
ERP Vendors
ERP Vendors
On Prim and Cloud ERP
ERP systems was previously implemented in servers and data centers owned
by the customer in their premises.
After 2010, most of the big ERP providers such as Oracle, SAP, Microsoft, and
Infor established their data centers over cloud in USA, Asia, and Europe and
recently in middle east and Africa.
These ERP providers are now selling their service subscription to their Cloud
ERP instead of selling hardware and licenses as they were doing before.
Future of Supply
Chain Management
(14)
Future of Supply Chain Management
• Digital Supply Chain
• Cloud Based Supply Chain
• IoT
• AI
• Robots and Automation
• Blockchain
• Supply Chain As A Service
• Post Pandemic Solutions
Future of Supply Chain Management
Internet of Things (IoT)
Blockchain in SCM
Automation First
تواصل_تطوير المحاضرة رقم 191 المهندس / تامر فودة  عنوان المحاضرة " Supply Chain Management "
تواصل_تطوير المحاضرة رقم 191 المهندس / تامر فودة  عنوان المحاضرة " Supply Chain Management "
تواصل_تطوير المحاضرة رقم 191 المهندس / تامر فودة  عنوان المحاضرة " Supply Chain Management "
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تواصل_تطوير المحاضرة رقم 191 المهندس / تامر فودة عنوان المحاضرة " Supply Chain Management "

  • 1.
  • 2. Supply Chain Management ‫مهندس‬ / ‫فـودة‬ ‫تـامـر‬ ‫التوريد‬ ‫و‬ ‫االمداد‬ ‫سالسل‬ ‫تطبيقات‬ ‫استشاري‬
  • 3.
  • 4. ‫المهندس‬ ‫عن‬ ‫تعريفية‬ ‫نبذة‬ ‫فـودة‬ ‫تـامـر‬  ‫من‬ ‫أكثر‬ ‫خبرة‬ 18 ‫من‬ ‫أكثر‬ ‫تنفيذ‬ ‫مع‬ ‫التوريد‬ ‫و‬ ‫االمداد‬ ‫سالسل‬ ‫ادارة‬ ‫في‬ ‫أوراكل‬ ‫تطبيقات‬ ‫في‬ ‫عاما‬ 50 ‫من‬ ‫أكثر‬ ‫في‬ ‫ناجح‬ ‫مشروع‬ 10 ‫العالم‬ ‫حول‬ ‫دول‬  ‫القاهرة‬ ‫بجامعة‬ ‫المشروعات‬ ‫ادارة‬ ‫في‬ ‫دكتوراة‬ ‫باحث‬ ‫حاليا‬ – ‫مصر‬  ‫ميتروبوليتان‬ ‫كارديف‬ ‫جامعة‬ ‫من‬ ‫المشروعات‬ ‫ادارة‬ ‫في‬ ‫ماجستير‬ ‫على‬ ‫حاصل‬ – ‫بريطانيا‬  ‫والتكنولوجيا‬ ‫للعلوم‬ ‫العربية‬ ‫االكاديمية‬ ‫من‬ ‫االعمال‬ ‫ادارة‬ ‫في‬ ‫ماجستير‬ ‫على‬ ‫حاصل‬ – ‫مصر‬  ‫كواليفي‬ ‫من‬ ‫القيادة‬ ‫و‬ ‫االستراتيجية‬ ‫االدارة‬ ‫في‬ ‫دبلومة‬ ‫على‬ ‫حاصل‬ – ‫بريطانيا‬  ‫جينيفا‬ ‫معهد‬ ‫من‬ ‫الدولية‬ ‫األعمال‬ ‫ادارة‬ ‫في‬ ‫ماجستير‬ ‫على‬ ‫حاصل‬ – ‫سويسرا‬  ‫السويس‬ ‫قناة‬ ‫جامعة‬ ‫من‬ ‫االليكترونيات‬ ‫و‬ ‫االتصاالت‬ ‫في‬ ‫الهندسة‬ ‫بكالريوس‬ ‫على‬ ‫حاصل‬ – ‫مصر‬  ‫الدولية‬ ‫الشهادات‬ ‫على‬ ‫حاصل‬ CISCM ‫و‬ CISCP ‫و‬ CIPM ‫و‬ CIPP ‫االمداد‬ ‫سالسل‬ ‫إلدارة‬ ‫الدولي‬ ‫المعهد‬ ‫من‬ ‫المشتريات‬ ‫ادارة‬ ‫و‬ ‫التوريد‬ ‫و‬ ‫االمداد‬ ‫سالسل‬ ‫ادارة‬ ‫في‬ ‫والمشتريات‬ ‫التوريد‬ IPSCMI – ‫األمريكية‬ ‫المتحدة‬ ‫الواليات‬  ‫الدولية‬ ‫الشهادات‬ ‫على‬ ‫حاصل‬ PMP ‫و‬ RMP ‫و‬ SP ‫المشاريع‬ ‫ادارة‬ ‫معهد‬ ‫من‬ ‫الزمنية‬ ‫الجداول‬ ‫و‬ ‫والمخاطر‬ ‫المشاريع‬ ‫ادارة‬ ‫في‬ PMI – ‫االمريكية‬ ‫المتحدة‬ ‫الواليات‬  ‫الدولية‬ ‫الشهادات‬ ‫على‬ ‫حاصل‬ PRINCE2 ‫و‬ ITIL ‫أكسيلوس‬ ‫من‬ ‫المعلومات‬ ‫تكنولوجيا‬ ‫خدمات‬ ‫ادارة‬ ‫و‬ ‫المشاريع‬ ‫ادارة‬ ‫في‬ Axelos – ‫بريطانيا‬  ‫لين‬ ‫شهادة‬ ‫على‬ ‫حاصل‬ 6 ‫من‬ ‫الشاملة‬ ‫الجودة‬ ‫ادارة‬ ‫في‬ ‫سيجما‬ IASSC – ‫األمريكية‬ ‫المتحدة‬ ‫الواليات‬  ‫على‬ ‫حاصل‬ 26 ‫ا‬ ‫و‬ ‫المنتجات‬ ‫و‬ ‫التكاليف‬ ‫و‬ ‫الطلبات‬ ‫و‬ ‫المفاوضات‬ ‫و‬ ‫العقود‬ ‫و‬ ‫المشتريات‬ ‫و‬ ‫المخزون‬ ‫و‬ ‫المستودعات‬ ‫ادارة‬ ‫في‬ ‫أوراكل‬ ‫شركة‬ ‫من‬ ‫دولية‬ ‫شهادة‬ ‫ل‬ ‫ت‬ ‫و‬ ‫صنيع‬ ‫الصيانة‬ – ‫األمريكية‬ ‫المتحدة‬ ‫الواليات‬  ‫والمشتريات‬ ‫التوريد‬ ‫االمداد‬ ‫سلسلة‬ ‫إلدارة‬ ‫الدولي‬ ‫المعهد‬ ‫و‬ ‫المصرية‬ ‫المهندسين‬ ‫نقابة‬ ‫و‬ ‫العرب‬ ‫المهندسين‬ ‫اتحاد‬ ‫عضو‬ IPSCMI ‫معهد‬ ‫و‬ ‫أوراكل‬ ‫جامعة‬ ‫و‬ ‫اكسيلوس‬ ‫و‬ ‫المشاريع‬ ‫ادارة‬ PMI
  • 5. Agenda I n t r o d u c t i o n t o S u p p l y C h a i n M a n a g e m e n t 1 D e m a n d M a n a g e m e n t a n d F o r e c a s t i n g 2 I n v e n t o r y M a n a g e m e n t a n d P r o d u c t L i f e c y c l e M a n a g e m e n t 3 W a r e h o u s e M a n a g e m e n t 4 T r a n s p o r t a t i o n M a n a g e m e n t 5 6 7 L o g i s t i c s M a n a g e m e n t 8 S u p p l y C h a i n O p e r a t i o n s E x c e l l e n c e 11 S u p p l y C h a i n M a n a g e m e n t K P I s 12 S C M E R P A p p l i c a t i o n s 13 F u t u r e o f S u p p l y C h a i n M a n a g e m e n t 14 P r o c u r e m e n t a n d S o u r c i n g P r o d u c t i o n P l a n n i n g , M o n i t o r i n g , a n d C o n t r o l O r d e r M a n a g e m e n t 9 A s s e t M a n a g e m e n t 10
  • 7. Supply Chain Management Definition • Supply Chain Management (SCM), the management of the flow of goods and services, involves the movement and storage of raw materials, work-in-process inventory, and finished goods from point of origin to point of consumption. • Supply Chain Management (SCM), is the control of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer. Supply chain management involves coordinating and integrating these flows within and among companies. • It is said that the ultimate goal of any effective supply chain management system is to reduce inventory (with the assumption that materials and products are available when needed).
  • 8. Supply Chain Flow (Simple Flow)
  • 9. The Right Supply Chain Management
  • 10. Supply Chain Flow (Expanded Flow)
  • 11. Supply Chain Flow (Transportation Flow)
  • 12. Everyone is a Supply Chain Practitioner by Nature
  • 13. History of Supply Chain Management World War II Sep 1, 1939 – Sep 2, 1945
  • 16. Demand Management • Defined as “focused efforts to estimate and manage customers’ demand, with the intention of using this information to shape operating decisions.” • Gathering and analyzing knowledge about consumers, their problems, and their unmet needs.
  • 18. Demand Planning Process Steps Approve Forecast Analyze Demand Plan Metrics Review &Modify Forecast Generate Statistical Forecast Create Demand Plan Collect &Load Historical Demand
  • 19. Forecast Methods There are four basic methods to use when doing forecasts. Most forecasts are done using various combinations of these four methods
  • 20. Forecast Qualitative Technique • Projections based on judgment, expectations. and informed opinions. • By their nature, they are subjective. • Qualitative techniques are used to forecast general business trends and the potential demand for large families of products over an extended period of time. • They are used mainly by senior management.
  • 21. Forecast Quantitative Technique • Quantitative forecasting techniques are based on the assumption that what happened in the past will happen in the future. • Historical data is usually recorded in the organization and is readily available. • They are usually used as input to master production scheduling where end-item forecasts are needed for the planning horizon of the plan
  • 22. Forecast Quantitative Methods • Causal Techniques: Based on External Data such as economic indicators, or income figures. Least Square Regression Analysis usually used. • Moving Average (Naïve, Simple & Weighted): Assumes that sales of this month will be the same as those last month (Simple), or the average demand for, say, the last three or six periods and use that figure as the forecast for the next period. This forecast would then always be based on the average of the actual demand over the specified period. • Exponential Smoothing: Assumes the most recent data should be given either more or less weight than previous data. Exponential smoothing will detect trends although the forecast will lag actual demand if a definite trend exists. • Seasonal Forecasting: A useful indication of the degree of seasonal variation for a product is the seasonal index.
  • 23. Forecast Error • Defined as the difference between actual demand and forecast demand. • Mean Absolute Deviation (MAD) – Determined by calculating the total error ignoring the plus and minus signs and taking the average. MAD = sum of absolute deviations number of observations • MAD as Measure of Error Dispersion – The Mean Absolute Deviation (MAD) is an approximation of the standard deviation of the forecast error around the mean – MAD can be used as a basis for setting safety stock.
  • 27. Procurement and Sourcing Procurement involves every activity involved in obtaining the goods and services a company needs to support its daily operations, including sourcing, negotiating terms, purchasing items, receiving and inspecting goods as necessary and keeping records of all the steps in the process.
  • 28. Procurement and Procure to Pay (P2P)
  • 29. Procure to Pay (P2P) – Simple Cycle
  • 30. Procure to Pay (P2P) – Simple Cycle – Detailed Cycle
  • 34. Suppliers Your Company Purchase requisition Request for quote (RFQ) Quotation or negotiation Purchase order Receipts and returns Invoices and payments Suppliers
  • 35. Suppliers Tabbed Region Supplier Level Site Level Organization Yes No Tax Details Yes Yes Address Book No Yes Contact Directory Yes No Business Classification Yes No Products and Services Yes No Bank Details Yes Yes Surveys Yes No Accounting No Yes Tax and Reporting Yes Yes Purchasing Yes Yes Receiving Yes No Payment Details Yes No Invoice Details Yes Yes
  • 36. Receiving and Work Confirmations
  • 37. Supplier Assessment and Qualification
  • 38. Center-Led Procurement Shared Services Center Business unit 1 Business unit 2 Request Source Order Pay Intercompany Invoicing
  • 40. Definition of Inventory • Inventory-A physical resource that a firm holds in stock with the intent of selling it or transforming it into a more valuable state. • Inventory System- A set of policies and controls that monitors levels of inventory and determines what levels should be maintained, when stock should be replenished, and how large orders should be
  • 41. Types of Inventory . Raw Materials . Components . Packaging Materials . Work in Process (WIP) . Finished Goods . Maintenance, Repair and Operations (MRO) . Scrap and Damage . … etc
  • 42. Overview of Inventory What is inventory? Spare parts Finished goods Services Raw materials Consigned inventory
  • 43. Inventory Capabilities AS18947 Define part numbers Define organization structures AS18947 = 1000 on-hand Track on-hand Inventory Plan material replenishment
  • 44. Inventory Capabilities Issue material Forecast demand Maintain inventory accuracy Reserve material
  • 45. Receipt to Issue Life Cycle Receive inventory Issue inventory Transfer inventory
  • 46. Receiving Inventory Purchasing Work in process Inventory Receiving Types of Inventory Receipts - Receipt and Deliver (Direct) - Receipt then Deliver (Standard) - Inspection * Receipt * Inspect * Deliver
  • 48. Issuing Inventory Inventory Purchasing Work in Process Order Management Issuing
  • 49. Inventory Organization Structure Organization Subinventories Locators Company Distribution Center Warehouse Finished goods Raw materials Defective items Row Rack Bin
  • 50. Sample Inventory Organization Outbound Outbound Receiving sub Raw materials sub Manufacturing sub Finished goods sub Inspection sub Defective goods sub Shipping sub Inbound
  • 51. Product Management Item Identification in an Inventory Catalog * Item Number / Code / SKU * Name / Description * Brand * Full Description * Classification * Supplier’s Item Number * Weight & Dimensions * Storing & Handling Requirements * Degree of danger and safety requirements. * Shelf Life * Relevant physical and other properties.
  • 53. Unit of Measure Each Liter A unit of measure is a value that specifies the quantity of an item.
  • 54. Unit of Measure Classes Each Box of 4 Box of 8 Volume Weight Temperature Count Class Classes
  • 55. UOM Conversion Base UOM No Yes No UOM lbs Kg Gm 1 Kg = 1000 X Gm 1 Kg = 2.208 X lbs UOM Class = Weight UOM Conversion UOM Interclass Conversion Conversion 2 Weight Kg Item Sugar Bag Destination Base UOM Destination UOM Class Source Base UOM Source UOM Class Quantity Each 2 Each = 1 Kg
  • 57. Item Category Computer Sub category Peripherals Sub category Level1: Main Category (Hardware Category) Level2: Type Category
  • 58. Revision, Lot, Serial, and License Plate Number (LPN) Parameters Item AS5222 Serial #5847329 Serial parameters LPN parameters LPN101 Revision parameters Revision A Lot parameters Lot 403B
  • 60. Supply Types Internal requisition, purchase order, and advanced shipment notice Intransit shipment Material in receiving Process batch Schedule Job On-hand inventory
  • 61. Demand Types Sales order and internal order Account and account alias Inventory Cycle count Schedule Job User-defined
  • 62. Overview of Inventory Planning Time to replenish • Min-Max planning • Reorder-point planning • Kanban replenishment • Replenishment counting
  • 63. Order Planning Order size “How much should I order?” Planning methods “Which planning method should I use?” Order time “When should I order?”
  • 64. Min Max Planning Quantity Time Max Quantity Min Quantity
  • 65. Re-Order Point Planning Reorder-Point Safety Stock Quantity Reorder Point = Safety Stock+Forecast demand during lead time Time
  • 66. Inventory Accuracy Fundamental ABC analysis B C A Physical inventory Cycle counting
  • 68. Cycle Count The periodic counting of individual inventory items throughout the year. Actual Count System On-hand Quantity
  • 69. Physical Inventory / Count Physical inventory tags Count items Record count
  • 71. Warehouse Management • Used to store and manage inventory. • The management of warehouses involves such problems as site selection, number of warehouses in the system layout, and methods of receiving, storing, and retrieving goods. • Minimize the total physical effort and thus the cost of moving goods into and out of storage.
  • 72. Principles of Warehouse Layout Design
  • 73. Warehouse Layout and Design • Develop a demand forecast. • Determine each item’s order quantity. • Convert units into cubic footage requirements. • Allow for growth. • Allow for adequate aisle space for materials handling equipment.
  • 74. Warehouse Layout and Design • Layout and Design Principles: – Use one story facilities where possible. – Move goods in a straight- line. – Use the most efficient materials handling equipment. – Minimize aisle space. – Use full building height.
  • 75. Warehouse Layout and Design Layout and Design Objectives – Cubic capacity utilization – Protection – Efficiency – Productivity
  • 76. Barcoding • Standard markings that can be read by automatic or handheld scanners that allow for labor saving logistical activities for all supply chain members. • Bar Codes contain information regarding: – Vendor – Product type – Place of manufacture – Product price
  • 78. Transportation Management Getting the required items at their required destination on time at the lowest cost to both parties. Intense global competition REQUIRES that purchasing, marketing, and transportation work together to achieve cost efficiency without sacrificing service. The International buyer works with the world's most efficient domestic transportation system. More significant when using more distant foreign sources whose transportation network may not be properly tied-in with the global logistics pipeline.
  • 79. Modes of Transportation • Air • Rail • Truck • Water • Pipeline • Multimodal (MOST INTERNATIONAL SHIPMENTS)
  • 80. Factors to Consider in Selecting Mode • Date needed • Rates, cost of shipping • Cost of insurance • Cubic size and weight of shipment • Value of products • Discharge and destination point • Possibility of damage • Handling requirements during shipment • Possibilities of theft • Use of containers • Paperwork required • Carrier's ability to operate in your source country
  • 81. Transportation Rates dependencies • Description of the item shipped; • Type of material used to make the product; • Whether it is assembled or folded or nested, packaged in crates, in packages/on skids; • The density (weight/cubic foot) and length of the item; • Whether it's new, used, reconditioned, or scrap; • Liquid or solid; • Finished or rough form; • Hazardous, dangerous, or "reportable'' as such.
  • 82. Department Of Transportation (DOT) Hazard Classes • Explosives • Gases • Flammable Liquids • Flammable Solids • Oxidizers • Toxics • Radioactive • Corrosive • Misc. hazardous
  • 84. Logistics Management • Increased sensitivity to service quality (fast & reliable) provided by logistics. • The two largest cost categories in logistics systems are transportation and inventory. • The most frequent trade-off in logistics is between transportation and inventory cost.
  • 85. Value-Added Role of Logistics Also referred to as the 7 Rights • Right product, • Right quantity, • Right condition, • Right place, • Right time, • Right customer, and • Right cost.
  • 86. Logistics Activities • Transportation • Storage • Packaging • Materials handling • Order fulfillment • Forecasting • Production planning • Purchasing • Customer service • Site location 85
  • 88. 3rd Party Logistics Services • First party: the manufacturer, wholesaler, or retailer, otherwise called the “shipper”. • Second party: the customer (or supplier) of the first party. • Third party: the logistics provider, such as a freight carrier or public warehouse. A third party may also be a provider of (pure) services, such as freight broker, forwarder, consolidator, customs broker, etc. Logistics providers normally own/lease the equipment and facilities.
  • 90. Master Planning Activities • Business planning • Production planning • Master production scheduling • Material requirements planning • Production Or Purchasing activity control
  • 91. Make-to-Stock (MTS) • A limited number of standard items are assembled from many components. • Televisions are an example. • The MPS is usually a schedule of finished-goods items. • Schedules are based mainly on forecasts. • It provides the fastest responsiveness to customer order.
  • 92. Make-to-Order (MTO) • Many different end items are made from a relatively small number of components. • Custom-tailored clothes is an example. • The MPS is usually a schedule of the actual customer orders. • It provides high flexibility to customer orders, but slow responsiveness.
  • 93. Assemble to Order (ATO) • Many end items can be made from combinations of basic components and subassemblies. • This last step, assembly to customer order, is usually planned using a final assembly schedule (FAS). • The FAS Is a schedule of what will actually be assembled. It is used when there are many options and it is difficult to forecast the combination customers will want. • Master production/operations scheduling is done at the component level. • ATO provides intermediate flexibility and responsiveness
  • 94. Rough Cut Capacity Planning • Checks whether critical resources are available to support the various preliminary MPS. • Critical resources include "bottleneck" operations, labor, and critical materials (perhaps material that is in short supply or has a long lead time).
  • 95. Material Requirements Plan • A plan for the production and purchase of the components used in making the items in the master production schedule. • It shows the quantities needed and when manufacturing intends to make or use them. • The MRP will be used by purchasing and production activity control to decide the purchase or manufacture of specific items. • The level of detail is high. The MRP establishes when the components and parts are needed to make each end item.
  • 98. Order Management Order management is the process of order capturing, tracking, and fulfilling customer orders. The order management process begins when an order is placed and ends when the customer receives their package.
  • 101. Asset Management Asset managers manage and monitor a company's assets. This could include property, stocks, commodities, and other financial products. As an asset manager, you'd aim to maximize your employer's return on investment.
  • 104. Asset Management Increase Productivity Create a Preventive Maintenance Strategy Maximize Resource Availability Decrease Maintenance Costs Optimize Scheduling and Resource Efficiency Minimize Rework Reduce Accidents and Penalties Ensure Regulatory Compliance Increase Workplace Safety
  • 105. Asset Management Capabilities Asset Management Work Management Inventory Management Asset Performance and Forecasting Maintenance Budgeting Predictive Maintenance Maintenance Intelligence Work Permit, Clearance, and Isolation
  • 108. Introduction to Excellence Essential Fundamental Concepts of Excellence
  • 109. Just In Time (JIT) • Just-in-time: Repetitive production system in which processing and movement of materials and goods occur just as they are needed, usually in small batches • JIT is characteristic of lean production systems • JIT operates with very little “fat” (inventory)
  • 110. Just In Time (JIT) • Eliminate disruptions • Make system flexible • Reduce setup and lead times • Eliminate waste • Minimize WIP • Simplify the process
  • 111. Process Design • Small lot sizes • Setup time reduction • Manufacturing cells • Limited work in process • Quality improvement • Production flexibility • Little inventory storage
  • 112. Production Flexibility • Reduce downtime by reducing changeover time • Use preventive maintenance to reduce breakdowns • Cross-train workers to help clear bottlenecks • Reserve capacity for important customers
  • 113. Lean Operations • Different from JIT in that it is externally focused on the customer • Starts with understanding what the customer wants • Optimize the entire process from the customer’s perspective
  • 114. Six Sigma • It is a methodology for continuous improvement • It is a methodology for creating products/ processes that perform at high standards • It is a set of statistical and other quality tools arranged in unique way • It is a way of knowing where you are and where you could be! • It is a Quality Philosophy and a management technique Six Sigma is not: • A standard • A certification • Another metric like percentage
  • 115. Paths of Six Sigma 4 Sigma 6,210 Defects 2 Sigma 308,537 Defects 3 Sigma 66,807 Defects 5 Sigma 233 Defects 6 Sigma 3.4 Defects Sigma levels and Defects per million opportunities (DPMO)
  • 125. On Prim and Cloud ERP ERP systems was previously implemented in servers and data centers owned by the customer in their premises. After 2010, most of the big ERP providers such as Oracle, SAP, Microsoft, and Infor established their data centers over cloud in USA, Asia, and Europe and recently in middle east and Africa. These ERP providers are now selling their service subscription to their Cloud ERP instead of selling hardware and licenses as they were doing before.
  • 126. Future of Supply Chain Management (14)
  • 127. Future of Supply Chain Management • Digital Supply Chain • Cloud Based Supply Chain • IoT • AI • Robots and Automation • Blockchain • Supply Chain As A Service • Post Pandemic Solutions
  • 128. Future of Supply Chain Management