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Apics Exam Questions Essay
Question Number: 1 BASICS OF SUPPLY CHAIN MGMT (BSCM) :Businesswide Concepts
The basic elements of the supply chain include:
A) supply, manufacture, distribution.
B) design, manufacture, inventory.
C) engineer, design, manufacture.
D) supply, engineer, manufacture.
The correct answer is: A
Even though different companies produce different products, the basic elements are the same:
supply, manufacture, and distribution.
(Arnold, Introduction to Materials Management, Chapter 1).
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Question Number: 2
BASICS OF SUPPLY CHAIN MGMT (BSCM) :Businesswide Concepts
In order to maximize profit, a company must have all of the following objectives except:
A) Best customer service
B) Most accurate production forecast
C) ... Show more content on Helpwriting.net ...
B) plan for business changes which take a long time.
C) establish customer requirements over the long term.
D) establish order promising strategies.
The correct answer is: B
Strategic plans are used for long term planning (2–10 years). They are used to allow time to plan for
changes which take a long time to occur. These might include new plants or distribution centers.
(Arnold, Introduction to Materials Management, Chapter 8).
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Question Number: 9
BASICS OF SUPPLY CHAIN MGMT (BSCM) :Businesswide Concepts
Aggregate inventory management is concerned with:
A) managing inventory items and how they are used.
B) establishing the production plan.
C) the cost and benefits of carrying the different classes of inventory.
D) the distribution network and the movement of inventory.
The correct answer is: C
Aggregate inventory management is concerned with the cost and benefit of carrying raw materials,
work–in–process, and finished goods inventory. It is financially oriented.
(Arnold, Introduction to Materials Management, Chapter 9).
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Question Number: 10
BASICS OF SUPPLY CHAIN MGMT (BSCM) :Businesswide Concepts
Which of the following are objectives of inventory?
I.Maximize customer service
II. Efficient transaction
III. Low cost plan operations
IV. Minimum inventory investment
A) I, II, and III
B) I, III,
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Supply Chain Management as an Inventory Control Method
Supply Chain Management as an Inventory Control Method:
Supply chain management can be described as a means with which companies across the globe are
identifying powerful new sources of competitive advantage. This process incorporates all integrated
activities that bring products to the market and generate customer satisfaction. Some of the major
aspects in supply chain management include purchasing, manufacturing operations, transportation,
and distribution in a unified process. Therefore, successful supply chain management processes
involves coordinating and integrating all these operations and functions in a flawless process. As
part of ensuring effective supply chain management, companies usually incorporate and link various
partners in the chain or process. The major partners in the chain include third–party firms, vendors,
information system providers, and carriers. Supply chain management is defined as all activities and
processes associated with the movement of goods from raw–materials to the end–user product
(Zigiaris, 2000).
Description of Supply Chain Management:
As previously stated, supply chain includes every activity linked to the movement of goods from the
raw–materials phase to the end–user stage. The proponents of this business process recognized that
vital productivity improves from management of material flow, relationships, and information.
Actually, the success and productivity of a business is dependent on the delivery of improved
customer and
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Characteristic of Effective Supply Chain Management
TITLE: CHARACTERISTICS OF EFFECTIVE SUPPLY CHAIN MANAGEMENT Table of
Content Executive Summary 1 Introduction 2 Effective Distribution Networks 4 Effective Network
Design 5 Effective Global Supply Chain Networks 5 Planned Demand and Supply 7 Managed
Uncertainty (Safety Inventories) 7 Optimal Product Availability 7 Designed and Planned
Transportation network (Logistics Management) 7 Managed Cross–Functional Drivers 8 Managed
Prices and Revenue streams 8 Information Management in a Supply Chain 8 Supply Chains must be
Coordinated Throughout ... Show more content on Helpwriting.net ...
For instance, Dell chose to distribute straight to the company with great success and cost savings
and then later changed their plan to include selling through Wal–Mart when the time called for it.
Gateway however, decided to open their own stores but didn't sell their product from it. This led to
the failure of Gateway. Poor distribution network designs can hurt customer satisfaction and
increase costs hurting the profitability of the company. Two factors need to be considered when
designing a distribution network; customer needs to be met and the cost of meeting customer needs.
When thinking of customer needs it's important to consider what the distribution directly influences,
which is response time, product variety, product availability, and customer experience, time to
market, order visibility and return ability. Things that affect the cost of the distribution design are
inventories, transportation, facilities and handling, information, sourcing and pricing. As the number
of facilities increases, the inventory costs increase. It's important to decrease the number of facilities
not only to save on inventory costs but also to cut down on facility costs. For transportation you
have inbound and outbound with outbound being the bigger cost. Creating economies of scale in
transportation is a great way to reduce costs. There are six design options for the distribution
network which include manufacturer storage with direct
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Seven-Eleven Japan Case
Tanpin Karin is a demand–oriented method of chain management successfully used by Seven–
Eleven`s Japan. It`s credited to the company`s CEO, Toshifumi Suzuki, who started to develop it
during the 70`s in response to a shift in the market from a seller`s orientation to a buyer`s drive.
Until then, the inventory decision–making process was led by supply–chain management practices –
items were seen as commodities and replenished according with the amounts that they had sold in
the past. In contrast, the Tanpin Karin system changed the practice to an item–by–item store–level
inventory analysis framework to fulfill decision–making based on human knowledge. Under this
system, employees use POS data combined with customer demographics and other ... Show more
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With the right approach, this could mitigate the decrease in sales during the days that anticipate
workers payment day. 3. Reaching the customer via mobile technology. Use of the data gathered by
the payment method to send promotions and advertising by SMS or WAP (the technologies used in
2004). 4. Making partnerships with online outlets to enter the e–business using features like online
ordering, catalog online, featured promotions/sales of the day etc to take–out at the store. At the
time, didn't make sense to Seven Eleven to develop the expertise to do it by itself because most of
the sales were not premeditated by the users. 5. Selling–machines in high traffic areas to take
advantage of the local culture of using this kind of nontraditional POS. They should be distributed in
subway and JR stations and areas of high concentration of people in transit. The machines could use
the card or mobile payment method to generate data information. The selling–machines would be
loaded with products according with the demographic data gathered by the stores in the region. 6.
Using subway electronic displays to announce day–by–day sales by demographics and factors like
weather, time of the day, events etc. 7. Using geolocation services to "speak" to the customer.
Mobile phones and portable gadgets are used by almost everyone in Japan, from children to elderly
people. SE could
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Case Study : Supply Chain Management
Supply chain management is currently an important aspect in Management Information System. So
much technology and brainpower have been used to improve the performance. In this decade
electronic data interchange has made the process flexible, automatic warehousing and rapid
logistics. Every organizations are trying to make their supply chain management more accurate
using quick response, efficient customer response, mass customization, lean and agile
manufacturing. (Fisher, 1997)
Value and rate of selling top products are adding wealth to the manufacturing industry. Therefore it
is very much required to control the flow of material from suppliers, through the value adding
processes and then distribute channels helps to deliver the product ... Show more content on
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Supplier then orders 20 units from the manufacturer because they want to have bulk storage so to
guarantee timely shipment of goods to the retailer. The manufacturer then receives the order and
started producing in bulk ordering 40 units to ensure economy of scale in production to meet
demand. Now 40 units have been produced for a demand of only 8 units which means the retailer
now have to increase demand by dropping prices or finding more customers by marketing and
advertising. This is how the demand gets distorted in the manufacturing unit.
The bullwhip effect is mainly caused by lack of information, the structure of the supply chain and
lack of collaboration. To minimize the bullwhip effect first we have to understand the demand; what
drives customer demand, and why are they demanding for the products. Lack of demand visibility
can cause the main trouble to the people in the supply chain who have access to point of sale (POS)
data. Suppliers and customers must collaborate properly to improve both the quality and frequency
of information. Information sharing can also be done through vendor–managed inventory (VMI)
management. The higher order cost with smaller or frequent orders can be done with Electronic
Data Interchange (EDI) and computer aided ordering (CAO). Developing of pricing strategies can
also help reduce the bullwhip
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Boeing's Supply Chain System
Introduction
Boeing follows the goal of "to find and apply the best, most innovative technologies and processes
in the world to improve our products and services" (Boeing Frontiers, 2005). By utilizing the
contents of this quote it is apparent at what Boeing is best at accomplishing internally which is their
innovations through R&D and their supply chain management system. These assets improve their
products and services enabling Boeing to become the aerospace conglomerate of today. By
analyzing these processes and the products they create will give a better look into the value, rarity,
imitability, and organization that each holds along with demonstrating their strengths, weaknesses,
and other organizational situations.
Value
Boeing ... Show more content on Helpwriting.net ...
In turn, this has lead Boeing to not be shy about publically saying that they gain value from being a
lean company and they mean it. Throughout the years Boeing has developed a lasting relationship
with a massive amount of parts suppliers, but they are not afraid to cut ties with the current supplier
for one that has a more cost effective goal in mind. On the 777X the company discontinued service
with long time partner Messier–Dowty which manufactured all of the previous landing gear
assemblies for the 777 and gave the contract to Heroux–Devtek (HDI) for a serious trimming cost of
roughly $30 million per year (Supply Chain Push, 2012).
The airline manufacturer has also generated profit gaining value from being an industry leader in
innovation. As depicted in the rarity section Boeing has upcoming projects that prove fruitful in
peaking customer interest. Currently the main focus of Boeings innovations have been to improve
reliability, faster flying jetliners, and farther flying jets. They have been able to combine all of these
ideas in the 787 Dreamliner which is has increased seat capacity from 125 to over 400, and
decreased fuel cost of $11.53 per nautical mile when compared with the 777–300ER depicted in
Figure 3. With future orders in place of over $440 billion with the majority of major airlines this
new model is sure to set the industry bar
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Monopoly Chains And Service Supply Chains
Inherent differences between manufacturing supply chains and service supply chains
Abstract
Purpose – This paper seeks to review the current literature in order to explore the inherent
distinctions between goods supply chains and service supply chains. Traditional supply chain
management models are not perfectly applicable to those in the service field because of the
difference between physical products and services in their very essence.
Design/methodology/approach – An extensive literature review has been undertaken to explore
current understandings of how service supply chains differ from the traditional manufacturing
supply chains.
Findings – Differences between services and products are taken into consideration when comparing
and ... Show more content on Helpwriting.net ...
Originality/value – The literature review has explored the main differences between the two types of
supply chains and also bridged the connection to their inherent characteristics. It is anticipated that
this will trigger more in–depth researches into that topic.
Keywords Service supply chains, Service–oriented supply chains, Supply chain management,
Distinctions of supply chains
Paper type Literature review
Introduction
In recent years, service has become the main driving force of a country's economy growth
(Giannakis 2011), either in high–income countries or low & middle–income countries. According to
figures from the World Bank in 2012, the service sector accounts for 70% of GDP worldwide (figure
1). Furthermore, the forces from government policies, social change, business trends, development
in information technology and internationalization are contributing to the growth of the service
markets as well as solidifying the dominant position of service sector in a country's economy
(Baltacioglu et al. 2007).
Despite the increased importance of service, the service sector received less attention from
researchers. This is due to the fact that world economies were built on manufacturing and farming
sectors while the
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Supply Chain Responsiveness Essay
Supply Chain Responsiveness and Efficiency – Complementing or Contradicting Each Other?
Dennis Minnich1 Frank H. Maier2 International University in Germany Campus 1 76646 Bruchsal,
Germany Phone +49 7251 700–341 Fax +49 7251 700–350 e–mail dennis.minnich@i–u.de
Abstract Balancing responsiveness to market requirements with overall efficiency is an important
issue in supply chain design and management. The objective of the system dynamics model
introduced in this paper is to capture generic structures and the intrinsic dynamic behaviour modes
of supply chains considering aspects of responsiveness and efficiency. The research strives for a
better understanding of these aspects: what are the structural consequences of implementing ... Show
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Boeing, for example, at the end of the 1990s failed to achieve sufficient buffer capacity or inventory
levels by pursuing a lean manufacturing strategy without considering the variability of demand in
the aerospace industry (Naylor, Naim and Berry, 1999, p. 108 and p. 112). Airplanes fulfil most of
the criteria for functional products as identified by Fisher, except long–term demand predictability
(1997, p. 106). If, as in this example, end–user demand is subject to sudden, unpredictable
variations, it is not sensible to implement lean manufacturing at the interface with the end–user
(Naylor, Naim and Berry, 1999, p. 112). In general, the cost resulting from investments in
responsiveness needs to be compared to the opportunity cost of lost sales resulting from stockouts
(Thonemann, Behrenbeck, Küpper and Magnus, 2005, p. 18). These stockouts are most likely to
occur with products that are subject to demand fluctuations. Responsive supply chains aim to avoid
such stockouts and therefore prioritise the ability to react to changing customer requirements
(Alicke, 2003, p. 145). Providing the right degree of responsiveness and having an efficient supply
chain at the same time is a goal that is hard to achieve and that typically involves trade–off decisions
by management, since increased responsiveness can be perceived to come at the expense of reduced
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Radio Frequency Identification ( Rfid )
RADIO FREQUENCY IDENTIFICATION (RFID) IN SUPPLY CHAIN MANAGEMENT
Nor Faridah Omar
Abstract– RFID tagging is an ID system that uses low–frequency detection device for the purpose of
identifying and tracing. It includes the tag, the device which reads and writes and host system for the
application of data collection, processing and transmission which relies on storage and retrieve data
remotely using a tag or transponder [1].
RFID tagging is used in supply chain management as an alternative to barcode technology. It
ensures the efficiency and speed of the process [1]. Tags do not require line–of–sight to decipher
purposes. It can be read through the plastic, human body and wood. RFID uses radio waves to
communicate and should be in reader 's read range which varies according to the equipment [2].
RFID ensures that every item in the correct position without any errors.It makes supply chain
system is very great also improve the overall reliability and efficiency of the supply chain. It
provides updated information on the entire supply chain in real time. RFID can really give a lot of
advantages in supply chain. Provide the real time and up to date information across the entire supply
chain [3].
I. INTRODUCTION
There are many Radio Frequency Identification (RFID) applications as long as there is business.
Beginning of the emergence of RFID began in 1940 's where the British Air Force to use RFID–like
technology to identify between friend or enemy aircraft in World War II.
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Apple 's Supply Chain Management
Apple supply chain management is based on its ability to quickly adapt to change. Apple strong
supply chain leads the company to have a competitive advantage over its competitors. Apple is very
fast to deliver products with high demand. Apple is considered one of the highest and best
performing supply chain around the world. This report was written to learn best practices of Apple
Supply Chain and apply them to Walmart 32nd St. I discovered that Apple's supply chain is very
simple and efficient. Apple does not spend a lot of money on storage since they produce as demand
comes and distribute products the fast as possible, this helps the company to reduce inventory costs.
Apple is a sustainable company that recycles its products and ... Show more content on
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Recycling is a big part of the supply chain management process and it also help to reduce costs.
Apple threats are the competitors, constant innovation and technology. Apple continues to innovate
and to ensure that all resources are updated to have and produce the best quality products. There are
over 1 billion of Apple products that are use around the world, with the iPhone being the most
popular product.
Apple Current Supply Chain Overview
Sourcing Manufacturing Warehousing Distribution Return
Sourcing: Apple source materials from different providers. Apple manufactures its products in
China, then the products are shipped through UPS and FEDEX that handle online sales, and supply
warehouses around the globe. Apple has multiple distribution centers from retail stores to network
carries.
Manufacturing: Apple manufactures its products in other countries where labor is cheaper. Apple
uses innovate technology that makes labor easier, quicker and at lower costs.
Warehousing: Apple orders are based on need, and online orders are separate and usually shipped as
they are ready, online order do not require a warehousing.
Distributions: Apple products are sold by other distributors, more than 30 % of sales revenue is
generated through network carrier distribution centers. Apple has retail stores distributed around the
U.S and the world.
Return: Apple succeed is due to its flexibility to let
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Discussion About The Supply Chain Integration
Discussion About the Supply Chain Integration
Introduction
The supply chain indicates the supply and demand network made up of the raw materials suppliers,
manufacturers, wholesalers, and the ultimate consumers (ARNDT, 2004). The supply chain
management is the vital concept in the modern management. In the supply chain management, the
supply chain integration is just an important management model. The supply chain integration just
realizes higher value and competitive advantages of the whole supply chain through coordinating
the businesses process and cooperating within the organization and among the different
organizations (LEE, 2000). It does not only facilitate the coordination of the business processes in
the supply chain, but ... Show more content on Helpwriting.net ...
There are several uncertainties in the beer supply chain. The uncertainty in the demand is a typical
and basic one. Because of the intense competition and continuously changing customer demand, it
becomes pretty hard to master the exact demand information in the various levels of the supply
chain (MASON & TOWILL, 1998). Just on account of the uncertainty of the demand in the supply
chain, the purchase and inventory become uncertain too. The reason is that each company in the
supply chain just purchase the raw materials and arrange the inventory according to the demand
from the lower level of the supply chain. Just by virtue of the uncertainty of the demand
information, the demand deviation will be enlarged from the lower level of the supply chain to the
higher one. The uncertainty in the supply chain is still called the bullwhip effect (LEE et al., 1997).
Meanwhile, the uncertainties in the demand will still result in the uncertainty in the production
because many manufacturers just make their production scheme according to the demand
information. Thus, the uncertainty in the demand will lead to the production's uncertainty directly.
Apart from the uncertainties in the demand, purchase and inventory, in the supply field, there still
exist some uncertainties. In the modern supply chain, the connections among the different levels are
pretty tight, and emergent problems in any level of the supply chain will lead to the delay the whole
supply
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Supply Chain Risk Management Analysis Essay
SUPPLY CHAIN RISK MANAGEMENT
Intro: It is too difficult to give one and distinctive definition of Supply Chain Risk management
(SCRM). Indeed, Sodhi, Son, and Tang (2012) begins their findings with the similar fact that 'there
is no clear consensus on the definition of SCRM (because some restrict the scope of SCRM to rare
but large impact events while other authors believe that SCRM is about demand–supply
uncertainties. 1/3rd of their analysis did not just show that respondents took a probabilistic approach
and define SCRM as dealing with probabilities related to supply demand matching but also the same
number took an operations view in suggesting that SCRM deals exclusively with risks originating
from SC performance. This paper categorizes definitions, risks related to SCRM and some tools on
different basis.
Definitions of supply chain management risk by some well–known authors
Different authors in their article have used different definitions of risk and supply chain risk
management. Some authors has done it by categorizing risk or supply chain risks in various parts
and some have done it without categorizing
"Risk definition can either be objective or subjective. Risk which relies on probability alone, such as
coin flipping or dice throwing, is considered to be objective. However, when the consequences of
risk need to be assessed along with its expectation of occurrence, it is categorized as subjective
risk." In this definition author categorized risk as objective
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Essay about BUSI 613 Journal Review 1 Week 2 3
Journal Article Review 1– Week 2
Ferreira, J., & Prokopets, L. (2009). Does offshoring still make sense? Supply Chain Management
Review, 13(1), 20–n/a., pp 1–5, Retrieved from http://search.proquest.com/docview/221135949?
accountid=12085
In this paper I will summarize the article, discuss the purpose intended by the authors, and discuss
how this situation relates to the supply chain management theory. I will also suggest areas in
offshoring where research done since its publication will enhance the findings by the author and
serve as additional options for improvement.
Article Summary Ferreiara & ... Show more content on Helpwriting.net ...
1).
The authors also write about the inability to no longer be able to customize products and services to
customer needs due to shipping container space limitations and month long order times limiting
flexibility and responsiveness of supply chains (p. 1). They went on to say that due to these
inflexible supply chains customers would no longer be able to receive goods, services, and products
tailored to their needs although I did not find conclusive enough evidence in the writing to agree
with its inclusion. I believe this portion of the article was an attempt to persuade the reader by using
examples of possible frustrations customers would experience. Although these issues may be true, I
did not see the research necessary to support the claims. Ferreiara & Prokopets go on to write about
the actual costs consuming companies by providing a list of increases associated with offshoring.
Topping the list were ocean freight costs which have risen by 135% (p. 2). At first reading of the
article it is conceivable that the authors are building their case to show the negative impacts of
offshoring but the reality here is that these prices fluctuate often and can change day to day. These
price range increases were indicated to be from 2005–2008 but there is also research that suggests
the prices have
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Supply Chain Management : Chapter 10
Supply Chain Management: Chapter 10 (p. 249): Questions: 1, 4, 5, & 13
(1) What is the difference between supply chain management and demand management?
According to Schroeder, Goldstein, & Rungtusanatham (2013), supply chain management is the
process that is used by a company to ensure that its supply channel that supplies and materials are
processed through is moving and operating in an efficient and cost effective manner. However,
demand management is when decisions made affect the amounts of one or more products that are a
part of the supply chain.
(4) How do lead times and forecast errors affect supply chain performance?
Lead time is the time between the initiation and completion of a process. It affects supply chain
performance because the longer the lead time the longer it will take for materials to move through
the supply chain. Forecasting errors affect the supply chain because the calculations formulated in
forecasting are not exact science, but it is only an approximation that can be almost on target or the
figures can be way off target. Lead times and forecast errors can both cause the bullwhip effect
which is when there is an increase in variability of orders received in the up side of the supply chain,
which then affects the amount of inventories the upper end of the supply chain holds on to according
to Schroeder, Goldstein, & Rungtusanatham (2013).
(5) Why is increased coordination needed to manage supply chains? Give three examples.
Increased
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Supply Chain Management Value Of Supply Chains
Paper Heading:
Supply Chain Management–Value of Supply Chain
Introduction:
Supply chain management is a complex undertaking that must involve more than one organization's
efforts to succeed. A tremendous amount of skill, time, and money must be present to build and
develop relationships, discover and implement a strategy, and use the capabilities of the chain to
build quality at an efficient financial rate. Allowing for these requirements, it leaves one to wonder
whether supply chain management is a viable option. The answer is yes, because an organization
needs a strong supply chain to compete and be profitable in the marketplace. The key points for
supply chain management should be to meet customer demand, produce excellent customer value,
enhance responsiveness to change, build a network that can resist risk, and develop financial
success.
Discussion:
The simplest level of supply chain management is to make inventory readily available to meet
customer demand. Without inventory, there is nothing available to draw customers in. Through their
resources, organizations must meet supply with demand in a timely fashion. Supply chain partners
should work together to increase resource productivity, develop standardized processes, and
minimize the level of inventory. These steps will reduce an organization's waste, costs, and raise
supply chain efficiency.
Reducing supply chain expenses is always a top priority for companies. Any aspect of supply chain
operations can become
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Integrated Thinking : E Business And Supply Chain...
Department of management systems
Final assignment
Integrated thinking: E–business and Supply Chain Management E–business lets us turn big chunks
of data into information which can be used to increase sales and allows us to share this information
with our business partners via the internet. E–business uses the internet to link retailers with their
suppliers and customers. Supply chain management focusses on integrating steps of the supply chain
both internally and externally. E–business is used to increase effectiveness and efficiency by making
business processes more automated. By using e–business, a supply chain will be able to get benefits
like a decrease in transaction and manufacturing costs.
E–business also allows a supply chain to be more collaborative by sharing information such as
forecasting and inventory planning. In this essay I will be talking about how this all works together.
E–business allows us to be more competitive with other organisations by giving us the ability to
share information and communicate throughout the organisation but also beyond that. It allows us to
build relationships with our partners and customer. Supply chain management coordinates every part
of the supply chain and this can be made easier through e–business as now communication can
happen at almost no cost. E–business can be defined as a network of business structures and
processes which use the internet and software to connect and improve relationships with their
customers
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Demand Planning Methodology in Supply Chain Management
A supply chain is the system of organizations, people, technology, activities, information and
resources involved in moving a product or service from supplier to customer. In Supply Chain
Demand planning is a critical business process that impacts Fast Moving Consumer Goods (FMCG)
companies' ability to manage their value chain business performance. Revenues, costs and asset
utilization are all affected by the quality, timeliness and accuracy of demand planning. Cleaning
History and Reason Code Analysis offer new solutions that can improve the demand planning
process and yield business results. A demand planning methodology and few applications have been
shown here. The potential of this Demand Planning Methodology is to improve the ... Show more
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Obtain a Cleaned Base History:
Base Demand + Activities + Circumstances = Final Demand Plan
When changing the demand planning process to adopt the concept, markets need to adapt historical
data. This task will be done once during the implementation of the concept.
Maintain a Cleaned Base History:
Once the concept is in place, maintain the Cleaned Base History by cleaning history of the new
historical data. This task is to be done every month/week in the monthly and weekly Demand
Planning cycles.
Validation of Cleaning with Statistical Forecasting:
Statistical Forecasting tools are strongly recommended to support "Obtain a Cleaned Base History"
process. Indeed,
Demand planners and Sales & Marketing need to validate the consistency of the Cleaned Base
History with statistical simulation tool.
Judgmental approach:
This involves the knowledge and experience of the Demand Planners and people from Sales &
Marketing. Their judgment based on the business experience is the most important input in the
cleaning process.
Mathematical approach:
Mathematical and graphical techniques support the judgmental approach. They highlight data that,
potentially, need to be cleaned and thus ease the manual work.
Distinction is needed for three types of products:
The strategy to clean depends on the category:
· Category 1 : Mix products
Detailed cleaning is necessary
· Category 2 : Baseline products
Only exceptional circumstances will be removed
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Effective Capacity And Utilisation Capacity Essay
1. Effective capacity And Utilisation Capacity: It is that much amount of the company can perform
during the given time interval due to some constraint like quality issue etc. A. Feb–2014 Factory
Operating Efficiency = 80% Efficiency= Actual Output/Effective Capacity 80%= 241920/ Effective
Capacity Effective Capacity= 302400 Utilisation= Actual Output/Design Capacity Design
Capacity= Days* hours* design per hour = 12* 6 * 1400 = 100800 In Per Week = 100800*4 =
403200 Utilisation= (241920/403200) *100= 60% B. For Feb–2015 Efficiency= (338688/302400)
*100 = 112% Effective Capacity in the Feb–2014 is calculated at 80% of the efficiency, if it had
efficiency more than 80% then also its effective capacity will decrease that will leads to enormous
wastage and sales. Utilisation comes out to be 60% for Feb–2014 Efficiency for the Feb 2015 is
112% 2. Production/ Sales Data SMA MAD WMA MAD Feb–2014 241920 Mar–2014 250084
Apr–2014 258298 May–2014 266562 250101 16461 252558 14004 Jun–2014 274876 258315
16561 260787 14089 Jul–2014 283240 266579 16661 269066 14174 Aug–2014 291004 274893
16111 277395 13609 Sep–2014 298818 283040 15778 285449 13369 Oct–2014 306682 291021
15661 293358 13324 Nov–2014 314596 298835 15761 301187 13409 Dec–2014 322610 306699
15911 309066 13544 Jan–2015 330624 314629 15995 317020 13604 Feb–2015 338688 322610
16078 325014 13674 SMA – Simple Moving
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Supply Chain
1 Components of Supply Chain Management (SCM)
The main elements of a supply chain include purchasing, operations, distribution, and integration.
The supply chain begins with purchasing. Purchasing managers or buyers are typically responsible
for determining which products their company will sell, sourcing product suppliers and vendors, and
procuring products from vendors at prices and terms that meets profitability goals.
Supply chain operations focus on demand planning, forecasting, and inventory management.
Forecasts estimate customer demand for a particular product during a specific period of time based
on historical data, external drivers such as upcoming sales and promotions, and any changes in
trends or competition. Using ... Show more content on Helpwriting.net ...
Production and supply issues then impact the consumer end of the supply chain and the effects
ripple up and down the chain. This is often referred to as the bullwhip effect.
1 What Causes the Bullwhip Effect?
Supply chain management is a complex process. There are several issues that can lead to the
bullwhip effect and those issues can be exacerbated by delays in transmitting information, and a lack
of coordination up and down the supply chain. Some causes of the bullwhip effect include:
Consumer demand swings
Natural disasters that disrupt the flow of goods and services
Overcompensation when addressing inventory issues
Ordering processes, such as order batching, can also contribute to thebullwhip effect. Organizations
may accumulate larger orders before processing them in an effort to reduce costs and create
transportation economics. They may also wait to place larger orders to benefit from lower prices
offered during a promotion. Demand forecasting manipulation is another cause. By padding the
forecast to compensate for possible errors, the organization loses sight of true customer demand.
Customers can also contribute to the bullwhip effect by engaging in shortage gaming during periods
of short supply by purchasing more than they need. Additionally, customers taking advantage of
liberal return policies can create problems with developing accurate demand forecasts.
2 How to Minimize the Bullwhip Effect
The first step in minimizing the
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Nike 's Global Supply Chain Problem
Nike's global supply chain problem. Nike had encountered problems with the management of their
global supply chain in the past. Nike is an iconic footwear and apparel manufacturer that operates in
over 180 countries with reported revenues of $25.3 billion in 2013. Nike currently has 719 factories,
employing 990,325 workers in 44 countries around the world. It is the world's leading manufacturer
and seller of athletic apparel and sports equipment. It takes its name from the Greek goddess of
victory, and is branded by the highly renowned swoosh logo and "Just do it" company slogan. Nike's
global supply chain is an extremely complex network that impacts a wide range of stakeholders
around the world. The supply chain was initially built through the outsourcing of manufacturing
directly to suppliers. Since 1990 the company's supply chain had many problems such as ineffective
forecasting and an inability to keep up with changing consumer trends. As a result, Nike launched
the Nike Supply Chain project in 2000 with goals of implementing enterprise resource planning and
customer relationship management software into an integrated platform. This project proved to be a
disaster for Nike. Identifying Key Problems In order to devise a plan of action to address the
problems discussed in our project, it is necessary to identify the problems faced by Nike during its
challenging time. The primary issues outlined are inventory management, scheduling, and demand
forecasting. To address
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Logistics, Management and Strategy
THE FUNDAMENTAL OF LOGISTIC MANAGEMENT AND STRATEGY
Xi–Er Dang
Abstract
This paper provides a basic but fundamental understanding of logistic primarily based on the book
of "Logistics Management and Strategy" by Harrison and van Hoek. It will guide you through from
the basic definition and concepts to the different supply chain strategies that exist, as well as
providing a perception on the future logistic development. Explanation of principal terms like
logistic, supply chain management and supply network is discussed, and important logistic systems
like just–in–time, lean thinking and agile strategies are deliberated. Different ways of working
together within the supply chain is debated, where there are different ways of sharing ... Show more
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(2004). The partners or suppliers which are near the source and thus the production until the focal
firm are referred to as upstream (buyer side) (Harrison and van Hoek 2005). In contrary to the
partners or first and second tier customers which deliver to the final end–customer are referred to as
downstream (customer side). However, all partners are responsible of adding value to the end–
customer in each process they conduct, where the process can be explained as transforming inputs to
outputs. (ibid.) Another term which is similar to supply chain is supply network, where both terms
describe the objective of serving the end–customer through the linkage of different partners. Harland
et al.‟s 2001 study (cited in Harrison and van Hoek 2005, p.10) distinct the term network and chain
as following: network as a complex structure of cross linkages between organizations, and chain as a
simple step–by–step link of few organizations. Harrison and van Hoek (2005) points out that the
supply network should be looked at as a system where there must be an understanding of how all
process are interacting with each other on a dependent way.
Competing through logistics
Harrios and van Hoek (2005) describe four ways of creating logistic advantage in which they
contributes to the competitive advantages of the company. The first way is to compete through
quality where the symptoms of quality problems signify
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The Role of the Engineer in the Value Chain
Assignment 1: Report
The role of the Engineer in the Value Chain
Introduction
In recent years, the requirements of commercial and industrial operations in the production of
services and goods have been subject to vast changes. In the present era of globalization and
increasing international competition, a trend away from vertically integrated organizations has
become more and more evident. In fact, most companies nowadays tend to solely concentrate on
their own core competencies, outsourcing different steps of the production. However, including a
great many of other organizational units to the production systems, has lead to rising complexity in
terms of the operations management (Plenert, 2012).
In this context, engineers with ... Show more content on Helpwriting.net ...
In this context, the engineer's competences are not only in demand during the actual process of
designing a product, but also concerning the development of technologies, which help to identify
customers' needs (Sabri & Shaikh, 2010). Hence, engineers are involved in research processes
as well as they play a crucial role in the management of those projects, guaranteeing a successful
accomplishment of innovations.
Stadtler and Kilger (2008) point out that the competitiveness of a product is not only included in the
responsibility of a single company, but for the whole supply chain. Accordingly, the engineer has to
ensure efficiency and effectiveness of the supply chain by both enhancing the cooperation of the
different functional units and improving the "coordination of material, information and financial
flows" (Stadtler & Kilger, 2008). However, depending on these two objectives, he can take on
different focuses in his role as a manager. On the one hand, an engineer can increase value, for
instance, by streamlining the cost of procurement and production or optimizing operations
concerning customer orders. On the other hand, he can rather concentrate on more holistic decisions,
which are particularly evident in the context of improving the collaboration of the organizational
units involved in the supply chain. As a strategic manager, he has to give directions and to align
objectives among all
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Supply Chain Management : Case Study
Kevin Lane
Professor Wenninger
Microeconomics
25 March 2015
Supply Chain Management
Tom Greening once said, "All management begins with planning" (Tom Greening). Those who
study and research supply chain management will agree that the aforementioned quote holds true in
their field. Companies looking to reduce their costs and better their customer service often look to
implement supply chain management. In order to effectively execute successful supply chain
management one must acknowledge the importance of demand management, communication,
collaboration, integration, and technology.
According to Investopedia, supply chain management is defined as the streamlining of a business '
supply–side activities to maximize customer value and to ... Show more content on Helpwriting.net
...
Along with demand management, effective communication and collaboration improve overall
efficiency and production of the supply chain. Good communication ensures that all of the
company's team members are on the same page, this way each member can perform his or her duty
on time and respond to a change in demand. Communication between members can act as an
advantage, for example if a new product becomes available they can jump on it right away and get it
on the market as fast as possible. Integration provides a different type of advantage than
communication and collaboration because it helps to reduce costs. For instance, Wal–Mart calls
upon their suppliers to share up–to–date information on demand to route their products to Wal–
Mart's warehouses, from there the products are shipped to the stores in need, with minimum time in
inventory. This integration allows Wal–Mart's to reduce costs significantly, enabling them to offer
customers highly competitive pricing.
Technology plays a very important role in the management of the supply chain. Not only does
technology make communication and collaboration easier but it also allows for better insight into
the demand signals that drive product schedules. Teleconferencing technology allows for company
managers to meet face to face on the computer instead of having to fly or drive to wherever their
headquarters may be located, ultimately saving the company a lot of dollars. Technology has also
improved companies' inventory
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‘ Bull-Whip Effect. Causes & Impact. How Can Improved It...
Bullwhip Effect Causes and Impact. How Can Improved IT Support Reduce Bullwhip Effect
Dnyanesh Sarang
Table of Contents
1 Introduction 2
2 Supply Chain & Bullwhip Effect 2
3 Causes of Bullwhip effect 4
3.1 Demand Forecast Updating 4
3.2 Order Batching 5
3.3 Price Fluctuation 5
3.4 Rationing and shortage gaming 5
4 Impact of Bullwhip Effect 6
4.1 Manufacturing Cost 6
4.2 Inventory Cost 6
4.3 Replenishment Lead Time 6
4.4 Transportation Cost 6
4.5 Level of Product Aavailability 6
4.3 Profitabilityy 7
5 How can improved IT reduce Bullwhip effect 7
5.1 Sharing Point of Sales Data(POS) 8
5.2 Implementing Collaborative Forecasting & Planning (EDI & CAO) ........... 9
5.3 Designing Single Stage Control of ... Show more content on Helpwriting.net ...
The amplification in order variation may cause irrational decision making.(LPW 1997). The
variation in demand between different stages in supply chain while moving upside. These variations
called as 'Bullwhip Effect'. They also called as 'Whip–Saw' or 'Whip–lash' It causes dramatic effect
on firm resulting in excessive inventory, poor product forecasts, insufficient or excessive capacities,
poor customer service due to unavailable products or long backlogs, uncertain production planning
and high cost correction like high shipments.(LPW 1997). There is no bullwhip effect in ideal
supply chain where as its assumed that supply is stationary, fix lead time, constant purchase cost
overtime, no fixed cost of ordering, and forecasting is not based on past demand.( LPW 1997)
[pic]
Fig.2 Order pattern at each stage in suuply chain in case Bullwhip Effect. Sourse: Johnson & Pike,
1999
[pic]
Fig 3 The bullwhip effect–where slight discrepancies between channel demand and real demand can
cause ever–larger ripples as they travel back through the supply chain–can be a powerful rallying
cry for creating a more flexible and accurate supply chain through economic information sharing.
Courtsy R. Douglas Derrick, March 2003.
3. Causes of Bullwhip Effect:
LPW 1997 summarizes major causes of bullwhip effect. This always help firm to take decision and
plan strategy to get rid of it.
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Supply and Demand Chain Management: The Effect of Adding...
Overview of the article
Various operations management facts and theories are objectively presented throughout the article of
"Supply and Demand Chain Management: The Effect of Adding Services to Product Offerings" by
Oscar Bustinza, Glenn Parry and Ferran Vendrell–Herrero. These theories include supply chain
management and competitive advantage, operations strategy and technology. The main purpose of
the literature being reviewed is to address the research question of "How does changing the offering
affect the supply and demand chain management?" (Bustinza, Parry. & Vendrell–Herrero, 2013, p.
618). They achieve their research objective through a study of the music industry and demonstrate
how the digitization of the creative industries ... Show more content on Helpwriting.net ...
2013, p. 619)
Technology is a key component of the supply chain, and can completely alter the way that firms
manufacture and distribute their finished products. The digitization of the creative industries is a
significant factor disrupting the way that firms manage their supply and demand chain. To support
this idea, the authors present the findings of a study that was undertaken on the consumers of the
music industry. The findings show that the digitization of music has "effectively 'broken' the
traditional manufacturing supply chain" (Bustinza, et al. 2013, p. 625). With technology becoming a
growing factor throughout the world, firms may find that they will eventually have to change the
way that they manufacture and distribute their products to cater for the different consumer groups.
With the re–design of a supply chain, firms may be able to accommodate the technological change,
although this is a costly and time–consuming process and firms would have to consider the
repercussions that it would have on the manufacturing and distribution of their goods.
Operations strategy is not an aspect of operations management that is explicitly expressed
throughout the article. Operations strategy refers to the way that firms use their resources to be able
to support their long–term competitive strategy (SOURCE). In the context of the article,
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Supply Chain Management and Lean Production
Abstract
The system of interconnected businesses used to push a product from supplier to consumer is
defined as a supply chain. Supply chain management focuses on managing the supply chain in an
effort to improve the quality and time it requires to manufacture a product. In addition to
implementing supply chain management, a helpful lean production practice called Just–in–time can
be used to remove any waste present along the supply chain. The marriage of lean production and
supply chain management creates lean supply chain management, which provides a much leaner and
more economical supply chain for the product to flow through. Supply Chain Management and Lean
Production Much uncertainty about what supply chain management ... Show more content on
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Today, management of the supply chain can be completed through the use of supply chain
management software, such as E2Open. Supply chain management allows a company to document
and track data pertaining to the supply chain.
Benefits of the supply chain management
Supply chain management places importance on managing the customer relationship, as well as the
supplier relationship. By effectively managing these relationships, the company can become more
competitive, while increasing the quality of the product to the customer. Placing emphasis on the
supplier relationship and the businesses along the supply chain increases product efficiency and
quality. The importance placed on the customer relationship focuses on the demands and needs of
the customer. Through effective communication within the relationships along the supply chain, a
basic balance of supply and demand is established.
The eight SCM processes The presence of standard processes within an organization assists in
optimizing the product flow (Lambert 2008). The implementation of standard processes allows each
area on the supply chain to share common knowledge and information in an effort to have the all
supply chain participants strive to achieve a common goal. These processes place emphasis on the
business as a whole, instead of only focusing on the end product. Lambert (2008) identifies the eight
supply chain management processes as being:
Customer
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Bullwhip Effect
MANAGING THE BULLWHIP EFFECT Joseph H. Wilck, IV Ph.D. Dual Degree, Industrial
Engineering and Operations Research, College of Engineering The bullwhip effect is the inherent
increase in demand fluctuation up the supply chain (i.e., away from customer). Managing the
bullwhip effect is minimizing the fluctuation and variation of the demand (i.e., orders from one
stage of a supply chain to the next stage of the supply chain) throughout the supply chain. This paper
will offer a literature review of this topic, note the key contributions, discuss current practices for
managing the bullwhip effect, and explain why it is necessary for more research to be done in the
area, specifically for continuous review policies. Orders/Time ... Show more content on
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The operations research technique used to prove this theorem involved an optimization model that
minimizes the cost of an ordering system based on a forecast built on previously observed demand.
The primary assumption of this model was that demand is serially correlated (i.e., demand is
correlated mostly with demand from adjoining time periods). Implications of these results are that
there is an inherent increase in variation of perceived demand up the supply chain (i.e., away from
customer) because the true demand is distorted by the forecast. As more stages are added to the
supply chain, the demand distortion increases – producing the bullwhip effect. Another implication
is that safety stock is utilized at each stage of the supply chain because each stage has its own
forecast. These implications give rise to the need for information sharing and coordination within a
supply chain. Information sharing within the supply chain will inevitably lead to a better perception
of true demand (i.e., there will be less distortion). In the "Beer Distribution Game" only the retailer
knew the true customer demand [15]. Information regarding true demand was distorted at each
successive stage moving up the supply chain because each stage made its own forecast. Based on
Table 2.1, if lead time is 1 time unit between each stage (except between the initial
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Supply Chain Management For A Competitive Advantage
Today's world great organizations are emerging in inventing powerful resources for a competitive
advantage. It is called supply chain management and it includes all integrated activates which
introduce to market place and maintain customer satisfaction. This supply chain management drives
from multi– disciplinary departments such as procuring, transportation, manufacturing products,
customer services, distribution of product into integrated program. Successful management will be
in coordination and integrated in all these activate in an unbroken chain process. It supports and
interconnected to all the partners within the organization, where these partners are merchants, third
party companies, transporters, third party companies and product providers. The significant of
supply chain management is involved in today's trend in challenging business industry, by
maintaining slow and constant the company may not achieve to success. In today's generation
organization is recognized by providing products to clients in quick manner than the competition
will develop the position of competitive in company. For more competitive, the organization should
involve to find new solutions to resolve supply chain management issues like modal analysis, load
supply, mapping, and on time network distribution designing. While a company or a firm must face
company challenges which may affect globalization designing.
Why it is necessary for organizations to provide products to their customers
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Taking a Look at Walmart's Supply Chain Management System
1. Nature of the Business Environment Wal–Mart delivers a wide variety of goods at competitive
prices to add value and low cost its costs, making it the strongest company in the retail sector. Over
the years, Wal–Mart has attracted the attention of many analysts because of its huge international
success and its ability to target a wide demographic of shoppers. Wal–Mart is a discount retailor
founded by Sam Walton in 1962. This Company has grown to be a retail giant with over 11,000
stores worldwide from Canada, Brazil, Argentina, UK, and China. When Walton initially founded
Wal–Mart, his business strategy was to make everyday products available to ordinary consumers at
affordable prices. Wal–Mart's business strategy still remains ... Show more content on
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From the hub, they were sent directly to the store giving them a competitive advantage in reducing
cost because Wal–Mart effectively took advantage of economies of scale by ordering large
quantities. These items would then be distributed through their own logistic infrastructure to their
stores. Reducing cost was always a key organizational goal and in doing so, Wal–Mart eliminated
the middleman and dealt directly with manufacturers, an unprecedented move in retail at that time.
Wal–Mart also developed a system known as cross–docking, in which they would deliver goods to a
consumer directly from the manufacturer, eliminating the need to bring it to a store or hold
inventory. Next, they developed one of the greatest computer systems that helped to link supplier
and store information systems together. This allowed the supplier direct access to their sales;
therefore, they were able to monitor the system to determine when to send inventory as needed,
reducing purchase order time. An important part of its logistic system was its transportation system.
Human resource managers made sure they hired competent truck drivers that were required to go
from the manufacturer to the store or even to the consumer. The trucks were owned by Wal–Mart
and therefore allowed it free reign over truck usage. As the years progressed, Wal–Mart invested in
IT which allowed its stores to monitor their own inventory
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Value Chain
Executive Summary
Value chain management has become more and more important in industry in past decades. This
report provides an insight view of value chain in automotive industry and then examine leadership
role of engineer in value chain management. Furthermore, the report will analyse why engineer is so
important in management of value chain.
Analysis of value chain
Automotive industry plays an important pillar role in the economic development of all countries.
This is because the development of automotive industry will definitely drive development of new
technology, development of relative industry sectors and increasing revenue of the country. In this
day and age, value chain management is becoming more and more important in ... Show more
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Lastly, engineers play vital role in value chain, especially in fulfil constomer's demand kown as
requirements role, they design products based on the requirements of consumers, considering and
making sure function of all system. Overall, engineers are significantly contribute to value creation,
value mantainence and guarantee of efficiency and effectiveness, which are the characteristics of a
leader (Hick et al. 1999).
Benefits of using an engineer in value chain management
Engineers are the core of value chain management, this is because they create and add value to the
value chain. Firstly, engineers are creative, which greatly contributes to innovate and invent new
products. They have professional skills to deal with complex problem and able to develop the
products of what customer's expect. Secondly, they have responsibilities in restricting cost, making
plan and strategy and guiding the process of value chain (Simchi–Levi et al. 2008). They so focus on
addding value to value chain that by taking these actions can greatly improve company's
competitiveness and increase profitability of company. Lastly, engineers are required in mantaining
the normal operation of value chain process and improving efficiency by coordinate participants.
Conclusion
this report analyzes the value chain in automotive industry and examines the leadership role in
management of value chain. Engineers have the characteristic of value creation, value mantainence
and guarantee of
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Supply Chain Management : Supply And Demand Management
A supply chain is the system where an organization and its people, activities, information, and
resources all are involved in transferring a product or service from supplier to customer. After the
product is finished accumulating its raw materials and its components then Supply chain activities is
delivered the product to the end customer. In sophisticated supply chain systems, people can recycle
the product of used products may re–enter the supply chain at any point. But there is a condition that
the residual value of the product should be recyclable (Thomas, 1996). The Council of Supply Chain
Management Professionals (CSCMP) defines supply chain management as follows:
Supply Chain Management encompasses the planning and management of ... Show more content on
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–CSCMP
Supply chain management is currently an important aspect in Management Information System. So
much technology and brainpower have been used to improve the performance. In this decade
electronic data interchange has made the process flexible, automatic warehousing and rapid
logistics. Every organizations are trying to make their supply chain management more accurate
using quick response, efficient customer response, mass customization, lean and agile
manufacturing. (Fisher, 1997)
Value and rate of selling top products are adding wealth to the manufacturing industry. Therefore it
is very much required to control the flow of material from suppliers, through the value adding
processes and then distribute channels helps to deliver the product to customers. It is a connected
series of activities which includes planning, coordinating and controlling materials either parts or
finished product and then supply to the customer. There are two different flows in the supply chain,
material and information starts with supply and ends in consumption. (Stevens, 1989) Very recently
in supply chain management area focused on the coordination between manufacturer, distributor,
wholesalers and retailers. Information flow in the supply chain is very important which has a direct
impact on production scheduling, inventory control, and delivery plans.
Lee et al. have discussed about the bullwhip
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Keurig Green Mountain : A Personal Beverage System Company
About Keurig Green Mountain
Keurig Green Mountain is a personal beverage system company that prides itself in the way they
have redesigned the art of enjoying beverages at home and in the office. From their founding in
1981, Keurig Green Mountain (formerly Green Mountain Coffee Roasters) has always been a
company focused on environmentally conscious and sustainable business practices. Since their
inception, Keurig has grown to include over 80 brands and continues to add to their collection of
more than 575 drink varieties. The Keurig has committed to providing their customers and suppliers
with sustainable products and supply chains. They also give back to all of the world by engaging
communities and their commitment to water stewardship programs (Keurig Green Mountain).
Suppliers
According to Stevenson, supply chain management is the strategic coordination of business
functions within a business organization and throughout its supply chain for the purpose of
integrating supply and demand management. Supply chains are sometimes referred to as value
chains and have two components for each organization: supply and demand. Suppliers, producers
and final customers are connected through the supply chain. Global supply chains have additional
complexities that may not exist in domestic supply markets. Language and cultural differences, and
increased need for trust and cooperation among the supply market are among some of these
complexities. There are also risks that exist among
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Logistics: Economics and Supply Chain Essay
Transportation: Critical Link In The Supply Chain
Study Questions
1. What are the major forces or external factors that have impacted our economy during the latter
part of the 20th centuries? How have each of these factors influenced companies as well as their
respective supply chains? Which of these factors do you feel is the most important for a computer
company? Why?
In the 21st century, transportation systems will face significant challenges and problems because of
global environment and the changing economic base in the United States. With combination of
economic, technological, sociocultural, political, and biological factors. Many organizations
developed demand–driven supply chains which could rapidly respond to ... Show more content on
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2. What is the actual nature of transportation demand? How does transportation demand influence
individual companies in the economy?
Transportation is an important and pervasive element in our society that affects every person either
directly or indirectly. Goods we consume, our economic livelihoods, our mobility, and our
entertainment are impacted by transportation. U.S. economy, as well as the economies of most
industrialized countries, is attributable in part to the benefits derived from mass production and the
associated division or specialization of labor that enables mass production to occur.
We depend upon transportation to move these goods and provide these services to different locations
in an efficient and effective manner. Transportation plays an important role in helping to bridge the
supply and demand gap inherent in the mass–production approach. People move from areas where
they are currently situated to areas where they desire to be on a daily, weekly, or permanent basis.
Transportation has a definite, identifiable effect upon a person's lifestyle. They can make decisions
about where to work, live, and play are influenced by transportation.
10. Provide a brief overview of the three phases of development for supply chain management.
Supply Chain Management is the integrations of the flows of products and materials, services,
information, and financials through the entire supply pipeline from the supplier's
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Stakeholder Analysis And Corporate Social Responsibility
Stakeholder analysis is an integral part of what determines a business' success. Within every
business, there are various stakeholder groups that have individual specific needs. Each stakeholder
group has to be consistently considered by the company when it makes decisions. Over the course of
five weeks, students made decisions to help guide K–Tai, Inc. with its stakeholder analysis and
corporate social responsibility (CSR) efforts. Several conflicting decisions were considered and a
thorough analysis helped the CREO office come up with the best possible solutions to the
company's problems. The CSR simulation was an excellent tool to help students understand the
importance of ethics in business and how to address the common issues that businesses face in
today's society.
One of the key stakeholder groups in businesses is the customer base. Companies are responsible for
the safety and well–being of their customers when their product or service is in use. Therefore,
customers heavily influence companies and their decision making processes. During the fourth year
at K–Tai, it was evident that consumers faced an eminent danger with their smart phones.
Individuals who use their smart phone while driving have been causing more accidents than ever
because of the various distractions the phone offers. In order to prevent customers from
continuously being put in harm's way, the decision was made to advise K–Tai to initiate an industry
wide standards body which focused on
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Importance Of A Business 's Value Chain
The Importance of a Business's Value Chain Serge–Eric Keller Marvin Hagen 06/26/15 The
Importance of a Business's Value Chain Introduction It is the wish of every business to be able to
achieve and maintain a competitive advantage. A competitive advantage can be considered to be an
advantage, a condition or even a position that will make a firm to be able to operate efficiently and
also be able to produce products or services that are of a higher quality than the previous ones or
than the other competing firms. When a firm is able to achieve increased earnings as compared to
the costs it incurred, then it can be said to have achieved a competitive advantage according to
Michael Porter, a ... Show more content on Helpwriting.net ...
Michael Kors Holdings Michael Kors Holdings is an American company that deals with clothing
and fashion accessories, including watches and bags. It has many branches around the world. The
fashion industry is a very competitive industry especially because fashion products are subject to
changes more than any other consumer goods. People always want to stay ahead of the fashion and
these industries therefore have to make more efforts in order to be able to win over customers.
Fashion products have a very short shelf–life as compared to other products and sometimes it
becomes hard for firms to be able to forecast the demand of these products (Christopher et al.,
2004). Michael Kors Holdings being an international company with its branches spread in different
parts of the world, means that it has a huge global market to serve. Going international has many
advantages but at the same it also has its disadvantages. In the global market, the changes happening
in the market and the competition are on a very high level. Competition is very high especially when
it comes to those fast moving products or services whereby the products or services are of a short
cycle and consumer demand change each day. The fashion industry is such in case whereby the
products are of a short life. The industry is also characterized by
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Food And Beverage Industry : Supply Chain Management
INTRODUCTION: –
Food and beverage industry today has become one of the most competitive industries in the world.
Recognizing that supply chain management is a core strategy and achieving world class
performance in this strategy by developing and managing supply chains that provide flexibility,
response time and delivery performance that exceed the competition is a key to survival in the food
and beverage industry. The largest production sectors of food industry are brewing, milling, baking,
confectionery, animal and vegetable oils, sugar, dairy products, fruits and vegetables, soft drinks,
fish and meat processing, ethyl alcohol distillation, sprit blending, wines, bottling of natural spring .
The figure illustrates the supply chain management in the food industry. The raw material produced
like Meat, plants, oils are sent to the initial distribution center where they are processed. They are
next sent to the food processing where they are added with preservatives and biocides. Then they are
processed to packaging like paper, cardboard, plastic, glass, metal etc. Then it is sent to the
distribution center from where it is sent to warehouses, shops, supermarkets etc. or they are sent to
restaurants, hotels. After the usage they are again disposed and then recycled.
McDonald 's Background
McDonald 's is one of only a handful of brands that command instant recognition in virtually every
country in the world. McDonald 's is the world 's largest chain of fast food restaurants,
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The Importance Of Supply Chain Relationships
Managing customer and supplier relationships is an important issue of handle supply chains. The
concept of closely aligned relationship has been considered the basic needs of supply chain
management. However, supply chain relationships, particularly those involve in product flows,
reveals that the central of these relationships is inventory movement and storage. Most of the
activity involved in managing relationships is based on the purchase, transfer, or management of
inventory. Thus, inventory in supply chain plays a critical role because it is a salient focus of supply
chains.
Perhaps the inventory play the most fundamental role in supply chains is to make it easier the
balance of demand and supply. In order promote and effectively manage the forward and reverse
flows in the supply chain, company must deal with upstream supplier exchanges and downstream
customer demands. This puts an organization in the position of trying to find a balance between
fulfilling the ... Show more content on Helpwriting.net ...
The main purpose of S&OP is to bring the demand management functions of the company like, sales
forecasting, marketing together with the operations functions of the company (for example,
manufacturing, supply chain, logistics, procurement) and level strategic plans. This always involves
discussions about the company's inventory in hand, inventory in–transit, and work–in–process. Such
discussions allow the sales and marketing department staffs to adequately plan for the forthcoming
time horizon by gaining a realistic picture of the inventory levels available for sale. Additionally, the
operations staffs are able to get updated and direct sales forecasting information, which can help in
planning for future inventory needs. Such information may very from result in shifts in
manufacturing plans or change to procurement needs because of the decision to focus on specific
units of inventory instead of others in the near
... Get more on HelpWriting.net ...
Dell's Value Chain
Dell's Value Chain
1. How has Dell used its direct sales and build–to–order model to develop an exceptional supply
chain? Dell has used its direct sales and build–to–order model to develop an exceptional supply
chain by taking customer feedback very seriously. Dell uses the feedback to further evaluate and
when necessary, implement change to improve their supply chain. The company maintains close–
knit relationships with customers, and maintains very close, professional relations with their
suppliers. Dell collects a larger amount of customer information than is the industry norm. This also
works to the company 's advantage. The close–knit relationships with customers that Dell maintains
allow the company to determine what products ... Show more content on Helpwriting.net ...
The greatest advantage Dell experiences are the direct elimination of all retail and distribution costs
for their products. Because Dell does not have to operate multiple locations, warehouses, etc, they
can offer their products at lower prices, which attract even more consumers. Dell does not have the
same high fixed expenses that their competitors have, who operate multiple factory locations. Dell
also competes with retailers who already have a stock by doing just the opposite – not carrying a
stock. When a consumer wants a particular model of computer, the retailer must have the item in
stock. When a customer shops at Dell, the customer designs exactly what they want. A customer can
design a very basic, bare–bones model, or a model that includes almost limitless options. The
computer is then built in a matter of hours. The customer has his or her own, custom–designed
system in a matter of a few days. There is no waiting for out–of–stock products, and Dell holds
minimal inventory by utilizing such a well–designed system.
5. How does Dell 's supply chain deal with the bullwhip effect? The Bullwhip Effect in itself is a
situation whereby the variation in orders is heightened as it gradually moves up the supply chain
through a specific process. The process moves from consumer to distribution, and then moves to
suppliers. To deal with the Bullwhip Effect, Dell is open with sharing knowledge with their
... Get more on HelpWriting.net ...
A More Granular Breakdown Of The Four Categories Shown
A more granular breakdown of the four categories shown in Figure 1 is listed below and provides
annotated details as to the extent of the research involved.
Supportive documentation.
Similar implementations: publicized examples of supply–chain implementations sourced from
healthcare and hospital environments;
Case studies and related articles: studies, white papers, and published dissertations with a specific
focus on the healthcare supply chain;
Supply chain publications and websites: organizations and associations specific to healthcare
supply–chain management, including The Association for Healthcare Resource and Materials
Management, Healthcare Purchasing News, and Supply & Demand Chain Executive.
Methodology and approach.
Project planning: sources that reflect supply–chain design and material management to support the
importance of project planning to reach desired outcomes;
Strategic alignment: sources supporting the necessities of supply–chain initiatives being aligned
with strategic goals;
Supply chain tools and systems: exploration of existing systems.
Organizational benefits and challenges.
Return on investment (ROI): Sources on measurement of ROI and its difficulty in healthcare project
initiatives;
Attaining competitive advantage: Literature supporting the economic challenges in today's
healthcare organizations and the need for efficacy gains in order to stay competitive;
Efficiency, quality, and safety: Information supporting improvement of
... Get more on HelpWriting.net ...

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Apics Exam Questions Essay

  • 1. Apics Exam Questions Essay Question Number: 1 BASICS OF SUPPLY CHAIN MGMT (BSCM) :Businesswide Concepts The basic elements of the supply chain include: A) supply, manufacture, distribution. B) design, manufacture, inventory. C) engineer, design, manufacture. D) supply, engineer, manufacture. The correct answer is: A Even though different companies produce different products, the basic elements are the same: supply, manufacture, and distribution. (Arnold, Introduction to Materials Management, Chapter 1). [pic] Question Number: 2 BASICS OF SUPPLY CHAIN MGMT (BSCM) :Businesswide Concepts In order to maximize profit, a company must have all of the following objectives except: A) Best customer service B) Most accurate production forecast C) ... Show more content on Helpwriting.net ... B) plan for business changes which take a long time. C) establish customer requirements over the long term. D) establish order promising strategies. The correct answer is: B Strategic plans are used for long term planning (2–10 years). They are used to allow time to plan for changes which take a long time to occur. These might include new plants or distribution centers. (Arnold, Introduction to Materials Management, Chapter 8). [pic] Question Number: 9
  • 2. BASICS OF SUPPLY CHAIN MGMT (BSCM) :Businesswide Concepts Aggregate inventory management is concerned with: A) managing inventory items and how they are used. B) establishing the production plan. C) the cost and benefits of carrying the different classes of inventory. D) the distribution network and the movement of inventory. The correct answer is: C Aggregate inventory management is concerned with the cost and benefit of carrying raw materials, work–in–process, and finished goods inventory. It is financially oriented. (Arnold, Introduction to Materials Management, Chapter 9). [pic] Question Number: 10 BASICS OF SUPPLY CHAIN MGMT (BSCM) :Businesswide Concepts Which of the following are objectives of inventory? I.Maximize customer service II. Efficient transaction III. Low cost plan operations IV. Minimum inventory investment A) I, II, and III B) I, III, ... Get more on HelpWriting.net ...
  • 3.
  • 4.
  • 5.
  • 6. Supply Chain Management as an Inventory Control Method Supply Chain Management as an Inventory Control Method: Supply chain management can be described as a means with which companies across the globe are identifying powerful new sources of competitive advantage. This process incorporates all integrated activities that bring products to the market and generate customer satisfaction. Some of the major aspects in supply chain management include purchasing, manufacturing operations, transportation, and distribution in a unified process. Therefore, successful supply chain management processes involves coordinating and integrating all these operations and functions in a flawless process. As part of ensuring effective supply chain management, companies usually incorporate and link various partners in the chain or process. The major partners in the chain include third–party firms, vendors, information system providers, and carriers. Supply chain management is defined as all activities and processes associated with the movement of goods from raw–materials to the end–user product (Zigiaris, 2000). Description of Supply Chain Management: As previously stated, supply chain includes every activity linked to the movement of goods from the raw–materials phase to the end–user stage. The proponents of this business process recognized that vital productivity improves from management of material flow, relationships, and information. Actually, the success and productivity of a business is dependent on the delivery of improved customer and ... Get more on HelpWriting.net ...
  • 7.
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  • 10. Characteristic of Effective Supply Chain Management TITLE: CHARACTERISTICS OF EFFECTIVE SUPPLY CHAIN MANAGEMENT Table of Content Executive Summary 1 Introduction 2 Effective Distribution Networks 4 Effective Network Design 5 Effective Global Supply Chain Networks 5 Planned Demand and Supply 7 Managed Uncertainty (Safety Inventories) 7 Optimal Product Availability 7 Designed and Planned Transportation network (Logistics Management) 7 Managed Cross–Functional Drivers 8 Managed Prices and Revenue streams 8 Information Management in a Supply Chain 8 Supply Chains must be Coordinated Throughout ... Show more content on Helpwriting.net ... For instance, Dell chose to distribute straight to the company with great success and cost savings and then later changed their plan to include selling through Wal–Mart when the time called for it. Gateway however, decided to open their own stores but didn't sell their product from it. This led to the failure of Gateway. Poor distribution network designs can hurt customer satisfaction and increase costs hurting the profitability of the company. Two factors need to be considered when designing a distribution network; customer needs to be met and the cost of meeting customer needs. When thinking of customer needs it's important to consider what the distribution directly influences, which is response time, product variety, product availability, and customer experience, time to market, order visibility and return ability. Things that affect the cost of the distribution design are inventories, transportation, facilities and handling, information, sourcing and pricing. As the number of facilities increases, the inventory costs increase. It's important to decrease the number of facilities not only to save on inventory costs but also to cut down on facility costs. For transportation you have inbound and outbound with outbound being the bigger cost. Creating economies of scale in transportation is a great way to reduce costs. There are six design options for the distribution network which include manufacturer storage with direct ... Get more on HelpWriting.net ...
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  • 14. Seven-Eleven Japan Case Tanpin Karin is a demand–oriented method of chain management successfully used by Seven– Eleven`s Japan. It`s credited to the company`s CEO, Toshifumi Suzuki, who started to develop it during the 70`s in response to a shift in the market from a seller`s orientation to a buyer`s drive. Until then, the inventory decision–making process was led by supply–chain management practices – items were seen as commodities and replenished according with the amounts that they had sold in the past. In contrast, the Tanpin Karin system changed the practice to an item–by–item store–level inventory analysis framework to fulfill decision–making based on human knowledge. Under this system, employees use POS data combined with customer demographics and other ... Show more content on Helpwriting.net ... With the right approach, this could mitigate the decrease in sales during the days that anticipate workers payment day. 3. Reaching the customer via mobile technology. Use of the data gathered by the payment method to send promotions and advertising by SMS or WAP (the technologies used in 2004). 4. Making partnerships with online outlets to enter the e–business using features like online ordering, catalog online, featured promotions/sales of the day etc to take–out at the store. At the time, didn't make sense to Seven Eleven to develop the expertise to do it by itself because most of the sales were not premeditated by the users. 5. Selling–machines in high traffic areas to take advantage of the local culture of using this kind of nontraditional POS. They should be distributed in subway and JR stations and areas of high concentration of people in transit. The machines could use the card or mobile payment method to generate data information. The selling–machines would be loaded with products according with the demographic data gathered by the stores in the region. 6. Using subway electronic displays to announce day–by–day sales by demographics and factors like weather, time of the day, events etc. 7. Using geolocation services to "speak" to the customer. Mobile phones and portable gadgets are used by almost everyone in Japan, from children to elderly people. SE could ... Get more on HelpWriting.net ...
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  • 18. Case Study : Supply Chain Management Supply chain management is currently an important aspect in Management Information System. So much technology and brainpower have been used to improve the performance. In this decade electronic data interchange has made the process flexible, automatic warehousing and rapid logistics. Every organizations are trying to make their supply chain management more accurate using quick response, efficient customer response, mass customization, lean and agile manufacturing. (Fisher, 1997) Value and rate of selling top products are adding wealth to the manufacturing industry. Therefore it is very much required to control the flow of material from suppliers, through the value adding processes and then distribute channels helps to deliver the product ... Show more content on Helpwriting.net ... Supplier then orders 20 units from the manufacturer because they want to have bulk storage so to guarantee timely shipment of goods to the retailer. The manufacturer then receives the order and started producing in bulk ordering 40 units to ensure economy of scale in production to meet demand. Now 40 units have been produced for a demand of only 8 units which means the retailer now have to increase demand by dropping prices or finding more customers by marketing and advertising. This is how the demand gets distorted in the manufacturing unit. The bullwhip effect is mainly caused by lack of information, the structure of the supply chain and lack of collaboration. To minimize the bullwhip effect first we have to understand the demand; what drives customer demand, and why are they demanding for the products. Lack of demand visibility can cause the main trouble to the people in the supply chain who have access to point of sale (POS) data. Suppliers and customers must collaborate properly to improve both the quality and frequency of information. Information sharing can also be done through vendor–managed inventory (VMI) management. The higher order cost with smaller or frequent orders can be done with Electronic Data Interchange (EDI) and computer aided ordering (CAO). Developing of pricing strategies can also help reduce the bullwhip ... Get more on HelpWriting.net ...
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  • 22. Boeing's Supply Chain System Introduction Boeing follows the goal of "to find and apply the best, most innovative technologies and processes in the world to improve our products and services" (Boeing Frontiers, 2005). By utilizing the contents of this quote it is apparent at what Boeing is best at accomplishing internally which is their innovations through R&D and their supply chain management system. These assets improve their products and services enabling Boeing to become the aerospace conglomerate of today. By analyzing these processes and the products they create will give a better look into the value, rarity, imitability, and organization that each holds along with demonstrating their strengths, weaknesses, and other organizational situations. Value Boeing ... Show more content on Helpwriting.net ... In turn, this has lead Boeing to not be shy about publically saying that they gain value from being a lean company and they mean it. Throughout the years Boeing has developed a lasting relationship with a massive amount of parts suppliers, but they are not afraid to cut ties with the current supplier for one that has a more cost effective goal in mind. On the 777X the company discontinued service with long time partner Messier–Dowty which manufactured all of the previous landing gear assemblies for the 777 and gave the contract to Heroux–Devtek (HDI) for a serious trimming cost of roughly $30 million per year (Supply Chain Push, 2012). The airline manufacturer has also generated profit gaining value from being an industry leader in innovation. As depicted in the rarity section Boeing has upcoming projects that prove fruitful in peaking customer interest. Currently the main focus of Boeings innovations have been to improve reliability, faster flying jetliners, and farther flying jets. They have been able to combine all of these ideas in the 787 Dreamliner which is has increased seat capacity from 125 to over 400, and decreased fuel cost of $11.53 per nautical mile when compared with the 777–300ER depicted in Figure 3. With future orders in place of over $440 billion with the majority of major airlines this new model is sure to set the industry bar ... Get more on HelpWriting.net ...
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  • 26. Monopoly Chains And Service Supply Chains Inherent differences between manufacturing supply chains and service supply chains Abstract Purpose – This paper seeks to review the current literature in order to explore the inherent distinctions between goods supply chains and service supply chains. Traditional supply chain management models are not perfectly applicable to those in the service field because of the difference between physical products and services in their very essence. Design/methodology/approach – An extensive literature review has been undertaken to explore current understandings of how service supply chains differ from the traditional manufacturing supply chains. Findings – Differences between services and products are taken into consideration when comparing and ... Show more content on Helpwriting.net ... Originality/value – The literature review has explored the main differences between the two types of supply chains and also bridged the connection to their inherent characteristics. It is anticipated that this will trigger more in–depth researches into that topic. Keywords Service supply chains, Service–oriented supply chains, Supply chain management, Distinctions of supply chains Paper type Literature review Introduction In recent years, service has become the main driving force of a country's economy growth (Giannakis 2011), either in high–income countries or low & middle–income countries. According to figures from the World Bank in 2012, the service sector accounts for 70% of GDP worldwide (figure 1). Furthermore, the forces from government policies, social change, business trends, development in information technology and internationalization are contributing to the growth of the service markets as well as solidifying the dominant position of service sector in a country's economy (Baltacioglu et al. 2007). Despite the increased importance of service, the service sector received less attention from researchers. This is due to the fact that world economies were built on manufacturing and farming sectors while the ... Get more on HelpWriting.net ...
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  • 30. Supply Chain Responsiveness Essay Supply Chain Responsiveness and Efficiency – Complementing or Contradicting Each Other? Dennis Minnich1 Frank H. Maier2 International University in Germany Campus 1 76646 Bruchsal, Germany Phone +49 7251 700–341 Fax +49 7251 700–350 e–mail dennis.minnich@i–u.de Abstract Balancing responsiveness to market requirements with overall efficiency is an important issue in supply chain design and management. The objective of the system dynamics model introduced in this paper is to capture generic structures and the intrinsic dynamic behaviour modes of supply chains considering aspects of responsiveness and efficiency. The research strives for a better understanding of these aspects: what are the structural consequences of implementing ... Show more content on Helpwriting.net ... Boeing, for example, at the end of the 1990s failed to achieve sufficient buffer capacity or inventory levels by pursuing a lean manufacturing strategy without considering the variability of demand in the aerospace industry (Naylor, Naim and Berry, 1999, p. 108 and p. 112). Airplanes fulfil most of the criteria for functional products as identified by Fisher, except long–term demand predictability (1997, p. 106). If, as in this example, end–user demand is subject to sudden, unpredictable variations, it is not sensible to implement lean manufacturing at the interface with the end–user (Naylor, Naim and Berry, 1999, p. 112). In general, the cost resulting from investments in responsiveness needs to be compared to the opportunity cost of lost sales resulting from stockouts (Thonemann, Behrenbeck, Küpper and Magnus, 2005, p. 18). These stockouts are most likely to occur with products that are subject to demand fluctuations. Responsive supply chains aim to avoid such stockouts and therefore prioritise the ability to react to changing customer requirements (Alicke, 2003, p. 145). Providing the right degree of responsiveness and having an efficient supply chain at the same time is a goal that is hard to achieve and that typically involves trade–off decisions by management, since increased responsiveness can be perceived to come at the expense of reduced ... Get more on HelpWriting.net ...
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  • 34. Radio Frequency Identification ( Rfid ) RADIO FREQUENCY IDENTIFICATION (RFID) IN SUPPLY CHAIN MANAGEMENT Nor Faridah Omar Abstract– RFID tagging is an ID system that uses low–frequency detection device for the purpose of identifying and tracing. It includes the tag, the device which reads and writes and host system for the application of data collection, processing and transmission which relies on storage and retrieve data remotely using a tag or transponder [1]. RFID tagging is used in supply chain management as an alternative to barcode technology. It ensures the efficiency and speed of the process [1]. Tags do not require line–of–sight to decipher purposes. It can be read through the plastic, human body and wood. RFID uses radio waves to communicate and should be in reader 's read range which varies according to the equipment [2]. RFID ensures that every item in the correct position without any errors.It makes supply chain system is very great also improve the overall reliability and efficiency of the supply chain. It provides updated information on the entire supply chain in real time. RFID can really give a lot of advantages in supply chain. Provide the real time and up to date information across the entire supply chain [3]. I. INTRODUCTION There are many Radio Frequency Identification (RFID) applications as long as there is business. Beginning of the emergence of RFID began in 1940 's where the British Air Force to use RFID–like technology to identify between friend or enemy aircraft in World War II. ... Get more on HelpWriting.net ...
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  • 38. Apple 's Supply Chain Management Apple supply chain management is based on its ability to quickly adapt to change. Apple strong supply chain leads the company to have a competitive advantage over its competitors. Apple is very fast to deliver products with high demand. Apple is considered one of the highest and best performing supply chain around the world. This report was written to learn best practices of Apple Supply Chain and apply them to Walmart 32nd St. I discovered that Apple's supply chain is very simple and efficient. Apple does not spend a lot of money on storage since they produce as demand comes and distribute products the fast as possible, this helps the company to reduce inventory costs. Apple is a sustainable company that recycles its products and ... Show more content on Helpwriting.net ... Recycling is a big part of the supply chain management process and it also help to reduce costs. Apple threats are the competitors, constant innovation and technology. Apple continues to innovate and to ensure that all resources are updated to have and produce the best quality products. There are over 1 billion of Apple products that are use around the world, with the iPhone being the most popular product. Apple Current Supply Chain Overview Sourcing Manufacturing Warehousing Distribution Return Sourcing: Apple source materials from different providers. Apple manufactures its products in China, then the products are shipped through UPS and FEDEX that handle online sales, and supply warehouses around the globe. Apple has multiple distribution centers from retail stores to network carries. Manufacturing: Apple manufactures its products in other countries where labor is cheaper. Apple uses innovate technology that makes labor easier, quicker and at lower costs. Warehousing: Apple orders are based on need, and online orders are separate and usually shipped as they are ready, online order do not require a warehousing. Distributions: Apple products are sold by other distributors, more than 30 % of sales revenue is generated through network carrier distribution centers. Apple has retail stores distributed around the U.S and the world. Return: Apple succeed is due to its flexibility to let ... Get more on HelpWriting.net ...
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  • 42. Discussion About The Supply Chain Integration Discussion About the Supply Chain Integration Introduction The supply chain indicates the supply and demand network made up of the raw materials suppliers, manufacturers, wholesalers, and the ultimate consumers (ARNDT, 2004). The supply chain management is the vital concept in the modern management. In the supply chain management, the supply chain integration is just an important management model. The supply chain integration just realizes higher value and competitive advantages of the whole supply chain through coordinating the businesses process and cooperating within the organization and among the different organizations (LEE, 2000). It does not only facilitate the coordination of the business processes in the supply chain, but ... Show more content on Helpwriting.net ... There are several uncertainties in the beer supply chain. The uncertainty in the demand is a typical and basic one. Because of the intense competition and continuously changing customer demand, it becomes pretty hard to master the exact demand information in the various levels of the supply chain (MASON & TOWILL, 1998). Just on account of the uncertainty of the demand in the supply chain, the purchase and inventory become uncertain too. The reason is that each company in the supply chain just purchase the raw materials and arrange the inventory according to the demand from the lower level of the supply chain. Just by virtue of the uncertainty of the demand information, the demand deviation will be enlarged from the lower level of the supply chain to the higher one. The uncertainty in the supply chain is still called the bullwhip effect (LEE et al., 1997). Meanwhile, the uncertainties in the demand will still result in the uncertainty in the production because many manufacturers just make their production scheme according to the demand information. Thus, the uncertainty in the demand will lead to the production's uncertainty directly. Apart from the uncertainties in the demand, purchase and inventory, in the supply field, there still exist some uncertainties. In the modern supply chain, the connections among the different levels are pretty tight, and emergent problems in any level of the supply chain will lead to the delay the whole supply ... Get more on HelpWriting.net ...
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  • 46. Supply Chain Risk Management Analysis Essay SUPPLY CHAIN RISK MANAGEMENT Intro: It is too difficult to give one and distinctive definition of Supply Chain Risk management (SCRM). Indeed, Sodhi, Son, and Tang (2012) begins their findings with the similar fact that 'there is no clear consensus on the definition of SCRM (because some restrict the scope of SCRM to rare but large impact events while other authors believe that SCRM is about demand–supply uncertainties. 1/3rd of their analysis did not just show that respondents took a probabilistic approach and define SCRM as dealing with probabilities related to supply demand matching but also the same number took an operations view in suggesting that SCRM deals exclusively with risks originating from SC performance. This paper categorizes definitions, risks related to SCRM and some tools on different basis. Definitions of supply chain management risk by some well–known authors Different authors in their article have used different definitions of risk and supply chain risk management. Some authors has done it by categorizing risk or supply chain risks in various parts and some have done it without categorizing "Risk definition can either be objective or subjective. Risk which relies on probability alone, such as coin flipping or dice throwing, is considered to be objective. However, when the consequences of risk need to be assessed along with its expectation of occurrence, it is categorized as subjective risk." In this definition author categorized risk as objective ... Get more on HelpWriting.net ...
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  • 50. Essay about BUSI 613 Journal Review 1 Week 2 3 Journal Article Review 1– Week 2 Ferreira, J., & Prokopets, L. (2009). Does offshoring still make sense? Supply Chain Management Review, 13(1), 20–n/a., pp 1–5, Retrieved from http://search.proquest.com/docview/221135949? accountid=12085 In this paper I will summarize the article, discuss the purpose intended by the authors, and discuss how this situation relates to the supply chain management theory. I will also suggest areas in offshoring where research done since its publication will enhance the findings by the author and serve as additional options for improvement. Article Summary Ferreiara & ... Show more content on Helpwriting.net ... 1). The authors also write about the inability to no longer be able to customize products and services to customer needs due to shipping container space limitations and month long order times limiting flexibility and responsiveness of supply chains (p. 1). They went on to say that due to these inflexible supply chains customers would no longer be able to receive goods, services, and products tailored to their needs although I did not find conclusive enough evidence in the writing to agree with its inclusion. I believe this portion of the article was an attempt to persuade the reader by using examples of possible frustrations customers would experience. Although these issues may be true, I did not see the research necessary to support the claims. Ferreiara & Prokopets go on to write about the actual costs consuming companies by providing a list of increases associated with offshoring. Topping the list were ocean freight costs which have risen by 135% (p. 2). At first reading of the article it is conceivable that the authors are building their case to show the negative impacts of offshoring but the reality here is that these prices fluctuate often and can change day to day. These price range increases were indicated to be from 2005–2008 but there is also research that suggests the prices have ... Get more on HelpWriting.net ...
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  • 54. Supply Chain Management : Chapter 10 Supply Chain Management: Chapter 10 (p. 249): Questions: 1, 4, 5, & 13 (1) What is the difference between supply chain management and demand management? According to Schroeder, Goldstein, & Rungtusanatham (2013), supply chain management is the process that is used by a company to ensure that its supply channel that supplies and materials are processed through is moving and operating in an efficient and cost effective manner. However, demand management is when decisions made affect the amounts of one or more products that are a part of the supply chain. (4) How do lead times and forecast errors affect supply chain performance? Lead time is the time between the initiation and completion of a process. It affects supply chain performance because the longer the lead time the longer it will take for materials to move through the supply chain. Forecasting errors affect the supply chain because the calculations formulated in forecasting are not exact science, but it is only an approximation that can be almost on target or the figures can be way off target. Lead times and forecast errors can both cause the bullwhip effect which is when there is an increase in variability of orders received in the up side of the supply chain, which then affects the amount of inventories the upper end of the supply chain holds on to according to Schroeder, Goldstein, & Rungtusanatham (2013). (5) Why is increased coordination needed to manage supply chains? Give three examples. Increased ... Get more on HelpWriting.net ...
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  • 58. Supply Chain Management Value Of Supply Chains Paper Heading: Supply Chain Management–Value of Supply Chain Introduction: Supply chain management is a complex undertaking that must involve more than one organization's efforts to succeed. A tremendous amount of skill, time, and money must be present to build and develop relationships, discover and implement a strategy, and use the capabilities of the chain to build quality at an efficient financial rate. Allowing for these requirements, it leaves one to wonder whether supply chain management is a viable option. The answer is yes, because an organization needs a strong supply chain to compete and be profitable in the marketplace. The key points for supply chain management should be to meet customer demand, produce excellent customer value, enhance responsiveness to change, build a network that can resist risk, and develop financial success. Discussion: The simplest level of supply chain management is to make inventory readily available to meet customer demand. Without inventory, there is nothing available to draw customers in. Through their resources, organizations must meet supply with demand in a timely fashion. Supply chain partners should work together to increase resource productivity, develop standardized processes, and minimize the level of inventory. These steps will reduce an organization's waste, costs, and raise supply chain efficiency. Reducing supply chain expenses is always a top priority for companies. Any aspect of supply chain operations can become ... Get more on HelpWriting.net ...
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  • 62. Integrated Thinking : E Business And Supply Chain... Department of management systems Final assignment Integrated thinking: E–business and Supply Chain Management E–business lets us turn big chunks of data into information which can be used to increase sales and allows us to share this information with our business partners via the internet. E–business uses the internet to link retailers with their suppliers and customers. Supply chain management focusses on integrating steps of the supply chain both internally and externally. E–business is used to increase effectiveness and efficiency by making business processes more automated. By using e–business, a supply chain will be able to get benefits like a decrease in transaction and manufacturing costs. E–business also allows a supply chain to be more collaborative by sharing information such as forecasting and inventory planning. In this essay I will be talking about how this all works together. E–business allows us to be more competitive with other organisations by giving us the ability to share information and communicate throughout the organisation but also beyond that. It allows us to build relationships with our partners and customer. Supply chain management coordinates every part of the supply chain and this can be made easier through e–business as now communication can happen at almost no cost. E–business can be defined as a network of business structures and processes which use the internet and software to connect and improve relationships with their customers ... Get more on HelpWriting.net ...
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  • 66. Demand Planning Methodology in Supply Chain Management A supply chain is the system of organizations, people, technology, activities, information and resources involved in moving a product or service from supplier to customer. In Supply Chain Demand planning is a critical business process that impacts Fast Moving Consumer Goods (FMCG) companies' ability to manage their value chain business performance. Revenues, costs and asset utilization are all affected by the quality, timeliness and accuracy of demand planning. Cleaning History and Reason Code Analysis offer new solutions that can improve the demand planning process and yield business results. A demand planning methodology and few applications have been shown here. The potential of this Demand Planning Methodology is to improve the ... Show more content on Helpwriting.net ... Obtain a Cleaned Base History: Base Demand + Activities + Circumstances = Final Demand Plan When changing the demand planning process to adopt the concept, markets need to adapt historical data. This task will be done once during the implementation of the concept. Maintain a Cleaned Base History: Once the concept is in place, maintain the Cleaned Base History by cleaning history of the new historical data. This task is to be done every month/week in the monthly and weekly Demand Planning cycles. Validation of Cleaning with Statistical Forecasting: Statistical Forecasting tools are strongly recommended to support "Obtain a Cleaned Base History" process. Indeed, Demand planners and Sales & Marketing need to validate the consistency of the Cleaned Base History with statistical simulation tool. Judgmental approach: This involves the knowledge and experience of the Demand Planners and people from Sales & Marketing. Their judgment based on the business experience is the most important input in the cleaning process. Mathematical approach: Mathematical and graphical techniques support the judgmental approach. They highlight data that, potentially, need to be cleaned and thus ease the manual work. Distinction is needed for three types of products: The strategy to clean depends on the category: · Category 1 : Mix products Detailed cleaning is necessary · Category 2 : Baseline products Only exceptional circumstances will be removed
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  • 71. Effective Capacity And Utilisation Capacity Essay 1. Effective capacity And Utilisation Capacity: It is that much amount of the company can perform during the given time interval due to some constraint like quality issue etc. A. Feb–2014 Factory Operating Efficiency = 80% Efficiency= Actual Output/Effective Capacity 80%= 241920/ Effective Capacity Effective Capacity= 302400 Utilisation= Actual Output/Design Capacity Design Capacity= Days* hours* design per hour = 12* 6 * 1400 = 100800 In Per Week = 100800*4 = 403200 Utilisation= (241920/403200) *100= 60% B. For Feb–2015 Efficiency= (338688/302400) *100 = 112% Effective Capacity in the Feb–2014 is calculated at 80% of the efficiency, if it had efficiency more than 80% then also its effective capacity will decrease that will leads to enormous wastage and sales. Utilisation comes out to be 60% for Feb–2014 Efficiency for the Feb 2015 is 112% 2. Production/ Sales Data SMA MAD WMA MAD Feb–2014 241920 Mar–2014 250084 Apr–2014 258298 May–2014 266562 250101 16461 252558 14004 Jun–2014 274876 258315 16561 260787 14089 Jul–2014 283240 266579 16661 269066 14174 Aug–2014 291004 274893 16111 277395 13609 Sep–2014 298818 283040 15778 285449 13369 Oct–2014 306682 291021 15661 293358 13324 Nov–2014 314596 298835 15761 301187 13409 Dec–2014 322610 306699 15911 309066 13544 Jan–2015 330624 314629 15995 317020 13604 Feb–2015 338688 322610 16078 325014 13674 SMA – Simple Moving ... Get more on HelpWriting.net ...
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  • 75. Supply Chain 1 Components of Supply Chain Management (SCM) The main elements of a supply chain include purchasing, operations, distribution, and integration. The supply chain begins with purchasing. Purchasing managers or buyers are typically responsible for determining which products their company will sell, sourcing product suppliers and vendors, and procuring products from vendors at prices and terms that meets profitability goals. Supply chain operations focus on demand planning, forecasting, and inventory management. Forecasts estimate customer demand for a particular product during a specific period of time based on historical data, external drivers such as upcoming sales and promotions, and any changes in trends or competition. Using ... Show more content on Helpwriting.net ... Production and supply issues then impact the consumer end of the supply chain and the effects ripple up and down the chain. This is often referred to as the bullwhip effect. 1 What Causes the Bullwhip Effect? Supply chain management is a complex process. There are several issues that can lead to the bullwhip effect and those issues can be exacerbated by delays in transmitting information, and a lack of coordination up and down the supply chain. Some causes of the bullwhip effect include: Consumer demand swings Natural disasters that disrupt the flow of goods and services Overcompensation when addressing inventory issues Ordering processes, such as order batching, can also contribute to thebullwhip effect. Organizations may accumulate larger orders before processing them in an effort to reduce costs and create transportation economics. They may also wait to place larger orders to benefit from lower prices offered during a promotion. Demand forecasting manipulation is another cause. By padding the forecast to compensate for possible errors, the organization loses sight of true customer demand. Customers can also contribute to the bullwhip effect by engaging in shortage gaming during periods of short supply by purchasing more than they need. Additionally, customers taking advantage of liberal return policies can create problems with developing accurate demand forecasts. 2 How to Minimize the Bullwhip Effect
  • 76. The first step in minimizing the ... Get more on HelpWriting.net ...
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  • 80. Nike 's Global Supply Chain Problem Nike's global supply chain problem. Nike had encountered problems with the management of their global supply chain in the past. Nike is an iconic footwear and apparel manufacturer that operates in over 180 countries with reported revenues of $25.3 billion in 2013. Nike currently has 719 factories, employing 990,325 workers in 44 countries around the world. It is the world's leading manufacturer and seller of athletic apparel and sports equipment. It takes its name from the Greek goddess of victory, and is branded by the highly renowned swoosh logo and "Just do it" company slogan. Nike's global supply chain is an extremely complex network that impacts a wide range of stakeholders around the world. The supply chain was initially built through the outsourcing of manufacturing directly to suppliers. Since 1990 the company's supply chain had many problems such as ineffective forecasting and an inability to keep up with changing consumer trends. As a result, Nike launched the Nike Supply Chain project in 2000 with goals of implementing enterprise resource planning and customer relationship management software into an integrated platform. This project proved to be a disaster for Nike. Identifying Key Problems In order to devise a plan of action to address the problems discussed in our project, it is necessary to identify the problems faced by Nike during its challenging time. The primary issues outlined are inventory management, scheduling, and demand forecasting. To address ... Get more on HelpWriting.net ...
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  • 84. Logistics, Management and Strategy THE FUNDAMENTAL OF LOGISTIC MANAGEMENT AND STRATEGY Xi–Er Dang Abstract This paper provides a basic but fundamental understanding of logistic primarily based on the book of "Logistics Management and Strategy" by Harrison and van Hoek. It will guide you through from the basic definition and concepts to the different supply chain strategies that exist, as well as providing a perception on the future logistic development. Explanation of principal terms like logistic, supply chain management and supply network is discussed, and important logistic systems like just–in–time, lean thinking and agile strategies are deliberated. Different ways of working together within the supply chain is debated, where there are different ways of sharing ... Show more content on Helpwriting.net ... (2004). The partners or suppliers which are near the source and thus the production until the focal firm are referred to as upstream (buyer side) (Harrison and van Hoek 2005). In contrary to the partners or first and second tier customers which deliver to the final end–customer are referred to as downstream (customer side). However, all partners are responsible of adding value to the end– customer in each process they conduct, where the process can be explained as transforming inputs to outputs. (ibid.) Another term which is similar to supply chain is supply network, where both terms describe the objective of serving the end–customer through the linkage of different partners. Harland et al.‟s 2001 study (cited in Harrison and van Hoek 2005, p.10) distinct the term network and chain as following: network as a complex structure of cross linkages between organizations, and chain as a simple step–by–step link of few organizations. Harrison and van Hoek (2005) points out that the supply network should be looked at as a system where there must be an understanding of how all process are interacting with each other on a dependent way. Competing through logistics Harrios and van Hoek (2005) describe four ways of creating logistic advantage in which they contributes to the competitive advantages of the company. The first way is to compete through quality where the symptoms of quality problems signify ... Get more on HelpWriting.net ...
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  • 88. The Role of the Engineer in the Value Chain Assignment 1: Report The role of the Engineer in the Value Chain Introduction In recent years, the requirements of commercial and industrial operations in the production of services and goods have been subject to vast changes. In the present era of globalization and increasing international competition, a trend away from vertically integrated organizations has become more and more evident. In fact, most companies nowadays tend to solely concentrate on their own core competencies, outsourcing different steps of the production. However, including a great many of other organizational units to the production systems, has lead to rising complexity in terms of the operations management (Plenert, 2012). In this context, engineers with ... Show more content on Helpwriting.net ... In this context, the engineer's competences are not only in demand during the actual process of designing a product, but also concerning the development of technologies, which help to identify customers' needs (Sabri & Shaikh, 2010). Hence, engineers are involved in research processes as well as they play a crucial role in the management of those projects, guaranteeing a successful accomplishment of innovations. Stadtler and Kilger (2008) point out that the competitiveness of a product is not only included in the responsibility of a single company, but for the whole supply chain. Accordingly, the engineer has to ensure efficiency and effectiveness of the supply chain by both enhancing the cooperation of the different functional units and improving the "coordination of material, information and financial flows" (Stadtler & Kilger, 2008). However, depending on these two objectives, he can take on different focuses in his role as a manager. On the one hand, an engineer can increase value, for instance, by streamlining the cost of procurement and production or optimizing operations concerning customer orders. On the other hand, he can rather concentrate on more holistic decisions, which are particularly evident in the context of improving the collaboration of the organizational units involved in the supply chain. As a strategic manager, he has to give directions and to align objectives among all ... Get more on HelpWriting.net ...
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  • 92. Supply Chain Management : Case Study Kevin Lane Professor Wenninger Microeconomics 25 March 2015 Supply Chain Management Tom Greening once said, "All management begins with planning" (Tom Greening). Those who study and research supply chain management will agree that the aforementioned quote holds true in their field. Companies looking to reduce their costs and better their customer service often look to implement supply chain management. In order to effectively execute successful supply chain management one must acknowledge the importance of demand management, communication, collaboration, integration, and technology. According to Investopedia, supply chain management is defined as the streamlining of a business ' supply–side activities to maximize customer value and to ... Show more content on Helpwriting.net ... Along with demand management, effective communication and collaboration improve overall efficiency and production of the supply chain. Good communication ensures that all of the company's team members are on the same page, this way each member can perform his or her duty on time and respond to a change in demand. Communication between members can act as an advantage, for example if a new product becomes available they can jump on it right away and get it on the market as fast as possible. Integration provides a different type of advantage than communication and collaboration because it helps to reduce costs. For instance, Wal–Mart calls upon their suppliers to share up–to–date information on demand to route their products to Wal– Mart's warehouses, from there the products are shipped to the stores in need, with minimum time in inventory. This integration allows Wal–Mart's to reduce costs significantly, enabling them to offer customers highly competitive pricing. Technology plays a very important role in the management of the supply chain. Not only does technology make communication and collaboration easier but it also allows for better insight into the demand signals that drive product schedules. Teleconferencing technology allows for company managers to meet face to face on the computer instead of having to fly or drive to wherever their headquarters may be located, ultimately saving the company a lot of dollars. Technology has also improved companies' inventory ... Get more on HelpWriting.net ...
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  • 96. ‘ Bull-Whip Effect. Causes & Impact. How Can Improved It... Bullwhip Effect Causes and Impact. How Can Improved IT Support Reduce Bullwhip Effect Dnyanesh Sarang Table of Contents 1 Introduction 2 2 Supply Chain & Bullwhip Effect 2 3 Causes of Bullwhip effect 4 3.1 Demand Forecast Updating 4 3.2 Order Batching 5 3.3 Price Fluctuation 5 3.4 Rationing and shortage gaming 5 4 Impact of Bullwhip Effect 6 4.1 Manufacturing Cost 6 4.2 Inventory Cost 6 4.3 Replenishment Lead Time 6 4.4 Transportation Cost 6 4.5 Level of Product Aavailability 6 4.3 Profitabilityy 7 5 How can improved IT reduce Bullwhip effect 7 5.1 Sharing Point of Sales Data(POS) 8 5.2 Implementing Collaborative Forecasting & Planning (EDI & CAO) ........... 9 5.3 Designing Single Stage Control of ... Show more content on Helpwriting.net ... The amplification in order variation may cause irrational decision making.(LPW 1997). The variation in demand between different stages in supply chain while moving upside. These variations called as 'Bullwhip Effect'. They also called as 'Whip–Saw' or 'Whip–lash' It causes dramatic effect on firm resulting in excessive inventory, poor product forecasts, insufficient or excessive capacities, poor customer service due to unavailable products or long backlogs, uncertain production planning and high cost correction like high shipments.(LPW 1997). There is no bullwhip effect in ideal supply chain where as its assumed that supply is stationary, fix lead time, constant purchase cost
  • 97. overtime, no fixed cost of ordering, and forecasting is not based on past demand.( LPW 1997) [pic] Fig.2 Order pattern at each stage in suuply chain in case Bullwhip Effect. Sourse: Johnson & Pike, 1999 [pic] Fig 3 The bullwhip effect–where slight discrepancies between channel demand and real demand can cause ever–larger ripples as they travel back through the supply chain–can be a powerful rallying cry for creating a more flexible and accurate supply chain through economic information sharing. Courtsy R. Douglas Derrick, March 2003. 3. Causes of Bullwhip Effect: LPW 1997 summarizes major causes of bullwhip effect. This always help firm to take decision and plan strategy to get rid of it. ... Get more on HelpWriting.net ...
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  • 101. Supply and Demand Chain Management: The Effect of Adding... Overview of the article Various operations management facts and theories are objectively presented throughout the article of "Supply and Demand Chain Management: The Effect of Adding Services to Product Offerings" by Oscar Bustinza, Glenn Parry and Ferran Vendrell–Herrero. These theories include supply chain management and competitive advantage, operations strategy and technology. The main purpose of the literature being reviewed is to address the research question of "How does changing the offering affect the supply and demand chain management?" (Bustinza, Parry. & Vendrell–Herrero, 2013, p. 618). They achieve their research objective through a study of the music industry and demonstrate how the digitization of the creative industries ... Show more content on Helpwriting.net ... 2013, p. 619) Technology is a key component of the supply chain, and can completely alter the way that firms manufacture and distribute their finished products. The digitization of the creative industries is a significant factor disrupting the way that firms manage their supply and demand chain. To support this idea, the authors present the findings of a study that was undertaken on the consumers of the music industry. The findings show that the digitization of music has "effectively 'broken' the traditional manufacturing supply chain" (Bustinza, et al. 2013, p. 625). With technology becoming a growing factor throughout the world, firms may find that they will eventually have to change the way that they manufacture and distribute their products to cater for the different consumer groups. With the re–design of a supply chain, firms may be able to accommodate the technological change, although this is a costly and time–consuming process and firms would have to consider the repercussions that it would have on the manufacturing and distribution of their goods. Operations strategy is not an aspect of operations management that is explicitly expressed throughout the article. Operations strategy refers to the way that firms use their resources to be able to support their long–term competitive strategy (SOURCE). In the context of the article, ... Get more on HelpWriting.net ...
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  • 105. Supply Chain Management and Lean Production Abstract The system of interconnected businesses used to push a product from supplier to consumer is defined as a supply chain. Supply chain management focuses on managing the supply chain in an effort to improve the quality and time it requires to manufacture a product. In addition to implementing supply chain management, a helpful lean production practice called Just–in–time can be used to remove any waste present along the supply chain. The marriage of lean production and supply chain management creates lean supply chain management, which provides a much leaner and more economical supply chain for the product to flow through. Supply Chain Management and Lean Production Much uncertainty about what supply chain management ... Show more content on Helpwriting.net ... Today, management of the supply chain can be completed through the use of supply chain management software, such as E2Open. Supply chain management allows a company to document and track data pertaining to the supply chain. Benefits of the supply chain management Supply chain management places importance on managing the customer relationship, as well as the supplier relationship. By effectively managing these relationships, the company can become more competitive, while increasing the quality of the product to the customer. Placing emphasis on the supplier relationship and the businesses along the supply chain increases product efficiency and quality. The importance placed on the customer relationship focuses on the demands and needs of the customer. Through effective communication within the relationships along the supply chain, a basic balance of supply and demand is established. The eight SCM processes The presence of standard processes within an organization assists in optimizing the product flow (Lambert 2008). The implementation of standard processes allows each area on the supply chain to share common knowledge and information in an effort to have the all supply chain participants strive to achieve a common goal. These processes place emphasis on the business as a whole, instead of only focusing on the end product. Lambert (2008) identifies the eight supply chain management processes as being: Customer ... Get more on HelpWriting.net ...
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  • 109. Bullwhip Effect MANAGING THE BULLWHIP EFFECT Joseph H. Wilck, IV Ph.D. Dual Degree, Industrial Engineering and Operations Research, College of Engineering The bullwhip effect is the inherent increase in demand fluctuation up the supply chain (i.e., away from customer). Managing the bullwhip effect is minimizing the fluctuation and variation of the demand (i.e., orders from one stage of a supply chain to the next stage of the supply chain) throughout the supply chain. This paper will offer a literature review of this topic, note the key contributions, discuss current practices for managing the bullwhip effect, and explain why it is necessary for more research to be done in the area, specifically for continuous review policies. Orders/Time ... Show more content on Helpwriting.net ... The operations research technique used to prove this theorem involved an optimization model that minimizes the cost of an ordering system based on a forecast built on previously observed demand. The primary assumption of this model was that demand is serially correlated (i.e., demand is correlated mostly with demand from adjoining time periods). Implications of these results are that there is an inherent increase in variation of perceived demand up the supply chain (i.e., away from customer) because the true demand is distorted by the forecast. As more stages are added to the supply chain, the demand distortion increases – producing the bullwhip effect. Another implication is that safety stock is utilized at each stage of the supply chain because each stage has its own forecast. These implications give rise to the need for information sharing and coordination within a supply chain. Information sharing within the supply chain will inevitably lead to a better perception of true demand (i.e., there will be less distortion). In the "Beer Distribution Game" only the retailer knew the true customer demand [15]. Information regarding true demand was distorted at each successive stage moving up the supply chain because each stage made its own forecast. Based on Table 2.1, if lead time is 1 time unit between each stage (except between the initial ... Get more on HelpWriting.net ...
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  • 113. Supply Chain Management For A Competitive Advantage Today's world great organizations are emerging in inventing powerful resources for a competitive advantage. It is called supply chain management and it includes all integrated activates which introduce to market place and maintain customer satisfaction. This supply chain management drives from multi– disciplinary departments such as procuring, transportation, manufacturing products, customer services, distribution of product into integrated program. Successful management will be in coordination and integrated in all these activate in an unbroken chain process. It supports and interconnected to all the partners within the organization, where these partners are merchants, third party companies, transporters, third party companies and product providers. The significant of supply chain management is involved in today's trend in challenging business industry, by maintaining slow and constant the company may not achieve to success. In today's generation organization is recognized by providing products to clients in quick manner than the competition will develop the position of competitive in company. For more competitive, the organization should involve to find new solutions to resolve supply chain management issues like modal analysis, load supply, mapping, and on time network distribution designing. While a company or a firm must face company challenges which may affect globalization designing. Why it is necessary for organizations to provide products to their customers ... Get more on HelpWriting.net ...
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  • 117. Taking a Look at Walmart's Supply Chain Management System 1. Nature of the Business Environment Wal–Mart delivers a wide variety of goods at competitive prices to add value and low cost its costs, making it the strongest company in the retail sector. Over the years, Wal–Mart has attracted the attention of many analysts because of its huge international success and its ability to target a wide demographic of shoppers. Wal–Mart is a discount retailor founded by Sam Walton in 1962. This Company has grown to be a retail giant with over 11,000 stores worldwide from Canada, Brazil, Argentina, UK, and China. When Walton initially founded Wal–Mart, his business strategy was to make everyday products available to ordinary consumers at affordable prices. Wal–Mart's business strategy still remains ... Show more content on Helpwriting.net ... From the hub, they were sent directly to the store giving them a competitive advantage in reducing cost because Wal–Mart effectively took advantage of economies of scale by ordering large quantities. These items would then be distributed through their own logistic infrastructure to their stores. Reducing cost was always a key organizational goal and in doing so, Wal–Mart eliminated the middleman and dealt directly with manufacturers, an unprecedented move in retail at that time. Wal–Mart also developed a system known as cross–docking, in which they would deliver goods to a consumer directly from the manufacturer, eliminating the need to bring it to a store or hold inventory. Next, they developed one of the greatest computer systems that helped to link supplier and store information systems together. This allowed the supplier direct access to their sales; therefore, they were able to monitor the system to determine when to send inventory as needed, reducing purchase order time. An important part of its logistic system was its transportation system. Human resource managers made sure they hired competent truck drivers that were required to go from the manufacturer to the store or even to the consumer. The trucks were owned by Wal–Mart and therefore allowed it free reign over truck usage. As the years progressed, Wal–Mart invested in IT which allowed its stores to monitor their own inventory ... Get more on HelpWriting.net ...
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  • 121. Value Chain Executive Summary Value chain management has become more and more important in industry in past decades. This report provides an insight view of value chain in automotive industry and then examine leadership role of engineer in value chain management. Furthermore, the report will analyse why engineer is so important in management of value chain. Analysis of value chain Automotive industry plays an important pillar role in the economic development of all countries. This is because the development of automotive industry will definitely drive development of new technology, development of relative industry sectors and increasing revenue of the country. In this day and age, value chain management is becoming more and more important in ... Show more content on Helpwriting.net ... Lastly, engineers play vital role in value chain, especially in fulfil constomer's demand kown as requirements role, they design products based on the requirements of consumers, considering and making sure function of all system. Overall, engineers are significantly contribute to value creation, value mantainence and guarantee of efficiency and effectiveness, which are the characteristics of a leader (Hick et al. 1999). Benefits of using an engineer in value chain management Engineers are the core of value chain management, this is because they create and add value to the value chain. Firstly, engineers are creative, which greatly contributes to innovate and invent new products. They have professional skills to deal with complex problem and able to develop the products of what customer's expect. Secondly, they have responsibilities in restricting cost, making plan and strategy and guiding the process of value chain (Simchi–Levi et al. 2008). They so focus on addding value to value chain that by taking these actions can greatly improve company's competitiveness and increase profitability of company. Lastly, engineers are required in mantaining the normal operation of value chain process and improving efficiency by coordinate participants. Conclusion this report analyzes the value chain in automotive industry and examines the leadership role in
  • 122. management of value chain. Engineers have the characteristic of value creation, value mantainence and guarantee of ... Get more on HelpWriting.net ...
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  • 126. Supply Chain Management : Supply And Demand Management A supply chain is the system where an organization and its people, activities, information, and resources all are involved in transferring a product or service from supplier to customer. After the product is finished accumulating its raw materials and its components then Supply chain activities is delivered the product to the end customer. In sophisticated supply chain systems, people can recycle the product of used products may re–enter the supply chain at any point. But there is a condition that the residual value of the product should be recyclable (Thomas, 1996). The Council of Supply Chain Management Professionals (CSCMP) defines supply chain management as follows: Supply Chain Management encompasses the planning and management of ... Show more content on Helpwriting.net ... –CSCMP Supply chain management is currently an important aspect in Management Information System. So much technology and brainpower have been used to improve the performance. In this decade electronic data interchange has made the process flexible, automatic warehousing and rapid logistics. Every organizations are trying to make their supply chain management more accurate using quick response, efficient customer response, mass customization, lean and agile manufacturing. (Fisher, 1997) Value and rate of selling top products are adding wealth to the manufacturing industry. Therefore it is very much required to control the flow of material from suppliers, through the value adding processes and then distribute channels helps to deliver the product to customers. It is a connected series of activities which includes planning, coordinating and controlling materials either parts or finished product and then supply to the customer. There are two different flows in the supply chain, material and information starts with supply and ends in consumption. (Stevens, 1989) Very recently in supply chain management area focused on the coordination between manufacturer, distributor, wholesalers and retailers. Information flow in the supply chain is very important which has a direct impact on production scheduling, inventory control, and delivery plans. Lee et al. have discussed about the bullwhip ... Get more on HelpWriting.net ...
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  • 130. Keurig Green Mountain : A Personal Beverage System Company About Keurig Green Mountain Keurig Green Mountain is a personal beverage system company that prides itself in the way they have redesigned the art of enjoying beverages at home and in the office. From their founding in 1981, Keurig Green Mountain (formerly Green Mountain Coffee Roasters) has always been a company focused on environmentally conscious and sustainable business practices. Since their inception, Keurig has grown to include over 80 brands and continues to add to their collection of more than 575 drink varieties. The Keurig has committed to providing their customers and suppliers with sustainable products and supply chains. They also give back to all of the world by engaging communities and their commitment to water stewardship programs (Keurig Green Mountain). Suppliers According to Stevenson, supply chain management is the strategic coordination of business functions within a business organization and throughout its supply chain for the purpose of integrating supply and demand management. Supply chains are sometimes referred to as value chains and have two components for each organization: supply and demand. Suppliers, producers and final customers are connected through the supply chain. Global supply chains have additional complexities that may not exist in domestic supply markets. Language and cultural differences, and increased need for trust and cooperation among the supply market are among some of these complexities. There are also risks that exist among ... Get more on HelpWriting.net ...
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  • 134. Logistics: Economics and Supply Chain Essay Transportation: Critical Link In The Supply Chain Study Questions 1. What are the major forces or external factors that have impacted our economy during the latter part of the 20th centuries? How have each of these factors influenced companies as well as their respective supply chains? Which of these factors do you feel is the most important for a computer company? Why? In the 21st century, transportation systems will face significant challenges and problems because of global environment and the changing economic base in the United States. With combination of economic, technological, sociocultural, political, and biological factors. Many organizations developed demand–driven supply chains which could rapidly respond to ... Show more content on Helpwriting.net ... 2. What is the actual nature of transportation demand? How does transportation demand influence individual companies in the economy? Transportation is an important and pervasive element in our society that affects every person either directly or indirectly. Goods we consume, our economic livelihoods, our mobility, and our entertainment are impacted by transportation. U.S. economy, as well as the economies of most industrialized countries, is attributable in part to the benefits derived from mass production and the associated division or specialization of labor that enables mass production to occur. We depend upon transportation to move these goods and provide these services to different locations in an efficient and effective manner. Transportation plays an important role in helping to bridge the supply and demand gap inherent in the mass–production approach. People move from areas where they are currently situated to areas where they desire to be on a daily, weekly, or permanent basis. Transportation has a definite, identifiable effect upon a person's lifestyle. They can make decisions about where to work, live, and play are influenced by transportation. 10. Provide a brief overview of the three phases of development for supply chain management. Supply Chain Management is the integrations of the flows of products and materials, services, information, and financials through the entire supply pipeline from the supplier's ... Get more on HelpWriting.net ...
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  • 138. Stakeholder Analysis And Corporate Social Responsibility Stakeholder analysis is an integral part of what determines a business' success. Within every business, there are various stakeholder groups that have individual specific needs. Each stakeholder group has to be consistently considered by the company when it makes decisions. Over the course of five weeks, students made decisions to help guide K–Tai, Inc. with its stakeholder analysis and corporate social responsibility (CSR) efforts. Several conflicting decisions were considered and a thorough analysis helped the CREO office come up with the best possible solutions to the company's problems. The CSR simulation was an excellent tool to help students understand the importance of ethics in business and how to address the common issues that businesses face in today's society. One of the key stakeholder groups in businesses is the customer base. Companies are responsible for the safety and well–being of their customers when their product or service is in use. Therefore, customers heavily influence companies and their decision making processes. During the fourth year at K–Tai, it was evident that consumers faced an eminent danger with their smart phones. Individuals who use their smart phone while driving have been causing more accidents than ever because of the various distractions the phone offers. In order to prevent customers from continuously being put in harm's way, the decision was made to advise K–Tai to initiate an industry wide standards body which focused on ... Get more on HelpWriting.net ...
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  • 142. Importance Of A Business 's Value Chain The Importance of a Business's Value Chain Serge–Eric Keller Marvin Hagen 06/26/15 The Importance of a Business's Value Chain Introduction It is the wish of every business to be able to achieve and maintain a competitive advantage. A competitive advantage can be considered to be an advantage, a condition or even a position that will make a firm to be able to operate efficiently and also be able to produce products or services that are of a higher quality than the previous ones or than the other competing firms. When a firm is able to achieve increased earnings as compared to the costs it incurred, then it can be said to have achieved a competitive advantage according to Michael Porter, a ... Show more content on Helpwriting.net ... Michael Kors Holdings Michael Kors Holdings is an American company that deals with clothing and fashion accessories, including watches and bags. It has many branches around the world. The fashion industry is a very competitive industry especially because fashion products are subject to changes more than any other consumer goods. People always want to stay ahead of the fashion and these industries therefore have to make more efforts in order to be able to win over customers. Fashion products have a very short shelf–life as compared to other products and sometimes it becomes hard for firms to be able to forecast the demand of these products (Christopher et al., 2004). Michael Kors Holdings being an international company with its branches spread in different parts of the world, means that it has a huge global market to serve. Going international has many advantages but at the same it also has its disadvantages. In the global market, the changes happening in the market and the competition are on a very high level. Competition is very high especially when it comes to those fast moving products or services whereby the products or services are of a short cycle and consumer demand change each day. The fashion industry is such in case whereby the products are of a short life. The industry is also characterized by ... Get more on HelpWriting.net ...
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  • 146. Food And Beverage Industry : Supply Chain Management INTRODUCTION: – Food and beverage industry today has become one of the most competitive industries in the world. Recognizing that supply chain management is a core strategy and achieving world class performance in this strategy by developing and managing supply chains that provide flexibility, response time and delivery performance that exceed the competition is a key to survival in the food and beverage industry. The largest production sectors of food industry are brewing, milling, baking, confectionery, animal and vegetable oils, sugar, dairy products, fruits and vegetables, soft drinks, fish and meat processing, ethyl alcohol distillation, sprit blending, wines, bottling of natural spring . The figure illustrates the supply chain management in the food industry. The raw material produced like Meat, plants, oils are sent to the initial distribution center where they are processed. They are next sent to the food processing where they are added with preservatives and biocides. Then they are processed to packaging like paper, cardboard, plastic, glass, metal etc. Then it is sent to the distribution center from where it is sent to warehouses, shops, supermarkets etc. or they are sent to restaurants, hotels. After the usage they are again disposed and then recycled. McDonald 's Background McDonald 's is one of only a handful of brands that command instant recognition in virtually every country in the world. McDonald 's is the world 's largest chain of fast food restaurants, ... Get more on HelpWriting.net ...
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  • 150. The Importance Of Supply Chain Relationships Managing customer and supplier relationships is an important issue of handle supply chains. The concept of closely aligned relationship has been considered the basic needs of supply chain management. However, supply chain relationships, particularly those involve in product flows, reveals that the central of these relationships is inventory movement and storage. Most of the activity involved in managing relationships is based on the purchase, transfer, or management of inventory. Thus, inventory in supply chain plays a critical role because it is a salient focus of supply chains. Perhaps the inventory play the most fundamental role in supply chains is to make it easier the balance of demand and supply. In order promote and effectively manage the forward and reverse flows in the supply chain, company must deal with upstream supplier exchanges and downstream customer demands. This puts an organization in the position of trying to find a balance between fulfilling the ... Show more content on Helpwriting.net ... The main purpose of S&OP is to bring the demand management functions of the company like, sales forecasting, marketing together with the operations functions of the company (for example, manufacturing, supply chain, logistics, procurement) and level strategic plans. This always involves discussions about the company's inventory in hand, inventory in–transit, and work–in–process. Such discussions allow the sales and marketing department staffs to adequately plan for the forthcoming time horizon by gaining a realistic picture of the inventory levels available for sale. Additionally, the operations staffs are able to get updated and direct sales forecasting information, which can help in planning for future inventory needs. Such information may very from result in shifts in manufacturing plans or change to procurement needs because of the decision to focus on specific units of inventory instead of others in the near ... Get more on HelpWriting.net ...
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  • 154. Dell's Value Chain Dell's Value Chain 1. How has Dell used its direct sales and build–to–order model to develop an exceptional supply chain? Dell has used its direct sales and build–to–order model to develop an exceptional supply chain by taking customer feedback very seriously. Dell uses the feedback to further evaluate and when necessary, implement change to improve their supply chain. The company maintains close– knit relationships with customers, and maintains very close, professional relations with their suppliers. Dell collects a larger amount of customer information than is the industry norm. This also works to the company 's advantage. The close–knit relationships with customers that Dell maintains allow the company to determine what products ... Show more content on Helpwriting.net ... The greatest advantage Dell experiences are the direct elimination of all retail and distribution costs for their products. Because Dell does not have to operate multiple locations, warehouses, etc, they can offer their products at lower prices, which attract even more consumers. Dell does not have the same high fixed expenses that their competitors have, who operate multiple factory locations. Dell also competes with retailers who already have a stock by doing just the opposite – not carrying a stock. When a consumer wants a particular model of computer, the retailer must have the item in stock. When a customer shops at Dell, the customer designs exactly what they want. A customer can design a very basic, bare–bones model, or a model that includes almost limitless options. The computer is then built in a matter of hours. The customer has his or her own, custom–designed system in a matter of a few days. There is no waiting for out–of–stock products, and Dell holds minimal inventory by utilizing such a well–designed system. 5. How does Dell 's supply chain deal with the bullwhip effect? The Bullwhip Effect in itself is a situation whereby the variation in orders is heightened as it gradually moves up the supply chain through a specific process. The process moves from consumer to distribution, and then moves to suppliers. To deal with the Bullwhip Effect, Dell is open with sharing knowledge with their ... Get more on HelpWriting.net ...
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  • 158. A More Granular Breakdown Of The Four Categories Shown A more granular breakdown of the four categories shown in Figure 1 is listed below and provides annotated details as to the extent of the research involved. Supportive documentation. Similar implementations: publicized examples of supply–chain implementations sourced from healthcare and hospital environments; Case studies and related articles: studies, white papers, and published dissertations with a specific focus on the healthcare supply chain; Supply chain publications and websites: organizations and associations specific to healthcare supply–chain management, including The Association for Healthcare Resource and Materials Management, Healthcare Purchasing News, and Supply & Demand Chain Executive. Methodology and approach. Project planning: sources that reflect supply–chain design and material management to support the importance of project planning to reach desired outcomes; Strategic alignment: sources supporting the necessities of supply–chain initiatives being aligned with strategic goals; Supply chain tools and systems: exploration of existing systems. Organizational benefits and challenges. Return on investment (ROI): Sources on measurement of ROI and its difficulty in healthcare project initiatives; Attaining competitive advantage: Literature supporting the economic challenges in today's healthcare organizations and the need for efficacy gains in order to stay competitive; Efficiency, quality, and safety: Information supporting improvement of ... Get more on HelpWriting.net ...