The document discusses supply chain management and distribution channels. It defines supply chain management as managing flows among firms to maximize profits, and defines distribution channels as the series of firms that facilitate moving products from producers to customers. It also discusses channel functions like transportation and storage, and different types of channels like consumer and business-to-business channels. The document concludes by discussing logistics and inventory control.
This document provides an overview of supply chain management concepts from the first chapter of the textbook "Supply Chain Management (3rd Edition)". It defines a supply chain, outlines the key decision phases of supply chain strategy, planning and operations. It also describes how supply chains can be viewed through either their cycles between stages or their push/pull processes. Key goals of supply chain management are maximizing overall value and profitability across the entire supply chain network.
Introduction to Operations Management by StevensonWafeeqa Wafiq
This document provides an overview of operations management concepts. It begins by defining operations management as the management of systems or processes that create goods and/or provide services. It then discusses the three major functional areas of organizations and how they interrelate. Next, it compares manufacturing and service operations and describes the operations function and the nature of an operations manager's job. The document outlines key decisions operations managers must make. It also reviews the historical evolution of operations management and current trends impacting the field such as globalization and supply chain management.
Chapter 1. understanding the supply chainSachin Modgil
This document discusses key concepts in supply chain management. It defines a supply chain as including all stages involved in fulfilling a customer request, from suppliers to end customers. There are three phases of supply chain decision making: strategy/design, planning, and operations. Processes in a supply chain can be viewed through the cycle view, with different cycles at each interface, or the push/pull view, with reactive pull processes and speculative push processes. The overall goal of supply chain management is to maximize total supply chain profitability.
Download our content ready supply chain management PowerPoint presentation to showcase the flow of goods and services to the management and client. This predesigned supply chain analysis PPT presentation comprises 77 slides. The Supply Chain Management presentation covers slide on various relevant subjects such as supply chain management process, SCM decision phases, strategic sourcing process, logistics, and it, planning and forecasting, inventory management, inventory management models, performance measures, and common problems with supply chain management. A team of the researcher has researched the content of the presentation, and top professional graphics designers have converted it into a stunning presentation. Use this SCM PowerPoint PPT to represent the process of design, planning, implementation, control, and monitoring of supply-chain tasks with the goal of preparing net value and constructing a competitive framework. Our presentation designers have used an appealing graphics of table, pie charts, bar graphs, circles, and icons to make this presentation professional and attention-grabbing. Grab this complete presentation on supply chain management and improve the relationship with customers. Throw a line with our Supply Chain Management Powerpoint Presentation Slides. Reel them in slowly to your point of view.
This document provides an introduction to supply chain management. It discusses key concepts like the objective of a supply chain being to maximize overall value, and defines a supply chain as all stages involved in fulfilling a customer request. It also covers different views of supply chains, including the cycle view which looks at processes between successive stages, and the push/pull view which categorizes processes as either push (anticipatory) or pull (reactive to customer orders). Achieving strategic fit between the supply chain strategy and competitive strategy is also discussed.
This document summarizes key topics from Chapter 3 of a marketing textbook. It discusses analyzing a company's internal microenvironment including departments like management, suppliers, marketing intermediaries, competitors, and publics. It also analyzes the external macroenvironment that affects marketing, including demographic trends in population, economic factors like income and spending patterns, natural resources, technological changes, political/legal issues, and cultural values in society. The chapter outlines how companies must respond to changes in both their internal and external operating environment.
Chapter-2 Marketing: Company and Marketing Strategy Partnering to Build Custo...Yousif Solangi
This document outlines the key topics covered in Chapter 2, which include company and marketing strategy, strategic planning, designing business portfolios, partnering with customers, developing marketing strategies and mixes, managing the marketing effort, and measuring return on marketing investment. The chapter discusses concepts such as defining a company's mission, analyzing business units, developing growth strategies using a product/market grid, implementing marketing plans, and controlling marketing performance.
This chapter discusses attitudes and job satisfaction. It defines attitudes as evaluative statements that can be favorable or unfavorable about objects, people or events. Attitudes have three main components - cognitive, affective, and behavioral. The chapter explores how attitudes relate to behavior and the relationship between cognitive dissonance and reducing inconsistencies. It also examines how job satisfaction, involvement, empowerment, and other job attitudes are measured and what causes job satisfaction. Managers are advised to focus on making work interesting in order to improve attitudes.
This document provides an overview of supply chain management concepts from the first chapter of the textbook "Supply Chain Management (3rd Edition)". It defines a supply chain, outlines the key decision phases of supply chain strategy, planning and operations. It also describes how supply chains can be viewed through either their cycles between stages or their push/pull processes. Key goals of supply chain management are maximizing overall value and profitability across the entire supply chain network.
Introduction to Operations Management by StevensonWafeeqa Wafiq
This document provides an overview of operations management concepts. It begins by defining operations management as the management of systems or processes that create goods and/or provide services. It then discusses the three major functional areas of organizations and how they interrelate. Next, it compares manufacturing and service operations and describes the operations function and the nature of an operations manager's job. The document outlines key decisions operations managers must make. It also reviews the historical evolution of operations management and current trends impacting the field such as globalization and supply chain management.
Chapter 1. understanding the supply chainSachin Modgil
This document discusses key concepts in supply chain management. It defines a supply chain as including all stages involved in fulfilling a customer request, from suppliers to end customers. There are three phases of supply chain decision making: strategy/design, planning, and operations. Processes in a supply chain can be viewed through the cycle view, with different cycles at each interface, or the push/pull view, with reactive pull processes and speculative push processes. The overall goal of supply chain management is to maximize total supply chain profitability.
Download our content ready supply chain management PowerPoint presentation to showcase the flow of goods and services to the management and client. This predesigned supply chain analysis PPT presentation comprises 77 slides. The Supply Chain Management presentation covers slide on various relevant subjects such as supply chain management process, SCM decision phases, strategic sourcing process, logistics, and it, planning and forecasting, inventory management, inventory management models, performance measures, and common problems with supply chain management. A team of the researcher has researched the content of the presentation, and top professional graphics designers have converted it into a stunning presentation. Use this SCM PowerPoint PPT to represent the process of design, planning, implementation, control, and monitoring of supply-chain tasks with the goal of preparing net value and constructing a competitive framework. Our presentation designers have used an appealing graphics of table, pie charts, bar graphs, circles, and icons to make this presentation professional and attention-grabbing. Grab this complete presentation on supply chain management and improve the relationship with customers. Throw a line with our Supply Chain Management Powerpoint Presentation Slides. Reel them in slowly to your point of view.
This document provides an introduction to supply chain management. It discusses key concepts like the objective of a supply chain being to maximize overall value, and defines a supply chain as all stages involved in fulfilling a customer request. It also covers different views of supply chains, including the cycle view which looks at processes between successive stages, and the push/pull view which categorizes processes as either push (anticipatory) or pull (reactive to customer orders). Achieving strategic fit between the supply chain strategy and competitive strategy is also discussed.
This document summarizes key topics from Chapter 3 of a marketing textbook. It discusses analyzing a company's internal microenvironment including departments like management, suppliers, marketing intermediaries, competitors, and publics. It also analyzes the external macroenvironment that affects marketing, including demographic trends in population, economic factors like income and spending patterns, natural resources, technological changes, political/legal issues, and cultural values in society. The chapter outlines how companies must respond to changes in both their internal and external operating environment.
Chapter-2 Marketing: Company and Marketing Strategy Partnering to Build Custo...Yousif Solangi
This document outlines the key topics covered in Chapter 2, which include company and marketing strategy, strategic planning, designing business portfolios, partnering with customers, developing marketing strategies and mixes, managing the marketing effort, and measuring return on marketing investment. The chapter discusses concepts such as defining a company's mission, analyzing business units, developing growth strategies using a product/market grid, implementing marketing plans, and controlling marketing performance.
This chapter discusses attitudes and job satisfaction. It defines attitudes as evaluative statements that can be favorable or unfavorable about objects, people or events. Attitudes have three main components - cognitive, affective, and behavioral. The chapter explores how attitudes relate to behavior and the relationship between cognitive dissonance and reducing inconsistencies. It also examines how job satisfaction, involvement, empowerment, and other job attitudes are measured and what causes job satisfaction. Managers are advised to focus on making work interesting in order to improve attitudes.
This document discusses factors to consider when setting prices, including customer perceptions of value, company and product costs, and other internal and external considerations. It defines price as the amount charged for a product or service and as the only element in the marketing mix that produces revenue. The document outlines different pricing strategies such as value-based pricing, cost-based pricing, break-even pricing, and target profit pricing. It also discusses how market structure, demand, price elasticity, competitors' strategies, and economic conditions should influence price decisions.
This document provides an overview of transportation in supply chains. It discusses the role of transportation in connecting suppliers and customers. Various modes of transportation are described, including truck, air, rail, water, pipeline, and intermodal. Advantages and disadvantages of each mode are outlined. The document also discusses transportation infrastructure and policies, factors that influence transportation network design such as costs and customer needs, and provides examples of direct shipping networks and networks using consolidation points. It concludes with a case study of the unique dabbawala system used in Mumbai to deliver home-cooked meals to workers.
The document discusses logistics outsourcing and the differences between third-party logistics (3PL) and fourth-party logistics (4PL). It defines 3PL as outsourcing logistics functions like transportation and warehousing to external providers. 3PL providers range from basic to advanced, offering value-added services. 4PL providers go a step further by integrating the supply chain resources, capabilities, and technologies of multiple organizations. While 3PL focuses on individual functions, 4PL manages the entire supply chain for a client.
Basic concepts of supply chain managementAyeshaBabar9
This document provides an overview of supply chain management concepts. It defines a supply chain as the network of organizations involved in designing, producing, delivering, and supporting a product or service. Effective supply chain management requires balancing responsiveness to customers with internal operating efficiencies. Key decisions involve production, inventory, location of facilities, transportation, and information sharing. The goal is to increase sales while reducing inventory costs and expenses.
The series of slides are an Introduction to Logistics Functions. Logistics can be defined as the science of organizing the Distribution Function. The presentation also defines distribution management. It also talks about Porter’s value chain. This presentation is a Welingkar’s Distance Learning Division initiative.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/DistMang
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This document provides an overview of supply chain management concepts. It discusses what a supply chain is, the objective of maximizing overall value, and the three key decision phases of supply chain strategy, planning and operations. It also describes two process views - the cycle view which divides processes between stages and the push/pull view which categorizes processes as reactive to demand or speculative. The goal of supply chain management is to effectively manage flows between stages to maximize total surplus.
The document summarizes key concepts from Chapter 3 of a marketing textbook. It discusses analyzing a company's microenvironment and macroenvironment. The microenvironment includes internal departments as well as suppliers, marketing intermediaries, customer markets, competitors, and publics. The macroenvironment covers demographic, economic, natural, technological, political, and cultural forces. Marketers must understand how these environmental factors influence customers and the business. They can take proactive, reactive, or uncontrollable approaches to responding to changes in the environment.
In many organisations, Procurement is beginning to see Risk as part of their responsibilities, second only to savings. In this presentation we will look at identifying risk and consider how it might be treated to arrive at the best Risk solution for your organisation.
The document discusses supply chain risk. It defines supply chain risk and identifies various types of risks including supply risks, demand risks, and environmental risks. It also discusses strategies for managing supply chain risk such as avoidance, postponement, hedging, control, and risk transfer. Effective supply chain risk management involves understanding risk sources and drivers, identifying critical parts of the supply chain, establishing contingency plans, and working collaboratively with suppliers and customers.
This document discusses key drivers and metrics for measuring supply chain performance. It begins by defining common financial measures like return on equity and return on assets. It then identifies six main drivers of supply chain performance: facilities, inventory, transportation, information, sourcing, and pricing. For each driver, the document discusses their role in the supply chain and competitive strategy, important decisions factors, and relevant metrics to measure performance. Throughout, it emphasizes the trade-off between responsiveness and efficiency for each driver.
Logistics involves the total management of procurement, production, and distribution functions in a supply chain. It includes a range of activities like transportation, warehousing, inventory management, and information systems optimization. An effective logistics operation considers transportation principles like economies of scale and utilizes multiple transportation modes. Supply chain management also focuses on managing relationships with suppliers and customers.
The Development Of Closed Loop Supply ChainsWyndham Cramer
Sustainable Supply Chains are discussed frequently and are in vogue at present. This paper published in 2005 provides an insight in to the author\'s futuristic thought process on sustainability specifically the development of closed loop supply chains. A leader who has guided the supply chain of many global multinationals in the South Pacific, this paper was awarded the runner- up prize for the 2005 Logistics Development Award by the Logistics Association of Australia.
This document provides information on supply chain management through three key points:
1) It defines supply, supply chain, and supply chain management, explaining they involve the flow of products and services from suppliers to customers.
2) It illustrates the basic functions of a supply chain, including the primary flows of products, information, and cash between suppliers, producers, and customers.
3) It emphasizes supply chain management coordinates supply chain activities between organizations with the goal of creating value and synchronizing supply and demand globally.
Are you planning to design a professional PPT on the concept of supply chain management introduction? Do not worry! SlideTeam has come up with the predesigned supply chain management introduction PowerPoint presentation slides. Using this supply chain management overview PPT presentation, you can highlight the supply process of goods and services to the customers and manufacturers. This demand chain management presentation PPT includes a template on the relevant subjects such as introduction, components of the supply chain, company timeline, supply chain management advantages, SCM, supply chain management goals, SCM bifurcation, supply chain management and logistics, and SCM control tower. Using these supplier relationship management PowerPoint slides, you can describe the idea of customer relationship management, customer service management, demand-management style, order fulfillment, manufacturing flow management, supplier relationship management, product development, returns management, production planning, operation management, quality management, and enterprise resource planning. Use this PowerPoint presentation; you can throw the light on the supply chain tasks. So, do not delay, download this supply chain management introduction description presentation PPT. Boost deflated egos with our Supply Chain Management Introduction PowerPoint Presentation Slides. Give them cause to be full of confidence again.
Transportation plays a significant role in supply chain management by moving materials, components, and products from suppliers to manufacturing plants and finally to customers. The selection of transportation modes depends on factors like cost, reliability, transit time, and risk of damage. An effective transportation system influences other logistics activities and can help reduce inventory levels and transportation costs if it allows for shipment consolidation. It also impacts materials handling equipment needs and supports customer service and competitive goals.
The document discusses key concepts in operations management (OM) such as managing production of goods and services, the difference between OM and production management, the need for OM, major functions of OM, and examples of OM in companies like PepsiCo, Toyota, and others. It explains that OM aims to conduct all organizational operations efficiently and effectively through functions like procurement, quality management, inventory control, and more. Toyota is highlighted for its use of just-in-time production and flexible operations techniques to minimize costs and adapt to changing demand through efficient OM.
Supply Chain Management, Sourcing Pricing and Procurement Process ,
Presentations By Rajendran Ananda Krishnan, https://www.facebook.com/ialwaysthinkprettythings
This is an interactive action-oriented presentation of how supply chain project management both drove and enabled a Sainsburys division to find its missing stock valued at over £3million GBP.
Logistic and supply chain management involves planning and coordinating all activities from procuring raw materials to delivering the final product to customers. The goal is to achieve the desired level of service and quality at the lowest possible cost. Competitive advantage comes from either lower costs or providing greater value to customers than competitors. Logistics management encompasses activities like network design, transportation, inventory, and warehousing that facilitate the flow of materials and information from suppliers to customers.
HP wanted to leverage the power of the internet to provide customers with easy access to its products and services. It launched an online store in 1998 that experienced over 500% annual revenue growth. FedEx helped HP establish this new e-commerce sales channel by conducting needs assessments, designing an end-to-end supply chain solution, and managing order fulfillment, inventory, and reverse logistics. This enabled HP to quickly launch its online outlet store, reduce return times by 80% and costs by 70%, and increase its customer relationships and sales.
SCL Antwerp - Bert de Winter, Director PPS EMEA Logistics Operations HPGlobal Business Intel
HP has a large global supply chain that delivers hundreds of tons of materials every day via planes and shipping containers. The network has grown significantly in complexity from 2012 to 2015, with the number of shipping lanes increasing over 200% from 2500 to over 7500. To manage this complexity while improving efficiency, HP has implemented several innovations like consolidating distribution centers, implementing direct shipping from factories, utilizing more frequent rail transport from China, and adopting new logistics management tools and processes. The goal is to simplify operations while maintaining agility, speed and cost savings.
This document discusses factors to consider when setting prices, including customer perceptions of value, company and product costs, and other internal and external considerations. It defines price as the amount charged for a product or service and as the only element in the marketing mix that produces revenue. The document outlines different pricing strategies such as value-based pricing, cost-based pricing, break-even pricing, and target profit pricing. It also discusses how market structure, demand, price elasticity, competitors' strategies, and economic conditions should influence price decisions.
This document provides an overview of transportation in supply chains. It discusses the role of transportation in connecting suppliers and customers. Various modes of transportation are described, including truck, air, rail, water, pipeline, and intermodal. Advantages and disadvantages of each mode are outlined. The document also discusses transportation infrastructure and policies, factors that influence transportation network design such as costs and customer needs, and provides examples of direct shipping networks and networks using consolidation points. It concludes with a case study of the unique dabbawala system used in Mumbai to deliver home-cooked meals to workers.
The document discusses logistics outsourcing and the differences between third-party logistics (3PL) and fourth-party logistics (4PL). It defines 3PL as outsourcing logistics functions like transportation and warehousing to external providers. 3PL providers range from basic to advanced, offering value-added services. 4PL providers go a step further by integrating the supply chain resources, capabilities, and technologies of multiple organizations. While 3PL focuses on individual functions, 4PL manages the entire supply chain for a client.
Basic concepts of supply chain managementAyeshaBabar9
This document provides an overview of supply chain management concepts. It defines a supply chain as the network of organizations involved in designing, producing, delivering, and supporting a product or service. Effective supply chain management requires balancing responsiveness to customers with internal operating efficiencies. Key decisions involve production, inventory, location of facilities, transportation, and information sharing. The goal is to increase sales while reducing inventory costs and expenses.
The series of slides are an Introduction to Logistics Functions. Logistics can be defined as the science of organizing the Distribution Function. The presentation also defines distribution management. It also talks about Porter’s value chain. This presentation is a Welingkar’s Distance Learning Division initiative.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/DistMang
Join us on Facebook: http://www.facebook.com/welearnindia
Follow us on Twitter: https://twitter.com/WeLearnIndia
Read our latest blog at: http://welearnindia.wordpress.com
Subscribe to our Slideshare Channel: http://www.slideshare.net/welingkarDLP
This document provides an overview of supply chain management concepts. It discusses what a supply chain is, the objective of maximizing overall value, and the three key decision phases of supply chain strategy, planning and operations. It also describes two process views - the cycle view which divides processes between stages and the push/pull view which categorizes processes as reactive to demand or speculative. The goal of supply chain management is to effectively manage flows between stages to maximize total surplus.
The document summarizes key concepts from Chapter 3 of a marketing textbook. It discusses analyzing a company's microenvironment and macroenvironment. The microenvironment includes internal departments as well as suppliers, marketing intermediaries, customer markets, competitors, and publics. The macroenvironment covers demographic, economic, natural, technological, political, and cultural forces. Marketers must understand how these environmental factors influence customers and the business. They can take proactive, reactive, or uncontrollable approaches to responding to changes in the environment.
In many organisations, Procurement is beginning to see Risk as part of their responsibilities, second only to savings. In this presentation we will look at identifying risk and consider how it might be treated to arrive at the best Risk solution for your organisation.
The document discusses supply chain risk. It defines supply chain risk and identifies various types of risks including supply risks, demand risks, and environmental risks. It also discusses strategies for managing supply chain risk such as avoidance, postponement, hedging, control, and risk transfer. Effective supply chain risk management involves understanding risk sources and drivers, identifying critical parts of the supply chain, establishing contingency plans, and working collaboratively with suppliers and customers.
This document discusses key drivers and metrics for measuring supply chain performance. It begins by defining common financial measures like return on equity and return on assets. It then identifies six main drivers of supply chain performance: facilities, inventory, transportation, information, sourcing, and pricing. For each driver, the document discusses their role in the supply chain and competitive strategy, important decisions factors, and relevant metrics to measure performance. Throughout, it emphasizes the trade-off between responsiveness and efficiency for each driver.
Logistics involves the total management of procurement, production, and distribution functions in a supply chain. It includes a range of activities like transportation, warehousing, inventory management, and information systems optimization. An effective logistics operation considers transportation principles like economies of scale and utilizes multiple transportation modes. Supply chain management also focuses on managing relationships with suppliers and customers.
The Development Of Closed Loop Supply ChainsWyndham Cramer
Sustainable Supply Chains are discussed frequently and are in vogue at present. This paper published in 2005 provides an insight in to the author\'s futuristic thought process on sustainability specifically the development of closed loop supply chains. A leader who has guided the supply chain of many global multinationals in the South Pacific, this paper was awarded the runner- up prize for the 2005 Logistics Development Award by the Logistics Association of Australia.
This document provides information on supply chain management through three key points:
1) It defines supply, supply chain, and supply chain management, explaining they involve the flow of products and services from suppliers to customers.
2) It illustrates the basic functions of a supply chain, including the primary flows of products, information, and cash between suppliers, producers, and customers.
3) It emphasizes supply chain management coordinates supply chain activities between organizations with the goal of creating value and synchronizing supply and demand globally.
Are you planning to design a professional PPT on the concept of supply chain management introduction? Do not worry! SlideTeam has come up with the predesigned supply chain management introduction PowerPoint presentation slides. Using this supply chain management overview PPT presentation, you can highlight the supply process of goods and services to the customers and manufacturers. This demand chain management presentation PPT includes a template on the relevant subjects such as introduction, components of the supply chain, company timeline, supply chain management advantages, SCM, supply chain management goals, SCM bifurcation, supply chain management and logistics, and SCM control tower. Using these supplier relationship management PowerPoint slides, you can describe the idea of customer relationship management, customer service management, demand-management style, order fulfillment, manufacturing flow management, supplier relationship management, product development, returns management, production planning, operation management, quality management, and enterprise resource planning. Use this PowerPoint presentation; you can throw the light on the supply chain tasks. So, do not delay, download this supply chain management introduction description presentation PPT. Boost deflated egos with our Supply Chain Management Introduction PowerPoint Presentation Slides. Give them cause to be full of confidence again.
Transportation plays a significant role in supply chain management by moving materials, components, and products from suppliers to manufacturing plants and finally to customers. The selection of transportation modes depends on factors like cost, reliability, transit time, and risk of damage. An effective transportation system influences other logistics activities and can help reduce inventory levels and transportation costs if it allows for shipment consolidation. It also impacts materials handling equipment needs and supports customer service and competitive goals.
The document discusses key concepts in operations management (OM) such as managing production of goods and services, the difference between OM and production management, the need for OM, major functions of OM, and examples of OM in companies like PepsiCo, Toyota, and others. It explains that OM aims to conduct all organizational operations efficiently and effectively through functions like procurement, quality management, inventory control, and more. Toyota is highlighted for its use of just-in-time production and flexible operations techniques to minimize costs and adapt to changing demand through efficient OM.
Supply Chain Management, Sourcing Pricing and Procurement Process ,
Presentations By Rajendran Ananda Krishnan, https://www.facebook.com/ialwaysthinkprettythings
This is an interactive action-oriented presentation of how supply chain project management both drove and enabled a Sainsburys division to find its missing stock valued at over £3million GBP.
Logistic and supply chain management involves planning and coordinating all activities from procuring raw materials to delivering the final product to customers. The goal is to achieve the desired level of service and quality at the lowest possible cost. Competitive advantage comes from either lower costs or providing greater value to customers than competitors. Logistics management encompasses activities like network design, transportation, inventory, and warehousing that facilitate the flow of materials and information from suppliers to customers.
HP wanted to leverage the power of the internet to provide customers with easy access to its products and services. It launched an online store in 1998 that experienced over 500% annual revenue growth. FedEx helped HP establish this new e-commerce sales channel by conducting needs assessments, designing an end-to-end supply chain solution, and managing order fulfillment, inventory, and reverse logistics. This enabled HP to quickly launch its online outlet store, reduce return times by 80% and costs by 70%, and increase its customer relationships and sales.
SCL Antwerp - Bert de Winter, Director PPS EMEA Logistics Operations HPGlobal Business Intel
HP has a large global supply chain that delivers hundreds of tons of materials every day via planes and shipping containers. The network has grown significantly in complexity from 2012 to 2015, with the number of shipping lanes increasing over 200% from 2500 to over 7500. To manage this complexity while improving efficiency, HP has implemented several innovations like consolidating distribution centers, implementing direct shipping from factories, utilizing more frequent rail transport from China, and adopting new logistics management tools and processes. The goal is to simplify operations while maintaining agility, speed and cost savings.
Bert De Winter, Director PPS EMEA Logistics at HP - How to enable your supply...Global Business Events
The document discusses HP's supply chain and logistics network. It describes how the network adapts to volatile markets and creates new capabilities for emerging markets. Key points are developing a highly responsive, predictable, and cost-effective supply chain while ensuring social and environmental responsibility. The challenges are anticipating changing customer needs, business models, competition, and disasters as well as expanding into new markets with different practices and regulations.
The document summarizes Hewlett-Packard's (HP) efforts to address inventory and service issues for their DeskJet printer in the early 1990s. Brent Cartier, manager of HP's Vancouver division, worked to find solutions to high and growing inventory levels in Europe and Asia-Pacific while customer service levels were unsatisfactory. The solutions involved reconfiguring HP's channel management strategies, including localizing distribution centers to improve response times, inventory levels, and information flow within the supply chain.
A supply chain is the network of organizations involved in producing and delivering a product, from raw materials to the end customer. It includes upstream suppliers, internal production and packaging, and downstream distribution centers and retailers. Effective supply chain management coordinates activities across this network to optimize material, information and financial flows. Key goals are reducing costs and uncertainties while improving customer service. Modern supply chains leverage information technology to facilitate coordination and information sharing among partners.
The document discusses supply chain management and global operations. It covers topics like the definition of supply chain management, the relationship between product design and supply chains, different global sourcing arrangements, the increasing role of electronic purchasing, and challenges of global sourcing like added costs. The goal of supply chain management is to coordinate materials, information, and services across companies to minimize costs and inventory. Effective design can facilitate supply chain management.
The document discusses the concepts of marketing, including how marketing aims to identify and satisfy customer needs and wants through products and services that provide benefits to customers, organizations, and society. It explains that marketing involves activities like product development, promotion, distribution, and pricing to create, communicate, deliver, and exchange value for all involved parties. The document also differentiates between needs, which fulfill basic physiological requirements, and wants, which are culturally and socially influenced desires to satisfy needs in specific ways.
This chapter discusses global production, outsourcing, and logistics. It addresses key questions about where to locate production, whether to own foreign factories or outsource production, and how to manage an international supply chain. The chapter explains that production location decisions depend on country, technological, and product factors. It also discusses factors that influence make-or-buy decisions and how strategic alliances can help capture benefits of vertical integration. The chapter emphasizes that efficient logistics and information technology are important for international operations.
The document discusses logistics and supply chain management. It defines logistics as planning and coordinating product and service delivery globally. Supply chain management involves virtual linkages between organizations. Logistics is an important career field that requires people, analytical, communication, computer and flexibility skills. Logistics managers work in transportation, distribution centers, production and other industries. The document encourages attending workshops to learn more about logistics career opportunities.
This document provides an overview of key concepts in logistics management. It begins with learning objectives which cover understanding the strategic importance of logistics, transportation modes, regulation, global aspects, how logistics impacts supply chain management, and more. The chapter outline then lists topics that will be covered, including transportation fundamentals, warehousing, impacts on supply chain management, sustainability, software, and reverse logistics. The document proceeds to define logistics and its importance in moving goods from suppliers to buyers. It describes various transportation modes like motor carriers, rail, air, water, pipelines, and intermodal transport. Key concepts around warehousing, distribution centers, risk pooling, and location are also summarized.
This document provides an overview of key concepts in supply chain management and purchasing. It outlines learning objectives related to understanding the strategic role of supply management, the purchasing process, sourcing decisions, supplier selection, and global sourcing. The purchasing process is described, including the traditional manual process involving requisitions, requests for quotes, purchase orders, delivery orders, and invoicing. The financial significance of supply management is also discussed in terms of profit leverage, return on assets, and inventory turnover. Figures are included to illustrate the traditional purchasing process.
This document provides an overview of EtherChannel concepts and configuration. EtherChannel allows linking multiple physical Ethernet ports together to form a single logical trunk with increased bandwidth. It uses protocols like PAgP and LACP to dynamically establish and maintain EtherChannel bundles. EtherChannel load balances traffic across physical ports and treats the bundle as a single logical port for functions like spanning tree. The document outlines terminology, configuration, verification commands, and considerations for optimizing EtherChannel deployment.
This chapter discusses factors that influence location decisions for supply chain facilities. It identifies critical location factors such as access to markets and suppliers, labor and transportation costs, tax rates and incentives. It also presents techniques for evaluating potential locations, including weighted factor models and break-even analysis. Additionally, it covers the importance of business clusters and sustainable development considerations in global location strategies.
This document discusses the selection and management of marketing intermediaries. It defines intermediaries as individuals or businesses that facilitate the transfer of products from manufacturers to end users. The four main types of intermediaries are agents, wholesalers, distributors, and retailers. When selecting intermediaries, companies should consider their market knowledge, financial resources, skills and experience, reputation, and interview them. Intermediaries affect businesses by reducing distribution costs, promoting products through marketing channels to build brand loyalty, and increasing sales and revenue. Companies can advertise to intermediaries through trade publications, trade shows, and direct advertising. Intermediaries should be regularly evaluated based on metrics like stock levels, sales targets, delivery timelines, and customer feedback.
Magister Management (Production Management) Trisakti University 2015.
Case Study : Managing the Supply Chain for Globally Integrated Product.
Link source http://businesscasestudies.co.uk/exel/managing-the-supply-chain-for-globally-integrated-products/introduction.html#axzz3s6RM1h12
EB-1 Strategy for Green Cards如何申请 EB-1 绿卡 (Legal Permanent Residency in the U...Eliot Norman
Guide to investing in the USA for Chinese Investors. In Chinese and English. EB-1 direct investments and Eb-5.EB-1 Strategy for Green Cards如何申请 EB-1 绿卡 (Legal Permanent Residency in the USA 在美合法永久居住权)
Cisco Systems formed in 1984 and designed networking technology that allowed computers to communicate. By the 1990s, Cisco's customer support operations expanded significantly to handle growing call volumes. During an economic downturn in 2001, Cisco experienced huge losses due to overstocking of inventory caused by incorrect demand projections and long-term commitments to suppliers that it could not adjust downwards in response to decreased market demand.
This document discusses various topics related to distribution channels and retailing. It begins by defining distribution channels and listing the types of intermediaries involved. It then explains the importance of distribution channels for companies and discusses factors that influence channel structure decisions. The document also covers online marketing, describing advantages and challenges. It defines retailing and outlines emerging trends, including new retail forms, global retailers, and different levels of retail services. Overall, the document provides an overview of key concepts in distribution channels and retailing.
There are two main types of turbine engine lubrication systems: wet-sump and dry-sump. Wet-sump systems store and circulate oil within the engine housing, while dry-sump systems use external tanks and pumps to store, cool, and circulate oil. Dry-sump systems are now more common and can be categorized as either hot-tank or cold-tank depending on whether oil is cooled before or after returning to the external storage tank. Both systems pressurize oil to lubricate engine bearings and gears and use scavenger pumps to return drained oil for recirculation.
This document is from a PowerPoint presentation on managing supply and demand in a supply chain. It discusses how predictable variability in demand can increase costs and decrease responsiveness. It presents two approaches to address this issue: managing supply through capacity, inventory and subcontracting, and managing demand using short-term price discounts and promotions. The document provides examples of how promotions at different times can impact inventory levels, costs and profits. It concludes that the optimal timing of a promotion depends on factors like forward buying behavior and product margins.
Upstream partners such as suppliers provide raw materials and expertise to create products and services. Downstream partners include marketing channels that distribute products to customers. A value delivery network includes suppliers, distributors, and customers who work together to improve performance. Marketing channels consist of firms that partner to play specialized roles in delivering value to customers. Marketing logistics involves planning and controlling the flow of goods and information from origin to consumption to meet customer needs profitably.
The document discusses key concepts in retailing including defining retailing and different types of retailers. It covers the retail life cycle and factors that influence the future of retailing like technology, demographics, and globalization. The document also examines the importance of store image and elements retailers use to create a desirable image like store design, atmospherics, layout, visual merchandising, and pricing.
The document discusses marketing channels and channel management. It defines marketing channels as sets of interdependent organizations that make a product available for use. It notes key channel participants include intermediaries, merchants, agents, and facilitators. It also discusses the importance of push and pull strategies in channels, multichannel marketing, channel functions and flows, channel levels, the number of intermediaries, and e-commerce and m-commerce marketing practices.
principle of marketing chapter twelve gg20021519044
There are four original principles of marketing referred to as 4Ps or 4P marketing Matrix that companies use for their marketing strategy. These four basic marketing principles Product, Price, Place, and Promotion are interconnected and work together; hence, they are also known as Marketing Mix.
This document summarizes key concepts from Chapter 12 on marketing channels. It discusses conventional distribution systems consisting of independent producers, wholesalers, and retailers, each seeking to maximize their own profits. Vertical marketing systems provide channel leadership and consist of producers, wholesalers, and retailers acting as a unified system. There are three types of vertical marketing systems: corporate, contractual, and administered. Horizontal marketing systems involve companies at one level joining together to pursue new opportunities.
This document summarizes key concepts from a chapter on marketing channels and supply chain management. It discusses marketing channels and intermediaries, channel structures and relationships, supply chain management, and trends in the field. The summary focuses on defining marketing channels, channel intermediaries like retailers and wholesalers, benefits of supply chain management, and emerging trends involving technology and globalization.
This document discusses marketing channels and channel management. It begins by defining a marketing channel system as the set of organizations involved in making a product available to consumers. It then discusses how companies design channel systems, manage channel members, integrate channels, and address channel conflicts. The document also covers the rise of e-commerce and m-commerce channels and the issues companies face with these new channels.
This document discusses marketing channels and channel management. It begins by defining a marketing channel system as the set of organizations involved in making a product available to consumers. It then discusses how companies design channel systems, manage channel members, integrate channels, and address channel conflicts. The document also covers the rise of e-commerce and m-commerce channels and the issues companies face with these new channels.
This document provides an overview of key concepts regarding product management and new product development. It discusses how companies classify products, differentiate products, manage product mixes and lines. It also covers strategies for new product development through the life cycle, including developing ideas, concept and prototype testing, and adoption stages. Packaging, labeling, and other tools are also examined. The overall document aims to explain fundamental product strategy considerations for marketers.
Developing Marketing Strategies and PlansKoichiTachiya
The document discusses developing marketing strategies and plans. It covers topics such as strategic planning at different organizational levels, the marketing plan components, and value creation for customers. Specifically, it examines how strategic planning is carried out from the corporate headquarters level down to individual business units. It also provides details on the typical contents of a marketing plan, including an executive summary, situation analysis, and financial projections.
Chapter 4/B2B E-Commerce – Technology of E-BusinessEyad Almasri
This document outlines learning objectives and concepts related to business-to-business (B2B) e-commerce. It describes the major types of B2B models including sell-side marketplaces, buy-side e-procurement, and exchanges. It also discusses characteristics of B2B transactions such as parties involved, types of goods traded, and directions of trades. Specific B2B models like private e-marketplaces, public exchanges, portals, and the use of social media and web 2.0 are explained.
This document discusses product distribution, promotion, and determining an optimal promotion mix. It covers types of distribution channels including direct, one-level, and two-level channels. Factors that determine the optimal channel are described. The document also discusses market coverage strategies, transportation methods, wholesalers' roles, vertical integration, and the four main promotion methods - advertising, personal selling, sales promotion, and public relations. Determining objectives and tools and developing an effective promotion program are also outlined.
The document discusses retailing, wholesaling, and logistics. It covers the major types of retailers and wholesalers, as well as trends in these industries. Retailers are facing increased competition and changes in the retail environment. Wholesalers provide important functions in the supply chain such as buying, selling, warehousing and transportation services. The future of private label brands is also discussed.
This document provides an overview of retailing and wholesaling. It discusses different types of retailers, including their product lines, prices, and organizational approaches. Retailer marketing decisions around segmentation, product assortment, pricing, promotion, and place are also examined. Trends in retailing like new forms, shortening life cycles, and technology are covered. The document then discusses wholesaling functions such as selling, buying, warehousing, and financing. It concludes by describing different types of wholesalers including merchant, agents/brokers, and manufacturers' sales branches.
The document discusses key concepts around product strategy and marketing, including how to classify and differentiate products, the importance of product design, how to manage a company's product mix and lines, strategies for co-branding and ingredient branding, and how packaging, labeling, warranties and guarantees can be used as marketing tools. It provides frameworks for differentiating products, classifying them by durability, tangibility and use, and mapping product lines. The chapter questions cover topics like product characteristics, differentiation, design, product mixes, co-branding, and use of packaging as a marketing tool.
The document discusses key concepts around product strategy and marketing, including how products are classified based on durability, tangibility and use. It also covers how companies can differentiate products through features, style and other attributes. Additionally, it examines the importance of product design and how companies manage their product mix through line extensions. The final sections explore co-branding strategies and how packaging, labeling and guarantees are used as marketing tools.
This document discusses brand positioning and product life cycles. It defines points-of-difference and points-of-parity that brands use to differentiate themselves. Consumer desirability and deliverability criteria for points-of-difference are outlined. Strategies for differentiation include product, channel, image and personnel. The document also discusses claims of product life cycles, including that products have limited lives that pass through distinct stages requiring different marketing strategies. Stages in market evolution like emergence, growth, maturity and decline are also summarized.
The document discusses marketing channels and channel management. It defines a marketing channel as the set of organizations involved in making a product available to consumers. It describes channel functions like transportation, financing, and risk taking. It also discusses channel design considerations, including types of intermediaries, number of intermediaries, and terms of trade between members. The document outlines strategies for managing channels, integrating channels, and addressing issues like channel conflict and new digital channels.
The document discusses how online sales have impacted distribution network design. It provides examples of Dell and Amazon, noting both saw reduced inventory and facility costs but higher transportation costs from distributing online. It also examines Peapod, an online grocer, highlighting challenges in fulfilling grocery orders due to products' bulky nature and need for fast delivery. Overall, online sales allow flexibility but also complexity from balancing various customer service and cost factors in distribution.
The document discusses product strategy and classification. It addresses how companies can differentiate products through features, design, services and more. It also covers how companies develop product mixes through product lines, families and systems. Packaging, labeling, warranties and guarantees are also discussed as important marketing tools.
Similar to Chapter 15 - Supply Chain Management (20)
The document discusses marketing communication and promotional planning. It describes the traditional one-way communication model and the newer many-to-many model enabled by technology and social media. The traditional promotional mix including advertising, sales promotion, public relations, and personal selling is also covered. Finally, the document outlines the five steps of developing a promotional plan: establishing objectives and strategies, selecting target markets, determining budgets, designing the promotional mix, and evaluating effectiveness.
The document discusses the rise of social media marketing and provides statistics on current and projected spending. It defines social media marketing and lists common goals. Examples are given of successful social media campaigns by Mountain Dew and Old Spice. Key aspects of social media marketing identified are engaging and communicating with audiences, allowing consumer feedback, and leveraging user-generated content for promotional efforts.
This document discusses marketing services and intangible offerings. It describes the key characteristics of services, including intangibility, perishability, variability and inseparability. It also discusses classifying services on a continuum from core to augmented. Measuring service quality using tools like SERVQUAL and managing the service environment or "servicescape" are also covered. The importance of effective service recovery when problems arise is also highlighted.
This document discusses product and branding strategies. It covers the product life cycle (PLC) model which explains how market response and marketing activities change over a product's lifetime. The PLC includes introduction, growth, maturity, and decline stages. Branding is also discussed as creating relationships with customers through symbols, names, and unique identifiers for products. Strong brands have high brand equity which provides a pricing premium over generic competitors. Packaging is also mentioned as an important part of branding that protects products and communicates with customers.
Chapter 13 - Advertising, PR and Consumer Sales PromotionsNicholsb1
This document provides an overview of advertising, public relations, and consumer sales promotions. It discusses the major types of advertising and the criticisms of advertising. The document describes the process of developing an advertising campaign, including setting objectives, creating the message, pretesting ads, choosing media, and evaluating the campaign. It also explains the role of public relations and the steps to develop a PR campaign. Finally, the document defines sales promotions and describes various types of consumer sales promotion techniques.
The document discusses various principles of pricing, including:
1) Pricing is the assignment of value for a good or service that customers must pay to acquire it. Price captures some of the value created and is an important marketing lever.
2) Non-monetary costs like time, convenience and psychological factors influence customer perceptions of value and must be considered in pricing.
3) Developing pricing strategies requires understanding demand, costs, competitors and evaluating the business environment. Common strategies include cost-based, demand-based, yield management and competition-based approaches.
The document summarizes key aspects of business-to-business marketing including characteristics of B2B markets and demand, different buying situations, and the business buying decision process. It describes how B2B demand differs from consumer demand in being derived, inelastic, and fluctuating. It also outlines the 5 steps in the business buying decision process - problem recognition, information search, evaluation of alternatives, selection of product/supplier, and post-purchase evaluation.
This idea may undermine the ritual and community experience that is core to Starbucks' mission and brand identity. Portable Starbucks does not seem compatible. Let's generate other ideas that enhance rather than detract from their core value proposition.
The document discusses market segmentation, targeting, and positioning. It covers identifying different customer segments based on variables like demographics, behaviors, and preferences. Marketers evaluate these segments to select the most attractive ones to target. They then develop positioning strategies to create competitive advantage by developing products and messages tailored to meet the specific needs of targeted segments. The goal is to increase long-term success and profits through customer relationship management.
The document provides an overview of consumer behavior and the factors that influence purchasing decisions. It defines consumer behavior and outlines the 5 stages of the purchase decision process. It then describes various internal factors, such as motivation, learning, perceptions, attitudes, and personal characteristics like demographics and psychographics. Finally, it discusses situational influences on consumer behavior, including physical environment, social groups, culture, rituals and values, and opinion leaders. The document is presenting information on consumer purchasing behaviors and the factors that marketers consider when developing advertising and marketing strategies.
Here are drawings of reliability and validity:
Reliability: Validity:
___________ ___________
The length and consistency of the line represents reliability - doing the same measurement repeatedly and getting consistent results.
The circle represents validity - measuring what you intended to measure. Ensuring your measurement is actually measuring the construct you want to measure.
The chapter discusses how globalization and new technologies have integrated ideas, information, products, services and cultures worldwide. It explains that the internet, advanced technologies, multiculturalism and multinational brands have contributed to a "flat world". The chapter then outlines the global market decision process firms go through, including analyzing whether to enter foreign markets and which markets to target. It also discusses factors like world trade flows, economic communities, and how the external business environment influences marketing strategies.
The document discusses business and marketing planning, noting that business planning is an ongoing process to prepare for the future and reach goals in the short and long term, while a marketing plan details marketing strategies, objectives, and responsibilities. It also discusses the importance of strategic planning in identifying opportunities and matching competencies to market needs, as well as the role of ethics and a company's mission and vision in guiding planning. The levels of planning within an organization should be integrated to benefit the whole.
Understanding User Needs and Satisfying ThemAggregage
https://www.productmanagementtoday.com/frs/26903918/understanding-user-needs-and-satisfying-them
We know we want to create products which our customers find to be valuable. Whether we label it as customer-centric or product-led depends on how long we've been doing product management. There are three challenges we face when doing this. The obvious challenge is figuring out what our users need; the non-obvious challenges are in creating a shared understanding of those needs and in sensing if what we're doing is meeting those needs.
In this webinar, we won't focus on the research methods for discovering user-needs. We will focus on synthesis of the needs we discover, communication and alignment tools, and how we operationalize addressing those needs.
Industry expert Scott Sehlhorst will:
• Introduce a taxonomy for user goals with real world examples
• Present the Onion Diagram, a tool for contextualizing task-level goals
• Illustrate how customer journey maps capture activity-level and task-level goals
• Demonstrate the best approach to selection and prioritization of user-goals to address
• Highlight the crucial benchmarks, observable changes, in ensuring fulfillment of customer needs
Industrial Tech SW: Category Renewal and CreationChristian Dahlen
Every industrial revolution has created a new set of categories and a new set of players.
Multiple new technologies have emerged, but Samsara and C3.ai are only two companies which have gone public so far.
Manufacturing startups constitute the largest pipeline share of unicorns and IPO candidates in the SF Bay Area, and software startups dominate in Germany.
How are Lilac French Bulldogs Beauty Charming the World and Capturing Hearts....Lacey Max
“After being the most listed dog breed in the United States for 31
years in a row, the Labrador Retriever has dropped to second place
in the American Kennel Club's annual survey of the country's most
popular canines. The French Bulldog is the new top dog in the
United States as of 2022. The stylish puppy has ascended the
rankings in rapid time despite having health concerns and limited
color choices.”
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How MJ Global Leads the Packaging Industry.pdfMJ Global
MJ Global's success in staying ahead of the curve in the packaging industry is a testament to its dedication to innovation, sustainability, and customer-centricity. By embracing technological advancements, leading in eco-friendly solutions, collaborating with industry leaders, and adapting to evolving consumer preferences, MJ Global continues to set new standards in the packaging sector.
How to Implement a Strategy: Transform Your Strategy with BSC Designer's Comp...Aleksey Savkin
The Strategy Implementation System offers a structured approach to translating stakeholder needs into actionable strategies using high-level and low-level scorecards. It involves stakeholder analysis, strategy decomposition, adoption of strategic frameworks like Balanced Scorecard or OKR, and alignment of goals, initiatives, and KPIs.
Key Components:
- Stakeholder Analysis
- Strategy Decomposition
- Adoption of Business Frameworks
- Goal Setting
- Initiatives and Action Plans
- KPIs and Performance Metrics
- Learning and Adaptation
- Alignment and Cascading of Scorecards
Benefits:
- Systematic strategy formulation and execution.
- Framework flexibility and automation.
- Enhanced alignment and strategic focus across the organization.
Best practices for project execution and deliveryCLIVE MINCHIN
A select set of project management best practices to keep your project on-track, on-cost and aligned to scope. Many firms have don't have the necessary skills, diligence, methods and oversight of their projects; this leads to slippage, higher costs and longer timeframes. Often firms have a history of projects that simply failed to move the needle. These best practices will help your firm avoid these pitfalls but they require fortitude to apply.
Building Your Employer Brand with Social MediaLuanWise
Presented at The Global HR Summit, 6th June 2024
In this keynote, Luan Wise will provide invaluable insights to elevate your employer brand on social media platforms including LinkedIn, Facebook, Instagram, X (formerly Twitter) and TikTok. You'll learn how compelling content can authentically showcase your company culture, values, and employee experiences to support your talent acquisition and retention objectives. Additionally, you'll understand the power of employee advocacy to amplify reach and engagement – helping to position your organization as an employer of choice in today's competitive talent landscape.
Navigating the world of forex trading can be challenging, especially for beginners. To help you make an informed decision, we have comprehensively compared the best forex brokers in India for 2024. This article, reviewed by Top Forex Brokers Review, will cover featured award winners, the best forex brokers, featured offers, the best copy trading platforms, the best forex brokers for beginners, the best MetaTrader brokers, and recently updated reviews. We will focus on FP Markets, Black Bull, EightCap, IC Markets, and Octa.
Anny Serafina Love - Letter of Recommendation by Kellen Harkins, MS.AnnySerafinaLove
This letter, written by Kellen Harkins, Course Director at Full Sail University, commends Anny Love's exemplary performance in the Video Sharing Platforms class. It highlights her dedication, willingness to challenge herself, and exceptional skills in production, editing, and marketing across various video platforms like YouTube, TikTok, and Instagram.
The APCO Geopolitical Radar - Q3 2024 The Global Operating Environment for Bu...APCO
The Radar reflects input from APCO’s teams located around the world. It distils a host of interconnected events and trends into insights to inform operational and strategic decisions. Issues covered in this edition include:
Unveiling the Dynamic Personalities, Key Dates, and Horoscope Insights: Gemin...my Pandit
Explore the fascinating world of the Gemini Zodiac Sign. Discover the unique personality traits, key dates, and horoscope insights of Gemini individuals. Learn how their sociable, communicative nature and boundless curiosity make them the dynamic explorers of the zodiac. Dive into the duality of the Gemini sign and understand their intellectual and adventurous spirit.
2. Make Marketing Value Decisions (Part 1) Create the Value Proposition (Part 3) Communicate the Value Proposition (Part 4) Deliver the Value Proposition (Part 5) Understand Customers’ Value Needs (Part 2)
3. Deliver Value Through Supply Chain Management, Channels of Distribution, and Logistics Chapter Fifteen
LECTURE NOTES: By the end of this chapter, you should: Understand the key elements in the supply chain Explain what a distribution channel is and know what functions channels perform Discuss the types of wholesaling intermediaries found in distribution channels Describe the types of distribution channels and how place fits in with the other three Ps in the marketing mix List the steps to plan a distribution channel strategy Explain logistics and how it fits into the supply chain concept
The supply chain encompasses components external to the firm, including all activities that are necessary to convert raw materials into a product and put it in the hands of the customer. The last part of the chain--those firms that facilitate the movement of that product to the ultimate users of the product—is the channel of distribution . Logistics management deals with the process of actually moving goods through the supply chain.
LECTURE NOTES: Flows managed within the supply chain include not only the physical movement but also the sharing of information about goods. For example, the need to share information about the procurement process and the marketing campaigns that will be executed which could influence demand. One trend impacting global supply chain management is called insourcing . UPS is a great example of a firm that has benefited from this trend. UPS used to be considered “just” a package delivery service; today they specialize in insourcing, which means that many firms contract with UPS to run their essential operations. It may surprise you to know that insourcing services don’t stop at shipping. UPS employees fix laptops for their Toshiba clients and fills, bags, labels, and delivers orders for items bought from Nike.com Insourcing differs from outsourcing in that outsourced processes are typically nonessential tasks that firms delegate to outside subcontractors.
Insourcing is a practice in which a company contracts with a specialist firm to handle all or part of its supply chain operations. Using UPS for product shipping is a common type of insourcing.
LECTURE NOTES: The difference between a supply chain and a channel of distributions rests in the number of members the functions that each performs. Supply chains are broader and as Figure 15.1 on the next slide demonstrates, consist of firms who supply raw materials, component parts, and supplies necessary to product the good or service, in addition to channels of distribution.
The supply chain for Hewlett Packard is represented in the figure
Distribution channels and the various intermediaries used perform a number of distribution functions more efficiently and effectively than can any single organization. ’ Distribution channels provided time, place, and ownership utility, meaning that they make the products available when, where, and in the size/quantity that the customers desire. Logistical and physical distributions functions provided by intermediaries increase the efficiency of the flow of goods to the consumer, making it easier, more convenient, and saving time. Just imagine if vegetables could only be purchased from farm stands, meat from butcher shops, bread from bakeries, and milk and cheese from diaries. One would have to spend their entire day flitting from place to place shopping for items that today can all be purchased in grocery stores. Distribution channels provide a number of functions that increase the efficiency of the flow of goods from producer to customer. They give a number of utilities through the movement of products. They reduce the number of transactions necessary for goods to flow from many different manufacturers to large number of customers. This occurs in two ways: • Breaking bulk : wholesalers and retailers purchase large quantities of goods from manufacturers but sell only one or a few at a time to many different customers. • Creating assortments : providing a variety of products in one location so that customers can buy many different items from one seller at one time.
The transportation and storage of goods are other physical distribution functions . Channel intermediaries perform a number of facilitating functions that make the purchase process easier for customers and manufacturers. Some wholesalers and retailers assist the manufacturer by providing repair and maintenance service for products. An example would be Best Buy ’s Geek Squad. Intermediaries also perform a variety of communication and transaction functions, providing marketing information to the sales force and to customers with complaints or other inputs concerning the product.
Here is an example showing how the number of transactions is greatly reduced through the entry of a channel intermediary. LECTURE NOTES: Figure 15.2 demonstrates how distribution channels provide an assortment of products that customers can buy in the same location, thereby reducing the number of consumer transactions that are necessary and reducing the cost of obtaining a product.
Some channel members, such as LidRock, assist with sampling, promotion, or even advertising efforts
LECTURE NOTES: The Internet has evened the playing field for small firms with limited resources by making it possible for them to reach a national, if not international audience. While this is great news for entrepreneurs, e-commerce has radically impacted distribution strategies for a variety of goods and services. Goods that are sold over the Internet allow manufacturers to reduce costs by eliminating many of the intermediaries traditionally found in offline channels of distribution, an outcome which has been called disintermediation. For example, airlines no longer need traditional travel agencies to book flights for consumers – consumers book their own flights either through online mega travel agencies such as Expedia, or directly from the airline ’s website, eliminating the commission fee paid to booking agents. Additional forms of cost reduction come from fewer employees, and less need for “brick and mortar” company owned stores (and all of the costs that go with them). Many companies use the Internet to make coordination among members of a supply chain more effective in ways that consumers never see. For example, the Internet allows firms to better implement knowledge management with respect to how they collect, organize, store, and retrieve information assets. Information assets can take many firms, including databases and the practical knowledge of employees within the organization. A firm can benefit from knowledge management practices when it allows for information assets to be shared with supply chain members to improve the speed of the flow of goods or address other problems. Of course many products can actually use the Internet as the distribution mechanism, including software, electronic books, music, video, and more. Online piracy is still a major hurdle for those who would distribute products over the Internet. Piracy includes both outright theft and unauthorized repurposing of intellectual property via the Internet. Music piracy is rampant, as is piracy of online textbooks. With the Internet , the need for intermediaries and much of what we assume about the needs and benefits of channels will change. Channel intermediaries that physically handle the product may become obsolete. Many traditional intermediaries are being eliminated as companies question the value added by layers in the distribution channel—a process called disintermediation (of the channel of distribution). This process also reduces costs. Companies using the Internet are also developing better ways to implement knowledge management, which refers to a comprehensive approach to collecting, organizing, storing, and retrieving a firm ’s information assets. The assets include databases, company documents, and the practical knowledge of employees whose past experience may be relevant to solving a new problem. As technology continues to evolve, some companies are capitalizing on the ability of the Internet to link partners in the supply chain quickly and easily.
LECTURE NOTES: Channels of distribution contain both wholesalers and retailers of course; however, the remainder of the chapter will focus on wholesaling. Retailing will be discussed in chapter 16. Wholesaling intermediaries are f irms that handle the flow of products from the manufacturer to the retailer/business user. Various forms exist: Independent intermediaries do business with many different manufacturers and many different customer firms and thus help the flow of goods throughout the marketplace. Merchant wholesalers are independent intermediaries that buy goods from manufacturers and sell to retailers and other B2B organizations. Because they take title to goods (meaning they take legal ownership of the items), they assume risk and can suffer financial losses if the products are damaged while in their possession, or if they become obsolete or just don ’t sell. There are several forms of merchant wholesalers as shown in Table 15.1.
Consumer Channels The simplest channel is a direct channel . A direct channel is used for a number of reasons. It may allow the producer to serve its customers better and at a lower price than is possible using a retailer. Using a direct channel gives control to the producer. Internet sales represent a typical type of channel. Indirect channels use intermediaries and have advantages such as customer familiarity with certain retailers. The producer-wholesaler-retailer-consumer channel is a common distribution channel, giving retailers a large selection of products. Business-to-Business Channels Facilitate the flow of goods from a producer to an organizational or business customer. They can be direct or indirect. Because business-to-business marketing often means selling high-dollar, high-profit items to a market made up of only a few customers, direct channels are common. A dual or multiple distribution system occurs when producers, dealers, wholesalers, retailers, and customers interact with more than one type of channel. This is common in the pharmaceutical industry. Instead of serving a target market with a single channel, companies have added new channels—direct sales, distributors, retail sales, and direct mail. As they add channels and communications methods, they create a hybrid marketing system .
LECTURE NOTES: Firms face a number of choices when the structure or restructure their distribution channels. Marketers first consider the different channel levels that are available. Channel levels refer to the number of distinct categories of intermediaries that populate a channel of distribution. Considerations of which members are available, the size of the market, and the frequency of consumer product purchases are just some of the factors considered at this point. Figure 15.4 summarizes the different structures that a channel of distribution can take. The first portion of this figure is illustrated on this slide. We ’ll discuss the remaining sections on subsequent slides. A direct channel is illustrated on the first line, in which a producer sells directly to the customer, be it a business or consumer. When this tactic is not feasible, retailers, wholesalers, or even multiple wholesalers may be added to the distribution channel. But as each intermediary is added to the channel structure, the final cost to the customer increases.
This figure shows various consumer channels that differ in the number of intermediaries. The top channel is a direct one. LECTURE NOTES: As previously explained, consumer channels of distributions can take a variety of forms, including direct from the producer to the consumer, or one which includes one or more wholesalers and retailers. Don ’t let the fact that specific retailers are mentioned on this slide fool you – Dillard’s is just one example of the TYPE of retailer that would carry the Liz Claiborne’s fashions. Macy’s and other higher end retailers would also be involved in the distribution process. Direct channels often allow producers to serve customers better and at a lower cost. Sometimes this is the only option because using intermediaries may inflate the final price to the consumer beyond what he or she is willing to pay. Direct channels also provide manufacturers with more control over the pricing, service, and delivery process. Working directly with consumers may also provide valuable insights into trends, needs, complaints, and the effectiveness of various marketing strategies. Producers are often forced to use indirect channels to reach consumers at the places they prefer to shop and expect to find merchandise of certain types. The producer-retailer-consumer channel creates utility and transaction efficiencies, channel members enhance the ability of producers to reach customers. The producer-wholesaler-retailer-consumer-channel is very common in consumer marketing such as ice cream, as well as fashion products.
This figure shows various B2B channels that differ in the number of intermediaries. The top channel is a direct one.
Internet advances have made mass customization more popular and practical than ever. Mass customization technologies allow consumers to become product co-designers. Although products can ’t be designed from scratch, consumers do have choices with respect to key product attributes. For example, at Vermont Teddy Bears.
Distribution decisions interact with the marketing mix in a number of ways: Place decisions often influence prices that will be charged to final customers. Distribution decisions can help develop a position a product in the market. For example, selling a fashion item in an elite retailer will enhance the product ’s image. The nature of the product in turn influences the choice of distribution channels, especially retailers.
Distribution planning involves a number of steps. The first step is to develop distribution objectives that support the firm ’s overall marketing goals. Step 2 entails the evaluation of internal and external environmental influences to develop best channel structure. Here the firm ’s resources are compared with those of available intermediaries. Competitors’ channel systems are also studied at this step. The first step requires that objectives be developed for the distribution plan that support the firm ’s overall marketing goals. This requires consideration of how distribution can work with the other marketing mix elements to increase profits, market share, or perhaps sales. More specific objectives may depend upon the nature of the product. If the product is heavy or bulky, the key goal may be to minimize shipping costs. On the other hand, if the product is marketed on the basis of status or prestige, the goal may be choose retailers who provide the level of store service and merchandise mix that is consistent with supporting the product’s desired image. In the second step, marketers consider both the internal and external environmental influences and how these factors can be used or minimized to develop the best channel structure. For example, is intensive, selective, or exclusive distribution most appropriate? Does the B2B product being sold require high levels of technical know-how and customer service? If so, a direct channel would likely be best. Is the item perishable? If so, a short channel would be better while inexpensive, standardized consumer goods requiring intensive distribution would likely benefit from a longer channel. The firm ’s ability to handle distribution functions, the channel intermediaries which are available, and how the competition distributes its products are also considered. Should the firm use the same retailers as its competitors? Some products are better sold in dedicated outlets that feature no competitive brands (e.g., Harley-Davidson dealers). In other instances, consumers expect competitive products to be side by side within the same retail store. Marketer’s also review competitive distribution strategies to learn from their success and failures.
The third stage is to develop channel strategies . A conventional marketing system is a multilevel distribution channel in which members work independently of one another. Their relationships are limited to simply buying and selling from one another. A vertical marketing system (VMS) is a channel in which there is formal cooperation among channel members at two or more different levels: manufacturing, wholesaling, and/or retailing. Often a VMS can provide a higher level of cooperation and coordination than a conventional channel. Horizontal marketing systems occur when two or more firms at the same channel level agree to work together to get their product to the customer.
In designing a distribution channel, the intensity of distribution is a key consideration. Intensity refers to the number of outlets through which the product will be sold. The three basic choices for deciding how many wholesalers and retailers to carry a product are intensive , exclusive , and selective distribution. As mentioned previously, the last decision to made in step three is to determine the level of distribution intensity: intensive, selective, or exclusive. Intensive distribution involves s elling through all suitable wholesalers or retailers. The aim is to maximize market coverage for frequently purchased products such as soft drinks, milk, and bread. This strategy works best with convenience goods. Exclusive distribution , by contrast, involves s elling only through a single outlet within a given geographic region. Exclusive distribution is most appropriate for high-priced items that have extensive service requirements and a limited number of buyers. Between these two extremes lies selective distribution , in which the producer chooses to use fewer outlets than under an intensive strategy, but more than when exclusive distribution is used. Selective distribution makes sense when demand is so large that exclusive distribution results in lost sales opportunities, but selling costs, service requirements, and other factors may intensive distributions a poor choice. Selective distribution is most commonly associated with shopping products such as household appliances, furniture, and the like. Table 15.2 shows the factors that favor intensive vs. exclusive distribution.
Intensive distribution aims at maximizing market coverage by selling a product through all wholesalers or retailers that will stock and sell the product. Availability is more important than any other consideration in customers ’ purchase decision. Products such as gum, milk, and soft drinks are intensively distributed.
Exclusive distribution means limiting distribution to a single outlet in a particular region. Some cars, pianos, and products with high price tags are sold this way.
Selective distribution fits when demand is so large that exclusive distribution is inadequate, but selling costs, service requirements, or other factors make intensive distribution a poor fit. Selective distribution is suitable for shopping products such as household appliances and electronic equipment.
The channel leader, sometimes called a channel captain , is the dominant firm that controls the channel. The captain has power relative to other channel members. The power comes from a variety of sources: • A firm has economic power when it has the ability to control resources. • A firm such as a franchiser has legitimate power if it has legal authority to call the shots. • A firm has reward or coercive power if it engages in exclusive distribution and has the ability to give profitable products and to take them away from the channel intermediaries.
Logistics : process of designing, managing, and improving the movement of products through the supply chain Involves physical distribution (the activities used to move finished goods from manufacturers to final customers). Logistics: The process of designing, managing, and improving the movement of products through the supply chain Inbound and outbound logistics are important Reverse logistics is increasingly important Marketing success rests strongly on implementation. That ’s why marketers place a great deal of emphasis on logistics. Inbound logistics take place with respect to the raw materials, parts, components, and supplies that are needed for the manufacturing process, while outbound logistics stem from the firm and move the finished goods or works-in-process out through the distribution channel. Recycling, material reuse, product returns, and waste disposal – called reverse logistics – are becoming increasingly important as firms consider sustainability as a competitive advantage and continue to devote resources to encourage sustainable practices.
Logistics Functions Order processing includes the series of activities that occurs between the time an order comes into the organization and the time a product goes out the door. Many firms have automated this process through enterprise resource planning (ERP) systems. An ERP system is a software solution that integrates information from across the entire company, including finance, order fulfillment, manufacturing, and transportation. Data is entered once and then shared and linked throughout the organization. Warehousing means storing goods in anticipation of a sale or transfer to another member of the channel of distribution. Warehousing enables marketers to provide time utility to consumers by holding on to products until consumers need them. Developing logistics means deciding how many warehouses a firm needs and where they should be. Materials handling is the moving of products into, within, and out of warehouses. Once in the facility, the goods may be handled over a dozen separate times. Procedures that limit the number of times a product must be handled decrease the likelihood of damage and reduce the cost of materials handling. Transportation is a critical part of logistics. Here decisions are made concerning mode of transport and choice of carrier. Inventory contro l means developing and implementing a process to ensure that the firm always has sufficient quantities of goods available to meet customer ’s demands.
Modes of transportation differ in their • Dependability: ability to deliver goods safely and on time • Speed of delivery including loading and unloading • Accessibility: number of different locations carrier serves • Capability to handle different products such as large and small, fragile or bulky • Traceability: ability to locate goods in shipment
Modes of transportation and usage Railroads : heavy, bulky items over long distances Water : large, bulky goods (especially internationally) Trucks : consumer goods in short haul; allow flexibility in locations Air : high value-items; fastest and most expensive mode Pipelines : petroleum/chemical products Internet : services such as banking, news, and entertainment
The last function of logistics is inventory control . Firms store goods for many reasons, such as enabling production to meet seasonal demand and creating economies in ordering. Some companies are phasing in a sophisticated technology known as radio-frequency identification (RFID), which lets them tag products with tiny chips containing information about the item ’s content, origin, and destination. LECTURE NOTES: Inventory control is the final function of logistics. Firms work hard to track their merchandise so they know where goods are and can easily get them where needed when low-inventory situations occur. Some firms use radio frequency ID technology to tag clothes or virtually any product that can contain tiny chips of this nature. RFID tags contain information about the item ’s content, origin, destination, etc. Some consumer groups are creating a backlash against RFID in blogs or via other sources, labeling them “spy chips”. In extreme cases, boycotts and other anti-company initiatives have been instigated. Firms store goods for many reasons. With seasonal items, for example, it is often more economical to produce goods year round, inventory excess product, and then ship it when needed. Retailers may also find that money can be saved by ordering larger quantities and reducing the number of deliveries. Of course the downside is that stockouts can occur when demand exceeds estimations and inadequate product is on hand to be sold. While often a mere inconvenience for consumers, other forms of stockouts – such as an inadequate supply of anti-venom – could be life threatening to patients in need. Total costs are heavily influenced by logistics. Poor planning could lead to expensive emergency deliveries or lost customers. On the other hand, too much inventory leads to excessive carrying costs and the possibility of lost product due to perishability or damage. Just in time delivery systems are used to set up the delivery of goods just as they are needed on the production floor, minimizing inventory costs while ensuring that inventory will be there when needed. A supplier ’s ability to make on-time deliveries is the single most critical factors in the selection factor, even more important than price. Often suppliers agree to set-up production facilities close to large customers to guarantee JIT delivery.