This document discusses supply chain management. It defines supply chain as the management of the flow of goods and services from raw materials to finished products to the end customer. It notes key elements like planning, sourcing, manufacturing, delivering, and returning. It discusses issues like increasing outsourcing, globalization, and e-commerce that create a need for effective supply chain management. Performance is measured based on reliability, flexibility, expenses, and assets. Electronic data interchange and distribution resource planning are also summarized.

1. SUPPLY CHAIN MANAGEMENT
Operations Management

2. Muhammad Asad Shafique
BBA-20-037

3. Supply Chain
Management:
The management of the flow of goods and services , involves
the movement and storage of raw materials of work-in
process inventory and finished goods from point of origin to
point of consumption.
Also referred to as a value chain.

4. Supplier
Supplier
Supplier
Storage Mfg. Dist. Retailer Customer
Storage
Typical Supply Chain
for a Manufacturer

5. Supplier
Supplier
Storage
} Service Customer
Typical Supply Chain
for a Service

6. •Improve operations
•Increasing levels of outsourcing
•Increasing transportation costs
•Competitive pressures
•Increasing globalization
•Increasing importance of e-commerce
Need for Supply Chain
Management

7. Name : Muhammad Talha Younas
Roll No : BBA – 20 – 01

8.  Key Elements of Supply
Chain Management:
• There are most important five elements :
 Planning
 Sourcing
 Manufacturing
 Delivering
 Returning

9. 1. P lanning
• How to meet customers demand ?
• Forecasting demand
• How to improve efficiency of supply
chain

10. 2. P lanning
• Selection of suppliers
• Selection of raw material
• Ordering / invoicing /
payments

11. 3. Manufacturing
• Raw material inspection
• Creating product
• Quality control
• Packaging
• Employee productivity

12. 4. Delivering
• Order taking
• Shipping of consignment
• Invoicing / Billing
• Logistics management

13. 5. Returning
• Customer care
• Warranty claims
• Scrapping / Defect removal

14.  Purchasing in Supply Chain Management
• Increasing outsourcing
• Increasing conversion to lean
production and JIT requirements
• Increasing globalization

15.  Supply Chain Issues
 Strategic Issues
• Design of the supply chain Partnering
 Tactical Issues
• Inventory and Purchasing policies
• Production and Transportation policies
• Quality policies
 Operating Issues
• Quality control
• Production planning and control

16. Perspective Performance Measure
Reliability On-time delivery
Order fulfillment lead time
Fill rate (fraction of demand met from
stock)
Perfect order fulfillment
Flexibility Supply chain response time
Upside production flexibility
Expenses Supply chain management costs
Warranty cost as a percent of revenue
Value added per employee
Assets/utilization Total inventory days of supply
Cash-to-cash cycle time
Net asset turns
 SCOR Performance Measure

17. Muhammad Shehroz Maqsood
BBA-20-12

18.  Materials Movement:
o Transportation of
Raw Material
Parts
Work-in-progress Inventory
Final Product As Flow
o Company’s Performance Judge by this GOOD or Bad
steadily and predictability movement of Goods
lots of stops and starts in the movement

19.  Materials Movement:

20.  Traffic Management:
• Traffic Management is the management and control
of transportation modes, carriers, and services
• Overseeing the shipment of incoming and outgoing
materials and goods
• reduced costs
• timely delivery
• improved Company & supply chain performance

21.  Electronic Data Interchange (EDI)
• Is an Inter-organizational information system
• replacing paper-based transactions
• computer-to-computer exchange of data
• Through a web of business-to-business communication network

22.  Benefits or Why to Use EDI
• Reduce time and cost
• save documentation processing cost
• eliminate errors
• enhance strategic alliances
• Accurately work
• Security

23. Iqra Khalid
BBA-20-29

24.  DRP

25.  Distribution Requirement
Planning:
o A system for inventory management
and distribution planning.
o Extends the concept of material
requirements planning(MRP) to
warehousing systems.
o Useful in planning and coordinating
transportation, warehousing, workers,
equipment and financial flows.

26.  Just-In-Time Deliveries:
• Suppliers are required to make frequent small
deliveries on a precise schedule.
• Increases traffic into the customer firm
• May be an increase in transportation cost per unit
• Any disruption in the supply chain is felt very quickly
throughout the chain
• Some firm employ third-party logistics

27. E-Commerce
• The use of electronic technology to facilitate business transactions
• Applications include
• Internet buying and selling
• e-mail
• Order and shipment tracking
• EDI

28.  Advantages E-commerce
• Companies can
– have a global presence
– improve competitiveness and
quality
– analyze customer interests
– collect detailed information
– shorten supply chain response
times
– realize substantial cost savings
– create virtual companies
– level the playing field for small
companies

29. Disadvantage E-commerce
• Customer expectations
–Order quickly -> fast delivery
• Order fulfillment
–Order rate often exceeds ability to fulfill it
• Inventory holding
–Outsourcing loss of control
–Internal holding costs

30. Muhammad Abdullah Butt
BBA-E-20-040

31. B2B:
 Business to Business.
 Widely used terminology.
 Occurred between two Businesses.
 Business supplies to another Business.
Market Place:
 Supplier to Manufacturer.
 Manufacturer to Whole Saler.
 Whole Saler to Retailer.
 Manufacturer to Online Store.

32. Creating Supply Chain:
 Supply Planning.
 Production Planning.
 Demand Planning.
 Operations Planning.
 Sales Planning.

33. Supply Chain Drivers:
 Production.
 Inventory.
 Location.
 Transportation.
 Information.

34. Supply Chain Challenges:
 Increased costs throughout the supply chain.
 Supply chain complexity due to multiple
channels to market.
 Consumer demand need for improved speed.
 The impact of supply chain volatility.

35. Supply Chain Benefits:
 Cost efficiency.
 Enhance output.
 Avoids delay in process.
 Easily identify problem areas.
Supply Chain Drawbacks:
 Expensive to implement.
 Complicated.
 Lack of co-ordination among departments.
 Requires trained and personalized staff.

36. ANY QUESTION!

37. THANKS!