The document discusses fundamentals in designing supply chains. It outlines principles of supply chains as delivering the right quantities to the right location at the right time. It also notes that supply chains comprise planning, procurement, manufacturing, warehousing, and delivery, and that integration of these processes is critical to effectiveness. Additionally, it identifies risks and barriers for supply chains like natural disasters, and notes other considerations like size and responsiveness of the supply chain.

1. Fundamentals in Designing Supply Chains Gary Steinberg –GSM Supply Chain Consulting Group May 2010

2. Principals of a Supply Chain The Right Quantities To the Right Location At the Right Time

3. SC Core Competencies Supply Chain – Key Strategic Asset Develop End to End Supply Chain Strategy Develop Supply Chain Organization for Performance Develop an Integrated and Collaborative Supply Chain Develop Metrics (KPI’s) to Drive Supply Chain Success

4. Supply Chain Comprises Planning Procurement Manufacturing Warehousing Delivery The integration of all of these processes and how well these processes are integrated is a critical factor in the effectiveness of the supply chain.

5. SC Essentials The Supply Chain must be scalable and grow with the business The Supply Chain must deliver the product at the lowest cost possible while minimizing inventory levels. The Supply Chain must deliver an outstanding customer experience; on time delivery with excellent out of box quality. The Supply Chain must be predictable and consistent The Supply Chain must be adaptable

6. Risks & Barriers for the Supply Chain Risk Mitigation Natural Disasters Political Issues Equipment Breakdowns WW Material Shortages Customs/Freight Issues Inaccurate Forecasts Silo SC Organization or Collaborative

7. Other SC Considerations Size of Supply Chain Responsiveness of Supply Chain Localization Rules Outsourcing vs. In House ERP Systems