SUPPLY CHAIN MANAGEMENT.pptx
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Supply chain management (SCM), the management of the flow of goods and services,[ involves the movement and storage of raw materials, of work-in-process inventory, and of finished goods from point of origin to point of consumption.
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Supply Chain Management Approaches Traditional vs Modern SCM.pptx
Supply chain management (SCM) refers to the management of the flow of goods and services from the point of origin to the point of consumption. Effective SCM is essential for companies to ensure timely delivery of goods, minimize inventory costs, and improve customer satisfaction. There are two main approaches to SCM: traditional and modern.
Traditional SCM focuses on optimizing the supply chain by minimizing costs and maximizing efficiency. The approach is based on a linear, sequential model that involves sourcing raw materials, transforming them into finished goods, and delivering them to customers. The traditional approach is often associated with a centralized decision-making process, with a strong emphasis on control and coordination. The focus is on reducing costs and improving efficiency through the use of lean production techniques and just-in-time inventory management.
In contrast, modern SCM emphasizes collaboration and flexibility, with a focus on meeting customer needs and achieving sustainability goals. The modern approach is based on a circular, networked model that involves multiple stakeholders working together to create value. The modern approach is often associated with decentralized decision-making processes, with a strong emphasis on collaboration and communication. The focus is on achieving sustainability and resilience through the use of digital technologies, data analytics, and supply chain visibility.
Some of the key differences between traditional and modern SCM include:
Focus: Traditional SCM focuses on reducing costs and improving efficiency, while modern SCM focuses on meeting customer needs and achieving sustainability goals.
Decision-making: Traditional SCM relies on centralized decision-making processes, while modern SCM emphasizes decentralized decision-making processes.
Collaboration: Traditional SCM is based on a linear model that emphasizes control and coordination, while modern SCM is based on a circular model that emphasizes collaboration and communication.
Technology: Modern SCM makes greater use of digital technologies, data analytics, and supply chain visibility to achieve sustainability and resilience.
Overall, while both traditional and modern SCM approaches have their strengths, the modern approach is seen as more effective in meeting the complex challenges of today's global supply chains, including sustainability, flexibility, and resilience.
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Leverage information to remove cost and time from the supply chain, while delivering better service to the end customer
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Supply Chain Management Approaches Traditional vs Modern SCM.pptx
Supply chain management (SCM) refers to the management of the flow of goods and services from the point of origin to the point of consumption. Effective SCM is essential for companies to ensure timely delivery of goods, minimize inventory costs, and improve customer satisfaction. There are two main approaches to SCM: traditional and modern.
Traditional SCM focuses on optimizing the supply chain by minimizing costs and maximizing efficiency. The approach is based on a linear, sequential model that involves sourcing raw materials, transforming them into finished goods, and delivering them to customers. The traditional approach is often associated with a centralized decision-making process, with a strong emphasis on control and coordination. The focus is on reducing costs and improving efficiency through the use of lean production techniques and just-in-time inventory management.
In contrast, modern SCM emphasizes collaboration and flexibility, with a focus on meeting customer needs and achieving sustainability goals. The modern approach is based on a circular, networked model that involves multiple stakeholders working together to create value. The modern approach is often associated with decentralized decision-making processes, with a strong emphasis on collaboration and communication. The focus is on achieving sustainability and resilience through the use of digital technologies, data analytics, and supply chain visibility.
Some of the key differences between traditional and modern SCM include:
Focus: Traditional SCM focuses on reducing costs and improving efficiency, while modern SCM focuses on meeting customer needs and achieving sustainability goals.
Decision-making: Traditional SCM relies on centralized decision-making processes, while modern SCM emphasizes decentralized decision-making processes.
Collaboration: Traditional SCM is based on a linear model that emphasizes control and coordination, while modern SCM is based on a circular model that emphasizes collaboration and communication.
Technology: Modern SCM makes greater use of digital technologies, data analytics, and supply chain visibility to achieve sustainability and resilience.
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The document discusses facility location for Jubilant Life Sciences, which has five existing plants. It evaluates the optimal location for a new facility using the median and center of gravity methods. The median method identifies coordinates of (24.2, 76.14) with a minimum transportation cost of Rs. 51157.4. The center of gravity method finds coordinates of (22.25, 76.58) but with a higher transportation cost of Rs. 51952. Therefore, the median method provides the best location for the new facility.
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This document provides an overview of materials management. It defines materials management as managing the flow of materials in an organization from suppliers to conversion into the finished product. The objectives are to ensure continuous operations and reduce costs. Materials management involves functions like purchasing, inventory control, and distribution. It aims to maximize production while minimizing costs. An integrated approach coordinates departments like purchasing, production, and distribution to optimize benefits.
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Companies require their suppliers to deliver innovative and quality products not only in just-in-time (JIT) fashion, but also at a competitive price.
Good supplier relations can provide many benefits such as flexibility in terms of delivery, better quality, better information, and better material flows between buyers and suppliers.
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The document discusses the major drivers of supply chain performance - facilities, inventory, transportation, information, sourcing, and pricing. It explains the role of each driver in the supply chain and how firms can prioritize efficiency versus responsiveness through decisions about each driver. Achieving the right balance allows firms to create strategic fit between their supply chain and competitive strategy. However, obstacles like increasing product variety and demanding customers can make achieving fit difficult.
Logistic
This document provides an overview of logistics. It defines logistics as ensuring the right product is in the right place at the right time. Logistics involves planning, procurement, transportation, supply, and maintenance. It describes the seven R's of logistics and major logistics functions like order processing, inventory, transportation, and warehousing. Logistics aims to create availability, operational performance, and service reliability for customers. The document outlines the scope and activities of logistics management and discusses inbound, internal, and outbound logistics operations and flows.
market logistics & scm
The document discusses the evolution of distribution and logistics management to modern supply chain management (SCM). It describes how the focus has shifted from physical distribution, to integrated logistics management, and now SCM which links partners throughout the supply chain. SCM aims to deliver enhanced customer value through coordinated management of information and material flows. The document also outlines key aspects of logistics and SCM including activities, strategies, integration, and enabling information technologies.
Supply Chain Management
The document discusses supply chain management. It defines a supply chain as the system involved in moving products from suppliers to customers, including organizations, activities, and resources. Supply chain management involves planning, implementing, and controlling supply chain operations to efficiently meet customer demands. It encompasses sourcing, procurement, production, and logistics management as well as coordination with supply chain partners. The goals of efficient supply chain management are revenue growth, better asset utilization, and cost reduction.
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SUPPLY CHAIN MANAGEMENT.pptx
- 2. UNIT I MEANING Supply chain management (SCM), the management of the flow of goods and services,[ involves the movement and storage of raw materials, of work-in-process inventory, and of finished goods from point of origin to point of consumption.
- 4. .
- 17. Scope of the Supply Chain Physical distribution Physical supply (Materials management) Business logistics Sources of supply Plants/ operations Customers • Transportation • Inventory maintenance • Order processing • Acquisition • Protective packaging • Warehousing • Materials handling • Information maintenance • Transportation • Inventory maintenance • Order processing • Product scheduling • Protective packaging • Warehousing • Materials handling • Information maintenance
- 18. Scope of the Supply Chain Minimises Operating Cost Boosts Customer Service Enhance Financial Position Manages Distribution Bring Coordination Among Partners Inventory Management Supplier Management
- 20. Major drivers of supply chain Sourcing(performance) Pricing Efficiency Responsiveness Inventory Transportation Facilities Information Supply chain structure Drivers
- 21. Driver Efficiency Responsiveness Inventory Cost of holding Availability Transportation Consolidation Speed Facilities Consolidation / Dedicated Proximity / Flexibility Information What information is best suited for each objective
- 22. The Supply chain Strategy Collaboration strategy - Manufacturer/supplier Collaboration - Manufacturer/Customer Collaboration - Collaboration with third party and fourth party logistics provider Demand flow strategy Customer service strategy - customer segmentation -customer to serve - Revenue management Technology integration strategy
- 23. NEED FOR SCM IN THE MARKET TODAY Managing Uncertainty Understanding customers Understanding globalisation of business
- 25. Types of SCM
- 32. Key metrics for supply chain management Perfect order measurement Cash to cash cycle time Customer order cycle time Fill rate Supply chain cycle time Inventory days of supply Freight bill accuracy Freight cost per unit
- 33. Inventory turnover Days sales outstanding Average payment period for production materials On time shipping rate