2. Overview SCM is the management of a network of interconnected businesses involved in the ultimate provision of products and services to the end customers SCM spans all movement and storage of raw materials, work in process inventory and finished goods from point of origin to point of consumption 2 Business IT Consulting
3. Various views of Supply Chain Modern View An effective Supply Chain ensures high level of customer service at optimum level of working capital and cost Business Partners View An efficient Supply Chain that ensures that products are available on the shelf for sale, when shoppers come to buy them… all the time 3 Business IT Consulting
4. Customer Service Vs Costs 4 Customer Service Impacted Costs out of Control Poor Forecasting Incorrect Stock Levels Too Many Orders High Delivery Costs Poor Setup of Data Errors in picking/delivery Poor Delivery Paper Work Cash collection impacted Business IT Consulting
5. Supply Chain Concept 5 Streamlined Operations Demand & Supply Planning Data Integrity Order & Query Management Stock Management POS & Display Warehousing &Delivery Invoicing & Cash Collection Customer Focussed Supply Chain is integration of business processes and organizations around the Entire demand and supply chain in servicing our customers and managing our inventories Business IT Consulting
6. Global Supply Chain Management (GSCM) GSCM is the trend of the day due to increased globalization and offshore outsourcing Supplier and Customer chains are spread geographically and GSCM reflects that Multi-modal Logistics connecting various players is an integral part of GSCM 6 Business IT Consulting
7. Demand Planning Roles & Responsibilities Creation of a base forecast Establishing communicating channels Ensuring forecast integrity Ensuring forecast consistency Reporting 7 Business IT Consulting
8. Supply Planning Inventory management and parameters Deployment planning to DCs Planning promotions/ co-packing Planning product customization New Products coordination Excess stock Phase in/ Phase out OOS and expediting Master Production Scheduling Stock Allocation 8 Business IT Consulting
9. Automotive Supply Chain System OEM Independent Service Stations Tier ½ Supplier Financial Services Captive Finance 9 Business IT Consulting
10. Automotive Supply Chain System 10 Inbound Logistics In-Plant Logistics Outbound Logistics Business IT Consulting
11. Master Production System 11 Well designed Master Production System optimizes the Supply Chain effectively Clear and unambiguous linkage between Engineering Parts List, Production Parts List is a must and has to be communicated often to Suppliers and Customers Business IT Consulting
12. Automotive Suppliers Processes Suppliers & Partners Procurement Manufacturing Sales & Distribution Customer Service Customer & Channels Engineering OEM Relationship Management Collaborative Engineering Key Account Management Time to Market New Product Development& Introduction Life Cycle Data Management Supplier Collaboration Strategic Sourcing Operational Procurement & Inbound Logistics Make to Order/ Make to Stock Supply to Line Outbound Logistics Enterprise Asset Management Manufacturing Sales Order Management Demand & Order Scheduling Order Execution & Receipt Settlement Customer Service Warranty Management Service Parts Planning Service Parts Fulfillment Enterprise Management & Support Analytics Financials Human Capital Management Corporate Services Operations Support 12 Business IT Consulting
13. SCM Best Practices 13 Pepsico, Waste Management, McDonalds, WalMart Business IT Consulting
14. SCM Cost 14 Costs associated with Logistics, Ordering and Inventory Management Business IT Consulting
15. Supplier Collaboration 15 Supplier collaboration can actively reduce costs Suppliers have to keep their customers well informed and give quick updates on potential problems Every customer is in fact a supplier downstream Business IT Consulting
16. Supplier Consolidation 16 Companies are pruning the number of Suppliers to reduce transaction and relationship costs They build better, more partner like relationships with the suppliers who remain Business IT Consulting
