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Logistics Study Review

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Alyssa Mae Castro
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30 views

Logistics Study Review

Uploaded by

Alyssa Mae Castro
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Evolution of SCM

Supply Chain Management relatively new, rarely mentioned before the 1990's. Developed by the
military. Grew when value was found in coordinating business functions.
SCM Philosophy
Coordinating the various business functions not only within organizations but across
organizations as well
Supply Chain Definition
Encompasses all activities associated with the low and transformation of goods from the raw
material stage (extraction), through to the end user, as well as the associated information flows.
Direct Supply Chain
Supplier to Organization to Customer
Extended Supply Chain
Supplier's supplier to supplier to Organization to Customer to Customer's Customer
Ultimate Supply Chain
Ultimate supplier to.....to Supplier to Organization to Customer to... to Ultimate Customer
SCM Definition
encompasses the planning and management of all activities involved in sourcing and
procurement, conversion, and all Logistics Management activities.... also includes coordination
and collaboration with channel partners, which can be suppliers, intermediaries, third-party
service providers, and customer.

"integrates supply and demand management within and across companies"


Successful Supply Chains have...
an enterprise to enterprise point of view and a systems approach across all organizations in the
supply chain
SCM Models Definition
Models identity business processes that help organizations implement and evaluate processes.
SCOR Process (5)
Supply Chain Operations Reference (5)
1. Plan -Processes that balance aggregate demand and supply to develop a course of action which
best meets sourcing, production, and delivery requirements
2. Source- Processes that procure goods and services to meet planned or actual demand
3. Make- Processes that transform product to a finished state to meet planned or actual demand.
4. Deliver- Processes that provide finished goods and services to meet planned or actual demand,
typically including order management, transportation management, and distribution
management.
5. Return- Processes associated with returning or receiving returned products for any reason.
These processes extend into post delivery customer support.
GSCF (8)
Global Supply Chain Forum (8)
1. Customer Relationship Management- develope and maintain relationship with customer.
2. Customer Service Management- Company's face to customer.
3. Demand Management- balances customer requirements with supply chain capabilities.
4. Order Fulfillment- all activities necessary to define customer requirement, design a network,
and enable a firm to meet customer requests while minimizing total delivery cost.
5. Manufacturing flow Management- all activities necessary to ontain, impliment, and manage
manufacturing flexibility in the supply chain and to move products through the plants.
6. Supplier Relationship Management- develop and maintain relationship with suppliers.
7. Product Development and Commercialization- woorking with customers and suppliers to
develop products and bring them to market.
8. Returns Management- activites associated with returns, reverse logistics, "gatekeeping", and
return avoidance.
PFC (12)
Process Classification Framework (12)
1. Develop Vision and Strategy
2. Develop and manage products and services
3. Market and sell products and services
4. Deliver Products and services
5. Manage Customer Service
6. Develop and manage human capital (employees)
7. Manage information technology
8. Manage financial resources
9. Acquire, Construct and manage property
10. Manage environmental health and safety (EHS)
11. Manage external relationships
12.Manage knowledge, improvement, and change
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Porter's 5 Forces
Bargaining power of suppliers, bargaining power of buyers/customer, threat of new entrance, and
threat of substitute product or service all feed into competitive rivalry within an industry.
Agile supply chain
focuses on an organization's ability to respond to changes in demand with respect to volume and
variety
Bullwhip effect
characterized by variability in demand orders among supply chain participants.
Fast Supply chain
emphasizes a speed and time component
Fourth- Party logistics (lead logistics provider)
General contractor that ensures that third-party logistics companies are working toward relevant
supply chain goals and objectives.
Leagility
term referring to the process of making a lean supply chain
Lean supply chain
focused on eliminating all waste, including time, and to ensure a level schedule.
Partnerships
Positive, long-term relationships between supply chain participants.
Perfect Orders
simultaneous achievement of relevant customer metrics such as on-time delivery and correct
quantity
Supply chain analytics
Combines technology with manual employee effort to identify trends, preform comparisons and
highlight opportunities in supply chain processes, even when large amounts of data are involved.
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supply chain collaboration
Cooperative, formal or informal supply chain relationships between manufacturing companies
and their suppliers, business partners, or customers, developed to enhance the overall business
performance of both sides.
Third party logistics (logistics outsourcing; contract logistics)
The general idea behind these concepts is that one company (e.g., a manufacturer) allows a
specialist company to provide it with one or more logistics functions (e.g., warehousing,
outbound transportation)
Long-Term Orientation
tends to be predicated on relational exchanges.
Short- Term Orientation
tends to focus on transnational exchanges.
Levels of supply chain collaboration (3)
Suggest that supply chain collaboration can be classified as one of three different types of
relationships.
1. Transactional- Integrate and automate the flow of information to align with product flow (ex.
purchase orders; invoices)
2. Tactical information sharing- Share information before and after a purchase is made. (ex.
order status; product prices)
3. Strategic- Joint buyer/seller processes, decision making and measurement (often proprietary).
(ex. forecasts; fulfillment processes)
Logistics Management
Addresses the issue of customer satisfaction. It oversees the activities required to move benefits
from their point of production to the customer and addresses the issue of trade-off's of both the
customer and the organization.
7 R's of Logistics
Right product, place, price, customer, condition, time, and quantity.

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