Sunteți pe pagina 1din 17

A presentation on

Supply chain

5/23/12

What is a Supply Chain?


All stages involved,
2 12 directly

customer request

or indirectly, in fulfilling a

Includes manufacturers, suppliers, transporters,

warehouses, retailers, customers

Within each company, the supply chain includes all

functions involved in fulfilling a customer request (product development, marketing, operations, distribution, finance, customer service)

Examples: Fig. 1.1 (Wal-Mart), Dell

5/23/12

What is a Supply Chain?


Customer is an integral
3 13 part

of the supply chain

Includes movement of products from suppliers to

manufacturers to distributors, but also includes movement of information, funds, and products in both directions Typical supply chain stages: customers, retailers, distributors, manufacturers, suppliers (Fig. 1.2)
All stages may not be present in all supply chains

(e.g., no retailer or distributor for Dell)

5/23/12

What is a Supply Chain?


P&G or other manufactur er Plastic Producer Jewel or third party DC
4 14

Jewel Supermark et

Customer wants detergent and goes to Jewel

Tenneco Packaging

Chemical manufacturer (e.g. Oil Company) Timber Industry

Chemical manufacturer (e.g. Oil Company)

Paper Manufacture r

5/23/12

The Objective of a Supply Chain


Maximize overall value
5 15 created

Supply chain value: difference between what the final

product is worth to the customer and the effort the supply chain expends in filling the customers request
Value is correlated to supply chain profitability

(difference between revenue generated from the customer and the overall cost across the supply chain)

5/23/12

The Objective of a Supply Chain


Supply chain incurs

storage, transportation, components, assembly, etc.) across all stages of the supply chain

6 1costs 6 (information,

Supply chain profitability is total profit to be shared Supply chain success should be measured by total

supply chain profitability, not profits at an individual stage

5/23/12

Decision Phases of a Supply Chain


Supply chain strategy or Supply chain planning Supply chain operation
7 17 design

5/23/12

Cycle View of Supply Chains


8 18

Customer Order Cycle Replenishment Cycle Manufacturing Cycle Procurement Cycle

Custo mer Reta iler Distrib utor Manufact urer Supp lier 5/23/12

Cycle View of a Supply Chain


Each cycle occurs at the
9 1interface 9

between two

successive stages
Customer order cycle (customer-retailer) Replenishment cycle (retailer-distributor) Manufacturing cycle (distributor-manufacturer) Procurement cycle (manufacturer-supplier) Figure (see previous power point) Cycle view clearly defines processes involved and the

owners of each process. Specifies the roles and responsibilities of each member and the desired outcome of each process. 5/23/12

Customer Order Cycle


Involves all processes Customer arrival Customer order entry Customer order fulfillment Customer order receiving

involved in receiving and filling the customers order

10 110 directly

5/23/12

Replenishment Cycle
All processes involved in Retail order trigger Retail order entry Retail order fulfillment Retail order receiving

retailer inventories (retailer is now the customer)

11 111 replenishing

5/23/12

Manufacturing Cycle
All processes involved in
12 112 replenishing

retailer) inventory customer

distributor (or

Order arrival from the distributor, retailer, or Production scheduling Manufacturing and shipping Receiving at the distributor, retailer, or customer

5/23/12

Procurement Cycle
All processes necessary to ensure that materials are
13 113

available for manufacturing to occur according to schedule replenish component inventories

Manufacturer orders components from suppliers to However, component orders can be determined

precisely from production schedules (different from retailer/distributor orders that are based on uncertain customer demand) manufacturers production schedule

Important that suppliers be linked to the


5/23/12

Push/Pull View of Supply Chains


Procureme Manufacturing nt, Replenishment and cycles
14 114

Customer Order Cyc le

PUSH PROCESSES Custo mer Order Arrives

PULL PROCESSES

5/23/12

Push/Pull View of Supply Chain Processes


Supply chain processes

into one of two categories depending on the timing of their execution relative to customer demand order (reactive)

15 115 fall

Pull: execution is initiated in response to a customer Push: execution is initiated in anticipation of

customer orders (speculative) pull processes

Push/pull boundary separates push processes from

5/23/12

Push/Pull View of Supply Chain Processes


Useful in considering

decisions relating to supply chain design more global view of how supply chain processes relate to customer orders

16 116 strategic

Can combine the push/pull and cycle views


L.L. Bean (Figure 1.8) Dell (Figures 1.9 and 1.10)

The relative proportion of push and pull processes can

have an impact on supply chain performance

5/23/12

Thank you
Presented by Sarvesh Kumar Shukla

5/23/12

S-ar putea să vă placă și