Ops- Supply Chain Management

Supply Chain
Sequence of businesses and activities involved in producing and delivery a product or service
Upstream
businesses and services that are between enterprise and source of raw materials
Downstream
businesses and activities that are between enterprise and final customer
Tiers
term used to identify and mange upstream suppliers of business
Supply Chain Management
coordination of all functions and activities needed to achieve integrated supply-manage management
Strategic Responsibilities of Supply Chain Management
Alignment of supply chain functional strategies with organizational strategies of the business, configuration of networks and facilities for upstream and downstream supply chains, distribution strategy, strategic partnerships, capacity planning, risk management, technology integration, and product/service design
Issues Associated with strategic responsibilities of supply chain management
measuring and managing ROI for major investments in supply chain facilities, managing internal and external risk, determining appropriate levels of outsourcing, managing customer and supplier relationships, evaluating and integrating new technologies into supply chain activities and management
Recent Trends that impact strategic responsibilities of supply chain management
improve environmental sustainability of business by identifying ways to green its supply chain, improve performance by applying lean principles and practices to external activities and elements of its supply chain, use of ecommerce and ebusiness to improve performance of business and its supply chain
Tactical Responsibilities of Supply Chain Management
forecasting, logistics management, procurement management, inventory management, and collaboration
Operational Responsibilities of Supply Chain Management
scheduling, receiving and shipping, inventory control, production/assembly, quality control, information sharing, order fulfillment, and reverse logistics
Logistics Management
planning and decision making involving the operational and transportation aspects of flow of products ,services, and data in the supply chain
Third Party Logistics (3PL)
use of outsourcing to manage logistics and related information flow which provides the following benefits: logistics management specialists, well-developed information systems, and more favorable transportation rates/prices
Procurement Management
planning and decision making involving the purchasing of components and services and managing supplier relationships
Purchasing Cycle
Receive Requisition, Select Supplier, Place Order with Supplier, Monitor Order, and Receive Order
Supplier-related Issues involving procurement management
Supplier Audits, Supplier Certifications, and Supplier Partnerships
Inventory Velocity
speed at which components or products move through the supply chain
Bullwhip Effect
inventory fluctuations tend to be larger moving upstream thru supply chain
Vendor-Managed Inventory (VMI)
involves suppliers physically managing components inventories at a customers facility. Also called JIT II
Order Fulfillment
planning and decision-making involving the management of response to customer demand from order placement to final delivery
Information Velocity
speed at which information is communicated through system
Fill Rate
percentage of demand (orders) filled from stock on hand (inventory)
Reverse Logistics
planning and decision-making managing the flow of returned products to the business and thru its supply chain
Gatekeeping
process of screening return products to prevent incorrect acceptance
Avoidance
process of finding ways to minimize number of returned items
Issues addressed when managing Global Supply chain
impact on inventory and logistics costs and lead times of shift to global supply chains, impact of language and cultural differences, currency fluctuations on procurement and transportation costs, political or economical instability, and importance of trust among supply chain partners
Value Chain
term that recognizes that each activity or business in s supply chain adds value to the final product or service
Demand Chain
value stream term for downstream portion of the chain
Supply Chain
value stream term for upstream portion of the chain