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Summary of Guide to Supply Chain Management
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Summary: International Supply Chain ManagementWritten by: Colin Scott, Henriette Lundgren & Paul
Thompson
By Selma Charafeddin
,Table of Content
1. Introduction to supply chain management...................................................................3
1.1. What starts a supply chain........................................................................................ 3
1.2 A functional View of Supply Chain Management...................................................3
1.3 Supply chain players................................................................................................... 4
1.4 Supply Chain Dynamics.............................................................................................. 4
2. Guide to plan in supply chain management..................................................................6
2.1 Inventory and Supply Chains.................................................................................... 6
2.2 Demand and Supply Planning...................................................................................... 8
3 Guide to Source in Supply chain Management.......................................................................13
3.1 Introduction to Sourcing................................................................................................ 13
3.3 Sourcing Management Tools................................................................................... 16
4 Introduction to Make....................................................................................................... 18
5 Guide to Deliver in Supply Chain Management..........................................................23
6 Introduction to return..................................................................................................... 28
6.2 The return process.................................................................................................... 30
7 Guide to Strategy in Supply Chain Management.......................................................33
7.1 Introduction to corporate strategy........................................................................33
7.2 Achieving Strategic Alignment in Supply Chain Companies..............................34
7.3 Concepts to Support Supply Chain Strategy Development................................34
9 Introduction to Supply Chain Finance..........................................................................37
10 Introduction to Customer Service.............................................................................. 38
10.2 Managing Key Customers........................................................................................ 41
10.3 Delivering Against Customer Needs......................................................................42
11 What is outsourcing?................................................................................................... 44
11.3 Improved Service Though Better 3PL Management............................................48
By Selma Charafeddin
, 1.Introduction to supply chain management
1.1. What starts a supply chain
Supply Chain Management: managing the flow of information, materials and service from
raw material suppliers through factories and warehouses to the end customer.
Reverse flows:
Goods, quality defect products or obsolete products
Information, customer feedback
Packaging material, outer cartons
Transportation equipment, cages, pallets or containers
Reverse Funds: this is the money that flows back into the supply chain. The supplier’s
supplier wants to be paid for the delivery of tea leaves.
1. Product Supply 2. Customer Demand Which one starts the supply chain?
Example operating from customer demand, you go to buy some tea but find an
empty supermarket with the question “ Please order your tea here” They would then
explain that the order is automatically transmitted to the tea bag supplier in India in
order to grow, pick an process the required amount of tea leaves that are filled into tea
bags. Does this work? It probably doesn’t
Commodities (=not differentiated) such as tea, coffee, rice, bread, milk etc. are
more likely to be produced on a product supply basis. In this case product supply
starts the supply chain.
Customer demand driven products: customised products, tailor-made clothes,
customised tools.
By Selma Charafeddin
, 1.2 A functional View of Supply Chain Management
Supply Chain Operations reference model (SCOR)
Plan process: balance demand and supply
Source process: selecting suppliers
Make process: setting up manufacturing
Deliver Process: order management, logistics
Return process: post-delivery customer support
Takes place in every stage of the supply chain!
1.3 Supply chain players
(Supply chain structures)
There are entire categories of companies that ere service providers to other players in the
supply chain. These perform services in areas as:
Transportation
Warehousing
Finance
Market research
New product design
Information, communication and technology
By Selma Charafeddin
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