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Supply Chain Management

Overview

Procument
Production
Distri­bution
Supplier
Manufa­cturer
Retailer
Transp­ort­ation Activity
Manufa­cturing Activity
Wareho­using activity

Distri­bution System

Retailers
Distri­butor/ Warehouse
Cross Docking
Multipick- Multidrop
Internet

Flow Management

MTO
MTS
Low reactivity
High reactivity
Low risk/ cost
Risk of non sold product| Inventory cost
Long customer lead time
Zero customer lead time

Holding inventory cost

Cost
Financial cost
Physical storage cost
Obsole­scence cost

Expone­ntiel Smoothing

Supply Chain with Single Unit

 

SC decision & teoporal horizon

 
Procument
Productio.
Distri­bution
Long term
Supply Chain design
Mid term
Supply chain planning
Short term
Production Planning & flow management
Very Short term
Detailed management of physical flow

Inventory?

Economic of scale stocks
Seasonal stock
Safety Stock
Specul­ative stock & Mercha­ndising stock

Pressure of invent­ory

Small inventory
Large inventory
WACC
Customer Service
Storage & handling cost
Ordering cost
Insurance cost
Set up cost
Taxes
Labor or equipment utiliz­ation
 
Transp­ort­ation cost
 
Payment to suppliers

Inventory perfor­mance measure

 

How to choose Push or Pull

Push & Pull Comparison

Push Strategy
Pull Strategy
Base on Historical Data
Base on Customer Order
High level inventory & transp­ort­ation cost HIGH
Make final production quick (push & pull combine)
Long time require for manufa­ctoring process
Flexible supply in dynamic market
Target Cost reduction

VMI, CMI, CPFR

 
VMI
CMI
CPFR
Distur­bance of pro orrder
Customer follow S
C can edit/ submit orderr
Order generated jointly
Visibility
Sharing level
Storeself
Role of customer
Inform­ation provider
Data are shared| Invisible to supplier
Joint inventory

Other stock KPIs

   
 

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