Chapter 9
Download
1 / 24

Chapter 9 - PowerPoint PPT Presentation


  • 64 Views
  • Uploaded on
  • Presentation posted in: General

Chapter 9. Information Flows and Technology Lee, Yen-Feng. Introduction. Information flows: Trigger and support physical flows. Core sections Role of information in GSC Information visibility and transparency IT applications Radio frequency identification (RFID)

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha

Download Presentation

Chapter 9

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Chapter 9
Chapter 9

Information Flows and Technology

Lee, Yen-Feng


Introduction
Introduction

  • Information flows:

    • Trigger and support physical flows.

  • Core sections

    • Role of information in GSC

    • Information visibility and transparency

    • IT applications

    • Radio frequency identification (RFID)

    • Supply chain knowledge management


Question
Question

  • How can we order goods without IT systems?

  • How about Dell, IBM, HP…in USA?

    • International phone call? Costly

    • Time differences

    • Mail? Waiting for weeks.

  • How can we manage without IT systems?

    • Order 1 item? 1minute per order

    • How about 1,000 items? 1,000 minutes = 16.66 hours


The role of information in global supply chains
The role of information in global supply chains

Three key flows in supply chain

1. Material

2. Resource

3. Information

Role of information flows:

Delivery products

At right time

In right quantity

To customer’s specification

4


The role of information in global supply chains1
The role of information in global supply chains

Key drivers supply chain IT:

Increasing information complexity

Increasing information proliferation

Increasing information diffusion

Increasing information velocity

Increasing information accuracy

Effective SCM

Timely and accurate information

Networked desktop

Laptops, PDAs

Mobile phones

Other electronic devices

Provide 24/7 visibility


Information visibility
Information visibility

Information visibility

Ability to see information at the various points

Across the supply chain as and when required

To help to manage complexity

Highly desirable, but difficult to achieve

Effective information visibility

Facilitated by IT

Integrated and collaborative between partners.


Barriers to information visibility
Barriers to information visibility

Cultural:

Reluctance to share information with partners

Financial:

High costs of implementing

Maintaining supply chain spanning IT

Technical:

Information systems’ ability to ‘talk’ to each other.

Hardware and Software

Partners’ capability

Information security

Organizational:

Align the numerous disparate processes

Across multiple supply chain

Highly complex program of activities


The benefits of information visibility
The benefits of information visibility

Customer oriented operations

Time compression

Reduced schedule variability

Shorter planning periods

Consistent partnerships

Supply chain synchronization and coordination

A single point of control

Integrated information systems


It applications
IT applications

  • Information technologies (IT)

    • Material requirements planning (MRP)

    • Enterprise resource planning (ERP)

    • Collaborative planning forecasting and replenishment (CPFR)

    • Electronic data change (EDI)

    • Warehouse management systems (WMS)


Chapter 9 3533299

Figure 9.1 Information technologies in global logistics and supply chain management (adapted from Sherer, 2005)


E business
e-Business supply chain management (adapted from Sherer, 2005)

  • As the utilization of information and communication technologies (ICT) in support of all the activities of business.

    • Integral to trade and commerce

    • Allows customers to purchase on-line

    • Include all electronically information exchange

    • Essential to maintain and improve supply chain.


Electronic data interchange edi
Electronic Data Interchange supply chain management (adapted from Sherer, 2005)(EDI)

Technology for

Electronic interchange of data between companies

Automated without human intervention

Predominant uses:

1. Purchase orders from customers to suppliers

2. Invoices for payment from suppliers to customers

3. Delivery schedule data

4. Payment instructions

5. Can be linked to an electronic funds transfer (EFT) application to enable automated payment

RFID EDI


Enterprise resource planning erp
Enterprise Resource Planning supply chain management (adapted from Sherer, 2005)(ERP)

Company-wide computer software system used to manage and coordinate all the resources, information, and functions of a business from shared data stores.

Developed in late 1980s

Core application today

Spans an enterprise to integrate the various business functions across multiple locations

In multinational manufacturing and logistic company

Offer visibility and integration

For planning and control of resources


Enterprise resource planning erp1
Enterprise Resource Planning supply chain management (adapted from Sherer, 2005)(ERP)

Commonly requires

Business process reengineering to align work organization with the technology

Solution to integration problem

Need to consider the organization structure

Requires:

1. financial

2. resource

3. time

14


Collaborative planning forecasting and replenishment cpfr
Collaborative Planning, Forecasting and Replenishment (CPFR) supply chain management (adapted from Sherer, 2005)

Developed in late 1990s

Fill inter-organizational gap

Wal-mart: enable with first tier supplier

Scheduling logistics between suppliers and customers

IT-enabled CPFR

Essential in high velocity supply chains such as those of the major supermarkets

Commonly offered as a ‘bolt-on’ to ERP to enable ERP to extend beyond a single organization


Warehouse management systems
Warehouse management systems supply chain management (adapted from Sherer, 2005)

  • Manage and control warehouse and distribution center


Primary rfid applications in logistics and scm
Primary RFID applications in logistics and SCM supply chain management (adapted from Sherer, 2005)

RFID application

Tag, barcode and readers

RFID enabled receiving area

Trucks or products pass through the gate

Time and quantity are recorded automatically

Do you have RFID applications?

18

  • Source: http://www.itri.org.tw


Chapter 9 3533299

Figure 9.2 A basic logistics-related RFID application supply chain management (adapted from Sherer, 2005)


Primary rfid applications in logistics and scm1
Primary RFID applications in logistics and SCM supply chain management (adapted from Sherer, 2005)

4 headings:

Asset tracking and management

Increased security of freight

Improved stock management and availability

Reduced errors in product data handling

Advantages:

Automatically identify and locate physical assets

Quick response supply chain

Resist extreme temperatures

Harmful chemicals

Scan multiple items

Reusable


Operational improvements from rfid
Operational improvements from RFID supply chain management (adapted from Sherer, 2005)

Improvement

Shipping consolidation

Conveyance loading

Conveyance tracking

Shipment and item tracking

Verification

Storage

Item tracking within a manufacturing plant

Warehouse efficiency, reach, productivity and accuracy

Reduced retail out-of-stock, labor requirements, pilferage, and phantom stock problems

RFID adopters

Walmart, Tescom Metro and Marks & Spencers


Predicted future applications of rfid
Predicted future applications of RFID supply chain management (adapted from Sherer, 2005)

The ‘store of the future’:

Continuous shelf inventory checking

More frequent replenishment

‘Future warehousing’:

Reducing floor space requirements in warehouses

Enabling them to be located closer to urban areas

Increased customization in manufacturing:

Increase visibility of end customer requirements

RFID reduce 20%~67% cost of distribution


Supply chain knowledge management
Supply chain knowledge management supply chain management (adapted from Sherer, 2005)

GLM:

Multitude of information and data

Filled with knowledge: Tacit and explicit

Knowledge management:

Capture, storage, use and sharing of knowledge

SCKM

knowledge management processes that span a supply chain

Building up

Complex knowledge of demand

Enables a supply chain to begin to sense and respond to actual demand

Hence the knowledge creating supply chain is able to be

First-to-market

Gaining competitive advantage


Supply chain knowledge management1
Supply chain knowledge management supply chain management (adapted from Sherer, 2005)

Supply-side and demand-side

Critical to managing supply chain performance

Knowledge in individual

Critical to maintain & improving

Knowledge worker

Long-term supply chain improvement

Capture knowledge

Create knowledge

Make explicit

24


Chapter 9 3533299


ad
  • Login