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Measuring Supply chain Efficiency

THINK GREEN. Measuring Supply chain Efficiency. BY SAJAN KUMAR MOHARANA ASHWNI RAO Mftech (AP). Efficiency of supply chain depends…. Manpower. ( in terms of quantity) Machine. (in terms of quantity) Material. (in terms of wt., size)) Land. (in terms of sq.meters) Method

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Measuring Supply chain Efficiency

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  1. THINK GREEN Measuring Supply chain Efficiency BY SAJAN KUMAR MOHARANA ASHWNI RAO Mftech (AP)

  2. Efficiency of supply chain depends… • Manpower. ( in terms of quantity) • Machine. (in terms of quantity) • Material. (in terms of wt., size)) • Land. (in terms of sq.meters) • Method • Motive power. • Time. (seconds, min, hrs) • Money. (paisa, rupee) • Management. (productivity)

  3. Supply chain changes the nature of organization; control is no longer based on direct ownership and control, but rather based on integration across functions and companies. • Primarily concerned about only the profit but now more to supply chain. • More concerned on individual performance in total supply chain. • Individual companies may have to scarifies efficiency to overall chain optimization, so dividing supply chain revenue among players is difficult.

  4. CONTROL Changes in organization due to SCM.. INTEGRATION LOGISTIC Based on ownership Based on network Vertical/hierarchy Across Interface Cost saver Value adder Companies Supply Chain Position Contribution to competitiveness Static Partial/Temporal COMPITATIVE UNIT AUTHORATIVE BASIS ORGANISATION

  5. “SMART” (Mers+Swatch) offering postponed final manufacturing. • OEM can’t measure performance based on ROI and head count only.

  6. “value addition” for OEM for different types of control Input/Modules/product in process OEM Distributors Suppliers OUTPUT INPUT Final Manufacturing Distribution Purchasing/Primary Manufacturing Modules Supply Chain

  7. APPROCH Evolution In Management Control INFORMATION USE Feed Forward APPLICATION Passive administration Proactive performance improvement. Feed Back Operational Strategic Short term Whole chain Long Term TIME SPAN UNITS SCOPE

  8. Frame work for supply chain measuring system • Contribution of organization to supply chain competitiveness. integration SMART Customer service Retailer Cost effectiveness Supplier Cost Saver Market Creation Market penetration

  9. Conclusion!!!!! • Fist stage measures in terms of parts per minute. • Second stage measures in terms of fill rates and response time. • Smart uses logistics to create new market based on integration supply chain.

  10. Thank.you@yahoo.co.in

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