SUPPLY CHAIN MANAGEMENT - PowerPoint PPT Presentation

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SUPPLY CHAIN MANAGEMENT

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  1. SUPPLY CHAIN MANAGEMENT PRESENTED BY- NIKHIL MISHRA PGIB/03/35

  2. What is supply chain? • The system of suppliers,manufacturers,transportation, distributors, and vendors that exists to transform raw materials to final products and supply those products to customers. • That portion of supply chain which comes after the manufacturing process is sometimes known as the distribution network.

  3. Goal of the SCM • SCM is concerned with the efficient integration of suppliers,factories,warehouses and stores so that merchandise is produced and distributed. -In the right quantities -to the right location -at the right time • In order to -Minimize total system cost -Satisfy customer service requirements

  4. Supply Chain Drivers • Facilities -places where inventory is stored,assembled or fabricated -production sites and storage sites • Inventory -raw materials,WIP,finished goods within a supply chain -inventory policies

  5. Transportation -moving inventory from point to point in a supply chain -combinations of transportation modes and routes • Information -data and analysis regarding inventory,transportation,facilities throughout the supply chain -potentially the biggest driver of supply chain performance

  6. A Framework for Structuring Drivers Efficiency Responsiveness Supply chain structure Supply chain structure Inventory Information Transportation Facilities

  7. Considerations for Supply Chain Drivers Drivers Efficiency Responsiveness Inventory Cost of holding Availability Transportation Consolidation Speed Facilities Consolidation/ Proximity/ Dedicated Flexibility Information With information is best suited for each objective

  8. An Ultimate Supply Chain INITIAL SUPPLIER FINANCIAL PROVIDER SUPPLIER MARKET RESEARCH FIRM COMPANY K THIRD-PARTY LOGISTICS SUPPLIER CUSTOMER ULTIMATE CUSTOMER

  9. Information :Role in theSupply Chain • The connection between the various stages in the Supply chain – allows coordination between stages • Crucial to daily operation of each stage in a supply chain – e.g., production scheduling, inventory levels

  10. Components of Information Decisions • Push (MRP) versus Pull (demand information transmitted quickly throughout the supply chain) • Coordination and information sharing • Forecasting and aggregate planning • Enabling technologies - EDI - Internet - ERP systems - SCM software • Overall trade-off : Responsiveness versus efficiency

  11. THANK YOU.