Supply Chain Management
우헤헤헤 1등 먹었습니다 포토샵 가지고 며칠 고생한 보람이 있네요 ㅋㅋㅋㅋㅋ
하지만 교수님 !!! 저는 디자이너가 아닙니다 ㅠ_ㅠ
하단의 내용 : 올바른 SCM을 위해서는 물류 생산 보관 마케팅 공급 등등 어느것하나 빠짐없이 모두 중요하며
어느것 하나라도 문제가 발생하면 전체가 멈춰버릴 수 있을만큼 치명적이다.
상단의 내용 : SCM은 각 가지에 설명하는 방법을 통하여 상관되는 열매(결과)를 맺게 된다.
배경의 내용 : SCM은 각 회사의 경우에 따라 다르게 적용되며 모든상황에 적용될 수 있는 SCM이란 존재하지 않는다.
첨부파일이 있습니다.
CBP 2009 Assessment Criteria for Seminar Work.pdf
Questions for week 4_Group 2.doc
Seminar 4: Trends
-What is the future focus?
Group: 2 Course: Contemporary Business Processes Date: 2009-11-05 Introduction
Supply chain management is defined as “an integrative philosophy to manage the total flow of a distribution channel from the supplier to the ultimate user” (Cooper & Ellram, 1993). All companies within the supply chain are viewed as partners who closely cooperate with each other in order to achieve one common goal which is satisfaction of the end customer the best efficient way. Continuous and mutual exchange of latest relevant information, cooperation and coordination on different management levels, collaborative planning allow involved parties to decrease lead time, avoid extra inventory stocks and minimize warehousing expenditure, diminish risks and thus to deliver the flaw-free product to the customer in time at a significantly low costs (Mentzer et al,2001).
Most important areas in SCM for international companies
It is impossible to emphasize one most important element within the SCM. As stated in the phrase “No chain is stronger than its weakest link”, all the parts of the chain are closely interlinked between each other and affect the performance of the whole chain. If one ring fails, the whole chain will be affected and in reverse a successful ring can influence the others (Contemporary Business Processes Lecture 5).
Every company’s main objective is the achievement of high customer satisfaction by offering high quality products at a reasonable price. Therefore the choice of the right supplier is essential due to product quality requirements. Certainly there are more interlinks like for example the characteristics of a product created by the research & development department and performed by the production division. The collaboration between purchasing, manufacturing, logistics and warehousing are central for keeping delivery times (Fawcett & Magnan, 2002) and finance resources enable companies to keep state-of the art technology and allow the use of modern IT systems which increase efficiency of communication as well as simplification of the inventory system by tracking immediately material movements. In other words, every company has the need for information integration which links together all participants in a supply chain. However, the main “driving force” for the whole SCM is the customer’s demand (Venkataraman & Pinto, 2008).
Differences in importance of SCM due to industries
Due to fast moving markets, a constant change of customers’ requirements, strongly segmented markets and thus high market pressure, the SCM is an important strategy regardless of what industry a company belongs to (Skjott-Larsen, 2006). Nevertheless, there are some differences in the significance of various SCM aspects for companies operating in diverse sectors.
For instance, differences occur between service and manufacturing industries. Manufacturing companies deal with physical products that allow them to standardize and centralize a lot of procedures within the SCM. This is rather impossible in service industry where the greater part of the final product value is created by people who often have to act depending on the local current situation.
However products again can be classified into primarily innovative or primarily functional products. While companies which are operating in high innovative environment have less intention to share information, functional products with a long life cycle are emphasizes on collaboration with their supply chain partners (Ling, 2007)
Tendencies in SCM
The fast-paced business environment desires also changes within SCM strategies. One tendency is the response to current customer demand through transparency and state-of-the art tools. Benefits of a demand-driven strategy are for example lead time reductions and lover inventory level.
The ability to respond on demand is strongly connected with the use of IT systems which support inventory organization and encourage the exchange of date between the difference departments as well as suppliers and customers. A better controlled information flows does not just avoid waste of time but also requires fewer resources and thus reduces costs.
Referring again on the information flow collaboration should be one main strategy between chain members due to globalization and thus outsourcing. A lack in collaboration could lead to a failure in the process or in other words could result into a weak part of the chain. Only if all participants are truly working together a competitive advantage can be created and mutual commitment and trust can be established (Littleson, 2007)
Globalization is also a reason for an expansion within the supply chain due to business with partners all over the world. In addition international companies are not just trying to expand their business and production facilities but also to exert influence on the depth of the supply chains by including second-and third suppliers (Wisner, J. Keah-Choon., Keong-Leong, G., 2008).
Within the tendency of CSR implementation, companies focus more and more on logistic social responsibility, which means establishing of environmentally friendly production, creation of safe work conditions and ensuring human rights. This tendency is not just responding to the higher environmental customer thinking but also linked with job satisfaction and thus increased motivation, improved safety and building trust (Carter & Jennings, 2002).
Future trends
SCM is associated with the pursuit of excellence, cost reduction and a focus on purchasing, distribution as well as manufacturing. However due to dynamic markets and sophisticated customer requirements future supply chain strategies will be customer-oriented. The market is not driven any more by the supply side but then by market forces (Skjott-Larsen, 2006).
Many companies are modifying their distribution strategy by concentrating on “Time Based Distribution”. This means that all deliveries are accomplished from one centralized warehouse to ensure timely deliveries rather than being geographically close to the customer. Companies like for example Atlas Copco Tools AB, AB Sandvik Coromant and ABB Motors AB were able to decrease not just their inventory and distribution costs but also to reduce average lead time and thus delivery performance (Abrahamsoon, 1993).
The increasing desire for environmental-friendly processes from the side of customers and governments is shifting the traditional SCM strategies to a “greener” approach by implementing recyclable materials in products, use of reusable packaging, effective transportation (e.g. full truck loads) and warehousing as well as the reduction of energy consumption and gas emissions. Beside the benefits for the environment, companies can create a competitive advantage due to lower system-wide costs, a good reputation and thus a high customer satisfaction (Wisner, J. Keah-Choon., Keong-Leong, G., 2008).
Bibliography
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Abrahamsson, M.(1993).Time-Based Distribution. The International Journal of Logistics Management.(pp. 75-84)
Anderson, H., Huge-Brodin, M.(2005). The consumer's changing role: the case of recycling. Management of Environmental Quality: An International Journal.(pp. 77 -86)
Carter, C.R., Jennings, M.M.(2002).Logistics Social Responsibility: An integrative Framework.Journal of Business Logistics.(pp.145-170)
Cohen, S., Roussel, J.(2005). Strategic Supply Chain Management -The 5 disciplines for top performance. MA: McGraw-Hill Companies.(p. 213)
Cooper M.C., Ellram, L.M.,(1993).Characteristics of Supply Chain Management and the Implications for Purchasing and Logistics Strategy.The International Journal of Logistics Management.(pp.1322)
Fawcett, S.E., Magnan, G.M.(2002).The rhetoric and reality of supply chain integration.International Journal of Physical Distribution & Logistics Management.(339-361)
Ling, L.(2007).Supply Chain Management: Concepts, Techniques and Practices -Enhancing Value through Collaboration.Singapore.MA:World Scientific Publishing.(14-17)
Littleson, R.(2007).Supply Chain Trends: What's In, What's out.www.about.com
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accessed 05th November 2009
Mentzer, J.T. et al.(2001).Defining Supply Chain Management.Journal of Business Logistics.(1-20)
Sandberg, E.(2009). Basics of Supply Chain Management. Contemporary Business Processes Lecture 5.(p.4)
Skjott-Larsen.(2006). Battle of the Supply Chains. European Business Forum,(pp. 43 -48)
Wisner, J., Keah-Choon, T., Keong-Leong, G.(2008). Principles of Supply Chain Management, Mason.MA:Cengage Learning.(pp. 26-27)
Venkataraman, R.R., Pinto, J.K.,(2008). Cost and Value Management in Projects. New Jersey.MA:John Wiley & Sons, Inc.