supply chain management 4e 11 isms definition the

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Unformatted text preview: mp; Supply Chain Management, 4e 11 ISM’s Definition • The identification, acquisition, access, The positioning, and management of resources and related capabilities an organization needs or potentially needs in the attainment of its strategic objectives attainment Purchasing & Supply Chain Management, 4e 12 Defining Supply Management Strategic Orientation Cross Functional Groups Supply Base Management ProcessDriven Approach 13 Supply Chains and Value Chains • Supply chain orientation – a higher level Supply recognition of the strategic value of managing operational activities and flows within and across a supply chain within Purchasing & Supply Chain Management, 4e 14 Supply Chains and Value Chains • Value chain – primary and secondary Value support activities that can lead to competitive advantage competitive • Supply chain – a set of 3 or more Supply organizations linked directly by 1 or more of the upstream or downstream flows of products, services, finances, and information from a source to a customer (subset of a value chain) (subset Purchasing & Supply Chain Management, 4e 15 The Extended Value Chain Firm infrastructure Human resource management Technology development Purchasing Materials/Services Inbound Logistics Information/Funds/Knowledge Operations Outbound Logistics Marketing & Sales Customer Service Primary Activities Materials / Supply Management Physical Distribution / Channel Management Total Supply Chain / Total Logistics Management Customers Customers Suppliers Support Activities • • • • Supply Chain vs. Value Chain • Supply chain management – endorses a Supply supply chain orientation and involves proactive management of the 2-way movement and coordination of goods , services, information, and funds from raw material through end user material Purchasing & Supply Chain Management, 4e 17 Cereal Value Chain Example Grain Cereal Grain Farmer Cereal Processor Packaging Distributor Packaged Packaged Cereal Cereal Paperboard Grocer Corrugated Box Mfr Consumer Wood Labels Lumber Company Label Mfr Material Information Purchasing & Supply Chain Management, 4e 18 Critical SCM Processes • • • • New product development Customer-order fulfillment Supplier evaluation and selection Demand and supply planning Purchasing & Supply Chain Management, 4e 19 The Supply Chain Umbrella • • • • • • Purchasing Inbound transportation Quality control Demand and supply planning Receiving, materials handling, and storage Material or inventory control Purchasing & Supply Chain Management, 4e 20 The Supply Chain Umbrella • Order processing • Production planning, scheduling, and Production control control • Warehousing/distribution • Shipping • Outbound transportation • Customer service Purchasing & Supply Chain Management, 4e 21 Enablers of Purchasing and SCM Capable Human Resources • • • • • Supplier relationship management Total cost analysis Purchasing strat...
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This note was uploaded on 09/16/2013 for the course ECON 101 taught by Professor Maiti during the Winter '12 term at F & M.

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