CHAPTER 11 – ENABLING YOUR SUPPLY CHAIN Flashcards
– helps you organize the supply chain processes within a business so that you can manage them more effectively.
– Most of the processes that drive supply chains can be categorized as planning, sourcing, making, delivering, or returning
SCOR Model
– don’t fit neatly into any of these SCOR categories
– they are foundational to making the other processes work.
Enabling processes
Enabling processes
I. Managing your business rules.
II. Managing Supply Chain Performance
III. Managing your assets
IV. Labeling your products
V. Addressing Supply Chain Security Issues
VI. Leveraging Information Technology
VII. Leveraging Human Resources
VIII. Mastering Project Management
– provide consistency in a supply chain, and tell your employees “know how” to handle specific situations.
Rules
Many of these rules may be (5)
-written in a policy manual,
-captured in standard operating procedure
-programmed into a computer application.
-filed in memos
-they may only exist in people’s heads and get passed around by word of mouth
You need to ask yourself what you want to get done (__) and how you can measure it (__)
-performance goals
-metrics
Managing Supply Chain Performance (3)
a. Setting performance goals
b. Align your metrics with your customers
c. Share Your Metrics with Your Suppliers
– involves trade offs related to asset utilization — in other words, to how efficiently and effectively a company uses the money it has to create value for its customers and generate profits.
Performance goal
______ makes it easier to see the value that supply chain management is adding to the bottom line
Aligning your supply chain performance metrics with the business plan
By aligning their metrics, these supply chain partners can do a better job of managing the flow of money, material, and information from raw materials all the way to their end customers
Align your metrics with your customers
– To meet your needs, your suppliers have to understand how you measure their performance
– Collaborating with your suppliers on ways to improve sustainability
Share Your Metrics with Your Suppliers
– refer to the tools and equipment that are used to manufacture and distribute products
Asset
two main categories of asset based on whether they can be easily moved
Permanent assets
Movable or mobile assets
also called fixtures, because they are attached to a building and difficult to move.
Permanent assets
can be moved around, and include containers, vehicles, and tools.
Movable or mobile assets
One common goal of supply chain managers is to increase asset efficiency, which can be done in two ways:
-Reduce your assets.
-Use your assets more.
The efficiency of supply chain assets is measured by your _____
capacity utilization
Many manufacturing facilities, for example, move parts around in containers called __,__,or__
totes, tubs, or bins
many companies have begun to use tracking technology to improve their asset management.
(2)
-Radio-frequency identification (RFID) tags
-global positioning system (GPS) units
Keeping track of products as they flow through your supply chain can be a big challenge.
Labeling your products
When you think about your labeling processes, you should consider five things:
What will the label be applied to?
What information does the label need to contain?
Who needs to read the label?
How will you apply the label?
How durable does the label need to be?
– There are a number of safety and security issues that supply chains need to address.
– These includes (2)
-threats such as theft and counterfeiting
-special precautions that ensure delicate or perishable products are kept in the proper conditions
Supply chains have a physical presence — a physicality — that is easy to overlook. All these factors are subject to a variety of threats, which is why you need to secure your supply chain physically.
(4)
people
facilities
computers
equipment
deprive legitimate companies of revenue, cheat governments out of taxes, and, in some cases, endanger consumers.
Counterfeit products
you can use a variety of technologies to tag authentic products. These technologies include __,__,and__ that have unique textures or react to ultraviolet and infrared light
RFID, holograms, and special inks
Every country, state, county, and city where you do business has its own set of laws and regulations, which may change frequently. These rules can have effects up and down your supply chain, so you must maintain ___.
regulatory compliance
Some products require special considerations at every step in a supply chain. To ensure that these products are handled properly, you may need to
provide ____
You may also need to use _____that monitor your products throughout the supply chain
-special signs or labels
-special sensors
Some aspects of your information security process are technology related
(3)
password policies
encryption methods
antivirus tools.
– rely on exploiting human behavior
– trick users into exposing their usernames and passwords.
Phishing emails
As companies rely more heavily on information technology they also become more vulnerable to attacks from __and__
computer viruses and hackers.
Since customers and suppliers often provide each other access to their information systems, they can become targets through which ____
attackers gain access to sensitive information
– has a profound effect on just about every business, so staying current with __ capabilities has become an important part of supply chain management.
Information technology (IT)
illustrates the relationship between people and IT in the supply chain
Information value chain
The key to optimizing the role of IT in supply chains is striking the right balance on the information value chain: Use computers to ___ so that people can ___
-process data and information
-focus on tasks that require knowledge and wisdom
– ___ up and down the supply chain decide who to do business with, which processes and technologies are implemented, and how to resolve problems.
– Getting the right__ on board, giving them the skills they need to be successful, and keeping them around to do their jobs are incredibly important parts of enabling any supply chain
People
Most of the human resources problems that supply chain managers need to think about can be broken down into three processes:
-recruit
-develop
-retain
Your development efforts should identify the ____ that each person needs to be successful in their job.
knowledge, skills, and abilities (KSAs)
Businesses change through __, so ___ is an important enabling process in your supply chain.
projects, project management
– One of the best resources for project management training
– created the Project Management Body of Knowledge (PMBOK).
Project Management Institute (PMI)
– looks at projects in terms of five main phases, and within each of these phases, there are specific tasks for which the project manager is accountable.
Project Management Body of Knowledge (PMBOK)
project - 5 main phases
Initiating:
Planning:
Executing:
Monitoring:
Closing:
– A common challenge with supply chain projects is that they involve cross-functional teams.
– a useful way to remember the six things that leaders need to help cross-functional teams focus on:
DIRECT project leadership model
DIRECT
Define the objective
Investigate the options
Execute the plan
Change the systems and processes
Transition the people
– A benefit of a___ is that it allows project managers to develop and share best practices across all your supply chain projects
– it may also be called a ___.
Project management office (PMO), center of excellence (CoE)