EXAM 1 Flashcards
ROLA STANDS FOR?
Return on Logistics Assets
ROLA FORMULA
4 ASPECTS OF POSTPONEMENT THEORY
- Capitalizing on firm customer orders
- Eliminating forecast error to the greatest extent possible
- Controlling lead time variability
- Decreasing average lead times
2 TYPES OF SUPPLY CHAINS
- EFFICIENT SUPPLY CHAINS
- RESPONSIVE SUPPLY CHAINS
Pool opinions of high-level executives, sometimes augmented by statistical models IS
Jury of executive opinion
Estimates from individual salespersons are reviewed for reasonableness, then aggregated
¨Sales force composite
Panel of experts, queried iteratively
¨Delphi method
A prediction of demand made solely by an individual without system support FORECAST LEVEL
Expert:
FORECAST LEVEL EXPERT
A prediction of demand made solely by an individual without system support
Based upon past history, typically made by the information system but can also be made with spreadsheets or calculators FORECAST LEVEL
Mathematical:
Based upon past history, typically made by the information system but can also be made with spreadsheets or calculators
FORECAST LEVEL MATHEMATICAL
Mathematical altered by an expert with input from other members of the firm. (Sales Force, planners, marketing and management) FORECAST LEVEL
§Combination:
FORECAST LEVEL COMBINATION
Mathematical altered by an expert with input from other members of the firm. (Sales Force, planners, marketing and management)
All of the above plus customer input FORECAST LEVEL
§Collaborative:
All of the above plus customer input FORECAST LEVEL COLLABORATIVE
CPFR
Collaborative Planning, Forecasting, & Replenishment
CTM
transportation management
these refer to the traditional linkages between firms in the supply chain such as retailers, distributors, manufacturers, and parts and materials suppliers.
–Vertical relationships
VERTICAL RELATIONSHIPS
these refer to the traditional linkages between firms in the supply chain such as retailers, distributors, manufacturers, and parts and materials suppliers.
includes those business agreements between firms that have “parallel” or cooperating positions in the logistics process.
–Horizontal relationships
HORIZONTAL RELATIONSHIPS
includes those business agreements between firms that have “parallel” or cooperating positions in the logistics process.
3 RELATIONSHIP TYPES
- TRANSACTIONAL (VENDOR)
- COLLABORATIVE (PARTNER)
- STRATEGIC (ALLIANCE)
refers to the relationship between buyer and supplier in the supply chain
•Vertical Collaboration
VERTICAL COLLABORATION
refers to the relationship between buyer and supplier in the supply chain
refers to buyer-buyer or seller-seller relationships
•Horizontal Collaboration
HORIZONTAL COLLABORATION
refers to buyer-buyer or seller-seller relationships
3PL providers founded as a subsidiary or major division of a large transportation firm.
•Transportation-based
TRANSPORTATION BASED LOGISTICS
3PL providers founded as a subsidiary or major division of a large transportation firm.
Generally referring to services relating to warehousing and distribution.
•Contract Logistics -based
CONTRACT LOGISTICS
Generally referring to services relating to warehousing and distribution.
Organizations performing services for the daily flow of global commerce, purchasing shipping capacity from asset-based providers, then re-selling to supply chain customers.
•Freight Forwarding-based
FREIGHT FORWARDING BASED LOGISTICS
Organizations performing services for the daily flow of global commerce, purchasing shipping capacity from asset-based providers, then re-selling to supply chain customers.
Firms providing services such as freight payment and auditing, cost accounting and control, tools for managing shipment visibility, information, and tracking, and consulting and advisory services.
•Financial-based
FINANCIAL BASED LOGISTICS
Firms providing services such as freight payment and auditing, cost accounting and control, tools for managing shipment visibility, information, and tracking, and consulting and advisory services.
A newer, innovative type of third-party provider emerged as a result of growth and development of Internet-based, business-to-business, electronic markets for transportation and logistics services.
•Information -based
INFORMATION BASED LOGISTICS
A newer, innovative type of third-party provider emerged as a result of growth and development of Internet-based, business-to-business, electronic markets for transportation and logistics services.
3PL organizations that initially were divisions or subsidiaries of manufacturing or distributor organizations.
•Corporate Subsidiaries-based
CORPORATE SUBSIDIARIES BASED LOGISTICS
3PL organizations that initially were divisions or subsidiaries of manufacturing or distributor organizations.
Pareto’s Law
“80% of firm’s sales are generated from 20% of the product line items.”
“80% of firm’s sales are generated from 20% of the product line items.”
PARETO’S LAW
PARETO BREAKDOWN
¨Terms of Sale: FOB Origin, Freight Collect
¨Terms of Sale: FOB Origin, Freight Prepaid
¨Terms of Sale: FOB Origin, Freight Prepaid & Charged Back
¨Terms of Sale: FOB Destination, Freight Collect
¨Terms of Sale: FOB Destination, Freight Prepaid
¨Terms of Sale: FOB Destination, Freight Collect & Allowed
