Lean Proj. Mgmt

Question 1

What is Supply Chain Management?

Answer 1

Supply Chain Management (SCM) is the practice of a group of companies and individuals working [collaboratively] in a network of [relationships] structured to optimize the supply chain

Question 2

2 ways to optimize the supply system

Answer 2

(1) Reliable and (2) Economic supply chain

Question 3

Typical SCM Practices

Answer 3

1. Rebar Supply Chain
2. Façade (e.g., Curtain Wall) Supply Chain

Question 4

Rebar Supply Chain

Answer 4

[a] Select a low-bid supplier

[b] Order in a bulk (e.g. 20 days supply)

[c] A supplier not involved in a contractor’s schedule

[d] Inventory on site for 20-30 days

Question 5

• Façade (e.g., Curtain Wall) Supply Chain

Answer 5

[a] Select a low-bid supplier

[b] A supplier not involved in a contractor’s schedule

[c] A contractor frequently changes its delivery schedule

[d] A supplier’s holding excessive inventory

Question 6

Is inventory good or bad? Why?

Answer 6

(Answer varies: Good for availability, bad for cost/storage waste.)

Question 7

Why does the contractor frequently change delivery schedules in the façade supply system?

Answer 7

(Answer: Lack of plan reliability/order variability.)

Question 8

Relationship Between Contractor and Supplier

Answer 8

Can be

[1] Competitive (bidding focus)

or

[2] Partnership (collaborative focus).

Question 9

Supply Chain Coordination/Integration Types

Answer 9

[A] Merge & Acquisition (Hierarchical)

[B] Long-Term Alliance (Collaborative: Network/Licensing, Single-Sourcing, Preferred Suppliers)

[C] Contract Coordination (Competitive).

Question 10

Supply Chain Coordination Problems

Answer 10

[Contractual] Risks of order variability transferred to supplier.

[Production] Contractor’s lack of plan reliability causes order variability; less

Question 11

Types of Construction Materials

Answer 11

[1] Bulk Material (standard, purchased in quantity)

[2] MTO (Make-to-Order, e.g., chiller, catalog-specified)

[3] ETO (Engineered-to-Order, e.g., rebar, requires engineering).

Question 12

Factors in Material Management

Answer 12

[1] Supplier’s lead time (length & reliability: Engineering + Fabrication + Shipment + Waiting)

[2] Planning reliability (probability of changing order)

[3] Storage area size.

Question 13

Push System

Answer 13

Schedules work release based on demand prediction (predetermined schedule). Example: BBQ platter as the only menu.

Question 14

PULL System

Answer 14

Authorizes work release based on system status (triggered by internal customer demand). Prevents overproduction.

Question 15

Bulk Material Planning Tips

Answer 15

Purchased in uniform lots, no shop drawings required, needs a safety level of inventory.

Question 16

Kanban & Pull

Answer 16

A replenishment system to control production quantities. Parts are taken/replenished only when needed and in the right amount.

Question 17

Kanban Strategy Benefit

Answer 17

Prevents overproduction while maintaining a tightly-bound inventory between supplier and customer processes.

Question 18

ETO Product Planning Tips

Answer 18

Requires shop drawings (submittal). Examples: rebar, curtain wall. Lead time = Engineering + Fabrication + Shipment.

Question 19

ETO Order Release

Answer 19

[1] Engineering Order = Shop Drawing (Eng) [2] Delivery Order = Fabrication + Delivery.

Question 20

Pull in Supply Chain (Delivery Order)

Answer 20

Involves

[1] Reliable Short-term Planning (RSP)

[2] Adaptive Production Schedule (APS)

[3] Supply Chain Coordination. Updated via Supply Chain Platform.

Question 21

Mechanics/Requirements for Pull

Answer 21

Lead time < Look-ahead Window. Strategies:

[1] Decrease supplier lead time

[2] Increase reliable look-ahead window.