Sec 1 - intro to Supply Chain Management Flashcards
What is a Supply Chain & what does it do (2 things)
A network of retailers, distributors, storage facilities and suppliers.
Participate in production, delivery, and sale of product or service to the consumer.
Also includes moving items from consumer back to the producer
What does the UN Global Compact do? (4 things)
Addresses corporate sustainability in the world economy.
Asks companies to embrace, support, and enact a set of core values.
Human rights, labor standards, environment, and anticorruption.
Balances current resource consumption without compromising well-being of future generations
What things does the business environment (aka operating environment) consist of?
External factors that influence how a company develops their manufacturing environments and production process choices.
Global competition
Economic/government/regulatory influences
Customer expectations
Social responsibility.
What are the financial reporting fundamentals (4 things)
Basic financial statements with underlying costs and analysis terms
Basis for management decisions
Balance sheets, income statement, and cash flow statements are standard reporting tools
Accounts for cost of goods sold, general/administrative costs, and fixed vs variable costs
What is Enterprise Resource Planning (ERP)?
Framework for organizing, defining, and standardizing business processes
Necessary to effectively plan and control and organization so it can use internal knowledge to get external advantage
An integrated knowledge and decision making tool.
Allows for cross-functional alignment, closed loop (feedback) mechanism, what-if simulation, integrated financial data, and performance measurement
What is Lean? What are the key characteristics?
Philosophy emphasizing minimization of resources (including time) used in various activities of the business
Elimination of waste, proving value from customer’s perspective, continuous improvement
Key characteristics- flow manufacturing, process flexibility, quality at the source, supplier partnerships, employee involvement
Total productive maintenance, pull systems, and work cells
What are the 5 basic manufacturing environments?
ETO - engineer to order MTO Manufacture to order ATO Assemble to order MTS Made to stock Mass customization
ETO manufacturing — volume vs variety. Definition.
Low volume with high variety
Products whose customer specifications require unique engineering design, significant customization, or new purchased materials
MTO manufacturing — volume vs variety. Definition.
Low-medium volume with high-medium variety
A production environment where a good or service can be MADE after the receipt of a customer’s order
ATO manufacturing — volume vs variety. Definition
Medium-high volume with low-medium variety.
Product is made from standard components or sub-assemblies held in inventory. Wait for customer order before final assembly.
MTS manufacturing — volume vs variety. Definition
High volume with low variety
A production environment where products can be and usually are finished before receipt of a customer order
Mas customization — volume vs variety. Definition.
High volume with high variety.
The creation of a high-volume product with large variety so that a customer may specify an exact model out of a large volume of possible end items, while manufacturing cost is low due to large volume
What are the 5 stages of the product life cycle
Introduction, growth, maturity, decline, phase-out
What is intermittent manufacturing?
aka process layout, job shop layout, functional layout
A form of manufacturing in which jobs pass through the functional departments in lots. Each lot may have a different routing.
What is flow manufacturing?
Work flows through each work station’s dedicated equipment at a nearly constant rate. 2 types = repetitive (line) & continuous.
