Supply Chain Management Flashcards
It includes payment schedules, credit terms, and additional arrangements
Financial flow
It is a place where inventory is stored, manufactured or assembled
Facility
It determines how much a firm will charge for the goods and services that it makes available in the supply chain
Pricing
Its objective is to link the marketplace, distribution network, manufacturing, and procurement activities in a manner that delivers exceptional customer service at the most reasonable cost
Supply Chain
It is slow and prone to errors due to duplication of data entries during various stages of the purchasing process
Manual Purchasing System
Wholesalers and retailers who purchase for resale
Merchants
It includes the smooth flow of an item from the producer to the customer
MATERIAL FLOW
Manufacture quality products at the lowest imaginable controllable cost, in order to deliver volume targets
Plant Management
It consists of all raw materials; work in progress, finished goods within the supply chain
Inventory
It is the choice of who will perform a particular supply chain activity, such as production, storage, transportation, or the management of information
Sourcing
Focuses on converting raw materials into finished products
Manufacturing
It ambitiously sought sustainable growth, with a goal of doubling its revenue using half its environmental footprint by 2020. Its supply chain program is designed to determine the right level of services and marketing support each channel requires to enable profitable growth
Unilever
Involves an assessment of multiple key areas that impact the full Sourcing and Procurement spectrum
Spend Management
Focuses on the raw materials supplied to manufacturing, including how, when, and from what location
Supply
Supply chain management can be divided into 3 main flows
- Product
-Information
-Financial
It was developed in the 1970s to improve the purchasing process
Electronic Data Interchange (EDI)
It is an ideal option for business striving toward minimizing their carbon footprint
SUSTAINABLE PROCUREMENT
It includes moving goods from supplier to customer, as well as dealing with customer service needs
Product Flow
The e-procurement system eliminates these tasks to streamline the procurement process
labor-intensive and time-consuming tasks ( or non-value adding activities)
A well-defined strategy that entails procuring products and services from an expansive range of international suppliers
Global Sourcing
Focuses on ensuring that the products reach the consumer through an organized network of distributors, warehouse and retailers
Distribution
Supply management is also known as?
Procurement
Defines Supply Chain Management as the “identification, acquisition, access, positioning, management of resources and related capabilities the organization needs or potentially needs in the attainment of its strategic objectives.”
Institute for Supply Management
Purchase raw materials for convention, services, capital equipment and operating supplies
INDUSTRIAL BUYERS
It is where individual, local purchasing departments, such as at the plant level, make their own purchasing decision
DECENTRALIZED PURCHASING
It measures the impact of a change in purchase spends on firm’s profit before taxes, assuming gross sales and other expenses remain unchanged
Profit-Leverage Effect of Purchasing
Financial ratio of a firm’s net income in relation to its total assets
Return on Assets
Decisions at this level of SCM activities, affect how the products move along the supply chain
Operational
An art of management of providing the right product, at the right time, right place, and at the right cost to the customer
SUPPLY CHAIN MANAGEMENT
It involves moving inventory from one point in the supply chain to another point
Transportation
It is a useful model that identifies three key features of e-business that are enabled through technology, as an extension of the traditional 4P’s marketing model
Marketing Model
It describes supply chain management as: The design and management of seamless, value added process across organizational boundaries to meet the real needs of the end customer
Institute for Supply Management (ISM)
Purchasing structure can be viewed as a __________, with centralization at one extreme decentralization at the other
Continuum
The difference between the supply chain cost and revenue generated
Supply Chain Surplus or Profitability
This involves the gathering of facts, data, observation and trends about the marketplace in which suppliers conduct business
Supply Market Analysis
