Supply Chain Management Description Part 2 Flashcards
Supply Chain Principles: Principle 1
adapt supply chain based on service needs of each costumer segment
Supply Chain Principles: Principle 2
customize logistics network for each segment
Supply Chain Principles: Principle 3
align demand planning across the supply chain
Supply Chain Principles: Principle 4
differentiate product closer to customer
Supply Chain Principles: Principle 5
outsource strategically
Supply Chain Principles: Principle 6
develop information technology that support multi-level decision making
Supply Chain Principles: Principle 7
adopt both service and financial metrics
The 1st principle suggests that for better efficiency of the supply chain management the customers should be grouped based on their ______ like same day delivery, one week delivery, etc.
service needs
It is the key to providing the best service experience.
customization
It is of utmost necessity that forecasting of market demand must be done at a _______ and not at an individual department level alone.
cross functional level
The 5th principle suggests that having ________ when it comes to sourcing is the key to maintain a competitive environment and receive the best quote on the services.
multiple players
Principle 6 is nothing but the ________.
IOT (Internet of Things)
To respond more accurately to actual customer demand and keep inventory to a minimum, leading companies have adopted several ___________.
speed-to-market management techniques
_________ comes first, because as the principles of SCM state, you must adapt everything in the supply chain to the customer. If no one is buying, there is no need to produce anything.
Customer relationship management (CRM)
__________ is another process that ties in, as it is where you gather negative and positive feedback to determine future needs.
Customer service management
________ is intricately linked with the previous two, as it takes customer interactions and orders into account to determine the workload all the way up the supply chain.
Demand management
__________ is an important part of the supply chain that is informed by consumer demand. You must integrate suppliers in this process because it affects cost, quality, and delivery time.
Product development
_________ goes without saying - if you want to produce your products on time and on budget, you need a solid rapport with everyone you’re outsourcing to in the chain. This impacts manufacturing flow management, which ensures everything gets where it needs to go without delay, and at the correct spec.
Supplier relationship management
_________ involves coordinating with distribution centers and either retail locations or 3PL (Third-party logistics) to get the product direct to consumers. You have now made it all the way back to the beginning of the cycle and need to pay attention to new CRM and customer service data.
Order fulfilment
__________ is a vital part of the flow of products that does not fit perfectly into the clean supply chain cycle.
returns management
also known as the “reverse supply chain”
returns management
Four-Step Integrated Approach
- potential analysis
- concept study
- detailed planning
- project or change management
Five Areas in which Supply Chain Management can have a Direct Effect on Corporate Value
- profitable growth
- working-capital reductions
- fixed-capital efficiency
- global tax minimization
- cost minimization
According to A.T. Kearney’s research, inefficiencies in the supply chain can waste up to ___ percent of a company’s operating costs.
25
This refers to network optimization–for instance, assuring that the company has the right number of warehouses in the right places, or outsourcing functions where it makes more economic sense.
fixed-capital efficiency
This largely focuses on day-to-day operations, but it also may involve making strategic choices about such issues as outsourcing and process design.
cost minimization
