1
Q
set of processes used to effectively and efficiently integrate suppliers, manufacturers, distribution centers, distributions, and retaillers
A
Supply Chain Management
2
Q
it also includes coordination and collaboration with channel partners, which can be suppliers, customers
A
Supply Chain according to Supply Chain Management Professionals
3
Q
Provides combination of Product, service or solution to end customer
A
Common Definition of SCM
4
Q
Designing, planning, executing, or measuring activities related to:
- Sourcing
- Procurement
- Manufacturing
- Integrated Operations Planning
A
SCM and Logistics
4
Q
Use product in additional process or product
A
Customer
5
Q
Residential homes that consume food and use appliances
A
Consumers
6
Q
- Reduced operating cost
- Increased revenue
- Asset Utilization
A
Supply chain Value Adds
7
Q
Supply Chain Application
Involving suppliers, manufacturers, distributors, and retailers for consumer products
A
Product
8
Q
Supply Chain Applications:
For items that are being heavily promoted such as end-aisle tasting displays in wholesale clubs.
A
Promotional
9
Q
Supply Chain Applications:
Moves bulk products such as grains, metals, and chemicals. In many cases, these materials are relatively low value
A
Bulk material
10
Q
Supply Chain Applications:
Applies supply chain principles to talent management, where individual talent represents that products that are moved through the supply chain with the value-added process being training and education.
A
Talent
11
Q
Supply chain Applications:
Addresses the increasing volume of product that is sold online from manufacturers or distributors directly consumers.
A
Business to consumer (B2C)
12
Q
Supply chain Applications:
Handles product returns for recycling of products, components, reprocessing, and packaging.
A
Recycling
13
Q
Supply chain Applications:
Provides facility resources for information-based supply chains, such as servers farms for cloud or social media applications.
A
Resource
14
Q
Supply chain Applications:
Provides and sequences the equipment and the building suppliers for construction
A
Construction
15
Q
Supply chain Applications:
Recovers material that has reached its useful life in the field.
A
Recovery
16
Q
Supply chain Applications:
Provides post-event support for disaster recovery, This includes bringing in equipment for recovery, food and medical care items, and commodities to support reconstruction.
A
Humanitarian
17
Q
Supply chain Applications:
Sources and delivers from multiple regions around the world
A
Global
18
Q
Supply chain Applications:
Facilitates the handling and delivery of heavy equipment, such as agricultural, construction, or military equipment
A
Durables
19
Q
Supply chain Applications:
Moves agricultural product from the farm to the commodity elevator or processing plant.
A
Agricultural Commodity
20
Q
Supply chain Applications:
Rapidly introduces new product to the market, this is typically a responsive supply chain that is defined to bring new product variation to market or to have souvenirs such as for movies, athletics events
A
Innovative
21
Q
Supply chain Applications:
Specialized requirements include the ability to provide chains for range of products
A
Military
22
Q
Supply chain Applications:
Supports the very precise demands for completing.
A
Clinical trials
23
Q
Assessment of demand and strategic design to achieve maximum responsiveness to customer requirements
A
Demand Planning Responsiveness
24
Development and administration of relationships with customers to facilitate strategic information sharing joint planning and integrated operations
Customer Relationship Collaboration
25
Ability to execute superior and sustainable order-to-delivery performance
Order Fulfillment & Service Delivery
26
Participation in production/service development and lean launch
Product/Service Development Launch
27
Support of manufacturing strategy and facilitation of postponement
Manufacturing Customization
28
Development and administration of relationships with suppliers to facilitate strategic information sharing, join planning and integrated operations
Supplier Relationship Collaboration
29
Repair and support of products during their life cylce
Life Cycle Support
30
Return and disposition of inventories in a cost effective, secure and responsible manner
Reverse Logistics
31
Achieving a high degree of cooperative behavior requires
Information sharing paradigm
32
Commitment to focusing collaborative arrangements on planning joint operations
Process specialization paradigm
33
- Transportation specialists
- Warehousing specialist
Integrated Service Providers
34
- Environmentally friendly raw materials
- Substitution of environmentally questionable materials.
- Taking environmental criteria into consideration
- Environmental design considerations
Green Supply Chain Management Practices
35
- Firms Can be Fast Alone, The Goal is Supply Chain Synchronization
- "Hurry up and wait."
Integrated Supply Chain Management
36
- Synchronized Operating Environment
- Cycle time compression 10x
- Point in time performance
World Class Supply Chain
37
Discuss how firms employ supply chain competencies to create competitive advantage
Supply Chain Value Adds
38
Configure in a customer relevant way while simultaneously increasing quality, productivity and operational excellence.
- Service Excellence ---> Effectiveness
- Cost Minimization and Avoidance ---> Efficiency
- Value Generation ---> Relevancy
- Continuous Improvement ---> Sustainability
Supply Chain Value Proposition
39
- Anticipatory (Push)
- Responsive (Pull or demand driven)
Responsiveness
40
- Pushed based on forecast
- Essential work is completed prior to experience demand
Anticipatory Business Model ("Push")
41
- Seeks to reduce or eliminate reliance on forecast
- Employs joint planning with supply chain partners
Responsive Business Model ("Pull")
42
Needs for publicly held firms to delivery quarterly profits, which motivates them to push products to customers
Systems
43
Globalization Opportunities and Differences
Globalization
44
90% of global demand is not fully satisfied by local supply
Demand exceeds local supply
45
Identify and matching the sources of raw materials and components to manufacturers and distributors
Strategic Sourcing
46
Moving manufacturing and distribution operations to countries with favorable labor costs and tax laws.
Offshoring
47
Distance of typical order-to-delivery operations
Significant difference for global logistics
48
Logistics should be managed as an integrated effort to achieve customer satisfaction at the lowest total cost
Logistics Value Proposition
49
Service benefits, Cost benefits, Value generation
Logistics Value Proposition
50
The more significant the service failure impact upon a customer's business, the greater priority placed on error-free logistical performance
Logistics Service Benefits
51
Having inventory meet customer requirements
Availability
52
Time required to deliver an order
Operational Performance
53
Quality of performance, how consistent
Service Reliability
54
Key to achieving logistical leadership is to master the art of matching operating competency and commitment to key customer expectations
Logistics Value Generation
55
Gives emphasis on accuracy, work balancing, forecasting and communication
Order Processing
56
Core customer segmentation, product profitability, and transportation integration
Inventory
57
integrated nature, integral part of other areas, forward facing logistics
Warehousing, materials handling, and packaging
58
- Number of Facilities,
- Location
- Ownership arrangement
Facility network design
59
The operational management of logistics is concerned with movement and storage of inventory in the form of materials, work-in-progress, and finished products
Inventory Flow
60
Flow of components and product from the raw material provider to the consumer
Facility Network Design
61
Achieve logistical integration within a supply chain context, six operational objectives must be simultaneously achieved:
- Responsiveness
- Variance Reduction
- Inventory Reduction
- Shipment consolidation
- Quality
- Life Cycle Support
Logistical Integration Objectives
62
Logistical Integration Objectives:
A firm's ability to satisfy customer requirements in a timely manner. Importance of information technology
Responsiveness
63
Logistical Integration Objectives:
Common solutions to safeguard against variance include additional inventory and/or expedited transpotation
Variance Reduction
64
Logistical Integration Objectives:
Control of asset commitment and turnover
Inventory Reduction
65
Logistical Integration Objectives:
- Transportation cost is the most significant logistical expenditure
- Transportation cost is directly related to product type, size of shipment, and distance traveled.
Shipment Consolidation
66
Logistical Integration Objectives:
- Focus on continuous quality improvement
- Total Quality Management (TQM)
Quality
67
Logistical Integration Objectives:
Few products are sold without some guarantee the product will perform as advertised
Life Cycle Support
68
Logistical Operating Arrangement:
The potential for logistical services to favorably impact customer experience is directly related to operating system design
Balance of Performance, Cost, and Flexibility
69
Logistical Operating Arrangement:
Flow of product typically proceeding through an established arrangement of firm as it moves from origin to final destination
- Use of warehouse
Echelon
70
Logistical Operating Arrangement:
Systems designed to ship product direct to the customers destination from one or a limited number of centrally located inventories
Direct
71
Logistical Operating Arrangement:
Ideal logistical arrangement, wherein the inherent benefits of echelon and direct logistics structures are combined.
Combined
72
Logistical Operating Arrangement:
Preplanned contingency strategies to prevent logistical failures, typically on the importance of meeting the needs of a specific customer
Flexible
73
- Multi-firm operational integration across a supply chain.
- Seeks to coordinate flow of materials, products, and information between supply chain partners to reduce duplication and redundancy
Supply Chain Synchronization
74
Represents the elements of work necessary to complete the logistics related to customer accommodation, manufacturing, or procurement
Logistics Performance Cycle Structure
75
Input = Demand
Output = Level of Performance
Logistics Performance Cycle Structure
76
A major objectives of logistics in all operating areas is to reduce ___________
Performance Cycle Uncertainty
77
Logistics is the process that links supply chain participants into integrated operations
Logistics Summary
78
- End user of product in consumer market
- customer company in business market
Customer from the perspective of the total supply chain
79
Intermediate customer organizations exist between the firm and end users
Customer from the perspective of specific firm within a supply chain
80
Any delivery location
customer from the perspective of a logistics manager
81
Is a traditional strategy with a focus on creating successful individual transactions between the company and its customers
Transactional Marketing
82
Is a new strategy with a focus on the development of long term relations
Relational Marketing
83
Recognizes that each individual customer may indeed have unique requirements
Micromarketing of one-to-one marketing
84
Significantly reduce transaction costs
one-to-one relationships
85
Customer Service Provides Customers...
With the right amount, of the right product, at the right time
86
Capacity to have inventory when desired by the customer
Availability
87
Measures the magnitude or impact of stock outs over time
Fill Rate
88
Occurs when a firm has no product available to fulfill customer demand
Stockout
89
Require shipping everything that a customer orders to count as a complete shipment
Orders shipped complete
90
Deals with time required to delivers a Customer's Order
Operational Performance
91
Elapsed time from when a customer established a need to order until the product is delivered
Speed
92
measured by the number of times that actual cycles meet the time planned for completion
Consistency
93
Firm's ability to accommodate special situations and unusual or unexpected customer requests
Flexibility
94
Firm's ability to quickly implement contingency plans when a failure occurs in the supply chain
Malfunction recovery
95
Firm's Ability to Perform All Order-related Activities
Service Reliability
96
The Ultimate in Logistics Service Levels
The Perfect Order
97
Gaps Managers Must Fill to Satisfy customers
- Knowledge
- Standards
- Performance
- Communications
- Perception
- Satisfaction/Quality
98
How well the product performs in comparison to how it was designed to perform
Performance
99
Likelihood that the product will perform throughout its expected life
Reliability
100
Actual life expectancy of the product
Durability
101
Extent to which the product meets its design specifications
Conformance
102
What different function or tasks can the product performance
Features
103
Extent to which styling, color, and workmanship is pleasing to customer
Aesthetics
104
Ease of fixing or repairing the product if it fails
Serviceability
105
Based on the customer's experience before, during, and after they purchase a product
Perceived Quality
106
Is a philosophy focused on meeting customer expectations with respect to all needs, across all company function, and recognizing all customers, both internal and external
Total Quality Management
107
Purchased goods and services are among the largest cost elements for most firms
Procurements as a Strategic Activity of the Firm
108
Purchasing was historically perceived as just a buying function for manufacturing and repair materials and supplies
Purchasing Perspective
109
Organizational Capability that ensures that firm is positioned to implement its strategies with support from its supply base
Procurement Perspective
110
Focus on Several Issues Related to Firm's Supply Base
Procurement Objectives
111
Insourcing vs Outsourcing
- Alternative procurement strategies
Procurement Strategies
112
Volume consolidation, reducing total number of suppliers while minimizing risk
Users buy
113
- Building Partnerships
- Sharing Information and Knowledge
Supplier operational integration
114
Primary objective of operational integration is to cut waste, reduce cost, and develop a relationship that allows both buyer and seller to achieve mutual improvements
Supplier Operational Integration
115
More frequent delivery of smaller quantities
Just-in-Time (JIT)
116
- Integration of suppliers into manufacturing processes
- Procurement of logistics services
JIT II
117
Initiated by U.S Department of Defense to purchase performance outcomes instead of individual transactions defined by product specifications
Performance-based logistics Interface
118
Produces a unique product quickly and at a low cost using a high-volume production process
Mass customization
119
used when products are unique and extensively customized for specific needs of individual customers
Engineer-to-order (ETO)
120
Relies on relatively small quantities, but more complexity
Make-to-order (MTO)
121
when base components are made and stocked to forecast, but products are not assembled until a customer order is received
Assemble-to-order (ATO)
122
features economies of scale, large volumes, long production runs low variety, and distribution channels
Make-to-stocks (MTS)
123
Sufficiently large customer segment that values "translatable variety"
Market Characteristics
124
Modular or adjustable product building blocks
Product/Process Characteristics
125
Only the goods/services that customer want. As quickly as customer want.
Lean Systems Produces
126
To go from traditional TQM three-sigma to six-sigma quality effort requires a more intensive approach
Defining the Six Sigma Program
127
- Supply Chain Visibility
- Simultaneous resource consideration
Supply Chain Planning
128
Visibility regarding location and status of inventory
Supply Chain Visibility
129
Supply Chain Planning Objectives
Developing a consistent forecast within the firm
130
Forecasting of unit sales by geography and product
Demand Planning
131
Development of a manufacturing plan considering resource availability
Production planning
132
Coordinating overall movement demand, vehicle availability, and transportation expenses
Logistics planning
133
coordinating product demand with the ability to produce and ship products to the consumer
Inventory deployment
134
An internal-to-firm demand collaboration process where individual from operations-focused and customer-facing processes collaborate to develop a coordinated plan
Sales & Operations Planning (S&OP)
135
Collaboratively establishes a coordinated plan for responding to customer requirements within the resource constraints of the enterprise
S&OP Process
136
- Identifying how suppliers can enhance customer value.
- Facilitating joint product innovation and development
Rationale For Supplier Integration
137
Facilitating customer segmentation with key customers
Rationale for Customer Integration
138
Is the specific definition of what is projected to be sold, when, and where
Forecast
139
The largest expenditure in logistics, usually representing over 60% of a typical firm's total logistics spend
Transportation
140
Movement of inventory to specified destinations
Product movement
141
in transit inventory is captive, usually inaccessible during transporation
Restrictive Element
142
Occurs while product is in transit or waiting to be moved or unloaded
Restrictive Element
143
Inventory can be diverted during shipment to a new destination
Flexible Element
144
Consists of rights-of-way, vehicles, and carriers operating within five basic modes
Transportation Modal Structure
145
Track mileage has declined by over a half since 1970
Rail
146
The Philippine highway network spans over 32k kilometers 20kmi across all regions of the Philippines
Truck
147
Oldest model of transporation
Water
148
Highest fixed cost and lowest variable cost of all modes
Pipeline
149
Least Utilized, 1% of intercity ton miles
Air
150
Transportation services can be improved by combinig modes
Specialized Transportation Services
151
Combining the use of truckload and rail
Intermodal
152
Non Operating Intermediaries
Containership
153
Cost per unit weight decreases as distance increases
Economy of Distance
154
Cost per unit weight decreases as total weight increases
Economy Weight
155
Cost per unit weight decreases as the density of the shipment increases
Economy Density
156
Odd package shapes and sizes waste cubic capacity
Stowability
157
May be needed to load and unload trucks, railcars, or ships.
Special Equipment Handling
158
Carriers must pay for liability insurance or accept financial responsibility
Liability
159
Economy of Scale
Lane of Volumes
160
Movement both ways between a given market/lane
Balance
161
Opportunity to avoid empty miles
Back haul
162
Also known as empty miles to relocate equipment
Dead Head
163
Cost allocation is primarily a carrier concern
Costing Freight
164
costs that change in a predictable, direct manner in relation to some level of activity
Variable
165
Expenses that do not change in short run
Fixed
166
Created by the decision to provide a particular service
Joint
167
Includes carrier costs that are incurred on behalf of all or select shippers
Common
168
transportation are only incurred if you operate the vehicle
Variable Costs
169
________ are not influenced by shipment volume
Fixed Costs
170
Pricing Strategy:
price is similar to cost-plus pricing strategy for manufacturing
Pricing Strategy: Cost-of-service
171
Pricing Strategy:
________ price is based on value as perceived by the shipper rather than the carrier
Value-of-service
172
Seller States price at point of origin and agrees to load a carrier but assumes no further responsibility
F.O.B Origin
173
Seller arranges for transportation and adds charges to the sales invoice
F.O.B Destination
174
Seller includes transportation in the product price
Delivered pricing
175
Buyer pays a single price regardless of where they are located
Single zone delivered pricing
176
Seller charge different prices for different geographic areas
Multiple zone pricing
177
Final delivered price is determined by the product's list price plus transportation cost
Base point pricing
178
Shipment is picked up at origin travels to the border terminal
Origin pickup
179
Shipment is loaded in a trailer and dropped in the terminal yard awaited customs entry
Loading and customs filing
180
Once customs entry is filed, the drayage agent picks up the trailer and crosses the border.
Border Crossing
181
Customs inspection of product, paperwork, and vehicles
Customer Inspection
182
The drayage agent drops the trailer at the freight terminal
terminal arrival
183
Shipment travels through the U.S. freight network to its destination
Destination Delivery
184
Key functionalities such as equipment scheduling and yard management, load planning
Operations
185
Identification of opportunities to consolidate orders and shipments to drive efficiency and economy of scale
Consolidation
186
Recommendation of optimal carrier solution based on service and price
Negotiation
187
Ensuring all local, state, and federal regulations are followed
Control
188
"Back end" of transportation including paying carriers, auditing bills for accuracy
Payment, auditing, and claims administration
189
Basic document utilized in purchasing transport services
Documentation: Bill of Loading
190
Carrier's method for charging for services performed
Documentation: Freight Bill
191
Lists individual stops or consignees when multiple shipments are placed on a single vehicle
Shipment Manifest
SCM
flashcards
Decks in class (2)
# Cards
