Chapter 10 Supply Chain Management – Flashcards

Consists of all parties involved, directly or indirectly, in the movement of a product or a raw material Movement includes procurement, flow, and distribution

involves the management of material and information flows between and among stages in a supply chain to maximize total supply chain effectiveness and profitability

a set of processes that plans for and controls the efficient and effective transportation and storage of supplies form suppliers to the customers

5 basic Supply Chain Management components

IT advances results in changes in: (.....) the ability to view all areas up and down the supply chain

IT advances results in changes in: (visibility) occurs when "distorted" product demand information passes from one entity to the next throughout the supply chain IT can reduce uncertainty in product demand

IT advances results in changes in: (consumer behavior) generates demand forecasts using statistical tools and forecasting techniques

IT advances results in changes in: (4)

IT advances results in changes in (Competition) SCM can be broken down into ............ and ............ . Both increase the company's ability to compete.

uses advanced mathematical algorithms to improve the flow and efficiency of the supply chain

automates the different steps and stages of the supply chain

1. Make the sale to suppliers 2. Wean employees off traditional business practices 3. Ensure the SCM system supports the organizational goals 4. Deploy in incremental phases and measure and communicate success 5. Be Future Oriented

Segment customers based on service needs. Customise the logistics network. Listen to signals of market demand and plan accordingly. Differentiate product closer to the customer Strategically manage the sources of supply. Develop a supply-chain-wide technology strategy Adopt channel-spanning performance measures