P320 Class 1

Supply Chain Management

Management of the processes and relationships in a supply chain. Consists of firms collaborating to leverage strategic positioning of resources to improve operating efficiency. It encompasses the planning and management of all activities/processes involved in sourcing, procurement, conversion, logistics management and service.

Information Technology

The GREATEST enabler of SCM sourcing initiatives, ERP/MRP web based and electronic data interchange that are real-time enablers.

Enterprise Resource Planning

What does ERP stand for?

Materials Requirement Planning

What does MRP stand for?

Electronic Data Interchange

What does EDI stand for?

Procurement

A SCM sourcing initiative that is the growing importance of ________ as the integrator.

Purchasing

The action of placing orders and chasing late parts.

Sourcing

Where and by whom evaluation and awarding of contracts

Commodity Management

Strategic sourcing AND SCM of specific groups of purchases from SUPPLIERS.

Leverage

Supplier rationalization is reducing the supply base in order to gain ______ and lower maintenance costs.

Tier 2

The extended value chain or extended enterprise involves ___ _ and below suppliers and customers.

Out-sourcing

SCM Sourcing initiative that is ______ for cost benefit, as companies are down-sizing, so they need to focus on core competency.

Out-source for cost benefit, supplier rationalization, commodity/category management and strategic sourcing, IT for transparency driving business analytics, collaboration with suppliers, bottom line performance, growing importance of procurement as the integrator

What are the 7 SCM Sourcing Initiatives?

Operations Management (OM)

Historically an internal focus