MKT 300 Supply Chain

what does it mean when you say supply chain is “dust to dust”

raw materials to disposal

downstream supply chain

towards end consumer

supply chain components

raw materials → manufacturers → manufacturers → wholesalers/distributors → retailers → end consumers

direct channel

manufacturer → end consumer

information flows

both ways

money typically flows

upstream

cost

inventory, raw materials, components, finished goods

inventory

just in time

• having new tires there just in time when new cars come in

location

• having it where & when need to manufacture and where & when need to sell to retailer

indirect channel

goes through several entities (such as wholesalers and retailers)

important aspects of supply chain management

cost, inventory, control, transportation

T/F: products can only move downstream

FALSE; products can also move upstream

how can products move upstream

returns, recalls, recycling

push strategy

left → right, downstream

pushing through channels

pull strategy

advertise to end consumer

most manufacturers use a ____ strategy

both a push and pull

value

what you get for what you give

breaking bulk

large quantities to small quantities

transportation is a ____ aspect of supply chain management

key

six modes of transportation

ships/waterways, pipelines, rail, trucks, air, digital

ships/waterways

pros: high capacity, lower cost

cons: slow, potential for damage/loss, weather dependent

pipelines

pros: efficient, low cost

cons: can only move liquid or gas

rail

pros: good capacity, lots of types of products

cons: damage, inconsistent service, inconvenient locations

trucks

pros: takeover where rail and ships stop, reliable, quick, can bring to door

cons: more expensive

air

pros: speed, safe, low damage, good for fragile or expensive goods

cons: expensive, inconvenient/limited locations, weather dependent

digital

pros: cheap, instant

cons: has to be digital product

which way do products typically flow

downstream

supply chain is a ___ variable

strategic

T/F: there is conflict in supply chains at times

TRUE

supply chains focus on turning ____ into____ to sell to the _____

raw materials, finished products, end consumer