Global Production and Supply Chain Management

These flashcards cover key terms and concepts from the lecture on Global Production and Supply Chain Management.

Global Production and Supply Chain Management

The decisions and strategies involved in producing and delivering products and services across international borders.

Supply Chain Management

The integration and coordination of logistics, purchasing, operations, and market channel activities from raw materials to the end-customer.

Logistics

The management of the flow of goods between the point of origin and the point of consumption.

Make-or-buy decisions

Decisions regarding whether to perform a certain value-creation activity internally (make) or outsource it to another entity (buy).

Just-in-Time Inventory

An inventory management strategy to increase efficiency and decrease waste by receiving goods only as they are needed in the production process.

Six Sigma

A data-driven methodology aimed at reducing defects and improving quality in processes, often part of total quality management.

ISO 9000

A certification process that requires organizations to meet certain quality standards.

Make Decision Advantages

Lowering costs, facilitating investment in specialized assets, protecting proprietary technology, and improved scheduling.

Buy Decision Advantages

Increased strategic flexibility and lower costs, while potentially forming strategic alliances with suppliers.

Flexible Manufacturing

A system of manufacturing that allows for the production of different products without requiring a lengthy setup time.

Nearshoring

The practice of sourcing products or services from a nearby country instead of a distant one.

Offshoring

The relocation of business processes to a lower-cost country, usually to capitalize on cost advantages.

Global Inventory Management

The strategy concerning how much inventory to hold, in what form, and where to locate it along the supply chain.

Collaborative Planning, Forecasting, and Replenishment (CPFR)

A business practice used for improving and integrating the supply chain through collaborative efforts in planning and forecasting.

Vendor Management Inventory (VMI)

A supply chain practice where the supplier manages the inventory of the product at the buyer's location.

Operational Objectives in Supply Chains

Goals such as responsiveness, variance reduction, inventory reduction, shipment consolidation, quality, and life-cycle support.