Supply Chain Management Lecture Notes

A collection of flashcards covering key concepts from the supply chain management lecture notes.

Supply Chain

All stages, direct and indirect, in fulfilling a customer request, including manufacturing, suppliers, transporters, warehouses, retailers, and customers.

Supply Chain Surplus

The difference between the customer value and the supply chain cost; calculated as Customer Value - Supply Chain Cost.

Consumer Surplus

The difference between the value of the product and its price that remains with the customer.

Supply Chain Profitability

The difference between the revenue generated from the customer and the overall cost across the supply chain.

Frequent Replenishment

Allows stores to match supply and demand more effectively by receiving products frequently.

Webvan

A grocery delivery service that used a supply chain with large warehouses, which ultimately failed due to high transportation costs.

Push Processes

Initiative processes in anticipation of customer orders.

Pull Processes

Processes initiated by a customer order.

Cycle View

A process view dividing supply chain processes into cycles performed at the interfaces between stages.

Shorter Distance from DC to Stores

One of the key reasons for effective supply chain design.

Distribution Centers (DCs)

Facilities that store products and are strategically located to reduce delivery times to stores.

Inventory Turnover

Measures how often a company sells and replaces its stock of goods.

Supplier Collaboration

Sharing real-time sales data with suppliers to improve production planning and reduce costs.

Demand Uncertainty

The uncertainty of customer demand for a product, affecting how much inventory to keep.

Total Cost of Offshoring

Includes supplier price, delivery costs, inventory and warehousing, and quality costs.

Decision Tree Analysis

A method for evaluating decisions under uncertainty in supply chain management.

Facility Location Decisions

Choosing locations for supply chain facilities based on factors like market demand, costs, and logistics.

Agile Intercompany Scope

The ability of a firm to adapt its supply chain dynamically as market conditions change.

Return on Assets (ROA)

Measures the return earned on each dollar invested by the firm in assets.

Cash-to-Cash Cycle (C2C)

Measures the time between outlaying cash for raw material and receiving cash from product sales.

Supplier Relationship Management (SRM)

Processes focused on the interface between the firm and its suppliers to manage supply sources.

Customer Relationship Management (CRM)

Processes that focus on the interface between the firm and its customers to generate demand and facilitate orders.