supply chain management chapter 3 -5

Operation and supply chain strategy

Setting of broad policies and plans that will guide the use of resources needed by the firm to implement its corporate strategy

Operation effectiveness

The performing activities in a manner that best implements strategic priorities at a minimum cost

Straddling

Seeking to match a successful competitor while maintaining its existential position

Supply chain risk

The likelihood of a disruption that would impact the ability of company to continuously supply products or services

Productivity

Measure of how well resources are used

Shareholders

Individuals or companies that legally own one or more shares of stocks in the company

Stakeholders

Individuals or organizations who are directly or indirectly influenced by the actions of the firm

3 Risk Management Framework

1. Identify the sources of potential disruption

2. Asses the potential impact of the risk

3. Develop plans to mitigate the risk

Dimensions of competition

1. Price

2. Quality

3. Delivery speed

4. Delivery reliability

5. Coping with changes in demand

6. Flexibility and new-product introduction speed

Capacity management

Viewed as the amount of output that a system is capable of achieving over a specific period of time.

To have a continuous operation

Project management

Planning, directing, and controlling resources (people) equipment, material, to meet the technical, cost, and time constraints of the project.

5 project control charts

1. Gantt chart for single activity

2. Total cost breakdown

3. Divisional breakdown of cost and labor hours

4. Cost and performance tracking schedule

5. Bar/milestone chart

3 typical measures of product development

1. Time to market

2. Productivity

3. Quality

3 factors to determine how different a new product

1. Similarity to current service

2. Similarity to current process

3. Financial justification

Eco design

The incorporation of environmental considerations in the design and development of products or services

Social responsibility of an organization

Pertains to fair and beneficial business practices towards labor, the community, and the region in which a firm conducts it’s business

Economic prosperity in an organization

Means the firm is obligated to compensate shareholders who provide capital

Environmental stewardship of an organization

Refers to the firm’s impact on the environment.

6 phases of the generic product development process

Phase 0: planning

Phase 1:concept development

Phase 2:system-level design

Phase 3: design detail

Phase 4:testing and refinement

Phase 5:production ramp-Up

Variants of generic product development process

1. Generic (market pull up products)

2. Technology push products

3. Platform products

4. Process intensive products

5. Customized products

6. High risk products

7. Quick build products

8. Complex systems