M1 - P1

Old paradigm of supply chain management emphasizes what?

Vertical integration; ownership and coordination of several supply chain activities; short-term, company-focused performance.

New paradigm focus in supply chain management?

Specialization in core capabilities; voluntary, trust-based relationships with suppliers/customersWho benefits in the new supply chain paradigm?(strategic partnerships)

Who benefits in the new supply chain paradigm?

All participants in the supply chain.

How are supply chain boundaries described in the new paradigm?

Dynamic; extend from suppliers’ suppliers to customers’ customers (second-tier suppliers/customers).

What additional activities are included in modern supply chains?

Reverse logistics: returned products, warranty repairs, recycling.

What are the main supply elements in SCM?

Sourcing & related decisions, Purchasing management, Contract management, Supplier relationship management

Key operations elements in SCM?

Demand management, Process & capacity management, Material management, Inventory management, Quality management, Project management

Main logistics elements?

Transportation, Warehousing & distribution, Logistics intermediaries, Reverse logistics, Global location decisions

How does CRM relate to SCM?

It overlaps SCM and marketing; focuses on managing customer interactions & satisfaction.

Key integration elements in SCM?

Supply chain process integration, Supply chain strategy, Supply chain performance.

Name key contemporary SCM topics.

1) Sustainability & ethical issues; 2) Supply chain risk & resilience; 3) Shrinking the supply chain; 4) Increasing supply chain visibility; 5) Supply chain analytics.

What are examples of supply chain risks?

Disruptions (internal/external), Quality, Environmental & Social Responsibility, Intellectual property issues

What strategies shrink the supply chain?

Back-shoring, Near-shoring, Right-shoring; driven by fuel cost volatility, labor cost differences, faster delivery demands

How is visibility improved in SCM?

Technology & software track products, orders, inventory, deliveries, returns, and supplier/customer practices