SUPPLY CHAIN MANAGEMENT

supply chains are systems of organisations people activities and information and resources involved in moving p or s from supplier to customer

upsteam vs downstram

upstream is the flow of customers

downstram is the flow of p and s

supply chain management is the design and management processes across organisation with the goal of matching s and d in the most cost effective way

decisions in supply chain management

strategy or design
sttucture outsourcing
goals
configuration

operational deciosns in supply chains

quality
speed
dependability
flexibiltiy
costs
sustainabilty

outsourcing and offshoring

outsourcing is deciding to buy in p and s

off shoring is obtaining p and s outside the coutnry

how is the supply side managed

multiple

obtaiing p or s from more then oen supplier when switching costs are low

reduces risks

maintains competition

increases flexibility

single

buying all p or s from a single supplier

high costs and of strategic importance

can lead to a lock in

reducers firms barginignpower

delegated sourcing

tiered appraoch

one supplier for an enitre subassmble

risk creating a mega supplier

parrallel sourcing

both multiple and single

can switch to a alternative supplier

maintians competition

complex to manage

how do we select a supplier

inital qualifiication
measurmenet criteria
relevent information
make selection

how the demand side is managed

Logistic services

activities mvoing from supplier to customer

1pl the owner delivers the product
2pl firm outsources a specific segment
3pl the firm contracts a logistics company
4pl can manage all aspects
5pl e businss?

customer relationship management

learning customer behavour to better serve a need

this provides customers with what they want retains and discovers customers and offeres. better service

bullwhip effect

small distirbances downstram lead to large distirbutce upstream

tech in supply chains

logistics and IOT

tracking of materials

block chain

secured peer to peer transmission

lean vs agile supply networks

lean are efficient

agile are responsive and flexible

these are reflected by fisher- supply chains serving different markets shoudl be managed in different wats

efficnet- inventories low high utilisation and low costs

agile- high service level, inventory is deployed closer to the consumer

how to manage supply chains

what they choose to outsoruce
who they decide to supply too

contracting and relationships

contract are more a supply agremnet this is a market based st arrangement whihc is explict and formal and legal
realtionsips are more long term exclusive braod and trust based

contracts

involves purchasing g and s in a pure market seeking the best supplirt each time

advantages

maintins competition