LP

Notes Alison Course

Integrated Supply Chain Network

An integrated supply chain network is a cohesive system where all stakeholders collaborate seamlessly to enhance operations.

Key Components

  1. Supplier Integration

    • Strong partnerships with suppliers.

  2. Internal Process Integration

    • Coordination of procurement, production, and logistics.

  3. Customer Integration

    • Engaging with customers for better demand forecasting.

  4. Technology Integration

    • Use of advanced technologies like ERP and data analytics.

Benefits

  • Enhanced Efficiency

  • Improved Responsiveness

  • Increased Visibility

  • Better Collaboration

Challenges in Implementation

  • Data Silos

  • Resistance to Change

  • Complexity

Strategies for Effective Integration

  • Advanced Technologies: Implement ERP and data analytics.

  • Foster collaboration among stakeholders.

  • Standardize processes for consistency.

Three Primary Flows

1. Material Flow

  • Movement of raw materials and products.

Key Activities

  • Procurement, Production, Storage, Transportation, Reverse Logistics.

Objectives

  • Timely delivery, cost minimization, waste reduction.

2. Information Flow

  • Transfer of data among stakeholders.

Key Activities

  • Demand Forecasting, Order Processing, Tracking, Reporting.

Objectives

  • Coordination, visibility, timely decision-making.

3. Financial Flow

  • Movement of money and financial transactions.

Key Activities

  • Payment Processing, Pricing, Credit Management, Financial Reporting.

Objectives

  • Optimize cash flow, minimize risks, ensure transparency.

Challenges in Managing Flows

  • Material: Delays in raw material delivery.

  • Information: Lack of real-time sharing.

  • Financial: Cash flow shortages.

How to Optimize the Three Flows

  • Material: Implement JIT inventory.

  • Information: Invest in real-time tracking.

  • Financial: Monitor cash flow regularly.

Business Models Overview

1. B2B (Business-to-Business)

  • Characteristics, advantages, challenges.

2. B2C (Business-to-Consumer)

  • Characteristics, advantages, challenges.

3. C2C (Consumer-to-Consumer)

  • Characteristics, advantages, challenges.

4. C2B (Consumer-to-Business)

  • Characteristics, advantages, challenges.

5. B2G (Business-to-Government)

  • Characteristics, advantages, challenges.

6. G2C (Government-to-Consumer)

  • Characteristics, advantages, challenges.

7. G2B (Government-to-Business)

  • Characteristics, advantages, challenges.

Three Core Business Processes

1. Management Processes

  • Definition, Key Activities, Purpose, Tools.

2. Operational Processes

  • Definition, Key Activities, Purpose, Tools.

3. Supporting Processes

  • Definition, Key Activities, Purpose, Tools.

Interconnections Between the Processes

  • Overview of how each process influences the others and examples.

Conclusion

The interconnectedness of processes enhances performance and achieves business goals efficiently.