PPT gives a summary of the developments in Supply Chain of Benetton. This PPT was prepared by us while studying at IIM AhmedabadFull description
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Su ppl y Ch Cha ai n M an ageme men n t in in Retail
By A sh i sh T agade agade
Concept Conce pt of of SCM Those activities associates with moving goods from the raw materials stage though though to the end user. It not only includes the manufacturer and suppliers but also transport, warehouse, retailers and customer also. These all activities are monitor by the information system.
Cycle I
Supplier
Manufacturer
Customer
Distributor
Retailer Cycle III
Objj ecti Ob tiv ve of SCM i n Re Reta taii l
E x amp mpll e of Su ppl y Chai Chain n in Retail SUPPLIER
FACTORY
DISTRIBUTOR WHOLE SELLER RETAILER
Raw Materials Finished Goods
Information Flow
N eed of SCM i n Re Reta taii l Cost
Cutting
Time
Saving
Customer
Increase
Satisfaction
Profit Margins
N eed of SCM i n Re Reta taii l Physical
Flows
Information
Financial
Flows
Flows
I n te teg gr ate ted d Su Su ppl y Ch Ch ai n M anage anageme men nt SCM
is an integrated process where every activity is interrelated with the system for efficient flow of material from supplier to the end users.
Supplier
Manufacturer Manufactu rer
Distributor
Retailer
Customer
B en ef i ts of I n te teg gr ate ted d Su Su ppl y Chain Achieving
the best delivery performance.
Reduction
in inventory
Lower
supply chain cost
Improvement
Accuracy
in overall productivity
in forecast
Pr oc oce ess V i ew Of SCM
Customer could be an internal customer or an external customer
Pr oce oces ss V i ew Of O f SCM Pus Pu sh V i ew of SCM •
•
•
A push-based SCM takes longer to react to the changing market place. In a push-based supply chain, production decisions are usually based on long-term forecasts. In push-based strategies,SCM experience increased transportation costs, high inventory levels and high manufacturing costs .
Pr oce oces ss V i ew Of O f SCM Pull Pul l V i ew of of SCM •
•
•
In a pull-based supply chain, manufacturing is demand driven so that it is coordinated with actual external customer demand rather than a forecast. Lead-time reduction occurs as the variabilities are better monitored in pull-based SCM. Pull-based systems are often difficult to implement when lead times are so long that it is impractical to react to demand information.
E vol u ti tio on Of Scm
•
Conventional Approach
•
Modern Approach
Conventional Approach Procurement (Material)
Manufacturing (Capacity)
Sales & Distribution (Demand) C U S T O M E R
Optimize to Mfg objectives
Optimize to Logistics obj
Optimize to Sales & Mktg obj
M oder n A ppr oach •
•
•
Just In Time (JIT) Inventory Management Model Total Quality Management (TQM) Model Efficient Consumer Response (Ecr) Working Group.
F u n cti tio on s of Re Reta taii l Su ppl y Chain •
Physically movement of goods from one outlet to another.
•
Stocking the good at the outlets where needed.
•
Management of the entire process.
Retai Re taill L ogi sti cs Retail logistics is the organized process of managing the flow of merchandise from the source of supply to customer. The main objective of logistics management is to reduce the inventory holding cost and improve profits –
B en ef i ts of Re Reta taii l L ogi sti tic cs
N ew E me merr gi gin n g Con Con cepts of Logistics •
T h i r d par party ty l ogi stic ti cs
Supply of logistics related operations b/w traders by an independent organizations. ex- Federal Express, DHL, Maersk Logistics.
N ew E me merr gi gin n g Con Con cepts of Logistics F our th Par Par ty L ogi stic ti cs
It refers to the evolution in logistics from suppliers focused on ware housing and transportation to suppliers offering a more integrated solution.
N ew E me merr gi gin n g Con Con cepts of Logistics Reve Reverr se L ogis ogi sti cs
Process of moving goods from their typical final destination, for the purpose of capturing the value or proper disposal . Stands for all operations related to the re use of products & materials