1. The “Business” in “e-Business” Part III – Additional Materials: Replenishment Scenarios
High-Level Overview of Core Business Processes in Computing and Electronics Industries

2. Core Business Processes
This is a very high-level overview using our own business models
Some core processes are covered in more detail in current and future classes.
“Fundamentals of Purchase Order Processes*” is now available on the EIDX web site.

3. Replenishment Scenarios
Self Study: Complete table on EIDX web site - Replenishment Scenarios *
Business process scenarios are made up of component business models; component business models represent “implementable chunks” of processes.

4. Comparing Related Processes
Self Study: Complete table on EIDX web site - Comparison of Replenishment Methodologies *
Related processes are both similar and dissimilar *

5. Replenishment Scenario 1
Self Study: Business model is on EIDX web site - Replenishment Scenario 1 *

6. Replenishment Scenario 2
Self Study: Business model is on EIDX web site - Replenishment Scenario 2 *

7. Replenishment Scenario 3
Self Study: Business model is on EIDX web site - Replenishment Scenario 3 *

8. Replenishment Scenario 4
Self Study: Business model is on EIDX web site - Replenishment Scenario 4 *

9. Replenishment Scenario 5
Self Study: Business model is on EIDX web site - Replenishment Scenario 5 *

10. Replenishment Scenario 6
Self Study: Business model is on EIDX web site - Replenishment Scenario 6 *
Replenishment Scenario 6
Self Study: Business model is on EIDX web site - Replenishment Scenario 6 * *

11. Replenishment Scenario 7
Self Study: Business model is on EIDX web site - Replenishment Scenario 7 *
Replenishment Scenario 7
Self Study: Business model is on EIDX web site - Replenishment Scenario 7 * *

12. Questions? Comments?
Feedback is welcome!

13. The “Business” in “e-Business” Part IV – Additional Material: Consignment Scenarios
High-Level Overview of another business process segment important in Computing and Electronics Industries

14. Consignment Scenarios
Self Study: Complete table on EIDX web site - Consignment Scenarios * *

15. Self Study: Business model is on EIDX web site - Consignment Scenario 1 **

16. Are these different words for the same thing?
Self Study: See EIDX web site - Consignment Scenarios *
-> Consignment
-> Supplier-Owned Inventory
-> Customer-Owned Inventory
-> Remote Warehouse
-> (Supplier) In-House Stores
-> Line Side Stocking
-> Bonding
-> Buffer/Safety Stock
-> Allocation
Some of these are not really types of consignment!
Agreeing on definitions is 80% of the battle when defining business process models!

17. Definition of “Consignment”
Self Study: See EIDX web site - Consignment Scenarios *
Consigned Inventory:
Inventory which is in the possession of one party (e.g. customer, dealer, agent, etc.), but remains the property of another party (e.g., manufacturer, prime contractor, etc.) by agreement with the party in possession.

18. Consignment: Characteristics
Self Study: See EIDX web site - Consignment Scenarios *
The possessor of the inventory does not hold title to the inventory
Liability for the inventory is per contractual agreement
Title may or may not pass to the possessor depending on the contractual agreement.
Title may pass from a seller to a buyer when the buyer consumes the inventory
Inventory may be consigned by a buyer to a third-party warehouse, to whom liability may pass but not title
Inventory may be consigned by a buyer to a contract manufacturer; title may or may not transfer depending on the contractual agreement.

19. Synonyms for “Consignment”
Self Study: See EIDX web site - Consignment Scenarios *
Supplier-Owned Inventory (from Customer's perspective)
Customer-Owned Inventory (from contractor's perspective)
In-House Stores (from consignee's perspective)
Line-Side Stocking
Remote Warehouse (from seller's perspective)

20. Not Consignment Allocated Inventory:
Self Study: See EIDX web site - Consignment Scenarios *
Allocated Inventory:
Inventory on hand or on order which is assigned to a specific production or customer order.
* The possessor of the inventory holds title to the inventory
* Title may transfer when the goods are transferred (sold/shipped)
to the customer, or the allocated inventory may become consigned inventory, with title transfer to occur based on contractual agreement.
Synonyms for “allocated inventory”: Reserved inventory (reservation) ; Assigned inventory; Mortgaged inventory; Obligated inventory; Bonded inventory

21. Not Consignment Safety Stock:
Self Study: See EIDX web site - Consignment Scenarios *
Safety Stock:
Inventory reserved for protection against fluctuations in demand and/or supply.
* The possessor of the inventory holds title to the inventory
* Title transfer not applicable - safety stock either remains safety stock, gets sold, gets consumed, becomes allocated, becomes consigned, shrinks, or gets lost.
Synonyms for “Safety Stock”: Buffer stock; Hedge

22. Self Study: Business model is on EIDX web site - Consignment Scenario 6 **

23. Questions? Comments?
Feedback is welcome!