1. Supply Chain Management

2. Definition of Supply Chain
All the activities associated with the flow of goods and information from the raw materials stage to the end users.
Materials and information flow both up and down the supply chain.

3. A Supply Chain for A Product
Suppliers – Manufacturers - Distributors - Retailers
- Consumer

4. Who Are Members of An Education Supply Chain?

5. Members of An Education Supply Chain
End Users: Employers and Society
Supply Chain Members:
Colleges and Universities
High Schools
Middle Schools
Elementary Schools and Pre-Schools
Families

6. Development of SCM
Pressure to increase productivity, reduce costs, and improve customer service
Increased use of outsourcing
Globalization
Increased transportation costs
Advancement in information technology
Emergence of new forms of inter-organizational relationships

7. Key Elements of SCM
Strategic Issues
Tactical Issues
Operating Issues

8. Strategic Issues Design of Supply Chain
Selection of supply chain members, locations, outsourcing decisions, etc
Strategic Alliance
Alliance conceptualization
Alliance pursuance
Alliance confirmation
Alliance implementation

9. Tactical Issues
Strategies and policies on inventories, purchasing, transportation, quality, etc.
Design of supply chain information systems
Inter-organizational information systems
Intra-organizational information system

10. What Are the Inter-Organizational Information Systems?

11. What Are the Inter-Organizational Information Systems?
Internet
Extranet
Electronic Data Interchange (EDI)
Satellite systems
SCM software systems

12. What Are the Intra-Organizational Information Systems?

13. What Are the Intra-Organizational Information Systems?
Intranet
Bar coding and scanners
RFID
Cable and wireless systems
ERP systems
Database and data warehouse systems

14. Operating Issues External supply chain process mapping and improvement
Business Process Reengineering
Benchmarking
Integrated logistics
Third-party logistics
Disintermediation
Reverse logistics

15. External Process Improvement (Michael Hammer, HBR, Sept. 2001)
Scoping
Identify the appropriate business process to redesign
Select a partner
Organizing
Establish an executive steering committee
Convene a design team

16. External Process Improvement (Michael Hammer, HBR, Sept. 2001)
Redesigning
Design the new, integrated process in a way that fulfills performance goals
Implementing
Roll out the new process
Communicate

17. Optimization of A Supply Chain
Inventory levels
Lot size
Lead time
Product variety
Customer service
Information

18. Performance Measures for SCM – SCOR (www.supply-chain.org)
Reliability
On-time delivery, order fulfillment lead time, fill rate, perfect order fulfillment
Flexibility
Supply chain response time, upside production flexibility

19. Performance Measures for SCM – SCOR (www.supply-chain.org)
Expenses
Supply chain management cost, warranty cost as a percentage of revenue, value added per employee
Asset Utilization
Total inventory days of supply, cash-to-cash cycle time, net asset turns

20. Trip-A Supply Chain (Hau Lee, HBR, Oct. 2004)
Agility – respond to short-term changes in demand or supply quickly; handle external disruptions smoothly
Promote flow of information; dependable logistics system; design for postponement
Alignment – create incentives for better performance
Equitably share risks, cost, and gain of improvement initiatives

21. Trip-A Supply Chain (Hau Lee, HBR, Oct. 2004)
Adaptability – adjust supply chain’s design to meet structural shifts in markets; modify supply network to strategies, products, and technologies
Spot new supply bases and markets; create flexible product designs; develop fresh supplies and logistics infrastructure

22. Strategies for Improving Supply Chain Performance
Determine the cost drivers and supply chain performance
Focus on the needs of the end users
Understand trade partners’ priorities
Develop a clear and focused strategy
Assemble a high-performance project team
Commit to long-term improvement

23. Software Systems for SCM
Collaborative Planning, Forecasting, and Replenishment (CPFR) - information sharing among supply chain partners
Front-end agreement
Joint business plan
Sales forecast collaboration
Order forecast collaboration
Order generation/delivery execution

24. What Are the Key Requirements for A Successful Supply Chain?

25. Requirements for A Successful Supply Chain
Share goals and interests
Trust
Information sharing
Long-term commitment
Strong individual members