1. Supply Chain 101 – July 2010

2. What is the Supply Chain?
Canada’s supply chain is the planning, procuring, handling, managing, engineering and enabling of the movement of goods and services across Canada and around the world
What is the Supply Chain?
USE OF THIS SLIDE: Broad definition of SC & Delineation of the two key facets - SC and SCM
RATIONALE FOR THIS SLIDE:
Range of perceptions abound re: what supply chain is and isn’t.
This is a relatively new area that has grown from shipping and receiving to transportation and logistics to the modern definition. Note also that this is a sector in constant evolution and that supply chain is growing to be more pervasive in ALL facets of business, especially in planning and analysis
SLIDE TEXT:
Canada’s supply chain is the planning, engineering, procuring, handling and managing of the movement of goods and services across Canada and around the world
Supply chain management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. This also includes coordination and collaboration with channel partners including suppliers, intermediaries, third-party service providers, and customers
Supply chain management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. This also includes coordination and collaboration with channel partners including suppliers, intermediaries, third-party service providers, and customers

3. What is the Impact of the Supply Chain?
In 2007, Canadian goods exports amounted to $450.3 billion while Canadian goods imports totalled $406.7 billion.
86% of Canada's merchandise exports are destined to the United States and approximately US $475 billion of goods cross each year between the two countries
SC activities include all manufacturers, wholesalers and retailers representing 29 percent of total Canadian GDP
The industry generates $50 billion revenues and $75 billion in additional activity is done in-house across sectors. 
Most Best-in-Class (BiC)* businesses leverage supply chain to increase distribution efficiency and service differentiation while reducing distribution cost
What is the Impact of the Supply Chain?
USE OF THIS SLIDE: Give a sense that Supply Chain has a pivotal role in business success
Give statistics (provided by Industry Canada and by CSCSC) that position supply chain’s impact
RATIONALE FOR THIS SLIDE: Some audiences will need to be reminded that SC is, again, not just a business adjunct, but a business essential that is key to Canada’s GDP
SOURCES: State of Logistics: The Canadian Report 2008; Industry Canada
Green Supply Chain Management: Logistics and Transportation Services; A Canadian Perspective; Industry Canada, 2008
Logistics/Supply Chain Management:
NOTE TO TRAINERS/PRESENTERS
Try and find one or two anecdotes relating to the impact supply chain can have. For instance:
A major courier chose to take as many left turns as possible out of its urban route scheduling, reducing accidents, late arrivals, and driver stress, and increasing fuel efficiency, tire and brake life
Wal-mart has saved tens of millions of dollars by insisting on reduced packaging sizes for merchandise, increasing efficiency and reducing costs through increased volume of merchandise in smaller loads
SLIDE TEXT
In 2007, Canadian goods exports amounted to $450.3 billion while Canadian goods imports totalled $406.7 billion.
86% of Canada's merchandise exports are destined to the United States and approximately US $475 billion of goods cross each year between the two countries
SC activities include all manufacturers, wholesalers and retailers representing 29 percent of total Canadian GDP
The industry generates $50 billion revenues and $75 billion in additional activity is done in-house across sectors. 
Most Best-in-Class (BiC)* businesses leverage supply chain to increase distribution efficiency and service differentiation while reducing distribution cost

4. Why is Supply Chain Important?
Enterprises that deploy supply chain integration and supplier relationship management technology have seen a 15% to 40% increase in quality and time-to-market over competitors that fail to make these investments
Why is Supply Chain Important?
USE OF THIS SLIDE: Use to reinforce the value of SC integration into business process
RATIONALE FOR THIS SLIDE: Audiences will need to know that there is a profit and quality relationship when SC is integrated
NOTE TO TRAINERS/PRESENTERS
You may wish to poll audience on what might happen if even one part of supply chain were to break down: prompt with things like this:
No fresh food in grocery stores; spoiled food stuck at various points along the chain
Electricity and water and gas supply interrupted (yes, these are part of the supply chain)
SLIDE TEXT:
Enterprises that deploy supply chain integration and supplier relationship management technology have seen a 15% to 40% increase in quality and time-to-market over competitors that fail to make these investments
The extent to which firms are integrated into global value chains and the efficiency and effectiveness of their product distribution and associated services are key determinants of competitiveness. Incremental competitiveness advantage is now achieved when supply chain players are synchronized
The extent to which firms are integrated into global value chains and the efficiency and effectiveness of their product distribution and associated services are key determinants of competitiveness. Incremental competitiveness advantage is now achieved when supply chain players are synchronized

5. Why is Supply Chain Important? (2)
Supply Chain Management is now becoming a key industrial sector as well as an enabler for innovation, competitiveness and commercialization of technology and processes across all industrial sectors
There has been a 60% growth in investment in new distribution facilities in Canada since 2001.
Within Supply Chain, logistics service providers GDP is expected to increase by 40% between 2007 and 2015, reaching 56 billion CAD
Why is Supply Chain Important? (2)
Supply Chain Management is now becoming a key industrial sector as well as an enabler for innovation, competitiveness and commercialization of technology and processes across all industrial sectors
There has been a 60% growth in investment in new distribution facilities in Canada since 2001.
Within Supply Chain, logistics service providers GDP is expected to increase by 40% between 2007 and 2015, reaching 56 billion CAD

6. What is the Canadian Supply Chain Sector Council?
CSCSC delivers a range of products and services designed to enhance excellence in the chain’s ability to recruit, retain, and train
One of 30+ organizations that are part of the HRSDC-funded Sector Council program
Different from trade and professional associations, the Council’s primary focus is on increasing capacity and competence of the human resources of the supply chain sector
What is the Canadian Supply Chain Sector Council?
USE OF THIS SLIDE: Introduces CSCSC and the Sector Council program
RATIONALE FOR THIS SLIDE: It is important to clearly state what the Council is and does.
NOTE TO TRAINERS/PRESENTERS
Don’t forget to mention that it is a non-profit organization with a volunteer BoD and that all CSCSC’s work includes industry input. Take a moment and mention a few of the key programs:
Accreditation
National Occupational Standards
LMI Portal
Virtual HR Department
Skills Upgrading
Certification
SLIDE TEXT:
CSCSC delivers a range of products and services designed to enhance excellence in the chain’s ability to recruit, retain, and train
One of 30+ organizations that are part of the HRSDC-funded Sector Council program
Different from trade and professional associations, the Council’s primary focus is on increasing capacity and competence of the human resources of the supply chain sector

7. Who Are The People of Canada’s Supply Chain?
Over 744,000 employees in seven sub-sectors:
Logistics Management
Logistics Information Systems
Warehousing
Transportation
Inventory and Material Control
Purchasing
Marketing and sales
Who Are The People of Canada’s Supply Chain?
USE OF THIS SLIDE: First of a set of two slides: this one breaks down SC into its components; the next slide introduces occupations
RATIONALE FOR THIS SLIDE: Many audiences will not be aware how many different areas are actually considered part of supply chain and supply chain management
This slide also helps get your audience closer to the notion of almost 3/4 of a million people in SC in Canada
SLIDE TEXT:
Over 744,000 employees in seven sub-sectors:
Logistics Management
Logistics Information Systems
Warehousing
Transportation
Inventory and Material Control
Purchasing
Marketing and sales

8. What are the Occupations of Supply Chain?
Literally hundreds of jobs and careers in Supply Chain in managerial, tactical, and operational areas, including:
Operational: Storekeepers, parts clerks, long shore workers, shippers and receivers, drivers and equipment operators, material handlers, packagers,
Tactical: Manufacturing and industrial engineering technologists/technicians, database analysts, web developers, transportation route and crew schedulers, brokers, dispatchers, purchasing agents/officers, buyers in retail and wholesale
Managerial: Supervisors and managers of teams and organizations in a wide variety of applications, from operations of facilities to supervision of systems in all seven sub-sectors
What are the Occupations of Supply Chain?
USE OF THIS SLIDE: Introduces the various occupations within SC
RATIONALE FOR THIS SLIDE:
Once again, your audiences may not be aware how many different trades and occupations are actually included as part of supply chain and supply chain management
This slide also helps get your audience closer to the notion of almost 3/4 of a million people in SC in Canada
The slide also reinforces that there is a real “continuum of opportunity” from casual, unskilled labour to high-level professions like engineering
SLIDE TEXT:
Literally hundreds of jobs and careers in Supply Chain in managerial, tactical, and operational areas, including:
Operational: Storekeepers, parts clerks, long shore workers, shippers and receivers, drivers and equipment operators, material handlers, packagers,
Tactical: Manufacturing and industrial engineering technologists/technicians, database analysts, web developers, transportation route and crew schedulers, brokers, dispatchers, purchasing agents/officers, buyers in retail and wholesale, business analysts, engineers
Managerial: Supervisors and managers of teams and organizations in a wide variety of applications, from operations of facilities to supervision of systems in all seven sub-sectors

9. What’s in Supply Chain’s Future?
The high cost of energy will be a key driver for implementing Green Supply Chain Management practices, including multi-modal transportation, energy/waste reduction, reduced packaging
More and more highly advanced processes and technologies — both at the corporate level and within their distribution centres and transportation operations
Internet-based systems facilitate inventory management and organize delivery to customers and from suppliers
What’s in Supply Chain’s Future?
USE OF THIS SLIDE: These two slides show the challenges that SC faces
RATIONALE FOR THIS SLIDE: Helps reinforce the fact that SC is a dynamic sector
SOURCES:
State of Logistics: The Canadian Report 2008; Industry Canada
Green Supply Chain Management: Logistics and Transportation Services; A Canadian Perspective; Industry Canada, 2008
SLIDE TEXT:
The high cost of energy will be a key driver for implementing Green Supply Chain Management practices, including multi-modal transportation, energy/waste reduction, reduced packaging
More and more highly advanced processes and technologies — both at the corporate level and within their distribution centres and transportation operations
Internet-based systems facilitate inventory management and organize delivery to customers and from suppliers

10. What’s in Supply Chain’s Future? (2)
Advanced technologies, e.g. item-level traceability and supply chain visibility which will allow fast response to governmental requirements like anti-terrorism acts and food and drug regulations, product recall and public safety
Increased focus on reverse logistics (disposal or recycling at product end of life)
Need for flexibility: unplanned events (like the Iceland volcanic eruption) will have a significant impact on the Supply Chain, challenging SC managers to find creative solutions. Other examples include political/economic change in global trading patterns, currency fluctuations, continued increases in fuel prices, increased demand for lightened carbon footprint, and trade legislation
What’s in Supply Chain’s Future? (2)
Advanced technologies, e.g.
Item-level traceability and supply chain visibility which will allow fast response to governmental requirements like anti-terrorism acts and food and drug regulations, product recall and public safety
Increased focus on reverse logistics (disposal or recycling at product end of life)
Need for flexibility: unplanned events (like the Iceland volcanic eruption) will have a significant impact on the Supply Chain, challenging SC managers to find creative solutions. Other examples include political/economic change in global trading patterns, currency fluctuations, continued increases in fuel prices, increased demand for lightened carbon footprint, and trade legislation