Lecture on SCM
-
Upload
mushtaque61 -
Category
Documents
-
view
229 -
download
0
Transcript of Lecture on SCM
-
7/30/2019 Lecture on SCM
1/31
Supply Chain Management
Lecture 15
-
7/30/2019 Lecture on SCM
2/31
Outline
Today
Simulation game results
Midterm review
Next week
Midterm Tuesday March 9
-
7/30/2019 Lecture on SCM
3/31
The Teams
Place Team End moneyAdWiJuMa
Brittany
Brown Squad
CobrasCOSTA
Do Nothing
Jafar's Crew
No use for a name
Pangeans for Outsourcing
Pole Position
Robert and Alex
Team Bison
Team Predator
Team Shinnannigans
We Want Dutch Wafers
-
7/30/2019 Lecture on SCM
4/31
The Scores
Place Team End money1 43,114,415.24
2 42,636,799.36
3 42,529,886.20
4 42,401,421.855 41,623,140.34
6 41,461,152.91
7 41,011,414.46
8 40,621,780.33
9 40,150,372.51
10 40,149,781.61
11 39,836,011.64
12 39,581,049.55
13 37,850,401.65
14 37,305,034.75
15 36,659,589.5316 35,394,768.57
Place Team End money1 43,114,415.24
2 42,636,799.36
3 42,529,886.20
4 42,401,421.855 41,623,140.34
6 41,461,152.91
7 41,011,414.46
8 40,621,780.33
9 40,150,372.51
10 40,149,781.61
11 39,836,011.64
12 39,581,049.55
13 37,850,401.65
14 37,305,034.75
15 36,659,589.5316 Do Nothing 35,394,768.57
-
7/30/2019 Lecture on SCM
5/31
COSTA
20
161616
$36,659,58915
Team Bison
40
40
$37,305,03414Jafars Crew
40 20
1016
$37,850,40113
Do Nothing
20
$35,394,76816
-
7/30/2019 Lecture on SCM
6/31
118112
16
$39,836,01111
AdWiJuMa
40 60
1516
$40,150,3729 We Want Dutch Wafers
46 37
1816
$40,149,78110
3630
16
$39,581,04912 Brittany
-
7/30/2019 Lecture on SCM
7/31
The Designs
Team Predator
4066
161616
$40,621,7808No use for a name
4650
161616
$41,011,4147
Robert and Alex
45 60
201610
$41,461,1526Team Shinnannigans
40 60
151516
$41,623,1405
-
7/30/2019 Lecture on SCM
8/31
Brown Squad
56 53
$42,401,4214Pole Position
55 100
16
$42,636,7992
Cobras
7172
16
$43,114,4151 Pangeans for Outsourcing
6595
$42,529,8863
-
7/30/2019 Lecture on SCM
9/31
The Results
Place Team End money1 Cobras 43,114,415.24
2 Pole Position 42,636,799.36
3 Pangeans for Outsourcing 42,529,886.20
4 Brown Squad 42,401,421.855 Team Shinnannigans 41,623,140.34
6 Robert and Alex 41,461,152.91
7 No use for a name 41,011,414.46
8 Team Predator 40,621,780.33
9 AdWiJuMa 40,150,372.51
10 We Want Dutch Wafers 40,149,781.61
11 39,836,011.64
12 Brittany 39,581,049.55
13 Jafar's Crew 37,850,401.65
14 Team Bison 37,305,034.75
15 COSTA 36,659,589.5316 Do Nothing 35,394,768.57
-
7/30/2019 Lecture on SCM
10/31
Midterm
Questions? Stop by
Friday March 5
Monday March 8
-
7/30/2019 Lecture on SCM
11/31
Midterm
Chapter 1
Sections 1, 2, 3, 4, 5
Skipping
Section 1.5: Supply chain macro processes in a firm Important concepts
Supply chain
Supply chain surplus
3 decision phases in a supply chain
Cycle view 4 process cycles
Push/pull view
-
7/30/2019 Lecture on SCM
12/31
Supply Chain Stages
A typical supply chain may involve a variety of
stages
Manufacturer Distributor Retailer CustomerSupplier
Most supply chains are actually supply networks
Q1
-
7/30/2019 Lecture on SCM
13/31
Midterm
Chapter 2
Sections 1, 2, 3, (4e: also 4)
Important concepts
Competitive strategy Supply chain strategy
Strategic fit
How is strategic fit achieved
Implied demand uncertainty
Responsiveness/efficiency Issues affecting strategic fit
Scopes of strategic fit
Obstacles to achieving strategic fit (3e: Chapter 3 section 9)
-
7/30/2019 Lecture on SCM
14/31
What is Competitive Strategy?
Competitive strategy
Defines, relative to competitors, a companys set of
customer needs that it seeks to satisfy through its
products and services Wal-Mart
Everyday low prices (low cost retailer for a wide variety of products)
Coors
The coldest tasting beer in the world, brewed with Rocky Mountainspring water
Dell
Custom-made computer systems at a reasonable cost
How do you execute your competitive strategy?
Q2
-
7/30/2019 Lecture on SCM
15/31
Midterm
Chapter 3
Sections 1, 3, 4, 5, 6, 7, 8, (3e: also 9)
Hint
Sections 3 through 9 focus at:: Role in the competitive strategy, andOverall trade-off
Skipping
Sections 3 though 9: Information-related metrics
Important concepts
6 drivers of supply chain performance
Facilities
Inventory
Transportation
Information
Sourcing
Pricing
-
7/30/2019 Lecture on SCM
16/31
From Strategy to Decisions
Corporate Strategy
Competitive Strategy
Supply Chain Strategy
Responsiveness Efficiency
Facilities Inventory Transportation Information Sourcing Pricing
Logistical drivers Cross functional drivers
Q3
-
7/30/2019 Lecture on SCM
17/31
Midterm
Chapter 4
Sections 1, 2, 3
Important concepts
Distribution Factors influencing network design
Customer service components
Relationship between number of facilities and response time
Relationship between number of facilities and cost
6 distribution network design options Relative performance (advantages/disadvantages)
-
7/30/2019 Lecture on SCM
18/31
Transportation Cost and Number of
Facilities
Number of
Facilities
Transportation
Costs
Q4
-
7/30/2019 Lecture on SCM
19/31
Design Options For a Distribution
Network
Retailer
Manufacturers
Consumers
RetailerMergers
Consumers
Manufacturers
Distributor
Warehouse
Manufacturers
Consumers
Distributor
Warehouse
Distributor
Warehouse
Manufacturers
Consumers
Distributor
Warehouse
Distributor
Warehouse
Manufacturers
Consumers
Distributor
Warehouse
Retailer
Consumers
RetailerRetailer
Distributor
Warehouse
Manufacturers
Distributor
Warehouse
Q5
-
7/30/2019 Lecture on SCM
20/31
Midterm
Chapter 5
Sections 1, 2
Skipping
Section 5.2: Locating to split the market Important concepts
4 classifications of network design decisions
8 factors influencing network design decisions
6 facility strategic roles
Positive externalities
-
7/30/2019 Lecture on SCM
21/31
Factors Influencing Network Design
Decisions
Strategic factors
Global
Customers
Offshore
Many Asian plants
Source
Nike plants in Korea
Regional
Customers
Server
Suzikis Indian venture
Maruti
Contributor
Maruti
LeadLockheed Martins JSF in Dallas
OutpostDell in Ireland
Strategic role
Q6
-
7/30/2019 Lecture on SCM
22/31
Factors Influencing Network Design
Decisions
Macroeconomic factors
Quotas, tariffs, and tax incentives
Economic trade agreements: Nafta, EU,APTA, AFTZ
Exchange rate and demand risk Different states or countries often offer economic incentives to
companies that decide to set up shop there, including tax
incentives and low-interest economic development loans
How can trade agreements influence the numberof facilities in a supply chain?
Q7
-
7/30/2019 Lecture on SCM
23/31
Factors Influencing Network Design
Decisions
Political factors
Political stability
Infrastructure factors
Availability of transportation terminals, labor Most of Amazons distribution centers are located near airports
Competitive factors
Positive externalities (many stores in a mall makes it more
convenient for customers one location for everything thecustomers need)
Q7
-
7/30/2019 Lecture on SCM
24/31
Midterm
Chapter 6
Sections 1, (3e: 2), 3, 4, (4e: 5), (3e: 6)
Important concepts
Discounted cash flow Net present value
Decision tree
Calculating NPV
Calculating NPV using decision trees
Risk management and network design
-
7/30/2019 Lecture on SCM
25/31
Midterm
Chapter 7
Sections 1, 2, 3, 4, 5, 6
Important concepts
Factors influencing demand forecast 4 characteristics of forecasts
4 forecast types
Static and adaptive
Static method, moving average, exponential smoothing, Holt'smethod
Calculating forecasts
Forecast errors
Calculating forecast errors
-
7/30/2019 Lecture on SCM
26/31
Types of Forecasts
Qualitative
Primarily subjective, rely on judgment and opinion
Time series Use historical demand only
Causal
Use the relationship between demand and some
other factor to develop forecast
Simulation
Imitate consumer choices that give rise to demand
Q8
-
7/30/2019 Lecture on SCM
27/31
Midterm
Chapter 8
Sections 1, 2, 3
Important concepts
Aggregate planning Operational parameters
Aggregate planning strategies
-
7/30/2019 Lecture on SCM
28/31
Aggregate Planning Strategies
Basic strategies Level strategy (using inventory as lever)
Synchronize production rate with long term average demand
Swim wear
Chase (the demand) strategy (using capacity as lever) Synchronize production rate with demand
Fast food restaurants
Time flexibility strategy (using utilization as lever) High levels excess (machine and/or workforce) capacity
Machine shops, army
Tailored strategy Combination of the chase, level, and time flexibility strategies
Q9
-
7/30/2019 Lecture on SCM
29/31
Midterm
Chapter 9
Sections 1, 2, 3
Hint
Section 3 focus at Impact of promotion on demand (market growth,
stealing share, and forward buying), and impact on promotion timing
Important concepts
Responding to predictable variability
Managing supply
Managing demand
3 reasons for increase in demand due to promotion Impact on promotion timing
-
7/30/2019 Lecture on SCM
30/31
Managing Demand
Pricing and other forms of promotion
Timing of promotion is important
Demand increases from promotion can result from a
combination of three factors: Market growth (increased sales, increased market size)
Increase in consumption from both new and existing customers
Example: Toyota Camry attracting buyers who were consideringlower-end models
Stealing share (increased sales, same market size)
Product substitution (overall demand stays the same)
Example: Toyota Camry attracting buyers who were consideringHonda Accord
Forward buying (same sales, same market size)
Customers move up purchases (does not increase sales)
Q10
-
7/30/2019 Lecture on SCM
31/31
Midterm Formula Sheet