SCM Metrics -Presentation 2 By K. Sashi Rao Management Consultant.
SCM Combined Presentation
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Transcript of SCM Combined Presentation
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ROLE OF INFORMATION TECHNOLOGYROLE OF INFORMATION TECHNOLOGY
OPERATIONS LOGISTICS
PUCHASE CRM
IT
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INFORMATION TECHNOLOGY
CERTAIN TECHNIQUES AMULS SUCCESS
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AMCUS
EIAS
DISKERP E-COM
BAR
CODING RFID
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CLASSIFICATION OF SUPPLY CHAIN
PERFORMANCE MEASURES
yQualitative
yQuantitative
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VARIOUS FRAMEWORKS FOR MEASUREMENTVARIOUS FRAMEWORKS FOR MEASUREMENT
Framework 1: Function based measurement system
Framework 2: Dimensions based measurement
system
Framework3: Hierarchical measurement system
Framework 4: Balanced scorecard system
Framework 5:SCOR model
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VisionWhat we want to be
CoreValues
What we believe in
Mission
Why we exist
StrategyOur game plan
Balanced ScorecardImplementation and Focus
Strategic InitiativesWhat we need to do
Personal ObjectivesWhat I need to do
Strategic Planning
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Customer Perspective
ObjectivesMeasures Targets
Internal Business Innovation and LearningObjectivesMeasures Targets ObjectivesMeasures Targets
Financial PerspectiveObjectivesMeasures Targets
How do our
customers see
us?
How do we look
to
stakeholders?
What must
we excel at?
How can we
continue to
improve and
create value?
Visionand
Strategy
How do customer see
us?
How can we
continue to
improve and
create value
What must we
excel at?
How do we Look
to shareholder?
Four Perspectives
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Supplier
Plan
CustomerCustomers
CustomerSuppliers
Supplier
MakeDeliverSource Make DeliverMakeSourceDeliver SourceDeliver
Internal or External Internal or External
Your Company
Source
SCOR IS STRUCTURED AROUND DISTINCT
MANAGEMENT PROCESSES
SCOR ModelSCOR Model
Return Return ReturnReturn Return Return
Return Return
Building Block Approach
Processes Metrics
Best Practice Technology
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SUSTAINABLE SUPPLY CHAIN MANAGEMENTSUSTAINABLE SUPPLY CHAIN MANAGEMENT
Sustainable Supply Chain
The Up Stream Supply Chain
Internal Operations: Logistics
Product Development and Stewardship
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BULLWHIPBULLWHIPEFFECTEFFECT
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Lead Time of Information and Material
is the Primary Cause of
Bull whip Effect
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BULLWHIP EFFECT : PICTORIAL REPRESENTATION
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FACTORS CONTRIBUTING TOFACTORS CONTRIBUTING TOBULLWHIP EFFECTBULLWHIP EFFECT
RESULTS OF BULLWHIP EFFECTRESULTS OF BULLWHIP EFFECT
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DemandForecastUpdating
OrderBatching
PriceFluctuation
Lead timeVariability
ExcessInventories
Problems withQuality
Unnecessaryadjustedcapacity
Lost customer
service
RESULTS
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VENDOR MANAGED INVENTORY (VMI)
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Byproviding improved supply and demand information
visibility via centralized control, VMI can specifically..
Reduce the impact of the following sources of the
bullwhip effect:
Price variation
customers over-ordering due to stock shortages
(i.e. Houlihan effect)
Demand signal processing (i.e. Forrester effect)
Order batching(i.e. Burbidge effect)17
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Concept of JIT approach.
Problem of Right sequence/order.
Carbon emission.
SCM ISSUESSCM ISSUES
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IMPORTANCE OFIMPORTANCE OF
GREENGREENORGANIZATIONSORGANIZATIONS
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REVERSE LOGISTICS
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STRATEGIC ALLIANCESTRATEGIC ALLIANCE
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Do the right things, right the first time,
every Time
TOTAL QUALITY MANAGEMENT
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TQM FOCUSTQM FOCUS......
100%customersatisfaction
ContinuousImprovement
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THANK YOU