2. What is Supply Chain Management (SCM)?
According to the Council of SCM Professionals
definition:
SCM encompasses the planning & management of all
activities involved in sourcing and procurement,
conversion, and all logistics management activities.
Importantly, it also includes coordination and
collaboration with channel partners including suppliers,
intermediaries, third-party service provides, and
customers. In essence, SCM integrates supply and
demand management within and across companies.
4. Global Supply Chain Management
Activities
The activities involved in Supply chain are
i. Purchasing
ii. Manufacturing
iii. Logistics
iv. Distribution
v. Transportation and
vi. Marketing
6. Drivers of Supply Chain Fit
Efficiency
Responsiveness
Supply Chain Structure
Inventory
Transportation
Drivers
Facilities
Information
7. Bullwhip Effect
The Bullwhip Effect (or Whiplash Effect) is an observed phenomenon in forecast-driven
distribution channels. It refers to a trend of larger and larger swings in inventory in response to
changes in demand, as one looks at firms further back in the supply chain for a product.
8. International Logistics
Logistics Management is that part of Supply Chain
Management that plans, implements, and controls the
efficient, effective forward and reverse flow and storage of
goods, services and related information between the point of
origin and the point of consumption in order to meet
customers' requirements.
9. Three Concepts of Business
Logistics
Systems Concept
Total Cost Concept
Trade-off Concept
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Demand forecasting
Purchasing
Requirement planning
Production planning
Manufacturing inventory
Warehousing
Material handling
Industrial packaging
Finished goods inventory
Distribution planning
Order processing
Transportation
Customer service
Strategic planning
Information technology
Marketing
Sales
Materials
management
Logistics
management
Supply
chain
mgmt
Physical
distribution
Components of Global Logistics