10 22 Notes Chapter 13 Supply Chain Management Internal integration management practices that reflect a highly coordinated effort between supply chain firms or across business functions Demand supply integration DSI External supply chain integration Relationship integration ability of 2 or more companies to develop social connections that serve to guide their interactions Measurement Integration the performance assessment of the supply chain as a whole that also holds each individual firm or business unit accountable for meeting its own goals Tech and planning integration creation and maintenance of info technology systems that connect and through the firms Material and service supplier to link seamlessly to those outsiders that provide goods and services to them so that they can streamline processes Customer integration enables firms to offer long lasting distinctive value added offerings to those customers who represent the greatest value to the firm or supply chain Integration how excellent supply chain management works Management processes the objects in which firms departments and people work together Key processes of Supply Chain Management 1 Customer relationship management Companies prioritize their marketing focus on different customer groups according to each groups long term value 2 Customer service management Response system to the customer whenever complaints questions concerns are voiced 3 Demand management 4 5 6 7 8 Aligns supply and demand throughout the supply chain by anticipating customer requirements at each level and create plans in anticipation to customer purchasing behavior Order fulfillment Ensure that orders are processed on time and properly Manufacturing flow management Ensuring that firms in supply chain have the needed resources to manufacture with flexibility and to move products through a multistage production process Supplier relationship management Supports manufacturing flow by identifying and maintaining relationships with highly valued suppliers Product development and commercialization Includes the group activities that facilitates the joint development and marketing of new offerings among a group of supply chain partner firms Returns management Enables firms to management volumes of returned product efficiently while minimizing returns related costs and maximizing the value of the returned assets to the firms in the supply chain Logistical components of supply chain Supply management reduce the costs of raw materials and supplies Inventory control maintaining an adequate assortment of inventory Order processing system whereby orders are entered into the supply chain and filled Production scheduling focus and strategies regarding to production Warehousing and materials handling moving inventory into within and out of