BMGT notes from 10 25 Supply Chain Management Managing every business activity across all business disciplines from supplier to customer doesn t casue corporate difficulties saves money doesn t anger customers Logistics flow of goods materials from origin to consumption while conforming to customer requirements promotes economic development and specialization in effect increasing the variety of goods right product right time right cost right place right quality right customer right condition 2 sides inbound side materials management anticipating material requirements sourcing low cost low level of tied up capital quality assurance Most in inbound materials make up 50 TC Inbound cost goes down by 10 while sales go up 68 and labor cost goes down 36 Purhcasing procurement Describes activites associated w acquisitions purchasing materials quality management relationships internet based producrement matured a lot last 5 10 years Receiving and quality assurance Physical receipt when they show up Data obtained is vital to finance accounting marketing international Checks all deliveries Just in Time Inventory and Materials Requirement Planning JIT ww2 genius deming and Talichiohno former VP Toyota 1950 deming preaching quality 80 of Japans top business Toyota production system TPS Basics materials used until a pre arranged order point Need good supplies and data place order frequent small shipments no inventory closer running out the better if defective parts you re screwed productivity goes up quality goes up cost goes down Materials Requirement Planning analyze logistics production scheduling inventory control demand analysis and forecasting financial risk reports work in progress tracking customer success suppliers use their performance capabilities to enhance the success end customer success can create large payoffs but this is expensive and long term concession
View Full Document
Unlocking...