SUPPLY CHAIN
MANAGEMENT
PRESENTED BY:-
1) ROLL NO: 48 , BINISHA PATEL
2) ROLL NO: 49 , ASHWINI SHEJWAL
3) ROLL NO: 50 , SHIVANI SINGH
4) ROLL NO: 53 , PRANAY PUJARI
5) ROLL NO: 56 , ROHIT DHANUKA
6) ROLL NO: 57 , RAJ JAIN
ORIGIN OF SUPPLY CHAIN
MANAGEMENT
TRADITIONAL SUPPLY CHAIN MANAGEMENT
ACTUAL FORMATION OF SUPPLY CHAIN
MANAGEMENT
INTRODUCTION
Supply chain management can be defined as
the integrated management of all the linkages
and value added activities from the supplier’s
supplier to the customer’s customer in such a
way that enhanced customer value is
achieved at lower costs
.
SUPPLY CHAIN NETWORK
FEATURES OF SUPPLY CHAIN
MANAGEMENT
 Complexity
 Two way flows
 Breaking the organizational barriers
 Sharing of sales information in real time
 Inventory visibility
 Compresses value chain
 Customer focus
 Logistics collaboration
 Flows
PARTICIPANTS OF SUPPLY CHAIN
MANAGEMENT
The participants of supply chain management are:-
 Suppliers
 Manufacturers
 Distributors
 Customers
DRIVERS OF SUPPLY CHAIN
MANAGEMENT
Driver Efficiency Responsiveness
Inventory Cost of holding Availability
Transportation Consolidation Speed
Facilities Consolidation /
Dedicated
Proximity /
Flexibility
Information What information is best suited for
each objective
FUNCTIONS AND OBJECTIVES OF
SCM
FUNCTIONS
 Procure
 Make
 Move
 Store
 Service
OBJECTIVES
 Solving supplier’s
problems
 Performance
improvement
 Reduction in pre & post
production inventory by-
i. Minimizing variance
ii. Minimum total cost
iii. Product quality
control
iv. Achieve maximum
efficiency
v. Flexible planning
IMPORTANCE OF SCM
1) Benefits to customer
2) Benefit to company
3) Service response
4) Integration of information
5) Technology assimilation
6) Workflow co-ordination
7) Synchronization
8) Trust
9) Quick response
10) Efficient customer response
VISIBLE DISTINGUISH BETWEEN
LOGISTICS AND SCM
SUPPLY CHAIN
MANAGEMENT LOGISTICS
SUPPLIE
R
MANUFACTUR
ER
CUSTOME
R
INBOUND
RM F
G
OUTBOUN
D
REVERSE
DISTINGUISH BETWEEN SCM
AND LOGISTICS
SUPPLY CHAIN
MANAGEMENT LOGISTICS
1. Meaning
2. Embodies
3. Objective
4. How this is created in
business?
5. Origin
6. Focus
7. Scope
8. Activity limitation
9. Flow
1. Meaning
2. Embodies
3. Objective
4. How this is created in
business?
5. Origin
6. Focus
7. Scope
8. Activity limitation
9. Flow
BULL WHIP EFFECT
The bull whip 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 customer demand.
EFFECTS OF BULL WHIP
EFFECT
The following are the effects of bull whip effect:-
i. Increases costs
ii. Increases the replenishment lead time
iii. Affects level of product availability
iv. Negative effect
v. Loss of customer service
CAUSES OF BULL WHIP
EFFECT
CAUSES OF BULL WHIP
EFFECT
1) Order batching
2) Shortage gaming
3) Demand forecast
inaccuracies
4) Fluctuating prices
COUNTER MEASURES
TO BULL WHIP EFFECT
1) Counter measures
for order batching
2) Counter measures
for shortage gaming
3) Counter measures
for demand forecast
inaccuracies
4) Counter measures
for fluctuating prices
GLOBAL SUPPLY CHAIN
MANAGEMENT
Its an integrated process where all business entities
such as suppliers, manufacturers, distributors &
retailers work together to plan, co-ordinate and
control materials, parts and finished goods from
suppliers to consumers. One or more of these
business entities operate in different countries.
OVERVIEW OF GLOBAL SUPPLY
CHAIN
ADVANTAGES AND CHALLENGES
OF GLOBAL SUPPLY CHAIN
MANAGEMENT
 Shared service
centers
 Lower taxes
 Larger lot size orders
 Better environment for
products
 Increase in
competition
 Different valuation of
currencies
 Different laws
 Different trading
protocols
 Lack of transparency
of cost and profit
ADVANTAGES CHALLENGES
THANKYOU

Supply chain management ppt

  • 1.
    SUPPLY CHAIN MANAGEMENT PRESENTED BY:- 1)ROLL NO: 48 , BINISHA PATEL 2) ROLL NO: 49 , ASHWINI SHEJWAL 3) ROLL NO: 50 , SHIVANI SINGH 4) ROLL NO: 53 , PRANAY PUJARI 5) ROLL NO: 56 , ROHIT DHANUKA 6) ROLL NO: 57 , RAJ JAIN
  • 2.
    ORIGIN OF SUPPLYCHAIN MANAGEMENT TRADITIONAL SUPPLY CHAIN MANAGEMENT
  • 3.
    ACTUAL FORMATION OFSUPPLY CHAIN MANAGEMENT
  • 4.
    INTRODUCTION Supply chain managementcan be defined as the integrated management of all the linkages and value added activities from the supplier’s supplier to the customer’s customer in such a way that enhanced customer value is achieved at lower costs
  • 5.
  • 6.
    FEATURES OF SUPPLYCHAIN MANAGEMENT  Complexity  Two way flows  Breaking the organizational barriers  Sharing of sales information in real time  Inventory visibility  Compresses value chain  Customer focus  Logistics collaboration  Flows
  • 7.
    PARTICIPANTS OF SUPPLYCHAIN MANAGEMENT The participants of supply chain management are:-  Suppliers  Manufacturers  Distributors  Customers
  • 8.
    DRIVERS OF SUPPLYCHAIN MANAGEMENT Driver Efficiency Responsiveness Inventory Cost of holding Availability Transportation Consolidation Speed Facilities Consolidation / Dedicated Proximity / Flexibility Information What information is best suited for each objective
  • 9.
    FUNCTIONS AND OBJECTIVESOF SCM FUNCTIONS  Procure  Make  Move  Store  Service OBJECTIVES  Solving supplier’s problems  Performance improvement  Reduction in pre & post production inventory by- i. Minimizing variance ii. Minimum total cost iii. Product quality control iv. Achieve maximum efficiency v. Flexible planning
  • 10.
    IMPORTANCE OF SCM 1)Benefits to customer 2) Benefit to company 3) Service response 4) Integration of information 5) Technology assimilation 6) Workflow co-ordination 7) Synchronization 8) Trust 9) Quick response 10) Efficient customer response
  • 11.
    VISIBLE DISTINGUISH BETWEEN LOGISTICSAND SCM SUPPLY CHAIN MANAGEMENT LOGISTICS SUPPLIE R MANUFACTUR ER CUSTOME R INBOUND RM F G OUTBOUN D REVERSE
  • 12.
    DISTINGUISH BETWEEN SCM ANDLOGISTICS SUPPLY CHAIN MANAGEMENT LOGISTICS 1. Meaning 2. Embodies 3. Objective 4. How this is created in business? 5. Origin 6. Focus 7. Scope 8. Activity limitation 9. Flow 1. Meaning 2. Embodies 3. Objective 4. How this is created in business? 5. Origin 6. Focus 7. Scope 8. Activity limitation 9. Flow
  • 13.
    BULL WHIP EFFECT Thebull whip 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 customer demand.
  • 14.
    EFFECTS OF BULLWHIP EFFECT The following are the effects of bull whip effect:- i. Increases costs ii. Increases the replenishment lead time iii. Affects level of product availability iv. Negative effect v. Loss of customer service
  • 15.
    CAUSES OF BULLWHIP EFFECT CAUSES OF BULL WHIP EFFECT 1) Order batching 2) Shortage gaming 3) Demand forecast inaccuracies 4) Fluctuating prices COUNTER MEASURES TO BULL WHIP EFFECT 1) Counter measures for order batching 2) Counter measures for shortage gaming 3) Counter measures for demand forecast inaccuracies 4) Counter measures for fluctuating prices
  • 16.
    GLOBAL SUPPLY CHAIN MANAGEMENT Itsan integrated process where all business entities such as suppliers, manufacturers, distributors & retailers work together to plan, co-ordinate and control materials, parts and finished goods from suppliers to consumers. One or more of these business entities operate in different countries.
  • 17.
    OVERVIEW OF GLOBALSUPPLY CHAIN
  • 18.
    ADVANTAGES AND CHALLENGES OFGLOBAL SUPPLY CHAIN MANAGEMENT  Shared service centers  Lower taxes  Larger lot size orders  Better environment for products  Increase in competition  Different valuation of currencies  Different laws  Different trading protocols  Lack of transparency of cost and profit ADVANTAGES CHALLENGES
  • 19.