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TUTORIAL SUPPLY REQUIREMENT (the key issues in supple chain?…
TUTORIAL SUPPLY
REQUIREMENT
the key issues in supple chain?
Configuration of distribution network
inventory control
Info technology
Supply Contract
Customer Value
Product design
Distribution strategy
Supply Chain integration
DECISION LEVEL
Operational level - concern day to day management activities such as scheduling/ routing, lead time quotations and vehicle loading.
Tactical level - concern with purchasing and production functions, inventory policies and transportation strategies including the frequency with with customers are invited. The decision usually updated on an annual basis.
Strategic level - is made with long term objectives and with long lasting effects. This include decision regarding location of various facilities, including the manufacture plant, distribution warehouses and the structure of the distribution channel.
Bullwhip effect
The bullwhip impact can be clarified as an event recognized by the inventory network where orders sent to the maker and provider make bigger change then the deals to the end client. These unpredictable requests in the lower some portion of the production network create to be more particular higher up in the inventory network. This change can intrude on the smoothness of the store network prepare as each connection in the inventory network will over or think little of the item request bringing about overstated variances.
DRIVERS OF RISK IN SUPPLY REQUIREMENT
Disruptions - Natural Disaster
Delays - inflexibility of supply source
System - extensive system networking
Forecast - Info distortation
BULLWHIP EFFECT GOOD/BAD
Lost sales
BAD - Unnecessary adjusted capacity
increase raw material cost