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Chapters 1-4 IET - Coggle Diagram

- - - - More facilities = (increased inventory and facility costs) + (Decreased transportation and reduces response time)
        Increased flexibility or capacity = (Increase in facility costs) + (decreased inventory costs and response time)
      - Capacity: Ability to perform its intended function or functions
        Excess: more responsive (costly)
        Little excess: more efficient (less responsive)
        Demand Allocation: Markets facilities will serve (change is volatile)
    - - Increased inventory = supply chain more responsive (higher cost)
        
        -Flow time (I)
        -Throughput: the rate which sales occur (T)
        Demand (D)
        Equation for littles law
        I=DT
        
        Cycle inventory: Average about of inventory used to satisfy demand between supplier shipments
        Safety Inventory: Inventory Held in case demand exceeds expectations
        Seasonal Inventory: Inventory built up to counter predictable variability in demand.
        Level of Product Availability: the fraction of demand that is served on time from product held in inventory (trade off - customer service and cost)
    - - Moves inventory between stags in the supply chain
        
        Fast transportation = more responsiveness / lower efficiency
        Transportation allows a firm to adjust the location of its facilities and inventory to find the right balance between responsiveness and efficiency.
        Different modes of transportation, location, and routes
        Responsiveness versus Efficiency:
        Using fast modes of transport raises responsiveness and transportation cost but lowers the inventory holding cost
  - - - Components of information Decisions:
        
        Demand Planning: looking to the future
        
        Coordination and Information Sharing: coordinating among the supply chain in order to make supply chain components more profitable.
        Sales and Operations Planning: Used to plan supply chain needs and project revenues and profits
    - - Sourcing decisions:
        
        Supplier selection
        
        Procurement
        
        In-House or Outsource