Supply Chain Management
World Class Performance
World Class
• The amount of production/service capacity to
provide
• How this capacity should be broken up into
specific production facilities(how they should be
specialized and where located)
• What kind of equipment and systems to provide
those facilities with
• Which materials, systems and services should be
produced internally and which should be
outsourced
World Class
• Have workers so skilled and effective competitors
are continually trying to attract them away
• Equipment suppliers are continually seeking your
advice about modifications, suggestions for new
equipment
• More nimble in getting new products faster into the
marketplace
• Integrate design of product and process so well that
competitors can’t copy without major retooling and
redesign expense
• Continually improve facilities and support systems
World Class
• Human resource policies and practices
• Quality assurance and control systems
• Production planning and inventory control
systems
• New product development process
• Performance measurement and reward
systems
• Organizational structure and design
Tools of SCM Strategy
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Asset management
Postponement
Time compression
Flexibility
– Product
– Volume
– Mix
• Information