Strategic Supply Chain Management
SCM 607
Introduction to Supply Chain Management
Principles of Supply Chain Management: A balanced Approach 6e
Wisner-Tan-Leong
https://studylib.net/doc/27295795/principles-supply-chain-management-6th
February 1, 2025
SCM 607 - AJQ
1
Top 5 Supply Chains 2020
1.
Cisco
• Uses security as a foundation
• significant performance…order lead-time, cost savings and inventory reduction, while launching many new
products.
2.
Colgate-Palmolive
• TRUE Zero Waste
3.
Johnson & Johnson’s
• Supply Chain Innovation Engine
4.
Schneider Electric
• Developed the Internet of Things
5.
Nestlé
• Demand-sensing technologies and integrating processes with key customers
February 1, 2025
SCM 607 - AJQ
2
Introduction to Supply Chain Management
• Supply Chain Management Defined: Introduction & definitions
• Generic Supply Chain explanation
• SCM Definitions from; CSCMP, ISM, APICS
• Vertical integrated firms vs. independent firms
• Importance of SCM: Key benefits & impacts on business
• Purchasing & inventory costs can be quite sizable for firms… cost savings can
be realized… no 1 focus area
• Integrating activities for planning process…
• Bullwhip effect
February 1, 2025
SCM 607 - AJQ
3
The Council of Supply Chain Management Professionals (CSCMP)
defines SCM as:
“The planning and management of all activities involved in sourcing
and procurement, conversion, and all logistics management activities.
Importantly, it also includes coordination and collaboration with channel
partners, which can be suppliers, intermediaries, third-party service
providers, and customers.”
February 1, 2025
SCM 607 - AJQ
4
The Institute for Supply Management (ISM) describes supply chain
management
as:
“The design and management of seamless, value-added processes across
organizational boundaries to meet the real needs of the end customer”
February 1, 2025
SCM 607 - AJQ
5
The Business Dictionary defines supply chain management as:
“Management of material and information flow in a supply chain to
provide the highest degree of customer satisfaction at the lowest
possible cost. Supply chain management requires the commitment of
supply chain partners to work closely to coordinate order generation,
order taking, and order fulfillment”
February 1, 2025
SCM 607 - AJQ
6
Introduction to Supply Chain Management
• The foundations of SCM: Fundamental principals and framework
• Supply, Operations, Logistics & Integration
• Supply Elements: Overview of procurement & sourcing
• Traditional purchasing strategies
• Supply Management… SRM
• Strategic partnership
• Ethical and sustainable sourcing
• Operations Elements: The role of operations in SCM
• Demand management
• Material requirement planning & RFID
• Enterprise resource planning, lean production, six sigma
February 1, 2025
SCM 607 - AJQ
7
Introduction to Supply Chain Management
• Logistics Elements: Transportation, warehousing & distribution in
SCM
• Trade-offs between cost and delivery timing
• 3PL
• Distribution network, Global supply chain….flexible
• Integration Elements: Combining functions to create an efficient SC
• SC Process integration
• Analytics plays a big part in the planning process
• Supply Chain performance measurement
February 1, 2025
SCM 607 - AJQ
8
Introduction to Supply Chain Management
• Current Trends in Supply Chain Management
• Use of Supply Chain Analytics
• Improving Supply Chain Sustainability
• Increasing Supply Chain Visibility
February 1, 2025
SCM 607 - AJQ
9
Next Class
Pre Reading
Principles of Supply Chain Management: A balanced Approach
Chapter 2
Purchasing Management
February 1, 2025
SCM 607 - AJQ
10