SUPPLY CHAIN REVIEW
Leadtime = l : the time from when the customer places the order to when the goods are
received. (for the seller)
Order cycle time= the time from when the customer places the order to when the goods
are received (for the buyer).
Cash to cash cycle: the money cycle.
SKU: stock keep unit (for example, stock by shoe size, color, etc.)
QUESTION
ANSWE
R
SUPPLY CHAIN OVERVIEW
What is a 3-line management
chain?
Is
supply
chain
management
the
management
of
relationships
between
suppliers?
No ?
2 main activities in
logistics
What is input management?
What is output management?
Components involved in the
supply chain
- Pine stream believe
- Product Line Products
- Line of wealth main
Must to
- Luck load
- Store goods chemistry
Material management from supplier to manufacturer
Distributing products from the producer to the end consumer
together
- Carrier application
- Distributor mix
- Manufacturer export
- Sell wholesale
- Sell odd
- Guest row
Page | 1
Objectives of supply chain
management
(responsibility)
Satisfying customers through 7 factors (parameters)
- Right customer row
- Right product Products
- Right number quantity
- Right condition
- Right place point
- Right on time time
Page | 2
Difference
between
consumer and customer
Evaluate effective
management?
-
Reasonable cost physical
The consumer (consumer) is the final participant along the
chain of activities of the logistics industry, they use goods
and services for end-consumption together.
- Customers (customers) are people who directly buy
products from companies, so they may not be consumers the
last in the chain of activities of branch.
Enterprises may not need to know the final consumer but
should always keep
Good communication with customers who buy their products.
There are 5 targets
1. Order cycle time = leadtime
- There are 4 basic operations (these activities occur from the
time of placing the order to the time of receiving the
customer's goods) )
Place of order↔ Ordering gift↔Preparing order↔Shipping order
Basic production line
Basic information flow.
Ordering Process: Receiving an order, this process includes:
Check guest card row
Rotate information to record sales
Send orders to production, inventory, shipping
transfer.
Prepare shipping documents transfer.
Order preparation: Preparation time is often a bottleneck
within the order cycle.
Shipping orders: shipping time from start ..... slides
2. Product availability (manufacturable) is a fundamental factor
in measuring the effectiveness of logistics and supply chain
management. It is necessary to create a high degree of
product substitutability so that higher product availability can
be ensured.
- Have enough items when customers need k?
- Have enough quantity when customers need k?
3. Logistic quick response: there are 2 forms
- People sell yes can thing correction job bow application
belong to surname for yes can
Page | 3
Meet the different requirements of different buyers.
- And how can sellers respond to sudden changes in consumer
demand? buying.
Measure:
- Ability to respond to changes in fortunes transfer
- Ability to respond to changes in product export
4. Logistic information system
- Accurate and timely information reduce inventory, improve
cash flow for supply chain partners response.
- Accurate and timely information must be guaranteed in
throughout the process: before the transaction, the
transaction, after the delivery Translate.
Metrics: accurate forecasts, honest data
5. Logistic after-sales support.
- Manage returned products from customers measure :
product return time Products
- Product support through shipping and installation of Ruler
spare parts measure: real presently put row, row exist
warehouse available yes, order
cycle time.
- Matter quantity
Supplier selection criteria
- Uy credit
- Power force
- Quality expected would like
- Financial: stability, price chief.
There are 4 models:
E-commerce models (e- Sell side system: the seller maintains the
commerce-models)
system System Example: Dell
- Buy side system: buyers are those who buy a lot, in large
quantities, evenly regularly.
Example: government Australia
- E-market place : 3rd party maintain
system System Example: Amazon.com
- Online trading community: 3rd party maintains the system
system
For forecasting, it is necessary
- Data old
to rely on
- Market Research school
- Demand according to season
- Random need course
Page | 4
-
Coins direction.
CUSTOMER SERVICE ( Value added logistics )
What is customer service ?
Customer service is the process of creating & delivering benefits
increase in the supply chain to maximize total value to the customer
(who directly buys the company's goods)
From a logistics point of view customer service related to value-added activities
,
in the supply chain
What is customer service ?
Characteristics of customer
- Customer service is a service that accompanies major
service
products to provide maximum satisfaction to customers when
shopping. The need for customer service is the need that arises when
customers go shopping, these are the benefits that customers enjoy
when shopping.
- Customer service is intangible and creates the price useful
added value to the product Products.
- Customer service is highly related to the customer so it
requires high service skills , but the experience observed in
customer service and received directly from the customer will give
rise to the idea. about new services and favorable conditions for
improving existing services in.
- Customer service plays an increasingly important role in
the industry painting
Elements of customer
service
- Time : measured by the total amount of time from the moment
the customer signs the order to the time the goods are
delivered (lead time/ order cycle time )
Why do customers care about lead time/order cycle time?
Order goods arrive immediately no need to store goods
goods decrease in inventory Inventory cost reduction
Capital turnover cycle fast
- Reliability: Represents the ability to perform the right service
and on time the first time. It is more important than the time
factor (lead time )
Aspects of reliability
Delivery time fluctuation row
Distribution an full
Page | 5
Correct order
- Information: A factor related to communication activities,
transmitting information to customers about goods, services, and
service provision in an accurate, fast and easy to understand
manner. Face related to collecting complaints, suggestions,
requests from customers to respond, adjust and provide suitable
offers. fit.
- Adaptation: Adaptation is another way of saying the flexibility
of logistics services to the diverse and unusual requirements of
customers. row.
Comparison of costs and benefits at each service level for
each customer
INVENTORY MANAGEMENT
Should stock or not?
3 reasons to stock up
Method of classifying
products in stock
What does inventory
management cost include?
Depending on the type of product
Compare stock out cost (out of stock) and over stock cost (inventory)
) Whichever cost is lower, use
- Cheap
- Shipping CP cheap
- Production CP cheap
The Pareto rule, also known as the 80/20 rule, is commonly used
in inventory classification. According to this rule, products with
a low percentage of inventory items (or a proportion of
customers, orders, or suppliers) (20%), but with a high
proportion of sales (80%) are eligible. Class A. Similarly, a
higher proportion of inventory items (30%), but a lower
proportion of sales (15%) are classified as class B, and class C
has a higher proportion of inventories of goods. the highest
(50%), and the lowest proportion of sales (5%). This
classification determines the importance of product type,
customer type in business to have an adaptive strategy. ABC
analysis (Segregation by sales) Use ABC analysis when: stock
by SKU (stock keep unit - stock by color, size ...)
- Cost of Capital: Amount of capital invested in inventory
warehouse
- Cost of inventory services :
 Tell dangerous
 Tax
- Warehouse costs :
Page | 6
There are three methods of
classifying inventory:
 Internal equipment warehouse
 Public warehouse add
 Warehouse to rent
 Public warehouse ty
- Risk cost for inventory :
 Wear and tear Figure
 Damaged
 Item is missing deficit
 Transfer goods between stores warehouse
1. ABC analysis: (distinguished by revenue)
- Use ABC analysis when: stock by different SKUs, SKUs
behave differently
use different strategies for different
customers to reduce costs
yield different profits.
- 80-20 rule: 20% of customers make 80% of profits
use a
differentiated strategy for these customers. Same for
inventory: 80% of revenue is generated from 20% of
inventory under SKU
different behavior separate.
2. Fixed-order quantity model ( Q model )
Fixed replenishment time, fixed price, price independent of
quantity???
3. Fixed-order interval approach ( P model )
Fixed order time (recurring order) but different order
quantity.
SHIPPING MANAGEMENT
Features of freight
intangibility, inseparability, instability, and immutability.
Components involved in the
transportation of goods
-
Shipping Classification
Sender row
Recipient row
Shipping unit load
Main government
Labour they
a. Rail :
 Fixed CP high , CP variable low . Suitable for all types goods
with large weight, high volume of transportation (eg: coal) ,
Page | 7
timber , chemicals and low value consumer goods in the
volume of 1 wagon )
 Limit :
- Less flexible (Trains only provide service from station to
station) other station but can't go to a specific point on request
DN)
- usually arrive on a fixed schedule, speed slow
b. Waterway :
 Average fixed cost , low variable CP . This is the method
facility with the lowest total cost. Suitable for bulky,
perishable, low value goods ( construction materials, coal,
rubber) and loose goods (coffee, rice) on medium routes and
long
 Limit :
- Slow speed, heavily influenced by weather and transportation
routes dependent on the network of rivers and wharf.
- Flexibility is not high, accessibility is low (like road Iron)
For international commercial shipping, this is the dominant
means
c. Road :
 Low fixed costs and medium variable costs. With high
mobility and convenience, it can be reached anywhere,
everywhere with a very flexible transportation schedule.
Suitable for small and medium shipments, relatively
expensive with long distances average and short.
 This is an important part of the logistics network because
ability to effectively meet customer requirements fruit.
d. Airline :
 High fixed CP and high variable CP. Has the fastest speed,
Good product safety but high cost, so it is only suitable for
perishable, compact, and high-value items, especially when
transportation is required. urgent.
 The service is highly mobile, flexible and can respond
respond quickly to the needs of transporting goods .
 Limitations: Procedures for checking goods and
documents are quite complicated and take a long time.
Low reach, just stop live
airports. Shipping volume is limited by capacity
Page | 8
What is distribution center
shipping?
What is a Distribution Center
(DC)?
Difference between
distribution center and
warehouse.
cargo hold and aircraft weight
e. Pipeline :
 Fixed CP is very high and CP variable is lowest. Suitable
for conveying liquids and liquefied gases (gasoline, oil,
gas, chemicals) safe. CP operates with a significant k and
almost no loss.
 Limitations: limited by the very large initial investment and
next
complex. The average speed of this vehicle is quite slow.
Suppliers do not ship directly to a customer's location, but rather
through a distribution center (DC) within a certain geographical
area. This distribution center then transfers the corresponding
shipments to each customer in its area of operation me.
DC creates an intermediary between suppliers and customers to
perform two tasks: storage and transportation. The presence of DC
can help reduce the cost of the entire logistics supply chain when
suppliers are far away from customers and shipping costs are high
- Goods in the center less than 24 hours distribution center
distribute.
- Goods in the center over 24 hours home warehouse.
STRATEGIES
Competitive strategy
according to Porter . model
-
Expand (Broad): compete in the market segment with many
customers (many customer)
- Collect narrow ( Narrow ): Edge painting live feces segment
market school choose
customer filter (selected customer).
Broad
Low cost in the whole The difference in
market
whole market
school
Narrow Focus on low cost in 1 Focus on the difference in
segment
a certain segment
someone
Page | 9
first Concept
.
3PL
The enterprise hires a third party to perform the logistics function on
behalf of the business owner. Logistics activities provided first way
private turn or volume fit depending on follow love bridge belong
to owner business
logistics service provider's business or competence.
Page | 10
Classify
-
3PL's
application
to solve
problems
after
- Enterprises have a wide and complex distribution network
miscellaneous
- Companies do not focus on logistics activities as a function
core force core
- When you want to save time, so you can focus on work
expand market and increase sales number.
- Save a lot of time and resources force
- Can focus resources on business activities the core of the
company company.
- Advantages when expanding the market school
- The advantage of economies of scale in the mix
- Save time serving customers satisfy client
- Flexibility in restructuring the distribution network and
planning open plan wide.
Benefit
Limit
Practical
examples
Based on luck transfer
Based on warehouse or distribution mix
Based on forwarder (transfer next)
Based on talent main
Based on information believe
- Less control over outsourced logistics operations outside.
- Forged documents and claimed by the supplier company 3PL.
- Threatening to leak operational capacity to competitors painting.
Ford Motor and Penske (3PL)
Problem
s
encounte
red
Penske
's
C/Abili
ty
-
Ford has too many logistics suppliers for each of its
factories. This makes it difficult to handle and
transport raw materials and finished products and to
make payment
Shipping is extremely complicated.
Network Optimization net
Manage shipping and insurance costs dangerous
System integration IT
Asset management main
Page | 11
Benefits - Reduced shipping cost
achieved - Maximize shipping service transfer
- Clear and transparent CP Logistics payment than
Page | 12
2.
DRP
Concept
Distribution Resource Planning (DRP) is used for order
planning in a supply chain, planning distribution resources
including labor, equipment, and warehouse space requirements.
DRP allows users to set certain inventory control parameters
(like safety inventory) and calculate period-timed inventory
requirements.
Solveable
problems of
DRP _ _ _
- forecast demand more accurately and then use that information to
control and coordinate inventory after manufacturing and
assembling finished products and develop delivery schedules.
- Provide solutions when demand is in short supply or in excess
(use algorithms to distribute fair share when demand exceeds
supply and "push", "pull" or "pull/push" distribute when source
supply exceeds demand).
- Solve the problem of distributing raw materials according to
quantity, time and location in the transportation field.
Benefit
-
Limit
Software
primarily
Improve inventory coordination warehouse
Reduce distribution center shipping costs by coordinating
shipping transfer.
- Reduce inventory levels when DRP can determine what products
are needed and needed when any.
- Reduced warehouse space requirements because of reduced
inventory warehouse.
- Reduced shipping costs due to fewer return orders again.
- Enhance the ability to coordinate between logistics and products
export.
 Demand forecasting at the location or at the time wrong.
 Requires inventory planning to have a consistent and reliable
execution cycle to move between distribution centers distribute.
 Plan integration faces stress and frequent renewals, because
of production breakdowns and delivery delays .
 DRP No right to be solution France spectrum shout give
manager physical row exist
warehouse
_
PHP software SAP or AOP: minimize the complexity of many
different systems and support the ability to calculate time
Page | 13
Okay
Page | 14
used
to realtime) better.
deploy DRP: TRAVERSE software: identify the necessary items and when you
need to purchase them to fulfill the sales goals specified in the
your forecast.
Practical
examples
Nestlé
Problem The number of distribution channels, wholesalers and
s
retailers in the distribution chain of Nestle, including
en subsidiaries in many countries, is very much that requires
countere management to facilitate transportation.
d:
Transfer goods correctly.
DRP
1. Supply planning (function main):
+ Establish a supply network
applicati
+ Make a list of delivery requirements
on to:
+ Implemented implementation
+ Transport planning
2. Demand forecast bridge
3. Product forecast export
How to
Using SAP software - APO
apply
DRP
Benefit
-
-
Reduce leadtime to 7 . max day
Reduce freight distribution center costs from
coordinating batches row.
Reduce inventory
Reduce shipping costs for customers row.
Reduce warehouse space by reducing inventory
warehouse.
Increase coordination between logistics and
production export.
Increases the ability to meet the budget because when
applied DRP can effectively predict inventory and
shipping requirements according to plan. plan.
Increase sales and profits profit
Dell
Page | 15
Problem
s
-
The direct selling method is no longer suitable fit.
Customer service, customer waiting time is too long.
Don't care squirrel
Page | 16
Apply
DRP to:
Sales: reduce direct sales and will receive distributors to
sell to you. Rely on DRP to
Forecast customer demand from distributors
How to - Use radio frequencies to track inventory in stores,
ap
deliveries, and inventory at distribution centers.
ply DRP
Manage the order and replenishment of the company's
goods, can monitor and track sales and the amount of
stock of goods on the shelves row.
- Dell also already history use bar code chemistry and
labour turmeric frequency
radio number.
 Reduce inventory warehouse.
 Reduce storage costs warehouse.
 Avoid the risks of saving warehouse.
 Create a key two-way information link corpse.
 Short cut shipping costs transfer.
 Improve predictability newspaper.
CPFR (Collaborative Planning, Forecasting and Replenishment) is a
business strategy that combines the intelligence of multiple trading
partners in planning, forecasting demand and replenishment. CPFR
is a strategic partnershipan ongoing and long-term relationship between the participating
partners to achieve strategic goals that bring value to customers and
profits for all cooperating partners. Wall
The success of the CPFR strategy depends largely on successful
cooperation and the ability of the partners.
Benefit
3.
CPFR
Concept
Operation
model
a. Strategy building and planning plan
 Your cooperation agreement head
 Build a business plan shared
b. Demand and supply management application
 Sales forecast row
 Planning to order/prepare newspaper
c. Real presently
 Order of placing row
 Fulfill orders row
Page | 17
Prerequis
ites for
impleme
ntation
d. feces volume
 Monitor and evaluate implementation plans and
processes Show the activities dynamic
 Foreign manager rate
 Connecting strategies within the business and its partners works
 Enterprises must select and decide which information to share
share with work.
 Internal corporate connections, inter-process linkages,
technology elements, all the supporting and synchronizing
things with
core business strategy
- Reduced out-of-stock situations, shorter cycle times ,
responsiveness more responsive, improve availability ready
- More accurate forecast
- Improve relationships between business partners business
- Increase sales row
- Reduce inventory warehouse
- Cost reduction fee
- Improve utilization of production capacity export
Benefit
Challenge
-
Retailer benefits
Manufacturer's benefits
- Inventory level short
Better warehouse utilization - Short order cycle than
rate
- Sales increase
- Better customer service
low inventory level
The number of bombs
increased
Low logistics costs
Difficulty in choosing works
Head manager enter
Degree of trust between partners works
Confidentiality of information believe
It is necessary to accurately determine the capabilities of each
system, each partner in the supply chain response.
Organizations need to be flexible to change, change mindsets, to
cooperate effective fruit
Page | 18
Effect
Khai
Inaccurate demand forecasts,
Page | 19
BULLWHIP
(whip)
thought
Small changes in product demand translate into
larger changes in demand as information gets to the
manufacturer, from small errors that can lead to
larger wastes in the supply chain.
application
Leads to waste: excessive inventory levels, poor
customer service, lost sales, accounting Incorrect
production planning, inefficient transportation,
excess or shortage of products, variable production
patterns change.
Consequ
ence
-
Cause _
How
to
fix
Practical
Application
of Wall
Mart and
WarnerLambert (
Problem
Implem
entation
of
cooperat
Demand forecasting is not accurate, the level of
information sharing, POS data sharing between
partners is not effective fruit
- Due to batch ordering orders are varied, differing
according to actual needs this difference is inflated
increased costs
- Inadequate in product allocation contract: for
example, if the supply capacity is 70% of the order
quantity, then the manufacturer will only fulfill 70%
and the rest will be delivered late
to get the
desired quantity, without any delay. late,
distributors, retailers increase orders, artificially
increase demand to increase product supply
errors
develop born.
- Price changes variable demand dynamic
Cooperation
agreement
with
many
partners,
participating in CPFR. Use retailer-to-manufacturer
POS data for enhanced information accuracy, daily sales
and inventory updates. Data is shared for partners
create an advantage edge
competition increase profits.
Warner Lambert always maintains an inventory
significant inventory inventory is too large.
Wall Mart retailers share essential sales information,
combine demand forecasting with multiple retailers
production plans by WarnerLambert is better, tailored to needs market
Page | 20
pharmaceutic
al company
ion
Page | 21
American
products)
Benefit
4.
RFID
-
school, labour ty only maintain product export rely
above soft bridge attend
reporting, more efficient than maintaining substantial
inventory tell
Improved consumer demand use
High sales forecast accuracy than
Direct and long communication long
Improve sales row
Inventory reduction
Cost reduction fee
-
Concept
Advantages
is a radio-frequency object recognition technology that allows a
device to read information believe
contained in the chip at a long distance, without direct contact,
without making any communication
any physics between two unseen objects.
- including tag (tag) and reader
(reader) has 2 types of tags: active
and passive dynamic
- Isolation (contactless): readable without any physical contact
between the Tag and the RFID reader .
- Ability to record data Whether: Can
write data on
multiple read-write RFID tags time
- Reading range: RFID tags have an operating range from a few
inches to 100 feet(30.48m)
- Data storage capacity: RFID tags can store several bytes of data
up to a large amount of data Whether
- Multi-channel support: use one reader to read multiple tags in its
active area with time short
- Adaptability: RFID tags can maintain operation in relatively any
environmental conditions profit
- Smart operation: RFID tag in addition to carrying and
transmitting data it is also designed to perform tasks is different
- Accurate reading: Can read exactly 100 %
Page | 22
Defect
-
Less effective against RF interceptors and wave absorbers RF
Influenced by environmental factors school
Reading limit tag
Hardware interference effect
Page | 23
Advantages over barcodes -
Barcode
advantages
over RFID
Limiting the ability to dominate wave energy RF
Technology immature
Costs High
Support for non-fatal data determined
No need for sugar contemplate
Read far than
Holds a lot of data than
Read more at a time.
Degree durable
Communication characteristics bright
- Low cost than.
- Can compete in accuracy in some schools fit
- Unaffected by the type of object Whether..
- Not restricted by international law economic.
- No social problems festival.
- Longstanding technology is widely applied cobble.
Airbus
problem
_
encountere d:
Practical
examples
There are
challenges in communication,
contracting, competitive pressure. Desire to
improve quality management, delivery time as well
as reduce inventory warehouse
Achieve better response in tough market conditions,
reduce costs and increase capabilities answer
response.
First , suppliers for Airbus page get carded
How
apply
RFID
RFID to increase transparency of the entire supply chain
and enables automatic fault analysis.
Second , equip all tools and toolboxes with RFID tags
to
containing history, shipping, routing, and customs
information. People realize that the
labour tool manager physical with RFID yes brand
fruit High than sure
what's available, requires less paperwork and has
Page | 24
lower error rates, resulting in reduced management
go a lot.
Page | 25
-
Benefits
achieved
-
-
Increasing the ability to automatically and
accurately control real-time accuracy of the entire
supply chain, RFID technology can reduce the time
needed to resolve service-related issues, while the
use of card Assists in detecting problems on board
before they happen. Machines can check parts
performance through supply chain, service history
and provenance. it.
Eliminate common base processes and effectively
redesign them than.
Easily guarantee the authenticity of the product
Products
Automation is much more efficient, which means
shorter turnaround times and less inventory needed
than.
Speed of process management and quality
management due to key information corpse.
Managing, scheduling or adjusting flights is made
easy thanks to electric vehicles death.
Reduce maintenance, production and inventory
costs, reduce capital investment, and increase labor
productivity and control over suppliers. grant
DHL
Problems
__
RFID
strategy
applicatio
n
-
-
management of items and parcels is difficult and
difficult to control Customer service, time guest
queue too long. No care
apply to each post, letter are from
cards for the crates letters
applied to monitor transport vehicles and postal
trucks to send.
application for transportation transfer
Applicatio 1. Select widely used monitoring procedures best.
n
2. Focus on developing devices bag
proc
Page | 26
ess _ _
RFID (6
.)
Page | 27
step)
Benefit
3. develop each device one
4. develop and control tra
5. test the devices bag
6. assemble, complete and put into use use
High efficiency than
Faster service speed (helps to monitor and
handle timely time)
Reduce costs fee
And improve translation quality service
Walmart
Problems
__
Benefit
How to
apply
_
RFID
- “Wal-Mart's biggest problem is getting
merchandise on time and getting it on the
shelf,” says Jim Russel, a national customer
manager for Colgate-Palmolive Co in
Bentonville. chart.
- Chaos in the inventory process warehouse
- Theft of goods in warehouse
- Expensive cost and time to track the shipping
process chemistry
- Missing above item shelf.
Quick inventory
Adding goods to the retail price in
time Time Easy to track forwarders
row
Wal-Mart also intends to use RFID for product
traceability to detect temperature changes and
control shelf life.
Ask vendors to attach RFID tags the boxes of
me.
Medical Hospital in Ho Chi Minh City
The ques
tion
method France manager physical People sick in the
sick institute
mount with book book and card beaten number…
Page | 28
cause Candlestick the
Page | 29
topi
c
How
apply
RFID
to
confusion in treatment
An RFID tag is mounted on the patient in the shape of
a watch to serve the management of the disease core.
Benefit
-
-
5.
VMI
Concept
Problem
solved
Benefit
Pros
Reduce costs for hospital patients, while giving
patients more privacy private.
Manage and monitor the progress of the patient's
treatment well best.
Less effort spent locating assets in the hospital
institute.
Spend less time locating hospital assets and more
time maintaining them to reduce replacement costs.
position.
Gives employees more time to clean and maintain
equipment, helping to prolong service life use.
VMI is a system planning and management strategy in which the
supplier is responsible for maintaining customer inventory levels.
Liquidation of inventory is done when the inventory is consumed
tree
- Improve supplier-consumer relationship use
- Improve the entire chain on which it works dynamic
- Ability to forecast demand and expenses fee
- Precise and reproducible control export
- e/v supplier grant
- e/v person buying:
- e/v both beside
On the supply chain level
- reduce inventory to a low level best
- less fee
- increase sales sell
- Reduce errors caused by data entry Whether
- Building a strong chain About
suppliers grant
- Capturing customer needs row
- improve quality than
- more complete market analysis school
- Increase revenue through accurate market forecasting
School Go home for sale odd
Page | 30
Cons
- reduce supply time application
- Inventory shares are minimized
- increase revenue through reduction HTK
- Manufacturer supports management
of lists section About the end consumer
together
- service level is assessed get a raise
- reduce waiting time, out of stock row
- mainly depends on the mqh between supplier and seller odd
- increase construction costs mqh
- increased interdependence, sometimes loss of spirituality Hentai
- Data expansion and EDI testing, organizational change in
technology and human the.
Practical
examples
Proble
ms
encoun
tered
Difficu
lt to
use
c/l
Benefit
s
achieve
d
6.
Cross-
NOTE
The Bullwhip
Phenomenon
-
Concept
-
-
-
PG
P&G and WalMart
- encounter the phenomenon of virtual demand
information, so it is difficult to reproduce
- Difficulty during peak sales
WM
PG - have to shoulder additional responsibility for
inventory management
WM - must monitor the status of goods consumption and
be responsible for timely information to P&G
-
reduce risk because of fluctuations like seasonal
demand service
- HTK is more closely monitored and supplemented
on facility needs set
- P&G better calculates their production needs and
delivery planning, ensuring desired service levels are
met application
- Delivery time is greatly reduced tell
Is a phenomenon of virtual demand (consumption
information is very different compared to real economic)
Operates on the whip principle, that is, the information going
back from the consumer to the producer is amplified and not
main
corpse
Is fast freight, avoid bringing goods into the warehouse
storage.
Has the same basic functions as the "distribution center".
total distribution fit".
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docking
Classify
Cross -docking includes two basic types:
Cross-docking is simple: Goods will be transferred directly from
the truck to the outgoing truck. This form will not need a
warehouse, but only a place to transfer goods stop.
- Cross-docking: goods are shipped to the warehouse in large
quantities and will be sorted (including splitting or combining)
into specific shipments to be delivered to each respective
customer. This process usually takes place within a day or even
an hour lake.
Specific classification:
- in production: finished products will be shipped directly to the
shipping location instead of being moved to finished goods
storage Products.
- in distribution: goods are received in full trucks, including other
retail packages together.
- in job gom row: row chemistry luck transfer arrive yes can
conclude fit
with some goods that are in stock or can be combined with
goods shipped from other places.
- Cross-docking coordinates supply and distribution activities to
keep goods going where they need to be and moving directly to
the loading and unloading area, then loading and unloading on
vehicles load.
- Solve the problem when the warehouse cost is big.
- Increasing the speed of moving goods from suppliers to stores
helps the company respond to demand quickly fast.
- Significantly reduce some costs such as labor, storage,
exploitation, area warehouse…
- Reduced inventory of finished goods (safety stock) due to
quick stocking of products and no inventory warehouse.
- Reduce damage to goods during warehouse operation due to
not storing in time long.
- Maximize picking and shipping capacity with full containers
through specific import and export schedules and rapid stock flow (
scale advantage )
- Reduce a large number of transactions between suppliers and
customers row.
-
Solving
problems
Benefit
Page | 32
Limit
- Potential partners do not have storage, capacity needed set.
- Need a suitable transport fleet to operate Cross
Docking
- Need a full IT system enough
- Cargo handling operations that may result in damage
product
- The requirement for strictness between export and import is
very High.
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- It is necessary to design a suitable system and schedule.
Here is a complicated issue due to differences in packaging,
flexible models to sue.
- Difficulty in receiving and processing orders, distribution
type, purchase and dispose of products Products.
Practical
examples
Kodak
Pro
blems _
PUSH Concept
(Push ) Advantages
Defect
PULL
Concept
-
Materials managers do not benefit from unifying
shipping transfer.
- Deliveries are not scheduled to take place in
warehouses and houses machine.
- Unknown roadside inventory Okay
- Long leadtime
High inventory levels in warehouses and factories,
which lead to congestion, high storage and moving costs
How to
- Select a part of raw material suppliers
apply
- Choose a cross-docking location (shipping from
supplier to Cross-dock and from Cross-dock to
factory)
- Development of an information system (Kanban
card: a card on which information indicates the
type of product) Products what, number quantity
product Products bag how much, place
need to move to)
Benefit
chain efficiency and productivity facilitated
production planning, improved delivery control,
faster order turnaround time, reduced inventory
exist
warehouse and storage space requirements.
Is a method of organizing production according to market demand
forecast
Simple, easy to implement, takes a lot of time to produce, lowers
product costs by promoting economies of scale and economic curves.
test
- Create large inventory volume, long production cycle , high cost
of inventory, there are cases where the inventory does not sell
due to inaccurate demand forecasts.
- Requires large amount of working capital, turnover slow.
Production planning based on the actual needs and orders of the
market
School (manufacturing based on orders)
Page | 34
( Drag
)
Advantages
Help eliminate inventory, increase service levels, reduce working
capital, increase capital turnover, respond faster and more
efficiently to customer needs.
market changes.
Page | 35
Defect
7.
JUSTINTIME
(Belong
ing to
CL
Scissors
)
Concept
Must be able to react quickly to market requirements, flexible
organization (due to having to meet many small-scale orders), must
organize and well manage information system, cycle
Production is strictly and scientifically managed, capable of
meeting strict requirements on schedule, delivery time...
The Just-In-Time (JIT) strategy is encapsulated in one sentence:
"right product in the right quantity at the right place at the right
time.
The manufacturing JIT strategy is based on a purchase order, and
when a new order is received, procure materials for that order.
Just in time aims at: Zero inventory, Zero waiting time, Zero
overhead.
Conditions
apply
- Most effective for businesses with repetitive production
activities again.
- Using the Just in time model requires close coordination between
the manufacturer and the supplier. Strengthening social division
of labor through cooperation with related companies conclude.
- Applying small batches with almost the same production scale,
receiving materials during the production process is better than
producing large batches and leaving inventory and capital
stagnation. It also makes it easier to check quality, reducing
damage when something goes wrong omission.
- Enterprises need to synchronously combine many measures:
apply a single-product flow line (products are transferred
according to the production process, not according to specialized
departments to reduce transportation costs), the ability to selfcheck errors (the post-testing stage, the pre-acceptance test), the
normalization (distributing the work evenly every day, no days
are too busy, the days are less. job).
Page | 36
JIT's
application
solves
problems
- Inventory balance warehouse
- Eliminate wastes in the production process, such as waste
products, wasted labor, unnecessary high inventory levels, etc.
The main benefit of JIT is to reduce production costs and
increase production. quantity
- Cutting production time improves satisfaction and joy
Page | 37
trust with customers, avoid stock out.
- Significantly reduce inventory for businesses, flexibly to change
with market changes school.
- ensure that the production volume is just enough to meet the
needs of customers, and thereby reduce warehousing costs and
reduce the amount of waste. Products.
Benefit
Limit
8.
POST
PONE
MENT
(
Delay)
Concept
Types of
procrastinati
on
Application
by CL Tri
- Reduce inventory of semi-finished products, finished products
and goods chemistry
- Reduce the use space use
- Ease of finding and solving problems born
- Reduce storage costs and save warehouse space beach
- Reduces installation time and costs put
- High flexibility in production coordination and utilization
employee participation in problem solving topic
- Increase product quality, reduce scrap and products error
- Reduce total production time export
- Pressure to build good relationships with suppliers grant
- Participating workers in fixing problems of the production
process, thereby enhancing the sense of responsibility public's
core
- Unable to respond to large fluctuations of the market school
- Requires the ability to predict accurately and timely and need
close coordination between manufacturers and suppliers
application
- When there is a problem in a certain part, it can interrupt the
whole production process, causing a lot of damage face
- Monitoring and management costs are required physical
Is a strategy to delay one of the decisions about shipping,
transforming the product's appearance in part of the supply chain
process (procurement, production, distribution) in order to delay the
product differentiation stage. In this strategy, the stages
The top of the supply chain operates on a push system, and the final
stages are operated on a pull strategy.
- Defer labeling (Nokia, Samsung – Battery )
- Delay closing package
- Delay the installation assemble
- Delaying production export
- Delay the setting next
- Multi-products form
- Demand is uncertain High
Page | 38
postpone to
solve the
problem
Benefit
Limit
9.
EDI
Concept
Working
principle
-
Product Lifecycle short
Supply chain with full scale bridge
Product calibration is inexpensive least
The value added at the end of the supply chain is High
Enhance customer satisfaction row
Reduce inventory costs warehouse
Improve order fulfillment rate improve satisfaction FIRE
Ability to focus on innovation and design sp
Reduce shipping costs transfer
- Requiring an agile and adaptive supply chain to ensure that the
latest demand forecasts are regularly updated through
- In some cases, the cost of delay is higher than the cost
normally for sp there.
- Take time time
- The implementation is quite complicated because it can change
the rules submit
has existed for a long time.
Electronic data interchange (EDI) is the transfer of information
from one computer to another by electronic means according to
an agreed standard on the structure of information. UNCITRAL
- UNCITRAL
 An EDI standard is a framework that guides a unified data
format used to create electronic versions readable by machine
count replace position give talent Whether paper transmission
system. Presently now
There are two widely used EDI standards, ANSI X12 and
EDIFACT .
When used, EDI extracts information from corporate applications
and transmits paperless transaction documents in computer-readable
form over telephone lines or other telecommunications equipment.
At the receiving end, data can be entered directly into the partner's
computer system, which is automatically processed with internal
applications at the receiving end.
General EDI operation process: 5 steps
Electronic document preparation: electronic DL encoding in
standard form EDI
Translate data to transfer go
Communication: there are 2 ways: via the Internet, via the
VAN . network private
Translating data to: standards-based EDI
Handling electrical documents death
Page | 39
Classify
There are 2 types of traditional EDI and Internet EDI
Traditional EDI is the transfer of information from one computer to
another by electronic means according to an established standard.
Page | 40
Issues
solved
agreement on information structure.
Internet EDI is the exchange of messages for business transactions
between computers of different organizations using standard
agreements (different agreements are as widely agreed around the
world as possible). ok) through Internet
The most widely used form of Internet EDI today is Web EDI .
Transactions before EDI – through documents:
- Before EDI, commercial transactions were done mostly through
paperwork copy.
- Invoices, vouchers, bills of lading, or delivery notes... must be
delivered directly to the two parties together.
- When the two parties have agreed and made a decision to sign
the contract, all contracts, invoices, goods status, transportation
... are necessary to the presence of both parties to confirm, sign,
close sign.
- This process takes a lot of time and effort for both businesses
and individuals.
Application
fields
Benefit
-
Disadvantage -
- Management agency, ministerial level industry
- The field of transportation - transportation load
- Banking and finance sector row
- Field of Information Technology believe
- Production - distribution - sale field odd
Reduce transaction costs for information exchange, paper costs,
correspondence, data processing costs by hand.
Save time because you don't have to re-enter information again
and again
Increase the accuracy of information, reduce errors due to not
having to re-enter data a lot time
Track the path of goods in each stage paragraph
Faster commercial transaction cycle efficient customer demand
response than
Reduce inventory time, reduce inventory warehouse
promote supply and production activities increase
competitiveness
Improve commercial relationship, strengthen customer-supplier
relationship grant
Helping businesses stand firm in the market school.
It takes time to standardize programs and procedures custom
EDI is still a new field without much knowledge and experience.
Need to train staff IT
How to use complex miscellaneous
Difficult to determine the amount of return on top of profit private
Page | 41
-
The cost of EDI on the VAN (Value Added Network) network is
very expensive, maintenance costs are maintain
- The price also depends on the number of company session
messages ty
Problem - Communication with suppliers through paper and
Practical
application:
mail forms is a slow and expensive process least
Chrysler
- Lost row week for judge physical the single put
company
row and chemical
applies EDI
applications because smaller providers are still
software
based on paperwork
developed by
Perfo
GXS connects to the Internet to access and
GXS
rm
exchange business documents with Chrysler
Trade Web
Corporation for a fee charged per transaction. Using
offers
Desktop EDI is a business desktop software for
document management, it can send more than 30
documents a month Chrysler. It allows suppliers
exchange EDI documents not only with the Chrysler
Corporation, but also with other commercial partners.
Benefit Save on paper transaction costs with suppliers
• Invoices, orders completed in 24 hours instead of
several week
• Improved accuracy on all accounts Whether
• Good trade partnership More Benefits
of Suppliers :
• Payments from Chrysler Group are paid out fast
than
• Reduce time to deal with chemical problems single
• Improved cash management
10.
MRP
Khai
thou
ght
Item
pep
per
MRP (Material Requirements Planning) is a materials
inventory management system, which is a computer-based
information system for inventory control and production planning.
MRP is concerned with production planning and inventory control.
This is a material control system that tries to keep inventory at the
appropriate level to ensure that materials are available when
needed.
 Ensure raw materials, components are available for the
manufacturing process and the final product is available for
shipment to the customer. row.
Page | 42
 Maintain the lowest level of inventory available body.
 Planning for production operations, delivery schedules and
purchasing activities shop.
MRP is suitable for production systems where the needs
of product components and semi-finished products depend on
the needs of the products serving the customer. market demand
school.
a. Input of the system system
-
Demand Forecasting bridge):
-
Bill of material (BOM) material)
-
Master Production Schedule (MPS):
- Inventory status File (ISF
- Leadtime
b. Processing stages MRP
Step 1 . Analysis of product structure.
MRP
syste
m_
Step 2 . Calculate total demand bridge.
Step 3. Calculate the demand real.
Step 4. Determine the delivery time of the order or work order
c. The output of the system system
-
What kind of components or spare parts should be
ordered or produced?
-
Number of bags how much
-
Time when any
MRP is useful in production environments where :
 Complicated, uncertain sure.
Application
 Customer orders arrive often.
 Variable quantity change.
Page | 43
 Variable waiting time change.
 Finished products are assembled to order row.
Advantages
Defect
Techniques
to ensure
successful
MRP
Real
example
economy
-
Increase economic efficiency business.
-
Increase production efficiency export.
-
Timely and accurate information corpse.
-
Keep inventory levels to a minimum minimal.
-
Reduce materials old.
-
Create high reliability for customers row.
-
Reduce leisure time idle.
-
Respond faster to market needs school.
-
Establish safety stock levels for emergencies grant.
-
Not making full use of the warehouse space (if the warehouse is
big).
-
The staff is not qualified to carry out the plan determined.
-
If one link in the material supply process encounters an
obstacle, it will affect all stages after.
-
Increase booking cost row.
-
Increase shipping costs and single costs taste.
-
Out of stock cost High.
Discover and learn the original core
Periodic accounting period:
Update information believe:
Set the warranty period guard
toyota, suzuki, collins industries
COMPARE: push and drag
Page | 44
PULL (pull)
Order production customer _ _
PUSH (push)
Production inventory customers _ _
The purpose of switching
from push to pull:
-
-
Compare Just in time and
Postponement:
-
Reduce inventory at the stages of materials
intransit
production
outbound warehouse / distribution center
customer .
Reduce shipping costs: goods are sold in exact numbers
quantity.
Reduce inventory costs warehouse.
Reduce free resources idle.
JIT: input has no raw material Whether.
Postonement: input already has an object Whether.
JIT is part of postponement
Factors affecting the design of distribution network:
Features of customer service:
Response time : Response time is the time it takes for a customer to receive an
order
Product diversity: Product diversity refers to the number of products the
supply network offers to customers. row
Product Availability: Product readiness represents the level of stock
availability when an order is received from a customer. row
Range adjusted according to transaction history . This factor also
represents the value that the sales department brings to the customer.
Time to market: This is the time it takes to introduce a new product to the
market
Order Availability: Order availability highlights the ability that a customer
can check an order from the time it is placed until it is received.
Returnability : This factor reflects the ease of returning goods and the
network's ability to handle this.
Page | 45
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