...Key Supply Chain Performance Indicator Paper Danny Shieh ISCOM/370 March 31th, 2012 Leon Powell Key Supply Chain Performance Indicator Paper The success of a company can often be represented by its performance of the supply chain element. Such performance is measured to ensure the flow and process of each element is accurate and up to standard based on the company’s goals and objectives. In this paper, author will first define supply chain and its elements, then define the meaning and importance of key performance indicators. Lastly, Author will explain three example indicators, how it is calculated, and what the number means. Supply Chain Management Supply chain management (SCM) is defined as managing the flow of information and materials from upstream suppliers to downstream customers. The Institute for Supply Management’s definition states that “Supply chain management is the design and management of seamless, value-added processes across organizational boundaries to meet the real needs of the end customer” ("Institute for Supply Management", 2011). The elements of the supply chain are components that made the flow possible. Such element includes supplier, logistics/transportation, purchasing, production, inventory, planning, IT, quality assurance/quality control, and customer. These elements are important to the flow of supply chain as they each contribute a function that worked together...
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...business processes and designs. The DMAIC improvement cycle is the core process used to drive Six Sigma projects. DMAIC is not exclusive to Six Sigma and can be used as the framework for other improvement applications. DMAIC is an abbreviation of the five improvement steps: Define, Measure, Analyze, Improve and Control. All of the DMAIC process steps are required and always proceed in this order: Define : Project charter Write down what you currently know. Seek to clarify facts, set objectives and form the project team. Define the following: * A problem statement * The customer(s) * Critical to Quality (CTQs) — what are the critical process outputs? * The target process and other related business processes * Project targets * Project boundaries * A project charter is often created and agreed during the Define step. Measure This is the data collection step. The team decides on what should be measured and how to measure it. This forms a data collection plan. It is usual for teams to invest a lot of effort into assessing the suitability of the proposed measurement systems. Good data is at the heart of the DMAIC process: * Define the process critical Xs (inputs) and Ys (outputs). * Define the measurement plan. * Test the measurement system. * Collect the data. * A Measurement System Analysis (gauge study) is performed at this stage. Analyze : Brainstorming, 5 Whys, and the Fishbone Diagram The data collected in the Measure step is analysed to determine...
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...Mahesh Kumar Meena (M00220) Ajay Patel (M00226) McDonald's Himalaya Mall Location Gurukul › Ground Floor, Himalaya Mall, Gurukul, Ahmedabad Cuisines Fast Food Opening hours 10 AM to 12 Midnight World's largest chain of fast food restaurants. The Golden Arches—the corporate emblem, symbolized pleasant, fast service and tasty, inexpensive food. Serve around 68 million customers daily in 119 countries. Operates over 34,000 restaurants worldwide, employing more than 1.7 million people. Between 1990 and 1991, sales per unit had slowed down. Reasons: Consumers were changing management to wonder whether the company’s operating system, suited to the new circumstances the company faced McDonald’s was gathering flak from environmentalists who decried all the litter and solid waste its restaurants generated each day to counter some of the criticism, McDonald’s partnered with the Environmental defense fund to explore new ways to make its operations more friendly to the environment. INTRODUCTION McDonald’s is a limited menu restaurant is characterized by speed of operations. McDonald’s is the world leading retailer with more than 33,000 restaurants in 118 countries serving more than 67 million customers each day. In India, the first outlets of the chain threw open their doors to the public in Delhi and Mumbai in 1996 within one month of each other. McDonald’s is present in 40 Indian cities with 250 restaurants and serves 650,000 customers daily. THE FOOD RETAIL INDUSTRY...
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...organizations now considered quality management as one of the most important corporate strategies in today’s business; as well as the main factor of most companies in order to achieve customer satisfaction. Quality Management has adapted across the board and is no longer limited to one particular field of business. Quality Management is a business process that brings together the responsibilities of all employees to attain customer satisfaction and continuous improvement in the quality of all employee’s responsibilities and company’s product and services. The importance of quality and customer satisfaction should be established prior to the implementation of the total quality management process. Thus, there’s the framework, which includes six supply chain strategies along with ISO, Six-Sigma, and Baldridge to incorporate within a business. The company I chose to analyze is the Riordan Manufacture Corporation. I will examine and analyze the importance and measurement of Riordan Manufacture Corporation and its components. Riordan Manufacture is a global plastics manufacturer; which has incorporated quality management (QM) into its mission statement. The company’s major clients are aircraft, appliance, and automotive parts manufactures as well as bottles and beverages makers and the defense department. It’s headquarter is in San Jose, CA and has facilities worldwide. Riordan mission is to ensure that it maintain leader position in the plastic manufacturing business, as well as providing...
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........................................... 6 4. Recommendations ................................................... 9 5. Implementation of strategies & results: .................. 9 6. Monitor & Control: ............................................... 10 7. Lessons Learned..... Error! Bookmark not defined. 1. Introduction Cisco, the global information and communication technology provider, has put in place a supply chain resiliency program that any company facing possible risk from supply chain disruption should study. Cisco's program for SCRM combines tools, policies, practices and management support into a comprehensive system that enables the company to truly understand and manage the risks associated with the supply of most of its products. Beginning with new product design and introduction, and continuing through to current product manufacturing and fulfillment, Cisco can predict potential risk points and work with members of its supply chain to manage and minimize those risks. Further, Cisco can recover from external disruptions quickly to minimize the impact on its customers. Other companies should study what Cisco has done and, as appropriate, implement SCRM programs that allow them to manage supply chain disruptions as effectively as Cisco does. Note that a supply chain resiliency program does not negate the need for...
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...Supply Chain Design Paper – Learning Team D OPS/571 Riordan Manufacturing is one of the largest plastics manufacturers in the world. Riordan’s mission statement states that it’s focus is to “Six Sigma, leading edge R&D and exceeding ISO standards” (Riordan Mfg. Internet, home page, 2014). Riordan’s fan manufacturing operation is located in Hangzhou, China. Team D will evaluate the Riordan’s fan manufacturing supply chain design and perform a comprehensive evaluation of the operational effectiveness of the supply chain. Manufacturing Strategy Riordan’s Intranet states, that the Hangzhou plant bases its forecasts by “taking the average of sales for the last three years and extrapolating it into the next year” (Riordan, Operations, Hangzhou, China, 2014, p. 1 para 4). Riordan’s use of this approach has lead to a 93 percent on-time delivery rate. Team D believes that the information regarding Riordan’s manufacturing strategy, taken from the firm’s intranet website is an indication that it employs a “Stable Workforce-Variable Work Hours” production planning strategy. This strategy varies the number of hours worked through flexible work schedules or overtime to match the production quantities to orders” (Jacobs & Chase, 2011, pg. 534). It helps assure that the workforce has continuity which helps with employee morale. It is extremely important for employees to feel secure in their work environment. Many workers face everyday pressure on their jobs and in their personal...
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...this report will be discussing about supply chain management, customer relationship management and E-commerce as three very innovative solutions that are very crucial for the continued existence and increased profitability of Classact. We will be discussing on how other organisations who have implemented customer relationship management, supply chain management and E-commerce have been able to forge ahead of their competitors, increase their profits and maintain that same one to one relationship with the customers. Finally recommendations have been made as to how Classact can forge ahead of their competitors instead of falling prey to bankruptcy by lagging behind in IS and IT innovation. Today it has become critical for businesses to adopt e-commerce in order to gain a competitive advantage and meet customer needs. It's biggest advantage being the accessibility to customers, suppliers and buyers all over the world by the medium of Internet and various networks. It has also resulted in cost reduction in areas like marketing, processing and storage of information. It has proven to be increase efficiency of the business. E-commerce works in collaboration with another crucial area for businesses 'Supply Chain Management'. 'Supply Chain' is an entire chain of facilities and various distribution channels facilitated for a whole network of businesses to be able to work collaboratively to produce, deliver and service products on time in turn meeting customer needs. Customer relationship...
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...Pharmaceutical Supply Chain Abstract • The global pharmaceutical supply chain is very complex and critical to a $650 billion dollar value industry which ensures the world population has necessary medicines. • Manufacturers have the responsibility to produce sufficient quantities of drugs to meet a growing global demand while maintaining quality to ensure safety. • Global and local regulatory agencies around the world have a daunting task to monitor manufacturers, raw material suppliers, and stem counterfeit pharmaceutical production. • Wholesale distributors, importers, and retail pharmacies have a large amount of power in the supply chain as they pull the demand from the manufacturers and provide the medicines to end-consumers. • In a changing industry where there are fewer blockbuster drugs and increasing use of generic offerings, manufacturers as well as participants at all levels of the supply chain must look for areas to improve efficiencies to be profitable in the long-run. Pharmaceutical Supply Chain Analysis 2 Introduction A transparent and efficient pharmaceutical supply chain contributes significantly towards improving the availability of essential medications. The reality across the world is that pharmaceutical supply and distribution consists of different stakeholders from both the public and private sectors to create complex systems. In a heavily regulated field, globalization has placed increasing demands on regulatory agencies to ensure the safety and...
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...m BUSINESS PROCESS AUTOMATION IN RETAIL The retail industry is facing sweeping and unprecedented change. Customers’ expectations grow higher, economic pressures require them to do more with less, and each day new competitors appear. Responding to that rapid pace of change, retailers tell us, is both their biggest challenge and their biggest opportunity. Retailers who can adapt to change can make intelligent, fast decisions; find new markets to exploit; and constantly improve their products, services, and operations. But retailers don’t have a switch to flip that turns them into supersmart, super-adaptable businesses. Hoping to find that switch, they often turn to technology, looking for some magic to help them navigate a changing business environment. However, technology by itself is not the solution. Any discussion about generating a positive impact for the business should first center on how to empower people with effective solutions that deliver results. A “connected retailer” not only leverages a flexible, economical technology platform that drives results, but also focuses primarily on its greatest asset: people empowered by the right solutions to act on the right information at the right time. To enable your organization’s people assets to extend their potential through the use of software, Microsoft delivers agile and adaptive solutions for business process automation (BPA). BPA solutions provide the tools, technologies, and infrastructure to automate complex business processes...
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...A. A supply chain strategy appears in many different forms and varieties; picking the right strategy is the hard part. When deciding on a strategy, the goal is to pick the correct one that will benefit your specific organization and area. There are six different strategy associated with supply chain management: Many supplier, few suppliers, vertical integration, a combination of the two referred to as a joint venture, Keiretsu, and a virtual company (Hiezer). The first couple of the strategies have a company rely heavily on external suppliers for their goods and service. Not necessarily working in conjunction with the organization business strategy, but aggressively compete with other suppliers to gain essentially the right to provide the product on the companies demand. The goal of both these strategies isn’t to foster a long term partnering relationship with the buyer’s organization. The strategy of vertical integration takes on two forms also; a company can either purchase a supplier or work in combination and join resources becoming a joint venture. Vertical integration can be forward taking on more of the distribution action or backwards by produce what was in the past purchased. They can benefit from organization talents by reducing cost, increase quality, and timely deliveries. It being hard to everything well and the large financial commitment are some of the challenges of a vertical integration strategy, for some organization these challenges may force them into...
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...director of Supply Chain Systems, I have decided to implement portions of the new supply chain strategy of Virtual Integration and strategies from companies like Dell. Although there are several key differences between the companies, Dell’s virtual integration strategy can be applied to Ford’s supply chain operation. A modification of the virtual integration system currently used by Dell could be applied to Ford’s dependent supplier base, distribution system, dealerships and divisions. Special care will need to be taken to address the unique dependency of our custom Tier 1 supplier. The management of lower tier suppliers of general or generic components would be more effectively suited by the standard procedures used by Dell. If we at Ford could find a solution to the obstacles of virtual integration, it could make our supply chain run smoothly with less bottlenecking, inventory, and better overall performance. Managers could overcome the complex and error-prone manual process of forecasting and procuring parts which would result in reduced OTD lessen costs and enhance customer satisfaction. ISSUE IDENTIFICATION Senior Executives have asked how Ford should use the emerging information technologies and ideas from new high-tech industries to change the way we interact with Suppliers. We must find ways to improve the Supply Chain management and to increase shareholder value and Supply Chain responsiveness. Specifically we are looking at how Dell manages their Supply Chain...
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...manufacturing of Riordan electric fans, from start to finish. This design incorporates a supply chain for the electric fans, while taking advantage of global openings in which Riordan Manufacturing can implement. Additional analysis of the present process pertaining to the production of the Riordan electric fans is presented. The new process design attempts to eliminate bottlenecks within the process in order to make the supply-chain as optimal as possible. A production forecast for the Riordan electric fans is included and a Gantt chart is included as well. Lastly, a cover letter is included which details the coordination of the aggregate operations planning and TQM for the Riordan electric fans. Process Design for Riordan Manufacturing MRP for Manufacturing The present process at Riordan Manufacturing is centered on the China plant, which applies material requirement planning to adhere to the material requirements, which then go through a collection process at receiving units in order to make its way to the molding unit. The assembly unit then receives the products, which are forwarded to the appropriate packing unit for appropriate handling. Lastly, the shipping unit handles the electric fans’ distribution. Riordan Manufacturing is concerned about scrap materials from the respective units. As such, there should be a reduction in the level of wasteful products from every unit; this, in turn, would lower the price of producing each fan. One initiative already commenced is the...
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...Running head: GAP ANALYSIS: KUIPER LEDA Gap Analysis: Kuiper Leda University of Phoenix Gap Analysis: Kuiper Leda Kuiper Leda is an automotive equipment manufacturer that assembles electronic control units and sensors. The organization has been in business for 10 years and has recently begun to manufacture radio frequency identification devices also. Kuiper Leda has recently received an order for 250,000 electronic control units and 35,000 radio frequency identification devices from Midland Motors. Midland Motors has had exceptional business and it is a large auto major. An order from them would benefit Kuiper Leda. It is important that KL produces quality products and delivers them to Midland on time. The order is urgent and Kuiper Leda will need to manufacture and supply higher volumes over its regular orders. The existing ability at Kuiper Leda is inadequate to handle the increased load on the plant. Kuiper will need to discover ways to meet the sudden increase in requirements. Kuiper must decide whether to manufacture one or both products in-house, or outsource some of the production load. Situation Analysis Issue and Opportunity Identification Today, organizations have realized that in supply chain industries, their operations strategy must be aligned with its mission of servicing the customers. If Kuiper Leda accepts the order from Midland Motors, the organization will be forced to manufacture the product in-house, buy the products or components...
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...at long term success. Achieved through customer satisfaction. - Total Quality Management is a management technique used by managers in the production chain and who deal with the tactical and operational decisions. The TQM is organised from senior management and implemented by supervisors and employees in the production area. TQM is a process whereby the need to get everything right the first time and to continually improve the business production is required. Getting things right first time is important to ensure that the business focuses on the customer. - The advantages of total quality management is that the company benefits by having a dedicated workforce who strive and achieve in improving the production line. The raw materials would have to be inspected by workers and line managers to ensure that the goods are free from defects which eliminates and reduces wastage. This in turn reduces costs. The TQM method also has the advantage by having a more productive and successful workforce strategy also has better motivation. The TQM also works by having quality circles of team members and management where their ideas in improving the decision making process is also accomplished. The focus is on the customer in meeting their needs first. Where goods are ordered and distributed the TQM works by coordinating deliveries of supplies to times when the business needs it most. This process the goods being over ordered or having shortages of stock and therefore the costs of holding excess...
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...CURRENT CHALLENGES OF SUPPLY CHAIN MANAGEMENT Acknowledgement It is only because of the grace and mercy of great Almighty ALLAH that we are able to complete our report. Without His help, in no way we could complete it. We are highly indebted to honor Sir Shoaib Ishtiaq (Bahria University) for assigning us such an important and interesting report and for his valuable guidance in carrying out this research study which benefited during our course work in the university. We would also like to extend our gratitude towards the internet & books which helped us greatly. And on the other hand all those people who were directly and indirectly involved in the completion of this project. ABSTRACT Purpose : As the business environment becomes increasingly competitive, companies continuously look for ways to distinguish themselves from their competitors. Companies adapt different Supply Chain Management practices and philosophies to help them become competitive. However, they may face challenges that hinder attainment of the results sought. Here is the study of few challenges that supply chain management are facing in today’s world and some strategies propose to cope up with those challenges. Methods : Firstly the major challenges were search and then some strategies were purpose to cope up with those challenges of supply chain management by giving the examples of case study than how in past companies have faced those challenges and they were not able to handle...
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