Download 9781119047025 Supply Chain for Dummies JDA PDF

Title9781119047025 Supply Chain for Dummies JDA
TagsSupply Chain Management Retail Warehouse Inventory Business Process
File Size2.7 MB
Total Pages76
Table of Contents
                            Title Page
Copyright Page
Table of Contents
Introduction
	About This Book
	Foolish Assumptions
	Icons Used in This Book
	Beyond the Book
Chapter 1 A Look at Supply Chains Today
	Supply Chain Basics
	The Power of a Best-In-Class Supply Chain
	The Four Ps
		Products
		Personalization
		People
		Process
Chapter 2 Examining Supply Chain Challenges
	Primary Supply Chain Challenges
	Symptoms of a Broken Supply Chain
Chapter 3 Delighting the Omni-Channel Consumer
	Understanding the New Consumer
	Examining the Impact of the New Consumer
		Building customer loyalty
		Improving response time to demand changes
		Delivering products profitably
		Managing inventory costs
		The digital explosion
	Taking a Closer Look at the Store of the Future
Chapter 4 The Value of Supply Chain Technology
	The Value of Supply Chain Technology
		Improved access to information
		Improved insight
		Improved agility
		Better collaboration
		Improved customer loyalty
		Less wasted time
	The Difference between Supply Chain and ERP Technology
	Making the Most of the Cloud
Chapter 5 The Key to Achieving Supply Chain Excellence in Manufacturing
	Establishing a Manufacturing Planning Process
	A New Path Forward for Manufacturers
	A Look at Supply Chain Segmentation at Work
	At the Root of It All: Supply Chain Science
Chapter 6 Focusing on Profitable Fulfillment
	The Benefits of Intelligent Fulfillment Decision Making
	Integrating Planning and Execution
	Considering Constraints
		Understanding warehouse constraints
		Understanding transportation constraints
Chapter 7 The Key to Achieving Success in Retail
	Better Experiences Lead to Greater Wallet Share
	Introducing the Next‐Generation Retail Operating Model
	The Evolving Role of the Store
Chapter 8 The Benefits of Collaboration
	Creating Collaborative Success at the Inventory Level
	Creating Collaborative Success at the Sales Level
	Turning Collaboration Inward
Chapter 9 Nine Common Myths about Supply Chain Technology
	Supply Chain Technology Costs a Lot
	SCM Is too Complicated
	We’re too Small for SCM
	SCM Isn’t a Strategic Differentiator
	It Will Take Years to See an ROI
	Our IT Team Doesn’t Have the Bandwidth
	We’ve Already Cut Costs
	There’s No Point in Planning as Forecasts Are Always Wrong
	We Already Have a Best‐in‐Class Supply Chain
Appendix A Glossary
Appendix B Common Supply Chain Acronyms
                        
Document Text Contents
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These materials are © 2015 John Wiley & Sons, Inc. Any dissemination, distribution, or unauthorized use is strictly prohibited.

As you can imagine, this complexity makes it very difficult for
manufacturers to respond quickly to changes or disruptions.
In fact, the same report mentioned earlier discovered that 90
percent of companies rank “lack of speed and agility” as one
of their topmost supply chain concerns.

Although volatility and disruptions are hard enough to
manage, most organizations are also dealing with internal
misalignment. Sales, marketing, engineering, operations, and
finance departments all pursue separate goals that are, at
times, at odds with one another. For example, a sales leader’s
needs don’t always align to production schedules or inven-
tory best practices. So it’s difficult to get all parties to agree
and act on what’s best for the business as a whole. This, of
course, has very real and negative consequences. According
to a study from IBM, three out of four companies say “lack of
internal alignment” is a barrier to serving their customers.
This barrier isn’t just limited to internal stakeholders; lack
of alignment with external trading partners can also create
problems.

When manufacturers can’t get stakeholders to quickly agree
and act on the right path forward, and when supply network
complexity makes it difficult to make changes on-the-fly,
it simply takes too long to respond to changing consumer
demands. Because demand is only growing more volatile and
consumers have so many competitive options, this can really
hurt sales. Even small missteps can negatively impact an
organization’s margins.

That’s why leading manufacturers are taking a different
approach to managing their supply chain. This chapter shows
you the path to their success.

Establishing a Manufacturing
Planning Process

Before a manufacturer can embark on its supply chain jour-
ney, it must first have a plan. The most successful manufac-
turers have adopted an integrated manufacturing planning
process. This process includes the following:

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✓ Developing forecasts for the products, product varia-
tions, and quantities that need to be produced. While
this may seem simple, it can actually be a highly compli-
cated process, depending on how many sales channels
manufacturers have and the variability of their product
offerings and customer base.

✓ Developing a supply plan involves determining how
products are going to be made in order to meet demand
on time. Of course, to do this, companies need to under-
stand what needs to be produced and when, as well as
have visibility into existing inventory, their suppliers’ abil-
ity to provide materials, parts, components, or subassem-
blies (and the associated costs), and the availability (and
costs) of assets like trained labor, factories, equipment,
and energy. A supply plan can be very complex depending
on the number of products produced, the number of
production facilities, the availability of materials, the
number of suppliers and distribution, and so forth.

✓ Developing detailed production plans that determine
how facilities, equipment, labor, and materials can come
together to produce products at the lowest cost in the
least amount of time. This process can be very compli-
cated because many products require hundreds of steps.
A delay at any one step may hold up production and
delivery. Factors like equipment maintenance, working
with perishable goods, and labor regulations can add
further complications.

✓ Monitoring plans and responding to change. Often,
plans are made 18 to 24 months in advance of when
goods are needed. Many complications can arise during
this time frame such as fluctuations in demand, availabil-
ity of assets, changes in financial position, and changes
with suppliers. One way to limit the ramifications of
these changes is to reconcile demand plans and supply
plans on an ongoing basis. This is commonly called sales
and operations planning (S&OP).

The S&OP process reviews current and anticipated
states in supply and demand to ensure that the supply
produced is still targeted to fulfill the expected demand.
However, changes are inevitable, so manufacturers need
to have a good understanding of the options they can
employ, as well as how those options will impact their
customer service levels and profitability.

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