Operations Research in Supply Chain Optimization

Size: px
Start display at page:

Download "Operations Research in Supply Chain Optimization"

Transcription

1 Operations Research in Supply Chain Optimization M.G. Speranza University of Brescia, Italy Department of Management Science & Technology Athens University of Economics and Business November 12, 20

2 The supply chain Suppliers factories warehouses customers

3 Goal of supply chain management To efficiently integrate suppliers, producers, warehouses to produce and distribute the right quantity at the right time in the right place Operations Research while maximizing the total profit and guaranteeing an appropriate service level

4 Goal of supply chain management All strategies, techniques, approaches in supply chain management are focused on: Global optimization Uncertainty management Operations Research

5 Global optimization Sequential optimization Supply planning Production planning Distribution planning Customer Global optimization Operations Research Contracts collaboration Information technology Decision Support Systems Supply planning Production planning Distribution planning Customer

6 Global optimization Search process of the best strategy for the entire supply chain to: Operations Research maximize overall value created Supply chain value: difference between what the final product is worth to the customer and the effort the supply chain expends in filling the customer s request

7 Why is it difficult? The supply chain is complex The different actors have different goals The supply chain evolves upon time The system varies (changes, demand, costs) A need of sophisticated tools, models, algorithms Operations Research

8 An example of complexity Inventory Costs Facility costs Transportation Number of facilities 5-8

9 Conflicting objectives Lot Size Inventory Inventory Transportation Lead Time Transportation Product Variety Inventory Cost Customer Service

10 Conflicting objectives Lot Size Inventory Inventory Transportation Lead Time Transportation Product Variety Inventory Cost Customer Service

11 A distribution network inventory costs inventory costs transportation costs shipment frequency?

12 Conflicting objectives Main reason for infrequent (full load) transportation: minimize transportation costs Main reason for frequent transportation: minimize inventory costs Problem: Minimize transportation or inventory costs? Minimize the sum of inventory and transportation costs

13 The value of integration 1 vehicle capacity A B 140 frequency of service is every 2 days C D customers decide when and how much supplier decides routes

14 The value of integration Day 1 A B C D 50

15 The value of integration Day 1 A B C D 50 Cost=340

16 The value of integration Day 2 50 A B 140 C D 50

17 The value of integration Day 2 50 A B 140 C D 50 Cost=360 Cost over two days=700

18 The value of integration 1 vehicle capacity A B 140 C D supplier decides when, how much and routes

19 The value of integration Day 1 50 A B C D Cost=2

20 The value of integration Day 2 A B 140 C D 50 Cost=2 50 Cost over two days=420 (against 700)

21 Efficient frontier Responsiveness High success Low High failure success Low Cost 2-21

22 Efficiency and complexity In global competition companies need to be on the efficient frontier Intuition fails to generate efficient management policies Need for integration and efficiency makes decision making more complex

23 Optimal policy A B A capacity 5000 demand B C C D D Initial inventory=capacity The supplier has unlimited availability Capacity of vehicles 5000? Periodic policy of minimum transportation cost Bell et al (1983), Interfaces

24 A natural solution 0 A B 3000 A capacity 5000 demand 0 B C C D D vehicles Repeat the red and the green tours every day Daily transportation cost: 420

25 A better solution 2000 A 3000 Day 1 Day 2 B C 2000 D 3000 A B C 2000 D A B C capacity consumption Average daily transportation cost: 380 D

26 An integrated problem demand and capacity production costs 3

27 An integrated problem When and how much to produce? When and how much to distribute? Routes? Goal: to minimize total cost

28 RMI vs VMI RMI: Retailer-Managed Inventory Each retailer decides its replenishment policy VMI: Vendor-Managed Inventory The supplier monitors the inventory level of each retailer and decides the replenishment policy of each retailer

29 VMI vs RMI the OU policy VMI Order-up general case 71% no fixed transportation cost 92% small production cost 50% no retailer inventory cost 67% Cost of VMI with respect to RMI

30 VMI vs RMI the OU policy VMI Order-up general case 71% no fixed transportation cost 92% small production cost 50% no retailer inventory cost 67% Cost of VMI with respect to RMI

31 Conclusions Integrated models are very complex Large savings can be achieved Appropriate models and algorithms (Operations research) are essential

Strategic Framework to Analyze Supply Chains

Strategic Framework to Analyze Supply Chains Strategic Framework to Analyze Supply Chains 1 Andy Guo A Strategic Framework for Supply Chain Design, Planning, and Operation Part I: Understand the supply chain Part II: Supply chain performance Part

More information

Supply Chain Management

Supply Chain Management Supply Chain Management อาจารย ดร.อ ศว ณ ปส ธรรม Email: win@riped.utcc.ac.th 11-1 Supply Chain the sequence of organizations (their facilities, functions, and activities) that are involved in producing

More information

The Training Material on Supply Chain Collaboration & Logistics Solutions has been produced under Project Sustainable Human Resource Development in

The Training Material on Supply Chain Collaboration & Logistics Solutions has been produced under Project Sustainable Human Resource Development in The Training Material on Supply Chain Collaboration & Logistics Solutions has been produced under Project Sustainable Human Resource Development in Logistic Services for ASEAN Member States with the support

More information

Marketing Channels: Delivering Customer Value

Marketing Channels: Delivering Customer Value Chapter Twelve : Delivering Customer Value : Delivering Customer Value Topic Outline Supply Chains and the Value Delivery Network Channel Decisions Public Policy and Distribution Decisions Supply Chains

More information

Chapter Twelve Marketing Channels: Delivering Customer Value

Chapter Twelve Marketing Channels: Delivering Customer Value Chapter Twelve Marketing Channels: Delivering Customer Value Marketing Channels: Delivering Customer Value Topic Outline Supply Chains and the Value Delivery Network The Nature and Importance of Marketing

More information

Transportation. Transportation decisions. The role of transportation in the SC. A key decision area within the logistics mix

Transportation. Transportation decisions. The role of transportation in the SC. A key decision area within the logistics mix Transportation A key decision area within the logistics mix Chapter 14 Transportation in the Supply Chain Inventory Strategy Forecasting Storage decisions Inventory decisions Purchasing & supply planning

More information

Logistics Management SC Performance, SC Drivers and Metrics. Özgür Kabak, Ph.D.

Logistics Management SC Performance, SC Drivers and Metrics. Özgür Kabak, Ph.D. Logistics Management SC Performance, SC Drivers and Metrics Özgür Kabak, Ph.D. Outline Supply Chain Performance: Achieving Strategic Fit and Scope Competitive and supply chain strategies Achieving strategic

More information

LOGISTICS & SUPPLY CHAIN MANAGEMENT

LOGISTICS & SUPPLY CHAIN MANAGEMENT LOGISTICS & SUPPLY CHAIN MANAGEMENT Section 1 Understanding the Supply Chain and its logistics activities C O R R A D O C E R R U T I What is Logistics? Logistics takes care of the activities and the decisions

More information

COMM 391. Introduction to Management Information Systems. Case 9.1 The Next Step in Customer Relationship Management

COMM 391. Introduction to Management Information Systems. Case 9.1 The Next Step in Customer Relationship Management COMM 391 Introduction to Management Information Systems Winter 2014 Term 1 IT S ROLE IN CUSTOMER RELATIONSHIP MANAGEMENT AND SUPPLY CHAIN MANAGEMENT Case 9.1 The Next Step in Customer Relationship Management

More information

Supply Chain Design and the effects on shipping

Supply Chain Design and the effects on shipping Supply Chain Design and the effects on shipping Agenda Introductions Supply Chain Evolution LLamasoft - Company Supply Chain Guru - Product Shipping Demonstration Q & A Introductions Tom Davies Director

More information

Load Building and Route Scheduling

Load Building and Route Scheduling Load Building and Route Scheduling for SAP ERP Optimization Excellence Advanced 3D Load Building and Dynamic Route Scheduling Designed for use with SAP ERP Maximize your SAP ERP capabilities for shipping

More information

Vendor. Managed Inventory. Functionality to Support All Aspects of. Supplier Managed Inventory

Vendor. Managed Inventory. Functionality to Support All Aspects of. Supplier Managed Inventory Busi ness Solutio ns for Maximum Per formance Functionality to Support All Aspects of Supplier Managed Inventory One of the most widely used partnering initiatives for improving multi-company supply chain

More information

Introduction to. David Simchi-Levi. Professor of Engineering Systems Massachusetts Institute of Technology. Regional warehouses: Stocking points

Introduction to. David Simchi-Levi. Professor of Engineering Systems Massachusetts Institute of Technology. Regional warehouses: Stocking points Introduction to Supply Chain Management David Simchi-Levi Professor of Engineering Systems Massachusetts Institute of Technology Sources: Plants vendors ports Regional warehouses: Stocking points Field

More information

Chapter 9 Managing Inventory in the Supply Chain

Chapter 9 Managing Inventory in the Supply Chain Chapter 9 Managing Inventory in the Supply Chain Inventory is an asset on the balance sheet and inventory cost is an expense on the income statement. Inventories impacts return on asset (ROA) Inventory

More information

Vendor Managed Inventory. A Guide to VMI. This whitepaper is written by Clear Spider Visit us at www.clearspider.com

Vendor Managed Inventory. A Guide to VMI. This whitepaper is written by Clear Spider Visit us at www.clearspider.com Vendor Managed Inventory A Guide to VMI This whitepaper is written by Clear Spider Visit us at www.clearspider.com VMI Basics Managing your clients inventory can be challenging and costly if not done properly.

More information

Electronic Data Interchange EDI

Electronic Data Interchange EDI Electronic Data Interchange EDI What is EDI? Electronic Data Interchange is the computer to computer exchange of business documents in standard formats between companies. The EDI standards are developed

More information

Find the Right Partner: Selecting a VMI Provider

Find the Right Partner: Selecting a VMI Provider Find the Right Partner: Selecting a VMI Provider By: Christina Woodall Assistant Media Manager Austin Hardware & Supply, Inc. Executive Summary In your business, you have a multitude of buy-sell relationships.

More information

List of Tables. Table No Title Page No 2.1 Market Segments in Indian retail 25

List of Tables. Table No Title Page No 2.1 Market Segments in Indian retail 25 List of Tables Table No Title Page No 2.1 Market Segments in Indian retail 25 2.2 Organized retail penetration levels 25 3.1 Pattern of control in ABC analysis 58 3.2 Various selective inventory control

More information

VISION. Inventory management with the intelligence to help you balance supply with demand throughout the supply chain BROCHURE

VISION. Inventory management with the intelligence to help you balance supply with demand throughout the supply chain BROCHURE VISION Inventory management with the intelligence to help you balance supply with demand throughout the supply chain BROCHURE THE VISION ADVANTAGE Range and category management should not be a monthly

More information

Model, Analyze and Optimize the Supply Chain

Model, Analyze and Optimize the Supply Chain Model, Analyze and Optimize the Supply Chain Optimize networks Improve product flow Right-size inventory Simulate service Balance production Optimize routes The Leading Supply Chain Design and Analysis

More information

SCM. Logistics, Service, and Operations Management daeki@korea.ac.kr

SCM. Logistics, Service, and Operations Management daeki@korea.ac.kr SCM Logistics, Service, and Operations Management daeki@korea.ac.kr Key concerns Demand/supply/lead time variability Inventory & Transportation Information technology Technological advances Level of service

More information

Information and Responsiveness in Spare Parts Supply Chains

Information and Responsiveness in Spare Parts Supply Chains Information and Responsiveness in Spare Parts Supply Chains Table of Contents 1.0 Motivation... 3 2.0 What is Supply Chain?... 3 2.1 Spare Parts Supply Chain... 4 2.2 Spare Part Supply Chain Characteristics...

More information

DIRECT SHIPMENT VS. CROSS DOCKING

DIRECT SHIPMENT VS. CROSS DOCKING Advanced Logistic Systems Vol. 6. No. 1. (2012) pp. 83-88. DIRECT SHIPMENT VS. CROSS DOCKING TAMÁS BÁNYAI 1 Abstract: The globalization of production and service enterprises increased the complexity of

More information

Datasheet Electronic Kanban Ultriva vs. ERP ekanban Modules By Narayan Laksham

Datasheet Electronic Kanban Ultriva vs. ERP ekanban Modules By Narayan Laksham Datasheet Electronic Kanban Ultriva vs. ERP ekanban Modules By Narayan Laksham Summary: Several ERP vendors offer rudimentary Kanban modules to compliment their MRP systems. However, these Kanban modules

More information

For Improved Efficiency, look at the supply Chain and Outsourcing Management

For Improved Efficiency, look at the supply Chain and Outsourcing Management For Improved Efficiency, look at the supply Chain and Outsourcing Management SESSION 6 : ALTERNATIVE FOR APPROPRIATE HEALTHCARE MANAGEMENT Maurice Rizkallah Certified Supply Chain Professional APICS On

More information

Business Challenges. Customer retention and new customer acquisition (customer relationship management)

Business Challenges. Customer retention and new customer acquisition (customer relationship management) Align and Optimize Workflows with Lean Dan Marino Marino Associates, LLC Strategic and tactical planning Information systems integration Customer retention and new customer acquisition (customer relationship

More information

Supply Chain Management (3rd Edition)

Supply Chain Management (3rd Edition) Supply Chain Management (3rd Edition) Chapter 9 Planning Supply and Demand in a Supply Chain: Managing Predictable Variability 9-1 Outline Responding to predictable variability in a supply chain Managing

More information

Supply Chain development - a cornerstone for business success

Supply Chain development - a cornerstone for business success Supply Chain development - a cornerstone for business success Agenda 1. Supply chain considerations 2. Benefits of a developed SCM strategy 3. Competitive advantage by using a LSP 4. CRM/SCM key to business

More information

Software for Supply Chain Design and Analysis

Software for Supply Chain Design and Analysis Software for Supply Chain Design and Analysis Optimize networks Improve product flow Position inventory Simulate service Balance production Refine routes The Leading Supply Chain Design and Analysis Application

More information

Planning & Allocation vs. Replenishment: When is Each the Best Strategy?

Planning & Allocation vs. Replenishment: When is Each the Best Strategy? Planning & Allocation vs. Replenishment: When is Each the Best Strategy? As a full line retailer, you carry many types of products to meet your customers needs. Everything from fashion softlines to commodity

More information

RFID System Description for Logistics & Inventory

RFID System Description for Logistics & Inventory RFID System Description for Logistics & Inventory 1. General The Vizbee platform is a flexible rule based solution for RFID based applications that can adapt to the customer s needs and evolve with them.

More information

Retail Supply Chain Management. 1. Current Status of Supply Chain Management in China

Retail Supply Chain Management. 1. Current Status of Supply Chain Management in China Retail 1. Current Status of Supply Chain Management in China page 1 Objectives Learn the supply chain management practices of MNREs in China Understand the current status of the supply chain management

More information

Inventory Management and Risk Pooling. Xiaohong Pang Automation Department Shanghai Jiaotong University

Inventory Management and Risk Pooling. Xiaohong Pang Automation Department Shanghai Jiaotong University Inventory Management and Risk Pooling Xiaohong Pang Automation Department Shanghai Jiaotong University Key Insights from this Model The optimal order quantity is not necessarily equal to average forecast

More information

Supply chain intelligence: benefits, techniques and future trends

Supply chain intelligence: benefits, techniques and future trends MEB 2010 8 th International Conference on Management, Enterprise and Benchmarking June 4 5, 2010 Budapest, Hungary Supply chain intelligence: benefits, techniques and future trends Zoltán Bátori Óbuda

More information

Mobility JSV ]SYV IJßGMIRG]

Mobility JSV ]SYV IJßGMIRG] Mobility 2 Mobility 3 Mobility 4 Work Order Management 5 Warehouse Management 6 Spare Part Management 3 Mobility enabling any company to integrate Warehouse Management, Spare Part Management, Field Services

More information

Contents. List of figures List of tables. Abbreviations

Contents. List of figures List of tables. Abbreviations Contents List of figures List of tables Preface Abbreviations xv xxi xxiii xxix PART 1 CONCEPTS OF LOGISTICS AND DISTRIBUTION 1 Introduction to logistics and distribution 3 Introduction 3 Definitions 4

More information

THE SUPPLY CHAIN MANAGEMENT AND OPERATIONS AS KEY TO FUTURE COMPETITIVENESS FOR RESEARCH, DEVELOPMENT AND MANUFACTURE OF NEW VEHICLES

THE SUPPLY CHAIN MANAGEMENT AND OPERATIONS AS KEY TO FUTURE COMPETITIVENESS FOR RESEARCH, DEVELOPMENT AND MANUFACTURE OF NEW VEHICLES Journal of KONES Powertrain and Transport, Vol. 18, No. 3 2011 THE SUPPLY CHAIN MANAGEMENT AND OPERATIONS AS KEY TO FUTURE COMPETITIVENESS FOR RESEARCH, DEVELOPMENT AND MANUFACTURE OF NEW VEHICLES Julen

More information

PSIwms - Warehouse Management Software in the Logistical Network

PSIwms - Warehouse Management Software in the Logistical Network PSIwms - Warehouse Management Software in the Logistical Network Future-oriented flexibility Software for comprehensive total solutions Flexibility, efficiency, transparency, sustainability and information

More information

Take Time and Cost Out of Your Inventory and Supply Chain - Exploit the Constraints of Forecasting!

Take Time and Cost Out of Your Inventory and Supply Chain - Exploit the Constraints of Forecasting! Take Time and Cost Out of Your Inventory and Supply Chain - Exploit the Constraints of Forecasting! A Thought-Leadership Whitepaper from MCA Associates By Howard W. Coleman, Principal Introduction: Do

More information

CHAPTER 11. Customer Relationship Management and Supply Chain Management

CHAPTER 11. Customer Relationship Management and Supply Chain Management CHAPTER 11 Customer Relationship Management and Supply Chain Management CHAPTER OUTLINE 11.1 Defining Customer Relationship Management 11.2 Operational Customer Relationship Management Systems 11.3 Analytical

More information

Chapter 2 Supply Chain Performance: Achieving Strategic Fit and Scope (24)

Chapter 2 Supply Chain Performance: Achieving Strategic Fit and Scope (24) Chapter 2 Supply Chain Performance: Achieving Strategic Fit and Scope (24) 2004 Prentice-Hall, Inc. 2-1 Outline Competitive and supply chain strategies Achieving strategic fit Expanding strategic scope

More information

A Programme Implementation of Several Inventory Control Algorithms

A Programme Implementation of Several Inventory Control Algorithms BULGARIAN ACADEMY OF SCIENCES CYBERNETICS AND INFORMATION TECHNOLOGIES Volume, No Sofia 20 A Programme Implementation of Several Inventory Control Algorithms Vladimir Monov, Tasho Tashev Institute of Information

More information

MEASURING THE IMPACT OF INVENTORY CONTROL PRACTICES: A CONCEPTUAL FRAMEWORK

MEASURING THE IMPACT OF INVENTORY CONTROL PRACTICES: A CONCEPTUAL FRAMEWORK MEASURING THE IMPACT OF INVENTORY CONTROL PRACTICES: A CONCEPTUAL FRAMEWORK Kamaruddin Radzuan 1, Abdul Aziz Othman 2, Herman Shah Anuar 3, Wan Nadzri Osman 4 1,2,3,4 School of Technology Management and

More information

Transportation Management

Transportation Management Transportation Management Network & Hubs Chris Caplice ESD.260/15.770/1.260 Logistics Systems Dec 2006 Distribution System Approach Distribution System Number and location of transshipment points Routes

More information

Optimization of the physical distribution of furniture. Sergey Victorovich Noskov

Optimization of the physical distribution of furniture. Sergey Victorovich Noskov Optimization of the physical distribution of furniture Sergey Victorovich Noskov Samara State University of Economics, Soviet Army Street, 141, Samara, 443090, Russian Federation Abstract. Revealed a significant

More information

Marketing Channels: MARKETING AN INTRODUCTION Armstrong/Kotler. Delivering Customer Value

Marketing Channels: MARKETING AN INTRODUCTION Armstrong/Kotler. Delivering Customer Value 10 MARKETING AN INTRODUCTION Armstrong/Kotler Marketing Channels: Delivering Customer Value Chapter Outline Supply Chains and the Value Delivery Network The Nature and Importance of Marketing Channels

More information

SUPPLY CHAIN AND CHANNEL MANAGEMENT

SUPPLY CHAIN AND CHANNEL MANAGEMENT C H A P T E R SUPPLY CHAIN AND CHANNEL MANAGEMENT 15 McGraw-Hill/Irwin Copyright 2012 by The McGraw-Hill Companies, Inc. All rights reserved. Supply Chain and Channel Management L E A R N I N G O B J E

More information

Park City Group Vendor Managed Inventory (VMI) vs. Spreadsheets

Park City Group Vendor Managed Inventory (VMI) vs. Spreadsheets Park City Group Vendor Managed Inventory (VMI) vs. Spreadsheets VMI Automation: Keeping Up With Change 3160 Pinebrook l Park City, UT 84098 l 435.645.2000 www.parkcitygroup.com Contents Introduction: Typewriters

More information

Sales Force Automation

Sales Force Automation Sales Force Automation Optimize your sales efforts with the familiar and intelligent features of Microsoft Dynamics CRM. Take advantage of a highly intuitive interface and embedded Microsoft Office capabilities

More information

Inventory basics. 35A00210 Operations Management. Lecture 12 Inventory management. Why do companies use inventories? Think about a Siwa store

Inventory basics. 35A00210 Operations Management. Lecture 12 Inventory management. Why do companies use inventories? Think about a Siwa store 35A00210 Operations Management Lecture 12 Inventory management Lecture 12 Inventory management Inventory basics Inventory basics Pros and cons of inventory Inventory numbers Inventory management in practice

More information

A PRELIMINARY INFORMATION MODEL FOR A SUPPLY CHAIN SIMULATION

A PRELIMINARY INFORMATION MODEL FOR A SUPPLY CHAIN SIMULATION A PRELIMINARY INFORMATION MODEL FOR A SUPPLY CHAIN SIMULATION Y. Tina Lee 1, Charles McLean 1, Shigeki Umeda 2 1 National Institute of Standards and Technology, Gaithersburg, MD 20899-8260, USA {leet,

More information

Risk-Pooling Effects of Emergency Shipping in a Two-Echelon Distribution System

Risk-Pooling Effects of Emergency Shipping in a Two-Echelon Distribution System Seoul Journal of Business Volume 8, Number I (June 2002) Risk-Pooling Effects of Emergency Shipping in a Two-Echelon Distribution System Sangwook Park* College of Business Administration Seoul National

More information

SUPPLY CHAIN MODELING USING SIMULATION

SUPPLY CHAIN MODELING USING SIMULATION SUPPLY CHAIN MODELING USING SIMULATION 1 YOON CHANG AND 2 HARRIS MAKATSORIS 1 Institute for Manufacturing, University of Cambridge, Cambridge, CB2 1RX, UK 1 To whom correspondence should be addressed.

More information

Enterprise Systems: From Supply Chains to ERP to CRM

Enterprise Systems: From Supply Chains to ERP to CRM Enterprise Systems: From Supply Chains to ERP to CRM Management Information Code: 164292-02 Course: Management Information Period: Autumn 2013 Professor: Sync Sangwon Lee, Ph. D D. of Information & Electronic

More information

Logistics Management Inventory Cycle Inventory. Özgür Kabak, Ph.D.

Logistics Management Inventory Cycle Inventory. Özgür Kabak, Ph.D. Logistics Management Inventory Cycle Inventory Özgür Kabak, Ph.D. Role of Inventory in the Supply Chain Improve Matching of Supply and Demand Improved Forecasting Reduce Material Flow Time Reduce Waiting

More information

Effect of Forecasting on Bullwhip Effect in Supply Chain Management

Effect of Forecasting on Bullwhip Effect in Supply Chain Management Effect of Forecasting on Bullwhip Effect in Supply Chain Management Saroj Kumar Patel and Priyanka Jena Mechanical Engineering Department, National Institute of Technology, Rourkela, Odisha-769008, India

More information

Best Practices for Transportation Management

Best Practices for Transportation Management Best Practices for Transportation Management www.ohl.com or 877-401-6400 Introduction The mantra for all transportation professionals is simple: reduce costs and increase customer satisfaction levels.

More information

HEALTHCARE SOLUTIONS INTEGRATED MEDICATION MANAGEMENT SOLUTIONS FOR INNOVATIVE HOSPITALS

HEALTHCARE SOLUTIONS INTEGRATED MEDICATION MANAGEMENT SOLUTIONS FOR INNOVATIVE HOSPITALS HEALTHCARE SOLUTIONS INTEGRATED MEDICATION MANAGEMENT SOLUTIONS FOR INNOVATIVE HOSPITALS A LONG HISTORY OF INNOVATION IN SAFE AND EFFICIENT TAILORED AUTOMATED DRUG MANAGEMENT SYSTEMS «SWISSLOG, AN ESTABLISHED

More information

E-SUPPLY CHAINS AND COLLABORATIVE COMMERCE

E-SUPPLY CHAINS AND COLLABORATIVE COMMERCE E-SUPPLY CHAINS AND COLLABORATIVE COMMERCE Spring 2011 e-commerce Implementation Collaborative Commerce Technology allows allied businesses to work together to best meet the demands of the marketplace.

More information

abf Avercast Business Forecasting The Trusted Name in Demand Management. Software Features: Enterprise Level Software Solutions for: The Cloud

abf Avercast Business Forecasting The Trusted Name in Demand Management. Software Features: Enterprise Level Software Solutions for: The Cloud Avercast Business Forecasting Avercast Business Forecasting (ABF) is powered by an industry leading 187 forecasting algorithms. ABF systematically measures each algorithm against up to five years of historical

More information

Yusen Logistics (Italy) S.p.A. A Company Profile

Yusen Logistics (Italy) S.p.A. A Company Profile Yusen Logistics (Italy) S.p.A. A Company Profile Yusen Logistics Global - Mission Statement Mission Contribute to global economic development and maximize corporate value by earning the trust of our customers

More information

SEVEN KEYS TO WIN- WIN VMI PARTNERSHIPS FOR AEROSPACE COMPANIES

SEVEN KEYS TO WIN- WIN VMI PARTNERSHIPS FOR AEROSPACE COMPANIES SEVEN KEYS TO WIN- WIN VMI PARTNERSHIPS FOR AEROSPACE COMPANIES Getting from push to pull using vendor-managed inventory. WHITE PAPER Andy Bergin / V4 / Apr 2012 Waer Systems Limited 2013 1 Introduction

More information

Participant(s) Project manager, employees from the IT department, and key employees, who work with or disseminate data in the supply chain.

Participant(s) Project manager, employees from the IT department, and key employees, who work with or disseminate data in the supply chain. MASTER DATA Purpose The purpose of this tool is to provide an overview over the quality of master data in the company s supply chain. Master data is data that is typed once in order to be used repeatedly.

More information

Supply Chain Performance: The Supplier s Role

Supply Chain Performance: The Supplier s Role Supply Chain Performance: The Supplier s Role March 2005 Industry Directions Inc. www.industrydirections.com Companies of all sizes are realizing that they no longer have complete control over their market

More information

Increasing operational efficiency through improved customer service a case from the process maintenance business

Increasing operational efficiency through improved customer service a case from the process maintenance business Increasing operational efficiency through improved customer service a case from the process maintenance business Jaana Auramo, Kari Tanskanen and Johanna Småros Department of Industrial Engineering and

More information

Supplier Scheduling Systems Min/Max and PODS Suppliers. Greg Smiley Central Supply Chain Procurement Systems

Supplier Scheduling Systems Min/Max and PODS Suppliers. Greg Smiley Central Supply Chain Procurement Systems Supplier Scheduling Systems Min/Max and PODS Suppliers Greg Smiley Central Supply Chain Procurement Systems Min/Max Supplier Training Min/Max Concept Min/Max History Min/Max Web Screens in the Portal Order

More information

Supporting the Perfect Order: Collaborative S&OP and VMI

Supporting the Perfect Order: Collaborative S&OP and VMI Supporting the Perfect Order: Collaborative S&OP and VMI October 30, 2012 Frankfurt, Germany Gary Neights Director, Product Management The Multi-Echelon Supply Chain Plan Your Supplier s Suppliers Your

More information

Replenishment: What is it exactly and why is it important?

Replenishment: What is it exactly and why is it important? Replenishment: What is it exactly and why is it important? Dictionaries define Replenishment as filling again by supplying what has been used up. This definition does not adequately address the business

More information

ORTEC Inventory Routing

ORTEC Inventory Routing ORTEC Inventory Routing 06-10-2011 Huub Vankan (Product Manager) Agenda Why ORTEC IR? What is ORTEC IR? What does ORTEC IR? Where to apply ORTEC IR? Where is ORTEC IR now? 7-10-2011 2 ORTEC IR Why? 7-10-2011

More information

Five Tips to Achieve a Lean Manufacturing Business

Five Tips to Achieve a Lean Manufacturing Business Five Tips to Achieve a Lean Manufacturing Business Executive Overview Introduction The more successful manufacturers today are those with the ability to meet customer delivery schedules while maintaining

More information

Improving Inbound Logistics: Summary

Improving Inbound Logistics: Summary Semi-finished goods Improving Inbound Logistics: Summary Author: C.M. van Baar As a result of the shift in focus from outbound logistics, which includes the flows to the customers, to inbound logistics,

More information

Intelligent Transportation Solutions for Sustainable City Logistics: Issues and Prospects

Intelligent Transportation Solutions for Sustainable City Logistics: Issues and Prospects TRANSPORTATION CENTER NORTHWESTERN UNIVERSITY Intelligent Transportation Solutions for Sustainable City Logistics: Issues and Prospects Hani S. Mahmassani LOGISTICS part of the supply chain process that

More information

Chapter 16 Strategic Challenges and Emerging Changes for Supply Chains

Chapter 16 Strategic Challenges and Emerging Changes for Supply Chains Chapter 16 Strategic Challenges and Emerging Changes for Supply Chains Supply chain success will be facilitated by the development of effective, collaborative relationships between supply chain participants.

More information

Collaborative Supply Chain Management Learning Using Web-Hosted Spreadsheet Models ABSTRACT

Collaborative Supply Chain Management Learning Using Web-Hosted Spreadsheet Models ABSTRACT Collaborative Supply Chain Management Learning Using Web-Hosted Spreadsheet Models Don N. Pope Abilene Christian University, ACU Box 29309, Abilene, Texas 79699-9309 Phone: 325-674-2786 Fax: 325-674-2507

More information

E217 Inventory Management (4 Modular Credits)

E217 Inventory Management (4 Modular Credits) E17 Inventory Management ( Modular Credits) This document addresses the content related abilities, with reference to the module. Abilities of learning, thinking, problem solving, teamwork, communication,

More information

GXS Active. Orders. Optimizing the Procure-to-Pay Process. Order Planning and Execution. Order Lifecycle Management. www.gxs.com

GXS Active. Orders. Optimizing the Procure-to-Pay Process. Order Planning and Execution. Order Lifecycle Management. www.gxs.com www.gxs.com SM GXS Active Orders Optimizing the Procure-to-Pay Process GXS Active Orders automates the procure-to-pay process for companies interacting with a global and diverse supplier community. Active

More information

Optimizing Inventory in Today s Challenging Environment Maximo Monday August 11, 2008

Optimizing Inventory in Today s Challenging Environment Maximo Monday August 11, 2008 Optimizing Inventory in Today s Challenging Environment Maximo Monday August 11, 2008 1 Agenda The Value Proposition Case Studies Maximo/DIOS Offering Getting Started Q&A 2 Current Inventory Management

More information

Valves, controls + systems Optimisation of logistics and business processes

Valves, controls + systems Optimisation of logistics and business processes Innovation + Quality Valves, controls + systems Optimisation of logistics and business processes Information Costs Quality SERVICE Time ADVICE Introduction Supply chain / Processes A R G E / S y n o m

More information

Inventory Management and Risk Pooling

Inventory Management and Risk Pooling CHAPTER 3 Inventory Management and Risk Pooling CASE JAM Electronics: Service Level Crisis JAM Electronics is a Korean manufacturer of products such as industrial relays. The company has five Far Eastern

More information

ESTIMATING THE FINANCIAL BENEFITS OF VENDOR MANAGED INVENTORY (VMI)

ESTIMATING THE FINANCIAL BENEFITS OF VENDOR MANAGED INVENTORY (VMI) ESTIMATING THE FINANCIAL BENEFITS OF VENDOR MANAGED INVENTORY (VMI) How to quantify the savings delivered by a vendor managed inventory programme. WHITE PAPER David Snelson / V4 / Jul 2012 Waer Systems

More information

Supply Chain Management

Supply Chain Management PMBA8155 Operations Management Supply Chain Management Learning Objectives Understand Concepts and Issues in Supply Chain Management Supply chain and supply chain management Bullwhip effect Vendor managed

More information

OCCUPATIONAL STANDARD (For use in the development of supply chain related job descriptions, performance evaluations, career development plans, etc.

OCCUPATIONAL STANDARD (For use in the development of supply chain related job descriptions, performance evaluations, career development plans, etc. OCCUPATIONAL STANDARD (For use in the development of supply chain related job descriptions, performance evaluations, career development plans, etc.) Description of Position (As defined by the CSCSC Stakeholder

More information

Chapter 11 Distribution - Managing Fulfillment Operations

Chapter 11 Distribution - Managing Fulfillment Operations Chapter 11 Distribution - Managing Fulfillment Operations Modern distribution focuses on the flow of products at lowest cost and meeting customer expectations Not just traditional long term storage Provide

More information

Chapter 7. 7.1 Introduction. Distribution Strategies. Traditional Warehousing. 7.3. Intermediate Inventory Storage Point Strategies

Chapter 7. 7.1 Introduction. Distribution Strategies. Traditional Warehousing. 7.3. Intermediate Inventory Storage Point Strategies 7.1 Introduction McGraw-Hill/Irwin Chapter 7 Distribution Strategies Copyright 2008 by The McGraw-Hill Companies, Inc. All rights reserved. Focus on the distribution function. Various possible distribution

More information

Managing demand uncertainty People, processes and leadership revolutionize HP media s supply chain

Managing demand uncertainty People, processes and leadership revolutionize HP media s supply chain Managing demand uncertainty People, processes and leadership revolutionize HP media s supply chain BY ROB WILKINS, BUBLU THAKUR-WEIGOLD AND STEPHAN M. WAGNER 30 Industrial Engineer While fickle consumers,

More information

A Review of Integrated Analysis of Production-Distribution Systems

A Review of Integrated Analysis of Production-Distribution Systems A Review of Integrated Analysis of Production-Distribution Systems Ana Maria Sarmiento, Rakesh Nagi y Department of Industrial Engineering, 342 Bell Hall State University of New York at Buffalo, Buffalo,

More information

Note Logistics documents at MAN Truck & Bus AG (MTB) 1. Overview of Logistics documents... 2. 2. Logistics Key Data Sheet... 3

Note Logistics documents at MAN Truck & Bus AG (MTB) 1. Overview of Logistics documents... 2. 2. Logistics Key Data Sheet... 3 Note documents at MAN Truck & Bus AG (MTB) 1. Overview of documents... 2 2. Key Data Sheet... 3 3.... 4 4. Agreement... 5 5. and Packaging Direction... 6 6. Shipping Instructions... 7 Munich, September

More information

Operations and Supply Chain Management Prof. G. Srinivasan Department of Management Studies Indian Institute of Technology, Madras

Operations and Supply Chain Management Prof. G. Srinivasan Department of Management Studies Indian Institute of Technology, Madras Operations and Supply Chain Management Prof. G. Srinivasan Department of Management Studies Indian Institute of Technology, Madras Lecture - 36 Location Problems In this lecture, we continue the discussion

More information

Small Lot Production. Chapter 5

Small Lot Production. Chapter 5 Small Lot Production Chapter 5 1 Lot Size Basics Intuition leads many to believe we should manufacture products in large lots. - Save on setup time - Save on production costs Costs associated with Lots

More information

Chapter 8 Order Management and Customer Service

Chapter 8 Order Management and Customer Service Chapter 8 Order Management and Customer Service Order Management executes the operating plan based on demand forecast. It is the interface between buyers and sellers and consists of: Influencing the Order

More information

Slotting. Review of Slotting Processes. Best Practices Guide

Slotting. Review of Slotting Processes. Best Practices Guide Best s Guide Slotting Warehouse slotting is defined as the placement of products within a warehouse facility. Its objective is to maximize the use of a warehouse s available cube space by improved storage

More information

MSD Supply Chain Programme Strategy Workshop

MSD Supply Chain Programme Strategy Workshop MSD Supply Chain Programme Strategy Workshop Day 2 APPENDIX Accenture Development Partnerships Benchmarking MSD s Current Operating Supply Chain Capability 1.0 Planning 2.0 Procurement 3.0 Delivery 4.0

More information

COORDINATION IN THE SUPPLY CHAIN: VENDOR MANAGED INVENTORY IS THE WAY TO GO

COORDINATION IN THE SUPPLY CHAIN: VENDOR MANAGED INVENTORY IS THE WAY TO GO www.sjm.tf.bor.ac.yu Serbian Journal of Management 1 (1) (2006) 41-47 Serbian Journal of Management COORDINATION IN THE SUPPLY CHAIN: VENDOR MANAGED INVENTORY IS THE WAY TO GO R. Piplani * Center for Supply

More information

What is Supply Chain Management? Professor Ladimer S. Nagurney Department of Electrical and Computer Engineering University of Hartford June 29, 2013

What is Supply Chain Management? Professor Ladimer S. Nagurney Department of Electrical and Computer Engineering University of Hartford June 29, 2013 What is Supply Chain Management? Professor Ladimer S. Nagurney Department of Electrical and Computer Engineering University of Hartford June 29, 2013 What is a Supply Chain? A supply chain consists of

More information

EVERYTHING YOU NEED TO KNOW ABOUT INVENTORY

EVERYTHING YOU NEED TO KNOW ABOUT INVENTORY EVERYTHING YOU NEED TO KNOW ABOUT INVENTORY Introduction Inventory is considered the necessary evil of the supply chain. In fact, there has been a whole movement; lean manufacturing that has tried to reduce

More information

Measuring Performance of Reverse Supply Chains in a Computer Hardware Company

Measuring Performance of Reverse Supply Chains in a Computer Hardware Company Measuring Performance of Reverse Supply Chains in a Computer Hardware Company M.B. Butar Butar, D. Sanders, G. Tewkesbury 1 School of Engineering, University of Portsmouth, Portsmouth, United Kingdom (mde80356@myport.ac.uk)

More information

APPENDIX B. The Risk Pool Game B.1 INTRODUCTION

APPENDIX B. The Risk Pool Game B.1 INTRODUCTION APPENDIX B The Risk Pool Game B.1 INTRODUCTION One of the most important concepts in supply chain management is risk pooling. Recall that risk pooling involves the use of centralized inventory to take

More information

Web based Multi Product Inventory Optimization using Genetic Algorithm

Web based Multi Product Inventory Optimization using Genetic Algorithm Web based Multi Product Inventory Optimization using Genetic Algorithm Priya P Research Scholar, Dept of computer science, Bharathiar University, Coimbatore Dr.K.Iyakutti Senior Professor, Madurai Kamarajar

More information

Planning and Operating Logistics Networks in Europe Dr. Stefan Wolff CEO, 4flow AG

Planning and Operating Logistics Networks in Europe Dr. Stefan Wolff CEO, 4flow AG Planning and Operating Logistics Networks in Europe Dr. Stefan Wolff CEO, 4flow AG Prague June 26, 2006 Content About 4flow 4flow vista Standard Software for Supply Chain Design Optimizing European Logistics

More information

Supply Chain Management: Risk pooling

Supply Chain Management: Risk pooling Supply Chain Management: Risk pooling Donglei Du (ddu@unb.edu) Faculty of Business Administration, University of New Brunswick, NB Canada Fredericton E3B 9Y2 Donglei Du (UNB) SCM 1 / 24 Table of contents

More information