Learning objectives Highlight the role of logistics and supply chain. how logistics and supply chain strategy can

Transcription

1 講師 : 周世玉 Shihyu Chou

2 Learning objectives Highlight the role of logistics and supply chain strategy in the context of firm strategy, and see how logistics and supply chain strategy can actually sometimes drive firm strategy Outline the evolution of manufacturing, from which various logistics and supply chain strategies have emerged Look at both lean and agile logistics i strategies, and the role of mass customization in the latter Develop a taxonomy of supply chain strategies

3 Outline Definitions of logistics and SCM Strategy The evolution of manufacturing Lean production Agile supply chains and mass customization Combined logistics strategies Critical factors to consider in supply chain planning

4 What is logistics? Logistics involves getting, in the right way, the right product, in the right quantity and right quality, in the right place at the right time, for the right customer at the right cost (8Rs) It s not just trucks and sheds

5 What is supply chain management? The supply chain is the network of organizations that are involved, through upstream and downstream linkages, in the different processes and activities that produce value in the form of products and services in the hands of the ultimate consumer Supply chain management (SCM) is the management across a network of upstream and downstream organizations of material, information and resource flows that lead to the creation of value in the form of products and / or services

6 Strategy Strategyt It is about planning and configuring the organization for the future according to certain stakeholder expectations. A particular long term plan for success An organization without a strategy is like a ship without t a compass

7 Corporate strategy Firm level Business unit strategy SBU levell Functional strategy Top-down view departmental level (marketing, roduction, logistics, )

8 Corporate Strategy SBU A s Strategy SBU B s strategy Strategy: Function A1 Strategy: Function A2 Strategy: Function A3 Strategy: Function B1 Strategy: Function B2 Strategy: Function B3 Logistics & SCM Strategy A holistic view of logistics and SCM strategy formulation

9 SCM is an activity that is truly cross-functional and not limited to one functional area. Companies need to evolve their strategies to meet the challenges of the dynamic, ever changing business environment. Integration is a key feature of effective SCM Formulating a strategy for logistics and SCM should not be restricted to the logistics function; instead it should involve taking a cross-functional, process based perspective.

10 The evolution of manufacturing Mass production Output volume Lean production Mass production Craft production Output variety The evolution of production strategy

11 Toyota Production System (TPS) is the origin of lean production o and lean logistics. (Kiichiro Toyota, Taiichi Ohno, and others) They improved the Ford can production model and also included the thinking of quality. TPS: The emphasis is not on the efficiency of individual The emphasis is not on the efficiency of individual machines, but on the flows through the system.

12 Lean Production Lean production: Quick machine turnover, elimination of waste, even production flows, low levels of inventory, faster total process time, achieving total quality Pulled system (JIT) rather than push system Eliminating i waste in a pull based value stream of activities with level production (i.e. even production runs with neither idle time nor surges in demand) and just-in-time inventory management

13 Typical wastes: Overproduction, waiting, transportation, inappropriate processing, unnecessary inventory, unnecessary motion, defects A key aspect of lean is ensuring that value is added at each stage of the process and steps in the process that do not add value are eliminated

14 Lean can also be applied in the service context. Lean consumption, the principles: i Solve the customer s problem completely Don t waste the customer s time Provide exactly what the customer wants Provide what s wanted exactly where it s wanted Provide what s wanted where it s wanted exactly when it s wanted Continually aggregate solutions to reduce the customer s time and hassle.

15 Agile supply chains and mass customization Agile supply chains The agile supply chain is a demand-pull chain designed to cope with volatile demand. Structured so as to allow maximum flexibility Enabled by mass customization Often incorporates postponed production Mass customization involves customization into various different finished products of what are largely mass produced product.

16 Mass customization Customers usually concentrate on the dissimilar features among the similar products. Different product configurations contain a majority of shared components and features to accommodate volume and variety Enabled by postponement the reconfiguration of product and process design so as to allow postponement of final product customization as far downstream as possible Not only applied to manufacturing E.g. Packaging postponement is merely delaying final packaging of products until customer orders are received

17 Before standardization After standardization The principle of postponement

18 Toyota ota AYGO Citroen C1 Peugeot 107 All three are produced in the new, purpose-built p p p joint TPCA factory in the Czech Republic All three share 92% of the same components

19 Combined logistics strategies Long lead time Short lead time Lean Plan and Execute Lean Continuous replenishment Predictable demand Leagile Postponement Agile Quick Response Unpredictable demand Supply demand characteristics Short lead time + predictable demand Resulting pipelines Lean, continuous replenishment Short tlead dti time + unpredictable ditbl demand d Agile, quick response Long lead time + predictable demand Lean, planning and execution Long lead time + unpredictable demand Leagile production/logistics postponement p A taxonomy for selecting global supply chain strategies

20 Manufacture of base product Lean Agile Final Markets Decoupling point The leagile supply chain (the base product can be manufactured at a remote location and shipped to locations nearer the final market)

21 Critical factors to consider in supply chain planning Critical factors to consider in supply chain planning (I) Living supply ppy chains Companies use a process of dynamic alignment to match changing customer needs and desires with different supply strategies. Focus on processes and flows A supply chain approach in that it allows a full end-to-end perspective rather than focus on separate functional areas

22 Critical factors to consider in supply chain planning (II) Focus on high level objectives The best supply chains are agile, adaptable and have aligned interests among the firms in the supply chain. This is a Triple A Supply ppy Chain. (Hau Lee from Stanford) The importance of people It s people who drive the supply chain, both inside and It s people who drive the supply chain, both inside and outside a firm, not hard assets or technology. You can t do anything without the right people.

23 Critical factors to consider in supply chain planning (III) Its supply chains that compete Increasingly gyit is supply ppychains that compete more so than individual firms and products A company can have the best and most sophisticated product in the world, but if it doesn t have a good supply chain behind it, then it will likely not be able to compete, especially in terms of cost and speed, and indeed many other attributes also.