FINALS

• Supply Chain Management


  The strategic coordination of the supply chain for the purpose of integrating supply and demand management
• Supply Chain


  A sequence of organization - their facilities, functions, and activities - that are involved in producing and delivering a product or service
• Logistics


  The part of a supply chain involved with the forward and reverse flow of goods, services, cash, and information
• Outsourcing


  Buying goods or services instead of producing or providing them in-house
• The Need for Supply Chain Management

  • The need to improve operations
  • Increasing level of outsourcing
  • Increasing transportation costs
  • Competitive pressure
  • Increasing globalization
  • Increasing importance of e-business
  • The complexity of supply chains
  • The need to manage inventories
  • Green supply chains
• Elements of Supply Chain Management

  • Customers forecasting design
  • Capacity planning processing inventory
  • Purchasing
  • Suppliers
  • Location
  • Logistics
• Reverse Logistics


  The backward flow of goods returned to the supply chain from their final destination
• Gatekeeping


  Screening turned goods to prevent incorrect acceptance of goods
• 1. business


  The use of electronic technology to facilitate business transactions
• Inventory management is a core operations management activity. Good inventory management is important for the successful operation of most businesses and their supply chain
• Inventory

  A stock or store of goods. Firms typically stock hundreds or even thousands of items in inventory, ranging from small things such as pencils, paper clips, screws, nuts and bolts to large items such as machines, trucks, construction equipment, and airplanes
• Inventories are a vital part of business. Not only are they necessary for operations, but they also contribute to customer satisfaction
• Functions of Inventory

  • To meet anticipated customer demand
  • To smooth production requirements
  • To decouple operations
  • To protect against stockouts
  • To take advantage of order cycles
  • To hedge against price increases
  • To permit operations
• Inventory Costs


  • Holding (carrying) cost
  • Ordering costs
  • Shortage costs
• Quantity Discount


  Price reductions for large orders
• Cycle Counting


  A physical count of items in inventory
• Periodic System


  Physical count of items in inventory made at periodic intervals (weekly, monthly)
• Scheduling


  Establishing the timing of the use of equipment, facilities, and human activities in organization
• Factors that determine the success of a scheduling system

  • Process and product design
  • Preventive maintenance
  • Rapid repair when breakdowns occur
  • Optimal product mixes
  • Minimization of quality problems
• Loading


  Refers to the assignment of jobs to processing (work) centers. Loading decisions involve assigning specific jobs to work centers and to various machines in the work centers
• Gantt Chart


  Chart used as visual aid for loading and scheduling purposes
• Load Chart


  A Gantt chart that shows the loading and idle times for a group of machines or list of departments
• Infinite Loading


  Jobs are assigned to work centers without regard to the capacity of the work center
• Finite Loading


  Jobs are assigned to work centers taking into account the work center capacity and job processing times
• Schedule Chart


  A Gantt chart that shows the orders or jobs in progress and whether they are on schedule
• Forward Scheduling


  Scheduling ahead from a point in time
• Backward Scheduling


  Scheduling backward from a due date
• Supply Chain Management


  The strategic coordination of the supply chain for the purpose of integrating supply and demand management
• Supply Chain


  A sequence of organization - their facilities, functions, and activities - that are involved in producing and delivering a product or service
• Logistics


  The part of a supply chain involved with the forward and reverse flow of goods, services, cash, and information
• Outsourcing


  Buying goods or services instead of producing or providing them in-house
• The Need for Supply Chain Management

  • The need to improve operations
  • Increasing level of outsourcing
  • Increasing transportation costs
  • Competitive pressure
  • Increasing globalization
  • Increasing importance of e-business
  • The complexity of supply chains
  • The need to manage inventories
  • Green supply chains
• Elements of Supply Chain Management

  • Customers forecasting design
  • Capacity planning processing inventory
  • Purchasing
  • Suppliers
  • Location
  • Logistics
• Reverse Logistics


  The backward flow of goods returned to the supply chain from their final destination
• Gatekeeping


  Screening turned goods to prevent incorrect acceptance of goods
• 1. business


  The use of electronic technology to facilitate business transactions
• Inventory management is a core operations management activity. Good inventory management is important for the successful operation of most businesses and their supply chain
• Inventory


  A stock or store of goods. Firms typically stock hundreds or even thousands of items in inventory, ranging from small things such as pencils, paper clips, screws, nuts and bolts to large items such as machines, trucks, construction equipment, and airplanes
• Inventories are a vital part of business. Not only are they necessary for operations, but they also contribute to customer satisfaction
• Functions of Inventory


  • To meet anticipated customer demand
  • To smooth production requirements
  • To decouple operations
  • To protect against stockouts
  • To take advantage of order cycles
  • To hedge against price increases
  • To permit operations