BU395 Study Guide - Midterm Guide: Vendor-Managed Inventory, Carrying Cost, Cross-Docking
Document Summary
Supply chain- sequence of organizations- facilities and activities- that are involved in producing and delivering a product. Movement of material (towards end of chain) information and money (towards beginning of chain) Supply chain management- collaboration and coordination of all components of the supply chain so that market demand is met as efficiently as possible. Improve operations- achieve improved quality, wringing out excessive costs: outsourcing- buying goods or services instead of producing or providing them in- house. Increasing e-commerce: bullwhip effect- demand variability is progressively larger moving upstream through a supply chain. ), slow reactions to changes in demand upstream (dc) due to lack of demand visibility and large lead times. Manufacturer price discounts, gaming by retailers- inflating orders in anticipation of receiving a portion of them. Strategic (design) activities- strategic decisions have long term impact on supply chains. Goals then quality, cost, variety, timeliness, fill rate.
