8/8/2019 Scm -Trends and Challenges
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Challenges – of Supply Chain Management
Complex Supply Chain Global Business Computerization / Automation New Technologies Operational Productivity
Future trend -Supply Chain
Management
8/8/2019 Scm -Trends and Challenges
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1. Reason for growth
1. Growth of IT
2. Growth of Infrastructure
3. Air traffic development
21 st Century Supply Chain
Management
8/8/2019 Scm -Trends and Challenges
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1. Computerization – CRM/DRP/MRP/SCM
2. RFID / Universal Bar-coding
3. Robotics / FMS / Automation
4. Zero Inventory / Zero Defect / LeanMfg /JIT
5. Electronic Fund transfers / Internetbanking
6. Outsourcing 3 PL/ 4
Nature of SCM IN 21ST Century
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8/8/2019 Scm -Trends and Challenges
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Customer service AND
Supply Chain Management Core Product expectations
Quality
Product features
Technology
Durability
Customer service expectations Delivery lead time & flexibility
Delivery reliability and consistency Single point of contact
Ease of doing business
After sales - Support
8/8/2019 Scm -Trends and Challenges
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Customer service AND
Supply Chain Management Customer service elements
Pre transactional elements
Transactional Elements
Post transactional elements
8/8/2019 Scm -Trends and Challenges
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Customer service AND
Supply Chain Management Customer service elements
Pre transactional elements
Written customer service policy
Accessibility
Organization structure
System flexibility
8/8/2019 Scm -Trends and Challenges
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Customer service AND
Supply Chain Management Customer service elements
Transactional elements
Order cycle time
Inventory availability
Order fill rate
Order status information
8/8/2019 Scm -Trends and Challenges
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Customer service AND
Supply Chain Management Customer service elements
Post-Transactional elements
Availability of spares Call out time Product tracing / Warranty Customer complaints / claims
8/8/2019 Scm -Trends and Challenges
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customer service /
satisfaction Setting customer service priority
Setting stock availability matrix
Managing product service levels
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customer service /
satisfaction Setting customer service priority
ABC
AAB
C
C
SALES
CUSTOMERS
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customer service /
satisfaction Setting
stock
availabilitymatrix
Stock AvailabilityMatrix
Products StockAvailability
A 99%B 97%
C 90%
8/8/2019 Scm -Trends and Challenges
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customer service /
satisfaction Managing
product
servicelevels
Volume
(bySKU)
HI
Q1 > Seekcost
reduction
Q2 > ProvideHigh Stockavailability
LO Q3 > Review Q4 > JIT
Deliveries
LO HI
PROFIT
8/8/2019 Scm -Trends and Challenges
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customer service /
satisfaction Setting customer service standards
Order Cycle Time
Stock Availability
Order size constrains Ordering Convenience
Frequency of Delivery
Delivery Reliability
Documentation Quality
Claims Procedures
Order Completeness
Technical support
Order status information
