Supply chain management involves dealing with trade-offs between people who may not have the same goals. For each of these trade-offs, there are approaches that you can implement to drive supply chain improvements. Some of the solutions for balancing these trade-offs include sales and operations planning, collaborative planning, forecasting, replenishment, cross-functional teams, lean manufacturing, and total cost analysis.
- Supply chain managers have…to make a lot of tough choices between competing goals.…Let's look at two conflicts that occur…in almost every supply chain…and I'll explain the techniques we can use…to resolve them.…The first conflict is between sales and operations.…Sales people tend to be optimistic…about how much customers will buy…and they know it's harder to make a sale…when you don't have product available.…So the sales department will lobby…to make sure there's plenty of inventory.…
Operations and logistics managers…want to maximize capacity utilization…while avoiding waste, shut downs, and overtime.…So production plans are constrained…by time and capacity limitations…and the operations department…is often lobbying to shrink inventories…in order to save money.…In many companies,…that means that the sales department…and the operations department…are actually working towards different business targets…and most of the time, they don't even realize it.…
The result is either overproduction,…which creates unnecessary inventory,…
- Explore the fundamentals of source inputs within a supply chain.
- Examine the role of returning products in a supply chain.
- Determine how to calculate total costs.
- Explore the role of investing in flexibility when managing a supply chain.
- Discover how to increase visibility with a control tower.
- Identify the role innovation plays in supply chain management.
- Examine how artificial intelligence and machine learning help to monitor supply chain trends.
- Break down the fundamentals of selecting the right technology when implementing a supply chain agenda.
- Determine the best ways to collaborate externally when implementing a supply chain agenda.