Management and Study Unit

{Build the Supply Base: supplier selection1. supplier evaluation- find potential suppliers, supplier certification (qualification, education, certificationISO 9000,14000). 2. Supplier development- integrate supplier in system, quality require, product specs, schedule/delivery, procurement polices, training, engineer/production help, information transfer procedures. 3. Negotiation- significant element, strategies: Cost based price model (open books to supplier, based on time and materials) Market based price model (based on published, auction, index prices: commodities) Competitive bidding (most common, no longterm relationship, request for rfq). 4. Contracting- share risks, benefits, incentives. Centralized purchasing, E procurement (online catalogs/exchanges, online auctions).} Logistics MGT- obtain efficient operations through integration of all material acquisition, movement, and storage activities. Frequent for outsourcing, allow competitive advantage from reduce costs and improve customer service. 1.Shipping systems: truck(flexible, moves majority manufactured goods) rail( large loads, containers) Airfreight( fast/flexible light loads, expensive) water( used for bulky low value cargo, oldest way of transportation) Pipelines( transport oil, gas,

This study guide prepares you for the Final Examination you complete in the last week of the course. It contains practice questions, which are related to each week’s objectives. Highlight the correct response, and then refer to the answer key at the end of this Study Guide to check your answers.

List and explain all aspects of supply chain management. pg 416; week5 lecture, pg 4;

Reading your assignment instructions and the rubric is an essential component to ensure that you assignment’s content meets the modules defined outomces.. Please be sure to , Look over the assignment at least by the second day of the module week in case you may have questions. Please read the Q&A forum and the directions within each all modules in conjunction with the announcments that Dr. Moore has constructed to guide your progression in this course.

This study guide prepares you for the Final Examination you complete in the last week of the course. It contains practice questions, which are related to each week’s objectives. Highlight the correct response, and then refer to the answer key at the end of this Study Guide to check your answers.

Supply chain management is a practice that involves the planning, supervision, and implementation of strategies and controls to direct the movement of goods and services provided to customers. The intent of this essay is to incorporate a synopsis of existing literature and to provide the reader with a general understanding of how supply chain management correlates with the organizational design and structure of modern firms. The essay comprehensively reviews the components of supply chain management and their integration with functional areas within an organization. The information presented in this essay

As the first activity in this course, please read the syllabus and Student Expectations. After reading the syllabus and Student Expectations, the student will then complete the related checklist found in Module/Week 1.

W.C. Benton, J. (2010). Purchasing and Supply Chain Management (2nd ed.). New York: McGraw-Hill Irwin.

Effective supply chain management can provide an important competitive advantage for a business marketer, resulting in improved communication and involvement among members of the chain, increased motivation, and decreased costs. Tracking the movement of and demand for components used to manufacture a product across a variety of potential and actual suppliers, provides insight and the ability to respond instantly to shortages, surpluses, and changes in market conditions. It seeks to optimize production, decrease manufacturing time, minimize inventory, streamline order fulfillment, and reduce cost.

For a purchasing operation to be effective it must adhere to some key points. A purchasing operation must identify the requirements of the user, effectively and efficiently evaluate the needs of the user, and identify suppliers that will meet the needs of the use. They must also develop agreements with those suppliers, develop ordering mechanism with the suppliers and ensure payment occurs promptly and determine that the need of the user was met.

1We would like to thank Shiming Deng for his valuable contributions to the preparation of this manual.

The purchasing and supply function is strategically vital in laying the foundation for an organization to acquire a competitive advantage. I have taken this stance following thorough literature reviews and taking into consideration statements that are relative to pertinent techniques, tools, and models. In addition, it has been taken into consideration with a focus on current debates and thinking in the strategic supply and purchasing field. The benefits of efficient supply and purchasing were realized by recent organizations who have acknowledged its strategic importance. Traditional purchasing models were based on tactical processes; with exclusive focus on clerical functions. Nevertheless, purchasing and supply is viewed as a function playing a vital role in attaining strategic organizational objectives for reasons I will continue to clarify (Davis & Spekman, 2010).

The problem VF is experiencing is the result of an inefficient supply chain strategy. VF is experiencing challenges with its relationship with suppliers that negatively affect its operations. Supplier relationship management seem to be cause of the supply chain inefficiency as indicated by occurrences VF management experienced in the case. One factor of supplier management is to maintain a mutually beneficial relationship with suppliers. Suppliers do not trust VF and are focused on their own goals., that in some cases, create more expense for VF. Another cause VF’s supply chain problem is the hassle of renegotiating contracts or negotiating contracts that are mutually beneficial. These negations take long periods and is hardly results in what can be described as a win-win situation for both parties. The capabilities or lack thereof, of VF’s suppliers is also a cause of the supply chain problem. Many of VF’s suppliers are in third world countries and lack both skills and technology to increase their own efficiency and product quality. While VF is considering the idea of supplier improvement, a buyer invests human and capital resources to improve the seller’s ability to meet the buyer’s needs, suppliers have been resistant to VF attempts to get involved in their operations. VF’s supply chain worked in previous years, but as the apparel industry is changing the pressure to drive down cost has forced manufacturers to implement more creative solutions.

The model has initiated plenty of discussion and research in the intervening period. These include not seeing the procurement process from the supplier’s perspective. Various literatures have been produced to deal with the theories put forward in order to further expand methodologies when dealing with procurement strategies. These have found that, in particular, the matrix did not take into account power imbalance during the supply process. Another dimension can be incorporated, taking into account the balance of power between buyers and sellers. This forms an important element in the overall strategy to procure suppliers.

Knowing past theories and principles of management is absolutely a necessary practice for students in order to be able to judge the present and the future with a more analytical eye.