The Advantage Of Strategic Alliance And Supply Chain Management

Supply Chain Management: An International Journal, Volume 7, Number 5, 2002, pp. 271 – 282;

Success for many organizations depends on the firm’s ability to balance product and process changes while exceeding customer expectations for improved cost delivery and quality. In lieu of these issues firms have started to implement principles of supply chain management. Supply chain management mainly involves managing the flow of incoming materials, manufacturing operations, and downstream distribution has to be in alignment that is responsive to change in customer demands eliminating a surplus of inventory.

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

A supply chain is very important to an organization. It can and should show the relationship between suppliers, distributors, managers and consumers. This paper would detail how important suppliers and distributions are to an organization’s success. And how important a supply chain is within an organization and how managers can utilize the supply chain. It is important that companies such as Target Corporations utilize the supply chain and gain competitive advantages. Target is one of the world’s largest retail stores; the first Target was opened in 1962 in Roseville, Minnesota (Target.com). By the end of 1962 there were only four Target and they were all operated in Minnesota.

The topic selected is (Strategic Procurement & Supply Chain Management). For this study, we have selected Toyota Motor Corporations as our company of choice. Toyota is without doubt the best in the world, with its many philosophies and principles on how to make the best out of the least; JIT, lean production and elimination of waste and the desire for continuous improvement are just a few ways how Toyota has become the best in the auto industry. Toyota as a name, a company, and as a brand has become synonymous with Quality.

To start, Schroeder, R., Goldstein, S., and Rungtusanatham define supply chain as “the set of entities and relationships that cumulatively define materials and information flows both downstream toward the customer and upstream toward the very first supplier.” Schroeder, R., Goldstein, S., and Rungtusanatham goes on to identify supply chain management as “the design and management of seamless, value-added processes across organizational boundaries to meet the real needs of the end customer.” Organizations have to prepare themselves to the best of their ability in order to provide or their customers. Customers expect to receive the upmost service, regardless of the type of organization they make contact with.

Supply chain management is a complex undertaking that must involve more than one organization’s efforts to succeed. A tremendous amount of skill, time, and money must be present to build and develop relationships, discover and implement a strategy, and use the capabilities of the chain to build quality at an efficient financial rate. Allowing for these requirements, it leaves one to wonder whether supply chain management is a viable option. The answer is yes, because an organization needs a strong supply chain to compete and be profitable in the marketplace. The key points for supply chain management should be to meet customer demand, produce excellent customer value, enhance responsiveness to change, build a network that can resist risk, and develop financial success.

Introduction and Summary…………………………………………………………………. . 3 Supply Chain……………………………………………………………………….. ……… .4 Logistics…………………………………………………………………………….. .4 Purchasing and Operations…………………………………………………………...6 CPFR and the Bullwhip Effect……………………………………………………….7 Information Technology……………………………………………………………………. .8 Future Initiatives……………………………………………………………………. .9 REMIX……………………………………………………………………….9 RFID……………………………………………………………………….....9 Performance………………………………………………………………………………..... 11 Other Information Recent

Supply chain management (SCM) is based on the philosophy that firms operating in a supply chain are oriented to the provision of goods and services for the ‘final customer’ (Lambert and Cooper, 2000) . The literature strongly suggests that that cohesive collaboration in the supply chain can provide important benefits such as added value, efficiencies and client satisfaction (Stock, Boyer and Harmon,

The LEGO Group is recently experiencing a problematic phase, which has situated the organization with a deficit of 1.8 billion DKK. The problems experienced by The LEGO Group can be attributed to not being able to manage as well as stabilize a strategic supply chain. Successful SCM is crucial for a manufacturing firm in order to harmonize the production process and internal information with demand for the product. When considering the importance of supply chain management, organizations need to study its effect on other major business processes as well as how it will influence the organization as a whole. Supply chain management may directly or indirectly influence major process such as inventory, capital investments, distribution

Young (2012) writes that supply chain management (SCM) is a function of collaborating firms working to improve operating efficiency and to leverage strategic positioning. In addition, Young references this function as not only the physical attributes of product distribution, but also to include related information, such as production or delivery status, and the capability to access such information. Such capabilities allow SCM to be an important link in fulfilling customer needs and providing value. Young adds that in the current customer-driven market, the perceived value of the entire relationship

Retail is a globalised industry, where products may be sourced and produced in one country, but sold in another. This requires collaboration of the different roles involved in the supply chain and alliances to be formed, in order for each of the different roles to complete their business objectives. The supply chain is the connections of movements, systems and businesses that work together to produce and sell a product. The suppliers and retailers, in particular, must go hand in hand if either of them are to succeed. It is with the help of the buyers and merchandisers, that the suppliers and retailers are able to connect and build up relationships.

Supply chain management based on two basic core ideas. One is that every single product, which influences an end user, characterizes the accumulative determination of manifold organizations essentially. These organizations mentioned too cooperatively as the supply chain. The second core idea is that the existence of supply chain is long term and many organizations only pay concentrated on what was happening inside their “four fortifications”. Supply chain management is the accomplishments for exhaust the possibilities of customer value and triumph competitive benefit.

Strategic alliance is an assertion between at least two associations to collaborate in a particular business action, so that every advantage from the qualities of the other, and increases upper hand. The development of key unions has been viewed as a reaction to globalization and expanding instability and many-sided quality in the business environment. Key unions include the sharing of information and skill between accomplices and in addition the decrease of hazard and expenses in ranges, for example, associations with providers and the advancement of new items and innovations. A key organization together is here and there compared with a joint wander, yet collusion may include competitors, and for the most part has a shorter life expectancy. Vital organization is a firmly related idea. This article breaks down meaning of key union, its advantages, sorts, procedure of arrangement, and gives a couple cases investigations of vital organizations together. This paper tries to combine the degree and part of advertising capacities in the assurance of adequacy of key partnerships. A few recommendations from a promoting perspective concerning the investigation of organization together process are detailed. On the premise of the recommendations, a system is created for future research.

Supply chain management by nature depends on the relationships and networks. There are some relationships that play a significant role in attaining supply chain success. The word “relationship” covers a broad area in supply chain management. Strategic relationship, transactional relationship and internal relationships are just a few of the relationships types in supply chain management. Within the supply chain, there are working relationships between supplier and customers. These relationships are called partnerships. The use of strategic alliances and joint ventures are becoming more popular with a rising number of multinational companies. An alliance is considered an agreement between two or more companies from different countries in supply chain activity ranging from research and development to sales.