The Supply Chain’s Significance in Developing an Operations Strategy:

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The supply chain’s significance in developing an operations strategy: To get an insight in what operations strategy is all about, it is defined as "a set of competitive priorities coupled with supply chain structural and infrastructural design choices intended to create capabilities that support a set of value propositions targeted to address the needs of critical customers." (Operations and Supply Chain Strategy, 2009). A supply chain consists of multiple organizations linked together in a partnership and their overall goal is to satisfy the needs of the end customer. As the lecture notes (n.d.) points out, operations manage the activities of the entire supply chain from start to end. Because of the operations management's nature…show more content…
This way the whole supply chain can benefit from individual skills and assets which will create a synergy. Business examples I would like to present an example from Spar. Some years ago CPFR (collaborative planning, forecasting and replenishment) was introduced. CPFR aims to improve the buyer-supplier collaboration with the result of better customer service and more efficient inventory management (Harrison and van Hoek, 2008, p.248). Spar introduced EPOS (electronic point of sale) to their stores. Based on the store’s sales information the supplier replenishes automatically. No orders submitted manually by the stores are necessary. Zara is another example. By owning their own supply chain they can deliver fashion to the market much faster than their competitors. They have a make to order approach because they will not commit to a pattern or colour before feedback from their stores provide them with preferences in their market segment. Analysis How clear is the argument? How is it organized? I think the argument is very clear and very strong. The authors provides a compelling argument as to why there is a need for RSC (Responsive supply chain) by highlighting objectives of AM (Agility Manufacturing) and SCM (Supply chain management) and that the better part of each of these two combined can improve the performance of the organization so that it is better equipped to handle the challenges of the market. The

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