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BUENOS DIAS

Dive into the core concepts of supply chain and logistics management, from defining network structures to analyzing costs and implementing efficient measures. Learn about inventory management, import/export basics, and key cycles in the supply chain process.

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BUENOS DIAS

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  1. BUENOS DIAS

  2. AGENDA • Overview • Supply Chain Management • Definition • Network • Cycles

  3. AGENDA • Logistics • Definition • Components • Costs • Measures

  4. AGENDA • Inventory • Introduction • Rationale • Costs • Types • Models

  5. AGENDA • Ex/Im • Basic Transaction • Costing • Summary and Conclusions

  6. OVERVIEW: INSTRUCTOR • Kevin Boberg • Positions • Associate Dean • Professor • Background

  7. OVERVIEW: ALL YOU NEED • kboberg@nmsu.edu • http://cbae.nmsu.edu/~kboberg • http://cbae.nmsu.edu/~kboberg/ctw

  8. OVERVIEW: AUDIENCE • Name • Background • Interests • General • Topic • Goal: What do you want to learn?

  9. AGENDA • Supply Chain Management • Definition • Network • Cycles

  10. DEFINITION • Supply Chain Management • Integration • Business Processes • End User • Original Suppliers • Products, Services, Information • Add Value

  11. 1 1 1 2 2 2 n n n End Customers Tier 3 to n Customers SUPPLY CHAIN NETWORK Tier 3 Tier 2 Tier 1 Tier 1 Tier 2 Tier 3 1 2 1 1 n Tier 3 to n Suppliers Initial Suppliers 2 2

  12. SUPPLY CHAIN CYCLES • Customer Order Cycle • Replenishment Cycle • Manufacturing Cycle • Procurement Cycle

  13. SUPPLY CHAIN CYCLES Customer Customer Order Cycle Retailer Replenishment Cycle Distributor Manufacturing Cycle Manufacturer Procurement Cycle Supplier

  14. SUPPLY CHAIN CYCLES • Customer Order Cycle • Customer Arrival • Customer Order Entry • Customer Order Fulfillment • Customer Order Receiving

  15. SUPPLY CHAIN CYCLES • Customer Order Cycle Customer Order Receiving Customer Arrival Customer Order Entry Customer Order Fulfillment

  16. SUPPLY CHAIN CYCLES • Replenishment Cycle • Retail Order Trigger • Retail Order Entry • Retail Order Fulfillment • Retail Order Receiving

  17. SUPPLY CHAIN CYCLES • Replenishment Cycle Retail Order Receiving Retail Order Trigger Retail Order Fulfillment Retail Order Entry

  18. SUPPLY CHAIN CYCLES • Manufacturing Cycle • Order Arrival From Customer • Production Scheduling • Manufacturing and Shipping • Receiving by Customer

  19. SUPPLY CHAIN CYCLES • Manufacturing Cycle Order Arrival Receiving Production Scheduling Manufacturing and Shipping

  20. SUPPLY CHAIN CYCLES • Procurement Cycle • Order Arrival From Manufacturer • Supplier Production Scheduling • Component Manufacturing & Shipping • Receiving at Manufacturer

  21. SUPPLY CHAIN CYCLES • Procurement Cycle Receiving at Manufacturer Order Arrival Supplier Production Scheduling Component Mfr. and Shipping

  22. Customer Order Cycle Replenishment Cycle Manufacturing Cycle Procurement Cycle SUPPLY CHAIN CYCLES • Push/Pull View • Push • Anticipate • Customer • Pull • React • Customer

  23. SUPPLY CHAIN CYCLES Customer Order Cycle Pull Processes Customer Order Cycle Order Arrives Replenishment Cycle Push Processes Manufacturing Cycle Replenishment, Mfr., Procurement Cycle Procurement Cycle

  24. SUPPLY CHAIN CYCLES Customer Order Cycle Customer Order, Replenishment, Mfr. Cycle Pull Processes Replenishment Cycle Manufacturing Cycle Order Arrives Push Processes Procurement Cycle Procurement Cycle

  25. AGENDA • Logistics • Definition • Components • Costs • Measures

  26. DEFINITION • Logistics • Part of the Supply Chain • Plans, Implements, Controls • Flow and Storage • Goods, Services, Information • Origin, Consumption, Disposal • Adding Value

  27. Mgmt. Actions Plan Implement Control Outputs Inputs MKTG Utility Efficient Proprietary Asset. Natural Human Financial Physical Info. Logistics Management RM WIP FG COMPONENTS OF LOGISTICS Suppliers Cust. Logistics Activities CS Inventory Location O/P Forecasting WH Pkg. MH Traffic IS MM Support

  28. COMPONENTS OF LOGISTICS The Marketing Concept • Customer Satisfaction • Suppliers • Intermediate Customers • Final Customers • Company Profit • Max. Profits • Lower Total Cost • Proprietary Asset • Integrated Effort • Product • Price • Promotion • Place

  29. PROD PRICE PROMO PLACE ICC TC OC WH OP/IS LOGISTICS COSTS Marketing Logistics

  30. LOGISTICS COSTS • Customer Service Level • Customer Service • Parts and Service Support • Inventory Carrying Cost • Inventory Mgmt. • Pkg. • Reverse Logistics • Transportation Cost • Traffic and transport • Lot Quantity Costs • MH • Procurement • Warehousing • Store and handle • Location • OP and IS • OP • Forecast • Communication

  31. LOGISTICS COSTS

  32. LOGISTICS COSTS

  33. NP / NPM Sales = X X ROA ROI Leverage Sales / Asset T/O Assets MEASURES: PROFIT MODEL

  34. MEASURES: ROA

  35. MEASURES: ROA

  36. MEASURES: ROA

  37. OTHER FINANCIAL MEASURES • Cash Flow Conversion Cycle Cash In RM Conversion Conversion Sales WIP Conversion Conversion FG

  38. OTHER FINANCIAL MEASURES • Working Capital

  39. OTHER FINANCIAL MEASURES • Current Ratio

  40. OTHER FINANCIAL MEASURES • Quick Ratio

  41. OTHER FINANCIAL MEASURES • Average Age of Receivables

  42. OTHER FINANCIAL MEASURES • Average Age of Payables

  43. OTHER FINANCIAL MEASURES • Average Days Supply in Inventory

  44. AGENDA • Inventory • Introduction • Rationale • Costs • Types • Models

  45. INTRODUCTION • Investment • 20% of Total Assets for Mfr. • 50% Of Total Assets for • Wholesalers • Retailers

  46. INTRODUCTION • Manage to Improve • ROA • Cash Flow • Productivity • Customer Service

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