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MIM 558

MIM 558. Technology and Operations Supply Chain Design . Delta Rice Discussion. Supply Chain Technology. Alphabet Soup. ERP MRP MIS CRM SRM WMS TMS RFID. GPS EDI CAD CIM CPFR ASRS. Technology. RFID http://www.youtube.com/watch?v=4Zj7txoDxbE Automated Fork Lift

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MIM 558

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  1. MIM 558 Technology and Operations Supply Chain Design

  2. Delta Rice Discussion

  3. Supply Chain Technology

  4. Alphabet Soup • ERP • MRP • MIS • CRM • SRM • WMS • TMS • RFID • GPS • EDI • CAD • CIM • CPFR • ASRS

  5. Technology • RFID • http://www.youtube.com/watch?v=4Zj7txoDxbE • Automated Fork Lift • http://www.jervisbwebb.com/Products/automatic_trailer_loading.aspx?pid=190&qs=1_6_ • Why We Need Automated Forklifts • http://www.youtube.com/watch?v=KTnGZ37sZqM

  6. Supply Chain Technologies • Automated Inventory Ordering • Automated Receiving (RFID) • Automated Storage and Retrieval • Automated Order Picking • Automated Delivery Routing

  7. Top Technology InvestmentsEyefortransport Survey • 47% Supply Chain Visibility • 38% Sales and Operations Planning • 36% Transport Management • 27% Supply Chain Planning • 22% Forecasting • 22% ERP • 21% Order Management

  8. Best Technology ROIEyefortransport Survey • 50% Supply Chain Planning • 41% Inventory Management • 32% Transport Management • 24% ERP • 22% Supply Chain Visibility

  9. Worst Technology ROIEyefortransport Survey • 36% RFID • 33% Forecasting • 24% Labor Optimization • 23% Risk Management • 22% Customer Relationship Management

  10. Computers and Software Are Just Tools • Facilitate Communication • Collect and Store Data • Performs Analytical Functions • Facilitate Track and Trace • Manage Inventory • Allow ‘What If’ Analysis • Simulation

  11. Supply Chain Design

  12. Supply Networks • Importance of Supply • Supply Objectives • Continuity of Supply • Least Total Cost of Ownership • Supply as a Competitive Advantage

  13. Supply Chain Design • Global Suppliers • Global Transport • Manufacturing Worldwide • Distribution Worldwide • Global Sales • How Do We Make Goods Flow Smoothly Across All of these Entities?

  14. Key Supply System Decisions • Global Supply • Locations • Logistical Considerations • Make/Buy • Outsourcing • Vertical Integration • Single/Multiple Sourcing • Operational Alliances • Strategic Alliances

  15. Key Supply System Decisions • Standardization • Inventory • Sustainability • Risk Management • Administrative Costs

  16. Warehouse Location Decisions • Square Root Rule • Center of Gravity Method • Case – Page 202 • All questions EXCEPT #4.

  17. Supply Chain Designs • Boeing • Airbus • Dell • Wal-Mart • Target

  18. Sustainable Supply Chains • Energy Usage • Warehouses • Transportation • Material Usage • Non-Renewable Resources • Waste • Zero Landfill • Reuse, Repurpose, Recycle

  19. Reverse Logistics • Flow of Materials Back Through Supply Chain • Returned Materials • Repositioned Materials • Defective Materials • Sustainability • Reusable Totes • Reusable Pallets • Recycling

  20. Bullwhip Effect • Jay Forrester, 1958Industrial Dynamics • Bullwhip Effect • Panic Buying • Information Flow • Lead Times

  21. Push/Pull Production • Push • Make to Stock • Long Lead Times • Pull • Short Lead Times • Customer Driven • Move the Boundary Back

  22. Efficiency • How Measured • Efficiency • What We Do Compared to What We COULD Do With Same Resources • Lots of downtime. If eliminated, we could be 15% more efficient – i.e. – get 15% more production with the same resources • Productivity • Output Per Unit of Input • Number of products per labor hour • Number of products per dollar of capital equipment

  23. Supply Chain Metrics • On-Time Delivery • Quality • Responsiveness • Lead Time • Suppliers • Customers • Energy Use • Carbon Footprint • Percent Landfill • Inventory Turns • Inventory Invest • Warranty Costs • Logistics Costs • Warehouse Costs • Others?

  24. Questions, Comments, Observations, Conclusions, Arguments?

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