CHAPTER 10 : SUPPLY CHAIN MANAGEMENT

CHAPTER 10: EXTENDING THE ORGANIZATION- SUPPLY CHAIN MANAGEMENT

List and describe the component of a typical supply chain

• PLAN : REFER TO THE OVERALL STRATEGY OF SCM PROGRAM INCLUDING THE DEVELOPMENT OF SCM METRIC TO MONITOR.
• SOURCE: REFER TO THE SUPPLIER WHO WILL PROVIDE OF GOODS AND SERVICE NECESSARY FOR TO RUN BUSINESS.
• MANUFACTURING COMPONENT: EXECUTION OF PROCESSES NEEDED TO PRODUCED, TEST AND PACKAGE PRODUCT OR SERVICE.
• DELIVERY: REFER TO THE SYSTEM FOR RECEIVING ORDERS FROM CUSTOMER, DEVELOPING A NETWORK PF WAREHOUSES GETTING THE PRODUCT TO THE CUSTOMER AND RECEIVING PAYMENT FROM THEM.
• RETURN: SYSTEM OF PROCESSING CUSTOMER RETURN OR SUPPORTING CUSTOMER PROBLEM WITH THE PRODUCT THEY RECEIVED.

Describe the four changes resulting from advances in IT that are driving supply chain

visibility

• ABILITY TO VIEW ALL AREAS UP AND DOWN THE SUPPLY CHAIN
• BULL WHIP EFFECT OCCURS WHEN DISTORTED PRODUCT DEMAND INFORMATION PASSES FROM ONE ENTITY TO THE NEXT THROUGH THE SUPPLY CHAIN
• INFORMATION TECHNOLOGY ALLOWS ADDITIONAL VISIBILITY IN THE SUPPLY CHAIN.

Consumer behavior

• DEMAND PLANNING SOFTWARE GENERATES DEMAND FORECAST USING STATITICAL TOOLS AND FORECASTING TECHNIQUES
• ONES AN ORGANIZATION UNDERSTAND CUSTOMER DEMAND ITS EFFECT ON THE SUPPLY CHAIN IT CAN BEGGING TO ESTIMATE THE IMPACT THAT ITS SUPPLY CHAIN WILL HAVE ON ITS CUSTOMER AND ULTIMATELY THE ORGANIZATIONS PERFORMANCE

Competition

• SUPPLY CHAIN PLANNING SOFTWARE, USES ADVANCED MATHEMATICAL ALGORITHM TO IMPROVE THE FLOW AND EFFICIENCY OF THE SUPPLY CHAIN WHILE REDUCING INVENTORY.
• SUPPLY CHAIN EXECUTIVE (SCE) SOFTWARE AUTOMATES THE DIFFERENT SYSTEM AND STAGE OF THE SUPPLY CHAIN.

Speed

• NEW FORM OF SERVE, TELECOMMUNICATION ENABLING COMPANIES TO PERFORM ACTIVITIES THAT WERE ONCE NEVER THOUGHT POSSIBLE.
• ABILITY TO SATISFY CONTINUALLY CHANGING CUSTOMER REQUIREMENT EFFICIENCY, ACCURATELY AND QUICKLY.

Summarize the best practice for implementing a successful supply chain management system.

• MAKE THE SALE TO SUPPLIER: SCM IS IT COMPLEXITY BECAUSE A LARGE PART OF   THE SYSTEM EXTENDS BEYOND THE COMPANY WALLS
• WEAN EMPLOYEES OF TRADITIONAL BUSINESS PRACTICES: OPERATION PEOPLE TYPICALLY DEAL WITH PHONE CALLS, FAXES AND ORDERS SCRAWLED ON PAPER AND WILL MOST LIKELY WANT TO KEEP IT THAT WAY.
• ENSURE THE SCM SYSTEM SUPPORT THE ORGANIZATIONAL GOALS: SCM SOFTWARE THAT GIVE ORGANIZATION AND ADVANTAGE IN THE AREAS MOST CRUCIAL TO THEIR BUSINESS SUCCESS.
• DEPLOY IN INCREMENTAL PHASES AND MEASURE COMMUNICATE SUCCESS:  DESIGN THE DEPLOYMENT OF SCM SYSTEM IN INCREMENTAL PHASES.
• BE FUTURE ORIENTED: THE SUPPLY CHAIN DESIGN MUST ANTICIPATE THE FUTURE STATE OF THE BUSINESS

CHAPTER 10: CUSTOMER RELATIONSHIP MANAGEMENT

QUESTIONS:

1. Why is it important for any company to use CRM strategies to manage customer information?
2. If the virtual world is the first point of contact between a company and its customers, how might that transform the entire shopping experience?

ANSWERS:

1. The important for any company to use CRM strategies to manage customer information are: 

• provide customer service
• make calls centre
• cross sell product more effective
• help sell staff close detail faster
• discover new customer
• increase customer revenue

       2.  It have pros and cons effect to both parties.

Pros :

• it more easy to make conversation and transaction.
• face-to-face communication will be more effective.
• the customer can give direct comment and critics.

Cons:

• customer did not know the actual product.
• higher cost in maintenance  

CHAPTER 9: ENABLING THE ORGANIZATIONS (DECISION MAKING)

 FOUR CATEGORIES OF ARTIFICIAL INTELLIGENCE: 

EXPERT SYSTEMS

Kind a process of solving difficult problems.

The example company using this software is Cell Matrix Corporation.

A Cell Matrix is an electronic structure with a set of physical and functional properties that are convenient for designing and manufacturing circuits. The Cell Matrix computing architecture is essentially a construct for thinking about, designing, and building digital circuits. Whereas computer programming languages provide a way of thinking about and solving problems.

This company has apply expert systems a part of artificial intelligence.

 NEURAL NETWORKS

To emulate the way the human brains works. It is also analyze large quantities of information to establish patterns and characteristics in situations where the logic or rules are unknown.
Organization who apply this software is Brighterion.
Brighterion is the leader in smart analytics offering products for real-time
cross-channel fraud prevention, device ID, clickstream analysis, credit risk, chargeback, KYC, AML compliance, and homeland security intelligence. Our products are used and trusted by the largest institutions and governments around the world.

 

 GENETIC ALGORITHMS

BioComp Systems one of the company who applied genetic algorithms.
For over 20 years, the key BioComp technology staff have researched, applied, and learned the utility of different algorithms. Every algorithm has its strengths and weaknesses. We look for and invent "robust" algorithms, ones that are flexible and powerful enough to be applied in many ways with little or no modification. Through this process we have modified select algorithms to improve their performance and results.
This is used to make decision towards company future.

INTELLIGENCE AGENTS

Is a special-purpose knowledge-based information system that accomplished specific task on behalf of its users. 

Example of organization using this is shopping Yahoo

software programs that operate unattended, usually on the Internet.

Intelligence agents also have the capabilities to handle supply chain buying and selling.