Supply Chain Management Supply Chain Management It is

Supply Chain Management

Supply Chain Management ? It is a cross-functional approach to managing the movement of raw materials into an organization and the movement of finished goods out of the organization toward the end-consumer.

Elements of Supply Chain Management Element Typical Issues Customers Determining what customers want Forecasting Predicting quantity and timing of demand Design Incorporating customer wants, manufacturing, and time Processing Controlling quality, scheduling work Inventory Meeting demand while managing inventory costs Purchasing Evaluating suppliers and supporting operations Suppliers Monitoring supplier quality, delivery, and relations Location Determining location of facilities Logistics Deciding how to best move and store materials

Typical Supply Chains Production Purchasing Distribution Receiving Storage Operations Storage

Typical Supply Chain for a Manufacturer Supplier } Storage Mfg. Storage Dist. Retailer Customer

Need for Supply Chain Management 1. Improve Operations 2. Increasing Levels of Outsourcing 3. Increasing Transportation Costs 4. Competitive Pressures 5. Increasing Globalization 6. Increasing Importance of E-commerce 7. Complexity of Supply Chains 8. Manage Inventories

Supply chain management It addresses the following issues Distrubution Network Configuration: Number and location of suppliers, production facilities, distribution centers, warehouses and customers. Distribution Strategy: Centralized versus decentralized, direct shipment, cross docking, pull or push strategies, third party logistics. Information: Integrate systems and processes through the supply chain to share valuable information, including demand signals, forecasts, inventory and transportation.

Benefits of Supply Chain Management • • • Lower Inventory Higher Productivity Greater Agility Shorter Lead Times Higher Profits Greater Customer Loyalty

Key Learning Areas Supply Chain Design, Development and Evaluation Logistics Management Managing Contracts Application of Statistical Tools for Supply Chain Management Decisions Application of IT and E-business tools

Career • Purchase / Vendor Development Manager • Material Management Executive / Manager • Team Leader / Technical Leader / Logistics Manager / Logistics Executive • Warehouse Manager • Functional Outside Consultant

Industry • • • Software Services IT Enabled Services Automobile Components Cement / Construction / Engineering / Metals / Steel / Iron Consumer FMGC / Foods / Beverages Retailing / Oil & Gas / Infrastructure / Power / Nonconventional energy / Bio-Tech. / Pharma / Life Sciences • Telecom / ISP / Consumer Durables / Home Appliances

Quality Management

What is quality? It is the ability of a product or service to consistently meet or exceed customer’s expectations. The quality of a developed product is influenced by the quality of the production process.

Quality Management It is the policy and associated procedures, methods and standards required for the control of projects. The purpose of quality management is to increase certainty by reducing the risk of project failure. It also provides the opportunity for continuous improvement.

The Consequences of Poor Quality • • Loss of Business Liability Productivity Costs

Quality management activities • Quality assurance – Establish organisational procedures and standards for quality. • Quality planning – Select applicable procedures and standards for a particular project and modify these as required. • Quality control – Ensure that procedures and standards are followed by the software development team. ( Quality management should be separated from project management to ensure independence. )

Dimensions of Quality • Performance - main characteristics of the product / service • Aesthetics - appearance, feel, smell, taste • Special Features - extra characteristics • Conformance - how well product / service conforms to customer’s expectations

Dimensions of Quality • Reliability - consistency of performance • Durability - useful life of the product / service • Perceived Quality - indirect evaluation of quality (e. g. reputation) • Serviceability - service after sale

Key Learning and Application Areas: • • Requisites for Quality Management in Manufacturing Process Capability Studies Six Sigma Approaches Quality Management in Services Service Quality in Airlines Service Quality in Hotel industry • Service Quality in Health Care industry

Career Options Pharma Industry IT / ITES Industry Manufacturing Industry Service Industry Corporate o Quality Manager o Quality Assurance Manager o Quality Control Manger