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Page 1: Strategic Framework to Analyze Supply Chains 【本著作除另有註明外,採取創用 CC 「姓名標示 -非商業性-相同方式分享」台灣 3.0 版授權釋出】創用

Strategic Framework to Analyze Supply ChainsStrategic Framework to Analyze Supply Chains

【 本 著 作 除 另 有 註 明 外 , 採 取創用CC「姓名標示-非商業性-相同方式分享」台灣3.0版授權釋出】

第一單元: Strategic Framework to Analyze Supply Chains

郭瑞祥教授

1

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IntroductionIntroduction

2

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Flowers _Online

Amazon.com5

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Flowers _Online

Microsoft 。

6

Wikimedia Commons, 作者 : Kevin Legg

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A Strategic Framework for Supply Chain Design, Planning, and

Operation

► Part I: Understand the supply chain

► Part II: Supply chain performance

► Part III: Supply chain drivers

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Part I: Outline

► What is supply chain?► What is supply chain management?► Process view of a supply chain

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Definition of Supply Chain Management

Consumerdistribution

Outboundstorage/

TransportationOperations

Inboundstorage/

TransportationSourcing

Vendors Customers

Supply chain management is a set of approaches utilized to

efficiently integrate suppliers, manufacturers, warehouses and

stores, so that merchandise is produced and distributed at the

right quantities, to the right locations, and at the right time, in

order to minimize system-wide costs while satisfying service

level requirements.

11

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The Fifth Discipline & The Beer Game

The MIT Forum for Supply Chain Innovation

12

Wikipedia

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Definition of Supply Chain Management

Consumerdistribution

Outboundstorage/

TransportationOperations

Inboundstorage/

TransportationSourcing

Vendors Customers

Supply chain management is a set of approaches utilized to

efficiently integrate suppliers, manufacturers, warehouses and

stores, so that merchandise is produced and distributed at the

right quantities, to the right locations, and at the right time, in

order to minimize system-wide costs while satisfying service

level requirements.

Consumerdistribution

Outboundstorage/

TransportationOperations

Inboundstorage/

TransportationSourcing

13

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Supply Chain: Logistics Network

StorageStorage Plant 1

Plant 1 AA

StorageStorage Plant 3

Plant 3 CC

StorageStorage Plant 2

Plant 2 BB

RAWMATERIALSSTORAGE

FINISHEDGOODS

STORAGEMARKETS

Material costsMaterial costs

Transportation costsTransportation costs

Manufacturing costsManufacturing costs Inventory costsInventory costs

Transportation costsTransportation costs

RAW MATERIALSSUPPLIERS

WarehouseWarehouse

WarehouseWarehouse

WarehouseWarehouse

Physical supplymaterials management

inbound logistics

Physical distributionoutbound logistics

MANUFACTURINGproduction logistics

14

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Supply Chain: Logistics Network

StorageStorage Plant 1

Plant 1 AA

StorageStorage Plant 3

Plant 3 CC

StorageStorage Plant 2

Plant 2 BB

RAWMATERIALSSTORAGE

FINISHEDGOODS

STORAGEMARKETS

Material costsMaterial costs

Transportation costsTransportation costs

Manufacturing costsManufacturing costs Inventory costsInventory costs

Transportation costsTransportation costs

RAW MATERIALSSUPPLIERS

WarehouseWarehouse

WarehouseWarehouse

WarehouseWarehouse

Physical supplymaterials management

inbound logistics

Physical distributionoutbound logistics

MANUFACTURINGproduction logistics

Microsoft 。 Microsoft 。

15

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Supply Chain: Logistics Network

StorageStorage Plant 1

Plant 1 AA

StorageStorage Plant 3

Plant 3 CC

StorageStorage Plant 2

Plant 2 BB

RAWMATERIALSSTORAGE

FINISHEDGOODS

STORAGEMARKETS

Material costsMaterial costs

Transportation costsTransportation costs

Manufacturing costsManufacturing costs Inventory costsInventory costs

Transportation costsTransportation costs

RAW MATERIALSSUPPLIERS

WarehouseWarehouse

WarehouseWarehouse

WarehouseWarehouse

Physical supplymaterials management

inbound logistics

Physical distributionoutbound logistics

MANUFACTURINGproduction logistics

Independence demanddependence demand

16

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Integrating Supply Chain Process

Information

Cash flow

Product flow

Supplier Manufacturers Wholesalers Retailers Consumers

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Process View of a Supply Chain

► Cycle view– Each cycle performs at the interface between two successive

stages of a supply chain– This view is useful when considering operational decisions,

because it specifies the roles of each member and the desired outcome for each process

► Push/Pull view– Depend on whether they are executed in response to a

customer order(pull) or in anticipation of customer order(push)– This view is useful when considering strategic decisions

relating to supply chain design

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Cycle View of a Supply Chain

► Cycle view– Each cycle performs at the interface between two successive

stages of a supply chain– This view is useful when considering operational decisions,

because it specifies the roles of each member and the desired outcome for each process

► Push/Pull view– Depend on whether they are executed in response to a

customer order(pull) or in anticipation of customer order(push)– This view is useful when considering strategic decisions

relating to supply chain design

Customer

Retailer

Distributor

Manufacturer

Procurement Cycle

Manufacturing Cycle

Replenishment Cycle

Customer Order Cycle

Supplier

Customer Order Cycle

ATP-Available to promise

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Cycle View of a Supply Chain

► Cycle view– Each cycle performs at the interface between two successive

stages of a supply chain– This view is useful when considering operational decisions,

because it specifies the roles of each member and the desired outcome for each process

► Push/Pull view– Depend on whether they are executed in response to a

customer order(pull) or in anticipation of customer order(push)– This view is useful when considering strategic decisions

relating to supply chain design

Customer

Retailer

Distributor

Manufacturer

Procurement Cycle

Manufacturing Cycle

Replenishment Cycle

Customer Order Cycle

Supplier

Replenishment Cycle

20

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Cycle View of a Supply Chain

► Cycle view– Each cycle performs at the interface between two successive

stages of a supply chain– This view is useful when considering operational decisions,

because it specifies the roles of each member and the desired outcome for each process

► Push/Pull view– Depend on whether they are executed in response to a

customer order(pull) or in anticipation of customer order(push)– This view is useful when considering strategic decisions

relating to supply chain design

Customer

Retailer

Distributor

Manufacturer

Procurement Cycle

Manufacturing Cycle

Replenishment Cycle

Customer Order Cycle

Supplier

Manufacturing Cycle

21

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Push/Pull View of L.L. Bean Supply Chain

Procurement,Manufacturing and

Replenishment cycles

Customer OrderCycle

CustomerOrder Arrives

PUSH PROCESSES PULL PROCESSES

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Push/Pull View of L.L. Bean Supply Chain

Procurement cyclesCustomer Order and Manufacturing Cycle

CustomerOrder Arrives

PUSH PROCESSES PULL PROCESSES

Wikipedia

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Part II: Outline

► Competitive and supply chain strategies► Strategic fit► Expand the scope

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The Value Chain:Linking Supply Chain and Business Strategy

NewProduct

Development

Marketingand

Sales Operations Distribution Service

Business StrategyBusiness Strategy

New ProductStrategy

MarketingStrategy Supply Chain Strategy

Finance, Accounting, Information Technology, Human Resources

25

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Achieve Strategic Fit

Strategic fit means both the competitive and supply chain strategies have the same goal.

► Step 1: Understand the customer

► Step 2: Understand the supply chain

► Step 3: Achieve strategic fit

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Step 1: Understand the Customer- Implied Demand Uncertainty-

ImpliedDemand

Uncertainty

ImpliedDemand

Uncertainty

Customer demandattributes

Implied demand uncertainty is the uncertainty that exists due to the portion of demand that the supply chain is required to meet.

► Lot size► Response time► Service level► Product variety► Price► Innovation

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Implied Demand Uncertainty Spectrum

Low High

Price ResponsivenessCustomer Need

Implied Demand Uncertainty

High FashionEmergency steel

DetergentLong lead time steel

CoolCLIPS 網站

Microsoft 。

28

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Step 2: Understand the Supply Chain

- Supply Chain Responsiveness -

► Respond to wide range of quantities demanded

► Meet short lead time

► Handle a large variety of products

► Build highly innovative products

► Meet a very high service level

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Responsiveness Spectrum

Low High

Responsiveness

HighlyResponsive

Highly efficient

Integrated steel mills

DellAutoproduction

Hanesapparel

CoolCLIPS 網站

Wikipedia

30

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Step 3: Achieve Strategic Fit

Implied uncertainty spectrum

Responsive supply chain

Efficient supply chain

Certain demand Uncertain demand

Responsiveness spectrum

Zone of Strategic Fit

Zone of Strategic Fit

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Comparison of Efficient and Responsive SC

Efficient SC Responsive SC

GoalLower cost to meet demand

Respond quickly

Product designMax performance at min cost

Create modularity to allow postponement

Pricing Lower margin Higher margin

Manufacturing Lower cost through high utilization

Maintain capacity flexibility to meet unexpected demand

Inventory Min inventory Maintain buffer inventory

Lead timeReduce but not at the expense of cost

Aggressively reduce even if the cost is significant

Supplier Based on cost and qualityBased on speed, flexibility, and quality

Transportation Low cost modes Responsive modes

Microsoft 。

Microsoft 。

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Other Issues Affecting Strategic Fit

► Multiple products and customer segments

► Product life cycle

► Competitive changes over time

– Set up independent SC for each different product or customer

– Tailor the SC to best meet the needs of each product’s demand

– Use responsive SC in the early stage

– Use efficient SC when market is matured

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Step 3: Achieve Strategic Fit

Implied uncertainty spectrum

Responsive supply chain

Efficient supply chain

Certain demand Uncertain demand

Responsiveness spectrum

Zone of Strategic Fit

Zone of Strategic Fit

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Part III: Outline

► Framework for structuring drivers– Inventory– Transportation– Facilities– Information

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Supply Chain Decision-Making Framework

Inventory Transportation Facilities Information

Supply chain structureSupply chain structure

DriversDrivers

Supply chain strategy

Competitive strategyCompetitive strategy

Supply chain strategy

Efficiency Responsiveness

Inventory↓Inventory↓

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Inventory Driver --- What

Inventory Transportation Facilities Information

Supply chain structureSupply chain structure

DriversDrivers

Supply chain strategy

Competitive strategy

Efficiency Responsiveness

Inventory

► Little’s law

► Responsive v.s. efficient

► Components of inventory decision:

– Inventory = Flow time Throughput– Message for SCM: lower flow time lower inventory

– Ex: Nordstorm

– Safety inventory: inventory held to counter uncertainty in demand

– Cycle inventory : inventory to satisfy demand between receipts of shipments

– Seasonal inventory: inventory held to counter predictable variability

in demand

Microsoft 。

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Transportation Driver --- How

Inventory Transportation Facilities Information

Supply chain structureSupply chain structure

DriversDrivers

Supply chain strategy

Competitive strategy

Efficiency Responsiveness

Transportation

► Efficient v.s. responsive

► Components of transportation decision:

–Ex : Laura Ashley with Fedex for next day delivery

– Mode of transportation

– Route and network selection– In-house or outsource

》Air, truck, rail, ship, pipeline, electronicCoolCLIPS 網

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Facilities Driver --- Where

Inventory Transportation Facilities Information

Supply chain structureSupply chain structure

DriversDrivers

Supply chain strategy

Competitive strategy

Efficiency Responsiveness

Facilities

► Efficient v.s. responsive

► Components of facilities decision– Ex: Toyota and Honda

– Location– Capacity (flexibility v.s. efficiency)– Manufacturing methodology (product-focus v.s. process-focus)– Warehousing methodology

》SKU storage》job lot storage》cross-docking

Microsoft 。

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Facilities Driver --- Where

Inventory Transportation Facilities Information

Supply chain structureSupply chain structure

DriversDrivers

Supply chain strategy

Competitive strategy

Efficiency Responsiveness

Information

► Connect various stages in SC► Crucial to daily operations in each stage

► Components of information decision:– Ex: Dell

– Push (MRP) v.s. pull– Coordination and information sharing– Forecasting and aggregate planning– Enabling technology: EDI, Internet, ERP, SCM

Photobucket.com 。

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Considerations for Supply Chain Drivers

Driver Efficiency Responsiveness

Inventory Cost of holding Availability

Transportation Consolidation Speed

Facilities Consolidation / Dedicated

Proximity / Flexibility

Information What information is best suited for each objective

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頁碼 作品 授權條件 作者 /來源

3本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

3Nipic.com(http://www.nipic.com/show/3/95/400c939593dc9eb4.html) 本作品轉載自 nipic 昵圖網,依據其版權聲明 (http://www.nipic.com/site/copy.html) 與著作權法第 46 、 52 、 65 條合理使用。

4Amazon.com本作品轉載自亞馬遜網站 (http://www.amazon.com) ,瀏覽日期 2011/12/22 。依據著作權法第 46 、 52 、 65 條合理使用。 ( 因網站商品隨時更新,故此頁面無永久性網址。 )

5Amazon.com本作品轉載自亞馬遜網站 (http://www.amazon.com) ,瀏覽日期 2011/12/22 。依據著作權法第 46 、 52 、 65 條合理使用。 ( 因網站商品隨時更新,故此頁面無永久性網址。 )

6Wikimedia Commons, 作者 : Kevin Legg本作品轉載自http://commons.wikimedia.org/wiki/File:A_nice_flower_shop_-_geograph.org.uk_-_1301845.jpg,瀏覽日期 2011/12/28 。依據著作權法第 46 、 52 、 65 條合理使用。

6本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

7Amazon.com本作品轉載自亞馬遜網站 (http://www.amazon.com) ,瀏覽日期 2011/12/22 。依據著作權法第 52 、 65 條合理使用。 ( 因網站商品隨時更新,故此頁面無永久性網址。 )

版權聲明

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頁碼 作品 授權條件 作者 /來源

7 臺灣大學 郭瑞祥老師

8 臺灣大學 郭瑞祥老師

8 本作品轉載自 WIKIPEDIA (http://en.wikipedia.org/wiki/Swoosh) ,瀏覽日期2011/12/27 。

8Wikimedia Commons本作品轉載自 http://commons.wikimedia.org/wiki/File:Dell_Logo.png,瀏覽日期2011/12/28 。

11 臺灣大學 郭瑞祥老師

12

Peter M. Senge ,《 The Fifth Discipline: The Art & Practice of the Learning Organization 》, Bantam Dell Pub Group , 2006 。本作品轉載自 WIKIPEDIA(http://en.wikipedia.org/wiki/File:The_fifth_discipline_cover.jpg) ,瀏覽日期 2011/12/27 。依據美國著作權法第 107 條及中華民國著作權法第 52 、65 條合理使用。

12本作品轉載自 The MIT Forum for Supply Chain Innovation (http://supplychain.mit.edu/) ,瀏覽日期 2011/12/23 。依據著作權法第 46 、 52 、65 條合理使用。

版權聲明

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作品 授權條件 作者 /來源

12 臺灣大學 郭瑞祥老師

13 臺灣大學 郭瑞祥老師

14 臺灣大學 郭瑞祥老師

15-16 臺灣大學 郭瑞祥老師

15本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

15本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

19 臺灣大學 郭瑞祥老師

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20 臺灣大學 郭瑞祥老師

21 臺灣大學 郭瑞祥老師

22 臺灣大學 郭瑞祥老師

23Wikimedia Commons本作品轉載自 http://commons.wikimedia.org/wiki/File:Dell_Logo.png,瀏覽日期2011/12/28 。

25 臺灣大學 郭瑞祥老師

27 臺灣大學 郭瑞祥老師

28 臺灣大學 郭瑞祥老師

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28本作品轉載自 CoolCLIPS 網站 (http://dir.coolclips.com/Household/Bathroom/Oral_Hygiene/Toothbrushes/toiletries_hous1199.html) ,瀏覽日期 2012/2/17 。依據著作權法第 46 、 52 、 65 條合理使用。

28 本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

30 臺灣大學 郭瑞祥老師

30本作品轉載自 CoolCLIPS 網站 (http://dir.coolclips.com/Industry/Resources/Mining/Steel_and_Iron/steel_smelting_vc011995.html/) ,瀏覽日期 2011/12/23 。依據著作權法第 46 、 52 、 65 條合理使用。

30Wikimedia Commons本作品轉載自 http://commons.wikimedia.org/wiki/File:Dell_Logo.png ,瀏覽日期2011/12/28 。

31 臺灣大學 郭瑞祥老師

32 本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

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Page 47: Strategic Framework to Analyze Supply Chains 【本著作除另有註明外,採取創用 CC 「姓名標示 -非商業性-相同方式分享」台灣 3.0 版授權釋出】創用

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32 本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

37 本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

38本作品轉載自 CoolCLIPS 網站 (http://search.coolclips.com//media/?D=tran0237&Ref=CSb,2863#/) ,瀏覽日期 2011/12/23 。依據著作權法第46 、 52 、 65 條合理使用。

39 本作品轉載自 Microsoft Office 2007 多媒體藝廊,依據 Microsoft 服務合約及著作權法第 46 、 52 、 65 條合理使用。

40

Photobucket.com(http://s1181.photobucket.com/albums/x440/puliteam10/A257SatelliteInternet/?action=view&current=images35.jpg) 本作品轉載自hotobucket ,作者 : puliteam10 。依據其版權聲明 (http://photobucket.com/terms/)與著作權法第 46 、 52 、 65 條合理使用。

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