Focuses on information sharing among trading partners
this should help both companies
Supplier Relationship Management
type of relationship is often governed by the DURATION OF THE TRADING RELATIONSHIP
short term
medium term (accountant)
long termĀ (marriage)
Strategic Partnering
two or more organizations that have complementary products or services join so that each may realize a strategic benefit (ex Louisville bridge, taco bell and Doritos)
Inventory Management
Inventory location ( centralized or decentralized)
Inventory velocity (speed at which goods move through supply chain)
The bullwhip effect
The bullwhip effect (ex cash for clunkers)
Inventory oscillation that becomes increasingly larger looking backward through the supply chain.( a small thing can lead to bigger problems)
the longer the chain the effect could be greater the effect
milk runs
regular load for pickup of mixed loads from several suppliers. based on concept of replenishment based on actual units consumed
cross docking
goods arriving at a warehouse from a supplier are unloaded from the supplier truck and loaded onto outbound trucks (ex Walmart)
Avoids warehouse storage
Delayed differeentiation
production of standard components and sub assemblies, which are held until late in the process to add differentiating features. (waiting untill the end to custamize it to person
Disintermediation
Reducing one or more steps in a supply chain by cutting out one or more intermediaries
Vendor managed inventory
Vendors monitor replenish inventories on site
third part logisticsĀ (3-PL)
fourth party logistics (4-PL)
the outsourcing of logistics management s
everything in 3-PL buisness to customer, handles also interface with customer (ex Amazon)
Reverse logistics
the process of transporting returned items, including those returned for environmental disposal and/ or remanufacturing