Global production organisation in chains

From factory to fridge:

Global production organisation in chains

Plan The first stage in supply chain management is known as plan. A plan or strategy must be developed to address how a given good or service will meet the needs of the customers. A significant portion of the strategy should focus on planning a profitable supply chain.

Global production organisation in chains

This is the strategic portion of SCM. Companies need a strategy for managing all the resources that go toward meeting customer demand for their product or service. A big piece of SCM planning is developing a set of metrics to monitor the supply chain so that it is efficient, costs less and delivers high quality and value to customers.

Develop Source Develop is the next stage in supply chain management.

Global Value Chains (GVCs) - OECD

It involves building a strong relationship with suppliers of the raw materials needed in making the product the company delivers. This phase involves not only identifying reliable suppliers but also planning methods for shipping, delivery, and payment.

Companies must choose suppliers to deliver the goods and services they need to create their product. Therefore, supply chain managers must develop a set of pricing, delivery and payment processes with suppliers and create metrics for monitoring and improving the relationships.

And then, SCM managers can put together processes for managing their goods and services inventory, including receiving and verifying shipments, transferring them to the manufacturing facilities and authorizing supplier payments.

Changes Over Time and Space

Make At the third stage, make, the product is manufactured, tested, packaged, and scheduled for delivery.

This is the manufacturing step. Supply chain managers schedule the activities necessary for production, testing, packaging and preparation for delivery. This is the most metric-intensive portion of the supply chain - one where companies are able to measure quality levels, production output and worker productivity.

Deliver Then, at the logistics phase, customer orders are received and delivery of the goods is planned. This fourth stage of supply chain management stage is aptly named deliver. This is the part that many SCM insiders refer to as logistics, where companies coordinate the receipt of orders from customers, develop a network of warehouses, pick carriers to get products to customers and set up an invoicing system to receive payments.

Return The final stage of supply chain management is called return. As the name suggests, during this stage, customers may return defective products. The company will also address customer questions in this stage. This can be a problematic part of the supply chain for many companies.

Supply chain planners have to create a responsive and flexible network for receiving defective and excess products back from their customers and supporting customers who have problems with delivered products. To ensure that the supply chain is operating as efficient as possible and generating the highest level of customer satisfaction at the lowest cost, companies have adopted Supply Chain Management processes and associated technology.

Supply Chain Management has three levels of activities that different parts of the company will focus on: Strategic At this level, company management will be looking to high level strategic decisions concerning the whole organization, such as the size and location of manufacturing sites, partnerships with suppliers, products to be manufactured and sales markets.

Strategic activities include building relationships with suppliers and customers, and integrating information technology IT within the supply chain. Tactical Tactical decisions focus on adopting measures that will produce cost benefits such as using industry best practices, developing a purchasing strategy with favored suppliers, working with logistics companies to develop cost effect transportation and developing warehouse strategies to reduce the cost of storing inventory.

Studying competitors and making decisions regarding production and delivery would fall under the tactical category. Operational Decisions at this level are made each day in businesses that affect how the products move along the supply chain.

Operational decisions involve making schedule changes to production, purchasing agreements with suppliers, taking orders from customers and moving products in the warehouse. The operational category includes the daily management of the supply chain, including the making of production schedules.

What does supply chain management software do? Supply chain management software is possibly the most fractured group of software applications on the planet.

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Each of the five major supply chain steps previously outlined is comprised of dozens of specific tasks, many of which have their own specific software. Some vendors have assembled many of these different chunks of software together under a single roof, but no one has a complete package that is right for every company.

It's worth mentioning that the old adage about systems only being as good as the information that they contain applies doubly to SCM. If the information entered into a demand forecasting application is not accurate, then you will get an inaccurate forecast.By , halve per capita global food waste at the retail and consumer levels and reduce food losses along production and supply chains, including post-harvest losses.

Supply chains encompass the end-to-end flow of information, products, and money. For that reason, the way they are managed strongly affects an organization's competitiveness in such areas as product cost, working capital requirements, speed to market, and service perception, among others.

Lean Production and Six Sigma Quality in Lean Supply Chain Management Over processing – it is the processing of the product that does not contribute to its value and the buyer will not recognize it . Global production, emissions and emission intensity for cattle milk and beef 24 6.

Greenhouse gas emissions from pig and chicken supply chains – A global life cycle assessment. x Livestock. Tackling climate change through livestock – Tackling climate change through livestock.

PDF | On Jan 1, , Gary Gereffi and others published The Organization of Buyer-Driven Global Commodity Chains: How U.S. Retailers Shape Overseas Production Networks. Manufacturing Global reveals 14 key facts about Coca-Cola’s supply chain.

You are likely to see at least one Coca-Cola product in supermarkets or newsagents the world over. CCE is responsible for manufacturing and distributing a wide range of soft drinks under the Coca-Cola umbrella from Coke itself to Fanta, juices, water, sports and energy.

Global production network - Wikipedia