Académique Documents
Professionnel Documents
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MANAGEMENT
Remote
Conclusions
suppliers
Complex processes to make subassemblies/ final product
Variety of customers
Varied transportation options
How
much to hold?
Where to hold?
System optimization
Reapportion
Approach analytically
Controlling
uncertainty
Planning
current performance
changes
3 steps
Develop
Demand
Material
transformatio
n
Inventory control
Understand
impact of uncertainty
INCLUDE UNCERTAINTY
Sources of uncertainty
Suppliers
Manufacturing
Customers
ACT STRATEGICALLY
Customer service affected by uncertainties
How to reduce these?
Manufacturing
Process design
Product design
Capacity
Quality
Supplier
Performance
Responsiveness
Transportation
Location
Quality
Uncertainty cycle
Customer
Deliveries
Customer Demand
Past performance
Market research
Analytical
techniques
Incentive programs
Valid input
Data
collection problems
Accuracy of data
Valid data
2.
Iterative analysis
Tool
10
Useful output
Postponement of localization
Remote
POSTPONEMENT
Benefits
Lower
safety stocks
Stock of less valuable generic models
Offsetting demand risks
Drop in shipping costs
13
HP CASE 2: ADDING A
MANUFACTURING PARTNER
shipping time
Lead time increases by 3 months
Benefits of analysis
Co-location
of 2 firms factories
INTERPRETING FINDINGS
stock
About 40%
Supply
variance
Process variance
Demand variance
Inventory reduction
Traditional
focus
Improving manufacturing
Required
focus
15
CONCLUSIONS
Focus on thorough SC analysis with data and
quantitative techniques
Change product and process of each stage to
reduce uncertainties and improve performance
Take a systems view of the problem
16