What are the Challenges FacingStrategic Supply Management & Supply Chain Integration?
mercial and anizations are facing an intense challenge to transform their business processes which bring products and services to the marketplace.
The cornerstone of this challenge is strategic supply management with the internal and external integration of people, facilities, materials, transportation, information systems, and operational procedures.
Several major forces are influencing the need for executive leadership in Strategic Supply management:
Market Globalization
Information Technology
Customer Service Explosions
New Product / Process Technologies
Reengineering Initiatives for pression
anizational Integration
Copyright 1995 KPMG Peat Marwick LLP.
The Supply Chain
GlobalDistribution
Agile or SynchronousManufacturing
StrategicSourcing
What is Strategic Supply Management ?
Integrated Strategic Supply Management Model
STRATEGIC
SOURCING
AGILE OR SYNCHRONOUS
MANUFACTURING
Development
Selection
Qualification
munication
Material Flow Analysis
Material RequirementsPlanning
ManufacturingResource Planning
Capacity Planning
Inventory Analysis
Production Scheduling
Shop Floor Control
GLOBAL
DISTRIBUTION
Warehousing
Transportation
works
Distribution Planning
Goal: Business Partners/
Alliances
Goal: Strategic Supply
Integration
Goal: Customer
Satisfaction
KPMG defines strategic supply management as simply the anizations approach and deliver products to the marketplace.
Strategic Supply Management requires senior management leadership and participation, functional integration, accurate cost data, and the direct linkage into the overall business strategy.
Customer
Satisfaction
What is Strategic Sourcing?
KPMG defines strategic sourcing as a process of developing a supply base capable of ing plementary, value added business partner.
Strategic sourcing integrates the capabilities of the supply base with prehensive view of a customers requirements into a
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