A Roadmap To Move In Supply Chain Management

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Information about A Roadmap To Move In Supply Chain Management

Published on March 22, 2009

Author: tfw52332002

Source: slideshare.net

Description

A presentation delivered at seminar of Toronto Chinese Supply Chain Management group in Victory College on March 20, 2009

A Roadmap to Move in Supply Chain Management Jie Wang, Ph.D. PMP, (P.E.)

Part I. Introduction

Contents Introduction Supply Chain Practice in Canadian Tire Corporation Roadmap to move in Supply Chain Management

Introduction

Supply Chain Practice in Canadian Tire Corporation

Roadmap to move in Supply Chain Management

Introduction Jie Wang - [email_address] Education: Bachelor Civil Engineering (1982) Master System Analyst / Environmental Engineering (1985) Ph.D. in Civil Engineering Professional development P.E in Civil Engineering (participate in several national projects in China Consultant in business/commercial analysis In Milan IT Consultant in Canada since 1995 Project management

Jie Wang - [email_address]

Education:

Bachelor Civil Engineering (1982)

Master System Analyst / Environmental Engineering (1985)

Ph.D. in Civil Engineering

Professional development

P.E in Civil Engineering (participate in several national projects in China

Consultant in business/commercial analysis In Milan

IT Consultant in Canada since 1995

Project management

Work Experience 1 st phase – strategy management of nature resource (water, environment) – systems dynamics – national research projects 2 nd phase – commercial/business analysis – systems thinking, industrial re-engineering, continuous process improvement 3 rd phase – IT consultant in transportation, distribution and logistics – information integration 4 th phase – Supply chain management – Operation Planning Centre – how to operate the supply chain

1 st phase – strategy management of nature resource (water, environment) – systems dynamics – national research projects

2 nd phase – commercial/business analysis – systems thinking, industrial re-engineering, continuous process improvement

3 rd phase – IT consultant in transportation, distribution and logistics – information integration

4 th phase – Supply chain management – Operation Planning Centre – how to operate the supply chain

Two Professors Prof. Jay W. Forrester the founder of System Dynamics , which deals with the simulation of interactions between objects in dynamic systems The industrial dynamics approaches are uncovering new evidence about how firms compete and how competition should operate. That is in sharp contrast with the results of more basic industrial organization studies Contribution to Supply Chain – Beer Game Prof. Xu ShouBo Professor Xu Shoubo , 1st Director of the Institute for Technical Economics of the State Planning Commission 1970’s technical Economics Director of Energy Saving Institute Director of Supply Chain Institute From the economic issues in engineering to supply chain management

Prof. Jay W. Forrester

the founder of System Dynamics , which deals with the simulation of interactions between objects in dynamic systems

The industrial dynamics approaches are uncovering new evidence about how firms compete and how competition should operate. That is in sharp contrast with the results of more basic industrial organization studies

Contribution to Supply Chain – Beer Game

Prof. Xu ShouBo

Professor Xu Shoubo , 1st Director of the Institute for Technical Economics of the State Planning Commission

1970’s technical Economics

Director of Energy Saving Institute

Director of Supply Chain Institute

From the economic issues in engineering to supply chain management

Beer Game The Beer Distribution Game (Beer Game) is a simulation game created by a group of professors at MIT Sloan School of Management in early 1960's to demonstrate a number of key principles of supply chain management . http://www.solonline.org/pra/tool/beer.html http://beergame.mit.edu/ http://web.mit.edu/jsterman/www/SDG/beergame.html

The Beer Distribution Game (Beer Game) is a simulation game created by a group of professors at MIT Sloan School of Management in early 1960's to demonstrate a number of key principles of supply chain management .

http://www.solonline.org/pra/tool/beer.html

http://beergame.mit.edu/

http://web.mit.edu/jsterman/www/SDG/beergame.html

History of Industrial Revolution Industry History in north America 1750 – 1865 Early industrial revolution in Britain - manual labor–based economy towards machine -based manufacturing 1865 – 1918 Reconstruction + industrialization / immigration Civil war > Railroads, Iron/Steel, Telephone, petroleum, Electricity, Automobiles, 1918 – 1945 depression > marketing and resource > war Centralization – monopolization > marketing + resources Decentralization – Professionalization, down-sizing and outsourcing Management, Business process re-engineering Information revolution – Service oriented Supply Chain Management

Industry History in north America

1750 – 1865 Early industrial revolution in Britain - manual labor–based economy towards machine -based manufacturing

1865 – 1918 Reconstruction + industrialization / immigration

Civil war > Railroads, Iron/Steel, Telephone, petroleum, Electricity, Automobiles,

1918 – 1945 depression > marketing and resource > war

Centralization – monopolization > marketing + resources

Decentralization – Professionalization, down-sizing and outsourcing

Management, Business process re-engineering

Information revolution – Service oriented

Supply Chain Management

MRP II “ A method for the effective planning of all resources of a manufacturing company” APICS Dictionary to integrate the resources of an organization

Environment for Supply Chain Development 50-60’s human/paper chain: a set of linear, individualized processes that linked manufacturers, warehouses, wholesalers, retailers and consumers together 70’s, Material Requirements Planning (MRP) ensures that the flow of raw materials and in-process inventories matches the manufacturer's production schedules for finished products. 80’s MRP-II planning all manufacturing resources, including those related to operational planning, financial planning, business planning, capacity requirements planning, and master production scheduling – ERP. Information Technology, Business intelligence – Baan, SAP, PeopleSoft, Manugistics, Numetrics, ILOG (operational research / system engineering B2B, Service-oriented, Customer Relationship management,

50-60’s human/paper chain: a set of linear, individualized processes that linked manufacturers, warehouses, wholesalers, retailers and consumers together

70’s, Material Requirements Planning (MRP) ensures that the flow of raw materials and in-process inventories matches the manufacturer's production schedules for finished products.

80’s MRP-II planning all manufacturing resources, including those related to operational planning, financial planning, business planning, capacity requirements planning, and master production scheduling – ERP.

Information Technology, Business intelligence – Baan, SAP, PeopleSoft, Manugistics, Numetrics, ILOG (operational research / system engineering

B2B, Service-oriented, Customer Relationship management,

Management in Modern Industry Italian Style vs. American Style vs. Japanese Style New concepts – lean tool box Just in time Total Quality Control / Process improvement Value Engineering Concurrent Engineering (Customization) Prima Contracting Systems Engineering and Systems Thinking coordination and collaboration

Italian Style vs. American Style vs. Japanese Style

New concepts – lean tool box

Just in time

Total Quality Control / Process improvement

Value Engineering

Concurrent Engineering (Customization)

Prima Contracting

Systems Engineering and Systems Thinking

coordination and collaboration

Development of SCM methodology Creation: assemble line in automotive industry Integration: Enterprise Resource Management and EDI – MRP + MRP II Globalization: resources and labor market Specialization I - Outsourced Manufacturing & Distribution Specialization II - Supply Chain Management as a Service – Dell Supply Chain Management 2.0

Creation: assemble line in automotive industry

Integration: Enterprise Resource Management and EDI – MRP + MRP II

Globalization: resources and labor market

Specialization I - Outsourced Manufacturing & Distribution

Specialization II - Supply Chain Management as a Service – Dell

Supply Chain Management 2.0

Basic Supply Chain Dominant flow of products and services Dominant flow of demand and design information

Issues of Retail Supply Chain Example: order a pizza – What are customer’s expectation? Price Quality Delivery service – waiting time Price x Quality x Time = Value $

Example: order a pizza –

What are customer’s expectation?

Price

Quality

Delivery service –

waiting time

Price x Quality x Time

= Value $

Elements in Retail Supply Chain What are flowing in Supply Chain? Materials, goods, services Data, information Cash

What are flowing in Supply Chain?

Materials, goods, services

Data, information

Cash

Material, Information, Dollar Customer Satisfaction Execution Capacity Planning Strategy Vision Supply Chain Management IT Infrastructure EDI / Database / IW OLAP / BI Knowledge Culture Information Service Inventory Revenue/Expenses Assets Profit POS Finance

Part II. Supply Chain in Canadian Tire

Canadian Tire The first Canadian Tire store opened on September 15 , 1925 Employees 57,000 CTR, CTFS, PartSource, CT Petroleum, Mark’s Work Warehouse Revenue 07: 10.1 Billions Main products Auto parts Hardware Leisure Home and garden

The first Canadian Tire store opened on September 15 , 1925

Employees 57,000

CTR, CTFS, PartSource, CT Petroleum, Mark’s Work Warehouse

Revenue 07: 10.1 Billions

Main products

Auto parts

Hardware

Leisure

Home and garden

Company Profile

Canadian Tire SCM Transportation Forecasting & Replenishment by CTC Network of Resources coordinated and planned centrally Transportation Distribution Stores Suppliers

Store Locations 480 stores

Supplier Locations in Canada 78% 15% 7% rest of Canada

Supplier Locations in US & Mexico 16% total inbound from US + Mexico

Total Inbound Volume Domestic = 64% USA/Mexico = 16% Offshore = 20%

Domestic = 64%

USA/Mexico = 16%

Offshore = 20%

Distribution Center Locations Calgary(07) Brampton(03) Montreal(08) A J Billes(05) 173 store 5300 SKUs 385 stores 6000 SKUs 36000 SKUs 504 stores 15000 SKUs

173 store

5300 SKUs

385 stores

6000 SKUs

36000 SKUs

504 stores

15000 SKUs

CTR Supply Chain Highlights Supplier Distribution Associate Store Consumer Forecasting Replenishment Logistics In Out Operations Planning Transportation

Supply Chain Concepts Forecasting 1 Replenishment 2 In Out Planning 3 Transportation Distribution 4 Execution

Supply Chain Visibility Outbound Direct Ship Domestic Traffic Dealer Order Inbound Direct Ship Domestic Traffic International Traffic Customs Inbound Control Supplier Partners A.J. Billes DC Brampton DC Montreal DC Calgary DC Sheppard DC Vancouver Transload Express Auto Parts 3rd party facilites CTC Stores

CTR Supply Chain Details

Part III. Sustainable growth requires high skilled professionals

Sustainable Growth A modern rabbit and turtle racing Business has entered into a new phase in which sustainable business performance is of fundamental: A global competitive advantage A catalyst for innovation A way to capture new market and financing opportunities Business Sustainable Development is to encourage business people to develop a vision of a sustainable company, translate that vision into a management action plan and turn sustainability into a competitive advantage.

Business has entered into a new phase in which sustainable business performance is of fundamental:

A global competitive advantage

A catalyst for innovation

A way to capture new market and financing opportunities

Business Sustainable Development is to encourage business people to develop a vision of a sustainable company, translate that vision into a management action plan and turn sustainability into a competitive advantage.

Enterprise Analysis Enterprise Analysis describes the business activities that take place in organizations to: Identify business opportunities. Build their Business Architecture framework. Determine the optimum project investment path for the enterprise growth. Enterprise Analysis creates a business model to describe how does the company operate to increase both stakeholder’s value and market share.

Enterprise Analysis describes the business activities that take place in organizations to:

Identify business opportunities.

Build their Business Architecture framework.

Determine the optimum project investment path for the enterprise growth.

Enterprise Analysis creates a business model to describe how does the company operate to increase both stakeholder’s value and market share.

Role of Business Analyst

Sustainable Development Business Process Management Create Business Model of new enterprise Business process Re-design Continuous Business Improvement Cease of Business Model of old enterprise Improvement Assessment

Road map – portfolio, program and project Enterprise Business Model Project Portfolio (Portfolio) Business Process Management Requirement Group (Program) Business Change Management Requirement (Project) Enterprise Strategy Development Business Process Re-Design Process Continuous Improvement Business Analysts Senior Executive Team Executive Team Business Management Business Administrators Project Managers

Roles in CTR Supply Chain Business perspective Supply Chain Analysis Operational Planning Centre Information Service Enterprise Resource Management Service Oriented Architecture / WEB 2.0 Business Intelligent Management Business Administration / Management Business Analyst Project Management Quality Management Risk Management

Business perspective

Supply Chain Analysis

Operational Planning Centre

Information Service

Enterprise Resource Management

Service Oriented Architecture / WEB 2.0

Business Intelligent

Management

Business Administration / Management

Business Analyst

Project Management

Quality Management

Risk Management

Knowledge Body of SCM APICS required courses 1. Basics Supply Chain Management 2. Master Schedule Planning 3. Detailed Schedule Planning 4. Execution And Control Operation 5. Strategic Management Resources P.Log. - Professional Logistics Process Management Online Process Management   Lean Supply Chain Logistics   Lean Healthcare Logistics    Frontline Logistics Essentials in Logistics Supply Management Executive Program   Transportation CITT Transportation Logistics professes Business Approach to Writing Business Law Business Management Business Strategy Financial Management Introductory Economics Marketing: An Introduction Organizational Behaviour Risk Assessment Integrated Logistics any two (2) of the following: Logistics Decision Modelling Transportation Economics Transportation Law

APICS required courses

1. Basics Supply Chain Management

2. Master Schedule Planning

3. Detailed Schedule Planning

4. Execution And Control Operation

5. Strategic Management Resources

P.Log. - Professional Logistics

Process Management

Online Process Management  

Lean Supply Chain Logistics  

Lean Healthcare Logistics   

Frontline Logistics

Essentials in Logistics

Supply Management

Executive Program  

Transportation CITT

Transportation

Logistics professes

Business Approach to Writing

Business Law

Business Management

Business Strategy

Financial Management

Introductory Economics

Marketing: An Introduction

Organizational Behaviour

Risk Assessment

Integrated Logistics

any two (2) of the following:

Logistics Decision Modelling

Transportation Economics

Transportation Law

Quality - Six Sigma Certification Typical Six Sigma Courses: Six Sigma Champion Launch Six Sigma Process Green Belt Six Sigma Process Black Belt Six Sigma Transactional Green Belt Six Sigma Transactional Process Black Belt - four weeks Six Sigma Master Black Belt Design for Six Sigma or DFSS Introduction to Minitab for Six Sigma Belts Advanced Minitab for trained Six Sigma Belts Other Courses: Project Management Presentation Skills Change Management Statistical Thinking for Leaders Business Process Charting Design of Experiments Statistical Process Control Mixture Experimentation Test Methods

Typical Six Sigma Courses:

Six Sigma Champion Launch

Six Sigma Process Green Belt

Six Sigma Process Black Belt Six Sigma Transactional Green Belt

Six Sigma Transactional Process Black Belt - four weeks

Six Sigma Master Black Belt

Design for Six Sigma or DFSS

Introduction to Minitab for Six Sigma Belts

Advanced Minitab for trained Six Sigma Belts

Other Courses:

Project Management

Presentation Skills

Change Management

Statistical Thinking for Leaders

Business Process Charting

Design of Experiments

Statistical Process Control

Mixture Experimentation

Test Methods

Customers Relationship Management Introduction to CRM - Redefining – Demystifying CRM Business Strategy - Planning and Developing Relationship Marketing - The People Perspective Relationship Management - The Process Perspective CRM and Sales Management - Internal Relationships Managing Research - Knowing your Prospects and Customers Building the CRM Business Case Managing Loyalty Creating and Managing Relationship Lifetime Value – Measurement Harnessing the CRM Power of Data Your Company's Future and CRM Making it a Reality

Introduction to CRM - Redefining – Demystifying

CRM Business Strategy - Planning and Developing

Relationship Marketing - The People Perspective

Relationship Management - The Process Perspective

CRM and Sales Management - Internal Relationships

Managing Research - Knowing your Prospects and Customers

Building the CRM Business Case

Managing Loyalty

Creating and Managing Relationship Lifetime Value – Measurement

Harnessing the CRM Power of Data

Your Company's Future and CRM

Making it a Reality

Product Management Pragmatic Marketing Certification 16% The process of setting goals, developing strategies, and outlining tasks and schedules to produce a market-driven product. Product Planning 19% The process of determining a company's long-term goals relative to the product, and then identifying the best approach for achieving those goals. Product Strategy 17% The process of determining the value of a product by examining its numerical, measurable characteristics. Quantitative Analysis 38% Research intended to predict the future of a market. Market Analysis 10% An understanding of the product management profession, terminology and basic concepts. Product Management

University Related Subjects Industrial Engineering Business Analyst – IIBA http://www.TheIIBA.org Project Management Professional – PMP http://www.PMI.org Processes Management – P.BPM http://www.bpmcouncil.org Product Management - Pragmatic Marketing (PMC) http://www.pragmaticmarketing.com Custums Relationship Management (P.CRM)

Industrial Engineering

Business Analyst – IIBA

http://www.TheIIBA.org

Project Management Professional – PMP

http://www.PMI.org

Processes Management – P.BPM

http://www.bpmcouncil.org

Product Management - Pragmatic Marketing (PMC)

http://www.pragmaticmarketing.com

Custums Relationship Management (P.CRM)

Modern Knowledge Structure ● ● ● ● ● ● ● ● Project management ● ● ● ● ● ● ● Product life cycle management ● ● Product design ● ● ● ● ● ● ● ● Supply Chain ● ● ● ● ● ● ● ● Business law ● ● ● ● ● ● ● ● Communication ● ● ● ● ● ● ● ● Quality Assurance ● ● ● ● ● ● ● ● Quality management ● ● ● Operational research ● ● ● ● ● ● ● ● Risk Management ● ● ● ● ● ● ● ● Quantitative analysis ● ● ● ● ● ● ● ● Qualitative analysis ● ● ● Marketing Analysis ● ● ● ● ● ● ● ● Business Analysis - Process ● ● ● ● ● ● ● ● Business Analysis - Strategy ● ● ● ● ● ● ● Business budget management ● ● ● ● ● ● ● Time schedule QA PMP P.BPM IIBA CITT CSCP P.LOG PMC

 

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