Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Logistics and Supply
Exam 1
| Term | Definition |
|---|---|
| Logistics | The work required to move and position inventory throughout a supply chain.- |
| Logistics consist of a company's integrated: | order entry inventory transportation warehousing materials handling and packaging elements as they are integrated throughout a facility network. |
| 4 forces that drive supply chain management | 1. Integrative Management 2. Responsiveness 3. Financial Sophistication 4. Globalization |
| Integrative Management | 1.Enterprise extension: Information Sharing and process Specialization. 2. Integrated Service Providers |
| Process Specialization | Specific firm competencies to discourage redundancy. |
| ISPs: Integrated Service Providers | 1. 3PL- asset based (3rd party logistics)-owns their own assets. 2. 4PL non-asset based (biggest ones). |
| 4PL ISP | Fedex and UPS are the biggest examples they use many different types of logistics like; air, warehousing, ground, returns, customer service, and ordering services. |
| Companies hire ISP to what? | To handle reverse logistics for them. |
| Responsiveness | 1.Anticipatory Business Model 2. Responsiveness/Time based Business model 3.Manufacturing/Form Postponement-delays the final assembly 4.Geographic postponement-Delays the product forward movement. |
| How much of Logistics is Transportation? | 60% |
| Financial Sophistication | 1.Cash to cash conversion 2.Minimize dwell time "sits idol" 3.Cash Spin- reduce assets in supply chain and spend it in other areas. YOU DO NOT WANT PRODUCTS TO SIT AROUND |
| Globalization | 1.Big business opportunities 2.Operating efficiencies can be gained 3.however, companies must first consider: distance, workforce, culture, hrs, work week, holidays, product demand, acceptance by new cultures, documentation requirements. |
| Supply Chain Management | Firms and divisions collaborating to leverage strategic positioning, and to improve operating effciency |
| 3 Logistics operating areas/Performance cycles | 1.Customer Accommodation 2.Manufacturing Support 3.Procurement Support |
| Customer Accommodation | Movement of outbound finished product |
| Manufacturing Support | Logistics work and movement of work in progress inventory |
| Procurement Support | Purchasing and movement of inbound material from supplier to manufacturer |
| CPFR | (Collaborative Planning, Forecasting and Replenishment)- Designed to coordinate planning and share information for demand creation and fulfillment among supply chain partners. |
| what is the most important consideration of shipping and transportation? | Consistency |
| Functional Elements of Logistics | 1.Warehousing 2.Material Handling 3.Packaging |
| Inventory Flow | Adds value through movement of inventory from materials purchasing through manufacturing, storage, transportation and delivery to customers. |
| Information Flow | 1.Identifies requirements 2.integrates 3 operating areas 3.Facilitates operations |
| ERP (Enterprise Resource planning) | Is the backbone of most logistic systems provides a data base and transaction capability Interface between day to day operating systems system wide consistency, system wide economies of scale and system wide integration. |
| What are the 4 Value Added Processes | 1.Form Utility 2.Place Utility 3.Time Utility 4.Possession Utility |
| TQM (total quality management) | Customer Focus Integrated operations commitment to continuous improvement |
| Procurement | 55% of the companies money is spent on it-outsourcing makes this true. The purchase of supplies, materials and services by one company from another company |
| EOQ (formula) | Economic Order Quantity-how much to order Balance lowest order and carrying cost. Co-cost per order Ci-Annual Inventory carrying cost % D-Annual Sales Volume in units U-Cost per Unit |
| Order Frequency | Annual Demand / EOQ |
| Total Annual Cost | Inventory Carrying Cost + Ordering Cost |
| 4 categories of transportation | Private carriers contract carriers common carriers exempt carriers |
| Key Procurement functions | Product services discounts value added services |
| 3 Basic Service Challenges | Challenge of space Challenge of Time Challenge of quantity/assortment |
| 3 echelons of customer service | Basic service level customer service customer satisfaction level customer success level |
| Job Shop Manufacturing | small manufacturing businesses that handle job production,custom/bespoke or semi-custom/bespoke Job shops typically move on to different jobs -maybe with dif customers. job shops are usually specialized in skill and processes. |
| Line Flow Manufacturing | successive operations are carried out on a single line, products move through the factory in a single direction. Flow line production is most widely used in mass production.inventory is often kept to the minimum necessary to ensure continued activity. |
| time utility | 1.logistics creates time utility by having goods and services available when demanded 2.this is accomplished through inventory management, transportation management, and strategic location of goods and services |
| form utility | 1.primarily the result of manufacturing or assembly operations 2.logistics provides form utility through its impact on shipment size and packaging |
| JIT (just in time) | Pull' (demand) driven inventory system in which materials, parts, sub-assemblies, and support items are delivered just when needed and neither sooner nor later for manufacturing. |
| Place Utility | 1.logistics provides place utility by moving goods from production surplus points to points where demand exists 2.reducing logistics costs expands market area for firm |
| Made to Plan | Large volume discount savings,economy of scale opens, long lead times, lower per unit cost, high volume of finished goods, higher inventory carrying costs, transportation consolidations,routine transportation at less costs,more warehousing requirements &C |
| Make to Order | Manufacturing or assembly process geared to satisfy customer-requirements only upon receiving a customer's order. It may require the combination of standard and custom-made parts, if it requires only standard parts it is called assemble to order process. |
| Lead time | amount of time from receipt of order to a ready ship status |
| ATO Assemble to order | A manufacturing process whereby components are assembled according to specific orders, as opposed to assembling to fill a stock level. Also called Build to Order, Make to Order. |
| Strategies of manufacturing | ATO MTO MTP |
| Transaction systems | large volume transacations day to day focus each transaction initiates the next examples: order entry, inventory assignment, order selection, shipping, pricing and invoicing |
| Decision Analysis | software tools to compare/evaluate alternatives in supply chain design, inventory control, resource allocation, routing, trade-offs |
| Standard Supply | Routinely sold items kept in ready stock by a manufacturer or vendor on an on-going basis. Also called standard commercial items. |
Created by:
AmyHadler
Popular Business sets