Devising Of Optimization Models And Modelling Systems For Supply Chain Planning And Management

1847 words - 7 pages

Any software tool that claims to analyze or optimize a supply chain uses this process. The questions we must stay focused on are, "What does the software really do in each step?" and, "What does it expect me to do?" If we keep asking these questions, we can find out the exact value the tool in question adds to the data.We must stay on this message because the supply chain software industry is confusing. Nearly every vendor uses words like "supply chain," "optimize," and "simulate" in their marketing literature. Clearly, not everyone is doing the same thing--in fact, almost no two vendors are doing the same thing. (Frayer 1997, 433-441; Arntzen 1995, 69-93) Perhaps the first step available in tackling this wild frontier of computing cowboys is to dish up a little industry history to understand where the supply chain vendors have come from. To decipher and understand a vendor's particular language, you must understand which particular part of the "country" he is from.There are essentially four tribes that until fairly recently, have coexisted more or less peacefully in the supply chain software village. They are the ERPers, the SCMers, the OPTers, and the ANALers.ERP softwareThe ERPers hail from ERP land, formerly known as MRP land. ERP (Enterprise Resource Planning) software tools took the concepts of MRP and attempted to integrate other departments and functions that were outside of the manufacturing-planning arena, but still were related. (Chapman 1996, 1-7) Essentially, ERP systems are the software infrastructure that facilitates the flow of information between all functions in a company (manufacturing, logistics, finance, human resources, etc.)At their core, you can visualize ERP systems as huge database applications for storing transaction data. When your sales department receives an order, they have to enter the order into a computer. This order should generate an order in the shipping department (if it's on hand) or the manufacturing department (if it's not) so it can be produced. However, you may need to reorder some specific parts from your supplier. Additionally, each step has accounting implications (debit the accounts receivable account, purchase supplies, etc.)ERP deals with the toughest problem of all--organizing and executing the millions of transactions that operating a complex business entails. Notice that I haven't said anything about problem solving yet. (Breitman 1987, 94-106; Hicks 1996, 5-9) That's because, for the ERPers, just getting a handle on the transactions that accompany business operations is more than half the battle. ERPers aren't operations researchers, they're good old-fashioned data processing people. To totally over generalize, they often tend to see the supply chain as a database management problem, not as a mathematical modelling and optimisation problem.The ERPers are very well known. The industry is led by two of the world's largest software companies--SAP AG and Oracle--and also includes Baan, PeopleSoft,...

Find Another Essay On Devising of Optimization Models and Modelling Systems for Supply Chain Planning and Management

THE ROLE OF THE INTERNET IN TRANSFORMING INDUSTRY VALUE SYSTEMS THROUGH GLOBALISATION AND SUPPLY CHAIN INTEGRATION

1942 words - 8 pages ) industry value systems are becoming more and more efficient as time goes by. Introduction The Internet has played a major role in transforming industry value systems through globalisation and supply chain integration. Factories all over the world each produce a key component necessary for the production of a particular good/item and thanks to the internet it is now easier than ever to manage these supply chains and get the product from production

ENTERPRISE RESOURCE PLANNING SYSTEM & ITS ROLE IN SUPPLY CHAIN MANAGEMENT

2515 words - 11 pages inventory in warehouse is at low level and there is a need to purchase, so through ERP when inventory/ware house manger order or issue a purchasing receipt so it will appear at financing department for cheque/cash clearance but also this transaction will be visible to all the other concerned departments. ENTERPRISE RESOURCE PLANNING AND SUPPLY CHAIN MANAGEMENT INTEGRATION: ERP systems is the combination of three processes i.e., business process

write an analysis of the role of the internet in transforming industry value systems through globalisation and supply chain integration. Illustrat

1599 words - 7 pages between countries and currencies as exchange rates can change dramatically, either reducing or increasing costs. While the main benefit of using the internet for value systems and supply chain management globally is communications, it also provides a number of new avenues for business owners to advertise and sell their product such as online stores (Amazon) and auctions (Ebay). This provides many companies the option to cut out steps from manufacturer to consumer thereby increasing profits.

Crm and supply chain management

1872 words - 7 pages adapt to new business models. As organizations enter a new age of global competitiveness, electronic supply chain would serve as a tremendous catalyst for this new age and aid them in their quest for market share and profitability.Customer Relationship ManagementCRM stands for Customer Relationship Management. It is a strategy used to learn more about customers' needs and behaviors in order to develop stronger relationships with them. After all, good

Challenges and Possibilities for BIM Supply Chain Management

704 words - 3 pages This paper could identify the strategic areas related to the construction challenges and possibilities for BIM established supply chain management between a main project stakeholder such like the Client, contractor and product suppliers. First of the areas is design management, where it is essential to clarify how the model based design provided by a product supplier is linked to the architectural and structural design of the construction

operations management and supply chain - OPMA403 - OPMA

3406 words - 14 pages period of time ERP, SCM, AND CRM overview · Supply chain management enterprise resource planning customer relationship management · SAP contains all functionality in i2, SAP, and Siebel (software vendors) Reliability Definition: the probability that a machine part or product will function properly for a given length of time. Systems are composed of a series of interrelated components, each performing a specific function. If any one component fails

Strategic supply chain and logistic management

2779 words - 12 pages Introduction An successful integrated supply chain management depends heavily upon areas of operation management, logistics, procurement, and information technology (IT), together they strives for better results . Therefore, transparency with one another with the help of computer systems and programs that can be access or tailor to individual needs is essential. Depending on the operating purpose, it is important that all machines in the

Toyota and Volkswagen supply chain management

4885 words - 20 pages with the supplier is less in the Japanese manufacturing company when it is compared with the European manufacturers.Knowledge sharing,Knowledge sharing within the supply chain network is vital weapon for the success of the any network. Even tough both manufacturers share the knowledge with their suppliers at healthy mode. Japanese manufacturers are very open in their approach than the European manufacturers.Technology and management support,Both

Dell: Supply Chain Management and Electronic Commerce

1499 words - 6 pages Introduction: Dell, one of the largest technological corporations in the world, sells personal computers, software, computer peripherals and other digital products among the world. According to the Fortune 500 list, Dell is currently listed as number 51. Dell is well known for its customer-oriented services such as supply chain management and electronic commerce. More specifically, the supply chain management (SCM) used by Dell allows

Zara and supply chain

848 words - 4 pages are Zara’s field researchers, who pay close attention to trends on college campuses and the club scene. In closing, Zara’s responsive supply chain has allows them to become the largest fashion retailer in the world. The use of just-in-time systems they have been able to meet and exceed customer expectations. Zara’s procurement processes, allows for maximum design flexibility and creates significant value for their supply chain. Zara’s

Supply Chain Management Of Toyota

3385 words - 14 pages Supply Chain ManagementIntroductionMany researchers have pointed out the importance of Supply Chain ( SC ) and Supply Chain Management ( SCM ) in competitive environment. In this report, we will discuss about ( i ) Toyota Mortor Manufacturing North America ( TMMNA ) which is located in Erlanger, Kentucky, current supply chain position and one of its suppliers, TAC manufacturing, located in Jackson, Michigan, supplies steering wheels and air bags

Similar Essays

Network Modelling Of Supply Chain Usc Essay

1623 words - 7 pages chain planning process. Major supply decisions including production plan, procurement plan and distribution plan are prepared on the basis of forecast. There are numerous methods of generating forecast.  Historical Demand – Historical demand is the actual demand for a product in the past periods. Generally, historical demand is used to generate forecast. We will be using both historical demand and forecast in our models.  Orders – An order is a

Planning And Controlling The Supply Chain Paper

942 words - 4 pages accommodate manager's needs for performance evaluation in some settings such as just in time (JIT) environments. Managers use the budgeting process to identify and allocate the resources necessary to accomplish the goals of the organization through the management cycle by: executing, reviewing, and planning accordingly. Budgets are a basis to report the organizations financing, investing, and operating activities that are tied to long-term and short

The Role Of Information Systems In Supply Chain Management

1710 words - 7 pages The role of information systems in Supply Chain ManagementIntroductionThe purpose of this essay is to explore and evaluate the various approaches that can be taken to facilitate the management of supply chains.Supply Chain Management - A terminological backgroundThe Institute for Supply Chain Management has defined supply management as "the identification, acquisition, access, positioning and management of resources an organisation needs or

Information Systems In Supply Chain Management

6098 words - 24 pages Information Systems in Supply Chain Management 2 Innovated Information Systems in Supply Chain Management *** A Case Study of Walmart Stores, Inc. and Lessons for Vietnam Retail Industry Instructor: Dr. Le Thai Phong Prepared by: Doan Thi Thu Trang [1113340189] 3 Table of Contents INTRODUCTION .............................................................................................................................. 4 I. LITERATURE REVIEW