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• Team approach
• Development of resources with sophisticated supply chain wide understanding
2003 AndersenConsulting
9
2003 AndersenConsulting
10
2003 AndersenConsulting
• The barriers to collaboration and integration are organizational and behavioral not technological or economic - the Fear of Change
• Lack of trust and integration of company practices are key obstacles
Solution
driven
installs
Multiple solution integration
2003 AndersenConsulting
7
11/4/98
The Journey to Synchronization
ห้องสมุดไป่ตู้
Synergistic
Synchronized
Interdependent
Supply chain integration
Supply chain decision support
Value-based external collaborative models
Collaborative supply chain technology
Technology Single solution legacy Multiple solution
• Functionally oriented metrics and remuneration
• Mistrust between functions
• Focus on functional skill building
Features of a leading supply chain organization
Strategy
Demand Generation
Materials & Capacity
2003 AndersenConsulting
Outsourcing
6
Implementing the right enabling technologies is also critical to the success of synchronization.
• Harness the power of business partners and alliances
• Organization and management of cross functional processes
• Customer focused metrics and incentives
Upstream or Downstream Positioning of
Partners
Supply Chain Structure
Product Lines
Customer Priorities
Market Offerings
Business Functions
Channel Strategies
Features of a typical supply chain organization
• Contractual relationships with customers and suppliers
• Organization and management of functional activities
Business Integration Model
A Holistic Perspective: Supply Chain Management
Linking the globe with real-time applications that maximize customer desires with reduced cost structures through optimized software with operations executed by both internal people and external alliance partners.
Collaborate & Synchronize Align and Integrate
Drivers
Process Solution
Today’s Technology Emerging Technology Future Technology
ERP, Y2K
Automated business processes
Connection/ Culture
Collaborate
Commitment
Interactive/Aligned
Integrate
Investment
Transactional
Understanding
Hostile
2003 AndersenConsulting
8
Supply chain organizations must be restructured and re-skilled to support these strategies
Gregory J. Owens Former Global Managing Partner
Supply Chain Practice March 4, 1999
2003 AndersenConsulting
1
The SCM pitfalls we have learned to date.
• Benefits from sharing sales forecasts and inventory levels are achievable but fall short of the promise
AMR Research Alert on Supply Chain Management (August 1998)
STRATEGY
PEOPLE
TECHNOLOGY
BUSINESS INTEGRATION
PROCESS / OPERATIONS
2003 AndersenConsulting
3
Executives should take a holistic business approach to successfully synchronize their supply chains.
Synchronized
enabling technologies
Supply Chain
PROCESS / OPERATIONS
2003 AndersenConsulting
Develop supporting process capabilities
4
First and foremost, successful synchronization requires developing a synchronization strategy.
11
Determine With Whom To Synchronize
Determine Your Synchronization Scope
Number of
Partners
Partners’ Strategic Importance
Nature of Relationship
Partners’ Capabilities
2003 AndersenConsulting
5
Companies will then need to develop processes to support each core capability.
Forecasting & Fulfillment
Product Design
Synchronized Supply Chain
2003 AndersenConsulting
2
Successful SCM initiatives typically combine strategic and tactical change to all components of a company.
“The SCM Practice comprises experts in technology, processes, strategy and change management, enabling it to provide clients with cross-functional solutions.”
Develop a synchronization strategy, and choose the right initiative
STRATEGY
Restructure and re-skill organizational relationships
PEOPLE
TECHNOLOGY Implement the right
• Development of resources with sophisticated supply chain wide understanding
2003 AndersenConsulting
9
2003 AndersenConsulting
10
2003 AndersenConsulting
• The barriers to collaboration and integration are organizational and behavioral not technological or economic - the Fear of Change
• Lack of trust and integration of company practices are key obstacles
Solution
driven
installs
Multiple solution integration
2003 AndersenConsulting
7
11/4/98
The Journey to Synchronization
ห้องสมุดไป่ตู้
Synergistic
Synchronized
Interdependent
Supply chain integration
Supply chain decision support
Value-based external collaborative models
Collaborative supply chain technology
Technology Single solution legacy Multiple solution
• Functionally oriented metrics and remuneration
• Mistrust between functions
• Focus on functional skill building
Features of a leading supply chain organization
Strategy
Demand Generation
Materials & Capacity
2003 AndersenConsulting
Outsourcing
6
Implementing the right enabling technologies is also critical to the success of synchronization.
• Harness the power of business partners and alliances
• Organization and management of cross functional processes
• Customer focused metrics and incentives
Upstream or Downstream Positioning of
Partners
Supply Chain Structure
Product Lines
Customer Priorities
Market Offerings
Business Functions
Channel Strategies
Features of a typical supply chain organization
• Contractual relationships with customers and suppliers
• Organization and management of functional activities
Business Integration Model
A Holistic Perspective: Supply Chain Management
Linking the globe with real-time applications that maximize customer desires with reduced cost structures through optimized software with operations executed by both internal people and external alliance partners.
Collaborate & Synchronize Align and Integrate
Drivers
Process Solution
Today’s Technology Emerging Technology Future Technology
ERP, Y2K
Automated business processes
Connection/ Culture
Collaborate
Commitment
Interactive/Aligned
Integrate
Investment
Transactional
Understanding
Hostile
2003 AndersenConsulting
8
Supply chain organizations must be restructured and re-skilled to support these strategies
Gregory J. Owens Former Global Managing Partner
Supply Chain Practice March 4, 1999
2003 AndersenConsulting
1
The SCM pitfalls we have learned to date.
• Benefits from sharing sales forecasts and inventory levels are achievable but fall short of the promise
AMR Research Alert on Supply Chain Management (August 1998)
STRATEGY
PEOPLE
TECHNOLOGY
BUSINESS INTEGRATION
PROCESS / OPERATIONS
2003 AndersenConsulting
3
Executives should take a holistic business approach to successfully synchronize their supply chains.
Synchronized
enabling technologies
Supply Chain
PROCESS / OPERATIONS
2003 AndersenConsulting
Develop supporting process capabilities
4
First and foremost, successful synchronization requires developing a synchronization strategy.
11
Determine With Whom To Synchronize
Determine Your Synchronization Scope
Number of
Partners
Partners’ Strategic Importance
Nature of Relationship
Partners’ Capabilities
2003 AndersenConsulting
5
Companies will then need to develop processes to support each core capability.
Forecasting & Fulfillment
Product Design
Synchronized Supply Chain
2003 AndersenConsulting
2
Successful SCM initiatives typically combine strategic and tactical change to all components of a company.
“The SCM Practice comprises experts in technology, processes, strategy and change management, enabling it to provide clients with cross-functional solutions.”
Develop a synchronization strategy, and choose the right initiative
STRATEGY
Restructure and re-skill organizational relationships
PEOPLE
TECHNOLOGY Implement the right