SUPPLY CHAIN MANAGEMENT STUDY GUIDE

SUPPLY CHAIN MANAGEMENT STUDY GUIDE

Supply Chain - Answers - consists of all parties involved, directly or indirectly, in the
procurement of a product or raw material

Supply Chain Management (SCM) - Answers - involves the management of information
flows between and among stages in a supply chain to maximize total supply chain
effectiveness and profitability

Operations Management - Answers - Forecasting, Capacity Planning, Scheduling,
Maintaining inventory, assuring quality, and motivating and training

Factors that add Value by OM decisions - Answers - Cost, Quality, Delivery, Flexiility,
and Service

Three Main Links of Supply Chain - Answers - 1. Materials flow
2. Transformation of materials into products
3. Distribution

"Classic" Supply Chain - Answers - Suppliers => Manufacturer =>
Wholesalers/Distributors => Retailers => Customers

Five Basic Supply Chain Management Components - Answers - 1. Plan 2. Source 3.
Make 4. Deliver 5. Return

Plan - Answers - strategic portion of supply chain management

Source - Answers - companies carefully choose reliable suppliers that will deliver goods
and services required for making products

Make - Answers - step where companies manufacture their products

Deliver (Logistics) - Answers - set of proceses that plans for and controls the efficient
and effective transportation and storage of suppliers to customers

Return - Answers - comapnies must create a network for receiving defective and excess
products and support customers who have problems with delivered products

Supply Chain Visibility - Answers - ability to view all areas up and down the supply chain

Bullwhip effect - Answers - occurs when distorted product demand information passes
from one entity to the next throughout the supply chain

Supply chain strategy - Answers - strategy for managing all resources to meet customer
demand