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Operations in Supply Chain Management Summary

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This document contains a summary for Supply Chain management 1, as well as the questions that have been asked at previous exams.

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March 22, 2022
Number of pages
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2021/2022
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Questions exam 1:

1. How would you describe the supply chain of IKEA? Please incorporate in your
answer how they provide customer value and reflect on their level of strategic
alignment.

 Indicative answer:
5 points for describing the supply chain.
5 points for showing how customer value is created.
5 points for reflecting on the level of strategic alignment

- The concepts of upstream & downstream are probably most relevant to do,
but you could also describe the intra-organizational interactions, and
subsequently also the inter-organizational interactions. In terms of
argumentation.
- you will need to describe how those interactions contribute to providing
customer value. This implies that you will need to indicate what they would
consider customer value for the respective company. This can be done by
using the four performance dimensions of time, flexibility, quality & cost. you
can also come up with other dimensions for customer value.
- You will need to explain whether they or not they consider the company to be
strategically aligned (yes, no, high, low, etc.). This need to be explained using
the concepts of business strategy and the functional strategies.
---------------------------------------------------------------------------------------------------
2. How would you describe the transformation process of OSM1 training sessions at
ASIS? Please incorporate in your answer what you would consider quality in this
context and what would be an appropriate process strategy. Also come up with a
relevant performance measure.

 Indicative answer
5 points for describing the transformation process
3 points for explaining quality in this context
5 points for indicating a fitting process strategy
2 points for indicating a relevant performance measure

- You need to describe the transformation process in terms of what the inputs
and outputs are, and what happens in between (throughput, or
transformation). This does not need to be exhaustive but it has to be correct.
- You need to highlight what they would consider quality in this context, This
can be done by utilizing either the conformance or value perspective. The
value perspective can be applied by using the various dimension of quality,
Key element is that you need to apply the theory to their given context
- You need to identify the requirements in terms of volume & variety and
subsequently indicate what would be a fitting process strategy based on
argumentation.
- You need to formulate an appropriate performance measure, this measure can
be single- or multidimensional but you needs to indicate which type of
measure it pertains to. The performance measure should also be relevant for
the respective product or service.

,Week 1.

Why study OSCM?
 Every organization must make a product or a service that someone values.
 Organizations must carefully manage their operations and supply chains in order
to survive.
 Most organizations function as part of larger supply chains.
 SCM will enable you to solve complex business problems related to the journey of
products and services from the manufacturer or provider to the end customer.

Operations management:
The planning, scheduling, and control of the activities that transform inputs(Intangible
needs, materials, information) and into finished goods and services(outputs=tangible
goods, satisfied customers and fulfilled needs).

Transformation process:
A process is a specific ordering of activities across time and place, with a beginning, an
end, and clearly defined inputs and outputs: a structure for action. (flowcharts, process
charts, process maps, service blueprints, swim lanes)
A business process is a set of logically related tasks or activities performed to achieve a
defined business outcome.
We use models to document processes.




Logistics management:
“Logistics management is that part of the Supply Chain Management that plans,
implements, and controls the efficient, effective forward and reverse flow and storage of
goods, services, and related information between the point of origin and the point of
consumption in order to meet customers’ requirements.”




 7 rights:
1. Right product
2. Right customer
3. Right time
4. Right place
5. Right condition
6. Right quantity
7. Right cost

, What are Supply Chains:
A supply chain “encompasses all activities associated with the flow and transformation of
goods from the raw material stage (extraction), through to the end user, as well as the
associated information flows”.

Focal organization: upstream & downstream:




Supplier = 1st tier
Supplier’s supplier = 2nd tier

Week 2.

Why is SCM difficult?
• UNCERTAINTY is inherent to every supply chain!
• A long chain … so a lot can happen!
• Breakdowns; Travel times;
• Weather, nature, war
• Local politics, border issues
• COMPLEXITY to (globally) optimize the SC:
• Minimize costs, minimize uncertainty;
• While focusing on performance!
• Many actors (for example, companies) in the chain

Uncertainties and SC Risk
• Risk is a fact of life for any supply chain, whether it is dealing with
quality and safety challenges, supply shortages, legal issues, security
problems, regulatory and environmental compliance, weather and
natural disasters, or terrorism. There is always some element of risk.
• Companies with global supply chains face additional risks, including,
but not limited to, longer lead times, supply disruptions caused by
global customs, foreign regulations and port congestion, political
and/or economic instability in a source country, and changes in
economics such as exchange rates.




An integrated perspective:
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