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28 03 2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 1 WaikatoManagementSchool2005ResearchSeminarSeries MakingSupplyChainsWorkForYouDrPaulChilderhouse 江西不孕不育医院 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 2 Overview Whataresupplychains Whatissupplychainintegration Howwellintegratedaresupplychainsinpractice Howcanmanagersincreasetheintegrationoftheirsupplychains 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 3 AGenericSupplyChain Productdisposal Consumption Motherearth Extractorsminersharvesters Converters suppliers Originalequipmentmanufacturers Distributors Retailers Consumers Material Information Cash Hines 2004 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 4 AnAutomotiveSupplyChainExample Childerhouse 2002 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 5 ANZSupplyChainExample 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 6 Themanagementofupstreamanddownstreamrelationshipswithsuppliersandcustomerstodeliversuperiorcustomervalueatlesscosttothesupplychainasawhole Christopher 1998 SupplyChainManagement SCM Definition 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 7 Serviceleader Costandserviceleader Commoditymarket Costleader Lo Hi Hi Lo Productivityadvantage Valueadvantage Christopher 1998 TailoredservicesReliabilityResponsiveness CapacityutilizationAssetturnCo markership scheduleintegration SCMandCompetitiveAdvantage 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 8 IntegrationisawellrecognisedgoalofsupplychainmanagementIntegratedsupplychainsprovidesuperiorvaluetoconsumersAtrulyintegratedsupplychainisseamlesswithallplayersthinkingandactingasoneIntegrationinvolvestheremovalofinternalboundarieswithinacompanyandinterfaceboundariesbetweencompaniesProcessboundariesHuman socialboundaries SupplyChainIntegration 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 9 ARowingAnalogy 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 10 Themostcommonsituationiswhenafirmachievesonlypartialintegration ontheoutboundside andontheinboundside managersreportconsiderabledifficultiesinlinkingthesetwotypesofexternalcollaborationintoanenterprisewideprocess TheGreatDivide Bowersoxetal 2002 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 11 Managersdonotattempttointegrateoperationsinavacuum Itisimportanttorecognisebarriersthatservetoinhibitprocessintegration OrganizationMeasurementandrewardsystemsInventoryleverageInfocraticstructureKnowledgehoarding Bowersoxetal 2002 InternalIntegrationBarriers 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 12 Stageone baselineStagetwo functionalintegrationStagethree internalintegrationStagefour externalintegration Manufacturingmanagement StagesofSupplyChainIntegration Purchasing Materialcontrol Production Sales Distribution Materialsmanagement Distribution Materialsmanagement Manufacturingmanagement Distribution Materialsmanagement Manufacturingmanagement Distribution Stevens 1989 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 13 PresentationProgress Whataresupplychains Whatissupplychainintegration Howwellintegratedaresupplychainsinpractice Howcanmanagersincreasetheintegrationoftheirsupplychains 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 14 OrganizationsStudied 28supplychainsCollectedoverasevenyearperiodViaasupplychaindiagnosticstool43productvaluestreamsstudiedFromtheautomotive electronics lighting FMCGanddairyindustries 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 15 IntegrationMaturityResults Childerhouse 2002 Directionofintegrationmaturity 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 16 Childerhouse 2002 IndividualIntegrationMaturityResults 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 17 AdaptedfromChilderhouse 2002 IndividualIntegrationMaturityResults NZ 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 18 ThreeStepstoSupplyChainIntegration Towilletal 2002 PutyourownhouseinorderfirstThenhelpyoursuppliertointegratewithyouFinallypersuadeyourcustomersoftheneedforintegration 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 19 12RulesforSimplifiedMaterialFlow OnlymakeproductswhichcanbequicklydespatchedandinvoicedtocustomersOnlymakeinonetimebucketthosecomponentsneededforassemblyinthenextStreamlinematerialflowandminimisethroughputtime pressallleadtimesUsetheshortestplanningperiod runquantitywhichcanbemanagedefficientlyOnlytakedeliveriesfromsuppliersinsmallbatchesasandwhenneededSynchronise TimeBuckets throughoutthesupplychain Towill 1999 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 20 12RulesforSimplifiedMaterialFlow Towill 1999 FormnaturalclustersofproductsanddesignprocessesappropriateEliminatealluncertaintiesinallprocessesUnderstand document simplifyandonlythenoptimise UDSO thesupplychainStreamlineandmakehighlyvisibleallinformationflowsthroughoutthechainUseonlyprovedsimplebutrobustDecisionSupportSystemsTheoperationaltargetistheseamlesssupplychain thinkandactasone 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 21 AverageAdherencetothe12SimplicityRules ChilderhouseandTowill 2003 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 22 CorrelationBetweenSimplicityandIntegration Childerhouseetal 2004 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 23 ConcludingRemarks SupplychainsarecomplexnetworksdrivenbyconsumerdemandsSupplychainintegrationistheremovalofinternalandexternalboundariessothatallplayersthinkandactasoneMostsupplychainsarenotwellintegratedinpracticeManagerscanincreasetheirlevelofintegrationbyfollowingthethreestepsandbyadheringtothe12simplicityrules 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 24 ImplicationsforPractice YouarenotaloneifyouarestrugglingwiththeconceptsofsupplychainmanagementMostsupplychainproblemscannotbesolvedbyITsoftwareorlargecapitalinvestmentsaloneSupplychainmanagementrequiresachangeinmindsetfromadversarialtocollaborationConsiderthe12rulesnexttimeyoutackleasupplychainproblemorwanttoenhancesupplychainperformance 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 25 ImplicationsforFurtherResearch Currentlylookingforwillingindustrialpartnerstoinvestigate HowwellintegratedareNewZealandsupplychains WhatbarriersslowsupplychainmanagementadoptioninNewZealand Whichofthe12rulesaremostusefulinNewZealand 28March2020 THEUNIVERSITYOFWAIKATO TEWHAREWANANGAOWAIKATO 26 Noorganisationisanislanduponitself butapieceof
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