Summary
Summary Chapter 7 - Introduction to Operations and Supply Chain Management (Bozarth)
- Course
- Institution
Summary of 6 pages for the course Supply Chain Management at UM
[Show more]
Seller
Follow
studyhelper
Reviews received
Content preview
supply management: the broad set of activities carried out by organizations to analyze sourcingopportunities / develop sourcing strategies / select suppliers / carry out all the activities
required to produce goods / services
7.1 Why Supply Management is Critical
- supply management (also: sourcing / purchasing): has always been an important, if under-appreciated,
function in many business
- several factors working together (e.g. global sourcing, financial impact and performance impact of
sourcing decisions)
Global Sourcing
- firms do not compete only against global competitors but against their competitors' s.c.
- managers have come to realize that to compete globally, companies need to source globally
- advances in information systems have served as a catalyst for global sourcing efforts
- companies can share anticipated requirements with key suppliers around the clock, allowing suppliers
to plan their activities accordingly
F i n a n c i a l I m p a c t a n d Pe r f o r m a n c e I m p a c t
- nearly 53% of the value of shipment comes from material at an average manufacturer
- cost is not the only considerations
- purchased goods / services can have a major effect on other performance dimensions, including
quality and delivery performance
7.2 The Strategic Sourcing Process
- strategic sourcing process contains of six steps (g Figure 1):
(1) (2) (3) (4) (5) (6)
Screen
Profile Develop Suppliers & Conduct Negotiate &
Asses
internally & the Sourcing Create Supplier Implement
Opportunities
Externally Strategy Selection Selection Agreements
Criteria
Figure 1: The Six Steps of the Strategic Sourcing Process
- 82
82 - Jannis Mertens
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller studyhelper. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $3.19. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
75282 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 15 years now