SISON, JOHN ROBERT R.

Research

Instruction: Read and analyze every questions, and answer it with your understanding you can use
different media platforms for you to be able to easily answer the questions. Write your answer in 100
words acceptably.

1. What is a supply chain management strategy and techniques?

 Supply chain management (SCM) involves the movement of products and services from suppliers
to distributors. SCM involves the flow of information and products between and among supply
chain stages to maximize profitability.
 The major functions involved in SCM are the procurement of raw materials, product
development, marketing, operations, distribution, finance, and customer services. Customers are
an integral part of SCM.
 The objective of supply network or SCM is to maximize the overall value. Value is correlated to
supply chain profitability. Here, profitability is the difference between the total revenue generated
from the customer and the overall supply chain costs.
 Strategies and designing of the supply chain include:

 Deciding on the supply chain structure and the activities each stage of the supply chain will
perform
 Selecting a location and capacities of facility
 Deciding on the products that are to be made and the location where they need to be stored
 Choosing the modes of transportation and the source from where the information is to be
collected

 Supply chain design decisions are long term projects and are expensive to reverse; so the manager
must take into account the market uncertainty.

2. What is logistics? And your strategy to meet the effectively and efficiency in productivity?
 A logistics strategy can be defined as a set of guiding principles, attitudes and driving forces that
help you coordinate plans, goals and policies between different partners across any supply chain.
It helps you increase the supply chain performance while improving supply chain management on
a whole.
 Get an Information Management System: If you can afford go for a customized information
management system. It will benefit your business in a range of areas including warehouse
management, supply chain management, order tracking, inventory management and accurate
delivery of customers’ orders. If you can’t afford a custom solution, search for reliable and
affordable warehouse/stock management software that could provide you more visibility of
products and system and enable to quickly process the customers’ orders.
 Keep a Sizable Inventory at your Warehouse: This is a big problem with businesses as not
everyone has a big enough warehouse to manage their stock in larger quantity. This leads to
supply shortage and delayed orders in many instances. If your products are selling like hotcakes
and you lack the desired inventory management facility, why not considering third party
warehousing? According to the Property Data Report 2013, there is £80bn worth of warehousing
in the UK. It’s not just the United Kingdom, International Business Times report also suggest that
3PLs market is set to surpass $900 billion market value by 2020.
 All you need is to consult a reliable partner for logistical support and ensure a sizable inventory
available for shipment. However, make sure you’re doing this after analyzing your information
 management system and customers data insights. It should guide you on the quantity, type,
packages, market trends, and much more.
 Train Your Staff: Staffers who are habitual of managing orders and information in the
traditional way must be trained on the modern techniques. This can be done internally by your
HR department or you can ask the software vendor to arrange training sessions for your team.
Moreover, you can invite the system architect and your data management team to come over and
provide weekly insight to your team on the floor and warehouses. This will enable smooth flow
of information across the value chain.
 Redefine SOP: Redefine your standard operating procedures to make sure that your team is
moving the right wheel at the right time. This requires few small but strategically very important
steps. In this regards, make sure to work on the following domains.

 Free flow of information across the value chain

 Daily, weekly, and monthly analytics report- to guide the floor, development, packaging, and
sales team about the sales flow and market behavior trends.
 Double checking the orders – humans are prone to error and may lead to shipment of order for
second time. This adds more bucks to the cost and yields loss. Therefore, introduce double
checking.
 Design a system with connected but different role for the people who understand the signs and
pay heed to their JDs.
 Print your key policy jargons and paste across the facility.
 Learn from the Competition: Only 20% start-ups last longer than 1 year because most of them
cease to learn. No matter whatever industry or market you are in, competition and market can be
a great source of free knowledge. By actively monitoring the competition, you can learn:
 Updated best practices of logistics management
 Software and systems to manage information flow
 Techniques/training programs for your staff
 Modern operations management techniques in academic circles

3. What is your strategy in creating customers value?

 Always consider your customers’ perspective
 Consistently work to improve customer satisfaction
 Implement marketing models into your strategy
 Develop a memorable customer experience
 Never underestimate the value of free resources
 Make motivational programs
 Use loyalty programs
 Ask for feedback
4. What information do you share with suppliers in in terms of products?
 Through progressing vital connections, providers become accomplices when they add to upper
hand. To guarantee that the gracefully chain bolsters the organization's technique, chiefs need to
consider a few things, for example, bookkeeping, account, promoting, and working controls.
Competition is no longer just about companies, but also between supply chains. The key to
success is collaborating with members, both in the supply and supply chain distribution to make
decisions that will benefit the entire channel. For companies, the supply chain determines a
substantial portion of product costs and quality and opportunities for responsiveness and
differentiation.
 With collaboration, costs for buyers or suppliers will decrease. For example when both parties
want to share sales and cost information, profits can increase for both parties.
5. How do you collaborate the logistics and supply chain management as a whole?
 Collaborative intention: Maintain an authentic (not just lip service) non-defensive presence and
make a personal commitment to mutual success in the relationship. Often times we have seen this
in the supply chain and logistics realm for outsourcing (and in outsourcing in general) called
“Vested Outsourcing.”
 Truthfulness: Tell the truth and listen to the truth; be open with your partner: Listen (rather than
talk) intently, and create a climate of openness so both parties are safe enough to discuss
concerns, solve problems and deal directly with difficult issues.
 Self-accountability: Take responsibility for the choices you make, either by acting or failing to
act. Find a solution for an issue rather than finding someone to blame.
 Self-awareness and awareness of others: Know yourself, and your partner deeply, be willing to
explore difficult issues.
 Problem Solving and Negotiating: Use problem-solving methods that promote a cooperative
atmosphere; avoid fostering subtle or unconscious competition.
 Level 1: Transaction integration. This involves the automation of business processes and
transactions, using EDI, the Internet, or proprietary tools. At the execution level, you and your
partners exchange transactional data such as:
 Purchase orders, work orders and sales orders
 POS information
 Invoices
 Credit and debit notes
 Payments
 Level 2: Supply chain management information sharing. EDI, the Internet, or proprietary tools
are used at this level to give partners information that helps them make the best decisions. Types
of information being shared include:
 Production or component forecasts
 Production and transportation plans and capacities
 Bills of material (BOMs)
 Orders
 Product descriptions
 Prices and promotions
 Inventory
 Allocations
 Product and material availability
 Service levels
 Contract terms, such as supply capacity, inventory, and services
 Level 3: Strategic collaboration. At this level you and your partners are taking part in joint
planning, process redesign, as well as sharing some level of risk and reward. You will be making
collaborative decisions on issues like:
 Improving the accuracy of forecasts
 Strengthening strategic supply chain relationships and profitability
 Enhancing sales and operations planning
 Accelerating and managing demand plans, direct material procurement and fulfillment throughout
the supply chain
 Resolving critical supply chain events
 Production capacities
 Production facility and fulfillment network expansion
 Pricing plans 
 “Knowledge is power,” as they say, and in the case of supply chain collaboration, sharing of
information leads to enhanced knowledge across the chain that allows you to achieve:
 Lower inventory levels and higher inventory turns
 Lower transportation and warehousing costs
 Lower out-of-stock levels
 Shorter lead times
 Improved customer service metrics
 Visibility into customer demand and supplier performance
 Earlier and quicker decision-making