Most degree programs offer internship opportunities, which is a great way to get first-hand experience in the field. There are degree programs in logistics and supply chain management, or you can earn a degree in business with a concentration in logistics and supply chain management.
Communications Information systems Note that many of these technologies are used across the value chain. For example, information systems are seen in every activity.
Similar technologies are used in support activities.
In addition, technologies related to training, computer-aided design, and software development frequently are employed in support activities. To the extent that these technologies affect cost drivers or uniqueness, they can lead to a competitive advantage.
Rather, one value chain activity often affects the cost or performance of other ones. Linkages may exist between primary activities and also between primary and support activities.
Consider the case in which the design of a product is changed in order to reduce manufacturing costs. Suppose that inadvertantly the new product design results in increased service costs; the cost reduction could be less than anticipated and even worse, there could be a net cost increase.
Sometimes however, the firm may be able to reduce cost in one activity and consequently enjoy a cost reduction in another, such as when a design change simultaneously reduces manufacturing costs and improves reliability so that the service costs also are reduced.
Through such improvements the firm has the potential to develop a competitive advantage. Analyzing Business Unit Interrelationships Interrelationships among business units form the basis for a horizontal strategy.
Such business unit interrelationships can be identified by a value chain analysis.
Tangible interrelationships offer direct opportunities to create a synergy among business units. For example, if multiple business units require a particular raw material, the procurement of that material can be shared among the business units.
This sharing of the procurement activity can result in cost reduction. Such interrelationships may exist simultaneously in multiple value chain activities. Unfortunately, attempts to achieve synergy from the interrelationships among different business units often fall short of expectations due to unanticipated drawbacks.
The cost of coordination, the cost of reduced flexibility, and organizational practicalities should be analyzed when devising a strategy to reap the benefits of the synergies.
Outsourcing Value Chain Activities A firm may specialize in one or more value chain activities and outsource the rest. The extent to which a firm performs upstream and downstream activities is described by its degree of vertical integration.
A thorough value chain analysis can illuminate the business system to facilitate outsourcing decisions.
To decide which activities to outsource, managers must understand the firm's strengths and weaknesses in each activity, both in terms of cost and ability to differentiate.
Managers may consider the following when selecting activities to outsource: Whether the activity can be performed cheaper or better by suppliers. Whether the activity is one of the firm's core competencies from which stems a cost advantage or product differentiation. The risk of performing the activity in-house.
If the activity relies on fast-changing technology or the product is sold in a rapidly-changing market, it may be advantageous to outsource the activity in order to maintain flexibility and avoid the risk of investing in specialized assets. Whether the outsourcing of an activity can result in business process improvements such as reduced lead time, higher flexibility, reduced inventory, etc.
The Value Chain System A firm's value chain is part of a larger system that includes the value chains of upstream suppliers and downstream channels and customers. Porter calls this series of value chains the value system, shown conceptually below:The successful management of a small logistics company investment analysis, the elimination of barriers to logistics management, the commitment of top management, and continuous improvement in logistics.
medium-sized logistics companies. However, the role of 3PL has become. Supply Chain Management Ch.
1 study guide by quizlette includes 39 questions covering vocabulary, terms and more. and all logistics management activities. Supply Chain. the series of companies eventually making products and services available to consumers, including all the functions enabling the production, delivery and recycling of.
6 Strategies for Better Supply Chain Management in the Current Economy Stephen Slade The years from through were notable for their economic volatility, reflected not only in the global economic recession but also the instability of customer demand and rapid movement in raw material, fuel, and commodity prices.
Logistics Management or Supply Chain Solutions, both play a major role in determining the overall success of a company. Major consequences are found in supply chain if there is even small variance in inventory; to overcome such consequences an effective logistics is necessary for any organisation.
Logistics management plays a pivotal role in both the execution of laboratory services and the budget for your project.
Prior to the enrollment of your first subject, our team will evaluate the investigator site list and determine if specific locations should be subject to a logistics dry-run shipment. Companies’ management systems were still tactical and operational, not strategic. In our experience, a management system based on the balanced scorecard framework is the best way to align.