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1、AchievingCompetitiveAdvantageThroughSupplyChainManagementAdvancedPlanningandSchedulingSystemsMay25 2000 Agenda 1 TheEvolutionoftheSupplyChain2 AdvancedPlanningandSchedulingSystems2 1HowTheyWork2 2TheVendors TheSupplyChainencompassesanumberofkeybusinessprocessesinvolvedinmanagingtheflowofmaterials in
2、formation andfundsfromtheinitialsupplierstotheultimateconsumer theconceptofsupplychainmanagementisrelativelysimple However intherealworld multiplesuppliers multipleplants multipledistributionpointsandmultiplecustomerssignificantlycomplicatematerialandinformationflows And giventhatsupplychainscrossmu
3、ltiplecompanies wallshavebeenbuiltthatpreventfullandtimelyinformationflow Breakingdownthesewallsandintegratingthesupplychainiscritical However todate mostsupplychaininitiativeshavebeeninwardlyfocused Onlyrecently manufacturersarebeginningtoembracethetotalsupplychainasameanstoachievingcompetitiveadva
4、ntage Phase1 ProcessIntegration e g reengineeringtheorder to cashprocess Phase2 Intra EnterpriseIntegration e g salesstrategiescoordinatedwithsupplychaincapabilities Phase3 Inter EnterpriseIntegration e g collaborativeforecasting replenishmentbetweenretailersandsuppliers Stage1 Separatebestofbreedap
5、plicationsdedicatedtospecificbusinessprocesses 1970s EnterpriseResourcePlanning ERP SupplyChainTechnologyhasevolvedoverthepastseveraldecades Today sERPsystemsaretransaction basedapplicationswithlimiteddecision supportcapability Stage3 Enterprise wideapplications earlytomid1990sandstillongoing Stage2
6、 Suitesofintegratedapplicationsforfunctionalprocesses 1980s APSDefinitionERPorlegacyinterfaceddecisionsupporttechnologywhichusesadvancedalgorithms e g LPs IPs mixed IPs heuristics theory of constraints etc tomodelsupplychainconstraintsandenableintelligentsupplychainplanning decisionmaking APSCharact
7、eristicsAllowscomplexsupplychainrepresentationandrapidSCmodelreconfigurationEnablesconcurrent dynamicplanning and what if simulationsusingmemoryresidentprocessingPossessscaleableobjectarchitecturescapableofrunninglargedata intensivemodels AdvancedPlanningandSchedulingSystems APS AretheNextStepoftheE
8、volutionforProvidingDecisionSupportCapabilities Whilewetendtodrawallsupplychainsthesame therearemanytypesofsupplychains eachwiththeirownuniquechallenges E g Pulp Paper E g High Tech E g ConsumerProducts HowDoYouKnowIfYouHaveSupplyChainManagementProblems CustomerServiceConcerns Customercomplaints los
9、sofshare deliveryproblems customersurprisesMaterialsManagementDifficulties Highinventorybuffers obsolescence hightransportationcosts suppliershortages lostpurchasingdiscountsManufacturingProcessProblems Productioninefficiencies overcapacity undercapacity costgrowthPlanningDifficulties Inaccuratefore
10、casts highstockouts growingoverheadcostsObsoleteTechnology Incompatiblesystemslinkages inaccurate inaccessibleinformationRevenueCycleConcerns Lengthytimetomarket longordercycle distributiondelays conflictingchanneldemandsVendorManagementProblems Poorresponselevels lostgrowth lackofcommitment TheImpo
11、rtanceofSupplyChainManagementHasIncreasedSignificantlyOverthePastFewYears TheResponse Approximately60 ofManufacturersCurrentlyHaveaMajorSupplyChainInitiativeUnderway However 42 are lessthansatisfied withtheoutcomeoftheirpreviousimprovementefforts AsthePaceofBusinessContinuestoIncrease aKeyChallengef
12、orToday sSupplyChainManagersIstoMakeGoodBusinessDecisions UsingAlltheInformationThatIsAvailable WithinaShortTimePeriod TheSupplyPlanning SP DistributionPlanning MasterPlanning FactoryPlanning Scheduling InventoryPlanning SP InventoryPlanning InventoryPlanningGoal Determineoptimalinventorylevelsandlo
13、cationtoprotectdesiredcustomerservicegoals TradeoffbetweeninventoryandservicenotunderstoodLimitedabilitytoknowhowmuchinventory whenandwhereInabilitytoplanatasufficientlevelofdetailInabilitytoquantifytheimpactofdemandandsupplyvariability Challenges SPMasterPlanning MasterPlanningGoal Globallyoptimize
14、productionplanconsideringtradeoffsofavailablecapacity materials costs time LackofvisibilityDisjointedplanningInabilitytoreconciledemandprioritieswithsupplyconstraintsInabilitytogloballyoptimizeproductionplanconsideringmultipleconstraintsPlanningdoesn tsupportcorporateobjectives Challenges Distributi
15、onPlanning MasterPlanning FactoryPlanning Scheduling InventoryPlanning SPFactoryPlanning Scheduling FP SchedulingGoal OptimalexecutionoftheMasterPlantominimizecostandimprovequalityoftheplan MaterialandcapacityconstraintsnotconsideredsimultaneouslyInaccuraterepresentationofrealworldconstraintsSlow in
16、abilitytoreactLackofproblemvisibilityPoordeliverydatequotinginbuildtoorder Challenges SP DistributionPlanning DistributionPlanningGoal Optimallypositioninganddeployinginventorytoachievedesiredcustomerservice Store DCreplenishmenthandledindependentlyLimitedabilitytoprioritizedemandPredetermined akainflexible distributingrulesInventorydistributedinadvanceofactualsales Challenges DistributionPlanning MasterPlanning FactoryPlanning Scheduling InventoryPlanning CustomerBenefits Growth Increaserevenue
