Contemporary Logistics

Management

FRANCES KEATING PMP, PGTE

Frances Keating

Questions From Previous Lesson?

Frances Keating

Learning Outcomes

Triple A Supply Chain Management

Agility Ability to forecast well
Adaptability Being able to adapt to new ways
of processing to meet demands
Alignment Of processes internally and
externally to improve productivity
Frances Keating

Agility

The ability to forecast well

Knowing the demands of the market
Getting inventory levels correct
Having the right amount of the right
stock to meet demands
Not wasting money storing unnecessary
stock
Not a once off exercise
Frances Keating

Agility

Statistical Forecasting
Analysing past trends
Considering all factors Internal & External
Keeping current by weighting more recent
data (Alpha Factor)
High Alpha factor indicates recent data has
more relevance
Low Alpha factor indicates historical data has
more relevance
Frances Keating

Agility

Non-Statistical Forecasting
Expert analysis
Based on Product Managers experience
Materials Requirements Planning (MRP)
Based on analysis of materials
planning activities to maintain
inventory levels to meet scheduled
delivery demands
Frances Keating

Agility

Frances Keating

Adaptability

Being able to adapt to new

ways of processing to meet
demands
Outsourcing
Controlling sources
Alternative solutions
Frances Keating

Adaptability

Outsourcing
If not core business
Only needed in-frequently
Dont have expertise
Dont have capacity
Need a second source
Brand association
Frances Keating

Adaptability

Controlling sources
New sources become available
Better price
Better quality
Better T & Cs
Frances Keating

Adaptability

Alternative solutions
Dont become complacent
Better way of doing things
New designs
Process improvements
Beware of Silver Bullet
Frances Keating

Alignment

Alignment Of processes
internally and externally to
improve productivity

Stakeholders
Performance measures
Risk strategies
IT & Communications (ICT)

Frances Keating

Alignment

Stakeholders
Business Partners
Funding partners
Customers
Suppliers
Frances Keating

Alignment

Suppliers
Know your suppliers
What risks they can absorb?
How those risks impact you?
How much supplier risk you
can absorb?
Frances Keating

Alignment

Customers
What risks can they absorb?
How long can they hold stock
before selling on to their
customers?
If they dont sell their stock how
will that impact me?
Frances Keating

Alignment

Performance Measures
Align performance metrics
so that risks can be managed
Individual
Integrated
Frances Keating

Alignment

Frances Keating

Alignment

Frances Keating

Alignment

Risk Strategies
Build relationships with stakeholders
Good communications
Building trust
Understanding dependencies
Sharing information
Awareness of all risks, yours and your partners
Standardised approach
Frances Keating

Alignment

IT & Communications
(ICT)
Point Solutions
Best of breed solutions
Enterprise solutions
Extended Enterprise solutions
Frances Keating

Alignment

Point Solutions enable more

effective integration between

Purchasing and procurement (Buy)

Production planning and control (Make)
Warehouse management (Store)
Transport management (Move)
Customer relationship management
(Sell),

Frances Keating

Alignment

Best of breed solutions

Independent stand-alone
systems
May be integrated with one or
more internal systems but not
all
e.g. SAP or CRM

Frances Keating

Alignment

Enterprise solutions
Integration of all departments and
functions with an organisation
Single system will attempt to serve the
purpose of all parts of the company
Based on Enterprise Resource Planning
(ERP). Which tends to have an internal
focus
Frances Keating

Alignment

Frances Keating

Alignment

Extended Enterprise
solutions (XES)
Collaborative sharing of
information and processes
between partners
Frances Keating

Alignment

Frances Keating

Alignment

CPFR Model - Collaborative planning, forecasting, and replenishment

Frances Keating

Break, then discussion time.

Photo Credit: <a href="https://www.flickr.com/photos/36495803@N05/8097327748/">epSos.de</a> via <a href="http://compfight.com">Compfight</a> <a

href="https://creativecommons.org/licenses/by/2.0/">cc</a>

Frances Keating