SUPPLY CHAIN PROBLEMS AND SOLUTIONS INTRODUCTION
8.11 SUPPLY CHAIN PROBLEMS AND SOLUTIONS INTRODUCTION
A d d i n g v a l u e a l o n g t h e s u p p l y c h a i n i s e s s e n t i a l f o r c o m p e t i t i v e n e s s o r e v e n survival. U n f o r t u n a t e l y , s u c h a d d i t i o n s are l i m i t e d b y m a n y p r o b l e m s a l o n g t h e c h a i n . S u p p l y c h a i n p r o b l e m s h a v e b e e n r e c o g n i z e d b o t h i n t h e military a n d i n b u s i n e s s o p e r a t i o n s for g e n e r a t i o n s . S o m e o f t h e m h a v e c a u s e d a r m i e s t o l o s e w a r s a n d c o m p a - n i e s t o g o o u t o f business. T h e s e p r o b l e m s are m o s t e v i d e n t i n a c o m p l e x o r l o n g s u p - ply c h a i n a n d i n c a s e s w h e r e m a n y b u s i n e s s partners are i n v o l v e d .
T h e r e are h u n d r e d s o f e x a m p l e s o f c o m p a n i e s that w e r e u n a b l e t o m e e t d e m a n d s o r h a d i n v e n t o r i e s t o o large a n d t o o e x p e n s i v e t o m a i n t a i n . S e v e r a l o t h e r p r o b l e m s are typical in a s u p p l y chain; f o r e x a m p l e , lack of o v e r a l l s u p p l y c h a i n s t r a t e g y a n d f a i l u r e to recognize the full range of organizational implications. Many companies erro- neously think that good SCM can be attained only through an ERP (ERM is also used for ERP) system.
C o m p a n i e s that e x p e r i e n c e s u c h p r o b l e m s s o m e t i m e s p a y s u b s t a n t i a l p e n a l t i e s o r even end up going out of business. On the other hand, some world-class companies, such as Wal-Mart, Federal Express, and Dell, have superb supply chains with innova- tive applications.
An interesting supply chain decision-making problem involved the difficulty of fulfilling orders received electronically for toys during the holiday season of 1 9 9 9 - 2 0 0 0 . D u r i n g t h e last m o n t h s o f 1 9 9 9 , o n l i n e t o y r e t a i l e r s , i n c l u d i n g e T o y s , A m a z o n . c o m , a n d Toys.'R'Us, c o n d u c t e d a m a s s i v e a d v e r t i s i n g c a m p a i g n f o r I n t e r n e t orders featuring $20- to $30-discount vouchers. Customer response was overwhelming, but some retailers had underestimated the demand and asa result made incorrect ordering, inventory, and shipment decisions. In consequence they were unable to obtain the necessary toys from manufacturing plants and warehouses and deliver them t o c u s t o m e r s b y C h r i s t m a s E v e . H e r s h e y ' s C h o c o l a t e e x p e r i e n c e d a similar p r o b l e m
C H A P T E R 8 ENTERPRISE INFORMATION SYSTEMS
D S S I N A C T I O N 8 .1 9
Parts
» Decision Support System And Intelligent System 7th Edition Turban Aronson Liang 2005
» DECISION -MAKING: THE INTELLIGENCE PHASE
» DECISION-MAKING: THE CHOICE PHASE
» SUPPORT FOR THE I N T E L L I G E N C E P H A S E
» OPENING VIGNETTE: DUPONT SIMULATES RAIL TRANSPORTATION SYSTEM AND AVOIDS COSTLY CAPITAL EXPENSE 1
» CERTAINTY, UNCERTAINTY, AND RISK 3
» MSS MODELING WITH SPREADSHEETS
» THE NATURE AND SOURCES OF DATA
» THE WEB/INTERNET AND COMMERCIAL DATABASE SERVICES
» DATABASE MANAGEMENT SYSTEMS IN DECISION SUPPORT SYSTEMS/BUSINESS INTELLIGENCE
» BUSINESS INTELLIGENCE/BUSINESS ANALYTICS
» Repeat steps 3 to 5 until you have reached the pre- specified maximum number of clusters.
» INTRODUCTION TO DSS DEVELOPMENT
» THE TRADITIONAL SYSTEM DEVELOPMENT LIFE CYCLE
» Obtaining executive-level buy-in. • Correctly estimate how difficult or complex a pro-
» PROTOTYPING: THE DSS DEVELOPMENT METHODOLOGY
» N A C T I O N 6.19 USER INVOLVEMENT IS CRITICAL IN SYSTEMS IMPLEMENTATION
» The four cells are organized along the two dimensions of time and place.
» Make money (sell your courseware)
» CREATIVITY AND IDEA GENERATION CREATIVITY
» EXECUTIVES' ROLES AND INFORMATION NEEDS
» SOFT INFORMATION IN ENTERPRISE SYSTEMS
» SUPPLY AND VALUE CHAINS AND DECISION SUPPORT
» SUPPLY CHAIN PROBLEMS AND SOLUTIONS INTRODUCTION
» CUSTOMER RELATIONSHIP (RESOURCE) MANAGEMENT (CRM) SYSTEMS
» BEST THINGS YOU CAN DO WITH YOUR DATA
» FRONTLINE DECISION SUPPORT SYSTEMS
» THE FUTURE OF EXECUTIVE AND ENTERPRISE INFORMATION SYSTEMS 2
» APPROACHES TO KNOWLEDGE MANAGEMENT THE PROCESS APPROACH
» EVOLUTION OF ARTIFICIAL INTELLIGENCE
» THE ARTIFICIAL INTELLIGENCE FIELD
» PROBLEM AREAS SUITABLE FOR EXPERT SYSTEMS
» KNOWLEDGE ACQUISITION FROM MULTIPLE EXPERTS
» KNOWLEDGE VERIFICATION AND VALIDATION
» S I N A C T I O N 11.9 RULE-BASED SYSTEMS TACKLE EMPLOYEE SHRINK
» Search the Internet to find a knowledge-acquisition development of Web-based expert systems. How
» BASIC CONCEPT OF NEURAL COMPUTING
» DEVELOPING NEURAL NETWORK-BASED SYSTEMS
» DEVELOPING GENETIC ALGORITHM APPLICATIONS
» DEVELOPING INTEGRATED ADVANCED SYSTEMS
» X 2 . Again, how well did this work? Plot your
» OPENING VIGNETTE: SPARTAN USES INTELLIGENT SYSTEMS TO FIND THE RIGHT PERSON AND REDUCE TURNOVER
» WEB-BASED INTELLIGENT SYSTEMS
» INTELLIGENT AGENTS: AN OVERVIEW
» M-COMMERCE, L-COMMERCE, AND PERVASIVE COMPUTING
» OPENING VIGNETTE: ELITE CARE SUPPORTED BY INTELLIGENT SYSTEMS
» THE IMPACTS OF MSS: AN OVERVIEW
» DECISION-MAKING AND THE MANAGER'S JOB
» ISSUES OF LEGALITY, PRIVACY, AND ETHICS
» INTELLIGENT SYSTEMS AND EMPLOYMENT LEVELS
» Rosati. (2001, September). "Data Integration in Celik, M. (2001, July). "Catching Up with Expert
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