SCM Tutorials :Supply Chain Management, SCRC Articles Library
SCM Tutorials: Supply Chain Management Articles
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Demand Forecasting: A Cross Discipline Perspective Part II: Probabilistic and Ensemble Forecasting
In forecasting for demand there are two predominant methods of modeling available: deterministic and probabilistic. Normally just saying the names of these techniques is enough to turn someone off from…
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Demand Forecasting: A Cross Discipline Perspective Part I: Model Output Statistics (MOS)
This paper will highlight some of the numerical modeling techniques used in weather forecasting that can be applied to improve business forecasting. Demand and weather forecasting are comparable in so…
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Introduction: Collaborative Planning, Forecasting and Replenishment (CPFR): A Tutorial
Introduction Learning objectives What is CPFR? Origins in ECR Typical manufactururer-retailer relationship prior to ECR Core elements of ECR How CPFR differs from ECR Another way to think about ECR…
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Introduction: Inventory Management Models : A Tutorial
INTRODUCTION Learning Objectives Tutorial Outline Learning Objectives By then end of this module, you will be able to: Describe the functions and drivers of inventory. Distinguish between independent demand and…
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SUMMARY: Inventory Management Models : A Tutorial
SUMMARY Inventory serves a useful purpose in the supply chain. That said, firms can help minimize the need for inventory by carefully managing those factors that drive inventory levels up.…
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CPFR Model: 3. Execution: Collaborative Planning, Forecasting and Replenishment (CPFR): A Tutorial
CPFR Model: 3. Execution CPFR Execution Order Generation Overview Order Generation Steps Order Generation Output CPFR Execution (VICS CPFR Model) Place orders, prepare and deliver shipments, receive and stock product…
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References: Collaborative Planning, Forecasting and Replenishment (CPFR): A Tutorial
References CPFR Overview: http://www.vics.org/committees/cpfr/CPFR_Overview_US-A4.pdf VICS has also put together two business process guides of direct interest to GSK, that build upon the generic model: DC replenishment collaboration http://www.vics.org/standards/DC_Replenishment_Collaboration_-_Business_Process_Guide_Final.pdf Retail event collaboration http://www.vics.org/standards/Retail_Event_Collaboration_-_Business_Process_Guide.pdf
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CPFR Model: 1. Strategy and Planning: Collaborative Planning, Forecasting and Replenishment (CPFR)
CPFR Model: 1. Strategy and Planning What Does CPFR Strategy and Planning Involve? Collaboration Arrangement Steps Collaboration Arrangement Output Joint Business Plan Steps Joint Business Plan Output What Does CPFR…
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Organizational Implications: Collaborative Planning, Forecasting and Replenishment (CPFR): A Tutorial
Organizational Implications Conventional Organizational Roles New Organizational Roles under CPFR Category Management Category Management – 5 Components 1. Pricing 2. New Product Launch 3. Category Dynamics 4. Competitive (Cross-Category) Analysis…
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CPFR Model: 4. Analysis - Performance Assessment and Collaboration: Collaborative Planning, Forecasting
CPFR Model: 4. Analysis – Performance Assessment and Collaboration Performance Assessment Overview Resolving the Exceptions May Require a Negotiation! How Collaboration Is Built into the Model CPFR Collaborative Roles Performance…
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CPFR Model: 4. Analysis - Exception Management: Collaborative Planning, Forecasting and Replenishment
CPFR Model: 4. Analysis – Exception Management CPFR Analysis Exception Management Overview Identify forecast exceptions Identify the exceptions Resolve the exceptions Exception Management Output CPFR Analysis (VICS CPFR Mode) Monitor…
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Summary: Collaborative Planning, Forecasting and Replenishment (CPFR): A Tutorial
Summary CPFR has its roots in Efficient Consumer Response (ECR), but goes further by formalizing the planning, sales and order forecasting, and exception handling activities. The CPFR process model consists…
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CPFR Model: 2. Demand & Supply Management: Collaborative Planning, Forecasting & Replenishment
*h2. CPFR Model: 2. Demand and Suply Management What Is CPFR Demand and Supply Management? Sales Forecasting Overview Sales Forecasting Steps Sales Forecasting Output Order Planning / Forecasting Overview Order…
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REFERENCES: Inventory Management Models : A Tutorial
REFERENCES Most introductory textbooks in Operations and Supply Chain Management offer a good discussion of inventory systems. Inventory functions and drivers, independent demand models, and safety stock calculations are routinely…
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REORDER POINT FORMULA: Inventory Management Models : A Tutorial
REORDER POINT FORMULA The reorder point formula allows us to determine the safety stock (SS) needed to achieve a certain cycle service level. In general, the longer the lead times…
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CPFR Model: Collaborative Planning, Forecasting and Replenishment (CPFR): A Tutorial
CPFR Model As defined by Voluntary Inter-Industry Commerce Standards (VICS) Association Why the Need for a Standard Process Model? The CPFR Process Model CPFR: Key Tenets Why the Need for…
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SAFETY STOCK ANALYSIS: Inventory Management Models : A Tutorial
SAFETY STOCK ANALYSIS EOQ tells us HOW MUCH to order…but WHEN should we order? Safety Stock What Happens when either Demand or Lead Time Varies? What is the Chance of…
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PERPETUAL SYSTEM: Inventory Management Models : A Tutorial
PERPETUAL SYSTEM The two classic systems for managing independent demand inventory are periodic review and perpetual review systems. This section focuses on the Perpetual System. What is a Perpetual System?…
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ECONOMIC ORDER QUANTITY (EOQ) MODEL: Inventory Management Models : A Tutorial
ECONOMIC ORDER QUANTITY (EOQ) MODEL The economic order quantity (EOQ) is the order quantity that minimizes total holding and ordering costs for the year. Even if all the assumptions don’t…
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FUNCTIONS AND DRIVERS OF INVENTORY: Inventory Management Models : A Tutorial
FUNCTIONS AND DRIVERS OF INVENTORY Inventory serves a useful purpose in the supply chain. That said, firms can help minimize the need for inventory by carefully managing those factors that…
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Understanding Legistlation Related to Procurement: Procurement : A Tutorial
Understanding Legistlation Related to Procurement Contracts Laws of Agency Personal Liability International Laws Affecting Global Purchasing Contracts vs Agreements Betsy and Mimi’s Contrac – An EXAMPLE Contracts Contract “A promise…
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PERIODIC REVIEW SYSTEM: Inventory Management Models : A Tutorial
PERIODIC REVIEW SYSTEM The two classic systems for managing independent demand inventory are periodic review and perpetual review systems. This section focuses on the Periodic Review System. What is a…
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The New Purchasing and Supply Management Workplace: Procurement : A Tutorial
The New Purchasing and Supply Management Workplace Social and Workplace Changes Sourcing Organizational Structures Key Sourcing Organizational Features Integrating the Supply Chain Procurement’s Changing Role Separating Purchasing Authority Sourcing’s New…
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The Procurement Process - e-Procurement: Procurement : A Tutorial
The Procurement Process – e-Procurement e-Procurement What is Solicitation? What are Online Reverse Auctions? Benefits of e-Procurement e-Procurement e-Procurement is the term used to describe the automation through web-enabled tools…
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INDEPENDENT VS DEPENDENT DEMAND INVENTORY SYSTEMS - An EXAMPLE: Inventory Management Models : A Tutorial
*h2. INDEPENDENT VS DEPENDENT DEMAND INVENTORY SYSTEMS – An EXAMPLE Inventory items can be divided into two main types: Independent demand and dependent demand items. The systems for managing these…
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The Procurement Process - Implementing the Plan: Procurement : A Tutorial
The Procurement Process – Implementing the Plan Bidding or Negotiation? Purchase Approval Blanket Purchase Orders Update Supplier Scorecard Continuous Improvement Bidding or Negotiation? Purchaser sends a request for quotation (RFQ).…
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The Procurement Process - Creating a Sourcing Plan: Procurement : A Tutorial
The Procurement Process – Creating a Sourcing Plan Introduction Identify Opportunities Analyze the Situation Undertake Strategic Analysis Case Study Create a Strategic Sourcing Plan Introduction The Procurement Process Business requirement…
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Role of Procurement within an Organization: Procurement : A Tutorial
Role of Procurement within an Organization Overview Key Procurement Objectives: OBJECTIVE 1 – Support Operational Requirements OBJECTIVE 2 – Manage the Procurement Process and the Supply Base Efficiently and Effectively…
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Types of Goods and Services Purchased: Procurement : A Tutorial
Types of Goods and Services Purchased Raw Materials Semi-finished Products and Components Finished Products Maintenance, Repair, and Operating Items Production Support Items Services Capital Equipment Transportation and Third-Party Purchasing Raw Materials Semi-finished Products and Components Finished Products Maintenance, Repair, and Operating Items Production Support Items Services Capital Equipment Transportation and Third-Party Purchasing
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Introduction: Procurement : A Tutorial
Introduction Overview Learning Objectives Tutorial Outline Overview A world-class procurement staff must continuously work to improve the efficiency and effectiveness of what we call the procurement process. This is the…
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References: Approaches to Forecasting : A Tutorial
References Most introductory textbooks in Operations and Supply Chain Management offer a good discussion of forecasting models. Techniques such as time series models, regression, and measures of forecasting accuracy are…
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Summary: Approaches to Forecasting : A Tutorial
Summary Forecasting is a critical part of CPFR. Fortunately, there are a number of well-developed tools and strategies for developing forecasts. Avoid forecasting values when you can calculate them. For…
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Q2 Forecasting: Approaches to Forecasting : A Tutorial
Q2 Forecasting What Is Q2 Forecasting? Quantitative-Qualitative Forecasting Basic ideas behind Q2 forecasting: Wherever possible, forecasters should first develop a quantitative forecast, then use this for the basis for more…
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3 - Step Process: Approaches to Forecasting : A Tutorial
3 – Step Process STEP 1: Divide Items into Three Major Categories STEP 2: Apply the simplest tools needed to do the job STEP 3: Spend effort on the “difficult…
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Qualitative Methods :Measuring Forecast Accuracy : A Tutorial
Qualitative Methods Common Qualitative Forecasting Methods EXAMPLE: Life Cycle analogy Analyzing the Life Cycle Data for the Previous Version Questions to Consider When Using the Life Cycle Analogy to Forecast…
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Multiple Regression: Approaches to Forecasting : A Tutorial
Multiple Regression Advanced techniques can be used when there is trend or seasonality, or when other factors (such as price discounts) must be considered. What is Multiple Regression? Resulting Forecast…
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Measuring Forecast Accuracy: Approaches to Forecasting : A Tutorial
Measuring Forecast Accuracy How Do We Measure Forecast Accuracy? Measures of Forecast Accuracy Mean Forecast Error (MFE) Mean Absolute Deviation (MAD) Tracking Signal Other Measures How Do We Measure Forecast…
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Single Regression: Approaches to Forecasting : A Tutorial
Single Regression Advanced techniques can be used when there is trend or seasonality, or when other factors (such as price discounts) must be considered. What is Single Regression? EXAMPLE: 16…
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Double Exponential Smoothing: Approaches to Forecasting : A Tutorial
Double Exponential Smoothing What Is Double Exponential Smoothing? Time Series with Trend: Double Exponential Smoothing What Is Double Exponential Smoothing? …like regular exponential smoothing, except includes a component to pick…
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Exponential Smoothing: Approaches to Forecasting : A Tutorial
Exponential Smoothing What is Exponential Smoothing? Exponential Smoothing Forecaset with a = .3 What is Exponential Smoothing? A type of weighted moving averaging model Part of many forecasting packages; ideal…
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Time Series Models: Approaches to Forecasting : A Tutorial
Time Series Models Time Series Models Time Series Components of Demand… Basic Idea Behind Time Series Models Moving Average Models Table of Forecasts & Demand Values… … and Resulting Graph…
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Basic Rules of Forecasting: Approaches to Forecasting : A Tutorial
Basic Rules of Forecasting Forecasts Forecasts Are No Substitue for Calculated Values Two Distinct Approaches to Forecasting What Are the Basic Rules of Forecasts Forecasts are almost always wrong. Important…
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Introduction: Approaches to Forecasting : A Tutorial
Introduction Learning Objectives Requirements of Forecasting Section Outline Learning Objectives By the end of this module, you will be able to: List the basic rules of forecasting, and explain what…
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