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Staff

Jan 19, 2011

Industry Standards

An industrial standard is a uniform identification that is agreed on. Industrial standardization can be defined as the process of establishing agreement on uniform identifications for definite characteristics of quality,…

Jan 19, 2011

Information Sharing

A strategic partnering relationship between suppliers and buyers is characterized by a willingness to be open, and to share forecasted demand and cost data as well as the benefits resulting…

Jan 19, 2011

Forecast Sharing

A supply partnership between a buyer and supplier is based on mutual interdependency and respect and calls for information sharing between the involved parties. By sharing its demand forecast with…

Jan 19, 2011

Forecast Error

The difference between actual demand and forecast demand, stated as an absolute value or as a percentage. E.g., average forecast error, forecast accuracy, mean absolute deviation, tracking signal. There are…

Jan 19, 2011

Forecasting

The business function that attempts to predict sales and use of products so they can be purchased or manufactured in appropriate quantities in advance. Source: http://www.apics.org/ (10th ed.)

Jan 19, 2011

Facility Location

Location decisions are a basic determinant of profitability in international logistics. Decisions on where to manufacture, to assemble, to store, to transship and to consolidate can make the difference between…

Jan 19, 2011

Distribution Channel Design

The planned channels of inventory disbursement from one or more sources to field warehouses and ultimately to the customer. There are several levels in the distribution network structure. Source: APICS…

Jan 19, 2011

Distribution Channel

The distribution route, from raw materials through consumption, along which products travel.

Jan 19, 2011

Demand Management

The function of recognizing all demands for goods and services to support the market place. It involves prioritizing demand when supply is lacking. Proper demand management facilitates the planning and…

Jan 19, 2011

Currency Conversions

Issues with currency conversion add complexity to the global sourcing process. The absence of fixed exchange rates can be a problem. Fluctuations in exchange rates can have a significant impact…