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Operations Management - Supply Chain

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Please answer the following questions.

Generally speaking, who manages a supply chain?

How should/would the focal point be determined?

How can the members of the chain be convinced to allow the chain to be managed by one organization?

Who's willing to give up autonomy in the name of the greater good?

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Solution Preview

Step 1
The most powerful business manages the supply chain(a). For example, Wal-Mart manages its supply chain. It has the strength, financial power, and large volume of purchases to actively manage its supply chain. Similarly, large manufacturers such as Ford Motor Company manage their supply chain. They ensue that they have a sufficient amount of inventory to make sure that their production does not stall because of low inventory.
Step 2
The focal point is determined by the most powerful member of the supply chain. The focal point is performance from the perspective of the most powerful member of the supply chain. For example, in case of Wal-Mart the ...

Solution Summary

This solution explains how a company develops and controls its supply chain. The sources used are also included in the solution.

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Similar Posting

Operations management - Supply chain management & the bullwhip effect

See the attached file also.

Question 1:

IF: THEN (all else equal, it is likely that):

a) We aim to increase "inventory velocity" We must produce and push work-in-process faster to next operation/ wait and produce only what is pulled by next operation. EXPLAIN WHY

b) We install an expensive machine that requires The intensity of the "bull whip" in the supply chain
very large production batches but it is fast will increase / decease / not be affected. EXPLAIN WHY

c) We consolidate inventories from two (nearby) "Service level" will increase / decrease/ not be affected warehouses into one warehouse (keeping the same EXPLAIN WHY
amount of inventory)

Question 2:

A plant makes four different models of DeskJet printers. Up to now, it has been producing each model only once every week (for example, Model A on Mondays, Model B on Tuesdays and part of Wednesdays, Model C on Wednesdays and Thursdays, and Model D on Fridays). There is a proposal to move from weekly to daily schedule and produce some of each model every day. Total weekly production output would be the same. Changeover times and costs (from one model to another) are insignificant.

Would this change reduce or increase:
a) The level of inventory of printers in the supply chain after the plant? Why?
b) The level of "work in process" inventory in the plant (i.e., number of printers being assembled)? Why?
c) The intensity of the "bull whip" in the entire supply chain? Why?

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