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Supply Chain Technology Strategy

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After the last report, the owners of Stone Horse Supply Company, John and Michael, have contacted you regarding some information in which they did not understand. They explain to you over the phone that they do not understand the need to modernize the company's flow regarding its suppliers as part of a new supply chain strategy. They have requested that you prepare a presentation for them discussing the supply chain-wide technology strategy that supports multiple levels of decision making. They have also requested that you give a clear view of the flow of products, services, and information.

- What is the supply chain-wide technology strategy that supports multiple levels of decision making?
- Explain the clear view of the flow of products, services, and information.
- What is the role of cycle inventory in a supply chain management strategy?
- What is the role of safety inventory in a supply chain strategy?
- Explain the economies of scale to exploit fixed costs in a supply chain strategy.
- Research and explain a company that has used a supply chain-wide technology strategy that has supported the multiple levels of decision making.

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The response addresses the queries posted in 738 words with references.

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The Supply Chain Management refers to the efficient management of supply chain components. The supply chain components entail transfer of materials from manufacturer to retailers. The supply chain wide technology strategy is the management of supply chain with the aid of information technology. There is usage of various software for planning and decision making in regard of different components of supply chain (Wincel, 2003).

There are three main levels of decision making low level, middle level and top level. In Supply Chain Management, the low level consists of the day to day transactions for which, e- commerce is utilized. The middle level decision entails ordering the new stock in response to the required demand. At last, the top level consists of collection of tools and equipments essential for routine operations. It also includes planning regarding location, production and storage (Koster, & Delfmann, 2005).

The efficient management flow of product, services and information refers to logistics management. The product and service flow refers to the transfer of products from manufacturer to suppliers and to ultimate users.
The flow of information embraces updation of ...

Solution provided by:
Ashish Sharma, MBA (IP)
Education
  • MBA (IP), International Center for Internationa Business
  • BBA, University of Rajasthan
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