By David Simchi-Levi, Philip Kaminsky, Edith Simchi-Levi
Designing and coping with the availability Chain, 3/e presents cutting-edge versions, strategies, and answer tools which are very important for the layout, keep watch over, operation, and administration of offer chain platforms. particularly, the authors try to exhibit the instinct in the back of many key offer chain suggestions and to supply uncomplicated options that may be used to investigate a number of points of the availability chain. Topical assurance displays the authors’ wish to introduce scholars to these points of offer chain administration which are serious to the luck of a company. even if many crucial provide chain administration concerns are interrelated, the authors try to make every one bankruptcy as self-contained as attainable, in order that the reader can refer on to chapters overlaying subject matters of curiosity. every one bankruptcy makes use of quite a few case reviews and examples, and mathematical and technical sections might be skipped with out lack of continuity. The third variation represents a considerable revision. whereas the constitution and philosophy have been stored intact, the authors positioned an expanding value on discovering or constructing potent frameworks that illustrate many very important offer chain concerns. while, encouraged by means of new advancements in undefined, they extra fabric on numerous issues new to the booklet whereas expanding the assurance of others.
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Extra resources for Designing and Managing the Supply Chain (3rd Edition)
11. Consider Figure 1-5. What are the reasons for the increase in transportation costs? Inventory costs? Does one affect the other? How? Meditech Surgical Three years after M editech was spun off from its parent company, Meditech captured a majority of the endoscopic surgical instrument market. Its primary competitor, National Medical Corporation, had prac tically invented the $800 million market just over a decade ago. But Meditech competed aggressively, developing new, innovative instruments and selling them through a first-class sales force.
The first channel, for domestic sales only, uses domestic distributors, or dealers, to ship to hospitals. The dealers order and receive products from multiple manufacturers, including Meditech, typically stocking hundreds of different products. Stocked products range from commodity items, such as surgical gloves and aspirin, to endoscopic surgical instruments. By using dealers to supply products, hospitals do not need to order directly from manufacturers for their diverse needs. Additionally, since dealers maintain regional warehouses all over the United States, the distance between dealer warehouses and most hospitals tends to be quite small.
O f course, many of these approaches rely heavily on technology. Indeed, the imple mentation of ERP systems, motivated in many companies by year 2000 concerns, as well as new technology such as tools for supplier performance assessments, have created opportunities to improve supply chain resiliency and responsiveness. Similarly, advanced inventory planning systems are now used to better position inventory in the supply chain, and to help firms better understand the impact of product design alter natives on supply chain costs and risks, thus facilitating the integration of the development chain and the supply chain.