Supply

Chain 
Management
Operations Issues In Supply Chain
Management

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Demand Forecasting
The  estimation gives businesses valuable information about the
markets in which they operate and the markets they plan to pursue.
It interchangeable terms that basically mean predicting what will
happen in the future.
 OBJECTIVES OF DEMAND FORECASTING

SHORT LONG 
TERM TERM 
OBJECTIVES OBJECTIVES

FORMULATING CONTROLLING
PRODUCTION SALE
POLICY DECIDE 
THE 
PRODUCTION
CAPACITY
ARRANGING 
FINANCE
PLANNING 
LONG-TERM
ACTIVITY
Formulating Production Policy

It helps in estimating the

requirement of raw material in
future, so that the regular
supply of raw material can be
maintained.
Similarly, human resource
requirements are easily met
with the help of demand
forecasting.
RESOURCE
PLANNING
SYSTEM
WHAT IS ENTERPRISE RESOURCE PLANNING?

Company manage and integrate the important parts of its

business.
Used the context of software.
The methodology has become more popular.
Large software applications have been developed
Functions Business management
software

Of To collect, store, manage & interpret data

ERP from these many business activities

Provides an integrated and continuously

updated view of core business
Examples of ERP
EPICOR ERP 10
IFS FULL SUITE ERP
SAP BUSINESS BYDESIGN
INVENTORY MANAGEMENT
What is 'Inventory Management’?
- Inventory management refers to the process of
ordering, storing and using a company's inventory as
an element of supply chain management.

- Such as raw materials, components and finished

products.
 TYPES OF INVENTORY MANAGEMENT

Product
Inventory

Product Product
purchase  Sales

Inventory
Suppliers 
Status
Report
Manager
 Product
Expiration

Product 
Accounting
Inventory
Manager
ATP & CTP

RMA 
Customer 
&
Manager
ATV
 Main Stages Identified
Creates  Creates 
Creates items Good Issues
purchase purchase
requisition order

Good return
Inventory
 up
to dare Transfer,
Creates
import, Pay invoice
invoice
tally
Process
Management
Lean Production

- Method used for eliminating waste within the manufacturing system.

- Waste generated from uneven workloads and overburden, then

reduces them in order to increase value and reduce costs

- Determining what activities or process add value by reducing other

aspects such as lessening the production of a certain kind of product
that give less value and using the resources to produce more of
another, while at the same time lessening waste
Examples of
Lean Production
Toyota build partnership with spplier
Toyota automobiles became made-to-order
Toyota maximizing multi-skilled employees
Focus resources in a flexible manner
Company able to make changes quickly
Company also able to respond faster to market
demands than their competitors could
 A method
that provides

Six organizations
tools to

Sigma improve the

capability of
their
business
processes
 Decreasing Reducing
Order Errors to Zero
Fulfillment Time

Optimizing
Order
Reducing Fulfillment
Building a
Waste
Responsive
Supply Chain