INTERNATIONAL STANDARD CERTIFIED

SUPPLY CHAIN MANAGEMENT

CHAPTER ONE (1)

STANDARDIZE THE MANAGEMENT OF OPERATIONAL ACTIVITIES OF THE FLOW OF

GOODS, MOVEMENT, STORAGE, INVENTORY AND DELIVERY PROCESS AS WELL AS

Introduction

This program is the Chapter One (1) to program certified international standard for supply chain
management, which focuses on the field of operational activities goods flow management, storage,
inventory, and delivery process.

Understanding

First part of the International Standard Certified, Supply Chain Management, is standardizing the
management of operational activities of the flow of goods, movement, storage, inventory and delivery
process as well, which is the foundation of supply chain management activities.

This certification program, will provide insight, knowledge and skills in performing basic activities of
supply chain management, which will provide knowledge about the strategy to identify needs, plan,
organize, and implement the plan, including defining the problems that will arise and resolve these
problems, the scope operations management of the flow of goods, movement, storage, inventory and
delivery processes as well.

Overview

The program is organized through the activities of tutors, discussion, feedback, case studies, comparative
studies, simulation and evaluation of success in order to provide the transformation of knowledge, skills
and experience, so that the participants can master, understanding and implementation of the strategy has
to be applied in the work environment.

The program consists of 2 (two) sessions of activities, as follows:

1. Transformation of knowledge, skills and experience in the form of lecturing in the classroom, for 3
(three) days, @ 6 (six) hours effective to run down, as follows:
1.1. The introduction of the topic of discussion, during 0.5 hours
1.2. Deepening topic of discussion, during 1.5 hours
1.3. The introduction of strategy on the topic of discussion, during 1.5 hours
1.4. Transformation strategy through case studies, during 1.0 hours
1.5. Simulation strategy, during 1.0 hours
1.6. Evaluation and measurement, during 0.5 hours

1
2. Duty Assignment as an assignment to the micro Supply Chain project, which is divided into two (2)
categories, namely:
2.1. Forum Group Discussion (FGD), where participants were divided into groups, and each group
will have the opportunity guidance of 2 (two) times, to carry out the task:
a. Plan and develop a work program that will be implemented on the basis of activity goals
Supply Chain Management
b. Aligning the work program prepared by the whole group, and specify or build a strategy that
will be used in basic activities of Supply Chain Management
c. Make a presentation to the Board of Directors and Board of Commissioners about the work
plan and strategy that will be done, and will also serve as the basis in the performance report.
d. FGD will take over (2 x the number of groups) + 1 day

2.2. Individual Assignment, where each participant will have the opportunity of coaching for three
(3) times, to carry out the following tasks:
a. Planning a task derived from the Forum Group Discussion (FGD) as the basis for
determining the KPI (Key Performance Indicator)
b. Align the performance of the tasks assigned to him, so that the targets set in the KPI can be
met or exceeded expectations
c. Evaluation of the successful implementation of the duties and responsibilities specified in the
KPI, to be reported to their respective superiors and the Board of Directors
d. This coaching program will take as long as 1.5 x the number of participants.

2.3. Duty Assignment program will require a total time during [(2 x the number of groups) + 1 +
(1.5 x number of participants)]

Objective

1. Give the efficiency and effectiveness on cost, time, processes and simplify business bureaucracy related
to the operational management of the flow of goods, movement, storage, inventory and delivery.
2. Creating and improving on product net value of goods and services required, and hosted by the vendor
(supplier)
3. Create and improve competitiveness for customers who require product of goods and services
produced by the company
4. Monitor and control the movement of goods from the factory to the customer or from the vendor to
the company
5. Ensure the availability of stock of goods needed by the customer and / or stock of goods needed for
the production process

Outline Program

1. Operational
1.1. Purchasing
1.2. Producing
1.3. Distributing
1.4. Storing
1.5. Selling
2
2. Refineries flow of goods
2.1. Factory scheduling and supply management
2.2. Import-export maritime transit
2.3. Road and Rail Chartering
2.4. Identification and routing of carriers towards the operating sites
2.5. Inter-site transfer
2.6. Storage and stock management

3. The movement of goods

3.1. Receipt of goods originating from the vendor or production to be delivered, as a warehouse stock
guide.
3.2. Expenditures stemming from the withdrawal or expenditure materials to be used or delivered to
the customer, which will reduce stock
3.3. Stock Transfer is spending warehouse material from one location and transferred to another
warehouse location, occurring at the same or different plant
3.4. Transfer the post is a change in the type of item into another type, which is associated with the
physical movement or not, such as:
a. Transfer posting from material to material
b. Relaese from quality inspection stock
c. Transfer of consignment material into company's own stock
4. Storage
4.1. Retail and office storage
4.2. Business moving
4.3. Supply chain logistics
4.4. Storage moving locations
4.5. Business warehouse storage

5. Inventories
5.1. Make-to-Order Environments
5.2. Make-to-Stock Environments
5.3. Retail Replenishment
5.4. Service Parts Management
5.5. Distributors
5.6. Lead Logistics Providers
5.7. Parcel Management Companies

6. Delivery
6.1. Multimodal transport
a. Container and shipping transport
b. Environment awareness
6.2. Equipments
a. Reefer equipment
b. Dry cargo trailers
c. Multimodal
d. Swap-bodies
3
 e. Containers
f. Tankers

7. Measuring Performance

References

1. Ferenc Szidarovszky and Sándor Molnár (2002) Introduction to Matrix Theory: With Applications to
Business and Economics, World Scientific Publishing. Description and preview.
2. Cooper, M.C., Lambert, D.M., & Pagh, J. (1997) Supply Chain Management: More Than a New
Name for Logistics. The International Journal of Logistics Management Vol 8, Iss 1, pp 1–14
3. FAO, 2007, Agro-industrial supply chain management: Concepts and applications. AGSF Occasional
Paper 17 Rome.
4. Haag, S., Cummings, M., McCubbrey, D., Pinsonneault, A., & Donovan, R. (2006), Management
Information Systems For the Information Age (3rd Canadian Ed.), Canada: McGraw Hill Ryerson
ISBN 0-07-281947-2
5. Halldorsson, Arni, Herbert Kotzab & Tage Skjott-Larsen (2003). Inter-organizational theories behind
Supply Chain Management – discussion and applications, In Seuring, Stefan et al. (eds.), Strategy and
Organization in Supply Chains, Physica Verlag.
6. Halldorsson, A., Kotzab, H., Mikkola, J. H., Skjoett-Larsen, T. (2007). Complementary theories to
supply chain management. Supply Chain Management: An International Journal, Volume 12 Issue 4,
284-296.
7. Handfield, R., and Nichols, E., (1999), Introduction to Supply Chain Management. Prentice Hall,
Upper Saddle River, NJ: 1999.
8. Handfield and Bechtel, 2001; Prater et al., 2001; Kern and Willcocks, 2000; Bowersox and Closs,
1996; Christopher, 1992; Bowersox, 1989
9. Hines, T. 2004. Supply chain strategies: Customer driven and customer focused. Oxford: Elsevier.
10. Kallrath, J., Maindl, T.I. (2006): Real Optimization with SAP® APO. Springer ISBN 3-540-22561-
7.
11. Kaushik K.D., & Cooper, M. (2000). Industrial Marketing Management. Volume29, Issue 1, January
2000, Pages 65–83
12. Ketchen Jr., G., & Hult, T.M. (2006). Bridging organization theory and supply chain management:
The case of best value supply chains. Journal of Operations Management, 25(2) 573-580.
13. Kouvelis, P.; Chambers, C.; Wang, H. (2006): Supply Chain Management Research and Production
and Operations Management: Review, Trends, and Opportunities. In: Production and Operations
Management, Vol. 15, No. 3, pp. 449–469.
14. Larson, P.D. and Halldorsson, A. (2004). Logistics versus supply chain management: an international
survey. International Journal of Logistics: Research & Application, Vol. 7, Issue 1, 17-31.

Author
Setiono Winardi, SH.,MBA
E. winardi@updi-int.com, M.+62-813-1542-1509
Partner – UPDI LLC
Vice Chairman – Institute Supply Chain Indonesia