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2010 | Buch

Dynamic Modelling for Supply Chain Management

Dealing with Front-end, Back-end and Integration Issues

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"Dynamic Modelling for Supply Chain Management" discusses how to streamline complex supply chain management by making the most of the growing number of tools available.

The reader is introduced to the basic foundations from which to develop intelligent management strategies, as the book characterises the process and framework of modern supply chain management. The author reviews supply chain management concepts and singles out important factors in the management of modern complex production systems. Particular attention is paid to modern simulation modelling tools that can be used to support supply chain planning and control. The book explores the operational and financial impacts of various potential problems, offering a compilation of practical models to help identify solutions.

A useful reference on supply chain management, "Dynamic Modelling for Supply Chain Management" will benefit engineers and professionals working in a variety of areas, from supply chain management to product engineering.

Inhaltsverzeichnis

Frontmatter

An Introduction to Dynamic Modelling for Supply Chains

Frontmatter
1. On the Definition of Dynamic Simulation
Abstract
The Webster Dictionary defines a system as a group of independent but interrelated elements comprising (acting as) a unified whole; it can also be defined as a process for obtaining an objective. A model is defined as a representation of something, a simplified description of a complex entity or process. Therefore we can generate models of systems. Modelling refers then to the process of generating a model as an abstract representation of some real world entity, process or system.
2. Current Supply Chains Management Issues
Abstract
The concept “supply chain management“ (SCM) is used in this book to refer to the means by which firms engage in creating, distributing and selling products [1]. That includes all cooperative efforts among members of the Supply Chain (SC) in order to reach higher market intelligence through a more precise market information gathering, product research, product development and design, and value analysis of the total system [2–4].
3. Models for SCM Simulation and Analysis
Abstract
In order to study the SCM issues reviewed in the previous chapter, modern computer simulation methods are perfectly apt. What are the reasons for this? Here are some the features that characterise supply chains as one of the systems best suited for dynamic simulation.

Modelling Front-end Issues in SCM

Frontmatter
4. Understanding a Customer’s Decision to Buy
Abstract
Companies want to be able to determine what the potential market is for their product or service, as well as the best ways to reach potential consumers. In order to know the potential market they must identify the characteristics of individuals likely to be interested in a particular product or service, establish how many such individuals there are, as well as study how these people behave and respond to particular advertising approaches.
5. Understanding Financial Implications of Strategy
Abstract
In order to understand financial implications of a certain market strategy it is necessary to analyse the revenue stream that is generated (the way a company makes money, the company’s income) besides the existing strategy cost structure (monetary consequences of the means employed in the current business model). We will now discuss these topics and will once again present a case study for the reader to appreciate the type of information that the modeller may find and use when modelling financial aspects of the supply chain.
6. Understanding Hi-tech Business Growth
Abstract
In the hi-tech business environment, the business planning process will try to reach certain objectives considering the needs and wants of the customers, shareholders, and other stakeholders. These general business objectives can be placed into four groups: profitability, growth, risk and social objectives.
7. Modelling a Hi-tech Business Growth
Abstract
In Chapters 4, 5 and 6 several case studies are presented. These case studies attempt to illustrate typical processes that can be found in “front end” units of hitech organisations when these units try to link customer value to business targets. The purpose of these cases was also to show where, when and how some positive experiences using dynamic models to deal with these type of issues took place. In this chapter we move forward to describe the building and formalisation processes of dynamic models, similar to those which were used in the case studies previously presented.

Modelling Back-end Issues in SCM

Frontmatter
8. Back-end Issues Related to Supplier Management
Abstract
In this part of the book we will define, characterise and simulate different generic types of supplier contracts to accomplish varying degrees of security and flexibility. We will then simulate a portfolio of these contracts applied to secure a single part, with the purpose of extending and refining portfolio valuation. We will focus our attention on business dynamics based on current best practices in portfolio management, as evidenced by leaders in volatile technology businesses.
9. Modelling a Portfolio of Contracts with Suppliers
Abstract
In this chapter dynamic modelling is used to understand better different issues related to the contractual relationship with suppliers of business strategic parts. As mentioned in Chapter 2, a strategic part is considered as a part that is critical to product success, with global price and availability driven by external market forces that could be sometimes beyond the buyer’s control.
10. Modelling Back-end Issues in Manufacturing
Abstract
Simulation has been frequently used in manufacturing because it allows alternative designs and control policies to be tried out on the model during the preparatory phase of the physical plant. It helps to reduce cost and risk of large scale errors. Simulation approaches are also used during the operational phase of the manufacturing plants to find better ways to operate, and these studies may be one point in time exercises or may be part of a periodic check on the running of the system [1].

Modelling Integration Issues in SCM

Frontmatter
11. Different Supply Chain Integration Models
Abstract
As mentioned in Chapter 2, when considering planning and control activities, the effectiveness of SC integration is important and this may depend on the tools used for SC integration, and on the sequence of implementation of these tools. Typically, the four main integration phases are:
1. information sharing, including r&d information for product design and the information to track the materials flow along the chain;
2. collaboration for a common forecast;
3. common planning; and
4. automated financial transactions.
12. Modelling Financial Implications of Integration Strategies
Abstract
In order to migrate to higher assurance of supply levels through SCM integration, many hi-tech SC inbound business models pay special attention to financial restructuring. Financial aspects can be as important as operational aspects for supply assurance purposes. However, understanding the economic or strategic value of possible financial restructuring alternatives is sometimes not obvious to the organisations. At the same time, defining requirements and possible alternatives in order to move the organisation forward to realize that value can be a difficult task. Finally, implementing the best of possible alternatives may also be an important challenge.
13. Exploring the Use of Manufacturing Control Techniques in Virtual SC
Abstract
In the literature we can find two major manufacturing control strategies, named push and pull manufacturing. Push manufacturing is characterised by manufacturing to forecast, and emphasises batch processing and lot sizes. Each area runs at maximum capacity, and the material is pushed downstream. Push planning methods include MRP, reorder points, and optimum order quantities.
14. Capacity Constraints Analysis for SCM
Abstract
In recent decades a lot of researchers have explored the relation between supply chain performance and capacity constraint. OR (Operational Research) methods have been used to support day-by-day decisions for batch sizing and job sequencing problems, while what-if analysis has been adopted as a decision support system in the field of supply chain reengineering as it enables the exploration of the impact of constrained capacity on the global performance of the whole structure.
15. Modelling Diversity Integration in the Organisation
Abstract
In previous chapters related to SC integration we focused on operational and financial aspects of integration. This term, however, can also be extended to specific HHRR programs and activities in the organisation. This is the premise of the current Chapter in which cultural diversity in the organisation will be studied.

Dynamic Modelling Projects

Frontmatter
16. Presenting SCM Dynamic Simulation Projects
Abstract
Depending on the supply chain management issue to be dealt with, modellers can be involved in different types of dynamic modelling projects, with different goals, scopes and time horizons. The question that we attempt to answer in this chapter is whether there is any common rule or guideline that we can follow in order to present a dynamic modelling value proposition, especially within the hi-tech industrial sector.
17. Capturing the Learning of a Modelling Project
Abstract
Best practices in project management (see PMBoK [1]) take into acount the importance of the technical, besides the administrative, closure of the project. Future similar projects will benefit from the time and effort that the modeller put into the modelling work if he/she is able to assimilate properly the lessons learned during the entire life cycle of the project. Therefore, this task should be a must for a world class modeller. Closure of the project will normally require performance reporting. This reporting activity will take into consideration certain inputs and will use tools and techniques to produce specific outputs.
Backmatter
Metadaten
Titel
Dynamic Modelling for Supply Chain Management
verfasst von
Adolfo Crespo Márquez
Copyright-Jahr
2010
Verlag
Springer London
Electronic ISBN
978-1-84882-681-6
Print ISBN
978-1-84882-680-9
DOI
https://doi.org/10.1007/978-1-84882-681-6

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