Summary
"Introduction to
Operations and Supply
Chain Management"
Bozarth and Handfield
-1- Jannis Mertens
,Content:
Week 1:
Chapter 1 page 4 - 7
Chapter 2 page 8 - 11
Article by Fisher page 12 - 14
Chapter 14 page 15 - 20
Week 2:
Chapter 3 page 22 - 29
Chapter 4 page 30 - 35
Article by Huan page 36 - 38
Week 3:
Chapter 5 page 40 - 45
Week 4:
Chapter 9 page 47 - 54
Week 5:
Chapter 6 page 56 - 61
Chapter 10 page 62 - 66
Chapter 11 page 67 - 73
Week 6:
Chapter 12 page 75 - 80
Chapter 7 page 81 - 87
Week 7:
Chapter 8 page 89 - 93
Chapter 13 page 94 - 96
-2- Jannis Mertens
,Week 1
Content:
Chapter 1, Chapter 2, Article by Fisher
Chapter 14
-3- Jannis Mertens
,Chapter 1
-4- Jannis Mertens
,1.1 Why study Operations and Supply Chain Management?
supply chain: network of manufacturers and service providers that work together to create
products or services needed by end users
operations function (also: operations): collection of people, technology, and systems
responsible for providing the organization's products or services
1) every organization must make a product / provide a service that someone values ! operations
2) most organizations function as part of larger supply chain 1; manufacturers & service providers linked
together (physical, information and monetary flows); s.c. links together operations functions of many
different organizations to provide real value to the customer ( ! compare: 1)
3) careful management of s.c. and operations in order to prosper and survive; right choices can lead to
competitive advantage and vice versa do the wrong ones
Operations Management
- operations (traditional): transformation process; inputs ! outputs (goods / services)
Inputs Transformation Process Outputs
• Materials • Manufacturing operations • (In-)tangible goods 2
• Intangible needs • Service operations • Fulfilled needs
• Information • Satisfied customers
- inputs ! outputs can come from many places / take many different forms
- operations highly dependent on quality / availability of inputs
- all operations activities require coordination with other business functions 3
- operations management: information and decision intensive
operations management: planning / scheduling / control activities involved in transformation
1 in the following: abbreviation s.c. will be used
2 sometimes (less common): intangible services provided (e.g.: at a law firm)
3 e.g.: engineering, marketing, human resources
-5- Jannis Mertens
, Supply Chain Management
- managers must understand how company is linked to operations of suppliers / distributors / customers
- upstream: activities / firms that are positioned earlier in the s.c.
- downstream: activities / firms that are positioned later in the s.c.
- first-tier supplier: provision of products / services directly to a firm
- second-tier supplier: provision of products / services directly to a firm's first-tier supplier
- important: most of the participants in s.c. are customers and suppliers
- s.c. must be very efficient: final price of product / service must cover all involved costs and profits
supply chain management4: active management of s.c. activities and relationships to maximize
customer value and achieve a sustainable competitive advantage
supply chain operations reference model (SCOR): framework, that seeks to provide standard
descriptions of the processes / relationships / metrics that define s.c.m.
- s.c.m. covers five broad areas:
1) planning activities (balance demand requirements against resources)
2) sourcing activities (managing incoming of goods / services)
3) production activities
4) delivery activities
5) return activities
- s.c.m. efforts can range from an individual firm to large trading organizations
Plan
Plan Plan Plan Plan
Source Make Deliver
Deliver Source Make Deliver Source Make Deliver Source
Return Return
Return Return Return Return Return Return
Supplier's Supplier Your Company Customer Customer's
Supplier Customer
Internal / External Internal / External
4 in the following: abbreviation s.c.m. will be used
-5
6- Jannis Mertens
"Introduction to
Operations and Supply
Chain Management"
Bozarth and Handfield
-1- Jannis Mertens
,Content:
Week 1:
Chapter 1 page 4 - 7
Chapter 2 page 8 - 11
Article by Fisher page 12 - 14
Chapter 14 page 15 - 20
Week 2:
Chapter 3 page 22 - 29
Chapter 4 page 30 - 35
Article by Huan page 36 - 38
Week 3:
Chapter 5 page 40 - 45
Week 4:
Chapter 9 page 47 - 54
Week 5:
Chapter 6 page 56 - 61
Chapter 10 page 62 - 66
Chapter 11 page 67 - 73
Week 6:
Chapter 12 page 75 - 80
Chapter 7 page 81 - 87
Week 7:
Chapter 8 page 89 - 93
Chapter 13 page 94 - 96
-2- Jannis Mertens
,Week 1
Content:
Chapter 1, Chapter 2, Article by Fisher
Chapter 14
-3- Jannis Mertens
,Chapter 1
-4- Jannis Mertens
,1.1 Why study Operations and Supply Chain Management?
supply chain: network of manufacturers and service providers that work together to create
products or services needed by end users
operations function (also: operations): collection of people, technology, and systems
responsible for providing the organization's products or services
1) every organization must make a product / provide a service that someone values ! operations
2) most organizations function as part of larger supply chain 1; manufacturers & service providers linked
together (physical, information and monetary flows); s.c. links together operations functions of many
different organizations to provide real value to the customer ( ! compare: 1)
3) careful management of s.c. and operations in order to prosper and survive; right choices can lead to
competitive advantage and vice versa do the wrong ones
Operations Management
- operations (traditional): transformation process; inputs ! outputs (goods / services)
Inputs Transformation Process Outputs
• Materials • Manufacturing operations • (In-)tangible goods 2
• Intangible needs • Service operations • Fulfilled needs
• Information • Satisfied customers
- inputs ! outputs can come from many places / take many different forms
- operations highly dependent on quality / availability of inputs
- all operations activities require coordination with other business functions 3
- operations management: information and decision intensive
operations management: planning / scheduling / control activities involved in transformation
1 in the following: abbreviation s.c. will be used
2 sometimes (less common): intangible services provided (e.g.: at a law firm)
3 e.g.: engineering, marketing, human resources
-5- Jannis Mertens
, Supply Chain Management
- managers must understand how company is linked to operations of suppliers / distributors / customers
- upstream: activities / firms that are positioned earlier in the s.c.
- downstream: activities / firms that are positioned later in the s.c.
- first-tier supplier: provision of products / services directly to a firm
- second-tier supplier: provision of products / services directly to a firm's first-tier supplier
- important: most of the participants in s.c. are customers and suppliers
- s.c. must be very efficient: final price of product / service must cover all involved costs and profits
supply chain management4: active management of s.c. activities and relationships to maximize
customer value and achieve a sustainable competitive advantage
supply chain operations reference model (SCOR): framework, that seeks to provide standard
descriptions of the processes / relationships / metrics that define s.c.m.
- s.c.m. covers five broad areas:
1) planning activities (balance demand requirements against resources)
2) sourcing activities (managing incoming of goods / services)
3) production activities
4) delivery activities
5) return activities
- s.c.m. efforts can range from an individual firm to large trading organizations
Plan
Plan Plan Plan Plan
Source Make Deliver
Deliver Source Make Deliver Source Make Deliver Source
Return Return
Return Return Return Return Return Return
Supplier's Supplier Your Company Customer Customer's
Supplier Customer
Internal / External Internal / External
4 in the following: abbreviation s.c.m. will be used
-5
6- Jannis Mertens
