Prenseted By Ashish Bindra Roll no.
05
Responsiveness is reacting to a change
Responsive SCM is reading and responding to sudden changes and fluctuations while taking care of all partners of supply chain.
Accurate forecasting Sharing information among Supply chain partners Collaborative working between buyer and seller Joint product development Uniform systems Knowledge of actual lead time Reduction of actual lead time Handling large product variety
3
Efficient SCM
Responsive SCM
Primary goal
Product design
Supply demand at low Quick response to cost demand
Maximum Create modularity to performance at allow postponement of minimum product cost product differentiation Low margins Higher margins
4
Pricing
Efficient SCM
Responsive SCM
Manufacturing Lower costs due to high Maintaining capacity strategy utilization flexibility to deal with uncertain demand Inventory Minimum Maintain buffer inventory
Lead time
Reduce but not at expense of cost Selection on basis of cost + quality
Aggressively reduce even if costs are significant Selection based on flexibility, speed, reliability and quality
5
Supplier selection