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Essay Advantages and disadvantages of supply chains
Essay Advantages and disadvantages of supply chains
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Generally, as figure 1 shown that the Strengths for this supply chain is good for short run production and hard make mistake. It could avoid the lack of materials and make materials mixed together.
However, the Weaknesses for this supply chain is complex which are much labor spending and low work efficiency, especially that new staff needs spending long time to adapt to the job.
Certainly, X1 also knows the disadvantages for their supply chain and makes some special change for the disadvantages and reduces those problems effectively. Therefore, this is their Opportunities for supply chain to become better than before.
The main Threats by supply chain from X1 during these years are summarized as below.
1. Risk of supplier finance. It mainly refers to that a supplier goes bankrupt or closes its production lines due to bad financial conditions.
2. Risk of regional calamity. Calamities in an area cause supply failure, such as volcanic eruption in Iceland, Europe, and earthquakes in Japan, etc. Natural hazards happen rarely but cause immense damages.
3. Risk of supplier quit. It mains...
On many occasions, Apple Inc. has been voted to boast the most efficient supply chain in the world. By leveraging wealth and pure business strength, Apple has been able to construct a supply chain that is both efficient and highly profitable. While much of this supply chain construction has come from great investing and business decisions by Steve Jobs and Tim Cook, it has come at the cost of many factory workers’ well being overseas. Overall, the construction of the highly organized supply chain has given Apple a competitive advantage over the rest of the market.
The rate of growth of the company affected the supply chain management system negatively. Sales and the company grew at a healthy rate annually, but the supply chain management system lagged in performance by comparison, based on a monolithic approach to supply chain sourcing that decentralized orders, inventory management, and the movement of products to retail stores independently by
A supply chain is a system through which organizations deliver their products and services to their customers. The network begins with the basic ingredients to start the chain of supply, which are the suppliers that supply raw materials, ingredients, and so on. From there, it will transfer the supplies to the manufacturer who builds, assembles, converts, or furnishes a product. The chain now needs to get the product to the consumer by transporting the finished product from the manufacturer through a warehouse or distribution center. An example is that Wal-Mart has a nearby distribution center where products are delivered there and then split up to be delivered to a retail Wal-Mart. “Wal-Mart will take responsibility for breaking down larger loads and delivering the product to other Wal-Mart stores” (Ehring 1).
· There is the possibility of the supplier integrating forwards in order to obtain higher prices and margins. This threat is especially high when
According to Gibson as long as all three questions are focused on the supply chain system with run efficiently and smoothly.
Supply chain forces, the shortage of raw materials because of the limited suppliers and an increasing demand. It led to the necessity to build a strong relationship with suppliers in order to maintain a continuity of raw materials, for example make a purchase agreement to guarantee the availability of raw material in certain price over the length of the contract.
One problem anyone is going to have in just about any industry is the amount of inventory to keep at warehouses. If there is too much inventory, then high costs will become a problem and hurt your bottom line. At the other end, if you try to save too much money by keeping inventories dangerously low, it may create stock-outs. These can infuriate your clients
MGMT 444– Principles of Supply Chain Mgt Assignment 2.2 - Discussion Questions Jose (Joey) Santiago Embry Riddle Aeronautical University Why should an organization be concerned with supplier relationships? Organizations should be over concerned with supplier relationships because the right suppliers can provide longevity as well as financial gains. Suppliers provide several benefits and some examples are better product quality, a seamless flow of information and smooth transactions in the supply chain management process. This relationship gives a company a competitive advantage when maintaining current contracts as well as future business.
First of all and the most important element of the effective supply chain is information technology. High information technology effic...
19. Sodhi, Sunil Chopra and ManMohan S. Managing Risk to Avoid Supply Chain Breakdown. MITSloan Management Review. [Online] October 15, 2004. [Cited: February 25, 2010.] http://sloanreview.mit.edu/the-magazine/articles/2004/fall/46109/managing-risk-to-avoid-supplychain-breakdown/.
• major default by the supplier; this may include breaches, technical inability,capacity, and so on
Natural Hazards and the Interaction of Physical and Human Processes The earth has been producing hazards for millennia these include earthquakes and volcanoes caused by the movement of tectonic plates, and also wind and water elated disasters such as tornadoes and tsunamis, these can be varied by a countries location such as suffering drought due to be land locked or an island, also the relief on the land can contribute greatly to the hazards it faces.. All of these cause great destruction and can involves lots of energy, these events do not become disasters unless there are human factors involved, when people live on a fault line they are risking suffering from an earthquake, this combination of physical and human processes can lead to large losses not only in lives but also monetary due to lost land, employment and homes. The problems associated with a hazard may be short lived on continue for decades, drought can effect a region for over 5 years, but the loss of farm land due to volcanic eruption can result in a permanent loss of foodstuffs and thus malnutrition. Providing adequate preparation and protection from a p[physical hazard can mean that the risk is greatly reduced, earthquakes in the Sahara dessert affect nobody, since no one lives there, similarly if a earthquake is expected in Hawaii, the islands can be evacuated and the risk is lessened. Similarly the location of the hazard can also mean large differences in lives lost, if the hazard hits a MEDC which is prepared many buildings will survive and will those living their, if the same hazard hit a LEDC it could cause great atrocity as many homes will no be strong enough to... ...
Lin, Yong and Li Zhou. "The Impacts of Product Design Changes On Supply Chain Risk: A
Lee, H, and whang, S. defined integration as, “The quality of the state of collaboration that exists among departments that are required to achieve unity of effort by the demands of the environment.” In the context of supply chain, purchasing is one of the department that associates with the concept of supply chain integration.
This report has clearly in detail described the meaning, benefits as well as the need and challenges of the RFID in the supply chain system. While RFID comes with a larger magnitude of benefits than the bar code, it’s an expensive medium and comes at a price that may be prohibitive to many businesses. On the one hand, RFID is advantageous in different areas of the supply chain and does not require line-of-sight scanning; it helps in labor reduction, enhances visibility of products and processes , and helps in inventory management. On the other hand, RFID is an expensive solution, lacking benchmarks or standards, suffers from some adverse deployment issues, and suffers from major privacy concerns. However with the ultimate aim to see the establishment of item-level tracking which should act to revolutionize SCM practices, RFID is here to stay.