1.

SUPPLY CHAIN MANAGEMENT:

There is a great deal of confusion regarding exactly what supply chain management
involves. In fact, most people using the name supply chain management treat it as a
synonym for logistics or as logistics that includes customers and suppliers. However,
successful supply chain management requires cross-functional integration of key
business processes within the firm and across the network of firms that comprise the
supply chain. The challenge is to determine how to successfully accomplish this
integration. First, the distinction between logistics and supply chain management is
identified. Next, a framework for supply chain management is presented as well as
suggestions for how it might be implemented. Case studies conducted at several
companies and involving multiple members of their supply chains are used to illustrate
the concepts described.

One of the most significant paradigm shifts of modern business management is that individual
businesses no longer compete as solely autonomous entities, but rather as supply chains. Business
management has entered the era of inter-network competition. In this emerging competitive
environment, the ultimate success of the single business will depend on management's ability to
integrate the company's intricate network of business relationships.

Increasingly the management of relationships across the supply chain is being referred to as Supply
Chain Management (SCM). Strictly speaking, the supply chain is not a chain of businesses with
one-to-one, business-to-business relationships, but a network of businesses and relationships.
SCM offers the opportunity to capture the synergy of intraand inter-company integration and
management. In that sense, SCM deals with total business process excellence and represents a
new way of managing the business and relationships with other members of the supply chain.

Thus far, there has been relatively little guidance from academia, which has in general been
following rather than leading business practice. There is a need for building theory and developing
normative tools and methods for successful SCM practice. The Global Supply Chain Forum, a group
of non-competing firms and a team of academic researchers, has been meeting regularly since
1993 with the objective to improve the theory and practice of SCM. The definition of SCM
developed and used by the members of The Global Supply Chain Forum follows.

Supply Chain Management is the integration of key business processes from end user through
original suppliers that provides products, services, and information that add value for customers
and other stakeholders.

This broader view of SCM is illustrated in Figure 1, which depicts a simplified supply chain network
structure, the information and product flows, and the key supply chain management processes
penetrating functional silos within the company as well as corporate silos across the supply chain.
Thus, business processes become supply chain processes linked across intra- and inter-company
boundaries.
This paper is organized as follows. First there is a brief literature review relating SCM to logistics
and to marketing channels research. Next, the conceptual framework of SCM is described. Then
some of the findings and key issues related to each of the three elements of the SCM framework
are reported. For simplicity each element is dealt with separately, although in practice they are
closely interrelated. Issues regarding how to map business processes across the supply chain,
reengineer improvement into the supply chain, and implement integrated supply chain
management are briefly described. Finally, conclusions are outlined.
2. CUADRO COMPARATIVO ENTRE SUPPLY LOGISTIC AND SUPPLY CHAIN MANAGEMENT: 5
PUNTOS
SUPPLY LOGISTIC
Logistics is the management of the product
flow from the point of origin to the point of
consumption.
Logistics is that part of the supply chain
process that plans, implements, and controls
the efficient, effective flow and storage of
goods, services, and related information from
the point-of-origin to the point-of-consumption
in order to meet customers' requirements.
Degree of complexity required managing all
suppliers back to the point of origin and all
products/services out to the point of
consumption. It is probably easier to
understand why executives would want to
manage their supply chains to the point of
consumption because whoever has the
relationship with the end-user has the power in
the supply chain.
Logistics represents a management area where
opportunities for improvement abound,
Logistics is often a differentiating element in
the market, and Logistics is part of a company's
competitive strategy.
Logistic and distribution development was
aimed at reducing costs and expenses,
managing Supply chain goes beyond, as it
achieves in addition to the previous benefits,
Commercial growth, increase return on
investment, as well as minimize selling costs.
SUPPLY CHAIN MANAGEMENT
Supply Chain Management is the management
of the network of companies involved in
providing products, services and information to
final customers and others involved.
Supply Chain Management is the management
of the multiple business relationships that a
company maintains with its customers and its
suppliers and eventually with the customers of
the customers and / or suppliers of the
suppliers. And for the successful management
of business relationships, all the functional
areas of each of the companies involved in the
relationship must be included.
For the management of a network of
companies it is necessary the participation of at
least all the functional areas that participate in
the management of a single company.
To achieve the management of the
relationships between the companies that are
members of a supply chain, it is necessary to
include all the functional areas. Not including
all functional areas puts at risk that the efforts
of the whole organization are not focused in
the same direction.
Supply Chain Management is the management
of the supply chain. The activities that are
performed in a supply chain are many more
than moving product.
Supply Chain Management: Dell Computers,
the "direct to the customer" operating model is
famous for its efficiency, lowering costs and
Allowing Dell to keep inventories lower in the
computer industry. It is also a Powerful revenue
generator because it allows Dell to configure
products that are tailored to the specific needs
of customers.
3. SYSTEMS SUPPLY LOGISTIC
In recent decades, logistics have changed their scenarios with great speed, new techniques
and concepts have emerged during this period, and the acceptance of these ideas by at
least the leading companies in the world has been impressive.It has been almost thirty
years since Peter Drucker wrote His pioneering article entitled "The Black Continent of
Economics". The implications of the title and theorientation of its arguments pointed to
the fact that the management of a company knew little about the opportunities that
existed to achieve profitability through logistics. Physical distribution is the frontier of
today's business. It is the area where you can achieve large administrative results. And it is
still an unexplored territory. For many companies in the world, unfortunately, this is still
true. Still others, however, the adoption of the concept of integrated distribution, and
therefore of the Logistics Administration, has brought many benefits.
Along with the greater interest in logistics has come an expansion in the definition of
concept.
The territories of logistics have extended from the administration of the relations with
the suppliers to the administration of the demand through the intermediaries and the
final client.

Although the technology is unique to each individual and to each company, there seems to
be a general agreement that the term logistics changes the individual concepts of material
management and physical distribution.

A modern logistics manager will most likely adopt a logistical definition in the Following
terms:
 Logistics is the process of strategically managing the acquisition, transfer and storage of
materials, parts and finished products from suppliers through the organization, in such a
way that current and future profits are maximized by order delivery that is cost effective.

On the other hand, as a result and in line with its recent name change, Councilof Logistics
Management has updated its definition of logistics:

Logistics is the process of efficient and effective planning, instrumentation and control of
the flow and storage of raw materials, inventories of processed and finished products, as
well as the flow of the respective information from the point of origin to the point of
consumption, with The purpose of meeting customer requirements.

It is important to note that this definition includes both internal and external flow
materials. It includes the internal movements as well as the movements of platform
platform. It places special emphasis on coordination and control of systems and transport
and storage.
The first definition of "management of physical distribution" of the above-mentioned
council emphasizes the specific activities contained within the function, the latter
definition does not contain a list of such activities, but it is understood that they are many
and diverse.
The Council of Supply Chain Management Professionals (CSCMP) defines "Logistics" as:

"Process of planning, implementing and controlling procedures for the efficient and
effective transportation and storage of goods, services and related information, from the
point of origin to the point of consumption with the purpose Conform to the customer's
requirements."

4. KEY CONCEPTS ASSOCIATED WITH SUPPLY CHAIN MANAGEMENT - SUPPLY CHAIN

DISTRIBUTION, CUSTOMER SERVICE, TRANSPORTATION, INVENTORY DECISIONS, AND
MATERIAL PLACEMENT DECISION.

Supply chain distribution

This concerns the movement of a finished product or service to customers. In
physical distribution, the customer is the final destination of a marketing channel,
and the availability of the product or service is a vital part of each channel
participant's marketing effort. It is also through the physical distribution process that
the time and space of customer service become an integral part of marketing. Thus
it links a marketing channel with its customers (i.e., it links manufacturers,
wholesalers, and retailers).

Customer Service
 The customer service level in a supply chain is marked as an operation of multiple
unique performance indices. Here we have three measures to gauge performance.
They are as follows.

Order fill rate: The order fill rate is the portion of customer demands that can
be easily satisfied from the stock available. For this portion of customer
demands, there is no need to consider the supplier lead time and the
manufacturing lead time. The order fill rate could be with respect to a central
warehouse or a field warehouse or stock at any level in the system.

Stockout rate: It is the reverse of order fill rate and marks the portion of
orders lost because of a stockout.

Backorder level: This is yet another measure, which is the gauge of total
number of orders waiting to be filled.

Probability of on-time delivery: It is the portion of customer orders that are

completed on-time, i.e., within the agreed-upon due date.

In order to maximize the customer service level, it is important to maximize order fill
rate, minimize stockout rate, and minimize backorder levels.

Transportation
Strategic transportation decisions are closely related to inventory decisions as well as
meeting customer demands. Using air transport obviously gets the product out quicker
and to the customer expediently, but the costs are high as opposed to shipping by boat
or rail. Yet using sea or rail often times means having higher levels of inventory in-
house to meet quick demands by the customer. It is wise to keep in mind that since
30% of the cost of a product is encompassed by transportation, using the correct
transport mode is a critical strategic decision. Above all, customer service levels must
be met, and this often times determines the mode of transport used. Often times this
may be an operational decision, but strategically, an organization must have transport
modes in place to ensure a smooth distribution of goods.

Inventory decisions
Further strategic decisions focus on inventory and how much product should be in-
house. A delicate balance exists between too much inventory, which can cost anywhere
between 20 and 40 percent of their value, and not enough inventory to meet market
demands. This is a critical issue in effective supply chain management. Operational
inventory decisions revolved around optimal levels of stock at each location to ensure
customer satisfaction as the market demands fluctuate. Control policies must be looked
at to determine correct levels of supplies at order and reorder points. These levels are
critical to the day to day operation of organizations and to keep customer satisfaction
levels high.
 Material placement decision
Material flow includes a smooth flow of an item from the producer to the consumer.
This is possible through various warehouses among distributors, dealers and retailers.

The main challenge we face is in ensuring that the material flows as inventory quickly
without any stoppage through different points in the chain. The quicker it moves, the
better it is for the enterprise, as it minimizes the cash cycle.

The item can also flow from the consumer to the producer for any kind of repairs, or
exchange for an end of life material. Finally, completed goods flow from customers to
their consumers through different agencies. A process known as 3PL is in place in this
scenario. There is also an internal flow within the customer company.

5. Evaluacin: hacer 10 preguntas con 4 alternativas

1. What does the supply chain allow?

a) As the sequence of events that cover the entire life cycle of a product or service.
b) Allows the planning, organization and control of the activities of the supply chain this
activity involves the management of uses of products / services.
c) It allows a better rendering of customer service and the value chain.
d) None of the above.