SCM 373 Lecture 1: L1_Logistics Tradeoffs-economies-trends
31 Jan 2017
School
Department
Course
Professor
Document Summary
Postponement strategies keep supply chains responsive: types of postponement. Combined: manufacturing and geographic have the same goal. Meeting customer demand quickly while minimizing inventories. Give examples of firms that use postponement in the supply chain and firm that do not (speculation) To postpone: paint manufacturers (by mixing color at the retail store), sunoco etc. (by blending gasoline at the filling station pump), automobiles ?, add (cid:455)ou(cid:396) e(cid:454)a(cid:373)ples Or not: firms that speculate: christmas toys (producing in advance of the season), snow tires (shipping tires to dealers in the fall. Invoicing in january: manufacturers of air conditioning units (providing incentives for retailers to stock up prior to the season), manufacturers of mass produced convenience goods. Can build a sufficient (cid:395)ua(cid:374)tit(cid:455) of (cid:862)(cid:396)ead(cid:455) to (cid:272)usto(cid:373)ize(cid:863) (cid:271)asi(cid:272) u(cid:374)its: requires a lot of forethought during product design. Combined postponement: keeping the basic products centralized and performing the customization at the destination distributor, historical example - autos.
