MGT 3040 Chapter Notes - Chapter 1: Order Processing, Reverse Logistics, Strategic Sourcing
Document Summary
Increased outsourcing --> suppliers need to respond to end-customer"s needs. Dependence on supplier"s responsibility for design & build subassemblies and subsystems. Single sourcing with fewer key suppliers and strategic alliances. Reduce unit costs for products and services. Work with key suppliers to provide product and service innovations. 1900-1950 reliable access to supply of raw materials, supplies and services. 1970s international shortage of raw materials, and price inflation, put senior management at the attention of the supply function. 1990s: global supply chains and increased reliance on suppliers, outsourcing. Faster response times: sustainability, globalization, supply chain security, risk management. Scm: the design and management of seamless, value-added processes across organizational boundaries to meet the real needs of the end customer. The development and integration of people and technological resources are critical to successful supply chain integration. **minimize costs and lead times across tiers in the supple chain to the benefit of the final customer.
