Principles of Supply Chain Management 6th Edition by Joel Wisner, Keah Choon Tan, Leong ISBN 9780357715604 0357715608

Part 1. Supply Chain Management: An Overview

Chapter 1. Introduction to Supply Chain Management

Introduction

Supply Chain Management Defined

The Importance of Supply Chain Management

The Origins of Supply Chain Management in the United States

The Foundations of Supply Chain Management

Supply Elements

Operations Elements

Logistics Elements

Integration Elements

Current Trends in Supply Chain Management

Use of Supply Chain Analytics

Improving Supply Chain Sustainability

Increasing Supply Chain Visibility

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Cases

Appendix 1.1. The Beer Game

Additional Resources

Endnotes

Part 2. Supply Issues in Supply Chain Management

Chapter 2. Purchasing Management

Introduction

A Brief History of Purchasing Terms

The Role of Supply Management in an Organization

The Financial Significance of Supply Management

The Purchasing Process

The Manual Purchasing System

Electronic Procurement Systems (E-Procurement)

Small-Value Purchase Orders

Sourcing Decisions: The Make-or-Buy Decision

Reasons for Buying or Outsourcing

Reasons for Making

Make-or-Buy Break-Even Analysis

Roles of the Supply Base

Supplier Selection

Supplier Diversity

The Total Cost of Ownership Concept

How Many Suppliers to Use

Reasons Favoring a Single Supplier

Reasons Favoring Multiple Suppliers

Purchasing Organization

Advantages of Centralization

Advantages of Decentralization

Global Sourcing

Reasons for Global Sourcing

Potential Challenges for Global Sourcing

International Trade Law and Commercial Terms

Procurement in Government and Nonprofit Agencies

Characteristics of Public Procurement

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Spreadsheet Problems

Cases

Part 2 Continuing Case

Additional Resources

Chapter 3. Creating and Managing Supplier Relationships

Introduction

Developing Supplier Relationships

Building Trust

Shared Vision and Objectives

Personal Relationships

Mutual Benefits and Needs

Commitment and Top Management Support

Change Management

Information Sharing and Transparent Communications

Relationship Capabilities

Performance Metrics

Continuous Improvement

Monitoring Supplier Relationships

Key Takeaways

Managing Supplier Relationships during the Covid-19 Pandemic

Supplier Evaluation and Certification

The Weighted Criteria Evaluation System

External Certifications

Supplier Development

Supplier Recognition Programs

Supplier Relationship Management

Summary

Key Terms

Discussion Questions

Problems

Essay/Project Questions

Cases

Part 2 Continuing Case

Chapter 4. Ethical and Sustainable Sourcing

Introduction

Ethical and Sustainable Sourcing Defined

Ethical Sourcing

Sustainable Sourcing

Developing Ethical and Sustainable Sourcing Strategies

Ethical and Sustainable Sourcing Initiatives

Ethical and Sustainable Supplier Certification Programs

Supply Base Rationalization Programs

Outsourcing Products and Services

Early Supplier Involvement

Vendor Managed Inventories

Strategic Alliance Development

Negotiating Win–Win Strategic Alliance Agreements

Rewarding Supplier Performance

Benchmarking Successful Sourcing Practices

Assessing and Improving the Firm’s Sourcing Function

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Cases

Part 2 Continuing Case

Additional Resources

Endnotes

Part 3. Operations Issues in Supply Chain Management

Chapter 5. Demand Forecasting

Introduction

The Importance of Demand Forecasting

Demand Forecasting Techniques

Qualitative Methods

Quantitative Methods

Cause-and-Effect Models

Multiple Regression Forecast

Forecast Performance

Using Lag in Measuring Forecast Error

Demand Sensing

Demand Planning During the COVID-19 Pandemic and Beyond

Useful Forecasting Websites

Forecasting Software

Artificial Intelligence and Machine Learning in Demand Forecasting

Cloud-Based Forecasting

Summary

Key Terms

Discussion Questions

Problems

Essay/Project Questions

Cases

Part 3 Continuing Case

Chapter 6. Resource Planning Systems

Introduction

Operations Planning

The Aggregate Production Plan

The Chase Production Strategy

The Level Production Strategy

The Mixed Production Strategy

The Master Production Schedule

Master Production Schedule Time Fence

Available-to-Promise Quantities

The Bill of Materials

The Material Requirements Plan

Terms Used in Material Requirements Planning

An Example of MRP Computation without Net Requirements and Planned Order Receipts

An Example of MRP Computation with Net Requirements and Planned Order Receipts

Capacity Planning

Capacity Strategies

The Distribution Requirements Plan

The Legacy Material Requirements Planning Systems

Manufacturing Resource Planning

The Development of Enterprise Resource Planning Systems

The Rapid Growth of Enterprise Resource Planning Systems

Implementing Enterprise Resource Planning Systems

Advantages and Disadvantages of Enterprise Resource Planning Systems

Enterprise Resource Planning System Advantages

Enterprise Resource Planning System Disadvantages

Enterprise Resource Planning Software Applications

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Spreadsheet Problems

Cases

Part 3 Continuing Case

Filtering Devices

Suspension Parts

Additional Resources

Chapter 7. Inventory Management

Introduction

Dependent Demand and Independent Demand

Concepts and Tools of Inventory Management

The Functions and Basic Types of Inventories

Inventory Costs

Inventory Investment

The ABC Inventory Control System

Radio Frequency Identification

Inventory Models

The Economic Order Quantity Model

The Quantity Discount Model

The Economic Manufacturing Quantity Model

The Statistical Reorder Point

The Continuous Review and the Periodic Review Inventory Systems

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Computation/Spreadsheet Problems

Cases

Part 3 Continuing Case

Questions

References

Chapter 8. Process Management—Lean and Six Sigma in the Supply Chain

Introduction

Lean Production and the Toyota Production System

Lean Thinking and Supply Chain Management

The Elements of Lean

Waste Elimination

Lean Supply Chain Relationships

Lean Layouts

Inventory and Setup Time Reduction

Small Batch Production Scheduling

Continuous Improvement

Workforce Commitment

Lean Systems and the Environment

The Origins of Six Sigma Quality

Comparing Six Sigma and Lean

Lean Six Sigma

Six Sigma and Supply Chain Management

The Elements of Six Sigma

Deming’s Contributions

Crosby’s Contributions

Juran’s Contributions

The Malcolm Baldrige National Quality Award

The ISO 9000 and 14000 Families of Management Standards

The DMAIC Improvement Cycle

Six Sigma Training Levels

The Statistical Tools of Six Sigma

Flow Diagrams

Check Sheets

Pareto Charts

Cause-and-Effect Diagrams

Statistical Process Control

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Problems

Cases

Part 3 Continuing Case

Additional Resources

Part 4. Distribution Issues in Supply Chain Management

Chapter 9. Domestic U.S. and Global Logistics

Introduction

Transportation Fundamentals

The Objective of Transportation

Legal Forms of Transportation

The Five Modes of Transportation

Intermodal Transportation

Transportation Pricing

Transportation Security

Transportation Regulation and Deregulation in the United States

Warehousing and Distribution

The Importance and Types of Warehouses

Risk Pooling and Warehouse Location

Lean Warehousing

The Impacts of Logistics on Supply Chain Management

Third-Party Logistics (3PL) Services

Other Transportation Intermediaries

Environmental Sustainability in Logistics

Logistics Management Software Applications

Transportation Management Systems

Warehouse Management Systems

Global Trade Management Systems

Global Logistics

Global Freight Security

Global Logistics Intermediaries

Foreign-Trade Zones

The United States–Mexico–Canada Agreement

Reverse Logistics

The Impact of Reverse Logistics on the Supply Chain

Reverse Logistics and the Environment

Summary

Key Terms

Discussion Questions and Exercises

Essay/Project Questions

Problems

Cases

Part 4 Continuing Case

Additional Resources

Chapter 10. Customer Relationship Management

Introduction

Customer Relationship Management Defined

Key Tools and Components of CRM

Segmenting Customers

Predicting Customer Behaviors

Customer Value Determination

Personalizing Customer Communications

Automated Sales Force Tools

Managing Customer Service Capabilities

Designing and Implementing a Successful CRM Program

Creating the CRM Plan

Involving CRM Users from the Outset

Selecting the Right Application and Provider

Integrating Existing CRM Applications

Establishing Performance Measures

Training for CRM Users

Trends in CRM

The Customer Experience

Artificial Intelligence

Mobile CRM

Use of Social Media

Summary

Key Terms

Discussion Questions and Exercises

Essay and Project Questions

Problems

Cases

Part 4 Continuing Case

Additional Resources

Chapter 11. Global Location Decisions

Introduction

Global Location Strategies

Critical Location Factors

Regional Trade Agreements and the World Trade Organization

Competitiveness of Nations

The World Economic Forum’s 12 Pillars of Competitiveness:

Government Taxes and Incentives

Currency Stability

Environmental Issues

Access and Proximity to Markets

Labor Issues

Access to Suppliers

Logistics Issues

Utility Availability and Cost

Quality-of-Life Issues

Right-to-Work Laws

Land Availability and Cost

Facility Location Techniques

The Weighted-Factor Rating Model

The Break-Even Model

Business Clusters

Sustainable Development and Facility Location

Additive Manufacturing and Its Impact on Facility Location

COVID-19 and Its Impact on Global Location Strategies

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Problems

Cases

Part 4 Continuing Case

Chapter 12. Service Response Logistics

Introduction

An Overview of Service Operations

Service Productivity

Global Service Issues

Service Strategy Development

The Service Delivery System

Service Location and Layout Strategies

Supply Chain Management in Services

Service Quality and Customers

The Primary Concerns of Service Response Logistics

Managing Service Capacity

Managing Queue Times

Managing Distribution Channels

Managing Service Quality

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Problems

Cases

Part 4 Continuing Case

Additional Resources

Endnotes

Part 5. Integration Issues in Supply Chain Management

Chapter 13. Supply Chain Process Integration

Introduction

The Supply Chain Management Integration Model

Identify Critical Supply Chain Trading Partners

Review and Establish Supply Chain Strategies

Align Supply Chain Strategies with Key Supply Chain Process Objectives

Develop Internal Performance Measures for Key Process Effectiveness

Assess and Improve Internal Integration of Key Supply Chain Processes

Develop Supply Chain Performance Measures for the Key Processes

Assess and Improve External Process Integration and Supply Chain Performance

Extend Process Integration to Second-Tier Supply Chain Partners

Reevaluate the Integration Model Annually

Obstacles to Process Integration along the Supply Chain

The Silo Mentality

Lack of Supply Chain Visibility

Lack of Trust

Lack of Knowledge

Activities Causing the Bullwhip Effect

Managing Supply Chain Risk and Security

Managing Supply Chain Risk

Managing Supply Chain Security

Summary

Key Terms

Discussion Questions

Essay/Project Questions

Cases

Additional Resources

Chapter 14. Performance Measurement along Supply Chains

Introduction

Viewing Supply Chains as a Competitive Force

Understanding End Customers

Understanding Supply Chain Partner Requirements

Adjusting Supply Chain Member Capabilities

Traditional Performance Measures

Use of Organization Costs, Revenue, and Profitability Measures

Use of Performance Standards and Variances

Productivity and Utilization Measures

World-Class Performance Measurement Systems

Developing World-Class Performance Measures

Supply Chain Performance Measurement Systems

Supply Chain Environmental Performance

Triple Bottom Line Performance

The Balanced Scorecard

Web-Based Scorecards

The SCOR Model

Summary

Key Terms

Discussion Questions

Problems

Essay/Project Questions

Cases

Additional Resources

Appendix 1. Areas under the Normal Curve