Procurement and Availability The role of the Supply Chains group (Procurement, Operations Planning and Logistics) is to provide Availability of finished products that satisfies customers’ demand. The lead role of Procurement is to enhance that capability through providing Availability of input items. When asked about the role of Procurement (or Purchasing), most people will answer ‘buys things’. But, no matter … Read More
The Scheduling part of Operations Planning and Scheduling
Different requirements In manufacturing businesses, production run lengths have become shorter, due in part to the real or imagined need for product extensions that address narrow customer and consumer needs. There is less of high volume Make to Stock (MTS) and more of High Mix, Low Volume (HMLV) under descriptors of Make to Order (MTO) and Assemble to Order (ATO). … Read More
The planning part of Operations Planning and Scheduling
Planning is a macro view Planning roles have always been analytical, but there is now an increasing emphasis on working with system applications and tools to assist the integration of transaction data with annual budgets or ERP outputs. With the increasing ease of re-running Operational models, the objective of Planning appears to be output that is accurate and fast. But … Read More
The role of Logistics within the Supply Chains group
The role of each function The previous blogpost identified that the Aim of a Supply Chains group is to provide ‘Competitive Availability’ of products and services. This is achieved through implementing the Objectives of the principal Supply Chains operational functions, consisting of Procurement, Operations Planning and Logistics. The driver for each function is: Objective of Logistics The operational activities for … Read More
Themes that will influence the design of supply chains
Short-term noise Change happens continuously through our lives, but most is not important and we absorb the changes into what we do. Sometimes a change is heralded as a ‘new’ way, but there is insufficient momentum for change, so enthusiasm dies and things return to the old way. For example, during the Covid pandemic, many retailers and manufacturers changed from … Read More