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Project Management - planning, conduct, administering, and closing supply chains [sap5] - Essay Example

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Project Management: Supply Chain Issues Name: Tutor: Course: Date: Planning Supply chain management (SCM) encompasses Supply chain planning (SCP) which is an element endowed with forecasting of future needs to balance demand and supply. SCM involves planning, implementation and shipping (Tyndall, 2004)…
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Project Management - planning, conduct, administering, and closing supply chains [sap5]
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"Project Management - planning, conduct, administering, and closing supply chains [sap5]"

Download file to see previous pages There are companies that successfully manage internal aspects of their supply chain plan. However, external issues create a greater problem, specifically for small businesses (Kouvelis, Chambers and Wang, 2006). Small firms have smaller network of suppliers by building relationships and increasing efficiency hence lowering risk. Ordinarily, certain industries experience higher supply chain risks. For instance, pharmaceutical and food companies have strong foundation and understanding of strategy for safeguarding against supply chain problems and interruptions. Effective strategies on supply chain management improve aspects of business like operations and customer service. Code of Conduct Responsibility for people and the environment affects supply chain operations. The role of supply chain includes verifying compliance, making demands, and creating long-term relationships with suppliers (Tyndall, 2004). Moreover, it has to support efforts for sustainable improvements. Code of Conduct forms the fundamentals of efforts for improving work environment and working conditions for manufactured products. The code comprises demands pertaining environmental impacts and human rights targeting operations, suppliers and manufacturers. The Code of conduct requirements are derived from the Rights of the Child and the UN Declaration on Human Rights. All manufacturers and suppliers should ratify the Code of Conduct so as to be part of the supply chain. The responsibility of Suppliers is in ensuring that their own manufacturers and suppliers adhere to the Code (Kouvelis, Chambers and Wang, 2006). Manufacturers and Suppliers who cannot or will not sign the Code or live up to organizational needs may not be allowed business. The Code requirements include prohibition of child or forced labour, non discrimination based on personal characteristics or beliefs. Workplace health and safety should be prioritized alongside safe and correct handling of waste and hazardous substances. Ultimately, the working conditions must be acceptable. Administering Supply Chain Administering supply chain requires performance of cost-to-serve analysis and regular demand. Fundamentals of segmentation are based on profitability of customers, products and demand dynamics. This analysis gives the required information meant to tailor supply chain policies and service concessions meant to raise the overall profitability of the portfolio. The change in the dynamics of demand and profitability in today's quickly changing business landscape has institutionalized a standard cadence. In the recent past, demand has been regarded as a single requirement to reactions of supply chain. Today, demand signals emanates from forecasts, orders, and safety stock coming from different channels such as Web, retail, enterprise and distributors (Kouvelis, Chambers and Wang, 2006). Furthermore, demand signals originate from different customer types where large, highly profitably customers are compared to small, unprofitable customers. Besides, diverse customers have different fulfilling relationships depending on the service needed, the customer volume and profitability, and customer support channels. One of the problems facing supply chain managers is the dynamics of supply chain cost structures. There is a greater fluctuation on fuel costs, labor costs, and currency exchange rates for low-cost countries. Profitable sourcing strategies will change to ...Download file to see next pagesRead More
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