Supply Chain Management Table of Contents Table of Contents 2 1.Study the networked supply chain concept as implemented by Cisco. What are its strength and weaknesses? 3 2.Analyze why Cisco landed in financial trouble in early 2001. Would you agree that Cisco’s problems were largely caused by inherent defects in the company’s systems?…
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Study the networked supply chain concept as implemented by Cisco. What are its strength and weaknesses? The California based network giant, Cisco Systems, Inc was founded in the 1984 by the scientist of Stanford University. The founder Len Bosack and Sandy Lerne along with Richard Troiano designed an operating system for routing data from one computer to another through the operating system called IOS (Internet Operating System) (Cisco-a). This successful venture of Cisco in the world of network made Cisco the giant for the next two decades. Headquartered at San Jose, California the company started operating through a customer support site in the year 1985. Then the company implemented the online service strategy through which the customers are able to download softwares and can update them instantly by downloading the updates from the site. With a massive increase in the number of calls in the support centre from 3000 calls in the year 1991 to 12,000 calls in the year 1992, the company successfully implemented their strategy and increased sale to great extent and dealt with large amount of transaction through customer support on its website. In the following year in 1993 Cisco implemented a new strategy to reach out to the global market and grabs the multinational customers through its new Internet based system for the customers. This Internet based support gave clients of Cisco the ability to post their queries in the portal which is directly reviewed by the company. With the success from the Customers Support Site the company launched Cisco Information Online service in the year 1994 for their customer. The customers are now able to view the products available from Cisco and also they can avail the technical support service and customer support from the online portal. In 1995 the company also added their products and services in the site to sell to their customers through application provided in the site which helped the customers to directly buy products or services from their website. The main concept behind this was to eliminating the ideas of paper work, fax, CD-ROM and various other materials for training directly to the web which can be accessed by the clients at any point of time from any parts of the world. This gave the company the opportunity to reduce cost from its employees, trade partners and reduce time for transaction and also increases the market reach at the same time. Farther in the year 1996 Cisco implemented the Networked Strategy for a more interactive approach towards the clients’ relationships. They implemented a new supply chain network which consists of Cisco employees, trade partners, manufacturers, suppliers, and distributors. The orders from the clients are stored in the databases which are accessible by all the members of the company and it is directly connected to the Enterprise Resource Planning system of the company for an easy handling of the stocks and the fast transaction for the customers. For an easy and on-time delivery system the company involved the third party logistics recourses into the system. The logistic providers access the order in the database via internet and can view the status of the order processing information. This direct fulfillment system increased the revenue of the company to a great extent and the company is able to save around $12 million annually with this new strategy implementation. For a more efficient testing process the company
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Better collaboration in turn means greater communication. When firms communicate effectively (even in diverse geographical parts with different cultural backgrounds) and given that these firms are customer –focused, then knowledge on the customer value is created.
Now the business firms are not competing individually in the markets rather they are the part and parcel of different supply chain links. The only way in order to succeed in the market is that the business managers must have the ability to link different business networks or supply chain links in an effective and efficient way.
Organizations have come up with various innovative methods in all these process, which not only provide good SCM but also add value to their businesses as well as the environment including their suppliers, society as well as economy. Supply chain strategy is critical to its sustainability.
By 1990s, it became one of the most well-liked management term (Hugos, 2006). A supply chain can be seen as the alignment of three or more firms that are directly linked by the downstream as well as upstream flows of goods, services, information and finances from a particular source to the customers.
The author states that the concept of ethics in supply chain management was activated when BBC Panorama exposed the unethical supply chains of sports and clothing companies such as Nike and Gap. These companies hired under-aged Cambodians at minimum wages in order to keep down prices for the end users.
Green Supply Chain Management.
Although the concept of green supply chain is one of the most argued topics among industrial experts and research scholars but surprisingly very few researchers have tried to explore the topic seriously. To understand the core concepts of green supply chain management, one has to define supply chain management.
To bring the main actors in the market together, for example, suppliers, manufactures, and stores are put together to simplify the production of commodities being produced, and then circulated at the right time. The captions are going to capture the
It brings integration of various processes such as production operations, buying goods and services, transportation and distribution. A successful supply chain management programs ensures these processes are integrated and coordinated into a process that is seamless
The micro-economic approach in regard to market logistics and strategic plans of an organization is extensively discussed. The effective warehouse management and transport arrangements are basic market logistic constituents (Jespersen & Skjøtt-Larsen, 2005). It is
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