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Lecture Operations management: Creating value along the supply chain (Canadian edition) - Chapter 11

Lecture Operations management: Creating value along the supply chain, chapter 11 - Global supply chain procurement and distribution. This chapter includes contents: Procurement, e-procurement, distribution, transportation, the global supply chain. | Lecture Operations management: Creating value along the supply chain (Canadian edition) - Chapter 11 OPERATIONS MANAGEMENT: Creating Value Along the Supply Chain, Canadian Edition Robert S. Russell, Bernard W. Taylor III, Ignacio Castillo, Navneet Vidyarthi § CHAPTER 11 Global Supply Chain Procurement and Distribution 1 § Learning Objectives Procurement E-Procurement Distribution Transportation The Global Supply Chain 10-2 § Procurement The purchase of goods and services from suppliers Cross enterprise teams coordinate processes between a company and its supplier On-demand (direct-response) delivery requires the supplier to deliver goods when demanded by the customer Continuous replenishment supplying orders in a short period of time according to a predetermined schedule § 10-3 Outsourcing Sourcing selection of suppliers Outsourcing purchase of goods and services from an outside supplier Core competencies what a company does best Single sourcing a company purchases goods and services from only a few (or one) suppliers § 10-4 Categories of Goods and Services 10-5 § E-Procurement Direct purchase from suppliers over the Internet, by using software packages or through e- marketplaces, e-hubs, and trading exchanges Can streamline and speed up the purchase order and transaction process § 10-6 E-Procurement What can companies buy over the Internet? Manufacturing inputs § the raw materials and components that go directly into the production process of the product Operating inputs § maintenance, repair, and operation goods and services 10-7 § E-Procurement E-marketplaces (e-hubs) Websites where companies and suppliers conduct business-to-business activities Reverse auction process used by e-marketplaces for buyers to purchase items; company posts orders on the internet for suppliers to bid on 10-8 § .