Fundamentals van Supply Chain 2024-2025

Supply Chain Fundamentals - 2024-2025 Academic Year

• The presentation focuses on supply chain management (SCM)
• The relationship with logistics is complex ("It's complicated")
• Logistics is a crucial part of the economy, generating many jobs
• Logistics also creates problems like traffic jams and noise pollution.
• The presentation explores logistics from logistics flow to supply chain management.
• The study will cover different chapters (e.g., inventory management, procurement, production, distribution, reverse logistics)

Logistics...

• Logistics is depicted as an iceberg: understanding what's visible before and after reading the material.

Logistics Management

• Logistics comprises organization, planning, management and execution
• It encompasses goods flows, data flows, and monetary flows.
• Logistics management aims to meet market needs, ensure low costs, and optimize capital use (e.g., inventory).

Definition of SCM

• SCM aims to manage and streamline the flow of goods within an organization.
• It takes into account activities beyond the organization’s walls.
• SCM is also known as integrated supply chain management.
• This entails connecting the parts (activities and actors) of the chain as a whole.
• Key goals include meeting market needs, minimizing costs, and efficiently utilizing capital (e.g., inventory).
• Covering all parts of the chain (from development and procurement to delivery, including return flows).

Old School Logistics Function

• Ensuring the right goods, quantity, quality, and timeliness.
• Accuracy and completeness of documents.
• Right location and price.
• Focus on proper support for related logistics services.

Chapter Structure (based on provided diagrams)

• The slides present modules as a cyclical structure, indicating the interconnectedness of supply chain elements.
• Chapters (modules) cover various aspects of the supply chain process, emphasizing activities like procurement, manufacturing, distribution, and reverse logistics (returns).
• Market demand is a crucial driving factor.

Push and Pull Models

• Push model: The supplier pushes inventory to the customer based on forecasts.
• Pull model: The customer's demand triggers the process.

Forecasting and Inventory Management

• Forecasting is a key component in the push model.
• Methods like historical data, market surveys, and sales projections help forecast demand.
• Matching supply with demand and managing inventory levels are important.

Supply Chain Challenges

• Environmental issues: Logistics has a poor environmental image (e.g., pollution, traffic congestion)
• Social concerns: Working conditions and labor practices in global supply chains.
• Technological advancements: Changing processes, logistics problems and solutions

Digital Transformation

• Digital technologies impacting logistics processes (e.g., the Internet of Things, machine learning, augmented reality).
• New processes, new possibilities and new challenges.

Blockchain

• Blockchain technology facilitates better data transparency in supply chains.

Transportation

• Modern transportation methods (e.g., drones, automated guided vehicles).

Logistics and the Future

• Innovative technologies are needed to maintain competitiveness and maintain a good image.
• Examples of innovation: electric vehicles; automated guided vehicles (AGVs) etc
• Innovations improve productivity and add value

Sustainable Development

• Alignment with SDGs are crucial for logistics businesses.
• The presentation emphasizes the importance of social and environmental sustainability through supply chain management improvement.
• The current supply chain challenges are discussed, including the need for better management of resources and the importance of social concerns (e.g., worker rights) in global supply.

Historical Perspective

• Logistics has a history, starting with ancient civilizations (pyramid building, etc.)
• The development of different logistics systems and processes over time.
• The role of key figures and events (e.g., Napoleon).
• Key events like the creation of the container system in the 20th century.
• Role of logistics in wartime (e.g., WWI, WWII).

Economic Importance

• The link between the economy and logistics (demand and supply).
• Examples and figures demonstrating the significance of logistics for national and regional economies.

Europe's Logistics Landscape

• Highlights the Blue Banana region as an important hub in Europe.
• Important factors in logistics center location.