Logistics and Supply Chain Management, 4th Edition

Cover......Page 1
Logistics & Supply Chain Management, Fourth Edition......Page 4
ISBN: 9780273731122......Page 5
About the author......Page 6
Contents......Page 8
Preface......Page 11
Publisher's Acknowledgements......Page 12
1 Logistics, the supply chain and competitive strategy......Page 14
Supply chain management is a wider concept than logistics......Page 15
Competitive advantage......Page 17
1 Cost advantage......Page 18
2 Value advantage......Page 19
Seeking the high ground......Page 20
The supply chain becomes the value chain......Page 22
The mission of logistics management......Page 24
The supply chain and competitive performance......Page 26
The new rules of competition......Page 28
Globalisation of industry......Page 31
Downward pressure on price......Page 32
The customers take control......Page 35
Managing the ‘4Rs’......Page 36
References......Page 38
2 Logistics and customer value......Page 40
The marketing and logistics interface......Page 41
Delivering customer value......Page 42
What is customer service?......Page 44
The impact of out-of-stock......Page 46
Customer service and customer retention......Page 47
Market-driven supply chains......Page 51
Identifying customers’ service needs......Page 52
Defining customer service objectives......Page 55
The cost benefit of customer service......Page 56
Setting customer service priorities......Page 59
Setting service standards......Page 63
References......Page 68
3 Measuring logistics costs and performance......Page 70
Logistics and the bottom line......Page 71
Logistics and the balance sheet......Page 72
Logistics and shareholder value......Page 75
The drivers of shareholder value......Page 76
The role of cash flow in creating shareholder value......Page 78
Logistics cost analysis......Page 79
The concept of total cost analysis......Page 80
The cost of holding inventory......Page 82
Principles of logistics costing......Page 83
Customer profitability analysis......Page 85
Direct product profitability......Page 91
Cost drivers and activity-based costing......Page 93
References......Page 94
The lead-time gap......Page 96
Improving the visibility of demand......Page 98
The supply chain fulcrum......Page 100
Demand management and planning......Page 102
1 Generate aggregate demand forecast......Page 103
4 Create a ‘rough cut’ capacity plan......Page 104
5 Execute at SKU levels against demand......Page 105
6 Measure performance......Page 106
Collaborative planning, forecasting and replenishment......Page 107
Reference......Page 110
5 Creating the responsive supply chain......Page 112
Product ‘push’ versus demand ‘pull’......Page 117
The Japanese philosophy......Page 122
2 Work smarter, not harder......Page 125
4 Seek to reduce complexity......Page 126
6 Manage processes not just functions......Page 127
7 Utilise appropriate performance metrics......Page 128
A routemap to responsiveness......Page 129
References......Page 132
Time-based competition......Page 134
1 Shortening life cycles......Page 135
2 Customers’ drive for reduced inventories......Page 136
3 Volatile markets make reliance on forecasts dangerous......Page 137
1 The order-to-delivery cycle......Page 138
2 The cash-to-cash cycle......Page 139
Logistics pipeline management......Page 142
Reducing logistics lead time......Page 146
Bottleneck management......Page 152
References......Page 153
7 The synchronous supply chain......Page 154
The extended enterprise and the virtual supply chain......Page 155
The role of information in the virtual supply chain......Page 157
Laying the foundations for synchronisation......Page 160
‘Quick response’ logistics......Page 163
Production strategies for quick response......Page 166
Logistics systems dynamics......Page 167
References......Page 171
8 Complexity and the supply chain......Page 172
2 Process complexity......Page 174
4 Product complexity......Page 175
5 Customer complexity......Page 176
5 Organisational complexity......Page 177
The cost of complexity......Page 178
Product design and supply chain complexity......Page 179
Mastering complexity......Page 180
References......Page 183
9 Managing the global pipeline......Page 184
The trend towards globalisation in the supply chain......Page 186
1 Focused factories......Page 187
2 Centralisation of inventories......Page 189
3 Postponement and localisation......Page 190
Gaining visibility in the global pipeline......Page 191
Organising for global logistics......Page 193
1 Structure and control......Page 195
3 Outsourcing and partnerships......Page 196
Thinking global, acting local......Page 197
The future of global sourcing......Page 198
References......Page 200
10 Managing risk in the supply chain......Page 202
A focus on efficiency rather than effectiveness......Page 203
The trend to outsourcing......Page 204
Understanding the supply chain risk profile......Page 206
1 Understand the supply chain......Page 211
2 Improve the supply chain......Page 212
3 Identify the critical paths......Page 213
4 Manage the critical paths......Page 215
5 Improve network visibility......Page 217
7 Work with suppliers and customers......Page 218
Achieving supply chain resilience......Page 219
References......Page 222
11 The era of network competition......Page 224
The need for new business models......Page 225
Collaboration in the supply chain......Page 227
2 Win-win thinking......Page 230
3 From inventory to information......Page 231
6 From functions to processes......Page 232
The implications for tomorrow’s logistics managers......Page 233
Supply chain orchestration......Page 235
From 3PL to 4PL™......Page 236
References......Page 239
12 Overcoming the barriers to supply chain integration......Page 240
The problems with conventional organisations......Page 241
Pipeline costs are not transparent......Page 243
Functional boundaries impede process management......Page 244
Developing the logistics organisation......Page 245
Order fulfilment groups......Page 248
Logistics as the vehicle for change......Page 249
Benchmarking......Page 250
Identifying logistics performance indicators......Page 252
References......Page 253
The triple bottom line......Page 254
Greenhouse gases and the supply chain......Page 256
Reducing the transport-intensity of supply chains......Page 258
Peak oil......Page 260
Design......Page 261
Deliver......Page 262
Reduce, reuse, recycle......Page 263
The impact of congestion......Page 265
References......Page 267
14 The supply chain of the future......Page 270
Emerging mega-trends......Page 271
Shifting centres of gravity......Page 272
The multi-channel revolution......Page 274
The need for adaptability......Page 276
Seeking structural flexibility......Page 277
2020 vision......Page 279
Rapid manufacturing......Page 280
References......Page 281
Index......Page 282