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Supply Chain Logistics Management,Chapter 1: Twenty-first Century Supply Chains Yanhong Hou,Generalized Supply Chain Model,1-2,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,What is a supply chain?,Customer wants detergent and goes to Jewel,Jewel Supermarket,Jewel or third party DC,P&G or other manufacturer,Plastic Producer,Chemical manufacturer (e.g. Oil Company),Tenneco Packaging,Paper Manufacturer,Timber Industry,Chemical manufacturer (e.g. Oil Company),Anticipatory Business Model,Response-based Business Model,The 21st Century Supply Chain,Managing the modern supply chain is a job that involves specialists in manufacturing, purchasing, and distribution, of course. But today it is also vital to the work of CFOs, CIOs, operations and customer service executives, and certainly chief executives. Changes in supply chain management have been truly revolutionary, and the pace of progress shows no sign of moderating. In our increasingly interconnected and interdependent global economy, the process of delivering supplies and finished goods (and information and other business services) from one place to another is accomplished by means of mind-boggling technological innovations, clever new applications of old ideas, seemingly magical mathematics, powerful software, and old-fashioned concrete, steel, and muscle.,Supply Chain Logistics Management,Chapter 2: Logistics,Source: Robert V. Delaney, 11th Annual “State Of Logistics Report” June 5, 2000,1980 GDP $2.88 trillion Logistics Cost $451 billion 15.7% of GDP Trans. Cost $214 billion,2007 GDP $13.84 trillion Logistics Cost $1398billion 10.1% of GDP Trans. Cost $857 billion,$ billion,United States Logistics Costs,Integrated Logistics,Order Processing,Inventory,Transportation,Facility Network,Warehousing Material Handling Packaging,Logistical Integration,Market Distribution Operating Concerns,Market Distribution: Activities related to providing customer service. Requires performing order receipt and processing, deploying inventories, storage and handling, and outbound transportation within a supply chain. Includes the responsibility to coordinate with marketing planning in such areas as pricing, promotional support, customer service levels, delivery standards, handling return merchandise, and life-cycle support. The primary market distribution objective is to assist in revenue generation by providing strategically desired customer service levels at the lowest total cost.,Manufacturing Support Operating Concerns,Manufacturing Support: Activities related to planning, scheduling, and supporting manufacturing operations. Requires master schedule planning and performing work-in-process storage, handling, transportation, and time phasing of components. Includes the responsibility for storage of inventory at manufacturing sites and maximum flexibility in the coordination of geographic and final assemblies postponement between manufacturing and market distribution operations.,Procurement Operating Concerns,Procurement: Activities related to obtaining products and materials from outside suppliers. Requires performing resource planning, supply sourcing, negotiation, order placement, inbound transportation, receiving and inspection, storage and handling, and quality assurance. Includes the responsibility to coordinate with suppliers in such areas as scheduling, supply continuity, hedging, and speculation, as well as research leading to new sources or programs. The primary procurement objective is to support manufacturing or resale organizations by providing timely purchasing at the lowest total cost.,Logistics Information Requirements,Echeloned Structured Logistics,Echeloned Structured Logistics,Flexible Echeloned Structured Logistics,Process View: Cycle View of SCs,Customer Order Cycle,Replenishment Cycle,Manufacturing Cycle,Procurement Cycle,Customer,Retailer,Distributor,Manufacturer,Supplier,interface,interface,interface,interface,Logistical Performance Cycles,Multi-Echeloned Flexible Network,Customer Order Cycle,At the customer/retailer interface Includes all processes directly involved in receiving and filling the customers order: Customer arrival Customer order entry Customer order fulfillment Customer order receiving,Basic Market Distribution Performance-Cycle Activities,Replenishment Cycle,At the retailer /distributor interface Includes all processes involved in replenishing retailer inventory: Retailer order trigger Retailer order entry Retailer order fulfillment Retailer order receiving,Manufacturing Cycle,At the distributor/manufacturer interface Includes all processes involved in replenishing distributor (or retailer) inventory: Order arrival from distributor, retailer, or customer Production scheduling Manufacturing and shipping Receiving at the distributor, retailer, or customer,Procurement Cycle,At the manufacturer/supplier interface Includes all processes necessary to ensure that material are available for manufacturing according to schedule. Key point: A cycle view of the SC Clearly defines the processes involved and the owners of each process. Useful in operational decisions, specifies the roles and responsibilities of each member of the SC and the desired outcome for each process.,Procurement-Cycle Activities,Performance-Cycle Uncertainty,Supply Chain Logistics Management,Chapter 3: Customer Accommodation,Service Outputs: The Value Added,Different supply chains provide different levels of service output to consumers/endusers: 1. Spatial Convenience 2. Lot size 3. Waiting time 4. Product variety (assortment width and depth),Strategic Perspectives,High level of Basic Service - The Platform Targeted Value-Added Satisfaction Growth through Customer Success,3 Levels of Customer Focus,Achieve internal standards (e.g., specified performance cycle of fill rate),Meet customer expectations (e.g., arrive on time with right product as measured by the customer),Customers of choice achieve their objectives (e.g., logistics operation can provide product and service in a manner that ensures long term customer viability),3-32,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,Basic Service Elements,Availability Fill rates Stockouts Orders shipped complete Operational Performance Speed Consistency Flexibility Recovery,Service Reliability * damage * mis-shipments * etc.,Logistics Customer Service Mix,“Perfect Order” Achievement,The “Perfect Order” Defined Complete Orders Delivered To Customers Requested Date And Time In Perfect Condition, Including All Documentation. .97 x.97 x.97 x.97 x.97 x.97 x.97 x.97 x.97 x.97=.73,3-34,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,WHAT IS CUSTOMER SATISFACTION?,SAT = F (Expectations, perceived performance) Perceived Performance - Expectations = 0, Satisfaction “Meet or Exceed Customer Expectations”,A GENERIC PROFILE OF EXPECTATIONS,1. RELIABILITY 2. RESPONSIVENESS 3. COMPETENCE 4. ACCESS 5. COURTESY 6. COMMUNICATION 7. CREDIBILITY 8. SECURITY 9. TANGIBLES 10. KNOWING THE CUSTOMER,SATISFACTION AND QUALITY MODEL,3-37,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,Customer Satisfaction,WHY CUSTOMER SATISFACTION IS NOT SUFFICIENT,It focuses on customers expectations - not their real requirements Considerable research suggests that “satisfied” customers still are likely to defect There is a tendency by companies to treat all customers as being equal and identical,3-39,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,Evolution of Management Thought,Philosophy Focus Customer Service Meet Internal Standards Customer Satisfaction Meet Expectations Customer Success Meet Customer Requirements Notice that the satisfaction model does not focus on requirements,Moving to Customer Success,Development of Logistical Competency,ACHIEVING CUSTOMER SUCCESS,NOT ALL CUSTOMERS HAVE THE SAME REQUIREMENTS UNDERSTAND YOUR CUSTOMERS REQUIREMENTS KNOW YOUR CUSTOMERS PROCESSES HOW CAN YOUR CAPABILITIES ENHANCE CUSTOMERS PERFORMANCE? NEW PERFORMANCE METRICS,Supply Chain Logistics Management,Chapter 4: Inventory Management and Strategy,4.1 Product Positioning Decision Factors,Accurate assessment of inventory value Assignment of responsibility for inventory carrying costs Opportunity cost (15%) Taxes and insurance(1%) Obsolescence (1%) Storage (2%),4.2 庫存管理系統(tǒng),庫存管理系統(tǒng)是以庫存成本降低和服務(wù)水平提升為共同目的的相關(guān)制度、規(guī)范、方法、手段、技術(shù)、管理以及操作過程的集成,它對存貨從選擇、規(guī)劃、訂貨、進(jìn)貨、入庫、儲存及至最后出庫的流程進(jìn)行科學(xué)而合理的控制和優(yōu)化,以實(shí)現(xiàn)存貨在時(shí)間、空間上的有效整合及系統(tǒng)的整體經(jīng)濟(jì)效益。,46,Provide for Uncertainty Inventory Management,Manage Where to stock? When to order? How much to order? Control Accountability Accuracy,庫存計(jì)劃的制定可以有以下幾種分類方法 (1)按庫存周期類型,可以分為單周期庫存和多周期庫存。 (2)按對庫存的檢查策略,可以分為連續(xù)檢查策略和定期檢查策略 (3)按照庫存補(bǔ)給策略,可分為:連續(xù)性檢查的固定訂貨量、固定訂貨點(diǎn)策略;連續(xù)性檢查的固定訂貨點(diǎn),最大庫存策略;周期性檢查的固定訂貨策略;周期性檢查的最大庫存策略。 (4)按照庫存控制模型可以分為確定型庫存模型和隨機(jī)型庫存模型。 (5)按需求是否相關(guān)可以分為獨(dú)立需求庫存模型和相關(guān)需求庫存模型。,48,基本的決策變量是訂貨點(diǎn)(R),定貨批量(Q),檢查周期(t)和最大庫存(S),49,庫存計(jì)劃策略組合,一、定量訂貨庫存管理系統(tǒng),50,定量訂貨方式,優(yōu)點(diǎn): 每次訂貨之前都要詳細(xì)檢查和盤點(diǎn)庫存,檢查是否降低到訂貨點(diǎn),能夠及時(shí)了解和掌握庫存動態(tài)。 每次訂貨數(shù)量固定,且是預(yù)先確定好的經(jīng)濟(jì)訂貨批量,方法簡便。 定量訂貨庫存管理系統(tǒng)適用于品種數(shù)目少但占用資金大的A類庫存,51,缺點(diǎn) 必須對所有存貨的實(shí)物數(shù)量不斷地加以核查和盤點(diǎn),從而增加了庫存保管的維持成本。 該系統(tǒng)對各項(xiàng)存貨的管理是分別進(jìn)行的,該方式要求對每個(gè)品種單獨(dú)進(jìn)行訂貨作業(yè),即不考慮產(chǎn)品聯(lián)合訂貨。這樣會增加訂貨成本和運(yùn)輸成本。,52,二、雙堆庫存管理系統(tǒng) 又稱為兩批庫存管理系統(tǒng),與定量訂貨庫存管理系統(tǒng)原理相同,同屬于固定數(shù)量定貨庫存管理系統(tǒng)。 特點(diǎn):企業(yè)庫存量形象化,簡便易行。 缺點(diǎn):占用較多的倉庫面積。 雙堆訂貨管理系統(tǒng)最適合于廉價(jià)的、用途較為單一的和前置時(shí)間短的物品。,53,三、定期定貨庫存管理系統(tǒng) 定期定貨庫存管理系統(tǒng)是以定期定貨(period order quantity, POQ)庫存管理模式為基礎(chǔ)的庫存管理系統(tǒng),采用的庫存計(jì)劃策略為可以為(t,S)策略。,54,優(yōu)點(diǎn): 訂貨間隔時(shí)間確定,多種貨物可同時(shí)進(jìn)行采購,可以降低訂單處理成本、運(yùn)輸成本和獲得供應(yīng)商的價(jià)格折扣; 由于不需要經(jīng)常進(jìn)行庫存盤點(diǎn),只是到了訂貨周期開始才檢查庫存量,大大減少了庫存管理人員的工作量,從而降低了庫存管理費(fèi)用。 缺點(diǎn): 由于不經(jīng)常進(jìn)行庫存檢查,和盤點(diǎn),對于企業(yè)存貨的實(shí)際情況無法及時(shí)掌握,企業(yè)為了對應(yīng)訂貨間隔期間內(nèi)需要的突然變動,往往庫存水平較高。,55,56,定量訂貨管理系統(tǒng)和定期訂貨庫存管理系統(tǒng)的比較,四、最大-最小庫存管理系統(tǒng) 最小-最大系統(tǒng)是利用定量訂貨庫存管理系統(tǒng)和定期訂貨庫存管理系統(tǒng)的組合而得到的庫存管理系統(tǒng),采用(R,Q)庫存計(jì)劃策略與(t,S)庫存計(jì)劃策略的結(jié)合,又稱為非強(qiáng)制性補(bǔ)充供貨系統(tǒng)。 該庫存管理系統(tǒng)要求企業(yè)確定庫存量的最高水平、再訂貨點(diǎn)和固定的盤存周期。企業(yè)的庫存水平按照固定的時(shí)間間隔進(jìn)行檢查,若在檢查日庫存余額高于預(yù)定的再訂貨點(diǎn),便不訂貨;若在檢查日庫存余額等于或低于再訂貨點(diǎn)時(shí),便進(jìn)行訂貨。訂貨量等于最高庫存水平減去盤存時(shí)的庫存水平。,57,4.3 多周期庫存模型訂貨量的確定 1經(jīng)濟(jì)訂貨批量 模型假設(shè): 需求速度是恒定的,單位時(shí)間內(nèi)需求D件產(chǎn)品。 訂貨批量固定在每次訂貨Q件,也就是說,每次倉庫向供應(yīng)商訂購Q件產(chǎn)品。 倉庫每次訂貨都會發(fā)生一個(gè)固定的訂貨成本C0。 庫存產(chǎn)品放在倉庫中保管時(shí)會發(fā)生庫存持有成本,h是每單位產(chǎn)品存放單位時(shí)間的庫存持有成本。 提前期,發(fā)出訂單到收到貨物的時(shí)間為零 初始庫存量為零 計(jì)劃期無限長,59,隨時(shí)間變化的庫存水平,兩次相鄰補(bǔ)貨之間的時(shí)間為一個(gè)周期。整個(gè)周期T內(nèi)的庫存成本:,60,單位時(shí)間的總平均成本為:,應(yīng)用微積分對上式求導(dǎo),可以得出使成本最小所對應(yīng)的訂貨量Q*,例4.1 某企業(yè)對某種產(chǎn)品的年度需求量為8000單位,每單位的價(jià)值為p=10元/件,訂貨費(fèi)用為每次30元,庫存持有成本為按所存貨物價(jià)值的30%計(jì)算,求EOQ。 解答:該企業(yè)的經(jīng)濟(jì)訂貨批量為,61,2EOQ的調(diào)整 EOQ的假設(shè)條件使得其適用性大打折扣,在實(shí)際應(yīng)用中還必須考慮其他一些因素。 (1)運(yùn)輸費(fèi)率 一般來說,一次訂貨的批量越大,單位運(yùn)輸成本就越低。在卡車運(yùn)輸和鐵路運(yùn)輸中大批量裝運(yùn)存在運(yùn)費(fèi)折扣是很普遍的現(xiàn)象。于是,在其他條件都相同的情況下,企業(yè)希望以最為經(jīng)濟(jì)的運(yùn)輸批量來進(jìn)行購買,此時(shí)的訂貨數(shù)量也許會大于用EOQ方法所確定的經(jīng)濟(jì)訂貨批量。,62,例4.2 某企業(yè)對某種產(chǎn)品的年度需求量=2400單位;每單位成本=5.00元 存貨持有成本百分比=20;訂貨成本=19元 小批量裝運(yùn)的費(fèi)率=1元/單位 大批量裝運(yùn)的費(fèi)率=0.75元/單位 下面對比訂貨批量分別為300個(gè)480兩種方案的成本進(jìn)行比較:,63,(2)批量折扣 在批量折扣的情況下,企業(yè)按照與給定的數(shù)量有關(guān)的價(jià)格計(jì)算總成本,以確定相應(yīng)的EOQ值。如果按照折扣數(shù)量訂購所獲得的成本降低足以彌補(bǔ)增加的庫存成本時(shí),那么數(shù)量折扣就是一個(gè)可行方案。 例4.3 某公司每年需采購某種產(chǎn)品732件。該產(chǎn)品的訂貨成本為45元,儲存成本為每年15元,該產(chǎn)品的折扣策略如下表。,64,通過計(jì)算得出EOQ=66件 此時(shí)總成本為TC66=732*20+732/66*45+1/2*66*15=15634 比較 TC80=732*18+732/80*45+1/2*80*15=14188 TC100=732*17+732/100*45+1/2*100*15=13523 最佳訂貨量Q*=100,65,作業(yè): A公司以單價(jià)10元每年購入某種產(chǎn)品8000 件。每次訂貨費(fèi)用為30元,資金年利息率為12%,單位維持庫存費(fèi)按所庫存貨物價(jià)值的18%計(jì)算。若每次訂貨的提前期為2周,試求經(jīng)濟(jì)訂貨批量、最低年總成本、年訂購次數(shù)和訂貨點(diǎn)。,66,三、多周期庫存模型的訂貨時(shí)點(diǎn) 多周期庫存模型的假設(shè): 需求是隨機(jī)的,服從一定的隨機(jī)分布。 每次訂貨,需要支付一個(gè)固定的成本C0,再加上與訂購數(shù)成比例的費(fèi)用。 如果發(fā)出一個(gè)訂單,供應(yīng)商在經(jīng)過一定提前期后到達(dá),提前期可能是固定的也可能是隨機(jī)的。 如果顧客訂單到達(dá)時(shí),手頭無存貨滿足顧客需求,這筆訂單就會失去。 規(guī)定一個(gè)必須的服務(wù)水平。服務(wù)水平是提前期中不出現(xiàn)缺貨的概率。如,供應(yīng)商希望確保提前期內(nèi)至少能滿足95%的顧客需求,則服務(wù)水平為95%。,67,1不確定條件下再訂貨點(diǎn)的確定 (1)需求不確定條件下的再訂貨點(diǎn)(ROP) ROP由兩部分組成: 提前期內(nèi)的平均庫存水平,LTd 安全庫存ss ROP=dLT+ZSdLT1/2,68,(2)提前期不確定條件下的再訂貨點(diǎn) 當(dāng)提前期不確定時(shí),定義平均提前期為T,提前期的標(biāo)準(zhǔn)差為sLT,此時(shí)的安全庫存量為:ss=ZdsLT ,此時(shí)的再訂貨點(diǎn)為 ROP=dLT+ZdsLT,69,(3)需求和提前期不確定條件下的再訂貨點(diǎn) 可以通過將需求波動和提前期波動累加得出需求和提前期不確定條件下的合成標(biāo)準(zhǔn)差。,70,Combining Demand and Lead Time Uncertainty,Lead Time LT = 10 LT = 2.00,+,Demand DD = 5 DD = 2.54,Average LTD (Lead time demand) = LT * DD = 50,=,10-71,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,例5.5 某制造商銷售一種零件,每天的平均需求為100件,訂貨提前期為4天 (1)設(shè)需求呈正態(tài)分布,且需求相互獨(dú)立,需求的標(biāo)準(zhǔn)差為30件,當(dāng)客戶服務(wù)水平為99%時(shí),其安全庫存量為多少?再訂貨點(diǎn)是多少? (2)若需求穩(wěn)定,但是訂貨完成周期服從正態(tài)分布,并且其標(biāo)準(zhǔn)差為4天,當(dāng)客戶服務(wù)水平為99%時(shí),該企業(yè)需要持有的安全庫存量是多少,再訂貨點(diǎn)是多少? (3)若需求服從標(biāo)準(zhǔn)差為30的正態(tài)分布,并且提前期也是變化的,提前期的標(biāo)準(zhǔn)差為4天,當(dāng)客戶服務(wù)水平為99%時(shí),該企業(yè)需要持有的安全庫存量是多少,再訂貨點(diǎn)是多少?,72,作業(yè):定量訂貨策略下蘇寧零售店蘋果手機(jī)的安全庫存問題,73,在蘇寧的一家零售店里蘋果手機(jī)一周的需求量呈正態(tài)分布,其均值為300,標(biāo)準(zhǔn)差為200。蘋果公司要花兩周的時(shí)間為蘇寧提供定貨。蘇寧公司確定補(bǔ)給周期供給水平為95%,并且對庫存情況進(jìn)行連續(xù)監(jiān)控。問:蘇寧零售店應(yīng)該保持手機(jī)的安全庫存量是多少?再定貨點(diǎn)應(yīng)該是多少?,一、庫存的ABC分類管理 ABC分類管理方法就是將庫存物品按重要性程度分為特別重要的庫存(A類庫存),一般重要的庫存(B類庫存)和不重要的庫存(C類庫存)三個(gè)等級,然后針對不同的級別分別進(jìn)行管理和控制。 將商品按其庫存額從大到小進(jìn)行排序,并算出總庫存額; 計(jì)算累計(jì)庫存額占總庫存額的百分比; 按累計(jì)庫存百分比劃分A、B、C類。,74,75,76,ABC分類管理,Product Classification Analysis (ABC),Sample Integrated Strategy,Supply Chain Logistics Management,Chapter 11: Transportation Infrastructure and Regulation,Transportation Management,Discussion Topics Transportation Infrastructure Integrated Transportation Decisions,Supplier,Manufacturer,Customer,Inbound,Outbound,Product/Info Flows,Info/Return Goods Flows,Transportation Value Contribution,Freight Transportation Modes,Cost Structure Service Capabilities,Transportation Infrastructure,Transportation Modes,Rail Motor Air Water Pipeline Intermodal “Premium”,Basic Modes of Transportation,Fixed costs Var. costs Traffic composition Rail high low bulk food, mining, heavy mfg Motor low medium consumer goods, medium/light mfg Water medium low bulk food, mining, chemicals Air low high high-value goods, rush shipments Pipe high low petroleum, chemicals, mineral slurry,Relative Service Characteristics,Operating characteristics Rail Motor Water Air Pipe Speed 3 2 4 1 5 Availability 2 1 4 3 5 Dependability 3 2 4 5 1 Capability 2 3 1 4 5 Flexibility 3 1 4 2 5 Composite 13 9 17 15 21 1 = best, 5=worst,Intermodal,Rail,Air,Water,Truck,Transport Principles Economies of Scale,$/wgt.,Size of shipment,Transportation Cost Theory,Economy of Scale 1,Cost per unit,Volume,LTL,TL,15,000 lbs.,Transportation Cost Theory (cont.),Economy of Scale 2,Cost per unit,Density,LTL,TL,Transport Principles Economies of Distance,$/wgt.,Shipment Distance,“Tapering Principle”,Transportation Formats,Common carriers Contract carriers Private carriers Exempt carriers Non-operating intermediaries Freight forwarders Shippers Associations/Cooperatives and Agents Brokers,Changing Transportation Environment,Deregulation Time-based competition Expanding geographic coverage Information technology Intermodal,Mode,Carrier Class,Carrier,Discrete Steps,Traditional Mode/Carrier Selection,Integrated Mode/Class/Carrier Selection,Mode/Class/Carrier Integrated Decision,Customer service/ transit time requirements,Transportation cost constraints,Integrated transportation carrier database (all possible modes/ types/carriers with pricing),Market/product characteristics,Carrier Selection,Transportation Costs,Product related Density Stowability Ease/difficulty of handling Liability,Market related Competition level Location of markets Nature and extent of regulation Balance of freight traffic Seasonality of product movements Domestic vs. International,Pricing and Rate Negotiations,rate variance,Market related value,Maximum Rate,Minimum Rate,Product/service related cost,competition, market location, regulations, freight balance, seasonality, international,distance, density, stowability, handling, liability,Transportation Regulatory Environment - Economic,Objectives Consumer and market protection Industry stability Impose integrity on industry practices Types of economic regulation Entry Rates Services Exit,Transportation Regulatory Environment - Safety,Objectives Employee and public protection Environmental protection Types Equipment Environmental constraints Operator constraints Hazardous material,Supply Chain Logistics Management,Chapter 12: Transportation Management,Integrated Transportation Decisions,Supplier,Manufacturer,Customer,Inbound,Outbound,Decision Flow,Strategic,Operational,Macro,Micro,Decision Scope,Total network and lane design decisions,Dock level decisions,Lane operation decisions,Mode/carrier selection decisions,Rate negotiations,12-100,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,Network Freight Flows,(S=supplier, P=plant, W=warehouse, C=customer),S,S,S,S,P,P,P,P,W,W,W,C,C,C,C,C,C,C,C,C,C,C,C,C,C,C,C,C,C,S,C,C,C,12-101,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,Lane Operation Decisions,Analyze lane densities/frequencies to understand what opportunities emerge for: Inbound/outbound consolidation Vehicle consolidation Temporal consolidation Network consolidation Carrier consolidation,Example,12-103,McGraw-Hill/Irwin,Supply Chain Logistics Management, First Edition. Bowersox, Closs, and Cooper. Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved.,North Carolina TL Van Freight Distribution,CARRIER WT (k#) %OF MARKET COTTON 4261.4 7.7 WARDS 3050.7 6.4 PIQUA 2491.2 5.9 SO.BROKE 1914.4 4.4 N & P 1764.0 3.7 TRANSDYN 1546.2 2.8 KBT 1368.6 2.1 ITCO 1363.0 1.9 WRIGHT 811.9 1.5 TELEDYNE 727.2 1.1 TOP TEN TOTAL 37.5% 29 CARRIERS REMAINING 62.5%,Carrier Consolidation,Transportation Costs,Product related Density Stowability Ease/difficulty of handling Liability,Market related Competition level Location of markets Nature and extent of regulation Balance of freight traffic Seasonality of product movements Domestic vs. International,Other Transportati
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