Supply Chain Essay

990 Words4 Pages
Human factors engineering assignment : pushing and pulling overwhelmed Supply Chain Management Fierce competition in today’s global markets, the introduction of products with shorter life cycles, and the heightened expectations of customers have forced business enterprises to invest in, and focus attention on, their supply chains. This, together with continuing advances in communications and transportation technologies ( mobile communication, Internet ), has motivated the continuous evolution of the supply chain and of the techniques to manage it effectively. The supply chain is a flow of materials, information and money through a network of suppliers, manufacturers, distributors and customers. The core supply chain process is a hierarchy of interrelated and nested key processes and work processes. All processes fall into one of two categories, depending on the timing of their execution relative to customer demand. The two process categories are: pull processes and push processes The execution of pull processes is in response to a customer order. Whereas, push processes are executed in anticipation of customer orders. At the time of execution of a pull process, demand is known with certainty. At the time of execution of a push process, demand is not known and must be forecast. The boundary line between these two types of processes is known as the push/pull boundary. Being able to accurately locate the push-pull boundary facilitates a more global view of supply chain design and better decision-making in key processes. Traditional supply chain strategies are often categorized as either push or pull strategies. In the most traditional type of supply chain( push-based supply chain ), production and distribution decisions are based on long-term forecasts, leading to slow reaction to the changing marketplace. In a pull-based supply chain, production and

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