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Supply Chain Management: Text and Cases, 2nd Edition

Book Description

Supply Chain Management: Text and Cases presents a comprehensive, yet structured, view of logistics and supply chain management, with a focus on supply chain innovations for firms operating in competitive markets. The most significant change from the previous edition is the addition of two chapters. Chapter 11 is about supply chain contracts. Supply chain contract is emerging as a valuable instrument to coordinate various supply chains. Few popular contracts such as buyback contracts and revenue sharing contracts are discussed in depth. The other new chapter is Chapter 14. It deals with emerging field of sustainable supply chain management. Testimonials “This exceptionally well-written book introduces the concepts of supply chain management in a simple language. The case studies discuss several Indian supply chain issues from a managerial viewpoint.” - Rahul Jagannath Patil, Professor, Indian Institute of Technology Bombay “This book is an incredible mix of well-explained concepts and case studies. It is probably the best book in this field that covers issues relevant to India. Sincere effort has been made to look at various supply chain issues while maintaining a fine balance between an analytical approach and a qualitative perspective.” - Balram Avittathur, Professor, Indian Institute of Management Calcutta “Supply Chain Management: Text and Cases is an excellent book with comprehensive treatment of theory and practice covering people, process, technology and systems aspects of supply chain management with best practices from the context of emerging economies. Features, such as interview with expert and mini- project, have been included in every chapter are very useful.” - S Venkataramanaiah, Professor, Indian Institute of Management Lucknow “This is a rare textbook that lucidly interlaces conceptual rigor with practical nuances. The most important feature of this book is the treasure of cases that exemplify the complex and globally relevant Indian context. This is a must-read resource for both academia and industry.” - L S Murty, Professor, Indian Institute of Management Bangalore “This book is extremely helpful to assimilate difficult concepts like supply chain innovation, vehicle routing problems, inventory models (both deterministic and probabilistic) and postponement strategy with excellent case studies to help students understand the managerial implications. This is also the first book on supply chain management which has addressed Indian supply chain issues. Both MBA and PhD students can find comprehensive coverage of supply chain concepts in this textbook. ” - Dr. Rameshwar Dubey, Associate Professor,

Table of Contents

  1. Cover
  2. Title Page
  3. About The Author
  4. Contents
  5. Preface
  6. Reviewers
  7. Part I: Introduction and a Strategic View of Supply Chains
    1. 1 The Role of Supply Chain Management in Economy and Organization
      1. Introduction
      2. What Is Supply Chain Management?
      3. Evolution of Supply Chain Management
      4. Key Concepts in Supply Chain Management
      5. Decisions in a Supply Chain
      6. The Importance of the Supply Chain
      7. Enablers of Supply Chain Performance
      8. Improvement in Communication and IT
      9. Emergence of Third-party Logistics Providers
      10. Enhanced Inter-firm Coordination Capabilities
      11. Supply Chain Performance in India
      12. Challenges in Maintaining a Supply Chain in India
      13. Supply Chain Challenges for the Indian FMCG Sector
    2. 2 Supply Chain Strategy and Performance Measures
      1. Introduction
      2. Customer Service and Cost Trade-offs
      3. Order Delivery Lead Time
      4. Supply Chain Responsiveness
      5. Delivery Reliability
      6. Product Variety
      7. Supply Chain Performance Measures
      8. Benchmarking Supply Chain Performance Using Financial Data
      9. Linking Supply Chain and Business Performance
      10. Enhancing Supply Chain Performance
      11. Supply Chain Optimization
      12. Supply Chain Integration
      13. Supply Chain Restructuring
    3. 3 Outsourcing: Make Versus Buy
      1. Introduction
      2. Make Versus Buy: The Strategic Approach
      3. Identifying Core Processes
      4. The Business Process Route
      5. The Product Architecture Route
      6. Market Versus Hierarchy
      7. Economies of Scale
      8. Agency Cost
      9. Transaction Cost
      10. Incomplete Contracts
      11. Integrative Framework of Market Versus Hierarchy
      12. The Make-Versus-Buy Continuum
      13. Tapered Integration
      14. Collaborative Relationship
      15. Sourcing Strategy: Portfolio Approach
      16. Reconfiguration of the Supply Base
      17. Impact of the Internet on Sourcing Strategy
  8. Part II: Managing Material Flow in Supply Chains
    1. 4 Inventory Management
      1. Introduction
      2. Types of Inventory
      3. Cycle Inventory
      4. Safety Stock
      5. Decoupling Stocks
      6. Anticipation Inventory
      7. Pipeline Inventory
      8. Dead Stock
      9. Inventory-related Costs
      10. Ordering Costs
      11. Inventory-carrying Costs
      12. Stockout Costs
      13. Managing Cycle Stock
      14. Cycle Stock Inventory Model
      15. Managing Safety Stock
      16. Capturing Uncertainty
      17. Impact of Service Level on Safety Stock
      18. Managing Seasonal Stock
      19. Planning for Seasonal Demand
      20. Analysing Impact of Supply Chain Redesign on the Inventory
      21. Centralization Versus Decentralization
      22. Choice of Mode of Transport
      23. Managing Inventory for Short Life Cycle Products: Newsvendor Model
      24. Multiple-item, Multiple-location Inventory Management
      25. Selective Inventory Control Techniques
    2. 5 Transportation
      1. Introduction
      2. Drivers of Transportation Decisions
      3. Transportation Cost Structures
      4. Impact of Product and Demand Characteristics on System Cost
      5. Modes of Transportation: Choices and Their Performance Measures
      6. Choices Available
      7. Comparison of Modes of Transportation on Supply Chain Performance Measures
      8. Devising a Strategy for Transportation
      9. Distribution Network Design Options
      10. Comparison of Distribution Network Design Options
      11. Cross-docking
      12. Transportation Strategies Followed by Retail Firms
      13. Vehicle Scheduling
      14. Saving Algorithm for Vehicle Scheduling
      15. Static-Versus-Dynamic Scheduling
      16. Transportation Costs in E-Retailing
      17. Shipping Charges by E-Retailers
      18. Impact of Transport Cost on Business Performance of E-Retailers
      19. Grocery on the Internet: Experience of Webvan and Tesco
    3. 6 Network Design and Operations: Facility Location
      1. Introduction
      2. Network Operations Planning
      3. Relevant Costs for Network Decisions
      4. Network Operations Optimization: Cost Minimization Model
      5. Network Operations Optimization: Profit Maximization Model
      6. Network Design Problem
      7. Network Design Model: Cost Minimization Model
      8. Network Design Model: Profit Maximization Model
      9. Political Dimensions of Network Design Decisions
      10. Network Design and Operations Models: Extensions
      11. Seasonal Products: Tactical Planning Problems
      12. Multiple Capacity: Deciding on the Best Option
      13. Short Life Cycle Products: A Suitable Network Design
      14. Data for Network Design
      15. Demand Data
      16. Supply Side Cost Data
      17. Strategic Role of Units in the Network
      18. Strategic Role Framework
      19. Role Evolution Within a Network
      20. Location of Service Systems
      21. Locating Retail Outlets
      22. Locating Public Service Systems
      23. Designing Aftermarket Service System Network
      24. Incorporating Uncertainty in Network Design
      25. Appendix A: Solving Network Design and Operations Problem Using Excel Solver
      26. Step 1: Preparing Base Data
      27. Step 2: Formulating Model in Solver
      28. Step 3: Solving Problem and Carrying Out Sensitivity Analysis of the Solution Using Solver
      29. Network Design Decision
  9. Part III: Managing Information Flow in Supply Chains
    1. 7 Demand Forecasting
      1. Introduction
      2. The Role of Forecasting
      3. Characteristics of Forecasts
      4. Time Horizons for Forecasting
      5. Qualitative Forecasting Methods
      6. The Delphi Approach
      7. Market Research
      8. Life Cycle Analogy
      9. Informed Judgement
      10. Quantitative Methods
      11. Time-series Method
      12. Causal Models
      13. Forecast Error
      14. Time-series Forecasting Models
      15. Case 1: Forecasting Level Form
      16. Case 2: Forecasting the Trend Form
      17. Case 3: Forecasting Seasonality
      18. Case 4: Forecasting Combination of Seasonality and Trend
      19. Data Preparation for Building Time-series Models
      20. Behavioural Issues in Forecasting
    2. 8 Information Technology in Supply Chain Management
      1. Introduction
      2. Enabling Supply Chain Management Through Information Technology
      3. IT in Supply Chain Transaction Execution
      4. IT in Supply Chain Collaboration and Coordination
      5. IT in Supply Chain Decision Support
      6. IT in Supply Chain Measurement and Reporting
      7. Strategic Management Framework for IT Adoption in Supply Chain Management
      8. Supply Chain Management Application Marketplace
      9. Future Trends
  10. Part IV: Supply Chain Innovations
    1. 9 Supply Chain Integration
      1. Introduction
      2. Internal Integration
      3. Centralized System
      4. Decentralized System
      5. Hybrid System
      6. External Integration
      7. Increase in Demand Volatility While Moving Up the Supply Chain
      8. Impact of Buyer Practices on Demand Distortions Across the Buyer–Supplier Link
      9. Impact of Supplier Practices on Demand Distortions Across the Buyer–Supplier Link
      10. Bullwhip Effect: Demand Volatility and Information Distortions Across Supply Chains
      11. Remedial Strategies to Counteract Demand Distortions Across Supply Chains
      12. Barriers to External Integration
      13. Building Partnership and Trust in a Supply Chain
      14. Steps in Building Successful Relationships
      15. Effect of Interdependence on Relationships
      16. Supply Chain External Integration: Industry-level Initiatives
      17. Vendor-managed Inventory
      18. Efficient Customer Response
      19. CPFR
    2. 10 Supply Chain Restructuring
      1. Introduction
      2. Supply Chain Mapping
      3. Value-addition Curve
      4. Customer Entry Point in the Supply Chain
      5. Point of Differentiation
      6. Supply Chain Process Restructuring
      7. Postpone the Point of Differentiation
      8. Postponement Case Studies
      9. Postponement for Reducing Transportation Cost
      10. Problems with Implementing the Postponement Strategy
      11. Changing the Shape of the Value-addition Curve
      12. Advance the Customer Ordering Point: Move from MTS to CTO Supply Chain
      13. Altering Customer Offering Bundle
      14. Illustrative Case Studies
      15. Moving from MTS to CTO: Alternative Approaches
      16. Moving from the MTS to the CTO Model: The Role of Innovations and Experimentations
      17. Restructuring the Supply Chain Architecture
      18. Restructure Flow in the Chain: Hindustan Unilever Case
      19. Restructure Placement of Inventory in the Chain
    3. 11 Supply Chain Contracts
      1. Introduction
      2. Incentive Conflicts in Supply Chains
      3. Types of Supply Chain Contracts
      4. Effectiveness of Supply Chain Mechanisms
      5. Buyback Contract
      6. Revenue-Sharing Contract
      7. Equivalence of Revenue Sharing and Buyback Contracts
      8. Other Popular Supply Chain Contracts
    4. 12 Agile Supply Chains
      1. Introduction
      2. Supply Chains for High Demand Uncertainty Environment
      3. Forecast Updating
      4. Responsive Supply Chain: Optimal Use of Dual Sources of Supply
      5. Illustration of Responsive Supply Chain Approach
      6. Speculative Approach
      7. Responsive Approach
      8. Impact of Negatively Correlated Demand Structure
      9. Sources of Supply Chain Disruptions and Its Impact on Business
      10. Sources of Supply Chain Disruptions
      11. Consequences of Supply Chain Disruptions
      12. Methodologies for Handling Disruptions
      13. Multi-location Sourcing
      14. Location of the Secondary Source
      15. Appendix: Simulation Using Excel
      16. Generating Random Numbers Using Excel
      17. Building a Simulation Model
    5. 13 Pricing and Revenue Management
      1. Introduction
      2. Pricing
      3. Law of Demand and Optimal Pricing Decision
      4. Case of Non-linear Demand Curve
      5. Revenue Management for Multiple Customer Segments
      6. Pricing Under Capacity Constraint for Multiple Segments
      7. Revenue Management Under Uncertain Demand and Limited-capacity Situations
      8. Capacity Allocation Among Multiple Segments
      9. Forward Market Versus Spot Market
      10. Overbooking
      11. Revenue Management for Inventory Assets: Markdown Management
      12. Innovative Pricing
    6. 14 Sustainable Supply Chain Management
      1. Introduction
      2. Factors Influencing Green Supply Chain Initiatives
      3. Challenges of Going Green
      4. Green Supply Chain Management
      5. The “Re-” process
      6. The Social Aspect of Sustainable Supply Chain Management
  11. Part V: Supply Chain Cases
    1. Kurlon Limited (A)
    2. Kurlon Limited (B)
    3. Vehicle Routing at Baroda Union
    4. Supply Chain Initiative at APR Limited
    5. Supply Chain Management at Dalmia Cement Ltd
    6. The Global Green Company
    7. Marico Industries: mySAP™ Supply Chain Management
    8. Subhiksha: Managing Store Operations (A)
    9. Subhiksha: Managing Store Operations (B)
    10. Suguna Poultry Farm Ltd
  12. Brand and Company Index
  13. Subject Index
  14. Copyright