• Title/Summary/Keyword: Supply Chain Cost

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Manufacturing System Design on the Introduction of ERP System (ERP 시스템 도입과정에서 생산시스템 설계방안)

  • 양광모;박재현;강경식
    • Journal of the Korea Safety Management & Science
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    • v.4 no.1
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    • pp.105-114
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    • 2002
  • Nowadays, most companies seek after the greatest profit by means of offering the goods which consumers want timely and efficiently and minimizing the cost of inventory and distribution channel which amounts to the great portion of total cost. And according as EC(Electronic Commerce) market has increased rapidly, SCM(Supply Chain Management) for EC become one of the most important facts for companies, therefore this paper suggest SCM scheme which EC, especially B to C, is added to the existing commerce system. This paper uses internet for information integration of distribution channel which is away from one another and applies TOC(Theory of Constraint)'s DBR(Drum-Buffer-Rope) Scheduling for synchronization through the whole supply chain. It is possible to synchronize the whole supply chain by means of making the speed of manufacturing and distribution to be controlled by consumer's order which is received in distribution center, and inventory and loss of sales opportunities are minimized by constant. Buffer Management. If inventories in distribution center is short, then it needs to search CCR(Capacity Constraint Resource) in supply chain and to control the speed of manufacturing and distribution according to the ability of CCR. This paper applies PT(Partial Transshipment) strategy for Delivery from distribution center to store or cyber consumer. the strategy this paper suggests chooses neighbour area from area which each distribution center takes charge, and then makes product ordered by cyber consumer which lives in the chosen area to be delivered according to inventory of distribution center.

Mean-Variance Analysis for Optimal Operation and Supply Chain Coordination in a Green Supply Chain

  • Yamaguchi, Shin;Goto, Hirofumi;Kusukawa, Etsuko
    • Industrial Engineering and Management Systems
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    • v.16 no.1
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    • pp.22-43
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    • 2017
  • It is urgently-needed to construct a green supply chain (GSC) from collection of used products through recycling of them to sales of products using the recycled parts. Besides, it is necessary to consider the uncertainty in product demand as a risk in a GSC. This study proposes the optimal operations for a GSC with a retailer and a manufacturer. A retailer pays an incentive for collection of used products from customers and sells a single type of products in a market. A manufacturer produces the products ordered by the retailer, using recyclable parts with acceptable quality and compensates the collection cost of used products as to the recycled parts. This paper discusses the following risk attitudes: risk-neutral attitude, risk-averse attitude, and risk-prone attitude. Using mean-variance analysis, the optimal decisions for product order quantity, collection incentive, and lower limit of quality level, in the decentralized GSC (DGSC) and the integrated GSC (IGSC) are made. DGSC optimizes the utility function of each member. IGSC does that of the whole system. The analysis numerically investigates how (i) risk attitude and (ii) quality of recyclable parts affect the optimal operations. Supply chain coordination between GSC members to shift IGSC from DGSC is discussed.

A Study on Network Redesign for Supply Chain Expansion (공급 사슬 확장을 위한 네트워크 재설계에 관한 연구)

  • Song, Byung Duk;Oh, Yonghui
    • The Journal of Society for e-Business Studies
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    • v.17 no.4
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    • pp.141-153
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    • 2012
  • According to the environment change of market, supply chain network needs to be redesigned for efficient provision of product within the budget constraint. Also, it is desired that the customer satisfaction such as on time delivery should be considered as an important element at redesigning of supply chain network in addition to the cost reduction. In this paper redesign of supply chain network for its expansion is treated as a problem situation and a related mathematical model is suggested. Moreover, the numerical examples about the total weighted distance of the redesigned supply chain network are presented with various budget constraints by using genetic algorithm to help the managerial decision.

Drivers of Corporate Sustainable Performance across the Flight Catering Supply Chain

  • Joonhyeong Joseph KIM;Anita EVES
    • Journal of Distribution Science
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    • v.22 no.5
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    • pp.105-115
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    • 2024
  • Purpose: The purpose of the current study is to highlight the drivers of corporate environmentally and socially sustainable performance among different players including airlines, caterers, suppliers and logistics companies in the flight catering supply chain. Research design, data and methodology: Based on a qualitative research approach this study employed in-depth semi-structured interviews exploring the drivers of corporate sustainable performance with management from major in-flight catering stakeholders (n=23) from the perspective of constructivism. Using the snowball sampling approach, interviewees were carefully chosen to represent a diverse range of supply chain contexts (airlines, catering, non-food suppliers, and logistics companies). Results: By focusing on the complex context of multiple supply chain partners, the study identified a range of complex relationships between the drivers of sustainable performance in the supply chain: firm-led drivers, factors influencing firm-led drivers, partial influencers, and additional factor, cost. Conclusions: This study emphasizes that some drivers do not play an absolute role and has highlighted that there is a need for companies to change the attitude, that is to pay more than 'lip service' to improving sustainable performance. This study develops a theoretical framework of the drivers of corporate sustainable performance, along with its practical industry implications.

Green Supply Chain Network Model: Genetic Algorithm Approach (그린 공급망 네트워크 모델: 유전알고리즘 접근법)

  • Yun, Young Su;Chuluunsukh, Anudari
    • Journal of Korea Society of Industrial Information Systems
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    • v.24 no.3
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    • pp.31-38
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    • 2019
  • In this paper, we design a green supply chain (gSC) network model. For constructing the gSC network model, environmental and economic factors are taken into consideration in it. Environmental factor is to minimize the $CO_2$ emission amount emitted when transporting products or materials between each stage. For economic factor, the total cost which is composed of total transportation cost, total handling cost and total fixed cost is minimized. To minimize the environmental and economic factors simultaneously, a mathematical formulation is proposed and it is implemented in a genetic algorithm (GA) approach. In numerical experiment, some scales of the gSC network model is presented and its performance is analyzed using the GA approach. Finally, the efficiencies of the gSC network model and the GA approach are proved.

Developing a Supply Chain Assessment Framework for Ship Building Industry: A Case study of A Company (조선 산업의 공급망 수준진단 프레임워크 개발: A조선소 사례를 중심으로)

  • Jeong, Seok-Bong
    • Journal of Digital Convergence
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    • v.11 no.3
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    • pp.243-253
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    • 2013
  • As global competition is more intensive, SCM is becoming more and more important in order to achieve competitiveness. It is necessary for firms to understand weak points among the integrated supply chain through supply chain assessment in order to implement SCM successfully and cost-effectively. In this paper, we review previous studies of SCM performance measurements and propose a supply chain assessment framework for shipbuilding industry, which is one of the major ETO industry. Based on 3 supply chain domains which are demand, supply, and product management, we decompose the whole supply chain process into 3 level lower processes and propose capability measurement matric for shipbuilding firms. A case study has been conducted to validate the proposed framework and results are presented at the end.

Comparative Analysis of Game-Theoretic Demand Allocation for Enhancing Profitability of Whole Supply Chain (전체 공급망 수익성 개선을 위한 게임이론 기반의 수요 할당 메커니즘의 비교 연구)

  • Shin, Kwang Sup
    • The Journal of Society for e-Business Studies
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    • v.19 no.1
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    • pp.43-61
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    • 2014
  • This research is an application of game theory to developing the supplier selection and demand allocation mechanism, which are the essential and major research areas of supply chain planning and operation. In this research, the most popular and widely accepted mechanism, the progressive reverse auction is analyzed and compared with the other game theoretic approach, Kalai-Smorodinsky Bargaining Solution in the viewpoint of holistic efficiency of supply chain operation. To logically and exquisitely compare the efficiencies, a heuristic algorithm based on Genetic Algorithm is devised to find the other optimal demand allocation plan. A well known metric, profit-cost ratio, as well as profit functions for both suppliers and buyer has been designed for evaluating the overall profitability of supply chain. The experimental results with synthesis data and supply chain model which were made to mimic practical supply chain are illustrated and analyzed to show how the proposed approach can enhance the profitability of supply chain planning. Based on the result, it can be said that the proposed mechanism using bargainging solution mayguarantee the better profitability for the whole supply chin including both suppliers and buyer, even though quite small portion of buyer's profitability should be sacrified.

A Review of Key Issues and Challenges for Sustainable Food Logistics Management

  • Boldbaatar, Tumenjargal;Yoon, Dae Gwun;Sin, Ho Sig
    • Proceedings of the Korean Institute of Navigation and Port Research Conference
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    • 2014.10a
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    • pp.72-74
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    • 2014
  • The need to further improve food quality and reduce food waste leads to increased attention for the development of Food Supply Chain Management (FSCM) which considers intrinsic characteristics of food supply chains besides traditional supply chain management (SCM) objectives such as cost and responsiveness. Growing consciousness of society towards sustainable development brings additional objectives to the food supply chains and the fast evolution of sustainable development results in the development of a new fast-growing concept: Sustainable Food Supply Chain Management (SFSCM). In response to these developments, researchers have developed various decision support tools that can be used for handling progressively increasing complexity along the alteration process from SCM to FSCM and now to SFSCM. This study reviewed literature on sustainable food logistics management to identify logistical key issues and relevant challenges. The evaluation of the reviewed papers shows that towards obtaining sustainability together with considering intrinsic characteristics of food supply chains, there is a gap between the needs of the practice and the current available method.

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Exploring Quality Issues of Dairy Supply Chain and Proposing IOT-enabled Tracking Systems in Developing Country

  • Lee, Chul Ho
    • Agribusiness and Information Management
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    • v.9 no.1
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    • pp.1-6
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    • 2017
  • Recent scandals of milk additives in several developing countries provoked controversy about quality issue of dairy products, grapping academic attention to the dairy supply chain. In this paper, we first focus on moral hazard problem of self-interested entities about the quality across the dairy supply chain, due to unobservable and unverifiable quality management efforts of all entities - including dairy producers, stations, and a final producer - and high inspection cost for the quality. Based on the identified moral hazard problem, we understand why the adoption of IoT-based tracking systems about quality produced from each entity is a must, different from RFID-based tracking systems.

A Study on the Security related Obligations of Contracting Party under the Incoterms(R) 2010 Rules (Incoterms(R) 2010상 수출입 당사자의 보안관련 의무에 관한 연구)

  • Yang, Jung-Ho
    • THE INTERNATIONAL COMMERCE & LAW REVIEW
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    • v.54
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    • pp.45-80
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    • 2012
  • Since the 9.11 terror attack, the event which caused supply chain disruption, supply chain security has become more important than ever before. With this as a momentum, a customs supply chain security paradigm emerged intended to guarantee secure flow of cargo across boarder. Under this circumstances Incoterms(R) 2010 rules have allocated obligations between the buyer and seller to obtain or to render assistances in obtaining security clearances. Thus, security related obligations such as providing advance manifest information is the mandatory requirements for any export and import. The impact on the seller and buyer of security related obligations under the Incoterms(R) 2010 rules environment is obvious. Assistance to provide the security information in advance has become indispensable obligations to the seller and buyer. As such assistances is at the cost and risk of the party responsible for the clearances of the goods, the choice of recognised partner and compliance with the relevant security program, in order to enjoy the relevant benefits, becomes paramount.

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