SC0001 – Supply Chain Management

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 (Winter/November 2012)

 Master of Business Administration - MBA Semester 3

“Supply Chain Management” Specialization

SC0001 – Supply Chain Management (4 credits)

(Book ID: B1542)

ASSIGNMENT- Set 1

Marks 60

Note: Assignment Set -1 must be written within 6-8 pages. Answer all questions.

Q1.a. Explain with an example, the final step for achieving strategic fit

b. Explain the two trade-offs in transportation design.

Answer : a). Strategic fit means that the competitive strategy and value chain have the same goals. This means that the consistency between the priorities of customers who are expected to be met by the competitive strategy and value chain capabilities that can be built with the supply chain strategy. Strategic fit is achieved with three stages. The final step is :

Achieving strategic fit:

Consider again the example of Dell Computers. For Dell, the

Q2. Discuss the classification of strategic roles for different facilities in a large scale supply chain network.

Ans: A supply chain is a network of facilities and distribution options that performs the functions of procurement of materials, transformation of these materials into intermediate and finished products, and the distribution of these finished products to customers. Supply chains exist in both service and manufacturing organizations, although the

Q3. Why is the process of managing inventory important in supply chain management?

Answer : Inventory management is the process of managing inventory for product-related businesses. Inventory management is important for many reasons, including tracking your sales, knowing what needs to be restocked and conducting trend analysis.

Most of the researches in supply chain areas are concerned about optimizing the  supply chain in terms of its efficiency and competence in the product market, but only  limited studies are done considering the inventory management in supply

Q4.How is information helpful in coordinating the systems in a supply chain?

Answer : Supply chain management (SCM) has become an important management paradigm. It is to apply a total systems approach to managing the entire flow of information, materials, and services in fulfilling a customer demand (Chase and Richard, 1998). Several seminal studies have identified the problems caused by a lack of coordination, and to what extent competitive advantage can be gained from a seamless supply chain (Forrester, 1961; Lee

Q5.a. Explain the different types of purchases.

b. Elaborate on the various constructs of SCM.

Ans. a) The purchasing function consists of business processes related to the acquisition of goods and services for the University. Purchases of equipment, materials, commodities, supplies, and services for the University are made competitively where practicable. Performance, quality, suitability, delivery, and service are factors considered in buying. All purchases are made according to the provisions of the Illinois Procurement Code and the Procurement Rules of the Chief Procurement Officer for Public Institutions of Higher Education and other applicable state and federal regulations. The campuses have common practices and procedures for

Q6. Define distribution strategy. Explain the different types of distribution strategies that are widely used.

Ans.  A channel of distribution or trade channel is defined as the path or route along which goods move from producers or manufacturers to ultimate consumers or industrial users. In other words, it is a distribution network through which producer puts his products in the market and passes it to the actual users. This channel consists of :- producers, consumers or users and the various middlemen like wholesalers,selling agents and retailers(dealers) who intervene between the producers and consumers. Therefore, the channel serves to bridge the gap between the point of production and the point of consumption thereby creating time, place and possession utilities.

A channel of distribution consists of three types of flows:-

• Downward flow of goods from producers to

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