Fundamentals of Logistics &

Supply Chain Management

Who uses a Supply Chain Management?Who uses a Supply Chain Management?

• Wal-mart

Who uses a Supply Chain Management?Who uses a Supply Chain Management?

• Wal-mart• General Electric

Who uses a Supply Chain Management?Who uses a Supply Chain Management?

• Wal-mart• General Electric• McDonalds

Who uses a Supply Chain Management?Who uses a Supply Chain Management?

• Wal-mart• General Electric• McDonalds• Miss. Jenny’s Pickles

Who uses a Supply Chain Management?Who uses a Supply Chain Management?

• Wal-mart• General Electric• McDonalds• Miss. Jenny’s Pickles• Local Retail, Hospitals, Hotels, etc• SCM & Logistics Mgmt is NOT just for

large corporations!!!!!!!!!

What is a Supply Chain?

What is a Supply Chain?What is a Supply Chain?

A Supply Chain is the system of organizations, people, activities, information and resources involved in moving a product or service from supplier to customer. Supply chain activities transform raw materials and components into a finished product that is delivered to the end customer.

Logistics Management is the managing of material goods between people and places.

Supply ChainSupply Chain

Supplier

Manufacturer

Distributor

Retailer

Customers

A Supply Chain Example…

Coke

JNJ

Kellog

P&G

GA

FL

AL

TX

Kroger

Food Lion

Target

Tier 1 suppliers

Super market chains

State distributors

V. Highlands

Peachtree

Ocean Drive

Ft. Laud.

Local stores

End custom

er

Wal-mart

LogisticsLogistics

Key TermsKey Terms• ABC Classification: A method of classifying inventory items relative to their impact on total control.

• Capacity Planning: The process of determining the amount of capacity required to produce in the future.

• Continuous Improvement: A never-ending effort to expose and eliminate root causes of problems; small step improvement as opposed to big step improvement

• Distribution Channel: The distribution route, from raw materials through consumption, along which products travel.

• Forecasting: The business function that attempts to predict sales and use of products so they can be purchased or manufactured in appropriate quantities in advance

• Inventory Management Systems: Software applications that permit monitoring events across a supply chain.

• Lean Manufacturing: A philosophy of production that emphasizes the minimization of the amount of all the resources (including time) used in the various activities of the enterprise.

• Operating Policies and Procedures: Definitive statements of what should be done in the business, and a formal organization and indexing of a firm’s procedures. They are usually outlined in manuals which are printed and distributed to the appropriate functional areas.

• Preventative Maintenance: The activities, including adjustments, replacements, and basic cleanliness, that forestall machine breakdowns.

• Warehouse Management Layouts: This refers to the configuration of the warehouse site with lines, storage areas, aisles, etc. Layout or storage plan of a warehouse should be planned to facilitate product flow

10 Reasons You Should Consider a 10 Reasons You Should Consider a Career in LogisticsCareer in Logistics

• 1. New opportunities are opening in logistics.• 2. Careers in logistics are paying more than ever.• 3. Jobs are available in logistics for people of all education levels.• 4. Advancement opportunities in logistics are plentiful.• 5. Logistics training can be provided by the U.S. government.• 6. Logistics careers can be started anywhere.• 7. Logistics careers are rarely boring.• 8. Opportunities for women are expanding in logistics.• 9. Logistics is a stepping stone into the field of international

business.• 10. People working in logistics develop fraternal relationships.

SCM CareersSCM Careers• Supply Chain Project Manager, Transportation & Logistics - Job

type: Full-Time | Pay: $85k - $100k/year

Supply Chain Analyst-Job type: Full-Time | Pay: $55k - $75k/year • Vendor Relations & Logistics Coordinator #8503

• Logistics Clerk - Shipping / Receiving - Job type: Full-Time | Pay: $11.00 - $13.00/hour

• LOGISTICS/SHIPPING/DISPATCH MANAGER (DEDICATED TRUCKING) - Job type: Full-Time | Pay: $70k - $75k/year

• Logistics/Procurement Manager - Job type: Full-Time | Pay: $100k - $120k/year

Education OpportunitiesEducation Opportunities• Davidson County Community

• College Rockingham County Community College

• Forsyth Technical Community College

• East Carolina University

• Guilford Technical Community College

• North Carolina Agricultural and Technical University

• Randolph County Community College

• University of North Carolina at Greensboro

Websites/Industry JournalsWebsites/Industry Journals

• Supply Chain Management Review• Supply Chain Magazine• Supply and Demand Chain Executive• Logistics Management• Industrial Distribution

Line Card of Services

Site Audit Warehouse/Storeroom LayoutStaff EvaluationProduction Floor processPurchasing & Inventory DepartmentSafety Measures & Preventative measuresOperational Procedures review

Business Process Analysis/Improvements (BPA/I)Shipping & Receiving Order Picking/PackingPolicy & Procedure review/creationStock Replenishment Supplier RelationsPurchasing & Expediting

Inventory Accuracy & Optimization StrategyEstablishing ABC Classification Codes for inventory Developing a Cycle Counting scheduleDisposition of Excess & Obsolete InventorySKU count and dollar value of inventoryInventory AccuracyForecasting methodsProduct sourcing decisionsCritical Spares inventory

Storeroom Layout and Set UpSpace Optimization with proper storage options

Inventory Management SystemVerification of current system optimization Sourcing new systems

Many other Services can be furnished upon request.Joe Crews (336)624-6847 joecrews@jitsolutionsgroup.com www.jitsolutionsgroup.com