Supply Chain: Supplier Tiers and Shipping

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1
1st Tier
a firm that directly provides goods and/ or services to a company
2
2nd Tier
provides inputs directly to the 1st tier supplier
3
Advance Shipment Notice (ASN)
an electronic document that provides detailed info about a pending delivery
4
Aftermarket Suppliers
provide product service and support such as maintenance, repair, disposal, or recycling
5
Amazon Effect
The impact exerted on both customers and competitors by Amazon, due to its on-going emphasis of developing, refining, and quickly implementing new ways of delivering solutions to customers.
6
Analytics
the application of sophisticated operations research techniques to big data with the goal of IDing, interpreting, and communicating meaningful patterns in the data
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Assemble to Order
products that are produced from standard components and modules
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Basic Service
a supplier's ability to provide product ability, lead-time performance, and service reliability
9
Big Data
large data sets generated by tech such as social media and IoT
10
Business Model
the combination of the choices determining the customers an SBU will target, the value propositions it will offer, and the supply chain/operations management capabilities it will employ
11
Business Unit Strategy
determines how a strategic business unit will compete
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Capabilities
are unique and superior operational abilities that stem from the routines, skills, and processes that the business develops
13
Communications Gap
the difference between a company's actual performance and what a company communicates about its performance
14
Competitive Priorities
provide a language for managers to communicate the value proposition in operational terms
15
core capabilities
the skills, processes, and systems that are unique to the firm and that enable it to deliver products that are both valued by the customer and difficult for competitors to imitate
16
Core Capability
a unique set of skills that confers competitive advantages to a firm, because rival firms cannot easily duplicate them
17
Corporate Strategy
determines the overall mission of the firm and the types of businesses that the firm wants to be in
18
Cost
the expenses incurred in acquiring and using a product
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Crowdsourcing
the process of obtaining ideas or services by soliciting contributions from a large group of people
20
Customer Management
the management of the customer interface, including all aspects of order processing and fulfillment
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Customer Satisfaction
meeting or exceeding customer expectations
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Customer Service Management
the design and execution of fulfillment processes that provide customers with products and services they desire
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Customers
parties that use or consume the products of operations management processes
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Customers
partners that use or consume the products of operations management processes
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Cybersecurity
the protection of firms and their systems from the following three threats: (1) theft of data and intellectual property; (2) alteration of data; and (3) impairment or denial of process control (causing damage or breakdown of operations)
26
Dematerialization
the process of transforming a tangible good into an intangible product or service, through digitization or direct service replacement
27
Downstream Product Suppliers
provide enhancements to finished goods such as assembly, packaging, storage, and transportation services
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Echelon
a downstream stage of supply or consumption
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Engineer to Order
unique, customized products
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Execution
to carry out plans and initiatives in order to deliver the realized value to customers
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Feedback/measurement
to assess, communicate, and manage performance in ways that capture lessons learned and focus attention on areas needing improvement
32
Fill Rate
a measure of the occurrence of stockouts over time or over multiple orders from customers
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Fit
the extent to which there is alignment between the firm's operational capabilities, its value proposition, and the desires of its critical customers
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Flexibility
an operation's ability to response efficiently to change in products, processes (including supply chain relationships) and competitive environments
35
Functional Strategy
determines how the function will support the overall business unit strategy
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Innovation
both radical and incremental changes in processes and products
37
Internet of Things
the network of physical devices that are embedded with sensors, software, and connectivity that enable data exchange and analysis
38
Internet of Things
the network of physical devices that are embedded with sensors, software, and connectivity that enable date exchange and analysis
39
Key Customers
a customer that the firm has targeted as being important to its future success
40
Knowledge Gap
the gap between customers' real expectations and managers' perceptions of those expectations
41
Lead Time
the amount of time that passes between the beginning and end of a set of activities
42
Lead Time
the amount of time that passes between the beginning and end of a set of activities
43
Lean Operation
an operation that produces maximum levels of efficiency and effectiveness using a minimal amount of resources
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Line Fill Rate
number of order lines delivered complete / total order lines
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Logistics Management
management of the movement and storage of materials at lowest cost while still meeting customers' requirements
46
Make to Order
products that have similar designs but are customized during production
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Make to Stock
finished goods that are held in inventory in advance of customer orders
48
Omni Channel Service
a distribution strategy in which customers can place orders and receive and return purchases in different ways
49
Operational Planning
a type of planning that establishes short-term priorities and schedules to guide operational resource allocations
50
Operations Management
the management of processes used to design, supply, produce, and deliver valuable goods and services to customers
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Operations Strategy
a set of competitive priorities coupled with supply chain structural and infrastructural design choices intended to create capabilities that support a set of value propositions targeted to address the needs of critical customers
52
Order Fill Rate (order shipped complete)
total complete orders delivered / total orders
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Order Losers
product traits that, if not satisfied, cause the loss of either the current order or future orders
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Order Qualifiers
product traits that must be met at a certain level for the product to be considered by the customer
55
Order to Delivery Date Lead Time
the time that passes from the instant the customer places an order until the instant the customer receives the product
56
Order to Delivery Lead Time
the time that passes from the instant the customer places an order for a product until the instant the customer receives the product
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Order Winners
product traits that cause a customer to select one product over its competitors
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Perception Gap
the gap that exists when customers perceive performance to be different than what is actually provided
59
Performance Gap
the difference between standard and actual performance
60
Process
a system of activities that transforms inputs (people, \$) into valuable outputs (goods, services)
61
Product Availibilty
the capacity to have a product or service present when and where it is desired by a customer
62
Quality
a product's fitness for consumption in terms of meeting customers' needs and desires
63
Resource and Tech Suppliers
provide equipment, labor, product and process designs, and other resources needed to support a firm's processes
64
Risk Management
developing operations that anticipate and deal with problems resulting from natural events, social factors, economic issues, or technological issues
65
Robotics
A branch of engineering that involves the conception, design, manufacture, and operation of robots
66
Satisfaction Gap
the difference between perceived performance and the customer's performance
67
Service Platform
a product designed to deliver a wide range of customizable services
68
Service Reliability
ability to deliver products and services on time and error free
69
Stakeholders
groups of people who have a financial or other interest in the well-being of an operation
70
Standards Gap
the gap that exists when internal performance standards do not adequately or accurately reflect customer expectations
71
Stock Keeping Unit (SKU)
a specific item that is independently inventoried and managed (product line)
72
Stockout
an event that occurs when there is demand for an item and no inventory is available
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Strategic Business Unit (SBU)
the semi-independent organizations used to manage different product and market segments
74
Strategic Planning
a type of planning that addresses long-term decisions that define the operations objectives and capabilities for the firm and its partner
75
Suppliers
parties that provide inputs to operational processes
76
Supply Chain
the global network of organizations and activities involved in designing, transforming, consuming, and disposing of goods and services
77
Supply Chain Management
the design and execution of relationships and flows that connect the parties and processes across a supply chain
78
Supply Management
the identification, acquisition, positioning, and management of resources and capabilities that a firm needs to attain its strategic objectives
79
Sustainibility
Maintaining operations that are both profitable and non damaging to society or the environment
80
SWOT
a strategic planning technique to help firms identify opportunities where they can develop a sustainable competitive advantage and areas where the firm is significantly at risk
81
Tactical Planning
a type of planning that addresses intermediate-term decisions to target aggregate product demands and to establish how operational capacities will be used to meet them
82
The Perfect Order
the notion that an order should be delivered without failure in any attribute
83
The Strategic Profit Model (DuPont Model)
a model that shows how operational changes affect the overall performance of a business unit
84
Tier
an upstream stage of supply
85
Time to Market
the total time that a firm takes to conceive, design, test, produce, and deliver a new or revised product for the marketplace
86
Timeliness
the degree to which a product is delivered or available when the customer wants it
87
Total Product Experience
all the goods and services that are combined to define a customer's complete consumption experience
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Triple Bottom Line
an approach to corporate performance measurement that focuses on a company's total impact measured in terms of profit, people, and the planet
89
Unit Fill Rate
total units delivered/total units ordered
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Upstream Product Suppliers
provide raw materials, components, and services directly related to manufacturing or service production processes
91
Value Proposition
a collection of product and service features that is both attractive to customers and different than competitors' offerings
92
Value Propositions
a statement of product and service features
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