Discussion: Supply Chain Management Practices at Unilever Public Policy

Discussion: Supply Chain Management Practices at Unilever Public Policy ORDER NOW FOR CUSTOMIZED AND ORIGINAL ESSAY PAPERS ON Discussion: Supply Chain Management Practices at Unilever Public Policy Web-Based Research Paper: Each student is required to write a web-research paper that is somewhat different than any other she/he may have written in the past. Discussion: Supply Chain Management Practices at Unilever Public Policy The subject of this research paper shall be two noteworthy* Operations and Supply Chain Management (OM & SCM) practices of a company chosen by the student. The chosen company must be large enough and/or unique enough to have been subject of prior published research and reports. The two chosen noteworthy* OM & SCM strategies / practices shall be related to those covered in this class. The paper shall have a Cover Page (five lines only) and a References Page (min. 5 independent references). The paper must be well written in paragraph format and should be both spell-checked and “clarity-checked.” The body of this consolidated paper should only be one-page, single spaced with 12-point font (papers longer or shorter than one page will be penalized). It should include a short paragraph identifying the company’s name, description of the business, primary goods/services, and why you selected this particular company. The body of the paper shall include the two noteworthy* topics which must be extensively researched, analysis and concisely consolidated in two to four paragraphs. The body of the paper shall also include three (3) well-thought-out questions that could be ask if the student had an interview with the company. These questions must be intriguing, succinct, reflective of student’s intelligence, knowledge of OM & SCM, and student’s acquired information about the company’s operations. All research papers must be uploaded onto TurnItIn on Blackboard by the due date noted in Class Schedule. Detailed requirements of the paper are outlined in the first lecture’s PowerPoint, posted on Blackboard. * [Noteworthy, as in Outstanding or Remarkable; OM & SCM strategies and practices that are different from the company’s competitors. e.g., Disney’s Forecasting Strategy and Sustainability Strategies are superior to their competitors and are “noteworthy” for a research paper. e.g., Walmart’s Supply Chain Management Strategy and Inventory Management are “noteworthy.”] ba_360_2_chp_1_ops___prod_.pptx Introduction to Operations & Supply Chain Management BA-360-2 Prof. Robert Showghi, M.B.A. Introduction… ? Robert S. Showghi, MBA – BS, IE/ME – MBA, Entrepreneurship – [email protected] ( “BA-360-2” must be included in the Subject Line of all emails) – Office Location: Online via Zoom – Office Hours, available online upon student email request: ? M: 1:30 – 3:00 pm ? T-TH: 9:30 – 10:30 am & 12:30 – 2:30 pm 2 My Experience… 3 My Current Hobby… 4 Teaching Approach … ? Lectures, Videos, Active In-class Discussions / Problem Solving ? Two Versions of Lecturer Note PPTs: (-) and (+) ? Chapter HW Assignments on MyOMLab ? Lecture Recordings Posted on Blackboard ? Attendance & Participation Points based on Rollcalls and Random In-session Polling ? Absences Require a 3-page Report on Missed Subject ? 3 Midterms and a Comprehensive Final Exam ? Web-Research Paper 5 Key Dates for BA-360-2 ? Chapter Homework Due Dates: Check MyOMLab ? Midterm Exam 1: 9/28 ? Midterm Exam 2: 10/26 ? Midterm Exam 3: 11/30 ? Research Paper Due TurnItIn: 12/7 ? Comprehensive Final Exam: 12/14 6 Grading Rubric ? Highest 2 Midterm Exams: 45% ? Comprehensive Final Exam: 25% ? Participation & Attendance / Quizzes: 10% ? Web-based Research Paper: 10% ? Homework Assignments: 10% Total 100% 7 About Course Exams ? All exams will be taken on Blackboard ? Will be using Respondus LockDown Browser & Web Monitoring ? Below allowed items must clearly be presented to the webcam before start of each exam: a) Double-sided Note Sheet (8.5”x11”) b) Calculator c) Scratch Sheet (blank) FAIR WARNING: Accessing any additional sources of information or communication devices during test will result in: 1) Receiving a zero on the test, 2) Lose of a letter grade in the course, 3) Referral to SDSU’s Student Affairs for disciplinary review! 8 The Web-based Research Paper Requirements 9 The Body of The Research Paper ? This is a web-based research on a company of your choice. ? Shall be concise, well written, spell-checked and clarity-checked. ? The body of the paper shall be one-page, single spaced with 12-point font (papers longer or shorter will lose points).Discussion: Supply Chain Management Practices at Unilever Public Policy ? The one-page body of the paper shall include: – General information about the company (e.g., Business Description, primary goods / services, why company was selected). Two Noteworthy OM & SCM practices of the company. – Three (3) questions you would ask if you were in a job interview with the company. – ? Well-thought-out and Intriguing, ? Succinct, ? Reflective of your Intelligence & ? Knowledge of OM & SCM, and Company’s Operations. ? Cover Page (5 lines) and References page (min. 5 References) 10 Research Paper’s General Form & Format Cover Page Jane Doe 816444433 BA-360-2 IBM (Forecasting & TQM) 1-Page Content IBM is a ……………………..……..…………… ………………………………………… ………………………………………. Research Results of on 2 Noteworthy O&SCM practices are………………. ………………………………… ………………………………………… ………………………………………… ………………… ………………………………………… ………………………………………… ………………………………………… ………………………………………… ………………………………………… ………………………………………… ……………… ………………………………………… ………………………………………… ………………………………………… ………………………………………… ………………… Questions: 1- ———————————-2- ———————————-3- ———————————– Either APA or MLA format 11 References Page References (5 independent) 1- ——————————————————-2- ——————————————————-3- ——————————————————-4- ——————————————————-5——————————————————— Research Paper Submission Due Date ? All Research Papers must be uploaded to TurnItIn on Blackboard by 12/7. No Late Assignments Will Be Accepted ? Failure to submit your paper on time, results in a grade of “0”! 12 Lecture PPTs & Recordings ? Comprehensive, average of 50 to 60 slides per chapter ? Includes Practice Problems and topic related Videos ? Covers in detail the essence of the learning objectives ? The (-) version of the Lecture PPTs are all posted on Blackboard ? The (+) version of the Lecture PPTs, that include solutions to practice problem, will appear on Blackboard after each lecture ? Viewing the (+) version of the Lecture PPTs in “Presentation” mode will demonstrate step-by-step how to solve practice problems. Discussion: Supply Chain Management Practices at Unilever Public Policy ? Recording of each lecture will be posted on Blackboard 13 Example of a Forecasting Problem, Weighted Moving Avg. Calculation ? ACME Inc. sold: • • • • 100 units last month, 80 units 2 months ago, 120 units 3 months ago and, 140 units 4 months ago. ? What is the Forecast for the next month’s sales, using the “four month” Weighted Moving Average method? ? (Most recent to oldest weights: 4, 3, 2 and 1) ((Weight for Period n )(Demand in Period n )) ? = ? Weights ? ((100×4 ) + (80×3) + (120×2) + (140×1)) = ? (4 + 3 + 2 + 1) Weighted Moving Average 4 weeks Moving Average Forecast = 14 14 Study Assistance ? Graduate students, will be been assigned to assist you with course material and homework questions. ? Online Office Hours & Link: TBD ? Recommended first step: Discussion Boards ? Students workgroups to discuss and solve HW and exam preparation have shown to be an effective productivity tool in this course! 15 RSTP (Robert Showghi’s Teaching Principles) “A little knowledge that acts is worth infinitely more than lots of information that is idle.” (Khalil Gibran / 1881-1931) The Donkey and His Shadow A traveler hired a donkey to convey him to a distant place. The day being intensely hot, and the sun shining in its strength, the traveler stopped to rest, and sought shelter from the heat under the shadow of the donkey. As this afforded protection for one, and as the traveler and the owner of the donkey both claimed it, a violent dispute arose between them as to which of them had the right to the shadow. The owner maintained that he had let the donkey only, not his shadow. The traveler asserted that he had, with the hire of the donkey, hired his shadow also. The quarrel proceeded from words to blows, and while the men fought, the donkey galloped off. (Aesop / 620 BC – 564 BC) Operations and Productivity 17 1 BA-360 in a Nutshell R a P w r o M d a u t c e e r r i s a l Supplier/ Wholesaler Supplier/ Wholesaler Supplier/ Wholesaler Supplier/ Retailer C u E s n t d o m e r Supplier/ Retailer Supplier/ Retailer Supplier/ Wholesaler Supplier/ Retailer Supplier/ Wholesaler Supplier/ Retailer Marketing Production 18 Finance How A Business Enterprise Creates Value? OPEATIONS & SUPPLY CHAIN MANAGEMENT Buy Primary Activities Inbound Logistics Supply Planning, Sourcing, Material Procurement Financial Management Financing, Planning, Investor Relations Add Value Sell Operations Outbound Logistics Sales Customer Service Receiving, Incoming Material Storage Fabrication, Machining, Assembly, Packaging, Providing Service, Branch Operations, etc. Warehousing, Fulfillment, Shipping Sales, Order Processing, Customer Support Engineering Facilities Management Human Resource Management Product/ Process Design & Testing Physical Plant, Official Equipment, IT Services, Goods & Services Maintenance Recruiting, Training, Compensation (Michael Porter’s Value Chain) ACCOUNTING & FINANCE 19 Marketing & Advertisement Market Research, Promotion, Advertising VALUE Support / Secondary Activities Sourcing & Procurement MARKETING & SALES Organizing to Produce Goods & Services Essential Functions of Any Business: 1. Marketing – Generates demand 2. Production/Operations–Creates the Product & Service 3. Discussion: Supply Chain Management Practices at Unilever Public Policy Finance / Accounting – Tracks how well the organization is doing, Collects the Money & Pays Bills 20 Options for Increasing Contribution (Profits) MARKETING OPTION FINANCE / ACCOUNTING OPTION OM OPTION CURRENT INCREASE SALES REVENUE 50% REDUCE FINANCE COSTS 50% REDUCE PRODUCTION COSTS 20% $100,000 $150,000 $100,000 $100,000 –80,000 –120,000 –80,000 –64,000 Gross Margin 20,000 30,000 20,000 36,000 Finance Costs –6,000 –6,000 –3,000 –6,000 Subtotal 14,000 24,000 17,000 30,000 Taxes at 25% –3,500 –6,000 –4,200 –7,500 $ 10,500 $ 18,000 $ 12,750 $ 22,500 Sales Cost of Goods Profits (Contributions) 21 Basic OM Management Functions ? Planning ? Organizing ? Staffing ? Leading ? Controlling 22 The Strategic Decisions 1. Design of Goods and Services – – 2. Defines what is Required of Operations, Product Design determines Functionality, Sustainability and Human Resources. Managing Quality – – Determine the customer’s Quality Expectations Establish Policies and Procedures to identify and achieve that Quality. 23 The Strategic Decisions 3. Process and Capacity Design – – 4. How is a Good or Service Produced? Commits Management to Specific Technology, Quality, Resources, and Investment. Location Strategy – – Nearness to Customers, Suppliers, and Talent. Considering: Costs, Infrastructure, Logistics, and Government. 24 The Strategic Decisions 5. Layout Strategy – – Determine the Efficient Flow of Materials, People, and Information. Integrate Capacity Needs, Personnel Levels, Technology, and Inventory. 6. Human Resources and Job Design – – Recruit, Motivate, and Retain Personnel with the Required Talent and Skills. Integral and expensive part of the total system design. 25 The Strategic Decisions 7. Supply-Chain Management – – Integrate Supply Chain into the firm’s strategy, Determine What is to be Purchased, from Whom, and under what Terms & Conditions.Discussion: Supply Chain Management Practices at Unilever Public Policy 8. Inventory Management – – Inventory Ordering and Holding Decisions, Optimize Considering Customer Satisfaction, Supplier Capability, and Production Schedules & Cost. 26 The Strategic Decisions 9. Scheduling – – Determine and Implement Intermediate- and Short-term Schedules. Optimize the use of Personnel and Facilities in Meeting Customer Demands. 10. Maintenance – – Consider Facility Capacity, Production Demands, and Personnel. Maintain a Reliable and Stable Process. 27 The Heritage of OM ? Division of Labor (Adam Smith 1776) ? Standardized Parts (Whitney 1800) ? Scientific Management (Taylor 1881) ? Coordinated Assembly Line (Ford1913) ? Gantt Charts (Gantt 1916) ? Motion Study (Frank and Lillian Gilbreth 1922) ? Quality Control (Deming 1950) 28 Eli Whitney (1765-1825) ? In 1798, received government contract to make 10,000 muskets ? Showed that machine tools could make standardized parts to “exact specifications” ? Std. Musket parts could be used in any musket 29 Frederick W. Taylor (1856-1915) ? Known as ‘Father of Scientific Management’ ? In 1881, as chief engineer for Steel Mill, studied how tasks were done, ? Began First Motion & Time Studies, ? Created the Efficiency Principles. 30 Taylor’s Principles Management Should Take More Responsibility for: 1. Matching employees to right job, 2. Providing the proper training, 3. Providing proper work methods and tools, 4. Establishing legitimate incentives for work to be accomplished. 31 Frank & Lillian Gilbreth (1868-1924 / 1878-1972) ? Husband-and-wife engineering team, ? Further developed Work Measurement Methods, ? Applied Efficiency Methods to their home and 12 children! ? Book & Movie: “Cheaper by the Dozen” 32 Henry Ford (1863-1947) ? ? ? ? In 1903, created Ford Motor Company, In 1913, First Moving Assembly Line to make Model-T, Unfinished product moved by conveyor past work station, Paid workers very well for 1911 ($5/day!) 33 W. Edwards Deming (1900-1993) ? Engineer and Physicist ? Credited with teaching Japan Quality Control Methods in post-WW2 ? Used statistics to analyze process ? His methods involve workers in decisions 34 Operations of Goods and Services ? Manufacturers produce Tangible products, while Services products often are Intangible ? Operations activities often very similar ? Distinction not always clear ? Almost all Services have a tangible component ? Very few pure services (e.g., Counseling) 35 Key Characteristics of Goods ? Tangible product ? Production usually separate from Consumption ? Can be inventoried ? Low customer interaction 36 Key Characteristics of Service ? Intangible product ? Produced and Consumed at same time ? Often unique ? High customer interaction ? Often knowledge-based 37 U.S. Agriculture, Manufacturing, and Service Employment Percent of Workforce 100 – 80 – 60 – 40 – 20 – 0– | 1800 | 1825 | 1850 Agriculture | 1875 | | 1900 1925 Services 38 | 1950 | | 1975 2000 2025 (est.) Manufacturing Industry and Services as % of GDP 90 ? Services 80 ? Manufacturing 70 ? 60 ? 50 ? 40 ? 30 ? 20 ? US UK Spain South Africa Russian Fed Mexico Japan Hong Kong Germany France Czech Rep China Canada 0? Australia 10 ? 2015 Data The Economic System Inputs ? Labor, ? Capital, ? Management Transformation The U.S. Economic System Transforms Inputs to Outputs at about an annual 2.5% increase in productivity / year. The productivity increase is the result of a mix of: Capital (38% of 2.5%), Labor (10% of 2.5%), and Management (52% of 2.5%). 40 Outputs Goods and Services Application of Productivity Measures ? Individual level ? Group level ? Department level ? Corporate level ? National level ? Global level 41 Productivity Measurement Problems 1. Quality may change while the quantity of inputs and outputs remains constant 2. External Elements may cause an increase or decrease in productivity 3. Precise Units of measure may be lacking 42 Key Productivity Variables 1. Labor – contributes about 10% of the annual increase 2. Capital – contributes about 38% of the annual increase 3. Management contributes about 52% of the annual increase 43 Key Variables for Improved Labor Productivity 1.Discussion: Supply Chain Management Practices at Unilever Public Policy Basic Education appropriate for the labor force 2. Diet of the labor force 3. Social Overhead that makes labor available (e.g., Transportation, Sanitation, etc.) Key Challenge: Enhancing Skills in the midst of rapidly Changing Technology and Knowledge! 44 Labor Skills About 50% of the 17-year-olds in the U.S. cannot correctly answer this type questions: Back 45 Capital Capital investment provides for production tools Percent Increase in Productivity 10% 8% 6% 4% 2% 0 10% 15% 20% 25% Percentage Investment 46 30% 35% Management ? Ensures Labor and Capital are effectively used to Increase Productivity ? Use of Knowledge ? Application of Technologies ? Knowledge Management 47 Improving Productivity at Starbucks ?Revenues of $22.4 Billon ?6 billion paper cups per year ?160 Million Gallons of milk! A team of 10 analysts continually look for ways to shave time. An example of past productivity improvement: Stop requiring signatures on credit card purchases under $25 Saved 8 seconds per transaction Change the size of the ice scoop Saved 14 seconds per drink New Espresso Machines Saved 12 seconds per shot Operations Improvements have helped Starbucks increase yearly revenue per outlet by $250,000. Productivity has improved by 4.5% / year. 48 Productivity Challenge Products & Services are produced by transforming Resources (Inputs) into Good & Services (Outputs) Productivity is the ratio of Outputs (Goods and Services) divided by the Inputs (resources such as Labor and Capital) Productivity = O I OM’s objective is to Improve Productivity! 49 Productivity Improvement Productivity Improvement (PI) is the result of managing and intervening in transformation or work processes. PI will occur if: O O O O O I I I I I 50 Productivity Calculations One Resource Input ? Single-factor Productivity Labor Productivity: Productivity = = Units Produced Labor-Hours Used 100 units 25 hours = 4 units / labor-hour 51 Multi-Factor Productivity Productivity = Output (Labor + Material + Energy + Capital + Miscellaneous) ? Also known as “Total Factor Productivity” ? Output and Inputs are often expressed in dollars Multiple Resource Inputs ? Multi-factor Productivity 52 Example: Collins Title Productivity Old System: Staff of 4 works 8 hrs/day Payroll cost = $640/day 8 titles/day Overhead = $400/day 8 titles/day 53 Example: Collins Title Productivity Old System: Staff of 4 works 8 hrs/day Payroll cost = $640/day New System: 14 titles/day 8 titles/day Overhead == $400/day $400/day Overhead Additional Overhead = $800/day 54 Internet Resources American Productivity and Quality Center (APQC) American Productivity and Quality Center (APQC) American Statistical Association (ASA) offers business and economics DataLinks, a searchable American Statistical Association (ASA) offers index of statistical data business and economics DataLinks, a Economics and Statistics Administration searchable FedStats index of statistical data Economics and Statistics Administration National Bureau of Economic Research FedStats U.S. Bureau of Labor Statistics National Bureau of Economic Research U.S. Census Bureau www.apqc.org/ www.apqc.org/ www.econ-datalinks.org/ www.econ-datalinks.org/ www.esa.doc.gov https://fedstats.sites.usa.g www.esa.doc.gov ov/ www.nber.org https://fedstats.sites.usa.gov/ www.bls.gov www.nber.org www.census.Discussion: Supply Chain Management Practices at Unilever Public Policy gov U.S. Bureau of Labor Statistics www.bls.gov U.S. Census Bureau www.census.gov 55 Example: Gibson Valve Productivity Gibson Valves produces cast bronze valves on an assembly line, currently producing 1600 valves per each 8 hours shift. What is the productivity level at this plant? Also, if the production is increased to 2000 valves per shift, what is the labor Productivity Improvement? 56 Example: Dulac Box Plant Productivity The Dulac Box plant produces 500 boxes in two 10-hour shifts. Due to higher demand, they have decided to operate three 8-hour shifts instead. They are now able to produce 600 boxes per day. What has happened to productivity? 57 Cleaning Company Problem A cleaning company uses $10 of chemicals, $40 of labor, and $5 of misc. expenses for each house it cleans. After some quality complaints, the company has decided to increase its use of chemicals by 50%. By what percentage has multifactor productivity fallen? 58 Example: Charles Lackey’s Bakery 59 … Get a 10 % discount on an order above $ 100 Use the following coupon code : NURSING10

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