Supply Chain and Operations Management Essay Example | Topics and Well Written Essays - 2000 words - 1

write out Chain and Operations Management - Essay Example hardly a(prenominal) businesses understood the entire chain of activities but where inadequately managed which ultimately delivered products to the final customers. Although the activities were brought to fulfilment, often the supply chains were ineffectively led. Supply chain management potful thus be explained as the active management of activities related to supply chain in order maximise the value of the customer, thereby achieving a sustainable competitive advantage. Supply chain activities range from product development, production, sourcing to logistics (Ketchen and Giunpero, 2004). The organizations that form the supply chain are closely linked together through information flows and somatogenic flows. Physical flow is characterized by the movement, storage and transformation of veridicals and goods. Information flows allow the various supply chain associates to coordinate their long term plans as intimately as con trol their daily flow of materials and goods up and down the supply chain. However, simple as it may seem, supply chain management is associated with a original degree of complexity and with complexity comes the risk factor (Halley and Beaulieu, 2009). This topic forms the basis for this research. The following sections will involve a thorough analysis of the main characteristics of material requirements planning (MRP) and Just-in- duration (JIT). Advantages and disadvantages of JIT and MRP will be stated and a detailed comparison will be done. Thereafter, the risks associated with the supply chain management will be discussed in details, followed by the ways that can be implemented in order to mitigate much(prenominal) risks. Finally, an overall conclusion will be provided. Discussion Supply Chain Management in Toyota Supply chain management at Toyota Motor Corporation is a constituent of the companys operations strategy which is bodyatically based on the Toyota Production Syst ems (TPS). The supply chain management fashion model was developed in the 1940s by Taiichi Ohno and Shigeo Shingo. With the companys conquest becoming attaining a worldwide coverage, the Toyota Production System was followed by other companies with keen interest. The principle idea that was followed in the companys production system is expressed by the term lean manufacturing. The components of Toyotas supplier partnering hierarchy are interlocking structures, mutual understanding and trust, control systems, information sharing, compatible capabilities, kaizen and reading and joint improvement activities. The Toyota production system thoroughly impotents implements the Just in Time Strategy (JIT) which is a system that arranges the resources, information flows and decision rules in such a way that it enables a firm to realise the benefits of implementing such a system. JIT is a business viewpoint for maintaining a competitive advantage which is based on the idea of incessant deve lopment and eradication of waste. This system helps to carry out work through various operations by signals (called Kanban). The components of just in time system are very proactive as far as exposing problems within a companys supply chain management framework is concerned. The components play a crucial role in reducing the problems thereby formulating an even sound supply chain management strategy. The components are based on the principles of pull production which based in Kanban, total quality management, reducing inventory by involving the suppliers in the planning process, elimination of waste, continuous