About This Chapter
Global Supply Chain Procurement & Distribution - Chapter Summary and Learning Objectives
Supply chains are the steps required to deliver a product to a customer. They span everything from physical acquirement of resources to the final packaging. In an increasingly connected global economy, businesses have the ability to expand their search for cost effective suppliers. This chapter examines the different aspects of a global supply chain, including procurement and final distribution. You'll learn the criteria to select a good supplier, the method to calculate total cost, the strengths and weaknesses of different types of transport, and more. At the end of this chapter, you'll have mastered:
- Reverse auctions
- Types of procurement
- Global supply chain challenges
- Customers of Internet transportation exchanges
|How Procurement, Transportation & Distribution Affect the Supply Chain||Assess the ways that procurement, transportation and distribution affect the goals of supply chain management.|
|Procurement: Principles, Process & Strategy||Explore effective procurement, the 7-step procurement process, and how to create a procurement strategy.|
|Procurement & Supplier Selection Process||Examine the different criteria for selecting a supplier and methods of assessing a supplier. Study the relationship between procurement objectives and the supplier.|
|Globalization, Outsourcing & Insourcing: Impact of Technology on Careers||Compare and contrast different procurement types, including outsourcing and insourcing.|
|Total Cost in Economics: Definition & Formula||Explain the meaning of total cost. Demonstrate methods used in a total cost analysis.|
|What Are E-Procurement & E-Marketplaces?||Examine the types of suppliers and producers that are connected through an e-marketplace.|
|What is a Reverse Auction? - Purpose & Goals||Understand how a reverse auction works and determine its goals.|
|Logistic Postponement: Definition & Purpose||Identify the purpose for logistic postponement.|
|Warehouse Management Systems: Types & Benefits||Examine the various warehouse management system types.|
|Vendor-Managed Inventory: Benefits & Drawbacks||Explore the strengths and weaknesses of vendor-managed inventory.|
|Distribution Outsourcing: Advantages & Disadvantages||Determine distribution outsourcing's benefits and drawbacks.|
|Supply Chain Modes of Transportation: Strengths & Weaknesses||Explore the many modes of transport and their pros and cons. Examine multimodal solutions.|
|Internet Transportation Exchanges: Services & Customers||Learn the services an Internet transportation exchange provides and identify the customers that use it.|
|Reverse Logistics Systems: Definition & Challenges||Examine reverse logistic systems and the issues that result from them.|
|Challenges in Global Supply Chain||Discover some global supply chain concerns that firms face.|
1. How Procurement, Transportation & Distribution Affect the Supply Chain
Even the best-planned supply chains are vulnerable to changes in procurement, transportation, and distribution. In this lesson, we look at how each of those can wreak havoc on your supply chain.
2. Procurement: Principles, Process & Strategy
Ever wonder how companies get what they need to make their products? In this lesson, we look at procurement, or the process by which companies buy what they need to do business.
3. Procurement & Supplier Selection Process
Deciding from whom to purchase goods is one of the most important decisions that a business owner will make. In this lesson, we go over many basic guidelines for the procurement and supplier selection process.
4. Globalization, Outsourcing & Insourcing: Impact of Technology on Careers
This lesson discusses the impact information technology has on careers. Globalization has been driven by advances in technology and has impacted job security and wages. We will specifically look at downsizing, insourcing and outsourcing.
5. What Are E-Procurement & E-Marketplaces?
Procurement is part of the traditional business process, but procurement options have changed. This lesson examines two fundamental concepts found in the area of electronic business: e-procurement and e-marketplace.
6. What is a Reverse Auction? - Purpose & Goals
While the highest bidder wins in a regular auction, the lowest bidder usually wins in a reverse auction. Confused? In this lesson, you'll learn about reverse auctions and how some buyers use them to get a great deal.
7. Logistic Postponement: Definition & Purpose
Looking for a way to keep your costs down while still offering a custom product to your clients? In that case, logistic postponement may be just the tool you're looking for.
8. Warehouse Management Systems: Types & Benefits
For many companies, goods sit in warehouses before they are sold. In this lesson, we'll look at how companies keep track of their inventory in warehouses using warehouse management systems.
9. Vendor-Managed Inventory: Benefits & Drawbacks
Some businesses keep their shelves stocked with a vendor-managed inventory. Both businesses and vendors benefit from this arrangement, but things can go wrong. Learn more about the benefits and drawbacks of vendor-managed inventory.
10. Distribution Outsourcing: Advantages & Disadvantages
More and more, companies are realizing that outsourcing non-core practices, like accounting or distribution, has many advantages. However, as this lesson shows, there are also potential disadvantages to consider when outsourcing distribution.
11. Supply Chain Modes of Transportation: Strengths & Weaknesses
Supply chain managers are spoiled for choice when it comes to moving goods around. However, not all modes are created equal. In this lesson, you'll learn about some of the most common forms of transportation and their strengths and weaknesses.
12. Internet Transportation Exchanges: Services & Customers
In this lesson we will look at the services and benefits offered to customers of internet transportation exchanges, also known in the logistics industry as freight exchanges.
13. Reverse Logistics Systems: Definition & Challenges
Companies have largely designed their supply chains to move goods in only one direction. However, when there are returns or recalls, goods have to move both ways. In this lesson, we look at the reverse logistics that makes such movement possible.
14. Challenges in Global Supply Chain
Once a business goes global in its supply chain, a whole new set of challenges and concerns arise. A business will encounter not only increased paperwork but also other challenges, including language barriers.
Earning College Credit
Did you know… We have over 200 college courses that prepare you to earn credit by exam that is accepted by over 1,500 colleges and universities. You can test out of the first two years of college and save thousands off your degree. Anyone can earn credit-by-exam regardless of age or education level.
To learn more, visit our Earning Credit Page
Transferring credit to the school of your choice
Not sure what college you want to attend yet? Study.com has thousands of articles about every imaginable degree, area of study and career path that can help you find the school that's right for you.
Other chapters within the Business 112: Operations Management course
- Introduction to Operations & Supply Chain Management
- Quality in Operations & Supply Chain Management
- Six Sigma & Operations
- Monitoring & Controlling Quality
- Project Management
- Product Design
- Service Design
- Operations Processes & Technology
- Capacity & Facilities Design
- Facility Location Models
- Supply Chain Strategy & Design
- Inventory Management
- Lean Systems
- Forecasting in Operations Management
- Sales & Operations Planning
- Resource Planning in Operations Management
- Scheduling in Operations Management