Assignment I 1.

SCM-Supply chain management (SCM) is the supervision of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer. Every product that reaches an end user represents the collective effort of multiple organizations. These organizations are linked together through physical flows and information flows, and are referred to as the supply chain. 2. MPS- MPS stands for Master Production schedule. It is an approach to determine what to produce, when to produce and how to produce and how much fund to allocate for the same. 3. MRP I- it is a basic software system which is used for production planning, inventory control and management of basic production processes. 4. MRP II it is an extended part of the MRP-I system. It also allows additional feature of Labor and financial planning and Batch production. 5. ERP- It is the abbreviation of enterprise resource planning. The basic idea of ERP is to put all of a companys data in a central repository where it can be matched, crossed-matched, and shared across departments and with other trusted companies. In simpler words, an ERP is a software design that supports the streaming and distribution of geographically scattered enterprise wide information across all the functional units of a business house. 6. VCM- VCM stands for value chain management. It is the integration of all the resources i.e. information, materials, labor, facilities, logistics, etc. into a timeresponsive, capacity-managed solution that maximizes financial resources and minimizes waste.

7. Strategy- It is a word of military origin. Strategy is a plan of action designed to achieve a particular goal. In other words, strategy is a term that refers to a complex network of opinions, thoughts, knowledge, aim, skill-set, memories, perceptions, and expectations that provides general guidance for specific actions in quest of particular ends. 8. Layout- it means the arrangement or a plan.

9. Demand- Demand is the desire to own anything, ability to pay for it and willingness to pay. 10. Subcontracting- A practice of entering into a contract with an outside person or company to assign a part of the obligations and task to that person or company. 11. Procurement- The procurement means the purchase of goods and services at the best possible prices, delivery dates and legal terms. 12. Forecasting- In simple terms forecasting means prediction of future events and occurrences. In business forecasting starts with certain assumptions based on the management's experience, knowledge, and judgment. It helps management to cope with the uncertainties of future. 13. Capacity- Specific ability of a person or an organization that can be measured in quantity. 14. Inventory- Inventory is a company's merchandise, raw materials, and finished and unfinished products which have not yet been sold. These are considered liquid assets, since they can be converted into cash quite easily. It can also be a detailed list of all the items in stock. 15. JIT- It is the abbreviation for just in time. It can be applied in purchasing as well as production. In JIT purchasing the raw materials and components are delivered from the vendor or supplier immediately before they are needed in the manufacturing process. JIT production involves manufacturing of goods on demand. 16. TQM- It is the abbreviation of total quality management. It is an approach which involves continuous improvement in all aspects of the organization, involves everyone in the organization and encompasses every function of the organization. 17. SIOP- SIOP ensures the quality products at the right time after incorporating the structured preparation of marketing, finance, and operation and procurement departments.

18. Lead time- The amount of time between placing of an order and receipt of the goods ordered. 19. BOM- It is the abbreviation of bill of materials. A bill of materials (BOM) is a list of the raw materials, sub-assemblies, intermediate assemblies, sub-components, components, parts and the quantities that are required to manufacture a product. 20. CP- Capacity Planning is the action to decide the capacity requirement in future so that future demand can be met. 21. RCCP- It stands for Rough Cut Capacity Planning. RCCP system helps to identify the key resources like material and personnel shortage, lead time constraints, capacity issues, process bottlenecks etc. and test the feasibility of the supply plan and production before doing any material planning and capacity planning

22. ATP- ATP aims are to manage the demand on the bases on resources available and delivery due date and matches it with the production plan. ATP is based on the forecasted demand. 23. CRP- Continuous Replenishment Program is the system which supports the efficient customer response. Stock is replenished on the continuous basis there is no need to wait for the order point to re order the stock. In this system orders cannot be ordered in the batches. 24. DRP- It stands for distribution resource planning. It is a systematic process for deciding which goods, in what quantity, at which location, and when are required in meeting likely demand.