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Ch-2 Supply Chain MGT 5e Chopra
Ch-2 Supply Chain MGT 5e Chopra
Supply Chain
Performance:
Achieving
Strategic Fit and
Scope
PowerPoint presentation to accompany
Chopra and Meindl Supply Chain Management, 5e
Global Edition
Copyright ©2013 Pearson Education.
© 2012 Prentice Hall Inc. 1
1-1
2-1
Learning Objectives
1. Explain why achieving strategic fit is critical to a
company’s overall success.
2. Describe how a company achieves strategic fit
between its supply chain strategy and its
competitive strategy.
3. Discuss the importance of expanding the scope
of strategic fit across the supply chain.
4. Describe the major challenges that must be
overcome to manage a supply chain
successfully.
Figure 2-1
Table 2-1
Table 2-2
Table 2-3
Figure 2-2
Figure 2-3
Figure 2-4
Figure 2-5
Figure 2-6
Primary goal Supply demand at the lowest cost Respond quickly to demand
Lower margins because price is a prime Higher margins because price is not a
Pricing strategy
customer driver prime customer driver
Manufacturing Maintain capacity flexibility to buffer
Lower costs through high utilization
strategy against demand/supply uncertainty
Maintain buffer inventory to deal with
Inventory strategy Minimize inventory to lower cost
demand/supply uncertainty
Table 2-4
Figure 2-7