This document provides an overview and comparison of push and pull strategies in supply chain management. It summarizes key aspects of procurement, production, distribution, transportation, inventory management, and flow management. It also compares factors such as costs, risks, flexibility, and responsiveness between push and pull approaches at a high level.
This document provides an overview and comparison of push and pull strategies in supply chain management. It summarizes key aspects of procurement, production, distribution, transportation, inventory management, and flow management. It also compares factors such as costs, risks, flexibility, and responsiveness between push and pull approaches at a high level.
This document provides an overview and comparison of push and pull strategies in supply chain management. It summarizes key aspects of procurement, production, distribution, transportation, inventory management, and flow management. It also compares factors such as costs, risks, flexibility, and responsiveness between push and pull approaches at a high level.
Overview SC decision & teoporal horizon How to choose Push or Pull
Procument Production Distribution Procument Productio. Distri‐
Supplier Manufa‐ Retailer bution cturer Long Supply Chain design
Transport‐ Manufa‐ Wareho‐ term
ation Activity cturing using Mid Supply chain planning Activity activity term Push & Pull Comparison Short Production Planning & flow Distribution System term management Push Strategy Pull Strategy Retailers Very Detailed management of Base on Historical Base on Customer Distributor/ Warehouse Short physical flow Data Order term High level inventory Make final Cross Docking & transportation production quick Multipick- Multidrop Inventory? cost HIGH (push & pull Internet Economic of scale stocks combine)
Seasonal stock Long time require Flexible supply in
Flow Management for manufactoring dynamic market Safety Stock MTO MTS process Speculative stock & Merchandising stock Low reactivity High reactivity Target Cost reduction Low risk/ cost Risk of non sold product| Pressure of inventory Inventory cost VMI, CMI, CPFR Small inventory Large inventory Long customer Zero customer lead time VMI CMI CPFR lead time WACC Customer Service Distur‐ Customer C can Order Storage & Ordering cost bance of follow S edit/ generated Holding inventory cost handling cost pro submit jointly Cost Insurance cost Set up cost orrder orderr Financial cost Taxes Labor or equipment Visibility Sharing Storeself utilization level Physical storage cost Transportation cost Role of Inform‐ Data Joint Obsolescence cost Payment to suppliers customer ation are inventory Exponentiel Smoothing provider shared| Inventory performance measure Invisible to supplier
Other stock KPIs
Supply Chain with Single Unit
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