20190213-Introduction to Logistics and Supply Chain-Eng.Sameer Almadhoon

Your Future Career ..Think Supply Chain Samer Majdi Al-Madhoun MBA, CSCP, CLTD , SCOR-P Managing Director MUHAKAT

Learning Objectives •Define Supply Chain Management •Determine why we need supply chain •TALENT GAP? 2

Supply Chain Overview Three Down Stream Producer Up Stream Four Entities Flows • Supplier of raw • The producer of • The consumer material products and of goods , services products and Supplier services Customer Information Flow Product Flow Cash Flow Reversed Product Flow 3

The coffee Industry case SCM Is the design, planning, execution, control, and monitoring of supply chain activities with the objective of Creating net value , building a competitive infrastructure, Leveraging worldwide logistics ,synchronizing supply with demand Measuring performance globally”. The primary goods flow (downstream) shows the fu4nctional activities that the product goes through to get to the consumer - purchasing, production, distribution and marketing.

Supply Chain Management. WHY? As a profession ❑ Supply chain interacts with our day to day life activity. ❑Supply chain management now part of the business vocabulary. ❑Recently becoming a discipline (logistics schools, Higher education) . ❑One of the highest paid wages on a managerial level. ❑Growing awareness among companies & hiring agencies of the importance of job role. ❑Wide variety of careers associated with it. 5

The Changing Business Landscape: Four Driving Forces • The Empowered Consumer • Power Shift in the Supply Chain • Globalization • Technology 6

The Changing Business Landscape: Five Driving Forces • Globalization • Global marketplace concept • Global network sourcing, manufacturing, marketing and distribution • No geography --- access available to the world 7

Globalization Example: • An icon of international outsourcing, among 2/15/2019 other things. • Barbie has matured into a multi-billion-dollar a year industry, with sales and production on a global scale. • Mattel Inc., Barbie’s parent company, estimates that three Barbie dolls are sold every second of every day. • Design is performed in California. U.S • Oil and plastic Pallet are made in Taiwan • Her nylon hair is made in Japan; • Her body molds are made in the U.S.; • She is assembled in Indonesia and Malaysia; • She is clothed in China BY: Samer 8 Almadhoun

The Changing Business Landscape: Five Driving Forces • The Empowered Consumer • Informed consumers have low tolerance for poor quality in products and services. • Increased customer service increases the importance of logistics and supply chains. 9

The Changing Business Landscape: Five Driving Forces • Power Shift in the Supply Chain • Large retailers more demanding and commanding. 10

The Changing Business Landscape: Five Driving Forces • Technology • Information Age provides new and unrestricted access to the place aspect of business. • My time, my place 11

Where the Money Is • Supply-chain generally accounts for between 60% and 90% of all company costs • A 2% improvement in process efficiency for supply-chain processes has 3000% - 5000% the impact of a 2% improvement in efficiency for… IT, HR, Finance1… Sales… • Most Process Methodologies or techniques had their origin primarily in Supply-Chain Management? • Six-Sigma Lean BPR ERP ISO MRP-II TQM… Fortune-10 Company Supply-Chain Cost % Total Costs2 GM Ford Conoco Wal-Mart Chevron IBM Exxon GE 63% 94% 93% 90% 90% 88% 77% 75% 1 Exclusive of Financial Services companies 2 Source: Hoovers 2006 Financial Data, Supply-Chain Council 2006 SCM Benchmark data on SCM cost for discrete & process industries

Your Career Might Start As Supply Planning Officer Procurement Engineer Supply Chain Officer Demand Planning Officer Supply Chain Officer 13

What is the issue? Studies Shows an increasing GAP between Market needs for supply chain Professionals at work place at work and the qualifications of the workers. TALENT GAP 14

Resolving Supply Chain Talent GAP in the middle east How??? 15

EDUCATION SCC - SC1O6R & Benchmarking



International Ranking For SC Education 18

Next CSCA Course Starts 27th March at MUHAKAT Call 0796597548 to inquire. http://www.muha kat.com/index.ph p/en/muhakat- event 19

The No.1 Leading Supply Chain Education

• Next CSCP Course Starts 18th March at MUHAKAT • Next CPIM starts 13th APRIL . • Next CLTD starts 26th March • Call 0796597548 to inquire http://www.muhakat .com/index.php/en/ muhakat-event

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