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    International Business Chapter 17

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    Rabiatul Andawiyah
    Chapter 17 describes the different dimensions of a global manufacturing strategy. Supply chain--the coordination of materials, information, and funds. Company managers must consider the following strategies: Efficiency / cost dependability, quality and innovation flexibility.

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    Attribution Non-Commercial (BY-NC)
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    International Business Chapter 17

    Uploaded by

    Rabiatul Andawiyah
    516 views21 pages
    Chapter 17 describes the different dimensions of a global manufacturing strategy. Supply chain--the coordination of materials, information, and funds. Company managers must consider the following strategies: Efficiency / cost dependability, quality and innovation flexibility.

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    international business chapter 17

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    Chapter 17 describes the different dimensions of a global manufacturing strategy. Supply chain--the coordination of materials, information, and funds. Company managers must consider the following strategies: Efficiency / cost dependability, quality and innovation flexibility.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    516 views21 pages

    International Business Chapter 17

    Uploaded by

    Rabiatul Andawiyah
    Chapter 17 describes the different dimensions of a global manufacturing strategy. Supply chain--the coordination of materials, information, and funds. Company managers must consider the following strategies: Efficiency / cost dependability, quality and innovation flexibility.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    of 21

    International Business Environments and Operations

    Part 6 Managing International Operations


    17-1
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Chapter 17

    Global Manufacturing and SupplyChain Management

    17-2
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Chapter Objectives
    To describe the different dimensions of a global manufacturing strategy To examine the elements of global supply-chain management To show how quality affects the global supply chain To illustrate how supplier networks function To explain how inventory management is a key dimension of the global supply chain To present different alternatives for transporting products along the supply chain from suppliers to customers
    17-3
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    What is Supply Chain Management?


    Supply chainthe coordination of materials, information, and funds from the initial raw-material supplier to the ultimate customer. Logisticspart of the supply-chain process that plans, implements, and controls the efficient, effective flow and storage of goods, services, and related information from the point of origin to the point of consumption in order to meet customers requirements.
    17-4
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Global Manufacturing Strategies


    Four Key Factors: Compatibility Configuration Coordination Control

    17-5
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Compatibility
    Company managers must consider the following strategies: Efficiency/Cost Dependability Quality & Innovation Flexibility
    17-6
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Manufacturing Configuration
    Centralized manufacturing in one country Manufacturing facilities in specific regions to service those regions Multidomestic facilities in each country

    17-7
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Coordination Control
    Control systems, such as organizational structure and performance measurement systems, ensure that managers implement company strategies.

    17-8
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Information Technology and Global Supply Chain Management


    Electronic Data Interchange Enterprise Resource Planning/Material Requirements Planning Radio Frequency ID (RFID) E-Commerce

    17-9
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Quality
    Zero Defects versus Acceptable Quality Level The Deming Approach to Quality Management Total Quality Management Six Sigma

    17-10
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Quality Standards
    Levels of quality standards: General levelISO 9000, Malcolm Baldrige National Quality Award Industry-specific level Company level

    17-11
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Supplier Networks
    Global Sourcing Major Sourcing Configuration The Make or Buy Decision Supplier Relations The Purchasing Function

    17-12
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Global Sourcing

    17-13
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Major Sourcing Configuration


    Vertical integration Outsourcing through industrial clusters Other outsourcing

    17-14
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Make or Buy Decision


    Make or buyoutsource or supply parts from internal production If MNEs outsource parts instead of sourcing them from internal production, they need to determine the degree of involvement with suppliers.

    17-15
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Supplier Relations
    Supplier relationships are very important but sometimes complicated, especially for MNEs trying to manage supplier relationships around the world Case: Toyota Case: JCPenney

    17-16
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    The Purchasing Function


    Global progression in the purchasing function: Domestic purchasing only Foreign buying based on need Foreign buying as part of a procurement strategy Integration of global procurement strategy

    17-17
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Major Sourcing Strategies


    Assign domestic buyers for foreign purchasing. Use foreign subsidiaries or business agents. Establish international purchasing offices. Assign the responsibility for global sourcing to a specific business unit or units. Integrate and coordinate worldwide sourcing.

    17-18
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Inventory Management
    Lean Manufacturing and Just-In-Time Systems Risks in Foreign Systems The Kanban System Foreign Trade Zones Transportation Networks

    17-19
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    Future: Uncertainty and the Global Supply Chain


    Globalization encourages companies to outsource to foreign suppliers to reduce costs. Political events increase the risk of supply chain disruption.

    17-20
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

    All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America.

    17-21
    Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

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