PATHWAYS TO SUPPLY CHAIN EXCELLENCE Edited by Aleš Groznik and Yu Xiong Pathways to Supply Chain Excellence Edited by Aleš Groznik and Yu Xiong Published by InTech Janeza Trdine 9, 51000 Rijeka, Croatia Copyright © 2012 InTech All chapters are Open Access distributed under the Creative Commons Attribution 3.0 license, which allows users to download, copy and build upon published articles even for commercial purposes, as long as the author and publisher are properly credited, which ensures maximum dissemination and a wider impact of our publications. After this work has been published by InTech, authors have the right to republish it, in whole or part, in any publication of which they are the author, and to make other personal use of the work. Any republication, referencing or personal use of the work must explicitly identify the original source. As for readers, this license allows users to download, copy and build upon published chapters even for commercial purposes, as long as the author and publisher are properly credited, which ensures maximum dissemination and a wider impact of our publications. Notice Statements and opinions expressed in the chapters are these of the individual contributors and not necessarily those of the editors or publisher. No responsibility is accepted for the accuracy of information contained in the published chapters. The publisher assumes no responsibility for any damage or injury to persons or property arising out of the use of any materials, instructions, methods or ideas contained in the book. Publishing Process Manager Martina Blecic Technical Editor Teodora Smiljanic Cover Designer InTech Design Team First published March, 2012 Printed in Croatia A free online edition of this book is available at www.intechopen.com Additional hard copies can be obtained from orders@intechopen.com Pathways to Supply Chain Excellence, Edited by Aleš Groznik and Yu Xiong p. cm. ISBN 978-953-51-0367-7 Contents Preface IX Part 1 Value Creation in Supply Chain Management 1 Chapter 1 From Advanced Planning System to Advanced Budgeting System: The Next Step in Supply Chain Management Software 3 Pierre Fenies and Nikolay Tchernev Chapter 2 Quantitative Models for Operational Risk to Implement Tobacco Supply Chain Strategies 21 Ying Su, Yang Lei, Xiaodong Huang and Yuangang Dai Chapter 3 Critical Factors Affecting Supply Chain Management: A Case Study in the US Pallet Industry 33 Henry Quesada, Rado Gazo and Scarlett Sanchez Chapter 4 A Potential Study of HUA–IT Market Aiming as a Collection and Distribution Center of Agricultural Products in Southern of Thailand 57 Sakesun Suthummanon, Pallapat Penjamras, Somboon Jaroenjiratrakul, Sopin Suddsa-oad and Nikorn Sirivongpaisal Part 2 Supply Chain Optimization and Development 79 Chapter 5 Small Block of Supplier Shares Improve Trust Performance in Supply Chain Relationship 81 Faieza Abdul Aziz and Saba Tolouei Chapter 6 Reverse Logistics and the Role of Fourth Party Logistics Provider 91 Roberta Pinna and Pier Paolo Carrus 17 Chapter 7 Environmental Impact of Supply Chains 115 Aleš Groznik and Jure Erjavec VI Contents Chapter 8 Logistics and Supply Chains in Agriculture and Food 125 Girma Gebresenbet and Techane Bosona Part 3 Mass-Customization 147 Chapter 9 Mass-Customization: From Personalized Products to Personalized Engineering Education 149 Farrokh Mistree, Jitesh H. Panchal and Dirk Schaefer Chapter 10 A Logistics Reference Model for Mass Customization 175 Francesco Costantino, Giulio Di Gravio and Massimo Tronci Chapter 11 Incorporating Anthropometry into Design of Products 195 Bor-Shong Liu and Ching-Wen Lien Preface Over the last decade, supply chain management has advanced from the warehouse and logistics to strategic management. Integrating theory and practices of supply chain management, this book incorporates hands-on literature on selected topics of Value Creation, Supply Chain Management Optimization and Mass-Customization. These topics represent key building blocks in management decisions and highlight the increasing importance of the supply chains supporting the global economy. The coverage focuses on how to build a competitive supply chain using viable management strategies, operational models, and information technology. It includes a core presentation on supply chain management, collaborative planning, advanced planning and budgeting system, risk management and new initiatives such as incorporating anthropometry into design of products. Aleš Groznik University of Ljubljana Faculty of Economics Slovenia and Yu Xiong Enterprise Management Research Centre, Chongqing Technology and Business University Queen’s University Management School, Queen’s University, Belfast United Kingdom [...]... BU 3 Supply Chain Manager Source Product type number M Supply Chain Manager Make Production setup BU 4 Supply Chain Manager Deliver Delivered product quantity BU 4 Supply Chain Manager Source/Storage Product type number M Supply Chain Manager Make Production setup BU5 Supply Chain Manager Deliver Delivered product quantity BU5 Supply Chain Manager Source /Storage BU5 Product type number M Supply Chain. .. Number BU 1 Supply Chain Manager BU2 Make Production setup BU 1 Supply Chain Manager Storage/Deliver Delivered product quantity M Supply Chain Manager Source Product type number M Supply Chain Manager BU3 Make Production setup BU 2 Supply Chain Manager Deliver Delivered product quantity BU2 Supply Chain Manager Source Product type number M Supply Chain Manager Make Production setup BU 3 Supply Chain Manager... Make M Supply Chain Production setup BU6 Supply Chain Manager Storage/Deliver Sold product quantity M Supply Chain Manager Plan DRP Product type number M supply Chain manager Plan Production Planning Production setup M supply Chain manager Table 4 Cost Drivers and logistic processes in Supply Chain Business Unit From Advanced Planning System to Advanced Budgeting System: The Next Step in Supply Chain. .. B6 logistic platform, which is implanted before B6 factory stocks products from B5 and from external 10 Pathways to Supply Chain Excellence suppliers The second B6 logistic platform, which is implanted after B6 factory stocks final products; Distribution Requirement Planning(DRP) is done by M supply chain manager; production planning of each supply chain Business Unit is done by collaborative planning... each factory Production Plans given by to heuristics and simulations are then evaluated thanks to an instance of the financial analytical model For each plan, a financial budget is then associated Figure 13 presents the ABS which is done for this case study Fig 6 ABS Structure for M Supply Chain 12 Fig 7 Supply Chain specification Pathways to Supply Chain Excellence From Advanced Planning System to Advanced... network process To provide quantitative decision tools for the tobacco supply chain, this chapter will introduce some mathematic methods to model the decision process of tobacco supply chain Since the coordination is the key issue of supply chain management, to be more specific, we will introduce the coordination mechanism under risk-averse agent environment The rest of this chapter is divided into five major... delay "tobacco" programmes Christopher, 2006) Table 1 Main characteristics of the tobacco supply- chain strategies First, we review the most related literature in supply chain coordination under risk-averse and tobacco supply- chain strategy briefly Theoretical field has yielded plenty of literature on supply chain Cachon(2003) offered a comprehensive review on supply chain contracts for coordination... (Dietrich, 1991): they are used to make a choice on the design, control or functioning of supply chain, while descriptive models make it possible to evaluate decision made by prescriptive model or directly by actors Figure 4 shows the ABS characteristics and the connexions between the various supply chain activities and flows Fig 4 Advanced Budgeting Context 8 Pathways to Supply Chain Excellence Technical and... of tobacco supply- chain strategies and highlights the critical factors of such strategies for a company's operations policy The third section specifies quantitative model for a GSCM, while the fourth seeks how to structure critical factors hierarchically to support managers in the implementation of each tobacco supply- chain strategy The fourth section describes how to quantify the effect of the factors... Regards to these data, these strategies consist in prioritizing in each factory the family of products, which get the least autonomy State of system is used as input data by two heuristics Each heuristic takes into account finished products stock levels since these data allow estimating Supply Chain autonomy for each factory (autonomy i) A full strategy is thus reproduced along the Supply Chain These . M Supply Chain Manager Make Production setup BU6 Supply Chain Manager Storage/Deliver Sold product quantity M Supply Chain Manager M Supply Chain Plan DRP Product type number M supply Chain. PATHWAYS TO SUPPLY CHAIN EXCELLENCE Edited by Aleš Groznik and Yu Xiong Pathways to Supply Chain Excellence Edited by Aleš Groznik. BU 1 Supply Chain Manager Make Production setup BU 1 Supply Chain Manager Storage/Deliver Delivered product quantity M Supply Chain Manager BU2 Source Product type number M Supply Chain