L5 - 301

ACCG 301: Organisational Planning and Control

LECTURE 5 Managing Suppliers and Customers

Langfield-Smith et al. - Chapter 15 (pp.684-693; pp.701-711)

Dr. Ranjith Appuhami

Department of Accounting and Corporate Governance accg301@mq.edu.au

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Learning Objectives

 Explain supply chain management  Describe how e-commerce technologies enhance supply chain management  Describe the value of creating close relations with and managing suppliers

 Supplier selection, supplier profitability, performance measures

 Discuss customer relationship management (CRM)  Describe approaches to managing time

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Supply Chain Management (SCM)

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What is a Supply Chain?

Interlinked customers and suppliers that work together to convert, distribute and sell goods and services among themselves, leading to a specific end product The network of retailers, distributors, transporters, storage facilities and suppliers that participate in the sale, delivery and production of a particular product

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What is Supply Chain Management?

SCM is primarily concerned with the efficient integration of customers, suppliers, warehouses and stores.  so that goods are produced and distributed in the right quantities to the right locations at the right time,  accelerate time-to-market of new products,  measure performance of activities, and  create close relationships with customers and suppliers  so as to improve performance (minimize the total cost, improve efficiency, product quality, product innovation and profitability) subject to satisfying customer service.

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How Technology enhances Supply Chain Management (SCM)

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Using technology to enhance supply chain management (SCM)

E-business / E-commerce  the use of electronic media to facilitate business transactions  replacement of physical business processes with electronic ones

Applications include  Internet buying and selling  Order and shipment tracking  Electronic data interchange...