LEAN SUPPLY CHAIN MANAGEMENT

Lean Supply Chain Management



Table of Contents

Introduction1

Discussion1

Recommendations4

Conclusion6

References8

Lean Supply Chain Management

Introduction

After many years in which companies invested in improving its internal processes, especially in the last decade where technological advances allowed the dream of integration and globalization allowed trade expansion, companies have global vision reached a stunning conclusion; competing individually is a losing strategy.

The paper aims to discuss the concept of Lean Supply chain Management with specific focus on Dell Corporation being successfully using this strategy in their daily business operations.

Discussion

Business process management in line with the principles of not only means organizing the production system in an efficient and effective (lean manufacturing), but also manage all activities through business processes and information flow, always set the same goal: to increase efficiency and reduce waste (Biddle, 2006).

At Dell Corporation, this is achieved mainly through the empowerment of the customer and supplier at all levels. The achievement of winning strategies need to be supported in operations on capabilities of the enterprise, such as agility, speed of response, flexibility, and process performance. Strengthen the maturity of an organization in these areas, including a level of Operational Excellence, finds its landmarks in the approaches of Lean Management (Zenger and Folkman, 2002). Therefore, we can say that lean management is the result of a consistent policy of small steps to uninterrupted continuous improvement in all areas of the company.

To become a Lean, it is beyond the stereotypes, increase efficiency of all business processes, removing what does not add value, to optimize the speed of responses and develop responsive. It is also reducing the value chain of capital at different stages, and current stocks, which affects funding. These characteristics of excellence are the result of permanent improvements carried out by various personnel of the company, without the participation and membership of which, the necessary changes will not lead to desired maturity levels (Womack, Jones and Roos, 1991). A direct consequence of this claim was the unavoidable change in the strategies of these companies to focus on alignment and synchronization of their supply chains, which have achieved a competitive advantage in a hostile environment of high proliferation of products, high variability of the increasing demands and global competition.

One of the most important components of the company Lean is the front chain supply. Suppliers are an important factor in the supply chain and contributing the transformation of the company to be lean. Since the material cost is more than half the cost of goods sold for signatures. Companies cannot see their suppliers as strangers, but still should be seen as part of company equipment. Dell is one of the leading companies through its direct business model, allowing customers to configure their own PC systems.

Known as an agile supply chain, an efficient supply chain is a term used to describe a process of supply chain management ensures that a company has all the resources at hand to operate in full production, but not unnecessarily high inventories supplies and raw ...