Planning & Inventory
THIS UNIQUE ALPHANUMERIC CODE IS CREATED BY BUSINESSES TO IDENTIFY AND TRACK SPECIFIC PRODUCTS FOR INVENTORY AND SUPPLY CHAIN PURPOSES.
WHAT is a SKU (Stock-Keeping Unit)?
THIS LINK IN THE SUPPLY CHAIN ASSEMBLES RAW MATERIALS INTO FINISHED GOODS.
What is a manufacturer?
THIS PROCESS COVERS PLANNING, EXECUTING, AND CONTROLLING THE MOVING AND STORING OF GOODS, SERVICES, AND RELATED INFORMATION.
What is logistics?
THESE THREE LETTERS STAND FOR THE METRICS USED TO MEASURE HOW EFFICIENTLY AND EFFECTIVELY A SUPPLY CHAIN PERFORMS.
What are KPIs (Key Performance Indicators)?
THESE TAXES ON IMPORTED GOODS IMPACT COSTS AND SOURCING DECISIONS.
What are tariffs?
THIS TERM REFERS TO THE TIME BETWEEN ORDERING AND RECEIVING A PRODUCT.
What is lead time?
THE PROCESS OF FINDING, ACQUIRING, AND MANAGING SUPPLIERS AND RAW MATERIALS IS KNOWN AS THIS TERM.
What is procurement?
OUTSOURCING LOGISTICS AND TRANSPORTATION TO AN OUTSIDE PROVIDER IS KNOWN BY THIS THREE-CHARACTER ABBREVIATION.
What is a 3PL (third-party logistics provider)?
SAP AND ORACLE SELL THESE INTEGRATED SOFTWARE PLATFORMS THAT MANAGE CORE BUSINESS PROCESSES ACROSS A COMPANY.
What are ERP (Enterprise Resource Planning) Systems?
THIS IS KNOWN AS THE PROCESS OF ALIGNING SUPPLIERS, MANUFACTURERS, DISTRIBUTORS, RETAILERS, AND CONSUMERS TO OPTIMIZE VALUE AND EFFICIENCY.
What is Supply Chain Management?
COMPANIES KEEP THIS EXTRA STOCK AS PROTECTION AGAINST UNCERTAIN DEMAND OR LATE DELIVERIES.
What is safety stock?
THIS STRATEGY PRODUCES GOODS ONLY AFTER A CUSTOMER PLACES AN ORDER, INSTEAD OF BUILDING STOCK AHEAD OF TIME.
What is make-to-order?
THIS IS THE PROCESS OF MOVING BACKWARD, FROM CUSTOMERS TO SELLERS OR MANUFACTURERS, FOR RETURNS, REPAIRS, OR RECYCLING.
What is reverse logistics?
LIKE THE NARROW NECK OF A BOTTLE, THIS STAGE IN A PROCESS LIMITS THE OVERALL SPEED OR CAPACITY OF THE SUPPLY CHAIN.
What is a bottleneck?
IDENTIFYING, ASSESSING, AND REDUCING RISKS THAT CAN DISRUPT THE SUPPLY CHAIN IS CALLED THIS.
What is risk management?
ACTUAL VALUE MINUS FORECASTED VALUE = ___.
What is forecast error?
THE COSTS ASSOCIATED WITH EVALUATING PRODUCTS ARE KNOWN AS THIS.
What are appraisal costs?
THE FINAL STEP OF DELIVERING A PRODUCT TO THE CUSTOMER IS CALLED THIS, AND IT IS OFTEN THE MOST EXPENSIVE AND COMPLEX PART.
What is last-mile delivery?
THIS APPROACH TO SUPPLY CHAIN FOCUSES ON REDUCING WASTE, OPTIMIZING PROCESSES, AND INCREASING EFFICIENCY.
What is a lean supply chain?
SMALL CHANGES IN CUSTOMER DEMAND GROW BIGGER AT EACH STEP UP THE SUPPLY CHAIN, LIKE THE CRACK AT THE END OF A WHIP.
What is the bullwhip effect?
AN ITEM IS OUT OF STOCK, BUT THE CUSTOMER CAN STILL PLACE AN ORDER AND WAIT FOR IT TO ARRIVE. THAT ORDER IS CALLED THIS.
What is a backorder?
THIS LEAN STRATEGY HAS MATERIALS ARRIVE EXACTLY WHEN NEEDED, CUTTING WASTE AND STORAGE COSTS.
What is JIT (Just-In-Time)?
THIS KIND OF COMPANY MANAGES MULTIPLE 3PLS AND OVERSEES THE ENTIRE SUPPLY CHAIN PROCESS.
What is a 4PL (fourth-party logistics provider)?
THIS IS A VIRTUAL MODEL OF THE SUPPLY CHAIN THAT SIMULATES AND TESTS PERFORMANCE UNDER VARIOUS CONDITIONS.
What is a digital twin?
BUSINESS MINDSET THAT TREATS EVERY PROCESS AS IMPROVABLE. IT AIMS TO ENHANCE EFFICIENCY, REDUCE WASTE, AND IMPROVE PERFORMANCE ACROSS THE SUPPLY CHAIN.
What is continuous improvement?