Slide 1

LOGISTICS COLLABORATION Prepared by : BERTY ARGIYANTARI

AMONG TRANSPORTER, SUPLLIER AND RETALER 1

SUPPLY CHAIN BASIC CONCEPTReverse Product FlowSupplierCustomerProducer

Primary Cash FlowPrimaryProductFlowPrimaryProductFlowInformation Flow

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SupplierSupplierConsumer

PRODUCTION PLANNING DEMAND PLANNING

3So that the product is produced and distributed : in the right quantity, to the right locations and at the right time,Plan Source Make DeliverA set of approached used to efficiently integrate: Suppliers, Manufactures, warehouse and distribution centersSystem wide costs are optimized and Service level requirements are satisfied3 SUPPLY CHAIN FLOWProcurement

CollaborationRetailer

ManufacturingCollaborationCollaborationDistributorSUPPLY CHAIN CHALLENGE4

SOURCEMAKEDELIVERSELL Low purchase priceMultiple vendors

Key inisiatif

Efficient Procurement Lean, Integrated & Manufacturing systemSynchronize SC Planning & Inventory ControlImprove Logistics and Transportation effectivenessMinimize internal costs Minimize uncertaintyDeal with remaining uncertaintyFew change- oversStable schedules

Efficient PickingLow trans-portation costHigh service levels

LEAN & AGILE SUPPLY CHAIN

4That is, SCs must be managed with asystem approach in an integrated way. This is the biggest challnge in SCM.

Consequently, todays competition for market leadership is among supplychains.

SCM has the greatest opportunity tocreate value and competitive advantage

SCM can directly support strategic management goals of a company: low price, high quality, product customization,fast delivery, fast technology introduction. One of the aims of SCM is lowering SC inventories.Low inventories cuts down on inventory holding costs so that cost of goods sold goes down. Then keepingthe profit margin constant a company can lower its price. Low inventories means that products willspend less time in storage so that they will deteriorate less and will have better quality when delivered tocustomers. SCM aims to increase the efficiency of distribution process

The primary objective of SCM is to fulfill customer demands through the most efficient use of resources, including distribution capacity, inventory, and labor. In theory, a supply chain seeks to match demand with supply and do so with the minimal inventory. Various aspects of optimizing the supply chain include liaising with suppliers to eliminate bottlenecks; sourcing strategically to strike a balance between lowest material cost and transportation, implementing just-in-time techniques to optimize manufacturing flow; maintaining the right mix and location of factories and warehouses to serve customer markets; and using location allocation, vehicle routing analysis, dynamic programming, and traditional logistics optimization to maximize the efficiency of distributioLEAN SUPPLY CHAIN

VendorProduction SiteDistribution CentreBranchesLead Time

Overall flow from order receiving through, parts purchase and product delivery.Flow from order receiving through, production instruction and product deliveryIn-plant flow(inter process)Logistic flow

Reduce RM/PM Inventory, Increase (on time arrival)Reduce Lead time production and WIP InventoryReduce FG InventoryReduce RM/PM Inventory, Increase (on time arrival)Reduce Lead time production and WIP InventoryReduce FG InventoryELIMINATE WASTE !!Procurement flowThe concept of lean, which is essentially a team-based approach to continuous improvement focused on eliminating non-value added activities.A lean SC process has been streamlined to reduce and eliminate waste or non value added activities to the total supply chain and to the products moving within the supply chain.To create a leaner supply chain, companies must examine each area of the supply chain.Waste can be measured in time, inventory and unneccesary cost.

Value added activities are those that contribute to efficiently placing the final product at the customer.Any activity should create value.

A supply chain management is meant to reduce excess inventory in the supply chain.Should be demand driven.It is built on the pull approach of customers pulling inventory. Everything that delays the flow must be analyzed as a potential non value added activityThe perfect supply chain would be lean with removing wasteful time and inventory.Lean SC requires effort and improvement.

A lean SC can take reduce time by 10 40 %Reduce inventory by 10 30 %Reduce cost by 10 25 %

5LOGISTIC PERFORMANCE INDEX 2014GLOBAL

6LOGISTIC PERFORMANCE INDEX 2014ASEAN

LOGISTIC PERFORMANCE INDEX 2014INDONESIA

8INDONESIA LOGISTIC CHALLENGE 2014

Human resources competencyPublic infrastructureGovernment regulation System integrationCompetitivenessLogistics Cost Kompetensi SDM Public Infrastructure Daya saing dengan negara lain LPI Government Regulation Sistem yang belum terintegrasi Liberalisasi Perdagangan MEA 2015 Kemitraan sektor Publik dan Swasta

9LOGISTIC CAPABILITY

CUSTOMER FOCUSTIME MANAGEMENTINTEGRATION, NO CILO MENTALITYINFORMATION EXCHANGE

Contribute to companys strategy in delivery its competitive advantage10