Sourcing (including global sourcing) E-commerce Logistics Sourcing Sourcing: the purchasing of inputs for the transformation processes Also called procurement or purchasing Involves planning, implementing and controlling the efficient and effective flow and storage of goods and services and related information between the point of origin and the point of consumption In recent there have been four particular trends in SCM: Supplier rationalisation reducing the number of suppliers to an absolute – minimum Backwards integration merger/acquisition with suppliers – Cost minimisation often through the use of offshore suppliers – Responsive supply processes lean’ processes – Global Sourcing Global sourcing is a broad term that refers to businesses purchasing supplies or services without being constrained by location In the supply chain management activity, global sourcing refers to the buying or sourcing from wherever the suppliers are that best meet the sourcing requirement E-Commerce Involves the buying and selling of goods and service via the internet Two main types: Business-to-business (B2B) a business purchases supplies online – Business-to-customer (B2C) businesses sell their products to consumers via – the Internet Logistics The third supply chain strategy involves the use of logistics Logistics is a term broadly referring to distribution but also includes: Transportation The use of storage, warehousing and distribution centres Materials handling and packaging Transportation The type of product and the cost of transportation will determine the mode of transportation selected Storage
Sourcing (including global sourcing) E-commerce Logistics Sourcing Sourcing: the purchasing of inputs for the transformation processes Also called procurement or purchasing Involves planning, implementing and controlling the efficient and effective flow and storage of goods and services and related information between the point of origin and the point of consumption In recent there have been four particular trends in SCM: Supplier rationalisation – reducing the number of suppliers to an absolute minimum Backwards integration – merger/acquisition with suppliers Cost minimisation – often through the use of offshore suppliers Responsive supply processes – lean’ processes Global Sourcing Global sourcing is a broad term that refers to businesses purchasing supplies or services without being constrained by location In the supply chain management activity, global sourcing refers to the buying or sourcing from wherever the suppliers are that best meet the sourcing requirement E-Commerce Involves the buying and selling of goods and service via the internet Two main types: Business-to-business (B2B) – a business purchases supplies online Business-to-customer (B2C) – businesses sell their products to consumers via the Internet Logistics The third supply chain strategy involves the use of logistics Logistics is a term broadly referring to distribution but also includes: Transportation The use of storage, warehousing and distribution centres Materials handling and packaging Transportation The type of product and the cost of transportation will determine the mode of transportation selected Storage