Download - Case Study Scm
![Page 1: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/1.jpg)
Institute of finance and international management
Institute of finance and international management
SUPPLY CHAIN MANAGEMENTSUPPLY CHAIN MANAGEMENT
Debendra Dipayan KamalikaMoinakSandeepSuraj
CASE STUDY: MEDITECH SURGICALS
CASE STUDY: MEDITECH SURGICALS
![Page 2: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/2.jpg)
What is Supply Chain Mgmt.?
Supply chain management is a set of approaches used to efficiently integrate suppliers, manufacturers, warehouses, and customers so that merchandise is produced and distributed at the right quantities, to the right locations, and at the right time in order to minimize system wide costs while satisfying service-level requirements.
![Page 3: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/3.jpg)
3
![Page 4: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/4.jpg)
CASE facts: Meditech Surgical
Intent – diagnosis of supply chainBusiness overviewSupply chainProduction planningWhat’s wrong?How to fix it?
![Page 5: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/5.jpg)
Endoscopic Surgical Instruments
Permits minimally invasive surgeryMarket created in early 80’s, rapidly
growingOld products continually updated and
replaced with new product introductions
![Page 6: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/6.jpg)
Business Overview
National and Meditech split the marketCompete based on product innovations,
customer service, costNational sells to physicians; Meditech sells
to material managersCustomer preferences change slowly
![Page 7: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/7.jpg)
External Supply Chain
Part suppliers
Meditech Assembly
MeditechWarehouse
Domestic Dealers
Int’l MeditechAffiliates
Hospitals
Hospitals
![Page 8: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/8.jpg)
Internal Supply Chain
Parts Inventory Assembly Bulk Inventory FG InventoryPackaging &Sterilization
2 - 16weeks
2weeks
1 week
![Page 9: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/9.jpg)
Production PlanningAnnual Forecast
Monthly Revision
TransferRequirements
MonthlyPlan
MRP
PartsProcurement
Plan
WeeklyAssemblySchedule
![Page 10: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/10.jpg)
Production Planning
Parts Inventory Assembly Bulk Inventory Packaging &Sterilization
FG inventory
MonthlyPlan
MRP
Order point;Order quantity
MaterialPlan
![Page 11: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/11.jpg)
What’s Wrong?
Poor service for new product introductionsPoor forecasting?Panic ordering?And high FG inventory
![Page 12: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/12.jpg)
What Is Going On?
Demand is quite predictableUsage in hospitals is quite stableMarket share moves slowly over timeWith each new product, dealer must build
inventory to fill pipeline
![Page 13: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/13.jpg)
Why Did Meditech Think Demand Was Unpredictable?
Poor information systemsNo one looked at demandNo one had responsibility for forecast
errorsTendency to shift the blameBuilt-in delays and monthly buckets in
planning systemAmplifier in planning system
![Page 14: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/14.jpg)
What to Do?
Recognize that demand is stable and predictable
Establish accountability for forecastEliminate planning delays and/or reduce
time bucketAlternatively, put assembly within pull
system and eliminate bulk inventory
![Page 15: Case Study Scm](https://reader036.vdocuments.us/reader036/viewer/2022081502/556d3dedd8b42aa95c8b50ca/html5/thumbnails/15.jpg)
15