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Streamlining Internal Supply Chain, based on mapping processes

Kajevic, Eldan and Sjöberg, Joans (2013) MIO920
Production Management
Abstract
Context Background
Globalisation, increasing product complexity, volatile demand, and
financial crisis all put strains on the supply, processing, and distribution
of goods. That’s why supply chain management has become the
area to focus on to gain competitive advantages and reduce costs.
Saint-Gobain Sekurit Scandinavia (SGSS) is part of a large global
French enterprise, Saint-Gobain that’s a world leader in its markets.
SGSS also operates globally in three markets and manufactures windshields
for the automotive and transportation industries.
SGSS’s overall a high performing company that over the years has
conducted numerous improvement projects and is both ISO/TS 16949
and ISO 14001 certified. It currently has several employees... (More)
Context Background
Globalisation, increasing product complexity, volatile demand, and
financial crisis all put strains on the supply, processing, and distribution
of goods. That’s why supply chain management has become the
area to focus on to gain competitive advantages and reduce costs.
Saint-Gobain Sekurit Scandinavia (SGSS) is part of a large global
French enterprise, Saint-Gobain that’s a world leader in its markets.
SGSS also operates globally in three markets and manufactures windshields
for the automotive and transportation industries.
SGSS’s overall a high performing company that over the years has
conducted numerous improvement projects and is both ISO/TS 16949
and ISO 14001 certified. It currently has several employees that have
world class manufacturing belts and are continuously managing projects
to improve performance. SGSS currently uses a balanced score
card type of measurement system and puts a lot of effort on maintaining
and improving quality.
Problem SGSS’s supply chain processes are not currently defined which
makes overview of the supply chain not optimal from management
point of view and raises thoughts about the supply chain processes
potential for improvements. Distribution of responsibilities is not fully
clarified and creates a platform for conflicts and communication
problems. That in turn increases the risk for delays of delivery to customers
as a result. Other perceived problems are long lead-time, increasing
complexity, and high WIP.
Purpose Identify and recommend improvements and/ or how to eliminate bottlenecks
in information flows within the internal supply chain, based
on mapping processes. Improvements are supposed to address the operationalization
of strategy and have the purpose to create a sustainable
solution
Methodology The study assumes systems approach to research and attempts to create
a solution that’s greater than single components of analysis. The
study begins inductively with the process map, in the second phase it
becomes deductive when analysing challenges, the measurement sysVIII
tem is a result of both methods iterating and cannot really be defined.
The measurement system that is the final result of the study attempts
to be normative and the study is therefore considered to be normative
as well. Credibility has been important to this study for several reasons,
partly because it attempts to be normative; triangulation has
been used extensively to ensure credibility. It’s overall a qualitative
study even if some quantitative aspects exist. Data is an even mixture
of primary and secondary nature. The collection of data is executed
through interviews, observations, and archive analysis.
Findings Recommendations are separated into three types: primary, secondary,
and tertiary recommendations, depending on estimates of required
time, dedication and size of investment.
SGSS should use the process map and measurement system to improve
communication related issues and the measurement system to
communicate the relation between operations and strategy so that
employees better understand the purpose of their work.
Delays can be decreased by restricting forecast changes to the different
safety stocks in the supply chain and by using the appended fault
tree analysis to understand root causes to delays.
SGSS should give supply chain management more attention to take
advantage of the on-going market trends and define their value proposition
to better align operations.
Reorient to the process view in order to reduce hierarchy, i.e. delegate
responsibility and authority by empowering process owners, involving
employees into decisions, and creating systems that allow employees
to get their ideas realized. This also means that SGSS should
map the remaining core processes and integrate them with each other.
Companies in general and Saint-Gobain Sekurit in Eslöv should take
the outside in perspective to strategy. To do that they should benchmark
the frame of reference in the performance management system.
This will better align strategy with reality. (Less)
Please use this url to cite or link to this publication:
author
Kajevic, Eldan and Sjöberg, Joans
supervisor
organization
course
MIO920
year
type
M1 - University Diploma
subject
keywords
Supply Chain Management (SCM), Streamlining Business Operations, Process Mapping, Performance Management System, Process Based Business Development (PBBD)
other publication id
13/5467
language
English
id
4024545
date added to LUP
2013-09-13 15:35:39
date last changed
2013-09-13 15:35:39
@misc{4024545,
  abstract     = {Context Background
Globalisation, increasing product complexity, volatile demand, and
financial crisis all put strains on the supply, processing, and distribution
of goods. That’s why supply chain management has become the
area to focus on to gain competitive advantages and reduce costs.
Saint-Gobain Sekurit Scandinavia (SGSS) is part of a large global
French enterprise, Saint-Gobain that’s a world leader in its markets.
SGSS also operates globally in three markets and manufactures windshields
for the automotive and transportation industries.
SGSS’s overall a high performing company that over the years has
conducted numerous improvement projects and is both ISO/TS 16949
and ISO 14001 certified. It currently has several employees that have
world class manufacturing belts and are continuously managing projects
to improve performance. SGSS currently uses a balanced score
card type of measurement system and puts a lot of effort on maintaining
and improving quality.
Problem SGSS’s supply chain processes are not currently defined which
makes overview of the supply chain not optimal from management
point of view and raises thoughts about the supply chain processes
potential for improvements. Distribution of responsibilities is not fully
clarified and creates a platform for conflicts and communication
problems. That in turn increases the risk for delays of delivery to customers
as a result. Other perceived problems are long lead-time, increasing
complexity, and high WIP.
Purpose Identify and recommend improvements and/ or how to eliminate bottlenecks
in information flows within the internal supply chain, based
on mapping processes. Improvements are supposed to address the operationalization
of strategy and have the purpose to create a sustainable
solution
Methodology The study assumes systems approach to research and attempts to create
a solution that’s greater than single components of analysis. The
study begins inductively with the process map, in the second phase it
becomes deductive when analysing challenges, the measurement sysVIII
tem is a result of both methods iterating and cannot really be defined.
The measurement system that is the final result of the study attempts
to be normative and the study is therefore considered to be normative
as well. Credibility has been important to this study for several reasons,
partly because it attempts to be normative; triangulation has
been used extensively to ensure credibility. It’s overall a qualitative
study even if some quantitative aspects exist. Data is an even mixture
of primary and secondary nature. The collection of data is executed
through interviews, observations, and archive analysis.
Findings Recommendations are separated into three types: primary, secondary,
and tertiary recommendations, depending on estimates of required
time, dedication and size of investment.
SGSS should use the process map and measurement system to improve
communication related issues and the measurement system to
communicate the relation between operations and strategy so that
employees better understand the purpose of their work.
Delays can be decreased by restricting forecast changes to the different
safety stocks in the supply chain and by using the appended fault
tree analysis to understand root causes to delays.
SGSS should give supply chain management more attention to take
advantage of the on-going market trends and define their value proposition
to better align operations.
Reorient to the process view in order to reduce hierarchy, i.e. delegate
responsibility and authority by empowering process owners, involving
employees into decisions, and creating systems that allow employees
to get their ideas realized. This also means that SGSS should
map the remaining core processes and integrate them with each other.
Companies in general and Saint-Gobain Sekurit in Eslöv should take
the outside in perspective to strategy. To do that they should benchmark
the frame of reference in the performance management system.
This will better align strategy with reality.},
  author       = {Kajevic, Eldan and Sjöberg, Joans},
  keyword      = {Supply Chain Management (SCM),Streamlining Business Operations,Process Mapping,Performance Management System,Process Based Business Development (PBBD)},
  language     = {eng},
  note         = {Student Paper},
  title        = {Streamlining Internal Supply Chain, based on mapping processes},
  year         = {2013},
}