Supply Chain Management Challenges

John Birchak Strategic Manufacturing Programs Intel Corporation Chandler, Arizona

John Birchak, Intel Corp., National Science Foundation, University of 1

The greatest challenge in working with suppliers is getting them in sync with the fast pace we have to maintain. The key to making it work is information.
Michael Dell, Dell Computer
Harvard Business Review, Mar/Apr 1998

John Birchak, Intel Corp., National Science Foundation, University of

Broadened Scope of Information and Coordination

Plan

Deliver

Source

Make Deliver

Source

Make

Deliver

Source

Make

Deliver Source

Suppliers Supplier

Supplier
(internal or external)

Your Company

Customer
(internal or external)

Customers Customer

John Birchak, Intel Corp., National Science Foundation, University of

Real-World Information Flows

Suppliers Supplier Supplier Suppliers Supplier
(internal or external)

Customer
(internal or external)

Your Company

Customers Customer
John Birchak, Intel Corp., National Science Foundation, University of 4

Real-World Roles

Supplier Research Partner Supplier Development Partner

Customer Research Partner

Supplier Subcontractor

Your Company

Customer Supplier
John Birchak, Intel Corp., National Science Foundation, University of 5

Supply Chain Complexity

More and more complexity Organic, not linear
Boundaries of stability

John Birchak, Intel Corp., National Science Foundation, University of

Supply Chain Visibility

Lack of visibility increases risk, cost, and time All stages of relationships

Identifying constraints
Ability to manage bottlenecks

John Birchak, Intel Corp., National Science Foundation, University of

eBusiness Standards Framework

eBusiness Applications
Supply Chain Management Marketing Customer Support Channel Management Collaboration

Public Policy
Legal Crypto Privacy Tax Control Economics

Business Services Infrastructure

Security, payments, catalogs

Technical Standards
Documents Security Privacy Network Computing

Messaging Infrastructure
XML, EDI, e-mail, HTTP

Content & Publishing Infrast

XML, SGML, HTML, Java, WWW

Network Infrastructure
Telecom, cable, wireless, IP

Computing Infrastructure
Servers, Clients, Operations
John Birchak, Intel Corp., National Science Foundation, University of 8

eBusiness Standards Needed

Product Content

Business Content
Logistics

General Framework
Sales and Marketing Customer Service
John Birchak, Intel Corp., National Science Foundation, University of 9

Supply Chain Challenges

Better Models

for dealing with supply chain complexity for understanding supply chain visibility

John Birchak, Intel Corp., National Science Foundation, University of

10

Supply Chain Challenges

Standards

need better development processes for standards need international eCommerce/ eBusiness standards

John Birchak, Intel Corp., National Science Foundation, University of

11

Supply Chain Challenges

Models, methods and standards

for analyzing and institutionalizing risk assessments eBusiness Collaboration

John Birchak, Intel Corp., National Science Foundation, University of

12

Supply Chain Challenges

Customer Needs
no inventory risk ability to respond rapidly to changes in market demand and competitors guaranteed delivery of product on a daily basis a level playing field on constrained product all the product quality and features they have today
John Birchak, Intel Corp., National Science Foundation, University of 13

Supply Chain Challenges

Intellectual Property and Knowledge Management
standardized accounting methods are needed for valuing intellectual property need technologies and processes for securing and protecting IP better methods are needed for capturing and reusing knowledge
John Birchak, Intel Corp., National Science Foundation, University of 14

Supply Chain Challenges

Intellectual Property Interchange Standardization
need standards for generalized and industry specific taxonomies, terms and semantics need standardized syntax and schemas for expressing and interchanging IP and other business information
John Birchak, Intel Corp., National Science Foundation, University of 15

Supply Chain Challenges

Globalization
how to better deal with different languages, laws, and customs need better support models need to learn how to optimize beyond corporate and supply chain spheres of influence
John Birchak, Intel Corp., National Science Foundation, University of 16

Cognitive Complex Models

COST = TOTAL COST

QUALITY

SPEED

John Birchak, Intel Corp., National Science Foundation, University of

17

Contact Information
John Birchak Strategic Manufacturing Programs Intel Corporation, MS: CH3-68 5000 W. Chandler Blvd., Chandler, AZ 85226 tel: 602.554.5859 email: john.birchak@intel.com

John Birchak, Intel Corp., National Science Foundation, University of

18