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Push Pull Strategy Essay

683 words - 3 pages

Assignment – 3

Supply Chain Integration- Strategies

Introduction: Supply Chain Management revolves around various activities which are when integrated results in better performance of business. There is a need to integrate all these activities for a Value Supply Chain by reducing costs, reducing bullwhip effect, utilize better resources, increase service level. More importantly, by integrating the front end of supply chain, Customer Demand to the back end of the supply chain, production and manufacturing portion of it. This report lists the typical characteristics of the below mentioned strategies by considering a product and see how the strategy has been implemented. They are:

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▪ Enables a fast information flow mechanism to transfer information about customer demand to various supply chain partners.

Product Considered: Consider a new product has been launched in to the market. The manufacturer have to promote the product to the product before they could start production as it is a unknown product the customer, there will be a risk of rejection. Consider the snack food Lays, when it introduce a new flavor, they need to let the market know it before and when the product is released, they have to wait for the customer response on it and manufacture according to the orders received as per the customer demand. No Inventories being maintained which adds cost to the company.

Push-Pull Strategy: In Push- Pull based Supply Chain Strategy,

▪ Some stages of Supply Chain strategies, typically the initial stages of supply chain follows Push Strategy and following stages they adapt Pull based strategy.

▪ Push pull boundary line is located some where along the Supply Chain timeline which differentiated the two strategies applied.

Product Considered: In construction of an apartment, after the respective plots have been sold to the customers, the flats are being constructed according to the requirement of the owner....

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