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Logistics and Supply Chain Management




                    Notes          then quantitatively  justify  the  changes in terms of  service, expense,  asset  utilization,  and
                                   productivity improvements. The presentation should incorporate extensive use of graphs, maps,
                                   and flowcharts to illustrate changes in logistics operating practices, flows, and distribution
                                   network.

                                   Implementation

                                   The  actual  plan  or  design  implementation  is  the  final  process  activity.  An  adequate
                                   implementation plan is critical since putting the plan or design into action is the only means to
                                   obtain a return on the planning process.



                                     Did u know?  While actual implementation may require a number of events, there are four
                                     broad tasks: defining the  implementation  plan,  scheduling implementation,  defining
                                     acceptance criteria, and implementing the plan.

                                   Defining the Implementation Plan

                                   The first task defines the implementation plan in terms of the individual events, their sequence,
                                   and dependencies. While the initial plan may be macro level, it must ultimately be refined to
                                   provide individual assignment responsibility and accountability. Plan dependencies identify
                                   the interrelationships between events and, thus, define the completion sequence.

                                   Scheduling Implementation

                                   The  second task schedules the implementation and time phases the assignments identified
                                   previously. The schedule  must allow adequate time  for acquiring  facilities and  equipment,
                                   negotiating agreements, developing procedure, and training. Implementation scheduling should
                                   employ one of the software scheduling aids.

                                   Defining Acceptance Criteria

                                   The third task defines the acceptance criteria for evaluating the success of the plan. Acceptance
                                   criteria should focus on service improvements, cost reduction, improved asset utilization, and
                                   enhanced quality. If the  primary focus  is service,  acceptance criteria  must identify detailed
                                   components such as improved product availability or reduced performance cycle time. If the
                                   primary focus is cost, the acceptance criteria  must define the expected positive and negative
                                   changes in all affected cost categories. It is important that the acceptance criteria take a broad
                                   perspective  so  that  motivation  focuses  on  total  logistics system  performance rather  than
                                   performance of an individual function. It is also important that the acceptance criteria incorporate
                                   broad organizational input.

                                   Implementing the Plan
                                   The final task is actual implementation of the plan or design. Implementation must include
                                   adequate controls to ensure that performance occurs on schedule and that acceptance criteria are
                                   carefully  monitored.
                                   It is critical that a formalized process be used to guide logistics system design and refinement
                                   projects to ensure that the objectives are documented and understood and the analyses  are
                                   completed appropriately. While the preceding methodology supports logistics planning and
                                   design analysis, it can  also be adapted to  guide logistics  information system  design. For  a
                                   system design application, the situation analysis focuses on the characteristics and capabilities




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