Transcript What is the Supply Chain?

What is the Supply Chain?
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Canada’s supply chain is
the planning, procuring,
handling, managing,
engineering and enabling of
the movement of goods and
services across Canada and
around the world
Supply chain management encompasses the planning and
management of all activities involved in sourcing and procurement,
conversion, and all logistics management activities. This also
includes coordination and collaboration with channel partners
including suppliers, intermediaries, third-party service providers,
and customers
What is the Impact of the Supply Chain?
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In 2007, Canadian goods exports amounted to $450.3 billion while Canadian
goods imports totalled $406.7 billion.
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86% of Canada's merchandise exports are destined to the United States and
approximately US $475 billion of goods cross each year between the two
countries
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SC activities include all manufacturers, wholesalers and retailers representing
29 percent of total Canadian GDP
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The industry generates $50 billion revenues and $75 billion in additional activity
is done in-house across sectors.
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Most Best-in-Class (BiC)* businesses leverage supply chain to increase
distribution efficiency and service differentiation while reducing distribution cost
Why is Supply Chain Important?
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Enterprises that deploy
supply chain integration
and supplier relationship
management technology
have seen a 15% to 40%
increase in quality and
time-to-market over
competitors that fail to
make these investments
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The extent to which firms are integrated into global value
chains and the efficiency and effectiveness of their product
distribution and associated services are key determinants of
competitiveness. Incremental competitiveness advantage is
now achieved when supply chain players are synchronized
Why is Supply Chain Important? (2)
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Supply Chain Management is now becoming a key industrial sector as
well as an enabler for innovation, competitiveness and
commercialization of technology and processes across all industrial
sectors
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There has been a 60% growth in investment in new distribution facilities
in Canada since 2001.
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Within Supply Chain, logistics service providers GDP is expected to
increase by 40% between 2007 and 2015, reaching 56 billion CAD
What is the Canadian Supply Chain
Sector Council?
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CSCSC delivers a range of products and
services designed to enhance excellence in
the chain’s ability to recruit, retain, and train
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One of 30+ organizations that are part of the
HRSDC-funded Sector Council program
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Different from trade and professional
associations, the Council’s primary focus is on
increasing capacity and competence of the
human resources of the supply chain sector
Who Are The People of
Canada’s Supply Chain?
Over 744,000 employees in seven sub-sectors:
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Logistics Management
Logistics Information Systems
Warehousing
Transportation
Inventory and Material Control
Purchasing
Marketing and sales
What are the Occupations of Supply Chain?
Literally hundreds of jobs and careers in Supply Chain in managerial, tactical, and
operational areas, including:
•Operational: Storekeepers, parts clerks, long shore workers, shippers and
receivers, drivers and equipment operators, material handlers, packagers,
•Tactical: Manufacturing and industrial engineering technologists/technicians,
database analysts, web developers, transportation route and crew schedulers,
brokers, dispatchers, purchasing agents/officers, buyers in retail and wholesale
•Managerial: Supervisors and managers of teams and organizations in a wide
variety of applications, from operations of facilities to supervision of systems in all
seven sub-sectors
What’s in Supply Chain’s Future?
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The high cost of energy will be a key driver
for implementing Green Supply Chain
Management practices, including multi-modal
transportation, energy/waste reduction,
reduced packaging
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More and more highly advanced processes
and technologies — both at the corporate
level and within their distribution centres and
transportation operations
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Internet-based systems facilitate inventory
management and organize delivery to
customers and from suppliers
What’s in Supply Chain’s Future? (2)
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Advanced technologies, e.g. item-level traceability and supply chain visibility
which will allow fast response to governmental requirements like anti-terrorism
acts and food and drug regulations, product recall and public safety
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Increased focus on reverse logistics (disposal or recycling at product end of life)
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Need for flexibility: unplanned events (like the Iceland volcanic eruption) will
have a significant impact on the Supply Chain, challenging SC managers to find
creative solutions. Other examples include political/economic change in global
trading patterns, currency fluctuations, continued increases in fuel prices,
increased demand for lightened carbon footprint, and trade legislation