• Teams identify and eliminate sources of production variability.
• Key performance evaluation criteria (both level of service and customer profitability) are used to measure results.
Supply chain management components
Supply chain network structure
3. What level of integration and management should be applied or each process link?
第五页，共16页。
• Manufacturing, distribution, and transportation plans are integrated.
• Strategic alliances with key supply chain members and carriers are formed to meet requirements and to reduce total-delivered-cost to customers
Tier 1 Customers
Tier 2 Customers
Tier 3 to Consumers/ End-Customers
1 2
1
n
1 2
n
1
n
1
n
2
n
1
n
Focal Company Members of the Focal Company’s Supply Chain Non-Members of the Focal Company’s Supply Chain
